Revenue volatility remains a critical concern, with the company reporting a -55.0% gross margin in 2026Q1 as fixed costs continue to outpace limited production output.
| Sales/Revenue | 1.11M | 1.58M | 6.29M | 7.54M | 894K | 0 | 0 | 0 |
| Revenue Growth % | -73.24% | -74.85% | -16.51% | 743.4% | - | - | - | - |
| Cost of Goods Sold | 33.41M | 34.99M | 51.65M | 20.5M | 0 | 572K | 436K | 0 |
| COGS % of Revenue | - | 2210.68% | 820.54% | 271.82% | - | - | - | - |
| Gross Profit | -32.3M | -33.41M | -45.36M | -12.96M | 894K | -572K | -436K | 0 |
| Gross Margin % | -2904.95% | -2110.68% | -720.54% | -171.82% | 100% | - | - | - |
| Gross Profit Growth % | - | 26.34% | -250.12% | -1549.11% | 256.29% | -31.19% | - | - |
| Operating Expenses | 19.03M | 22.29M | 44.44M | 72.95M | 106.39M | 60.03M | 16.96M | 9.89M |
| OpEx % of Revenue | - | 1407.96% | 705.96% | 967.51% | 11900% | - | - | - |
| Selling, General & Admin | 18.03M | 21.44M | 32.67M | 30.32M | 34.41M | 29.75M | 4.06M | 2.18M |
| SG&A % of Revenue | - | 1354.26% | 518.95% | 402.1% | 3848.66% | - | - | - |
| Research & Development | 8.44M | 8.3M | 11.77M | 42.63M | 71.98M | 30.27M | 12.9M | 6.66M |
| R&D % of Revenue | - | 524.13% | 187.01% | 565.41% | 8051.34% | - | - | - |
| Other Operating Expenses | -1000K | -7.45M | 0 | 0 | 0 | 0 | 0 | 1.05M |
| Operating Income | -51.33M | -55.7M | -89.8M | -85.91M | -105.49M | -60.6M | -17.39M | -9.89M |
| Operating Margin % | -4616.37% | -3518.64% | -1426.5% | -1139.32% | -11800% | - | - | - |
| Operating Income Growth % | - | 37.97% | -4.53% | 18.57% | -74.07% | -248.45% | -75.87% | - |
| EBITDA | -44.76M | -49.96M | -85.07M | -79.39M | -103.97M | -60.03M | -16.96M | -9.63M |
| EBITDA Margin % | -4024.73% | -3156.03% | -1351.45% | -1052.94% | -11629.64% | - | - | - |
| EBITDA Growth % | 46.34% | 41.27% | -7.16% | 23.64% | -73.2% | -254.03% | -76.09% | - |
| D&A (Non-Cash Add-back) | 6.58M | 5.74M | 4.72M | 6.51M | 1.52M | 572K | 436K | 260K |
| EBIT | -51.44M | -55.7M | -89.8M | -85.91M | -105.49M | -475.23M | -30.29M | -9.89M |
| Net Interest Income | -3.17M | -5.46M | 3.57M | 5.26M | 2.19M | 0 | 0 | 1.02M |
| Interest Income | 30K | 0 | 3.57M | 5.26M | 2.19M | 1.89M | 132K | 1.02M |
| Interest Expense | 3.21M | 5.46M | 0 | 0 | 0 | 1.89M | 132K | 0 |
| Other Income/Expense | -10M | -7.74M | 3.58M | 8.33M | 27.52M | -416.51M | -13.03M | -1.66M |
| Pretax Income | -61.34M | -63.44M | -86.22M | -77.58M | -77.97M | -477.12M | -30.42M | -11.55M |
| Pretax Margin % | -5515.83% | -4007.58% | -1369.69% | -1028.89% | -8721.36% | - | - | - |
| Income Tax | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Effective Tax Rate % | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% |
| Net Income | -61.34M | -63.44M | -86.22M | -77.58M | -77.97M | -477.12M | -30.42M | -11.55M |
| Net Margin % | -5515.83% | -4007.58% | -1369.69% | -1028.89% | -8721.36% | - | - | - |
| Net Income Growth % | 28.63% | 26.42% | -11.14% | 0.5% | 83.66% | -1468.48% | -163.46% | - |
| Net Income (Continuing) | -61.34M | -63.44M | -86.22M | -77.58M | -77.97M | -477.12M | -30.42M | -11.55M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -2.09 | -4.34 | -7.32 | -0.48 | -7.66 | -58.53 | -7.77 | -1.64 |
| EPS Growth % | 53.45% | 40.71% | -1425% | 93.73% | 86.91% | -653.28% | -373.78% | - |
| EPS (Basic) | - | -4.34 | -7.32 | -0.48 | -7.66 | -58.53 | -7.77 | -1.64 |
| Diluted Shares Outstanding | 29.29M | 14.6M | 176.6M | 159.96M | 152.68M | 83.26M | 3.93M | 7.04M |
| Basic Shares Outstanding | 29.29M | 14.6M | 176.6M | 159.96M | 152.68M | 83.26M | 3.93M | 7.04M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Liquidity and commercialization failure
