The U.S. clean energy company, Bloom Energy (NYSE: BE), saw a 6.9% pre-market increase on Friday, despite posting a first-quarter adjusted loss that exceeded expectations. The company, however, maintained its full-year performance outlook. Additionally, it announced a power capacity agreement with Intel (INTC), which is expected to make Silicon Valley home to the largest fuel cell-powered computing data center.
Bloom Energy develops fuel cells as a cleaner and more affordable alternative energy option. The company’s first-quarter losses decreased to $57.5 million, or $0.25 per share, compared to $71.6 million, or $0.35 per share, in the same period last year. Its revenue declined by 15% year-over-year to $235.3 million, with product and service revenue decreasing by 11% to $209.8 million.
Nevertheless, Bloom Energy reiterated its full-year 2024 revenue guidance, anticipating revenue of $1.4 billion to $1.6 billion, aligning with the Wall Street analysts’ general expectation of $1.49 billion. Furthermore, the company expects non-GAAP operating income to range from $75 million to $100 million. Bloom CEO KR Sridhar expressed strong market interest, growing momentum, and robust business activity in various end markets. He also views data centers and the artificial intelligence hardware supply chain industry as strong growth opportunities.
Under the agreement with Intel, Intel’s existing computing data center in Santa Clara, California, will provide additional capacity for Bloom Energy’s fuel cell-based servers. Truist analyst Jordan Levy suggested that Bloom’s long-term focus on the data center market may attract investor attention. Earlier in April, Bloom Energy announced that it would receive up to $75 million in federal tax credits. These funds will enable the company to invest in operational efficiency at its Fremont facility and accelerate stack capacity expansion.
