Q1 2024 Earnings May 9, 2024 Forward-looking statements and non-GAAP financial measures This presentation contains certain forward-looking statements, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or our future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as "anticipate," "believe," "could," "estimate," "expe ...

PART I — FINANCIAL INFORMATION [Item 1 — Financial Statements (unaudited)](index=3&type=section&id=Item%201%20%E2%80%94%20Financial%20Statements%20(unaudited)) Unaudited Q1 2024 financials report a **$56.5 million net loss** on **$235.3 million revenue**, with **$2.29 billion assets** [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet shows **total assets of $2.29 billion** and **total liabilities of $1.80 billion** as of March 31, 2024 Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | March 31, 2024 | December 31, 2023 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $515,957 | $664,593 | | Total current assets | $1,579,595 | $1,693,167 | | Total assets | $2,286,054 | $2,413,677 | | **Liabilities & Stockholders' Equity** | | | | Total current liabilities | $354,671 | $470,422 | | Total liabilities | $1,796,904 | $1,893,007 | | Total stockholders' equity | $489,150 | $520,670 | | Total liabilities and stockholders' equity | $2,286,054 | $2,413,677 | [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q1 2024 operations resulted in a **net loss of $56.5 million** on **$235.3 million total revenue**, with **$38.1 million gross profit** Condensed Consolidated Statements of Operations (in thousands, except per share data) | Account | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Total revenue | $235,298 | $275,191 | | Gross profit | $38,076 | $54,267 | | Loss from operations | $(49,017) | $(63,681) | | Net loss | $(56,543) | $(74,917) | | Net loss attributable to common stockholders | $(57,524) | $(71,567) | | Net loss per share, basic and diluted | $(0.25) | $(0.35) | [Condensed Consolidated Statements of Comprehensive Loss](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Loss) Comprehensive loss attributable to common stockholders was **$58.0 million** for Q1 2024, an improvement from the prior year - Comprehensive loss attributable to common stockholders was **$58.0 million** for the three months ended March 31, 2024, compared to a loss of **$71.7 million** in the prior-year period[20](index=20&type=chunk) [Condensed Consolidated Statements of Changes in Stockholders' Equity](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Changes%20in%20Stockholders%27%20Equity) Total stockholders' equity decreased to **$489.2 million** by March 31, 2024, primarily due to the net loss - Total stockholders' equity decreased from **$520.7 million** at December 31, 2023, to **$489.2 million** at March 31, 2024. The decrease was primarily driven by a net loss of **$56.5 million**, partially offset by stock-based compensation of **$17.0 million** and proceeds from stock plans[22](index=22&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash used in operating activities significantly improved to **$147.3 million** for Q1 2024, compared to **$314.7 million** prior year Summary of Cash Flows (in thousands) | Cash Flow Activity | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Net cash used in operating activities | $(147,266) | $(314,710) | | Net cash used in investing activities | $(21,428) | $(26,574) | | Net cash provided by financing activities | $7,150 | $306,487 | | Net decrease in cash, cash equivalents, and restricted cash | $(162,456) | $(34,921) | | Cash, cash equivalents, and restricted cash, end of period | $582,722 | $483,445 | [Notes to Unaudited Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) The notes detail ongoing operating losses, debt structure, revenue concentration, and related party receivables - The company has incurred operating losses and negative cash flows since inception. As of March 31, 2024, total outstanding recourse and non-recourse debt was **$843.5 million** and **$4.5 million**, respectively[49](index=49&type=chunk) - For Q1 2024, **60% of total revenue** was from the Asia Pacific region. Two customers accounted for approximately **52%** and **15%** of total revenue[53](index=53&type=chunk)[54](index=54&type=chunk) - One related party customer accounted for approximately **84% of accounts receivable** as of March 31, 2024[76](index=76&type=chunk) [Item 2 — Management's Discussion and Analysis of Financial Condition and Results of Operations](index=30&type=section&id=Item%202%20%E2%80%94%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses a **14.5% revenue decrease** to **$235.3 million** for Q1 2024, addressing market challenges