Bloom Energy Corp 10-Q for FY2023 Q2

Bloom Energy Corp (BE)

10-Q 2023-08-03 For: 2023-06-30

Added on April 07, 2026

About this 10-Q

Bloom Energy Corp filed this 10-Q on August 3, 2023, covering the quarter ended June 30, 2023 (FY2023 Q2).

Headline figures

Quarter ended June 30, 2023, as reported in this filing, compared with the same period a year earlier where the filing states it.

Revenue: $301.1M; up 23.8% from $243.24M a year earlier
Net loss: $69.06M; compared with a net loss of $121.17M a year earlier
Diluted EPS: -$0.32; compared with -$0.67 a year earlier

Search and read filings like this one from Claude or ChatGPT with the SEC filings MCP server →


(Mark One)
þ			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2023
or
¨			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from ____________to ____________


Delaware			77-0565408
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)

4353 North First Street, San Jose, California			95134
(Address of principal executive offices)			(Zip Code)

(408) 543-1500
(Registrant’s telephone number, including area code)


Securities registered pursuant to Section 12(b) of the Act:
Title of Each Class(1)	Trading Symbol(s)	Name of each exchange on which registered
Class A Common Stock, $0.0001 par value	BE	New York Stock Exchange
(1) Our Class B Common Stock is not registered but is convertible into shares of Class A Common Stock at the election of the holder.


			Page
PART I - FINANCIAL INFORMATION
Item 1 - Financial Statements (unaudited)			3
Condensed Consolidated Balance Sheets			3
Condensed Consolidated Statements of Operations			4
Condensed Consolidated Statements of Comprehensive Loss			5
Condensed Consolidated Statements of Changes in Stockholders’ Equity (Deficit)			6
Condensed Consolidated Statements of Cash Flows			8
Notes to Unaudited Condensed Consolidated Financial Statements			9
Item 2 - Management’s Discussion and Analysis of Financial Condition and Results of Operations			34
Item 3 - Quantitative and Qualitative Disclosures About Market Risk			50
Item 4 - Controls and Procedures			50

PART II - OTHER INFORMATION
Item 1 - Legal Proceedings			51
Item 1A - Risk Factors			51
Item 2 - Unregistered Sales of Equity Securities and Use of Proceeds			51
Item 3 - Defaults Upon Senior Securities			51
Item 4 - Mine Safety Disclosures			51
Item 5 - Other Information			51
Item 6 - Exhibits			52

Signatures			53


	June 30,		December 31,
	2023		2022
Assets
Current assets:
Cash and cash equivalents1	$	767,055	$	348,498
Restricted cash1	45,811		51,515

Accounts receivable less allowance for doubtful accounts of $119 as of June 30, 2023 and December 31, 20221	351,021		250,995
Contract assets	35,182		46,727
Inventories1	468,266		268,394
Deferred cost of revenue	53,982		46,191
Loan commitment asset	5,259		—
Prepaid expenses and other current assets1	49,823		43,643
Total current assets	1,776,399		1,055,963
Property, plant and equipment, net1	606,007		600,414
Operating lease right-of-use assets1	132,452		126,955
Restricted cash1	109,678		118,353
Deferred cost of revenue	4,407		4,737
Loan commitment asset	47,533		—
Other long-term assets1	43,426		40,205
Total assets	$	2,719,902	$	1,946,627
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable1	$	194,503	$	161,770
Accrued warranty	14,906		17,332
Accrued expenses and other current liabilities1	113,848		144,183
Deferred revenue and customer deposits1	137,704		159,048

Operating lease liabilities1	17,168		16,227
Financing obligations	29,097		17,363
Recourse debt	—		12,716
Non-recourse debt1	10,814		13,307
Series B redeemable convertible preferred stock	310,508		—
Total current liabilities	828,548		541,946


Deferred revenue and customer deposits1	26,226		56,392
Operating lease liabilities1	137,667		132,363

