Bloom Energy(BE) - 2019 Q1 - Quarterly Report

Financial Performance - Total revenue for Q1 2019 was $200.7 million, a 18.5% increase from $169.4 million in Q1 2018[9] - Product revenue reached $141.7 million, up from $121.3 million year-over-year, representing a 16.8% growth[9] - Gross profit decreased to $15.8 million, down from $43.7 million in the same quarter last year, indicating a decline of 63.8%[9] - Operating expenses surged to $88.4 million, compared to $38.0 million in Q1 2018, reflecting a 132.5% increase[9] - Net loss for the quarter was $88.3 million, compared to a net loss of $22.3 million in Q1 2018, marking an increase in losses of 296.4%[9] - The company reported a comprehensive loss of $86.6 million for Q1 2019, compared to a comprehensive loss of $14.9 million in Q1 2018[11] - Net loss attributable to Class A and Class B common stockholders was $84.4 million, compared to a net loss of $17.7 million in the same period last year[11] Cash and Liquidity - Cash and cash equivalents increased to $320.4 million from $220.7 million at the end of 2018, showing a growth of 45.2%[6] - Cash, cash equivalents, and restricted cash at the end of the period on March 31, 2019, totaled $369,934 thousand, up from $143,592 thousand at the end of the same period in 2018[15] - Net cash used in operating activities for the three months ended March 31, 2019, was $4,170 thousand, a significant improvement from $34,487 thousand used in the same period in 2018[15] - The company reported a net cash provided by investing activities of $95,109 thousand for the three months ended March 31, 2019, compared to $6,536 thousand for the same period in 2018[15] Assets and Liabilities - Total assets decreased to $1.32 billion from $1.39 billion at the end of 2018, a decline of 5.1%[6] - Total current assets decreased to $639.8 million from $672.6 million year-over-year[6] - Total liabilities reduced to $1.25 billion from $1.30 billion in the previous year[7] - Current liabilities slightly decreased to $276.2 million from $279.7 million at the end of 2018, a reduction of 1.8%[6] - The company’s total stockholders' deficit increased to $105,439 thousand as of March 31, 2019, from $91,661 thousand at the end of 2018[13] Research and Development - Research and development expenses rose significantly to $28.9 million, up from $14.7 million in Q1 2018, an increase of 96.5%[9] - The company is focusing on expanding its product offerings and enhancing its market presence through strategic investments in technology and infrastructure[9] Customer and Revenue Sources - Revenue from the Asia Pacific region accounted for 24.0% of total revenue in Q1 2019, up from 17.3% in Q1 2018[24] - Customer A and Customer B represented 58.0% and 12.1% of accounts receivable, respectively, as of March 31, 2019[25] - In Q1 2019, revenue from Customer A, Customer B, and Customer C accounted for 24%, 25%, and 23% of total revenue, respectively[26] Stock and Equity - The company reported a weighted average of 111.8 million shares used to compute net loss per share, compared to 10.4 million shares in Q1 2018[9] - The company had options to purchase 15,054,050 shares of Class B common stock outstanding as of March 31, 2019, with a weighted average exercise price of $25.41 per share[93] - The company had 4,052,804 shares of Class A common stock available for future grant under the 2018 Employee Stock Purchase Plan as of March 31, 2019[93] Debt and Financing - Total debt as of March 31, 2019, was $780,700,000, with a total unused borrowing capacity of $1,220,000[63] - The company reported accrued other current liabilities of $67,966,000 as of March 31, 2019, compared to $69,535,000 as of December 31, 2018[60] - The company issued $100.0 million of 10% senior secured notes due July 2024, with a fixed interest rate of 10% payable semi-annually[68] Legal and Compliance - The company is involved in ongoing legal matters, including class action complaints related to its initial public offering, which may impact its financial condition[110] - The company remains in compliance with all financial covenants as of March 31, 2019, and December 31, 2018[64] Future Outlook - The company aims to raise additional capital to support its long-term business objectives and has successfully completed an IPO in July 2018, raising $282.3 million[19] - The company has incurred operating losses and negative cash flows from operations since inception, indicating a need for continued financing to achieve profitability[19]