http://fasb.org/us-gaap/2023#OtherLiabilitiesNoncurrent64020640200000886128false--10-312024Q2450626862458406776http://fasb.org/us-gaap/2023#OtherAssetsNoncurrentP3YP19YP4Yhttp://fasb.org/us-gaap/2023#OtherLiabilitiesNoncurrent0.33330.332100000http://fasb.org/us-gaap/2023#OtherLiabilitiesNoncurrent0000886128us-gaap:TreasuryStockCommonMember2024-02-012024-04-300000886128us-gaap:DeferredCompensationShareBasedPaymentsMember2024-02-012024-04-300000886128us-gaap:TreasuryStockCommonMember2023-11-012024-01-310000886128us-gaap:DeferredCompensationShareBasedPaymentsMember2023-11-012024-01-310000886128us-gaap:TreasuryStockCommonMember2022-11-012023-01-310000886128us-gaap:DeferredCompensationShareBasedPaymentsMember2022-11-012023-01-310000886128us-gaap:CommonStockMember2023-02-012023-04-300000886128fcel:JefferiesLlcB.rileySecuritiesBarclaysCapitalIncBmocorpBofaSecuritiesCanacordGenuityLlcCitigroupGlobalMarketsIncJ.p.morganSecuritiesLlcAndLoopCapitalMarketsLlcMemberus-gaap:CommonStockMemberfcel:AmendedOpenMarketSalesAgreement2022Member2022-07-122024-10-310000886128fcel:JefferiesLlcB.rileySecuritiesBarclaysCapitalIncBmocorpBofaSecuritiesCanacordGenuityLlcCitigroupGlobalMarketsIncJ.p.morganSecuritiesLlcAndLoopCapitalMarketsLlcMembersrt:MaximumMemberus-gaap:CommonStockMemberfcel:TwoZeroTwoTwoOpenMarketSaleAgreementMember2022-07-122022-07-120000886128us-gaap:CommonStockMember2024-02-012024-04-300000886128us-gaap:CommonStockMember2023-11-012024-01-310000886128us-gaap:CommonStockMember2022-11-012023-01-310000886128us-gaap:TreasuryStockCommonMember2024-04-300000886128us-gaap:RetainedEarningsMember2024-04-300000886128us-gaap:ParentMember2024-04-300000886128us-gaap:NoncontrollingInterestMember2024-04-300000886128us-gaap:DeferredCompensationShareBasedPaymentsMember2024-04-300000886128us-gaap:AdditionalPaidInCapitalMember2024-04-300000886128us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-04-300000886128us-gaap:TreasuryStockCommonMember2024-01-310000886128us-gaap:RetainedEarningsMember2024-01-310000886128us-gaap:ParentMember2024-01-310000886128us-gaap:NoncontrollingInterestMember2024-01-310000886128us-gaap:DeferredCompensationShareBasedPaymentsMember2024-01-310000886128us-gaap:AdditionalPaidInCapitalMember2024-01-310000886128us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-01-310000886128us-gaap:TreasuryStockCommonMember2023-10-310000886128us-gaap:RetainedEarningsMember2023-10-310000886128us-gaap:ParentMember2023-10-310000886128us-gaap:NoncontrollingInterestMember2023-10-310000886128us-gaap:DeferredCompensationShareBasedPaymentsMember2023-10-310000886128us-gaap:AdditionalPaidInCapitalMember2023-10-310000886128us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-10-310000886128us-gaap:TreasuryStockCommonMember2023-04-300000886128us-gaap:RetainedEarningsMember2023-04-300000886128us-gaap:ParentMember2023-04-300000886128us-gaap:NoncontrollingInterestMember2023-04-300000886128us-gaap:DeferredCompensationShareBasedPaymentsMember2023-04-300000886128us-gaap:AdditionalPaidInCapitalMember2023-04-300000886128us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-04-300000886128us-gaap:TreasuryStockCommonMember2023-01-310000886128us-gaap:RetainedEarningsMember2023-01-310000886128us-gaap:ParentMember2023-01-310000886128us-gaap:NoncontrollingInterestMember2023-01-310000886128us-gaap:DeferredCompensationShareBasedPaymentsMember2023-01-310000886128us-gaap:AdditionalPaidInCapitalMember2023-01-310000886128us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-01-3100008861282023-01-310000886128us-gaap:TreasuryStockCommonMember2022-10-310000886128us-gaap:RetainedEarningsMember2022-10-310000886128us-gaap:ParentMember2022-10-310000886128us-gaap:NoncontrollingInterestMember2022-10-310000886128us-gaap:DeferredCompensationShareBasedPaymentsMember2022-10-310000886128us-gaap:AdditionalPaidInCapitalMember2022-10-310000886128us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-10-310000886128fcel:SeniorManagementMemberus-gaap:RestrictedStockMember2023-12-112023-12-110000886128fcel:SeniorManagementMemberus-gaap:PerformanceSharesMember2023-12-112023-12-110000886128fcel:SeniorManagementMemberfcel:TimeBasedAwardsMember2023-12-112023-12-110000886128us-gaap:PerformanceSharesMember2024-02-012024-04-300000886128