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Investing.com -- FuelCell Energy , Inc. (NASDAQ:FCEL) shares soared over 40% after the company reported second quarter fiscal 2025 results and announced a restructuring plan aimed at reducing costs and focusing on its core carbonate technology.
The fuel cell power plant maker posted revenue of $37.4 million for the quarter ended April 30, 2025, up 67% from $22.4 million in the same period last year. The company reported a net loss of -$1.79 per share, compared to -$2.18 per share in the prior year quarter.
FuelCell Energy announced a global restructuring plan that includes reducing its workforce by approximately 22% to about 426 employees. The company aims to cut operating expenses by 30% annually compared to fiscal 2024 levels.
"We are taking deliberate and proactive steps to maintain a strong and flexible balance sheet while continuing to sharpen our focus on cost discipline and the execution of a growth strategy centered on our carbonate platform," said Michael Bishop, Executive Vice President, Chief Financial Officer and Treasurer.
The company is refocusing its efforts on carbonate-based distributed generation applications, including data centers and grid resilience. It is pausing research and development activities for its solid oxide technology to concentrate resources on scaling its core carbonate technologies.
FuelCell Energy’s backlog grew 19% YoY to $1.26 billion as of April 30, 2025. The company ended the quarter with $240 million in cash, restricted cash and short-term investments.
"Our commercial efforts continue to generate meaningful opportunities," said Jason Few, President and CEO, highlighting a new strategic partnership to accelerate entry into the data center market.
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