As reported in recent financial filings, GWH experienced a 74.85% year-over-year revenue decline, highlighting a lack of predictable sales cycles and suggesting that the company remains trapped in a project-based model where revenue recognition is highly sensitive to the timing of individual, non-recurring pilot deployments.
The erratic top-line performance indicates that the company has yet to achieve a repeatable commercialization phase. Investors should monitor whether this contraction reflects a fundamental breakdown in the sales pipeline or a strategic pause in production to address technical design flaws.
Based on the provided income statement data, GWH reported a gross margin of -2110.68% in the most recent period, which underscores the extreme difficulty of absorbing fixed manufacturing overhead at current low production volumes while managing the high costs of specialized components like proton exchange membranes.
This margin profile suggests that the cost to produce each unit is exponentially higher than the current selling price, indicating a lack of progress toward manufacturing efficiency. The structural reliance on manual assembly appears to be a significant barrier to achieving the economies of scale necessary for long-term viability.
According to the latest quarterly results, GWH's operating income remains deeply negative at -$13.8M, demonstrating that the company has failed to scale its operating expenses efficiently relative to its gross profit, which continues to be hampered by high R&D and specialized manufacturing overhead costs.
The lack of operating leverage suggests that the company is currently unable to cover its fixed cost base, regardless of revenue fluctuations. This implies that any future path to profitability would require a massive, non-linear increase in production throughput that has yet to materialize in the historical data.
As evidenced by the income statement, GWH maintains a high fixed-cost structure dominated by R&D and SG&A expenses, which consistently exceed the company's quarterly revenue, creating a persistent burn rate that necessitates frequent capital infusions to sustain ongoing operations and technical development efforts.
The company's expense discipline appears constrained by the necessity of maintaining specialized manufacturing facilities and technical staff. Without a significant increase in unit volume, these fixed costs will likely continue to erode the company's remaining cash reserves at an unsustainable pace.
Based on the reported $14.4M cash balance and the current quarterly burn rate, GWH faces a critical liquidity constraint that warrants further investigation, as the company appears to have a very short runway before requiring dilutive financing or a strategic sale to continue its operations.
Short-sellers would likely focus on the potential for a 'going concern' risk, given that the current financial trajectory shows no clear path to self-funding. The market may be mispricing the severity of these liquidity pressures by focusing on long-term technology potential rather than the immediate reality of the balance sheet.
Quick answers to the most common questions about buying GWH stock.
For fiscal year 2025, ESS Tech, Inc. (GWH) reported total revenue of $1.6M.
ESS Tech, Inc. (GWH) reported a net loss of $63.4M for the fiscal year ending 2025.
ESS Tech, Inc. (GWH) reported an operating income of $-55.7M, resulting in an operating profit margin of -3518.6%. This margin reflects the operational efficiency of the business before interest and taxes.
ESS Tech, Inc. (GWH) generated $-33.4M in gross profit for the year, representing a gross profit margin of -2110.7%. This demonstrates the company's core pricing power and production efficiency.