fcel:TimeBasedAwardsMember2024-02-012024-04-300000886128fcel:TimeBasedAwardsMemberfcel:LongTermIncentivePlanFiscal2024Member2023-11-012024-04-300000886128fcel:SalariedEmployeesMemberfcel:TimeBasedAwardsMember2023-11-012024-04-300000886128fcel:PowerPurchaseAgreementMember2024-04-300000886128fcel:PowerPurchaseAgreementMember2023-10-310000886128us-gaap:ServiceMembersrt:MinimumMemberus-gaap:ServiceAgreementsMember2024-04-300000886128us-gaap:ServiceMembersrt:MaximumMemberus-gaap:ServiceAgreementsMember2024-04-300000886128us-gaap:ElectricityGenerationMembersrt:MinimumMember2024-04-300000886128us-gaap:ElectricityGenerationMembersrt:MaximumMember2024-04-300000886128fcel:AdvancedTechnologiesMembersrt:MaximumMember2024-04-300000886128us-gaap:ServiceMemberus-gaap:ServiceAgreementsMember2024-04-300000886128us-gaap:ProductMember2024-04-300000886128us-gaap:ElectricityGenerationMember2024-04-300000886128fcel:AdvancedTechnologiesMember2024-04-300000886128fcel:EmtecJointDevelopmentAgreementMember2023-11-012024-04-300000886128fcel:EmtecJointDevelopmentAgreementMember2023-05-012023-05-310000886128srt:MinimumMemberfcel:ProjectAssetsOperatingMember2024-04-300000886128srt:MinimumMemberfcel:ProjectAssetsModulesMember2024-04-300000886128srt:MaximumMemberfcel:ProjectAssetsOperatingMember2024-04-300000886128srt:MaximumMemberfcel:ProjectAssetsModulesMember2024-04-300000886128fcel:ProjectAssetsBopAndSiteConstructionMember2024-04-300000886128srt:MaximumMember2024-04-300000886128us-gaap:SeriesBPreferredStockMember2023-10-310000886128us-gaap:SeriesBPreferredStockMember2024-04-300000886128us-gaap:SeriesBPreferredStockMember2023-11-012024-01-310000886128us-gaap:SeriesBPreferredStockMember2022-11-012023-01-310000886128us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-02-012024-04-300000886128us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-11-012024-01-310000886128us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-02-012023-04-300000886128us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-11-012023-01-310000886128fcel:TaxEquityFinancingTransactionWithReiFor7.4MwFuelCellProjectMember2024-02-012024-04-300000886128fcel:GrotonProjectMember2024-02-012024-04-300000886128fcel:DerbyProjectMember2024-02-012024-04-300000886128fcel:TaxEquityFinancingTransactionWithReiFor7.4MwFuelCellProjectMember2023-02-012023-04-300000886128fcel:GrotonProjectMember2023-02-012023-04-300000886128fcel:GrotonProjectMember2022-11-012023-04-300000886128fcel:DerbyProjectMember2022-11-012023-04-300000886128fcel:DerbyProjectMember2022-11-012023-01-310000886128fcel:TermLoanFacilityMemberfcel:BackLeverageFinancingMemberfcel:DerbySubordinatedBackLeverageLendersMember2024-04-250000886128fcel:TermLoanFacilityMemberfcel:BackLeverageFinancingMemberfcel:DerbySeniorBackLeverageLendersMember2024-04-250000886128fcel:StateOfConnecticutMember2024-04-300000886128fcel:OpcoFinancingFacilityMember2024-04-300000886128fcel:LibertyBankTermLoanAgreementMember2024-04-300000886128fcel:LibertyBankTermLoanAgreementGrotonSeniorBackLeverageLoanFacilityMember2024-04-300000886128fcel:FinanceObligationsForSaleLeaseBackTransactionsMember2024-04-300000886128fcel:ConnecticutGreenBankTermLoanDerbySeniorBackLeverageLoanFacilityMember2024-04-300000886128fcel:ConnecticutGreenBankLoanGrotonBackLeverageFinancingMember2024-04-300000886128fcel:ConnecticutGreenBankLoanDerbySubordinatedBackLeverageLoanFacilityMember2024-04-300000886128fcel:AmalgamatedBankLoanGrotonBackLeverageFinancingMember2024-04-300000886128fcel:StateOfConnecticutMember2023-10-310000886128fcel:OpcoFinancingFacilityMember2023-10-310000886128fcel:LibertyBankTermLoanAgreementGrotonSeniorBackLeverageLoanFacilityMember2023-10-310000886128fcel:FinanceObligationsForSaleLeaseBackTransactionsMember2023-10-310000886128fcel:ConnecticutGreenBankLoanGrotonBackLeverageFinancingMember2023-10-310000886128fcel:AmalgamatedBankLoanGrotonBackLeverageFinancingMember2023-10-310000886128fcel:OpcoFinancingFacilityMemberus-gaap:InterestRateSwapMember2024-02-012024-04-300000886128fcel:OpcoFinancingFacilityMemberus-gaap:InterestRateSwapMember2023-11-012024-04-300000886128us-gaap:RetainedEarningsMember2024-02-012024-04-300000886128us-gaap:NoncontrollingInterestMember2024-02-012024-04-300000886128us-gaap:RetainedEarningsMember2023-11-012024-01-310000886128us-gaap:RetainedEarningsMember2023-02-012023-04-300000886128us-gaap:NoncontrollingInterestMember2023-02-012023-04-300000886128us-gaap:RetainedEarningsMember2022-11-012023-01-310000886128us-gaap:InProcessResearchAndDevelopmentMember2024-04-300000886128us-gaap:InProcessResearchAndDevelopmentMember2023-10-310000886128fcel:BridgeportPPAMember2024-04-300000886128fcel:BridgeportPPAMember2023-10-310000886128us-gaap:SeriesBPreferredStockMember2022-11-012023-10-310000886128us-gaap:SeriesBPreferredStockMember2024-02-012024-04-300000886128us-gaap:SeriesBPreferredStockMember2023-11-012024-04-300000886128us-gaap:SeriesBPreferredStockMember2023-02-012023-04-300000886128us-gaap:SeriesBPreferredStockMember2022-11-012023-04-3000008861282024-01-310000886128fcel:OpcoFinancingFacilityMemberus-gaap:InterestRateSwapMember2024-04-300000886128fcel:OpcoFinancingFacilityMemberus-gaap:InterestRateSwapMember2023-10-310000886128us-gaap:USTreasurySecuritiesMember2024-04-300000886128us-gaap:USTreasurySecuritiesMember2023-10-310000886128fcel:DerbySeniorBackLeverageLoanFacilityMemberfcel:BackLeverageFinancingMember2024-04-252024-04-250000886128fcel:BackLeverageFinancingMemberfcel:DerbySeniorBackLeverageLendersMember2024-04-250000886128fcel:ConnecticutGreenBankLoanDerbySubordinatedBackLeverageLoanFacilityMember2024-04-250000886128fcel:DerbySeniorBackLeverageLoanFacilityAndDerbySubordinatedBackLeverageLoanFacilityMember2024-04-300000886128us-gaap:ServiceMember2024-02-012024-04-300000886128us-gaap:ProductMember2024-02-012024-04-300000886128us-gaap:ElectricityGenerationMember2024-02-012024-04-300000886128fcel:AdvancedTechnologiesMember2024-02-012024-04-300000886128us-gaap:ServiceMember2023-11-012024-04-300000886128us-gaap:ProductMember2023-11-012024-04-300000886128us-gaap:ElectricityGenerationMember2023-11-012024-04-300000886128fcel:AdvancedTechnologiesMember2023-11-012024-04-300000886128us-gaap:ServiceMember2023-02-012023-04-300000886128us-gaap:ProductMember2023-02-012023-04-300000886128us-gaap:ElectricityGenerationMember2023-02-012023-04-300000886128fcel:AdvancedTechnologiesMember2023-02-012023-04-300000886128us-gaap:ServiceMember2022-11-012023-04-300000886128us-gaap:ProductMember2022-11-012023-04-300000886128us-gaap:ElectricityGenerationMember2022-11-012023-04-300000886128fcel:AdvancedTechnologiesMember2022-11-012023-04-300000886128fcel:ToyotaInvestmentTaxCreditSaleTransactionMember2023-10-310000886128fcel:EmtecJointDevelopmentAgreementMember2024-01-310000886128us-gaap:CommonStockMember2024-04-300000886128us-gaap:CommonStockMember2024-01-310000886128us-gaap:CommonStockMember2023-10-310000886128us-gaap:CommonStockMember2023-04-300000886128us-gaap:CommonStockMember2023-01-310000886128us-gaap:CommonStockMember2022-10-3100008861282022-10-3100008861282023-04-300000886128us-gaap:EmployeeStockOptionMember2023-11-012024-04-300000886128fcel:UnvestedRestrictedStockUnitsMember2023-11-012024-04-300000886128fcel:SeriesBCumulativePreferredStockMember2023-11-012024-04-300000886128us-gaap:EmployeeStockOptionMember2022-11-012023-04-300000886128fcel:UnvestedRestrictedStockUnitsMember2022-11-012023-04-300000886128fcel:SeriesBCumulativePreferredStockMember2022-11-012023-04-300000886128fcel:BridgeportFuelCellLimitedLiabilityCompanyMember2024-02-012024-04-300000886128fcel:BridgeportFuelCellLimitedLiabilityCompanyMember2023-11-012024-04-300000886128fcel:BridgeportFuelCellLimitedLiabilityCompanyMember2023-02-012023-04-300000886128fcel:BridgeportFuelCellLimitedLiabilityCompanyMember2022-11-012023-04-300000886128us-gaap:SellingGeneralAndAdministrativeExpensesMember2024-02-012024-04-300000886128us-gaap:ResearchAndDevelopmentExpenseMember2024-02-012024-04-300000886128us-gaap:CostOfSalesMember2024-02-012024-04-300000886128us-gaap:SellingGeneralAndAdministrativeExpensesMember2023-11-012024-04-300000886128us-gaap:ResearchAndDevelopmentExpenseMember2023-11-012024-04-300000886128us-gaap:CostOfSalesMember2023-11-012024-04-300000886128us-gaap:SellingGeneralAndAdministrativeExpensesMember2023-02-012023-04-300000886128us-gaap:ResearchAndDevelopmentExpenseMember2023-02-012023-04-300000886128us-gaap:CostOfSalesMember2023-02-012023-04-300000886128us-gaap:SellingGeneralAndAdministrativeExpensesMember2022-11-012