Bloom Energy (NYSE:BE) Q3 2025 Earnings Call October 28, 2025 05:00 PM ET Company ParticipantsMichael Blum - Managing DirectorDavid Arcaro - Executive Director of Equity ResearchMaheep Mandloi - Director of Equity ResearchMichael Tierney - VP of IRChris Dendrinos - VP of Equity ResearchManav Gupta - Executive DirectorK.R. Sridhar - Founder, Chairman, and CEONick Amicucci - VP of Equity ResearchSherif Elmaghrabi - VP of Equity ResearchColin Rusch - Managing Director and Head of Sustainable Growth and Resourc ...

Bloom Energy (NYSE:BE) Q3 2025 Earnings Call October 28, 2025 05:00 PM ET Company ParticipantsMichael Blum - Managing DirectorDavid Arcaro - Executive Director of Equity ResearchMaheep Mandloi - Director of Equity ResearchMichael Tierney - VP of IRChris Dendrinos - VP of Equity ResearchManav Gupta - Executive DirectorK.R. Sridhar - Founder, Chairman, and CEONick Amicucci - VP of Equity ResearchSherif Elmaghrabi - VP of Equity ResearchColin Rusch - Managing Director and Head of Sustainable Growth and Resourc ...

Financial Data and Key Metrics Changes - Revenue for Q3 2025 was $519 million, up 57% year-over-year [16] - Gross margin increased to 30.4%, a rise of 510 basis points from 25.2% in Q3 2024 [16] - Operating income was $46.2 million compared to $8.1 million in Q3 last year [16] - Adjusted EBITDA reached $59 million, up from $21 million in Q3 2024 [16] - Earnings per share (EPS) was a positive $0.15, compared to a loss of $0.01 a year ago [16] Business Line Data and Key Metrics Changes - Product margins were reported at 35.9%, while service margins were at 14.4% [16] - The service business achieved its second consecutive quarter of double-digit margins [17] Market Data and Key Metrics Changes - Bloom Energy is now competitive in large power-hungry markets such as the Midwest, Mid-Atlantic, Mountain West, and Texas, in addition to historical markets like California and the Northeast [6] - The company is embedded in seven distinct AI ecosystem channels, with strong traction and robust commercial activity [12] Company Strategy and Development Direction - The company aims to double its capacity to 2 gigawatts by December 2026, which is expected to support about four times its 2025 revenue [12] - Bloom Energy is focused on becoming the global standard for onsite power generation, leveraging advancements in product innovation and operational excellence [5][13] - The strategy involves establishing credibility with lighthouse customers in each vertical, then expanding to other tier-one customers [9] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, expecting 2025 to exceed previously stated annual guidance on financial metrics [13] - The company is positioned to benefit from unprecedented market dynamics, particularly in the AI sector [18] - Management highlighted the importance of natural gas as a long-term solution for power generation, especially in international markets facing power shortages [31][32] Other Important Information - The partnership with Brookfield is significant, with Brookfield investing $5 billion and positioning Bloom as the preferred onsite power provider for its AI infrastructure portfolio [29][30] - The company is actively investing in operational talent and capabilities to support its expansion plans [13] Q&A Session Summary Question: Can you discuss the pace of commercial activity and future agreements? - Management noted that commercial momentum is accelerating across all segments, not just AI, with larger deals involving more complex negotiations [21] Question: How does Bloom Energy compare to emerging technologies in the data center space? - Management emphasized that Bloom's technology is purpose-built for data centers, offering significant advantages over traditional solutions, including lower emissions and faster deployment [22][23] Question: Can you elaborate on the Brookfield partnership and its financial implications? - The partnership is crucial, with Brookfield recommending Bloom to its portfolio companies and planning to finance Bloom-sourced deals [29][30] Question: How will regulatory changes impact Bloom Energy? - Management expressed optimism that expedited regulatory processes for data center connections will benefit Bloom by allowing faster deployment of their systems [35][36] Question: What is the outlook for capacity expansion and utilization? - Management indicated that they are prepared to expand capacity as needed and will not be a bottleneck for customer growth [50][51] Question: Can you provide guidance on margins as capacity increases? - Management suggested waiting for the next quarterly guidance but indicated a history of double-digit cost reductions and disciplined operational practices [58] Question: What is the status of the CFO search? - The CFO search is ongoing, with a sense of urgency but no rush to fill the position [66]

