Bloom Energy Reports Record Revenue in Third Quarter 2023 Financial Results
SAN JOSE, Calif.–(BUSINESS WIRE)–Bloom Energy Corporation (NYSE: BE) reported today its total revenue for the third quarter ended September 30, 2023, grew 37% compared with the third quarter of 2022. The record revenue for the quarter was driven by continued growth in Product and Service revenue.
Third Quarter 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 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 compared to $52.6 million in the third quarter of 2022.
- 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.
“Bloom Energy is executing at a high level on innovation and growth,” said KR Sridhar, Chairman 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.”
Summary of Key Financial Metrics
Preliminary Summary of GAAP Profit and Loss Statements
|
($000), except EPS data |
Q3’23 |
Q2’23 |
Q3’22 |
Q3’23 YTD |
Q3’22 YTD |
||||||||||
|
Revenue |
|
400,268 |
|
|
301,095 |
|
|
292,274 |
|
|
976,554 |
|
|
736,549 |
|
|
Cost of Revenue |
|
405,482 |
|
|
244,745 |
|
|
241,330 |
|
|
871,151 |
|
|
659,638 |
|
|
Gross (Loss) Profit |
|
(5,214 |
) |
|
56,350 |
|
|
50,944 |
|
|
105,403 |
|
|
76,911 |
|
|
Gross Margin |
|
(1.3 |
%) |
|
18.7 |
% |
|
17.4 |
% |
|
10.8 |
% |
|
10.4 |
% |
|
Operating Expenses |
|
98,494 |
|
|
110,806 |
|
|
103,536 |
|
|
327,248 |
|
|
297,335 |
|
|
Operating Loss |
|
(103,708 |
) |
|
(54,456 |
) |
|
(52,592 |
) |
|
(221,845 |
) |
|
(220,424 |
) |
|
Operating Margin |
|
(25.9 |
%) |
|
(18.1 |
%) |
|
(18.0 |
%) |
|
(22.7 |
%) |
|
(29.9 |
%) |
|
Non-operating Expenses |
|
65,291 |
|
|
11,607 |
|
|
4,485 |
|
|
84,782 |
|
|
33,812 |
|
|
Net Loss to Common Stockholders |
|
(168,999 |
) |
|
(66,061 |
) |
|
(57,077 |
) |
|
(306,627 |
) |
|
(254,236 |
) |
|
GAAP EPS, Basic and Diluted |
$ |
(0.80 |
) |
$ |
(0.32 |
) |
$ |
(0.31 |
) |
$ |
(1.47 |
) |
$ |
(1.41 |
) |
Preliminary Summary of Non-GAAP Financial Information1
|
($000), except EPS data |
Q3’23 |
Q2’23 |
Q3’22 |
Q3’23 YTD |
Q3’22 YTD |
||||||||||
|
Revenue |
|
400,268 |
|
|
301,095 |
|
|
292,274 |
|
|
976,554 |
|
|
736,549 |
|
|
Cost of Revenue |
|
273,888 |
|
|
239,678 |
|
|
236,349 |
|
|
730,329 |
|
|
556,430 |
|
|
Gross Profit |
|
126,380 |
|
|
61,418 |
|
|
55,925 |
|
|
246,225 |
|
|
180,119 |
|
|
Gross Margin |
|
31.6 |
% |
|
20.4 |
% |
|
19.1 |
% |
|
25.2 |
% |
|
24.5 |
% |
|
Operating Expenses |
|
74,580 |
|
|
87,357 |
|
|
84,449 |
|
|
254,457 |
|
|
272,620 |
|
|
Operating Income (Loss) |
|
51,800 |
|
|
(25,940 |
) |
|
(28,524 |
) |
|
(8,232 |
) |
|
(92,501 |
) |
|
Operating Margin |
|
12.9 |
% |
|
(8.6 |
%) |
|
(9.8 |
%) |
|
(0.8 |
%) |
|
(12.6 |
%) |
|
Adjusted EBITDA |
|
66,415 |
|
|
(8,421 |
) |
|
(13,076 |
) |
|
42,051 |
|
|
(46,320 |
) |
|
Basic EPS |
$ |
0.20 |
|
$ |
(0.17 |
) |
$ |
(0.20 |
) |
$ |
(0.19 |
) |
$ |
(0.72 |
) |
|
Diluted EPS |
$ |
0.15 |
|
$ |
(0.17 |
) |
$ |
(0.20 |
) |
$ |
(0.19 |
) |
$ |
(0.72 |
) |
- A detailed reconciliation of GAAP to Non-GAAP financial measures is provided at the end of this press release
