Key Takeaways:
Fluence Energy Inc. (NASDAQ: FLNC) shares surged 35% after it announced new supply agreements with two hyperscalers, overshadowing a second-quarter revenue miss of nearly $150 million.
"Our customer expansion strategy is gaining momentum: we have signed master supply agreements with two hyperscalers and expect to convert our first order soon," Chief Executive Julian Nebreda said.
The energy storage company reported a net loss of $0.16 per share, meeting analyst expectations. Revenue of $464.9 million for the quarter ended March 31 was up 7.7% year-over-year but fell short of the $614.9 million consensus estimate.
The stock jumped to $18.33 in after-hours trading, as investors focused on the new hyperscaler deals and a record backlog. The company's reaffirmed fiscal 2026 guidance suggests confidence in converting its growing pipeline into revenue.
Fluence’s results showed a significant increase in new orders and a strengthening project pipeline. The company reported a 200% year-over-year increase in contracted energy storage orders for the quarter, reaching 0.6 gigawatts. Its total energy storage contracted backlog grew to 10.1 GW, an 11% increase since September 2025.
The company, which provides energy storage products, services, and software, highlighted its expanding customer base beyond traditional utilities. The new agreements with hyperscalers—large-scale data center operators—open a significant new market for Fluence's battery storage solutions, which are critical for providing reliable power to energy-intensive AI operations.
"Improved adjusted EBITDA compared to first half of fiscal 2025 demonstrates our execution on profitable growth and supports our reaffirmed fiscal 2026 guidance," Chief Financial Officer Ahmed Pasha said. Adjusted EBITDA for the six months ended March 31, 2026, was a loss of $61.5 million, an improvement from a loss of $80.1 million in the prior-year period.
The guidance raise signals management expects demand from new segments to drive growth. Investors will watch for the conversion of the new hyperscaler agreements into firm orders in the company's Q3 earnings report.
This article is for informational purposes only and does not constitute investment advice.
