Fluence Energy, Inc. · NASDAQ:FLNC
Fluence Energy — Q2 2025 Earnings Presentation
22 slides from Fluence Energy's earnings presentation, May 8, 2025
Slide 1: 2Q FY2025 Earnings Presentation
May 8, 2025 2Q FY2025 Earnings Presentation
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements The statements herein and referenced on the Company's earnings call that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as a
Slide 3: Today's Agenda
Today’s Agenda 1 Strategy Update Julian Nebreda, President & CEO 2 3 © Fluence Energy, Inc. All rights reserved. | 3
Slide 4: Q2'25 Executive Summary
Q2'25 Executive Summary Revenue Adjusted EBITDA2 Order Intake • Strong Q2 performance with double-digit $432M -$30M $200M ~0.8 GWh Solutions Contract3, adjusted gross margins 1.3 GWh Energy Q2’25 GAAP (~1.0 Gwh Gross Capacity7) Storage Solutions1 Net Loss -$42M ~0.3 GWh Services, • Certain US projec
Slide 5: Current and Anticipated Tariffs on Chinese Batteries
C UR R E N T AN D A NT I C I P AT E D O UR PO S I TI ON ON CH I N E SE TA R I FF S TA R I FF S O N C HI N E S E BA TTE R I E S IN CALENDAR YEAR 2025 IN CALENDAR YEAR 2026 • Mutually agreed with customers to pause existing contracts & signing of pending contracts 3.4% 3.4% • Contractual arrangements
Slide 6: Battery Energy Storage Systems (BESS) Market Remains Strong; Driven by Rising Electricity Demand
Battery Energy Storage Systems (BESS) Market Remains Strong; Driven by Rising Electricity Demand D e s p i t e t h e p a u s e i n c o n t r a c t i n g f o r t h e U S m a r ke t d u e t o e c o n o m i c u n c e r t a in t y , t h e n e e d f o r g r id s t a b il i t y r e m a in s , a n t i c i
Slide 7: BESS Highly Competitive Vs. Combustion Gas-Fired Generators
Battery Energy Storage Systems (BESS) Highly Competitive Vs. Combustion Gas-Fired Generators BESS offers lower capital costs and faster system deployments and arbitrage benefits to owners Example: 200 MW Project- Levelized Capacity Cost - $per kW/month $14 - $18 kW/month $8 - $10 kW/month Simple Cyc
Slide 8: Robust Backlog and Pipeline Providing Continued Visibility to Future Revenue
Robust Backlog and Pipeline Providing Continued Visibility to Future Revenue $4.9 Future 26% Years Backlog FLNC $3.0 $22 Billion 48% Utility Scale Pipeline H2 FY25 Backlog 26% $1.9 in billions USD as of March 31, 2025 Americas EMEA APAC Backlog as of Q2 FY25 © Fluence Energy, Inc. All rights reserve
Slide 9: Smartstack: Leading Safety, Cost, and Density
SmartstackTM: Leading Safety, Cost, and Density • First contract secured for FY26 delivery • Strong customer feedback on density and deployment ease • Lower upfront and lifetime capex © Fluence Energy, Inc. All rights reserved. | 9
Slide 10: Fluence's Integrated Domestic Content Supply Chain
Fluence’s Integrated Domestic Content Supply Chain Ability to Mix and Match BESS Components Enables Us to Meet Customer's Needs While Maximizing Volumes Module 6 >1,500 PRODUCTION JOBS CREATED Manufacturing UTAH FACILITIES IN THE US Cell Inverter Manufacturing TENNESSEE Manufacturing Enclosure & DCP
Slide 11: Today's Agenda: Financial Update
Today’s Agenda 1 2 Financial Update Ahmed Pasha, SVP & CFO 3 © Fluence Energy, Inc. All rights reserved. | 11
Slide 12: Second Quarter 2025 Financial Performance
Second Quarter 2025 Financial Performance HIGHLIGHTS 2 1 Generated $432M in revenue in Q2 2025, a 31% decrease from same quarter All figures in $ million, unless specified2 Q2’24 Q2’25 last year, due to the Revenue 623 432 pronounced backend nature of expected revenue for full Adjusted Gross Profit1
Slide 13: Strong Liquidity Position to Execute on Our Strategy
Strong Liquidity Position to Execute on Our Strategy All figures in $ million, unless specified As of 3/31/2025 $1,112 $432 $1,142 $532 $458 $282 Letters of Availability Availability Credit under Working under Availability Capital Working Facilities Capital Facilities $150 Available $100 to withdraw
Slide 14: FY2025 Guidance Update
FY2025 Guidance Update HIGHLIGHTS 1 Approximately 95% of midpoint of updated FY’25 revenue guidance Prior FY 2025 Updated FY All figures in $ million, FY 2024 Guidance 2025 Guidance is covered by backlog + unless specified Actuals (2/10/2025) (5/7/2025) YTD revenue recognized Currently expect 10- $2
Slide 15: FY 2025 Revenue: Lowering FY revenue by $700M
FY 2025 Revenue: Lowering FY revenue by $700M, reflecting decisions to pause certain U.S. projects due to tariff uncertainty $ million, unless specified FY 25 R EV E NU E 3,400 -700 2,700 PAUSING EXECUTION OF CERTAIN CONTRACTS 1) Certain projects in backlog deferred until further visibility on econo
Slide 16: Targeted Action Plan to Mitigate Tariff Related Headwinds Impacting FY25 Adj. EBITDA
Implementing Targeted Action Plan to Mitigate Tariff Related Headwinds Impacting FY25 Adj. EBITDA $ million, unless specified FY 2025 Adjusted EBITDA $85 -$80 $700M rev. reduction X 11% adjusted gross profit margin1 $10 -$20 $25 Prior Adj. EBITDA Expected Revenue Expected Incremental Expected Operat
Slide 17: Key Takeaways
Key Takeaways 1 2 3 4 Recent tariffs have Expect to capitalize We believe our ~$4.9 More than $1 billion caused significant on our rapid billion backlog in liquidity to help economic innovation strategy combined with our us navigate the uncertainty, leading cemented by our new differentiated current
Slide 18: Today's Agenda: Q&A
Today’s Agenda 1 2 3 Q&A © Fluence Energy, Inc. All rights reserved. | 18
Slide 19: Appendix
Appendix © Fluence Energy, Inc. All rights reserved. | 19
Slide 20: Definitions
Definitions Item Definition Backlog represents the unrecognized revenue value of our contractual commitments, which include deferred revenue and amounts that will be billed and recognized as revenue in future periods. The Company’s backlog may vary significantly each reporting period based on the ti
Slide 21: Non-GAAP Financial Measures & Reconciliations
Non-GAAP Financial Measures & Reconciliations 1 FY25 ($ in millions) FY25 ($ in millions) Q2’24 Q3’24 Q4’24 FY24 Q1’25 Q2'25 Q2’24 Q3’24 Q4’24 FY24 Q1’25 Q2'25 YTD YTD GROSS PROFIT 64.2 83.0 157.5 341.1 21.2 42.6 63.8 NET INCOME (LOSS) (12.9) 1.1 67.7 30.4 (57.0) (41.9) (98.9) Gross Profit Margin %
Slide 22: Fluence Battery Pack
Fluence Battery Pack Enables easier implementation of integrated solutions while commoditizing battery cells Fluence Mosaic Battery Cell FROM DCPM AESC The "brains" of the Pack System, the Cell Supplier 2 DCPM collects battery data for Cell Supplier 3 Battery Module communication with Fluence OS and