Financing obligations	424,811		442,063
Recourse debt1	839,223		273,076
Non-recourse debt1	107,793		112,480


Other long-term liabilities	9,399		9,491
Total liabilities	2,373,667		1,567,811
Commitments and contingencies (Note 12)

Stockholders’ equity:

Common stock: $0.0001 par value; Class A shares - 600,000,000 shares authorized and 193,506,252 shares and 189,864,722 shares issued and outstanding and Class B shares - 600,000,000 shares authorized and 15,675,130 shares and 15,799,968 shares issued and outstanding at June 30, 2023 and December 31, 2022, respectively	20		20
Additional paid-in capital	4,011,900		3,906,491
Accumulated other comprehensive loss	(2,053)		(1,251)
Accumulated deficit	(3,702,111)		(3,564,483)
Total equity attributable to Class A and Class B common stockholders	307,756		340,777
Noncontrolling interest	38,479		38,039
Total stockholders’ equity	$	346,235	$	378,816
Total liabilities and stockholders’ equity	$	2,719,902	$	1,946,627


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022

Revenue:
Product	$	214,706	$	173,625	$	408,451	$	307,172
Installation	24,321		12,729		44,846		26,282
Service	42,298		38,426		82,961		73,665
Electricity	19,770		18,456		40,028		37,156
Total revenue	301,095		243,236		576,286		444,275
Cost of revenue:
Product	145,146		129,419		274,759		235,161
Installation	26,879		16,730		51,979		29,503
Service	57,263		41,028		108,507		82,854
Electricity	15,457		58,029		30,424		70,790
Total cost of revenue	244,745		245,206		465,669		418,308
Gross profit (loss)	56,350		(1,970)		110,617		25,967
Operating expenses:
Research and development	41,493		41,614		87,183		76,140
Sales and marketing	26,822		20,475		53,933		41,809
General and administrative	42,491		38,114		87,638		75,850
Total operating expenses	110,806		100,203		228,754		193,799
Loss from operations	(54,456)		(102,173)		(118,137)		(167,832)
Interest income	4,357		196		6,352		255
Interest expense	(13,953)		(13,814)		(25,699)		(27,901)
Other expense, net	(740)		(1,191)		(2,083)		(4,218)
Loss on extinguishment of debt	(2,873)		(4,233)		(2,873)		(4,233)
(Loss) gain on revaluation of embedded derivatives	(1,216)		38		(1,099)		569
Loss before income taxes	(68,881)		(121,177)		(143,539)		(203,360)
Income tax provision (benefit)	178		(12)		437		552
Net loss	(69,059)		(121,165)		(143,976)		(203,912)
Less: Net loss attributable to noncontrolling interest	(2,998)		(2,365)		(6,348)		(6,453)

Net loss attributable to Class A and Class B common stockholders	(66,061)		(118,800)		(137,628)		(197,459)
Less: Net loss attributable to redeemable noncontrolling interest	—		—		—		(300)
Net loss before portion attributable to redeemable noncontrolling interest and noncontrolling interest	$	(66,061)	$	(118,800)	$	(137,628)	$	(197,159)
Net loss per share available to Class A and Class B common stockholders, basic and diluted	$	(0.32)	$	(0.67)	$	(0.66)	$	(1.11)
Weighted average shares used to compute net loss per share available to Class A and Class B common stockholders, basic and diluted	208,692		178,507		207,714		177,852


		Three Months Ended June 30, 2023
	Class A and Class B Common Stock		Additional Paid-In Capital		Accumulated Other Comprehensive Loss		Accumulated Deficit		Total Equity Attributable to Class A and Class B Common Stockholders		Noncontrolling Interest		Total Stockholders’ Equity
		Shares	Amount
Balances at March 31, 2023		208,333,645	$	20	$	4,036,697	$	(1,352)	$	(3,636,050)	$	399,315	$	34,519	433,834
Issuance of restricted stock awards		753,859	—		—		—		—		—		—		—