Outlook
Bloom reaffirms outlook for the full-year 2023:
|
• |
Revenue, billion: |
|
$1.4 – $1.5 |
||
|
• |
Product & Service Revenue, billion: |
|
$1.25 – $1.35 |
||
|
• |
Non-GAAP Gross Margin: |
|
~25% |
||
|
• |
Non-GAAP Operating Margin: |
|
Positive |
||
Conference Call Details
Bloom will host a conference call today, November 8, 2023, at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) to discuss its financial results. To participate in the live call, analysts and investors may call toll-free dial-in number: +1 (888) 330-2443 and toll-dial-in-number +1 (240) 789-2728. The conference ID is 4781037. A simultaneous live webcast will also be available under the Investor Relations section on our website at https://investor.bloomenergy.com/. Following the webcast, an archived version will be available on Bloom’s website for one year. A telephonic replay of the conference call will be available for one week following the call, by dialing +1 (800) 770-2030 or +1 (647) 362 9199 and entering passcode 4781037.
Use of Non-GAAP Financial Measures
This release includes certain non-GAAP financial measures as defined by the rules and regulations of the Securities and Exchange Commission (SEC). These non-GAAP financial measures are in addition to, and not a substitute for or superior to, measures of financial performance prepared in accordance with U.S. GAAP. There are a number of limitations related to the use of these non-GAAP financial measures versus their nearest GAAP equivalents. For example, other companies may calculate non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of our non-GAAP financial measures as tools for comparison. Bloom urges you to review the reconciliations of its non-GAAP financial measures to the most directly comparable U.S. GAAP financial measures set forth in this press release, and not to rely on any single financial measure to evaluate our business. With respect to Bloom’s expectations regarding its 2023 Outlook, Bloom is not able to provide a quantitative reconciliation of non-GAAP gross margin and non-GAAP operating margin measures to the corresponding GAAP measures without unreasonable efforts due to the uncertainty regarding, and the potential variability of, reconciling items such as stock-based compensation expense. Material changes to reconciling items could have a significant effect on future GAAP results and, as such, we believe that any reconciliation provided would imply a degree of precision that could be confusing or misleading to investors.
About Bloom Energy
Bloom Energy empowers businesses and communities to responsibly take charge of their energy. The company’s leading solid oxide platform for distributed generation of electricity and hydrogen is changing the future of energy. Fortune 100 companies turn to Bloom Energy as a trusted partner to deliver lower carbon energy today and a net-zero future. For more information, visit www.bloomenergy.com.