023-04-300000886128us-gaap:ResearchAndDevelopmentExpenseMember2022-11-012023-04-300000886128us-gaap:CostOfSalesMember2022-11-012023-04-300000886128us-gaap:ParentMember2024-02-012024-04-300000886128us-gaap:AdditionalPaidInCapitalMember2024-02-012024-04-300000886128us-gaap:ParentMember2023-11-012024-01-310000886128us-gaap:AdditionalPaidInCapitalMember2023-11-012024-01-310000886128us-gaap:ParentMember2023-02-012023-04-300000886128us-gaap:AdditionalPaidInCapitalMember2023-02-012023-04-300000886128us-gaap:ParentMember2022-11-012023-01-310000886128us-gaap:AdditionalPaidInCapitalMember2022-11-012023-01-310000886128srt:MaximumMemberfcel:ToyotaProjectMember2023-11-012024-04-300000886128srt:MaximumMemberfcel:LongIslandPowerAuthorityProjectMember2023-11-012024-04-300000886128srt:MaximumMemberfcel:DerbyProjectMember2023-11-012024-04-300000886128fcel:TulareBiomartProjectMember2023-11-012024-04-300000886128fcel:ToyotaProjectMember2023-11-012024-04-300000886128fcel:LongIslandPowerAuthorityProjectMember2023-11-012024-04-300000886128fcel:DerbyProjectMember2023-11-012024-04-300000886128fcel:GrotonProjectMember2023-11-012024-04-300000886128fcel:FranklinParkTaxEquityFinancingTransactionsMember2023-11-012024-04-300000886128fcel:DerbyProjectMemberfcel:FranklinParkTaxEquityFinancingTransactionsMember2024-02-012024-04-300000886128fcel:DerbyProjectMemberfcel:FranklinParkTaxEquityFinancingTransactionsMember2023-11-012024-04-300000886128fcel:TaxEquityFinancingTransactionWithReiFor7.4MwFuelCellProjectMember2023-11-012024-04-300000886128fcel:TaxEquityFinancingTransactionWithReiFor7.4MwFuelCellProjectMember2023-11-012024-01-310000886128fcel:TaxEquityFinancingTransactionWithReiFor7.4MwFuelCellProjectMember2022-11-012023-04-300000886128fcel:TaxEquityFinancingTransactionWithReiFor7.4MwFuelCellProjectMember2022-11-012023-01-310000886128fcel:FranklinParkTaxEquityFinancingTransactionsMember2023-10-310000886128fcel:LIPYaphankProjectMemberfcel:TaxEquityFinancingTransactionWithReiFor7.4MwFuelCellProjectMember2021-11-300000886128fcel:GrotonProjectMemberfcel:TaxEquityFinancingTransactionWithReiFor7.4MwFuelCellProjectMember2021-08-310000886128us-gaap:SubsequentEventMemberfcel:AmendedOpenMarketSalesAgreement2022Member2024-05-010000886128fcel:SeniorManagementMemberfcel:TimeBasedAwardsMemberfcel:LongTermIncentivePlanFiscal2024Member2023-12-112023-12-110000886128fcel:SalariedEmployeesMemberfcel:TimeBasedAwardsMemberfcel:LongTermIncentivePlanFiscal2024Member2023-11-012024-04-300000886128fcel:RelativeTotalShareholderReturnPerformanceSharesMemberfcel:LongTermIncentivePlanFiscal2024Member2023-11-012024-04-300000886128fcel:ToyotaInvestmentTaxCreditSaleTransactionMember2022-11-012023-10-310000886128us-gaap:PerformanceSharesMember2024-04-300000886128fcel:JefferiesLlcB.rileySecuritiesBarclaysCapitalIncBmocorpBofaSecuritiesCanacordGenuityLlcCitigroupGlobalMarketsIncJ.p.morganSecuritiesLlcAndLoopCapitalMarketsLlcMemberfcel:TwoZeroTwoTwoOpenMarketSaleAgreementMember2022-07-122022-07-120000886128fcel:TermLoanFacilityMemberfcel:BackLeverageFinancingMemberfcel:LibertyLenderMember2024-04-252024-04-250000886128fcel:ConnecticutGreenBankLoanDerbySubordinatedBackLeverageLoanFacilityMember2024-04-252024-04-250000886128fcel:BackLeverageFinancingMemberfcel:LibertyLenderMember2024-04-252024-04-250000886128fcel:ConnecticutGreenBankTermLoanDerbySeniorBackLeverageLoanFacilityMember2024-04-252024-04-250000886128fcel:BackLeverageFinancingMemberfcel:DerbySubordinatedBackLeverageLendersMember2024-04-252024-04-2500008861282022-11-012023-10-310000886128fcel:FranklinParkTaxEquityFinancingTransactionsMember2023-08-012023-10-310000886128us-gaap:SubsequentEventMemberfcel:AmendedOpenMarketSalesAgreement2022Member2024-05-282024-05-280000886128us-gaap:NoncontrollingInterestMember2022-11-012023-01-3100008861282022-11-012023-01-310000886128fcel:AmendmentNo5ToEmtecJointDevelopmentAgreementMember2024-03-310000886128fcel:ProjectAssetsOperatingMember2024-04-300000886128fcel:ProjectAssetsConstructionInProgressMember2024-04-300000886128fcel:ProjectAssetsOperatingMember2023-10-310000886128fcel:ProjectAssetsConstructionInProgressMember2023-10-310000886128us-gaap:VariableInterestEntityPrimaryBeneficiaryMember2024-04-300000886128us-gaap:VariableInterestEntityPrimaryBeneficiaryMember2023-10-310000886128fcel:EmtecJointDevelopmentAgreementMember2022-11-012023-10-3100008861282023-02-012023-04-300000886128fcel:EmtecJointDevelopmentAgreementMember2023-05-310000886128fcel:EmtecJointDevelopmentAgreementMember2021-11-012022-10-310000886128fcel:BackLeverageFinancingMember2024-04-252024-04-250000886128fcel:PrepaymentOnOrPriorToSecondAnniversaryMemberfcel:DerbySeniorBackLeverageLoanFacilityMemberfcel:BackLeverageFinancingMember2024-04-252024-04-250000886128fcel:PrepaymentAfterSecondAnniversaryOfClosingDateButOnOrPriorToFourthAnniversaryMemberfcel:DerbySeniorBackLeverageLoanFacilityMemberfcel:BackLeverageFinancingMember2024-04-252024-04-250000886128fcel:PrepaymentAfterFourthAnniversaryOfClosingDateButOnOrPriorToSeventhAnniversaryMemberfcel:DerbySeniorBackLeverageLoanFacilityMemberfcel:BackLeverageFinancingMember2024-04-252024-04-250000886128srt:MinimumMemberfcel:DerbySeniorBackLeverageLoanFacilityMemberfcel:BackLeverageFinancingMember2024-04-250000886128srt:MinimumMemberfcel:BackLeverageFinancingMember2024-04-250000886128us-gaap:NoncontrollingInterestMember2023-11-012024-01-3100008861282023-11-012024-01-310000886128us-gaap:SubsequentEventMember2024-05-280000886128fcel:RelativeTotalShareholderReturnPerformanceSharesMemberfcel:LongTermIncentivePlanFiscal2024Member2024-04-300000886128fcel:FranklinParkTaxEquityFinancingTransactionsMember2022-11-012023-10-310000886128fcel:GrotonProjectMember2023-11-012024-01-310000886128fcel:DerbyProject2.8MegaWattMember2023-11-012024-04-300000886128fcel:DerbyProject14.0MegaWattMember2023-11-012024-04-300000886128fcel:CtRfp2Derby14.9MegaWattProjectMember2023-11-012024-04-300000886128fcel:DerbyProject2.8MegaWattMemberfcel:FranklinParkTaxEquityFinancingTransactionsMember2023-08-012023-10-310000886128fcel:DerbyProject14.0MegaWattMemberfcel:FranklinParkTaxEquityFinancingTransactionsMember2023-08-012023-10-310000886128fcel:LIPYaphankProjectMemberfcel:TaxEquityFinancingTransactionWithReiFor7.4MwFuelCellProjectMember2021-11-012021-11-300000886128fcel:GrotonProjectMemberfcel:TaxEquityFinancingTransactionWithReiFor7.4MwFuelCellProjectMember2021-08-012021-08-310000886128fcel:FirstHalfCalendarYear2026Memberfcel:GyeonggiGreenEnergyMemberus-gaap:SubsequentEventMember2024-05-282024-05-280000886128fcel:Fall2024Memberfcel:GyeonggiGreenEnergyMemberus-gaap:SubsequentEventMember2024-05-282024-05-280000886128fcel:CalendarYear2025Memberfcel:GyeonggiGreenEnergyMemberus-gaap:SubsequentEventMember2024-05-282024-05-280000886128fcel:GyeonggiGreenEnergyMemberus-gaap:SubsequentEventMember2024-05-282024-05-280000886128us-gaap:SubsequentEventMemberfcel:AmendedOpenMarketSalesAgreement2022Member2024-05-012024-05-010000886128fcel:JefferiesLlcB.rileySecuritiesBarclaysCapitalIncBmocorpBofaSecuritiesCanacordGenuityLlcCitigroupGlobalMarketsIncJ.p.morganSecuritiesLlcAndLoopCapitalMarketsLlcMemberus-gaap:CommonStockMemberfcel:AmendedOpenMarketSalesAgreement2022Member2023-11-012024-04-300000886128fcel:JefferiesLlcB.rileySecuritiesBarclaysCapitalIncBmocorpBofaSecuritiesCanacordGenuityLlcCitigroupGlobalMarketsIncJ.p.morganSecuritiesLlcAndLoopCapitalMarketsLlcMemberus-gaap:CommonStockMemberfcel:TwoZeroTwoTwoOpenMarketSaleAgreementMember2022-07-122024-04-300000886128srt:MaximumMemberfcel:AmendmentNo5ToEmtecJointDevelopmentAgreementMember2024-04-300000886128fcel:JefferiesLlcB.rileySecuritiesBarclaysCapitalIncBmocorpBofaSecuritiesCanacordGenuityLlcCitigroupGlobalMarketsIncJ.p.morganSecuritiesLlcAndLoopCapitalMarketsLlcMemberus-gaap:CommonStockMemberfcel:AmendedOpenMarketSalesAgreement2022Member2024-04-300000886128fcel:JefferiesLlcB.rileySecuritiesBarclaysCapitalIncBmocorpBofaSecuritiesCanacordGenuityLlcCitigroupGlobalMarketsIncJ.p.morganSecuritiesLlcAndLoopCapitalMarketsLlcMemberus-gaap:CommonStockMemberfcel:AmendedOpenMarketSalesAgreement2022Member2024-04-102024-04-100000886128fcel:JefferiesLlcAndBarclaysCapitalIncMemberus-gaap:CommonStockMemberfcel:TwoZeroTwoTwoOpenMarketSaleAgreementMember2024-04-102024-04-1000008861282022-11-012023-04-3000008861282024-04-3000008861282023-10-3100008861282024-02-012024-04-3000008861282024-06-0500008861282023-11-012024-04-30fcel:Dxbrli:sharesiso4217:USDutr:Tiso4217:USDxbrli:sharesutr:MWxbrli:purefcel:itemfcel:Plantfcel:project