Financial Performance - Total revenue for the three months ended September 30, 2025, was $519.048 million, a 57% increase from $330.399 million in the same period of 2024[14] - Product revenue reached $384.314 million for the three months ended September 30, 2025, compared to $233.770 million in the prior year, reflecting a 64% growth[14] - Gross profit for the three months ended September 30, 2025, was $151.675 million, up from $78.734 million in the same quarter of 2024, indicating a significant improvement in profitability[14] - The comprehensive loss attributable to common stockholders for the three months ended September 30, 2025, was $23.47 million, compared to $14.23 million for the same period in 2024, indicating a 64.9% increase[18] - The total comprehensive loss for the three months ended September 30, 2025, was $23.91 million, compared to $13.48 million for the same period in 2024, indicating a 77.5% increase[16] - For the three months ended September 30, 2025, Bloom Energy Corporation reported a net loss of $22.96 million, compared to a net loss of $14.63 million for the same period in 2024, representing a 56.0% increase in losses year-over-year[16] Cash and Liquidity - Cash and cash equivalents decreased to $595.055 million as of September 30, 2025, from $802.851 million as of December 31, 2024[11] - The company ended the period with cash, cash equivalents, and restricted cash totaling $627.015 million, an increase from $549.151 million at the end of the same period in 2024[24] - As of September 30, 2025, the company had unrestricted cash and cash equivalents of $595.1 million, down from $802.9 million as of December 31, 2024[193] Liabilities and Debt - Total current liabilities decreased to $465.951 million as of September 30, 2025, from $636.758 million as of December 31, 2024, showing improved financial stability[11] - Total outstanding recourse and non-recourse debt as of September 30, 2025, was $1.128 billion and $4.3 million, respectively, with $1.4 million classified as short-term debt and $1.1309 billion as long-term debt[30] - The company recorded a $32.3 million loss on early extinguishment of debt due to the exchange of $112.8 million in 2.5% Green Notes for $115.7 million in 3.0% Green Notes[31] - As of September 30, 2025, total debt amounted to $1,154,998 thousand, with recourse debt at $1,150,725 thousand and non-recourse debt at $4,273 thousand[86] Equity and Stock - The company reported a total equity attributable to common stockholders of $653.070 million as of September 30, 2025, up from $562.471 million at the end of 2024[11] - The total equity attributable to common stockholders increased to $653.07 million as of September 30, 2025, up from $430.94 million as of September 30, 2024, reflecting a growth of 51.5%[19] - The total number of shares available for grant under stock plans increased to 41,853,133 as of September 30, 2025, from 35,263,475 at the end of 2024[129] Research and Development - Research and development expenses for the three months ended September 30, 2025, were $48.724 million, an increase from $36.315 million in the same period of 2024, highlighting ongoing investment in innovation[14] Customer and Revenue Concentration - One related party customer accounted for approximately 55% of total revenue for the three months ended September 30, 2025, while three customers accounted for 23%, 19%, and 15% of total revenue for the nine months ended September 30, 2025[41] - The portion of total revenue from direct purchases (including third-party PPAs and international channels) was 98% for the three months ended September 30, 2025, compared to 94% for the same period in 2024[207] Market and Operational Insights - Bloom Energy has deployed over 1.5 gigawatts of low-carbon power across more than 1,200 sites globally[164] - The company anticipates increased customer interest in its power solutions due to rising electricity rates and energy security concerns[165] - The ongoing geopolitical stresses have raised concerns regarding natural gas supply and pricing, impacting customer buying decisions[165] - Demand for power is significantly outpacing available grid-based generation supply, with nearly 2,300 gigawatts (GW) of generation and storage capacity seeking grid connection by the end of 2024, almost double the current installed capacity[170] Future Outlook and Challenges - The expiration of the ITC for fuel cells operating on non-zero-carbon fuels on December 31, 2024, may impact future project economics[176] - Supply chain constraints and trade tariff uncertainties are expected to adversely impact gross margin by approximately 1% for the fiscal year 2025[184] - The company is facing challenges in hiring and retention, which may impact manufacturing capabilities despite recent improvements[189] Stock-Based Compensation - Stock-based compensation expense for the three months ended September 30, 2025, was $37.37 million, compared to $17.78 million for the same period in 2024, representing a 109.1% increase[18] - The intrinsic value of stock options exercised during the three months ended September 30, 2025, was $26.8 million, significantly higher than $0.1 million in the same period of 2024[119] Tax Provisions - For the three months ended September 30, 2025, the company recorded an income tax provision of $0.3 million on a pre-tax loss of $22.6 million, resulting in an effective tax rate of (1.5)%[157] - The effective tax rate for the nine months ended September 30, 2025, was (2.1)% on a pre-tax loss of $86.8 million, compared to (0.4)% for the same period in 2024[157]

Q3'25 Earnings October 28, 2025 Forward-looking statements and non-GAAP financial measures This presentation contains certain forward-looking statements relating to future events and expectations, including our expectations regarding our estimates and projections for our business outlook for the 2025 fiscal year, each of which is based on current expectations, estimates, and projections about our industry, management's beliefs, and certain assumptions made by management based on information currently availa ...