Forward-Looking Statements
This press release 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,” “expect,” “intend,” “may,” “should,” “will” and “would” or the negative of these words or similar terms or expressions that concern Bloom’s expectations, strategy, priorities, plans or intentions. These forward-looking statements include, but are not limited to, Bloom’s expectations regarding: innovation and solutions; customer reaction to Bloom’s products; Bloom’s liquidity position; market demand for energy solutions; and Bloom’s 2023 outlook for revenue and profitability. Readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual future events or results due to a variety of factors including, but not limited to: Bloom’s limited operating history; the emerging nature of the distributed generation market and rapidly evolving market trends; the significant losses Bloom has incurred in the past; the significant upfront costs of Bloom’s Energy Servers and Bloom’s ability to secure financing for its products; Bloom’s ability to drive cost reductions and to successfully mitigate against potential price increases; Bloom’s ability to service its existing debt obligations; Bloom’s ability to be successful in new markets; the ability of the Bloom Energy Server to operate on the fuel source a customer will want; the success of the strategic partnership with SK ecoplant in the United States and international markets; timing and development of an ecosystem for the hydrogen market, including in the South Korean market; continued incentives in the South Korean market; adapting to the new government bidding process in the South Korean market; the timing and pace of adoption of hydrogen for stationary power; the risk of manufacturing defects; the accuracy of Bloom’s estimates regarding the useful life of its Energy Servers; delays in the development and introduction of new products or updates to existing products; Bloom’s ability to secure partners in order to commercialize its electrolyzer and carbon capture products; supply constraints; the availability of rebates, tax credits and other tax benefits; changes in the regulatory landscape; Bloom’s reliance on tax equity financing arrangements; Bloom’s reliance upon a limited number of customers; Bloom’s lengthy sales and installation cycle, construction, utility interconnection and other delays and cost overruns related to the installation of its Energy Servers; business and economic conditions and growth trends in commercial and industrial energy markets; global macroeconomic conditions, including rising interest rates, recession fears and inflationary pressures, or geopolitical events or conflicts; overall electricity generation market; Bloom’s ability to protect its intellectual property; and other risks and uncertainties detailed in Bloom’s SEC filings from time to time. More information on potential factors that may impact Bloom’s business are set forth in Bloom’s periodic reports filed with the SEC, including our Annual Report on Form 10-K for the year ended December 31, 2022 as filed with the SEC on February 21, 2023 and our Quarterly Reports on Form 10-Q for the quarters ended March 31, 2023, June 30, 2023, and September 30, 2023, as filed with the SEC on May 9, 2023, August 3, 2023, and November 8, 2023, respectively, as well as subsequent reports filed with or furnished to the SEC from time to time. These reports are available on Bloom’s website at www.bloomenergy.com and the SEC’s website at www.sec.gov. Bloom assumes no obligation to, and does not currently intend to, update any such forward-looking statements.