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended April 30, 2024

OR

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from             to

Commission file number: 1-14204

Graphic

FUELCELL ENERGY, INC.

(Exact name of registrant as specified in its charter)

Delaware

06-0853042

(State or other jurisdiction of

incorporation or organization)

(I.R.S. Employer

Identification No.)

3 Great Pasture Road

Danbury, Connecticut

06810

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: (203825-6000

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common stock, par value $0.0001 per share

FCEL

The Nasdaq Stock Market LLC

(Nasdaq Global Market)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes       No  

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes       No  

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer”, “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes      No  

Number of shares of common stock, par value $0.0001 per share, outstanding as of June 5, 2024: 497,046,680

]

FUELCELL ENERGY, INC.

FORM 10-Q

Table of Contents

    

    

Page

PART I - FINANCIAL INFORMATION

Item 1.

Financial Statements.

3

Consolidated Balance Sheets as of April 30, 2024 and October 31, 2023.

3

Consolidated Statements of Operations and Comprehensive Loss for the three months ended April 30, 2024 and 2023.

4

Consolidated Statements of Operations and Comprehensive Loss for the six months ended April 30, 2024 and 2023.

5

Consolidated Statements of Changes in Equity for the three and six months ended April 30, 2024.

6

Consolidated Statements of Changes in Equity for the three and six months ended April 30, 2023.

7

Consolidated Statements of Cash Flows for the six months ended April 30, 2024 and 2023.

8

Notes to Consolidated Financial Statements.

9

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations.

25

Item 3.

Quantitative and Qualitative Disclosures about Market Risk.

56

Item 4.

Controls and Procedures.

57

PART II - OTHER INFORMATION

Item 1.

Legal Proceedings.

58

Item 1A.

Risk Factors.

58

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds.

59

Item 3.

Defaults Upon Senior Securities.

59

Item 4.

Mine Safety Disclosures.

59

Item 5.

Other Information.

59

Item 6.

Exhibits.

60

Signatures

62

2

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

FUELCELL ENERGY, INC.

Consolidated Balance Sheets

(Unaudited)

(Amounts in thousands, except share and per share amounts)

April 30,

October 31,

    

2024

    

2023

ASSETS

Current assets:

Cash and cash equivalents, unrestricted

$

158,790

$

249,952

Restricted cash and cash equivalents - short-term

4,969

5,159

Investments - short-term

101,340

103,760

Accounts receivable, net

7,155

3,809

Unbilled receivables

26,409

16,296

Inventories

113,918

84,456

Other current assets

13,262

12,881

Total current assets

425,843

476,313

Restricted cash and cash equivalents - long-term

48,134

44,465

Inventories - long-term

2,743

7,329

Project assets, net

256,607

258,066

Property, plant and equipment, net

111,576

89,668

Operating lease right-of-use assets, net

8,036

8,352

Goodwill

4,075

4,075

Intangible assets, net

15,428

16,076

Other assets

44,387

51,176

Total assets (1)

$

916,829

$

955,520

LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:

Current portion of long-term debt

$

11,733

$

10,067

Current portion of operating lease liabilities

752

599

Accounts payable

21,614

26,518

Accrued liabilities

24,143

26,313

Deferred revenue

6,756

2,406

Total current liabilities

64,998

65,903

Long-term deferred revenue

987

732

Long-term operating lease liabilities

8,857

8,992

Long-term debt and other liabilities

130,030

119,588

Total liabilities (1)

