Fuelcell Energy, Inc. · NASDAQ:FCEL
Fuelcell Energy — Q3 2022 Earnings Presentation
20 slides from Fuelcell Energy's earnings presentation, Sep 8, 2022
Slide 1: Third Quarter 2022 Financial Results & Business Update
Third Quarter 2022 Financial Results & Business Update September 8, 2022
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 regarding future events or our future financial performance that involve certain contingencies and uncertainties, inclu
Slide 3: A Global Leader in Fuel Cell Technology – Operating Since 1969
FuelCell Energy: A Global Leader in Fuel Cell Technology – Operating Since 1969 REVENUE BREAKDOWN2 FUELCELL ENERGY IS: A global leader in decarbonizing power and producing hydrogen through our proprietary fuel cell FY 2021 Total Revenue: $69.6M technology 37% Working to: • Produce low- to zero-carbo
Slide 4: Purpose Statement: Enable the world to be empowered by clean energy
Purpose Statement Our purpose: Enable the world to be empowered by clean energy DECARBONIZE POWER — PRODUCE HYDROGEN © 2022 FuelCell Energy Confidential 4
Slide 5: Key Messages
Key Messages 1 Advancing strategic agenda to achieve long-term goals • Delivered six modules Ex Works to Korea Fuel Cell Co. (“KFC”) during the quarter; Additional eight modules to fulfill the order placed by KFC in June 2022 are manufactured and expected to be delivered Ex Works in the fourth quart
Slide 6: Inflation Reduction Act
Inflation Reduction Act What does this legislation mean for FuelCell Energy, for our Customers and our Community: • Improved Investment Tax Credit (“ITC”) structure • Bolsters existing projects in process to at least 30% ITC • Ability to improve ITC (up to 50%) with U.S. content, manufacturing, and
Slide 7: Our Technologies Will Provide Optionality as Energy Transition Evolves
Our Technologies Will Provide Optionality as Energy Transition Evolves Revitalizing Communities Grid Resiliency Distributed Hydrogen Carbon Capture / Carbon Through Brownfield Separation Development • Bridgeport Fuel Cell Park, a 14.9 MW • FuelCell Energy has built several utility • Building hydroge
Slide 8: Q3 2022 Financial Performance
Q3 2022 Financial Performance © 2022 FuelCell Energy Confidential 8
Slide 9: Third Quarter of Fiscal 2022 Highlights
Third Quarter of Fiscal 2022 Highlights • Revenues increased 61% to $43.1M, primarily driven by Product sales and a 75% increase in Generation revenues, partially offset by decrease in Service revenues • Loss from operations increased to $(28.0)M compared to $(10.6)M, reflecting − Administrative and
Slide 10: Third Quarter of Fiscal 2022 Financial Performance and Backlog
Third Quarter of Fiscal 2022 Financial Performance and Backlog NET LOSS TO COMMON STOCKHOLDERS, NET LOSS, LOSS BACKLOG AS OF JULY 31 ($B) FROM OPERATIONS AND ADJUSTED EBITDA1 ($M) $1.299 $1.284 Q3 2022 $0.040 $0.038 Q3 2021 $0.030 $(5.2) $(10.6) $1.109 $1.103 $(12.8) $(12.0) $(20.8) $(29.0) $(28.0)
Slide 11: Cash, Liquidity and Project Assets
Cash, Liquidity and Project Assets STRONG LIQUIDITY Total cash, restricted cash and equivalents of $479.6M1 CASH AND EQUIVALENTS ($M) PROJECT ASSETS2 ($M) • Unrestricted cash and cash equivalents of $456.5M1, an increase of $24.3M (or ~5.6%) compared to October 31, 2021 $274.0 • Sale of approximatel
Slide 12: FY2022 Projected Investments for Future Growth
FY2022 Projected Investments for Future Growth LARGE SCALE INVESTMENT TO ENABLE THE COMPANY TO COMPETE AND MEET THE MARKET NEEDS IN MEDIUM- AND LONG-TERM Total Planned Capital Expenditures of $20M to $30M for Fiscal Year 2022 Capital Expenditures ($M) $20 – $30 • Investments in our factories for car
Slide 13: Strategy Review
Strategy Review © 2022 FuelCell Energy Confidential 13
Slide 14: Powerhouse Business Strategy: Grow, Scale, Innovate
Powerhouse Business Strategy • Optimize the core business GROW Grow Significant Market Opportunities • Drive commercial excellence • Expand geographically and by market SCALE • Invest Scale Our Existing Platform • Extend process leadership to Support Growth • Broaden & deepen our human capital INNOV
Slide 15: We Are Committed to Net Zero
We Are Committed to Net Zero Introduced our online carbon savings calculator in August 2022 Our purpose: Enable the world A new Carbon Savings Calculator for companies looking to gain greater to be empowered by clean energy insight into how the carbon dioxide (CO2) produced by their operation across
Slide 16: Key Takeaways
Key Takeaways 1 Transformed balance sheet since implementation of Powerhouse Business Strategy 2 Multiple sources of funding resulting in strengthened financial liquidity 3 Strong backlog with recurring revenues from long-term contracts. Targeting increasing product sales in the U.S., Asia, and Euro
Slide 17: Q&A
Q&A © 2022 FuelCell Energy Confidential 17
Slide 18: Appendix
Appendix © 2022 FuelCell Energy Confidential 18
Slide 19: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation The following table calculates EBITDA and Adjusted EBITDA and reconciles these figures to the GAAP financial statement measure Net loss. 1) Includes depreciation and amortization on our Generation portfolio of $4.1 million and $11.8 million for the three and nine mont
Slide 20: FuelCell Energy Operating Portfolio and Project Backlog Overview
FuelCell Energy Operating Portfolio and Project Backlog Overview Operating Generation Portfolio as of July 31, 2022 RATED CAPACITY1 ACTUAL COMMERCIAL PPA TERM PROJECT NAME POWER OFF-TAKER LOCATION (MW) OPERATION DATE (YEARS) Central CT State University ("CCSU") CCSU (CT University) New Britian, CT 1