The Investor Relations section of Bloom’s website at investor.bloomenergy.com contains a significant amount of information about Bloom Energy, including financial and other information for investors. Bloom encourages investors to visit this website from time to time, as information is updated and new information is posted.
|
Condensed Consolidated Balance Sheets (preliminary & unaudited) (in thousands, except share data) |
||||||||
|
|
|
September 30, |
|
December 31, |
||||
|
|
|
2023 |
|
2022 |
||||
|
Assets |
|
|
|
|
||||
|
Current assets: |
|
|
|
|
||||
|
Cash and cash equivalents1 |
|
$ |
557,384 |
|
|
$ |
348,498 |
|
|
Restricted cash1 |
|
|
42,614 |
|
|
|
51,515 |
|
|
Accounts receivable less allowance for doubtful accounts of $119 as of September 30, 2023 and December 31, 20221, 2 |
|
|
334,495 |
|
|
|
250,995 |
|
|
Contract assets3 |
|
|
143,875 |
|
|
|
46,727 |
|
|
Inventories1 |
|
|
475,649 |
|
|
|
268,394 |
|
|
Deferred cost of revenue4 |
|
|
62,212 |
|
|
|
46,191 |
|
|
Prepaid expenses and other current assets1 |
|
|
66,243 |
|
|
|
43,643 |
|
|
Total current assets |
|
|
1,682,472 |
|
|
|
1,055,963 |
|
|
Property, plant and equipment, net1 |
|
|
490,535 |
|
|
|
600,414 |
|
|
Operating lease right-of-use assets1 |
|
|
127,973 |
|
|
|
126,955 |
|
|
Restricted cash1 |
|
|
37,698 |
|
|
|
118,353 |
|
|
Deferred cost of revenue |
|
|
4,286 |
|
|
|
4,737 |
|
|
Other long-term assets1 |
|
|
33,208 |
|
|
|
40,205 |
|
|
Total assets |
|
$ |
2,376,172 |
|
|
$ |
1,946,627 |
|
|
Liabilities and stockholders’ equity |
|
|
|
|
||||
|
Current liabilities: |
|
|
|
|
||||
|
Accounts payable1 |
|
$ |
153,793 |
|
|
$ |
161,770 |
|
|
Accrued warranty |
|
|
16,537 |
|
|
|
17,332 |
|
|
Accrued expenses and other current liabilities1, 5 |
|
|
116,480 |
|
|
|
144,183 |
|
|
Deferred revenue and customer deposits1, 6 |
|
|
119,157 |
|
|
|
159,048 |
|
|
Operating lease liabilities1 |
|
|
16,666 |
|
|
|
16,227 |
|
|
Financing obligations |
|
|
39,093 |
|
|
|
17,363 |
|
|
Recourse debt |
|
|
— |
|
|
|
12,716 |
|
|
Non-recourse debt1 |
|
|
— |
|
|
|
13,307 |
|
|
Total current liabilities |
|
|
461,726 |
|
|
|
541,946 |
|
|
Deferred revenue and customer deposits1 |
|
|
14,499 |
|
|
|
56,392 |
|
|
Operating lease liabilities1 |
|
|
133,602 |
|
|
|
132,363 |
|
|
Financing obligations |
|
|
410,365 |
|
|
|
442,063 |
|
|
Recourse debt |
|
|
840,492 |
|
|
|
273,076 |
|
|
Non-recourse debt1 |
|
|
1,483 |
|
|
|
112,480 |
|
|
Other long-term liabilities |
|
|
8,805 |
|
|
|
9,491 |
|
|
Total liabilities |
|
$ |
1,870,972 |
|
|
$ |
1,567,811 |
|
|
Commitments and contingencies |
|
|
|
|
||||
|
Stockholders’ equity: |
|
|
|
|
||||
|
Common stock: $0.0001 par value; Class A shares – 600,000,000 shares authorized and 223,860,870 shares and 189,864,722 shares issued and outstanding and Class B shares – 600,000,000 shares authorized and 0 shares and 15,799,968 shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively |
|
|
21 |
|
|
|
20 |
|
|
Additional paid-in capital |
|
|
4,360,080 |
|
|
|
3,906,491 |
|
|
Accumulated other comprehensive loss |
|
|
(2,378 |
) |
|
|
(1,251 |