204,872

195,215

Redeemable Series B preferred stock (liquidation preference of $64,020 as of
April 30, 2024 and October 31, 2023)

59,857

59,857

Total equity:

Stockholders’ equity:

Common stock ($0.0001 par value); 1,000,000,000 shares authorized as of April 30, 2024 and October 31, 2023; 458,406,776 and 450,626,862 shares issued and outstanding as of April 30, 2024 and October 31, 2023, respectively

46

45

Additional paid-in capital

2,208,951

2,199,661

Accumulated deficit

(1,567,474)

(1,515,541)

Accumulated other comprehensive loss

(1,717)

(1,672)

Treasury stock, Common, at cost (324,814 and 246,468 shares as of April 30, 2024
and October 31, 2023, respectively)

(1,164)

(1,078)

Deferred compensation

1,164

1,078

Total stockholders’ equity

639,806

682,493

Noncontrolling interests

12,294

17,955

Total equity

652,100

700,448

Total liabilities, redeemable Series B preferred stock and total equity

$

916,829

$

955,520

(1)As of April 30, 2024 and October 31, 2023, the combined assets of the variable interest entities (“VIEs”) were $315,534 and $235,290, respectively, that can only be used to settle obligations of the VIEs.  These assets include cash of $5,153, accounts receivable of $182, unbilled accounts receivable of $7,490, operating lease right of use assets of $1,671, other current assets of $130,353, restricted cash and cash equivalents of $626, project assets of $166,098 and other assets of $3,962 as of April 30, 2024, and cash of $4,797, unbilled accounts receivable of $1,876, operating lease right of use assets of $1,680, other current assets of $50,713,  restricted cash and cash equivalents of $526, project assets of $170,444, derivative assets of $4,127 and other assets of $1,125 as of October 31, 2023. The combined liabilities of the VIEs as of April 30, 2024 include short-term operating lease liabilities of $203, accounts payable of $180,224, long-term operating lease liability of $2,150 and other non-current liabilities of $2,175 and, as of October 31, 2023, include short-term operating lease liabilities of $203, accounts payable of $165,824, long-term operating lease liability of $2,159 and other non-current liabilities of $187.

See accompanying notes to consolidated financial statements.

3

FUELCELL ENERGY, INC.

Consolidated Statements of Operations and Comprehensive Loss

(Unaudited)

(Amounts in thousands, except share and per share amounts)

Three Months Ended April 30,

    

2024

    

2023

Revenues:

Product

$

-

$

-

Service

1,369

26,190

Generation

14,118

8,440

Advanced Technologies

6,933

3,719

Total revenues

22,420

38,349

Costs of revenues:

Product

2,938

3,486

Service

1,267

20,113

Generation

21,424

17,081

Advanced Technologies

3,865

3,762

Total costs of revenues

29,494

44,442

Gross loss

(7,074)

(6,093)

Operating expenses:

Administrative and selling expenses

17,660

15,068

Research and development expenses

16,627

14,697

Total costs and expenses

34,287

29,765

Loss from operations

(41,361)

(35,858)

Interest expense

(2,275)

(1,502)

Interest income

3,390

3,688

Other income (expense), net

2,590

(236)

Loss before provision for income taxes

(37,656)

(33,908)

Provision for income taxes

-

(3)

Net loss

(37,656)

(33,911)

Net (loss) income attributable to noncontrolling interests

(5,516)

392

Net loss attributable to FuelCell Energy, Inc.

(32,140)

(34,303)

Series B preferred stock dividends

(800)

(800)

Net loss attributable to common stockholders

$

(32,940)

$

(35,103)

Loss per share basic and diluted:

Net loss per share attributable to common stockholders

$

(0.07)

$

(0.09)

Basic and diluted weighted average shares outstanding

452,984,445

406,316,070

Three Months Ended April 30,

    

2024

    

2023

Net loss

$

(37,656)

$

(33,911)

Other comprehensive loss:

Foreign currency translation adjustments

(78)

(151)

Total comprehensive loss

$

(37,734)

$

(34,062)

Comprehensive (loss) income attributable to noncontrolling interests

(5,516)

392

Comprehensive loss attributable to FuelCell Energy, Inc.

$

(32,218)

$

(34,454)

4

FUELCELL ENERGY, INC.

Consolidated Statements of Operations and Comprehensive Loss

(Unaudited)

(Amounts in thousands, except share and per share amounts)

Six Months Ended April 30,

    

2024

    

2023

    

Revenues:

Product

$

-

$

9,095

Service

2,986

40,072

Generation

24,611

17,997

Advanced Technologies

11,514

8,258

Total revenues

39,111

75,422

Costs of revenues:

Product

5,329

4,515

Service

3,155

31,058

Generation

42,318

33,683

Advanced Technologies

7,108

7,022

Total costs of revenues

57,910

76,278

Gross loss

(18,799)

(856)

Operating expenses:

Administrative and selling expenses

34,060

30,077

Research and development expenses

30,980

27,380

Total costs and expenses

65,040

57,457

Loss from operations

(83,839)

(58,313)

Interest expense

(4,613)

(3,014)

Interest income

7,457

7,098

Other expense, net

(1,060)

(187)

Loss before provision for income taxes

(82,055)

(54,416)

Provision for income taxes

-

(581)

Net loss

(82,055)

(54,997)

Net loss attributable to noncontrolling interests

(30,122)

(2,072)

Net loss attributable to FuelCell Energy, Inc.

