Class Action Lawsuit Follows Fluence’s Cut to 2026 Revenue Forecast to $2.4 Billion
Key Facts
Fluence Energy faces a securities class action lawsuit involving shares purchased by investors during the period specified in the complaint, following the company’s September 16 cut to its fiscal 2026 revenue forecast to about $2.4 billion, from the midpoint of its previous forecast of about $3.0 billion. The lawsuit was filed on September 28, according to the draft provided, while the forecast cut is based on the company’s filing with the U.S. Securities and Exchange Commission. Fluence attributed the update largely to ongoing supply chain problems that affected production in the United States. The lawsuit highlights the consequences of the sharp forecast reduction, while the plaintiffs’ claims remain allegations on which no judgment has been issued in the available facts. The company also lowered its fiscal-year adjusted EBITDA loss forecast to about $200 million, compared with the midpoint of a previous forecast for a loss of about $10 million.
Then-CEO Julian Nebreda said demand for the company’s products remained strong in the United States and international markets, but noted that delays in ramping up production at its contract manufacturing facility in Houston were the main reason for the forecast cut. The statement places continued demand alongside difficulties converting it into production and deliveries on the expected timeline. Fluence said on August 5 that project deliveries worth $400 million would be delayed until fiscal 2027. The company attributed the delays to production problems at a new international contract manufacturing facility and construction delays that affected the completion and commissioning of a new U.S. facility. In its disclosures, these factors appear as pressures on production and delivery schedules, alongside the subsequent decline in revenue and adjusted earnings estimates.
In the fiscal third quarter ended June 30, 2026, Fluence recorded revenue of about $649.8 million, up from $602.5 million in the same period a year earlier. The company said higher delivery volumes of energy storage solutions supported revenue, while weaker-than-expected results reflected production delays at new contract manufacturing facilities. New orders during the quarter exceeded $1.44 billion, compared with about $508.8 million in the same period, nearly three times as much. This points to a strong base of new orders in the same quarter in which the company cited manufacturing and delivery constraints. Despite revenue and order growth, production problems sustained the pressures the company cited in its annual forecast update.
On leadership, a company filing says Nebreda left the CEO role and resigned from the board on October 30, effective immediately. The filing added that his board resignation was not the result of any disagreement with the company over its operations, policies or practices. In a subsequent announcement about strengthening the leadership team, Chairman Herman Bulls said the board was “taking decisive steps to strengthen leadership, sharpen accountability and support Fluence’s long-term success.” These changes follow the forecast cut and production problems announced by the company. Bulls’ statement links the board’s direction to strengthening leadership and accountability, while the filing made no judgment on the lawsuit’s allegations.
Fluence scheduled the release of its fiscal 2026 results after the market close on November 23, with an earnings call before the market opens on November 24 at 8:30 a.m. Eastern Time. The company said fiscal 2027 guidance would be issued at a later date. The annual results will be the next announced milestone for assessing the company’s performance over the year, following the cut to its revenue forecast and revision to its operating loss estimate. The announced schedule also allows the company to present its fiscal-year results before issuing guidance for the following year. Fluence did not specify a date for that guidance.