) |
|
Accumulated deficit |
|
|
(3,871,110 |
) |
|
|
(3,564,483 |
) |
|
Total equity attributable to common stockholders |
|
|
486,613 |
|
|
|
340,777 |
|
|
Noncontrolling interest |
|
|
18,587 |
|
|
|
38,039 |
|
|
Total stockholders’ equity |
|
$ |
505,200 |
|
|
$ |
378,816 |
|
|
Total liabilities and stockholders’ equity |
|
$ |
2,376,172 |
|
|
$ |
1,946,627 |
|
|
1 |
We have a variable interest entity related to PPA V and a joint venture in the Republic of Korea, which represent a portion of the consolidated balances recorded within these financial statement line items. |
|||
|
In August 2023, we sold the PPA V entity as a result of the PPA V Repowering of Energy Servers, as such the consolidated balances recorded within these financial statement line items as of September 30, 2023 exclude PPA V balances. |
||||
|
2 |
Including amounts from related parties of $247.9 million and $4.3 million as of September 30, 2023 and December 31, 2022, respectively. |
|||
|
3 |
Including amounts from related parties of $3.4 million as of September 30, 2023. There was no respective related party amounts as of December 31, 2022. |
|||
|
4 |
Including amounts from related parties of $23.4 million as of September 30, 2023. There was no respective related party amounts as of December 31, 2022. |
|||
|
5 |
Including amounts from related parties of $5.7 million as of September 30, 2023. There was no respective related party amounts as of December 31, 2022. |
|||
|
6 |
Including amounts from related parties of $11.1 million as of September 30, 2023. There was no respective related party amounts as of December 31, 2022. |
|||
|
Condensed Consolidated Statements of Operations (preliminary & unaudited) (in thousands, except net loss per share data) |
||||||||||||||||
|
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||
|
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
|
Revenue: |
|
|
|
|
|
|
|
|
||||||||
|
Product |
|
$ |
304,976 |
|
|
$ |
213,243 |
|
|
$ |
713,427 |
|
|
$ |
520,415 |
|
|
Installation |
|
|
21,916 |
|
|
|
22,682 |
|
|
|
66,762 |
|
|
|
48,964 |
|
|
Service |
|
|
47,535 |
|
|
|
37,347 |
|
|
|
130,496 |
|
|
|
111,012 |
|
|
Electricity |
|
|
25,841 |
|
|
|
19,002 |
|
|
|
65,869 |
|
|
|
56,158 |
|
|
Total revenue1 |
|
|
400,268 |
|
|
|
292,274 |
|
|
|
976,554 |
|
|
|
736,549 |
|
|
Cost of revenue: |
|
|
|
|
|
|
|
|
||||||||
|
Product |
|
|
182,832 |
|
|
|
158,176 |
|
|
|
457,591 |
|
|
|
393,337 |
|
|
Installation |
|
|
25,902 |
|
|
|
28,333 |
|
|
|
77,881 |
|
|
|
57,836 |
|
|
Service |
|
|
57,370 |
|
|
|
41,792 |
|
|
|
165,877 |
|
|
|
124,646 |
|
|
Electricity |
|
|
139,378 |
|
|
|
13,029 |
|
|
|
169,802 |
|
|
|
83,819 |
|
|
Total cost of revenue |
|
|
405,482 |
|
|
|
241,330 |
|
|
|
871,151 |
|
|
|
659,638 |
|
|
Gross (loss) profit |
|
|
(5,214 |
) |
|
|
50,944 |
|
|
|
105,403 |
|
|
|
76,911 |
|
|
Operating expenses: |
|
|
|
|
|
|
|
|
||||||||
|
Research and development |
|
|
35,126 |
|
|
|
36,146 |
|
|
|
122,309 |
|
|
|
112,286 |
|
|
Sales and marketing |
|
|
20,002 |
|
|
|
23,275 |
|
|
|
73,935 |
|
|
|
65,084 |
|
|
General and administrative |
|
|
43,366 |
|
|
|
44,115 |
|
|
|
131,004 |
|
|
|
119,965 |
|
|
Total operating expenses |
|
|
98,494 |
|
|
|
103,536 |
|
|
|
327,248 |
|
|
|
297,335 |
|
|
Loss from operations |
|
|
(103,708 |
) |
|
|
(52,592 |
) |
|
|
(221,845 |
) |
|
|
(220,424 |
) |
