BE · 10-Q · 2026Q1 · Full report
Performance Guarantee Exposure
Bloom Energy Corp · 2026-04-29 · Importance 64 · Surprise 42
Bloom’s O&M agreements include performance guarantees capped at approximately $583.3 million in aggregate, comprised of $473.2 million related to portfolio financing entities and $110.1 million related to other transactions. As of March 31, 2026 the company’s aggregate remaining potential payments under these underperformance obligations were approximately $470.9 million. Bloom made performance guarantee payments of $8.4 million in Q1 2026 (and $11.6 million in Q1 2025), and future service revenue is exposed to payments for low output and low efficiency under these caps. This represents a material contingent exposure that could affect future service margins and cash flows.
Key facts
- As of March 31, 2026, capped aggregate payments for O&M-related performance guaranties: approximately $583.3 million (including $473.2 million related to portfolio financing entities and $110.1 million related to all other transactions)
- As of March 31, 2026, aggregate remaining potential payment related to underperformance obligations: approximately $470.9 million
- Company recorded performance guarantee payments of $8.4 million for the three months ended March 31, 2026
- Company recorded performance guarantee payments of $11.6 million for the three months ended March 31, 2025
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| liability | negative | contingent | -1.9% | As of March 31, 2026, capped aggregate payments for O&M-related performance guaranties: approximately $583.3 million (including $473.2… |
| liability | negative | contingent | -1.5% | As of March 31, 2026, aggregate remaining potential payment related to underperformance obligations: approximately $470.9 million |