and liquidity [Overview](index=36&type=section&id=Overview) Bloom Energy provides clean, reliable, and affordable energy through its fuel-cell based power generation platform - Bloom Energy's mission is to provide clean, reliable, and affordable energy through its solid oxide fuel-cell based power generation platform. The technology is fuel-flexible, capable of using biogas, hydrogen, or natural gas, and serves large multinational corporations and utility companies[180](index=180&type=chunk) [Certain Factors Affecting our Performance](index=37&type=section&id=Certain%20Factors%20Affecting%20our%20Performance) The company faces extended sales cycles, supply chain pressures, and rising interest rates, offset by a **$75.3 million** tax credit - The company is facing extended sales cycles due to shifts in market dynamics, regulatory uncertainty, and customer caution regarding natural gas pricing and sustainability targets. Factors like grid interconnection delays, natural gas supply issues, and permitting challenges are impacting customer decision-making[207](index=207&type=chunk)[234](index=234&type=chunk) - Global supply chain tightness, inflation, and geopolitical instability continue to exert pressure. While no significant component shortages have occurred, inflation could increase costs and delay manufacturing if not mitigated[184](index=184&type=chunk) - Rising interest rates have increased financing costs for customers, putting pressure on margins. While the IRA is expected to make the U.S. financing market more robust, the ability to secure necessary financing for 2024 installations remains a key factor[236](index=236&type=chunk) - The company received notification from the IRS of acceptance for a Qualifying Advanced Energy Project Credit of up to **$75.3 million** for its Fremont, California manufacturing facility[214](index=214&type=chunk) [Results of Operations](index=44&type=section&id=Results%20of%20Operations) Q1 2024 revenue decreased **14.5%** to **$235.3 million**, gross margin fell to **16%**, while operating expenses decreased by **$30.9 million** Revenue by Category (in thousands) | Revenue Type | Q1 2024 | Q1 2023 | Change Amount | Change % | | :--- | :--- | :--- | :--- | :--- | | Product | $153,364 | $193,745 | $(40,381) | (20.8)% | | Installation | $11,444 | $20,525 | $(9,081) | (44.2)% | | Service | $56,460 | $40,663 | $15,797 | 38.8% | | Electricity | $14,030 | $20,258 | $(6,228) | (30.7)% | | **Total revenue** | **$235,298** | **$275,191** | **$(39,893)** | **(14.5)%** | Cost of Revenue by Category (in thousands) | Cost of Revenue Type | Q1 2024 | Q1 2023 | Change Amount | Change % | | :--- | :--- | :--- | :--- | :--- | | Product | $115,757 | $129,613 | $(13,856) | (10.7)% | | Installation | $15,353 | $25,100 | $(9,747) | (38.8)% | | Service | $56,506 | $51,244 | $5,262 | 10.3% | | Electricity | $9,606 | $14,967 | $(5,361) | (35.8)% | | **Total cost of revenue** | **$197,222** | **$220,924** | **$(23,702)** | **(10.7)%** | Gross Profit (Loss) and Gross Margin | Category | Q1 2024 Gross Profit (Loss) | Q1 2023 Gross Profit (Loss) | Q1 2024 Gross Margin | Q1 2023 Gross Margin | | :--- | :--- | :--- | :--- | :--- | | Product | $37,607 | $64,132 | 25% | 33% | | Installation | $(3,909) | $(4,575) | (34)% | (22)% | | Service | $(46) | $(10,581) | 0% | (26)% | | Electricity | $4,424 | $5,291 | 32% | 26% | | **Total** | **$38,076** | **$54,267** | **16%** | **20%** | - Total operating expenses decreased by **$30.9 million (26.2%)** YoY, primarily due to a **$19.4 million** decrease in employee compensation and benefits following restructuring efforts in 2023[268](index=268&type=chunk)[334](index=334&type=chunk) [Liquidity and Capital Resources](index=40&type=section&id=Liquidity%20and%20Capital%20Resources) Management expects existing cash and operating cash flows to provide sufficient liquidity for the next 12 months, with improved operating cash flow - Management expects that the combination of cash and cash equivalents (**$516 million** at quarter-end) and expected operating cash flows will be sufficient to meet operational and capital needs for the next 12 months[216](index=216&type=chunk)[74](index=74&type=chunk) Cash Flow Summary (in thousands) | Activity | Three Months Ended March 31, 2024 | Three Months Ended March 31, 2023 | | :--- | :--- | :--- | | Net cash used in operating activities | $(147,266) | $(314,710) | | Net cash used in investing activities | $(21,428) | $(26,574) | | Net cash provided by financing activities | $7,150 | $306,487 | - The decrease in cash used in operating activities was primarily driven by investments made in working capital in the prior year period. In Q1 2024, the