Wednesday, August 8, 2018

Bloom Could Have Huge Service Liabilities

I sent this email five minutes ago to the SEC, Bloom Officers, and the green journalists

Good journalists should ask Bloom about their very low growth in Service Revenue over the past year.  Only 5.8% growth.

The installed base has grown by 26% in kilowatts of capacity.

Taking the $19.975 million of service revenue per quarter and dividing by 328,000 kw of installed base we have service revenue of $60.90 per kw per quarter.

Bloom claims a 5 year life (20 quarters).  This means service revenue over 5 years will total $1,218 per kw.  I do not believe this is enough to cover the service costs.  We know from Delaware  that there is much deferred maintenance. In Delaware almost 10% of capacity is lost due to lack of replacement parts. 

Bloom could have enormous service liabilities that are not shown on their books.

The SEC is requested to add this to the SEC file on Bloom Energy.