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FuelCell Energy Stock Drops Upon Missing Q4 Estimates

FuelCell Energy Stock

FuelCell Energy Inc. reported an 18% year-over-year sales drop to $13.94 million in the fourth quarter of FY21, missing the consensus of $21.86 million.

The EPS loss reduced to $(0.07) in 4Q20, missing the expectation of $(0.08). (0.04).

Revenue fell 2% year over year to $69.59 million in FY21, while EPS fell to $(0.31) compared $(0.42) in FY20.

Because there were no module swaps in the fourth quarter, the company ascribed the revenue drop to a 102 percent drop in service agreements and license income.

Service agreements and licenses $(0.1) million (-102 percent Y/Y), Generation $6.7 million (+31 percent Y/Y), and Advanced Technologies $7.3 million (+14 percent Y/Y) were the top three revenue sectors.

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In the fourth quarter, the company reported a gross loss of $(8.4) million, compared to $(8) million the previous year.

The operating loss increased to $(22.55) million from $(17.12) million the previous year. The adjusted EBITDA deficit increased to $(11.86) million from $(8.6) million the previous year.

As of October 31, 2021, FuelCell Energy’s backlog held steady at $1.29 billion. As of the same period, FuelCell Energy has $460.2 million in cash and equivalents.

FuelCell anticipates capital expenditures of $40 million to $50 million in FY22.

Price Action: During the pre-market session on Wednesday, FCEL shares were trading 8.18 percent lower at $5.39.

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Oladotun Olayemi

Dotun is a financial enthusiast who specializes in first-in-class financial content, including crypto, blockchain, market, and business, to educate and inform readers.