company built up inventory in preparation for expected shipments in the second half of the year[246](index=246&type=chunk)[216](index=216&type=chunk) [Critical Accounting Policies and Estimates](index=49&type=section&id=Critical%20Accounting%20Policies%20and%20Estimates) No significant changes occurred in critical accounting policies for Q1 2024, including revenue recognition and asset valuation - There were no significant changes to the company's critical accounting policies and estimates during the three months ended March 31, 2024. Key policies include Revenue Recognition, Valuation of Assets and Liabilities of the SK ecoplant Strategic Investment, Income Taxes, and Principles of Consolidation[321](index=321&type=chunk)[336](index=336&type=chunk) [Item 3 — Quantitative and Qualitative Disclosures About Market Risk](index=44&type=section&id=Item%203%20%E2%80%94%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) No significant changes were reported in quantitative and qualitative disclosures about market risk during Q1 2024 - There were no significant changes to quantitative and qualitative disclosures about market risk during the three months ended March 31, 2024[322](index=322&type=chunk) [Item 4 — Controls and Procedures](index=44&type=section&id=Item%204%20%E2%80%94%20Controls%20and%20Procedures) Management concluded disclosure controls and procedures were effective as of March 31, 2024, with no material changes to internal controls - Based on an evaluation as of March 31, 2024, the Chief Executive Officer and President concluded that the company's disclosure controls and procedures were effective[303](index=303&type=chunk) - There were no changes in internal control over financial reporting during the quarter that have materially affected, or are reasonably likely to materially affect, internal controls[304](index=304&type=chunk) PART II — OTHER INFORMATION [Item 1 — Legal Proceedings](index=45&type=section&id=Item%201%20%E2%80%94%20Legal%20Proceedings) A **$3.0 million IPO class action settlement** was approved, funded by insurers, while arbitration with a former supplier remains ongoing - A class action complaint filed in March 2019 related to the company's IPO was settled for **$3.0 million**, with final approval granted on May 2, 2024. The settlement is expected to be fully funded by insurers[168](index=168&type=chunk)[169](index=169&type=chunk) - The company is in an ongoing arbitration with a former supplier, Plansee SE/Global Tungsten & Powders Corp., regarding patent inventorship and other claims. The arbitration is bifurcated, with the first phase focusing on inventorship and defective product claims, and a potential hearing scheduled for 2025[170](index=170&type=chunk)[171](index=171&type=chunk) [Item 1A — Risk Factors](index=45&type=section&id=Item%201A%20%E2%80%94%20Risk%20Factors) No material changes to risk factors were reported compared to the prior fiscal year's Annual Report on Form 10-K - No material changes in risk factors were reported as compared to the Annual Report on Form 10-K for the fiscal year ended December 31, 2023[327](index=327&type=chunk) [Item 2 — Unregistered Sales of Equity Securities and Use of Proceeds](index=45&type=section&id=Item%202%20%E2%80%94%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No unregistered sales of equity securities were reported during the period - None[305](index=305&type=chunk)[345](index=345&type=chunk) [Item 3 — Defaults Upon Senior Securities](index=45&type=section&id=Item%203%20%E2%80%94%20Defaults%20Upon%20Senior%20Securities) No defaults upon senior securities were reported - None[328](index=328&type=chunk)[345](index=345&type=chunk) [Item 4 — Mine Safety Disclosures](index=45&type=section&id=Item%204%20%E2%80%94%20Mine%20Safety%20Disclosures) This item is not applicable to the company's operations - Not applicable[306](index=306&type=chunk) [Item 5 — Other Information](index=45&type=section&id=Item%205%20%E2%80%94%20Other%20Information) Daniel Berenbaum was appointed new CFO, effective April 29, 2024, and Shawn Soderberg adopted a Rule 10b5-1 trading plan - Daniel Berenbaum was appointed as the new Chief Financial Officer, effective April 29, 2024, succeeding Greg Cameron[338](index=338&type=chunk) - Shawn Soderberg, Chief Legal Officer, adopted a Rule 10b5-1 trading plan on February 29, 2024, for the potential sale of up to **193,344 shares** and shares to cover tax withholdings[328](index=328&type=chunk) [Item 6 — Exhibits](index=46&type=section&id=Item%206%20%E2%80%94%20Exhibits) This section lists exhibits filed with the Form 10-Q, including corporate governance documents, material contracts, and certifications Signatures