Exercise of stock options		93,878	—		733		—		—		733		—		733
Stock-based compensation expense		—	—		28,992		—		—		28,992		—		28,992
Contributions from noncontrolling interest		—	—		—		—		—		—		6,979		6,979
Purchase of capped call related to convertible notes (Note 7)		—	—		(54,522)		—		—		(54,522)		—		(54,522)
Foreign currency translation adjustment		—	—		—		(701)		—		(701)		(21)		(722)
Net loss		—	—		—		—		(66,061)		(66,061)		(2,998)		(69,059)
Balances at June 30, 2023		209,181,382	$	20	$	4,011,900	$	(2,053)	$	(3,702,111)	$	307,756	$	38,479	$	346,235


		Three Months Ended June 30, 2022
	Class A and Class B Common Stock		Additional Paid-In Capital		Accumulated Other Comprehensive Loss		Accumulated Deficit		Total Deficit Attributable to Class A and Class B Common Stockholders		Noncontrolling Interest		Total Stockholders’ Deficit
		Shares	Amount
Balances at March 31, 2022		177,995,695	$	18	$	3,251,128	$	(503)	$	(3,341,434)	$	(90,791)	$	36,035	$	(54,756)
Issuance of restricted stock awards		824,702	—		—		—		—		—		—		—
Exercise of stock options		93,400	—		337		—		—		337		—		337
Stock-based compensation		—	—		32,796		—		—		32,796		—		32,796
Distributions and payments to noncontrolling interests		—	—		—		—		—		—		(1,539)		(1,539)
Foreign currency translation adjustment		—	—		—		(497)		—		(497)		(97)		(594)
Net loss		—	—		—		—		(118,800)		(118,800)		(2,365)		(121,165)
Balances at June 30, 2022		178,913,797	$	18	$	3,284,261	$	(1,000)	$	(3,460,234)	$	(176,955)	$	32,034	$	(144,921)


		Six Months Ended June 30, 2023
	Class A and Class B Common Stock		Additional Paid-In Capital		Accumulated Other Comprehensive Loss		Accumulated Deficit		Total Equity Attributable to Class A and Class B Common Stockholders		Noncontrolling Interest		Total Stockholders' Equity
		Shares	Amount
Balances at December 31, 2022		205,664,690	$	20	$	3,906,491	$	(1,251)	$	(3,564,483)	$	340,777	$	38,039	$	378,816
Issuance of restricted stock awards		2,858,763	—		—		—		—		—		—		—
ESPP purchase		449,525	—		7,756		—		—		7,756		—		7,756
Exercise of stock options		208,404	—		1,502		—		—		1,502		—		1,502
Stock-based compensation		—	—		58,286		—		—		58,286		—		58,286
Derecognition of the pre-modification forward contract fair value (Note 15)		—	—		76,242		—		—		76,242		—		76,242
Equity component of Series B redeemable convertible preferred stock (Note 15)		—	—		16,145		—		—		16,145		—		16,145
Contributions from noncontrolling interest		—	—		—		—		—		—		6,979		6,979
Purchase of capped call related to convertible notes (Note 7)		—	—		(54,522)		—		—		(54,522)		—		(54,522)
Foreign currency translation adjustment		—	—		—		(802)		—		(802)		(191)		(993)
Net loss		—	—		—		—		(137,628)		(137,628)		(6,348)		(143,976)
Balances at June 30, 2023		209,181,382	20		$	4,011,900	$	(2,053)	$	(3,702,111)	$	307,756	$	38,479	$	346,235


