The Agreement Behind the Site

FuelCell Energy and Fit Energy first announced their strategic agreement in June. It covers up to 380 megawatts (MW) of baseload on-site power for data centers and included an immediate deposit for an initial 30 MW. "This agreement further validates our decision to scale our operations to 500 MW, preserving our ability to serve a broad and growing pipeline of customers," said Jason Few, President and Chief Executive Officer of FuelCell Energy.

The deal runs in four phases. FuelCell expects to begin delivering the first 30 MW phase in the fourth quarter of fiscal 2026. After that, Fit Energy can elect, at its sole option, to proceed with phases of 100 MW, 125 MW and 125 MW, each with an initial deposit due at election. In addition, Fit Energy is eligible to receive warrants tied to deployment milestones of up to 380 MW.

A Growing Data Center Backlog

The Fit Energy agreement already shows up in FuelCell's numbers. For its fiscal third quarter ended July 31, 2026, the company reported committed backlog of $1.3 billion, including Fit Energy's 30 MW commitment. It also added $2.4 billion to awarded capacity backlog tied to Fit Energy's option for up to 350 MW more, bringing combined committed and awarded backlog to $3.6 billion.

Fit Energy is not the only data center customer in the works. After the quarter ended, FuelCell signed its first capacity reservation agreement with a major data center operator for a planned 75 MW project in Texas, supported by an upfront reservation payment. Meanwhile, the company is expanding its Torrington, Connecticut facility to 500 MW of annualized production capacity, with completion expected by June 2028, and signed a memorandum of understanding with Siemens aimed at faster deployment of projects above 100 MW.

Funding the Ramp to Data Center Deliveries

Turning that backlog into revenue is the next step, and the latest quarter shows where FuelCell stands as it gets there. Third-quarter revenue was $33.0 million, compared with $46.7 million a year earlier, and the company reported a gross loss of $24.5 million. Even so, FuelCell ended the quarter with $737.3 million in cash, cash equivalents and restricted cash as it expands its Torrington facility to meet orders like Fit Energy's.

The data center pipeline also sits at the center of the company's profitability goal. On October 7, FuelCell reaffirmed its target of positive adjusted EBITDA in the fourth quarter of fiscal 2027, subject to factors that include its planned production increase and the conversion of awarded capacity backlog, such as Fit Energy's optional phases, into committed backlog. The company said it remains focused on turning a commercial pipeline driven by demand for AI and data center power into durable growth.

The same announcement named a new finance chief for that next stage. Matthew Latino, previously a senior finance executive at Xylem, succeeded Michael Bishop as Chief Financial Officer on October 7 in a planned transition. Bishop, CFO for 15 years, will stay on as a senior advisor through the 2027 annual meeting.

Strategic Investment Summary

• Pennsylvania Site: FuelCell Energy, Inc. (NASDAQ: FCEL) is set to supply fuel cells for Fit Energy's planned data center project in Luzerne County, Pennsylvania.
• Phased Agreement: The Fit Energy agreement covers up to 380 MW, beginning with a 30 MW phase expected to start delivery in the fourth quarter of fiscal 2026.
• Backlog Growth: Combined committed and awarded capacity backlog reached $3.6 billion as of July 31, 2026.
• New Customer: FuelCell signed its first capacity reservation agreement for a planned 75 MW data center project in Texas.
• Cash Position: The company held $737.3 million in cash, cash equivalents and restricted cash at quarter-end.
• Leadership: Matthew Latino became CFO on October 7, 2026, as FuelCell reaffirmed its target of positive adjusted EBITDA in the fourth quarter of fiscal 2027.

Find out more about the latest corporate developments and financial reports at the FuelCell Energy investor portal.

The post FuelCell Energy's Data Center Push Gains a Site as Fit Energy Targets Pennsylvania appeared first on PRISM MarketView.

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