|
Interest income |
|
|
7,419 |
|
|
|
1,109 |
|
|
|
13,771 |
|
|
|
1,364 |
|
|
Interest expense |
|
|
(68,037 |
) |
|
|
(13,099 |
) |
|
|
(93,736 |
) |
|
|
(41,000 |
) |
|
Other (expense) income, net |
|
|
(1,577 |
) |
|
|
4,472 |
|
|
|
(3,660 |
) |
|
|
254 |
|
|
Loss on extinguishment of debt |
|
|
(1,415 |
) |
|
|
— |
|
|
|
(4,288 |
) |
|
|
(4,233 |
) |
|
(Loss) gain on revaluation of embedded derivatives |
|
|
(114 |
) |
|
|
54 |
|
|
|
(1,213 |
) |
|
|
623 |
|
|
Loss before income taxes |
|
|
(167,432 |
) |
|
|
(60,056 |
) |
|
|
(310,971 |
) |
|
|
(263,416 |
) |
|
Income tax provision |
|
|
646 |
|
|
|
336 |
|
|
|
1,083 |
|
|
|
888 |
|
|
Net loss |
|
|
(168,078 |
) |
|
|
(60,392 |
) |
|
|
(312,054 |
) |
|
|
(264,304 |
) |
|
Less: Net gain (loss) attributable to noncontrolling interest |
|
|
921 |
|
|
|
(3,315 |
) |
|
|
(5,427 |
) |
|
|
(9,768 |
) |
|
Net loss attributable to common stockholders |
|
|
(168,999 |
) |
|
|
(57,077 |
) |
|
|
(306,627 |
) |
|
|
(254,536 |
) |
|
Less: Net loss attributable to redeemable noncontrolling interest |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(300 |
) |
|
Net loss before portion attributable to redeemable noncontrolling interest and noncontrolling interest |
|
$ |
(168,999 |
) |
|
$ |
(57,077 |
) |
|
$ |
(306,627 |
) |
|
$ |
(254,236 |
) |
|
Net loss per share available to common stockholders, basic and diluted |
|
$ |
(0.80 |
) |
|
$ |
(0.31 |
) |
|
$ |
(1.47 |
) |
|
$ |
(1.41 |
) |
|
Weighted average shares used to compute net loss per share available to common stockholders, basic and diluted |
|
|
210,930 |
|
|
|
186,487 |
|
|
|
208,798 |
|
|
|
180,762 |
|
|
1 |
Including related party revenue of $125.7 million and $361.0 million for the three and nine months ended September 30, 2023, respectively and $12.5 million and $30.2 million for the three and nine months ended September 30, 2022, respectively. |
|||||
|
Condensed Consolidated Statement of Cash Flows (preliminary & unaudited) (in thousands) |
||||||||||||||||
|
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||
|
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
|
||||||||
|
Net loss |
|
$ |
(168,078 |
) |
|
$ |
(60,392 |
) |
|
$ |
(312,054 |
) |
|
$ |
(264,304 |
) |
|
Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
|
|
|
|
|
|
||||||||
|
Depreciation and amortization |
|
|
14,615 |
|
|
|
15,485 |
|
|
|
50,283 |
|
|
|
46,182 |
|
|
Non-cash lease expense |
|
|
8,356 |
|
|
|
9,353 |
|
|
|
24,540 |
|
|
|
18,153 |
|
|
(Loss) gain on disposal of property, plant and equipment |
|
|
(19 |
) |
|
|
— |
|
|
|
177 |
|
|
|
(523 |
) |
|
Revaluation of derivative contracts |
|
|
114 |
|
|
|
(11,320 |
) |
|
|
1,213 |
|
|
|
(9,640 |
) |
|
Impairment of assets related to PPA V and PPA IIIa |
|
|
130,111 |
|
|
|
— |
|
|
|
130,111 |
|
|
|
44,800 |
|
|
Derecognition of loan commitment asset related to SK ecoplant Second Tranche Closing |
|
|
52,792 |
|
|
|
— |
|
|
|
52,792 |
|
|
|
— |
|
|
Stock-based compensation |
|
|
21,315 |
|
|
|
23,686 |
|
|
|
77,160 |
|
|
|
81,460 |
|
|
Amortization of warrants and debt issuance costs |
|
|
1,514 |
|
|
|
704 |
|
|
|
3,300 |
|
|
|
2,355 |
|
|
Loss on extinguishment of debt |
|
|
1,415 |
|
|
|
— |
|
|
|
4,288 |
|
|
|
4,233 |
|
|
Unrealized foreign currency exchange loss |
|
|
1,517 |
|
|
|
810 |
|
|
|
3,029 |
|
|
|
3,086 |
|
|