Bloom Energy Reports Third Quarter 2025 Financial Results • Fourth straight quarter of quarterly record revenue • 2 consecutive quarter of double-digit non-GAAP profit margin % in services segment • Commercial Progress Continuing to Accelerate nd SAN JOSE, Calif., October 28, 2025 — Bloom Energy Corporation (NYSE: BE) reported today its financial results for the third quarter ended September 30, 2025. The company reported revenue of $519.0 million for the third quarter of 2025. Third Quarter Highlights KR S ...

Fuel cell power stock Bloom Energy Inc (NYSE:BE) is moving lower ahead of its third-quarter earnings report, due out after the close tomorrow, October 28. The shares were last seen down 3.3% to trade at $106.69 today, earlier dropping as low as $103 and continuing a trend of outsized moves since the start of October. On the charts, BE is back above its post bear-gap level from earlier in the month, though off roughly 19% from its Oct. 15 record high of $125.75. With close support at the 30-day moving averag ...

Key Takeaways Bloom Energy will report Q3 2025 results on Oct. 28, with EPS expected at 8 cents on $412.4M revenues.Q3 projections show 900% EPS growth and a 24.81% revenue increase from the year-ago period.BE's shares surged 217.4% in three months, outpacing the Alternative Energy-Other industry's 6.4%.Bloom Energy (BE) is scheduled to release third-quarter 2025 results on Oct. 28, after market close. The Zacks Consensus Estimate for earnings is currently pegged at 8 cents per share on revenues of $412.4 m ...

Core Insights - Bloom Energy Corporation (NYSE:BE) is gaining attention as a trending AI stock, with a price target raised to $26.00 from $24.00 by BofA Securities while maintaining an Underperform rating [1] - The company has formed a partnership with Brookfield, positioning itself as the preferred onsite-power provider for grid-constrained data centers, estimated at 1.8GW based on BofA's forward pricing [2][3] Company Positioning - The partnership with Brookfield, valued at up to $5 billion, reinforces Bloom's role in the AI-driven power resiliency sector, although it is currently an early-stage memorandum and not a contracted backlog [3] - Previous Brookfield data-center programs indicate a long rollout horizon, with $20 billion allocated for 1GW in France by 2030 and $10 billion for 750MW in Sweden over 10-15 years [3] Market Reaction - The stock has seen a 33% rally, adding approximately $6.6 billion in market capitalization, suggesting that investors are treating the partnership as an executable backlog [3] - The market is valuing the potential earnings stream from Brookfield at 33-66 times EBITDA, compared to Bloom's average of around 14 times over five years [3]

Core Viewpoint - Speculative trading has significantly influenced market volatility in October, affecting various asset classes, including traditionally stable sectors like energy and precious metals [1][2]. Energy Sector Analysis - Five breakout energy sector stocks are currently showing strong upward momentum, with scores of at least 98 on the Benzinga Edge Momentum scale [2]. - Oklo Inc. (NASDAQ:OKLO) has a momentum score of 99.38, despite reporting no profits and a wider-than-expected loss of 18 cents per share in Q2 2025. The stock has increased over 90% in the last three months, supported by a partnership with the U.S. Department of Energy [3][5]. - Energy Fuels Inc. (NASDAQ:UUUU) has a momentum score of 98.45 and has seen its stock rise over 300% year-to-date. However, it reported revenue more than 60% below expectations in Q2 2025 [6][8]. - Bloom Energy Corp. (NYSE:BE) has a momentum score of 99.67 and reported $1.6 billion in annual sales, with positive earnings of $0.10 EPS in Q2 2025. The stock surged due to a partnership with Brookfield Renewable Partners [9][11]. - Centrus Energy Corp. (NYSE:LEU) has a momentum score of 98.93 and reported over $430 million in sales last year, with its stock up more than 350% year-to-date. Despite a recent pullback, the long-term trend remains strong [12][13][15]. - Amprius Technologies Inc. (NYSE:AMPX) has a momentum score of 99.39 and reported $24 million in sales in 2024. The stock is up over 300% year-to-date, although it has seen a 5% decline in October [16][18].