Eos Energy Enterprises Reports Strong Q3 Revenue and Gross Margin Improvement

PITTSBURGH, Oct. 19, 2026 /CourierPR/ -- Eos Energy Enterprises, America’s leading innovator in zinc-based long-duration energy storage (LDES) systems, reported strong financial results for the third quarter ended September 30, 2026. The company’s revenue for the quarter is expected to range between $82 million and $83 million, marking a significant 19% to 21% sequential growth and a substantial 169% to 172% year-over-year increase. This growth was driven by a 23% increase in shipments, supported by the continued production scaling at the Thorn Hill facility, where Line 2, the company’s second manufacturing line, contributed approximately 17% of total battery production.

Alessandro Lagi, Chief Financial Officer of Eos, highlighted the progress made at Thorn Hill, noting that Line 2 has exited the quarter with first-pass yield aligned to Line 1 performance. The line is currently operating on a partial-shift schedule as the company progresses with the hiring, onboarding, and training of additional employees to support full-shift operations and eventual 24-hour production.

Eos also reported a GAAP gross margin of (55)% to (53%), an improvement of approximately 16 to 18 percentage points compared to the second quarter of 2026. This improvement is attributed to higher production volumes and lower conversion costs per unit. The company has achieved its eighth consecutive quarter of gross margin improvement, and Lagi expressed optimism about further margin expansion in the future.

As of September 30, 2026, Eos’s total cash, including restricted cash, was approximately $344 million, down from $364 million as of June 30, 2026. The quarter-end cash was supported by approximately $114 million of operating cash inflows, primarily driven by customer deposits, project milestone receipts, and tax credit collections. Additionally, the company received an additional $87 million advance under the Department of Energy (DOE) loan facility. Capital expenditures for the quarter amounted to approximately $35 million, primarily related to the completion of Line 2 automation.

The company’s backlog as of September 30, 2026, stood at approximately $765 million, representing about 3.2 GWh, after revenue recognized during the quarter and new orders booked. During the quarter, Eos received six purchase orders from six different customers, including a previously announced $100 million order under an existing capacity reservation agreement. The company noted strong commercial traction across the defense, commercial & industrial (C&I), and data center markets, with key projects supporting the Golden Dome initiative for mission-critical defense applications and a project with Google, highlighting the growing demand for long-duration energy storage systems in data center applications.

Eos currently expects full-year 2026 revenue in the lower half of its $300 million to $350 million range, reflecting the addition of the final shift to bring Thorn Hill to 24-hour operation during the fourth quarter. The company is entering the fourth quarter with strong revenue visibility supported by customer commitments and projects in backlog. Following the manufacturing consolidation and achievement of full-scale operations, Thorn Hill will serve as the company’s manufacturing facility and is expected to have approximately 4 GWh of annual nameplate production capacity across its two production lines.

The company will report its full third quarter 2026 financial results before the U.S. market opens on November 5, 2026. A conference call to discuss its results will take place the same morning at 8:30 a.m. Eastern Time. The live webcast of the earnings call will be available on the “Investor Relations” page of the company’s website at Eos Investors or may be accessed using the provided link. The webcast replay will be available from approximately 11:30 a.m. Eastern Time on November 5, 2026, and can be accessed by visiting Eos Investors.