Factorial Energy (NASDAQ:FAC) Posts Earnings Results, Beats Estimates By $0.17 EPS

Factorial Energy (NASDAQ:FAC) released its quarterly earnings data on Tuesday. The company reported $0.07 EPS for the quarter, topping analysts’ consensus estimates of ($0.10) by $0.17, Zacks reports.

Here are the key takeaways from Factorial Energy’s conference call:

• Factorial recorded its first customer revenue in Q3 2026—about $26,000 from initial drone-cell shipments—beating its prior 2027 timeline. Management expects more meaningful commercial revenue in 2027, though it has not provided a specific forecast.
• The company said its aerospace cells reached 450 Wh/kg, about 15% above the cells used in its record-setting drone flight. It is qualifying products with additional customers and sees demand potential as U.S. restrictions on certain foreign battery suppliers approach.
• Factorial is expanding manufacturing capacity and pursuing a capital-light model with industrial partners, including an MOU with SK On to evaluate production across its network. The company also said its pilot-line yield reached about 85%, while acknowledging that the figure excludes coating and that gigafactory-scale yields would need to be higher.
• Q3 gross loss was $1.8 million, largely reflecting an inventory write-down, and management said early production volumes and high material costs mean cells currently cost more to make than expected selling prices. Revenue is expected to remain modest and fluctuate until production programs ramp.
• Factorial lowered its 2026 non-GAAP operating-expense outlook to $36 million–$38 million from about $40 million and cut its capital-expenditure outlook to $10 million–$12 million from about $13 million. Some equipment payments may shift into early 2027, and the company expects higher spending in Q4 as costs move between periods.

Factorial Energy Stock Down 4.7%

NASDAQ:FAC traded down $0.21 during trading hours on Tuesday, reaching $4.26. The company had a trading volume of 257,784 shares, compared to its average volume of 303,208. The business has a 50-day simple moving average of $5.13. Factorial Energy has a one year low of $3.87 and a one year high of $25.33. The firm has a market cap of $455.91 million, a price-to-earnings ratio of -6.45 and a beta of 1.17.

Wall Street Analysts Forecast Growth

FAC has been the topic of a number of analyst reports. Weiss Ratings raised shares of Factorial Energy from a “sell (e)” rating to a “sell (d)” rating in a research note on Friday, September 25th. Wall Street Zen lowered shares of Factorial Energy from a “sell” rating to a “strong sell” rating in a research report on Sunday, August 16th. Oppenheimer began coverage on shares of Factorial Energy in a research note on Tuesday, August 25th. They set an “outperform” rating and a $8.00 price target for the company. Finally, Cantor Fitzgerald reaffirmed an “overweight” rating and set a $18.00 price objective on shares of Factorial Energy in a report on Wednesday, August 12th. Two analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Factorial Energy currently has a consensus rating of “Hold” and an average target price of $13.00.

About Factorial Energy

Factorial Energy is a U.S.-based battery technology company developing solid-state batteries for electric vehicles and other energy-storage applications. Its technology is designed to improve energy density, safety and charging performance compared with conventional lithium-ion batteries. The company’s core platform, known as FEST (Factorial Electrolyte System Technology), uses a proprietary solid electrolyte and is intended to be compatible with existing lithium-ion battery manufacturing infrastructure.