Other |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,487 |
|
|
Changes in operating assets and liabilities: |
|
|
|
|
|
|
|
|
||||||||
|
Accounts receivable1 |
|
|
16,100 |
|
|
|
6,820 |
|
|
|
(83,851 |
) |
|
|
15,758 |
|
|
Contract assets2 |
|
|
(108,692 |
) |
|
|
7,606 |
|
|
|
(97,148 |
) |
|
|
(567 |
) |
|
Inventories |
|
|
(8,969 |
) |
|
|
(47,973 |
) |
|
|
(206,315 |
) |
|
|
(110,797 |
) |
|
Deferred cost of revenue3 |
|
|
(8,370 |
) |
|
|
139 |
|
|
|
(15,914 |
) |
|
|
(8,856 |
) |
|
Customer financing receivable |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2,510 |
|
|
Prepaid expenses and other current assets |
|
|
(22,807 |
) |
|
|
(9,953 |
) |
|
|
(20,849 |
) |
|
|
(15,766 |
) |
|
Other long-term assets |
|
|
10,219 |
|
|
|
(730 |
) |
|
|
13,634 |
|
|
|
(730 |
) |
|
Operating lease right-of-use assets and operating lease liabilities |
|
|
(8,432 |
) |
|
|
(260 |
) |
|
|
(23,879 |
) |
|
|
2,162 |
|
|
Finance lease liabilities |
|
|
171 |
|
|
|
451 |
|
|
|
907 |
|
|
|
499 |
|
|
Accounts payable |
|
|
(41,589 |
) |
|
|
(11,943 |
) |
|
|
(5,695 |
) |
|
|
38,642 |
|
|
Accrued warranty |
|
|
1,631 |
|
|
|
1,597 |
|
|
|
(795 |
) |
|
|
1,597 |
|
|
Accrued expenses and other current liabilities4 |
|
|
4,782 |
|
|
|
18,519 |
|
|
|
(30,937 |
) |
|
|
502 |
|
|
Deferred revenue and customer deposits5 |
|
|
(30,275 |
) |
|
|
(2,558 |
) |
|
|
(57,041 |
) |
|
|
(12,716 |
) |
|
Other long-term liabilities |
|
|
(590 |
) |
|
|
(9,980 |
) |
|
|
(1,320 |
) |
|
|
(9,980 |
) |
|
Net cash used in operating activities |
|
|
(133,169 |
) |
|
|
(69,939 |
) |
|
|
(494,364 |
) |
|
|
(168,453 |
) |
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
|
||||||||
|
Purchase of property, plant and equipment |
|
|
(21,335 |
) |
|
|
(36,179 |
) |
|
|
(67,485 |
) |
|
|
(80,907 |
) |
|
Proceeds from sale of property, plant and equipment |
|
|
(22 |
) |
|
|
— |
|
|
|
3 |
|
|
|
— |
|
|
Net cash used in investing activities |
|
|
(21,357 |
) |
|
|
(36,179 |
) |
|
|
(67,482 |
) |
|
|
(80,907 |
) |
|
Cash flows from financing activities: |
|
|
|
|
|
|
|
|
||||||||
|
Proceeds from issuance of debt |
|
|
(35 |
) |
|
|
— |
|
|
|
633,983 |
|
|
|
— |
|
|
Payment of debt issuance costs |
|
|
(3,711 |
) |
|
|
— |
|
|
|
(19,539 |
) |
|
|
— |
|
|
Repayment of debt of PPA V and PPA IIIa |
|
|
(118,538 |
) |
|
|
— |
|
|
|
(118,538 |
) |
|
|
(30,212 |
) |
|
Debt make-whole payment related to PPA IIIa debt |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(2,413 |
) |
|
Repayment of recourse debt |
|
|
— |
|
|
|
(6,533 |
) |
|
|
(72,852 |
) |
|
|
(17,262 |
) |
|
Proceeds from financing obligations |
|
|
— |
|
|
|
— |
|
|
|
2,702 |
|
|
|
— |
|
|
Repayment of financing obligations |
|
|
(4,747 |
) |
|
|
(12,346 |
) |
|
|
(13,475 |
) |
|
|
(28,821 |
) |
|
Distributions and payments to noncontrolling interests |
|
|
(2,265 |
) |
|
|
(1,557 |
) |
|
|
(2,265 |
) |
|
|
(5,972 |
) |
|
Proceeds from issuance of common stock |
|
|
6,745 |
|
|
|
7,852 |
|
|
|
16,003 |
|
|
|
15,150 |
|
|
Proceeds from public share offering |
|
|
— |
|
|
|
385,396 |
|
|
|
— |
|
|
|
385,396 |
|
|
Public share offering costs |
|
|
— |
|
|
|
(13,407 |
) |
|
|
— |
|
|
|
(13,407 |
) |
|
Buyout of noncontrolling interest |
|
|
(6,864 |
) |
|
|
— |
|
|
|
(6,864 |
) |
|
|
— |
|
|
Proceeds from issuance of Series B redeemable convertible preferred stock |
|
|
— |
|
|
|
— |
|
|
|
310,957 |
|
|
|
