Clean Energy Fuels 2025 Q2 Earnings Wider Losses Despite Revenue Growth

Clean Energy Fuels reported mixed Q2 2025 results, with revenue rising but net losses expanding. The earnings fell short of profitability, with the company failing to meet or beat expectations. No guidance adjustments were provided in the report.

Revenue
Revenue for Clean Energy Fuels rose 4.8% year-over-year to $102.61 million in the second quarter of 2025. Product revenue totaled $87.11 million, driven by volume-related revenue of $79.23 million and fuel sales of $67.88 million. RIN Credits added $9.20 million, and LCFS Credits contributed $2.70 million, while a negative adjustment from the change in fair value of derivative instruments reduced revenue by $545,000. The company also recorded a $11,000 negative impact from AFTC. Station construction sales amounted to $7.88 million, and service revenue reached $15.50 million, including $14.85 million from volume-related operations and maintenance services and $649,000 from other services.

Earnings/Net Income
Clean Energy Fuels posted a per-share loss of $0.09 in Q2 2025, an increase from a loss of $0.07 in the same period the prior year. Net income fell to a loss of $20.41 million, a 23.9% increase in losses from $16.47 million in 2024 Q2, marking a deteriorating earnings performance.

Price Action
CLNE’s stock price edged down 0.49% during the latest trading day but recovered with a 0.49% gain over the past week. However, the stock has declined 4.23% month-to-date, reflecting ongoing pressure in the market.

Post-Earnings Price Action Review
The performance of a strategy involving buying CLNE shares 30 days after a quarter-over-quarter revenue increase following the earnings date has been highly negative over the past three years. The strategy delivered a compound annual growth rate of -33.74%, a total return of -66.35%, and an excess return of -126.69%. This underperformance was marked by a high maximum drawdown of 0.00% and a Sharpe ratio of -0.55, signaling significant risk and poor returns.

CEO Commentary
Andrew J. Littlefair, President and Chief Executive Officer, emphasized the company’s strong RNG demand and highlighted RNG as the most immediate and cost-effective clean transportation fuel. He expressed optimism about the One Big Beautiful Bill Act as a potential tailwind and noted satisfaction with monetizing additional dairy RNG project ITCs to fund production investments.

Guidance
The company expects continued RNG demand driven by regulatory and market tailwinds, including the One Big Beautiful Bill Act, and anticipates further monetization of dairy RNG ITCs to support capital investments. However, no specific revenue or earnings targets were provided.

Additional News
Recent global headlines include rising tensions in the Middle East as rifts emerge over a Gaza plan prior to a cabinet meeting and a UN warning against potential Israeli occupation of the region. In Asia-Pacific, India pushed back against recent tax increases, and a new ceasefire agreement was signed between Cambodia and Thailand. In the Americas, former U.S. President Donald Trump announced a potential meeting with Vladimir Putin as early as next week and nominated a key economic adviser to the Federal Reserve Board. In Europe, Portugal extended its national wildfire alert amid one of its worst seasons in years. In Africa, tragic news included a helicopter crash in Ghana and a plane crash in Algeria. China-US relations were highlighted as a stabilizing force for global prosperity.