		Six Months Ended June 30, 2022
	Class A and Class B Common Stock		Additional Paid-In Capital		Accumulated Other Comprehensive Loss		Accumulated Deficit		Total Deficit Attributable to Class A and Class B Common Stockholders		Noncontrolling Interest		Total Stockholders’ Deficit
		Shares	Amount
Balances at December 31, 2021		176,460,407	$	18	$	3,219,081	$	(350)	$	(3,263,075)	$	(44,326)	$	42,499	$	(1,827)
Issuance of restricted stock awards		1,789,639	—		—		—		—		—		—		—
ESPP purchase		420,689	—		5,981		—		—		5,981		—		5,981
Exercise of stock options		243,062	—		1,317		—		—		1,317		—		1,317
Stock-based compensation		—	—		58,382		—		—		58,382		—		58,382
Distributions and payments to noncontrolling interests		—	—		(500)		—		—		(500)		(3,915)		(4,415)
Foreign currency translation adjustment		—	—		—		(650)		—		(650)		(97)		(747)
Net loss1		—	—		—		—		(197,159)		(197,159)		(6,453)		(203,612)
Balances at June 30, 2022		178,913,797	$	18	$	3,284,261	$	(1,000)	$	(3,460,234)	$	(176,955)	$	32,034	$	(144,921)


	Fair Value Measured at Reporting Date Using
June 30, 2023	Level 1		Level 2		Level 3		Total

Assets
Cash equivalents:
Money market funds	$	614,969	$	—	$	—	$	614,969


	$	614,969	$	—	$	—	$	614,969
Liabilities


Derivatives:



Embedded EPP derivatives	—		—		3,834		$	3,834

	$	—	$	—	$	3,834	$	3,834


	Fair Value Measured at Reporting Date Using
December 31, 2022	Level 1		Level 2		Level 3		Total

Assets
Cash equivalents:
Money market funds	$	291,903	$	—	$	—	$	291,903


	$	291,903	$	—	$	—	$	291,903
Liabilities

Derivatives:


Embedded EPP derivatives	—		—		5,895		$	5,895




	$	—	$	—	$	5,895	$	5,895


	Embedded EPP Derivative Liability








Liabilities at December 31, 2022	$	5,895
EPP liability settlement	(3,160)
Changes in fair value	1,099
Liabilities at June 30, 2023	$	3,834


	June 30, 2023			December 31, 2022
	Net Carrying Value		Fair Value	Net Carrying Value		Fair Value



Debt instruments
Recourse:





3% Green Convertible Senior Notes due June 2028	$	613,407	718,773	$	—	—
2.5% Green Convertible Senior Notes due August 2025	225,816		278,415	224,832		309,488

10.25% Senior Secured Notes due March 2027	—		—	60,960		60,472
Non-recourse:




3.04% Senior Secured Notes due June 2031	117,074		108,562	125,787		117,028
4.6% Term Loan due March 2026	$	1,533	1,329	$	—	—





Balances at December 31, 2022	$	17,332
Accrued warranty, net	17,474
Warranty expenditures during the six-month period	(19,900)
Balances at June 30, 2023	$	14,906


	Three Months Ended June 30,			Six Months Ended June 30,
		2023		2022		2023		2022

Beginning balance		$	87,848	$	103,489	$	94,355	$	115,476
Additions		265,408		182,067		490,346		348,744
Revenue recognized		(268,146)		(189,179)		(499,591)		(367,843)
Ending balance		$	85,110	$	96,377	$	85,110	$	96,377


	June 30,		December 31,
	2023		2022

Raw materials	$	223,526	$	165,446
Finished goods	188,803		58,288
Work-in-progress	55,937		44,660
	$	468,266	$	268,394


	June 30,		December 31,
	2023		2022

Receivables from employees	$	10,922	$	6,553
Deferred expenses (Note 15)	8,182		—
Tax receivables	4,422		3,676
Prepaid hardware and software maintenance	3,306		4,290
Prepaid managed services	2,773		4,405
Advance income tax provision	1,998		783
Deposits made	1,683		1,409
Prepaid workers compensation	1,163		5,536
Prepaid deferred commissions	832		1,002
Other prepaid expenses and other current assets	14,542		15,989
	$	49,823	$	43,643