(51,933)

(52,925)

Series B preferred stock dividends

(1,600)

(1,600)

Net loss attributable to common stockholders

$

(53,533)

$

(54,525)

Loss per share basic and diluted:

Net loss per share attributable to common stockholders

$

(0.12)

$

(0.13)

Basic and diluted weighted average shares outstanding

452,303,339

406,055,027

Six Months Ended April 30,

    

2024

    

2023

    

Net loss

$

(82,055)

$

(54,997)

Other comprehensive income (loss):

Foreign currency translation adjustments

(45)

296

Total comprehensive loss

$

(82,100)

$

(54,701)

Comprehensive loss attributable to noncontrolling interests

(30,122)

(2,072)

Comprehensive loss attributable to FuelCell Energy, Inc.

$

(51,978)

$

(52,629)

See accompanying notes to consolidated financial statements.

5

FUELCELL ENERGY, INC.

Consolidated Statements of Changes in Equity

(Unaudited)

(Amounts in thousands, except share amounts)

Common Stock

    

Shares

    

Amount

    

Additional
Paid-in
Capital

    

Accumulated
Deficit

    

Accumulated
Other
Comprehensive
Loss

    

Treasury
Stock

    

Deferred
Compensation

Total Stockholders' Equity

Noncontrolling Interests

    

Total
Equity

Balance, October 31, 2023

450,626,862

$

45

$

2,199,661

$

(1,515,541)

$

(1,672)

$

(1,078)

$

1,078

$

682,493

$

17,955

$

700,448

Common stock issued, non-employee compensation

44,398

51

51

51

Stock issued under benefit plans, net of taxes paid upon vesting of restricted stock awards

1,235,192

(926)

(926)

(926)

Share based compensation

2,876

2,876

2,876

Preferred dividends — Series B

(800)

(800)

(800)

Effect of foreign currency translation

33

33

33

Adjustment for deferred compensation

(44,398)

(51)

51

Contributions received from sale of noncontrolling interest

25,122

25,122

Distribution to noncontrolling interests

(236)

(236)

Net Loss

(19,793)

(19,793)

(24,606)

(44,399)

Balance, January 31, 2024

451,862,054

$

45

$

2,200,862

$

(1,535,334)

$

(1,639)

$

(1,129)

$

1,129

$

663,934

$

18,235

$

682,169

Sale of common stock, net of fees

6,463,716

1

5,892

5,893

5,893

Common stock issued, non-employee compensation

46,357

47

47

47

Stock issued under benefit plans, net of taxes paid upon vesting of restricted stock awards

68,597

(52)

(52)

(52)

Share based compensation

3,002

3,002

3,002

Preferred dividends — Series B

(800)

(800)

(800)

Effect of foreign currency translation

(78)

(78)

(78)

Adjustment for deferred compensation

(33,948)

(35)

35

Distribution to non-controlling interest

(425)

(425)

Net Loss

(32,140)

(32,140)

(5,516)

(37,656)

Balance, April 30, 2024

458,406,776

$

46

$

2,208,951

$

(1,567,474)

$

(1,717)

$

(1,164)

$

1,164

$

639,806

$

12,294

$

652,100

6

FUELCELL ENERGY, INC.

Consolidated Statements of Changes in Equity

(Unaudited)

(Amounts in thousands, except share amounts)

Common Stock

 

 

Shares

 

Amount

Additional
Paid-in
Capital

 

Accumulated
Deficit

 

Accumulated
Other
Comprehensive
Loss

 

Treasury
Stock

 

Deferred
Compensation

 

Total Stockholders' Equity

 

Noncontrolling Interests

 

Total
Equity

Balance, October 31, 2022

405,562,988

$

41

$

2,094,076

$

(1,407,973)

$

(1,752)

$

(855)

$

855

$

684,392

$

7,105

$

691,497

Common stock issued, non-employee compensation

21,106

68

68

68

Stock issued under benefit plans, net of taxes paid upon vesting of restricted stock awards

169,065

(314)

(314)

(314)

Share based compensation

2,637

2,637

2,637

Preferred dividends — Series B

(800)

(800)

(800)

Effect of foreign currency translation

447

447

447

Adjustment for deferred compensation

(21,106)

(68)

68

Reclassification of redeemable non-controlling interest

3,030

3,030

Distribution to non-controlling interest

(106)

(106)

Net Loss

(18,622)

(18,622)

(2,464)

(21,086)

Balance, January 31, 2023

405,732,053

$

41

$

2,095,667

$

(1,426,595)

$

(1,305)

$

(923)

$

923

$

667,808

$

7,565

$

675,373

Sale of common stock, net of fees

949,438

2,663

2,663

2,663

Stock issued under benefit plans, net of taxes paid upon vesting of restricted stock awards

57,222