Revenue and Financial Performance - Revenue for Q1 2024 was $235.3 million[13] - Revenue for Q1'24 was $235.3 million, a 14.5% decrease compared to $275.2 million in Q1'23[52] - Total revenue for Q1 2024 was $235.3 million, a decrease from $356.9 million in Q4 2023 and $275.2 million in Q1 2023[65] - Q1'24 revenue decreased to $235.3 million, down 34.1% from Q4'23 and 14.5% from Q1'23[82] - Product and service revenue for Q1'24 was $209.8 million, a 10.5% decrease compared to $234.4 million in Q1'23[52] - Related party revenue for Q1 2024 was $122.2 million, compared to $126.2 million in Q4 2023 and $0.8 million in Q1 2023[59] Gross Margin and Profitability - Gross margin for Q1'24 was 16.2%, a decrease of 3.5 percentage points compared to 19.7% in Q1'23[52] - Non-GAAP gross margin for Q1'24 was 17.5%, a decrease of 3.7 percentage points compared to 21.2% in Q1'23[52] - Gross profit for Q1 2024 was $38.1 million, down from $92.4 million in Q4 2023 and $54.3 million in Q1 2023[65] - GAAP gross margin for Q1 2024 was 16.2%, down from 25.9% in Q4 2023 and 19.7% in Q1 2023[78] - Non-GAAP gross margin for Q1 2024 was 17.5%, compared to 27.4% in Q4 2023 and 21.2% in Q1 2023[78] - Gross margin for Q1'24 was 16.2%, a decline from 25.9% in Q4'23 and 19.7% in Q1'23[82] Operating Performance - Operating loss for Q1'24 was $49.0 million, an improvement of $14.7 million compared to $63.7 million in Q1'23[52] - Non-GAAP operating loss for Q1'24 was $30.7 million, an improvement of $3.4 million compared to $34.1 million in Q1'23[52] - Operating loss in Q1'24 was $49.0 million, compared to an operating income of $12.9 million in Q4'23 and a loss of $63.7 million in Q1'23[82] - Operating expenses in Q1'24 were $87.1 million, up 9.6% from Q4'23 but down 26.2% from Q1'23[82] - Total operating expenses for Q1 2024 were $87.1 million, up from $79.5 million in Q4 2023 but down from $117.9 million in Q1 2023[65] - Research and development expenses for Q1 2024 were $35.5 million, up from $33.6 million in Q4 2023 but down from $45.7 million in Q1 2023[65] Net Loss and Earnings - Adjusted Net Loss for Q1 2024 was $(38,432) thousand, compared to $19,421 thousand in Q4 2023 and $(45,445) thousand in Q1 2023[31] - Net loss for Q1 2024 was $56.5 million, compared to a net income of $4.1 million in Q4 2023 and a net loss of $74.9 million in Q1 2023[65] - Net loss to common stockholders in Q1'24 was $57.5 million, compared to a net income of $4.5 million in Q4'23 and a loss of $71.6 million in Q1'23[82] - GAAP EPS, diluted, was $(0.25) in Q1'24, compared to $0.02 in Q4'23 and $(0.35) in Q1'23[82] Cash Flow and Liquidity - Net cash used in operating activities for Q1 2024 was $(147,266) thousand, compared to $121,833 thousand in Q4 2023 and $(314,710) thousand in Q1 2023[5] - Cash and cash equivalents decreased to $515,957 thousand in Q1 2024 from $664,593 thousand in Q1 2023[20] - Net cash provided by financing activities for Q1 2024 was $7,150 thousand, compared to $1,188 thousand in Q4 2023 and $306,487 thousand in Q1 2023[28] Balance Sheet and Assets - Total assets decreased to $2,286,054 thousand in Q1 2024 from $2,413,677 thousand in Q1 2023[20] - Inventories increased to $526,351 thousand in Q1 2024 from $502,515 thousand in Q1 2023[20] - Accounts payable decreased to $94,231 thousand in Q1 2024 from $132,078 thousand in Q1 2023[20] - Deferred revenue and customer deposits decreased to $94,696 thousand in Q1 2024 from $128,922 thousand in Q1 2023[20] - Total stockholders' equity as of March 31, 2024 was $489.2 million, down from $520.7 million as of December 31, 2023[72] - The company has a variable interest entity related to a joint venture in the Republic of Korea, with related party balances of $292.4 million as of March 31, 2024[75] Stock-Based Compensation and Non-GAAP Metrics - Stock-based compensation expense for Q1 2024 was $18,860 thousand, compared to $7,500 thousand in Q4 2023 and $29,553 thousand in Q1 2023[31] - Stock-based compensation expense for Q1'24 was $18.9 million, compared to $7.5 million in Q4'23 and $29.6 million in Q1'23[36] - Adjusted EBITDA for Q1'24 was $(18.2) million, compared to $39.8 million in Q4'23 and $(15.9) million in Q1'23[41] Outlook and Strategic Focus - Bloom Energy reaffirms its 2024 outlook with expected revenue of $1.4 - $1.6 billion and non-GAAP gross margin of ~28%[56] - Non-GAAP operating income for 2024 is projected to be between $75 - $100 million[56] - Bloom Energy's solid oxide platform is transforming distributed generation of electricity and hydrogen, targeting a net-zero future[83] Non-Operating Expenses - Non-operating expenses in Q1'24 were $8.5 million, slightly up from $8.4 million in Q4'23 and $7.9 million in Q1'23[82]

