Bloom Energy Q4 Results Show Record 2025 Revenue
Bloom Energy Q4 results show AI data-center demand and a raised 2026 outlook, leaving traders to weigh backlog conversion, margins and profit targets.
KEY TAKEAWAYS
- Bloom Energy reported record 2025 revenue driven by AI data-center and commercial demand.
- Management raised 2026 guidance and set higher gross-margin and operating-income targets.
- Backlog conversion and sustained service profitability will determine execution and target attainment.
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Bloom Energy reported Q4 results on Feb. 5, highlighting stronger AI data-center and commercial demand and raising its 2026 outlook. Management shifted focus to converting backlog and achieving higher operating-profit targets.
Record 2025 Revenue
Bloom Energy posted record full-year revenue of $2.02 billion for 2025, a 37.3% increase from 2024, driven by AI data-center deployments and commercial-and-industrial demand, the company said in a press release. Fourth-quarter revenue rose 35.9% year-over-year to $777.7 million, with non-GAAP earnings per share of $0.45, surpassing prior estimates.
2026 Guidance, Margins, and Backlog
The company projected 2026 revenue between $3.1 billion and $3.3 billion, targeting a non-GAAP gross margin near 32% and non-GAAP operating income of $425 million to $475 million, roughly doubling operating income from 2025. Full-year 2025 non-GAAP gross margin improved to 30.3% from 28.7% in 2024, despite a decline in fourth-quarter gross margin to 31.9% from 39.3% the prior year. The service segment achieved a 20% non-GAAP gross margin in Q4, marking its eighth consecutive profitable quarter.
Bloom Energy reported a product backlog of about $6 billion, roughly 2.5 times year-over-year growth, and a service backlog near $14 billion, totaling approximately $20 billion. More than 80% of the U.S. backlog comes from states outside California and the Northeast. Commercial partnerships include a roughly $5 billion engagement with Brookfield Asset Management for AI facilities and a $2.65 billion fuel-cell order from American Electric Power.
Operating cash flow for 2025 was positive $114 million, and the company ended the year with over $2 billion in cash after convertible-debt adjustments. Management emphasized its 800-volt DC power technology, which eliminates transformers and supports rapid load following for AI workloads without batteries, making it suitable for on-site power at hyperscale data centers.
The expanded 2026 guidance shifts the narrative from a single strong quarter to execution. Converting the sizable backlog into installations while maintaining service profitability will determine whether Bloom Energy meets its revenue and operating-income targets.
