Bloom Energy Corporation reported record revenue for the third quarter as the company cut its operating loss.
Its longtime CEO cited artificial intelligence electrical demands on data centers as a plus for the company that makes fuel cells providing back up power.
Bloom, based in San Jose, CA, operates a production site in Newark that employs nearly 800.
Highlights
- Revenue of $400.3 million in the third quarter of 2023, an increase of 36.9% compared to $292.3 million in the third quarter of 2022. Product and service revenue of $352.5 million in the third quarter of 2023, an increase of 40.7% compared to $250.6 million in the third quarter of 2022.
- Gross margin of (1.3%) in the third quarter of 2023, a decrease of 18.7 percentage points compared to 17.4% in the third quarter of 2022.
- Non-GAAP (generally accepted accounting principles) gross margin of 31.6% in the third quarter of 2023, an increase of 12.4 percentage points compared to 19.1% in the third quarter of 2022.
- Operating loss of $103.7 million in the third quarter of 2023, a decrease of $51.1 million.
- Non-GAAP operating profit of $51.8 million in the third quarter of 2023, an improvement of $80.3 million compared to a non-GAAP operating loss of $28.5 million in the third quarter of 2022.
Investors responded favorably to the results, with shares up 8 percent on Thursday. Bloom shares have declined 49% during the past year. Bloom has never made a profit.
“Bloom Energy is executing at a high level on innovation and growth,” said KR Sridhar, founder and CEO of Bloom Energy. “AI adoption across all sectors of our society will become a forcing function for data centers to adopt Bloom energy servers as a quickly deployable primary power solution. The ability to quickly deploy our energy servers together with our CHP solution for data center cooling and carbon capture for sustainability creates a real competitive advantage over virtually all alternatives in the marketplace. We are excited with our results and future prospects.”
Greg Cameron, president and CFO of Bloom Energy, added, “We had a very strong third quarter and are executing across our company. We achieved record third-quarter revenues with expanding margins. We have made significant progress on reducing our costs as we continue to invest and innovate for our future. We are well positioned to meet our 2023 goals.”
Bloom has cut 119 jobs at its California operations during the cost-cutting effort.
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