Clean hydrogen could be key to decarbonizing the economy, and Bloom Energy is one company leading the way.Hydrogen is Earth's most abundant chemical element and could be vital in decarbonizing the global economy. Some see hydrogen as the "new oil" and say it could be a key component in helping companies meet carbon reduction goals.Bloom Energy (BE 10.99%) is one company leading the charge. The hydrogen energy company has been working on manufacturing fuel cell and electrolyzer systems that could allow for g ...

There are some multibagger hydrogen stocks that investors should have on their radars.Investing in companies involved in the hydrogen industry could potentially offer significant growth opportunities for investors. The shift towards clean energy and the increasing demand for sustainable solutions are driving factors. These could propel the hydrogen sector forward in the coming years.Hydrogen is a clean-burning fuel that produces only water as a byproduct, making it an attractive alternative to fossil fuels. ...

If even Plug Power can't earn profits from fuel cell hydrogen, what hope is there for Bloom Energy and FuelCell Energy?'Twas the morning after Earth Day, and all through Wall Street, lots of fuel cell stocks were stirring this morning. As of 10:20 a.m. ET, shares of Plug Power (PLUG 5.42%) had risen 8.2%, Bloom Energy (BE 5.63%) was up by 9.3%, and FuelCell Energy (FCEL 10.81%) was doing best of all -- up 11.9%. Considering the calendar, investor interest in renewable energy stocks this week was probably to ...

2023 was a forgettable year for hydrogen stocks and the broader clean energy industry. Geopolitical issues, heightened interest rates, and rampant inflationary pressures were to blame for clean energy’s lackluster showing. Moreover, the Direxion Hydrogen ETF (NYSEARCA:HJEN) lost 20% of its value last year. This indicates the challenges confronted by the market.Nonetheless, hydrogen stocks could become multi-bagger investments for investors with a long-term investing horizon. Hydrogen and other renewable ene ...

The fuel cell provider announced a large partnership with an oil and gas giant for its new hydrogen electrolyzer technology.Shares of Bloom Energy (BE -0.85%) rallied 28.2% in March, according to data from S&P Global Market Intelligence.The fuel cell and electrolyzer manufacturer sold off hard after its fourth-quarter earnings report in February, so the stock was perhaps primed for a rebound on any good news. The announcement of a major collaboration on hydrogen technology with a prominent oil and gas giant ...

One stock that might be an intriguing choice for investors right now is Bloom Energy Corporation (BE) . This is because this security in the Alternative Energy – Other space is seeing solid earnings estimate revision activity, and is in great company from a Zacks Industry Rank perspective.This is important because, often times, a rising tide will lift all boats in an industry, as there can be broad trends taking place in a segment that are boosting securities across the board. This is arguably taking place ...

Hydrogen is vital to advancing cleaner energy sources and lowering carbon emissions. As a much cleaner alternative energy source, the major players interested in zero-carbon transformations and green makeovers are counting on hydrogen power coming into full force.However, hydrogen is difficult and expensive to extract at the scale required for widespread use. That is where these three stocks come in. All three are developing technology and making considerable investments to stay on track for the world’s con ...