FuelCell Energy Inc (NASDAQ:FCEL) stock rose 3.17% (As on June 12, 11:23:04 AM UTC-4, Source: Google Finance) after the company posted better than expected results for the second quarter of FY 24. Service agreements revenues decreased to $1.4 million from $26.2 million. The decrease in service agreements revenues during the three months ended April 30, 2024 was primarily driven by the fact that there were no module exchanges during the quarter. Service agreements revenues recognized during the second quarter of fiscal 2023 were primarily driven by module exchanges at the plants owned by Korea Southern Power Company in Korea. Generation revenues increased 67% to $14.1 million from $8.4 million, primarily driven by revenue generated by the Toyota and Derby projects, all of which began operations in the first quarter of fiscal 2024. Advanced Technologies contract revenues increased to $6.9 million from $3.7 million. Net loss was $(37.7) million in the second quarter of fiscal 2024, compared to net loss of $(33.9) million in the second quarter of fiscal 2023. Adjusted EBITDA totaled $(26.5) million in the second quarter of fiscal 2024, compared to Adjusted EBITDA of $(26.0) million in the second quarter of fiscal 2023. Cash and cash equivalents, restricted cash and cash equivalents, and short-term investments totaled $313.2 million as of April 30, 2024, compared to $403.3 million as of October 31, 2023. Of the $313.2 million total as of April 30, 2024, unrestricted cash and cash equivalents totaled $158.8 million, short-term investments totaled $101.3 million and restricted cash and cash equivalents totaled $53.1 million.

FCEL in the second quarter of FY 24 has reported the adjusted loss per share of 7 cents, beating the analysts’ estimates for the adjusted loss per share of 8 cents, according to the Zacks Consensus Estimate. The company had reported the adjusted revenue growth of 35.9 percent to $22.42 million in the second quarter of FY 24, beaing the analysts’ estimates for revenue by 1.36%. Gross loss for the second quarter of fiscal 2024 totaled $(7.1) million, compared to a gross loss of $(6.1) million in the comparable prior year quarter. The gross loss for the second quarter of fiscal 2024 is, in part, a result of unfavorable margins for generation, which included expensed construction and gas costs related to the Toyota Project of $2.6 million and a mark-to-market net loss of $2.3 million related to natural gas purchase contracts in the three months ended April 30, 2024. The gross loss in the comparable prior year period is a direct result of lower generation margins due to $4.5 million of expensed construction and gas costs related to the Toyota project.