— |
|
|
Contributions from noncontrolling interest |
|
|
— |
|
|
|
2,815 |
|
|
|
6,979 |
|
|
|
2,815 |
|
|
Purchase of capped call related to convertible notes |
|
|
— |
|
|
|
— |
|
|
|
(54,522 |
) |
|
|
— |
|
|
Other |
|
|
(250 |
) |
|
|
(63 |
) |
|
|
(408 |
) |
|
|
(63 |
) |
|
Net cash (used in) provided by financing activities |
|
|
(129,665 |
) |
|
|
362,157 |
|
|
|
682,161 |
|
|
|
305,211 |
|
|
Effect of exchange rate changes on cash, cash equivalent and restricted cash |
|
|
(657 |
) |
|
|
(896 |
) |
|
|
(985 |
) |
|
|
(1,643 |
) |
|
Net (decrease) increase in cash, cash equivalents and restricted cash |
|
|
(284,848 |
) |
|
|
255,143 |
|
|
|
119,330 |
|
|
|
54,208 |
|
|
Cash, cash equivalents and restricted cash: |
|
|
|
|
|
|
|
|
||||||||
|
Beginning of period |
|
|
922,544 |
|
|
|
414,179 |
|
|
|
518,366 |
|
|
|
615,114 |
|
|
End of period |
|
|
637,696 |
|
|
|
669,322 |
|
|
|
637,696 |
|
|
|
669,322 |
|
|
1 |
Including changes in related party balances of $241.9 million and $6.8 million for the three months ended September 30, 2023 and 2022, respectively, and $243.6 million and $8.2 million for the nine months ended September 30, 2023 and 2022, respectively. |
|||||
|
2 |
Including changes in related party balances of $3.4 million for the three and nine months ended September 30, 2023. There were no associated related party balances for the three and nine months ended September 30, 2022. |
|||||
|
3 |
Including changes in related party balances of $23.4 million for the three and nine months ended September 30, 2023. There were no associated related party balances for the three and nine months ended September 30, 2022. |
|||||
|
4 |
Including changes in related party balances of $5.7 million for the three and nine months ended September 30, 2023. There were no associated related party balances for the three and nine months ended September 30, 2022. |
|||||
|
5 |
Including changes in related party balances of $11.1 million for the three and nine months ended September 30, 2023. There were no associated related party balances for the three and nine months ended September 30, 2022. |
|||||
|
Reconciliation of GAAP to Non-GAAP Financial Measures (preliminary & unaudited) (in thousands, except percentages) |
||||||||||
|
|
Q3’23 |
Q2’23 |
Q3’22 |
Q3’23 YTD |
Q3’22 YTD |
|||||
|
GAAP revenue |
400,268 |
|
301,095 |
|
292,274 |
|
976,554 |
|
736,549 |
|
|
GAAP cost of sales |
405,482 |
|
244,745 |
|
241,330 |
|
871,151 |
|
659,638 |
|
|
GAAP gross (loss) profit |
(5,214 |
) |
56,350 |
|
50,944 |
|
105,403 |
|
76,911 |
|
|
Non-GAAP adjustments: |
|
|
|
|
|
|||||
|
Stock-based compensation expense |
5,581 |
|
5,067 |
|
4,981 |
|
14,809 |
|
13,608 |
|
|
Impairment charge (PPA V, PPA IIIa) |
123,700 |
|
— |
|
— |
|
123,700 |
|
44,800 |
|
|
Restructuring charges |
725 |
|
— |
|
— |
|
725 |
|
— |
|
|
PPA V Sales property tax |
1,588 |
|
— |
|
— |
|
1,588 |
|
— |
|
|
Non-GAAP gross profit |
126,380 |
|
61,417 |
|
55,925 |
|
246,225 |
|
135,319 |
|
|
GAAP gross margin % |
(1.3 |
%) |
18.7 |
% |
17.4 |
% |
10.8 |
% |
10.4 |
% |
|
Non-GAAP adjustments |
32.9 |
% |
1.7 |
% |
1.7 |
% |
14.4 |
% |
7.9 |
% |
|
Non-GAAP gross margin % |
31.6 |
% |
20.4 |
% |
19.1 |
% |
25.2 |
% |
18.4 |
% |
Contacts
Investor Relations:
Ed Vallejo
Bloom Energy
+1 (267) 370-9717
Media:
Amanda Song
Bloom Energy
press@bloomenergy.com
