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Bloom Energy Q3 Earnings Miss Estimates, BE Stock Rises


  • Bloom Energy (BE) achieved record Q3 revenue, up 36.9% year over year. 
  • Its loss per share however was wider than analysts estimated. 
  • BE stock’s YTD return trails the S&P 500 by over 60%.
BE stock - Bloom Energy Q3 Earnings Miss Estimates, BE Stock Rises

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Bloom Energy (NASDAQ:BE), a leading provider of hydrogen-fuel-cell-based platforms, reported its third-quarter financial results on Nov. 8, highlighting a record revenue and widening losses. BE stock jumped 7% following the mixed report.

Revenues at the San Jose-based energy firm hit $400.3 million in the third quarter, exceeding analyst expectations of $369.2 million by 8.4%. This equates to year-over-year growth of 36.9%.

Yet, the profit picture was less rosy. The loss per share in Q3 stood at 80 cents, a significant miss against the predicted loss per share of 4 cents. Bloom Energy had lost just 31 cents per share in the prior year.

Speaking on the results, KR Sridhar, chairman and CEO of Bloom Energy, said, “Bloom Energy is executing at a high level on innovation and growth.” He lauded the potential of its energy servers, particularly for data centers, due to their quick deploy times and compatibility with Bloom’s CHP solution for data center cooling and carbon capture for sustainability.

Moreover, the company’s president and CFO, Greg Cameron, expressed satisfaction with their performance, stating that the company’s “record third-quarter revenues” in conjunction with “expanding margins” and progress in cost reduction positioned it to meet its 2023 goals.

While the company is upbeat about its growth trajectory and innovation plans, the market’s response has been less favorable. The year-to-date return for Bloom stands at -47.1%, far lower than the 15.6% return on the S&P 500 index during the same period.

Bloom Energy is known for its fuel-flexible Bloom Energy Server and Bloom Electrolyzer, primarily producing electricity and hydrogen. These solutions are valuable to a range of industries, including gas, utilities, nuclear, concentrated solar, ammonia, and heavy industries. The company’s future prospects seem bolstered by initiatives to decarbonize the marine industry through the design and development of fuel cell-powered ships.

As investors anticipate its Q4 earnings release in a few months, the current mixed financial results paint a balancing act of impressive growth offset by exacerbated losses.

Thomas Yeung produced this article using data from Thomson Reuters and unique generative AI prompts. These prompts help distill real-time quarterly earnings data and combine it with InvestorPlace.com’s best-in-class analysis. Our readers get a deep dive into financial results at lightning speed. These articles have been reviewed by a human editor prior to publication. To report any concerns or inaccuracies, please contact us at editor@investorplace.com.

Tom Yeung is a market analyst and portfolio manager of the Omnia Portfolio, the highest-tier subscription at InvestorPlace. He is the former editor of Tom Yeung’s Profit & Protection, a free e-letter about investing to profit in good times and protecting gains during the bad.

InvestorPlace Earnings is a project that leverages data from TradeSmith to automate coverage of quarterly earnings reports. InvestorPlace Earnings distills key takeaways including earnings per share and revenue, as well as how a company stacks up to analyst estimates. These articles are published without human intervention, allowing us to inform our readers of the latest figures as quickly as possible. To report any concerns or inaccuracies, please contact us at editor@investorplace.com.

Article printed from InvestorPlace Media, https://investorplace.com/2023/11/bloom-energy-q3-earnings-miss-estimates-be-stock-rises/.

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