	June 30,		December 31,
	2023		2022

Energy Servers	$	545,047	$	538,912
Machinery and equipment	159,171		145,555
Leasehold improvements	105,888		104,528
Construction-in-progress	92,896		72,174
Buildings	49,424		49,240
Computers, software and hardware	26,359		24,608
Furniture and fixtures	9,722		9,581
	988,507		944,598
Less: accumulated depreciation	(382,500)		(344,184)
	$	606,007	$	600,414


	Unpaid Principal Balance		Net Carrying Value						Interest Rate	Maturity Dates	Entity
			Current		Long- Term		Total

3% Green Convertible Senior Notes due June 2028	632,500		—		613,407		613,407		3.0%	June 2028	Company
2.5% Green Convertible Senior Notes due August 2025	230,000		—		225,816		225,816		2.5%	August 2025	Company
Total recourse debt	862,500		—		839,223		839,223
3.04% Senior Secured Notes due June 30, 2031	118,538		10,814		106,260		117,074		3.04%	June 2031	PPA V
4.6% Term Loan due March 2026	1,533		—		1,533		1,533		4.6%	March 2026	Korean Joint Venture
Total non-recourse debt	120,071		10,814		107,793		118,607
Total debt	$	982,571	$	10,814	$	947,016	$	957,830


Remainder of 2023	$	4,414
2024	11,483
2025	242,591
2026	15,356
2027	647,567
Thereafter	61,160
	$	982,571


	Operating Leases		Finance Leases

Remainder of 2023	$	15,929	$	694
2024	27,750		1,245
2025	27,753		795
2026	27,621		554
2027	26,305		369
Thereafter	97,794		72
Total minimum lease payments	223,152		3,729
Less: amounts representing interest or imputed interest	(68,317)		(519)
Present value of lease liabilities	$	154,835	$	3,210


	Financing Obligations

Remainder of 2023	$	22,819
2024	43,368
2025	42,358
2026	37,778
2027	21,441
Thereafter	37,237
Total minimum lease payments	205,001
Less: imputed interest	(109,937)
Present value of net minimum lease payments	95,064
Less: current financing obligations	(29,097)
Long-term financing obligations	$	65,967


	Operating Leases

Remainder of 2023	$	10,458
2024	21,238
2025	21,630
2026	22,092
2027	22,566
Thereafter	85,009
Total minimum lease payments	$	182,993


	Outstanding Options
	Number of Shares	Weighted Average Exercise Price		Remaining Contractual Life (Years)	Aggregate Intrinsic Value
	(in thousands, except weighted average exercise price and remaining contractual life)
Balances at December 31, 2022	8,748,309	$	20.70	4.6	$	40,532

Exercised	(208,404)	7.21

Expired	(214,405)	30.39
Balances at June 30, 2023	8,325,500	20.79		4.0	27,715
Vested and expected to vest at June 30, 2023	8,323,858	20.79		4.0	27,700
Exercisable at June 30, 2023	8,280,499	$	20.86	4.0	$	27,293


	Number of Awards Outstanding	Weighted Average Grant Date Fair Value

Unvested Balance at December 31, 2022	9,549,035	$	19.99
Granted	4,469,242	18.57
Vested	(2,858,763)	18.31
Forfeited	(602,691)	21.43
Unvested Balance at June 30, 2023	10,556,823	$	19.76


						Plan Shares Available for Grant

Balances at December 31, 2022						28,340,641
Added to plan						8,948,255
Granted						(4,399,477)

Cancelled/Forfeited						757,331
Expired						(188,617)
Balances at June 30, 2023						33,458,133


	Three Months Ended June 30,	Change		Six Months Ended June 30,			Change
		2023	2022	Amount	%		2023	2022	Amount	%

Product accepted		606	471	135	28.7	%	1,118	846	272	32.2	%
Megawatts accepted, net		61	47	14	28.7	%	112	85	27	32.2	%


*			The certifications furnished in Exhibit 32.1 hereto are deemed to accompany this Quarterly Report on Form 10-Q and will not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liability of that section, nor shall it be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended.