FuelCell Just Landed the Deal That Could Finally Turn It Profitable

FuelCell Energy (FCEL) had a big win earlier in the week. The stock jumped over 11% on Monday after the company announced a new collaboration with Siemens to develop scalable fuel cell power solutions. Under the partnership, Siemens will design and supply the electrical systems needed for large fuel cell installations. This should help FuelCell roll out commercial projects of 100 megawatts or more. The two companies also plan to work together across engineering, integration, and delivery, combining fuel cells with battery storage and microgrid controls.

For FuelCell, the timing of this deal matters a lot. The 100-plus MW project is expected to have a significant impact on the company’s profitability. As I covered earlier, the management said that the company’s EBITDA, which was negative $17.1 million last quarter, should turn positive once annual production reaches or exceeds 100 MW. So a deal that pushes project sizes into that range doesn’t just add revenue; it moves FuelCell closer to actually making money.