MONDAY INVESTOR DEADLINE: Fluence Energy, Inc. Investors with Substantial Losses Have Opportunity to Lead Class Action Lawsuit - FLNC - Seite 2

On December 20, 2023 Energy Storage News published an article revealing that Fluence Energy's work on its Diablo project had suffered from a "litany of 'defects, deficiencies, and failures.'" The article detailed several alleged defects and chronic failures that plagued the Diablo project, including, inter alia, that: (i) Fluence Energy's project control system responded slowly or inaccurately, causing California's system operator to temporarily remove the project from the service markets; (ii) Fluence Energy's proprietary systems failed to function properly, requiring project owners to resort to alternative technologies not designed for that purpose, resulting in costly inefficiencies; (iii) Fluence Energy's inverters failed 27 times within a short 1-month period, just 2 months after project delivery; and (iv) the occurrence of 2 arc flashes created the risk of serious harm and injury. Beyond these significant defects, the article revealed that Fluence Energy had delivered the Diablo project approximately eight months after it was contractually due and repeatedly failed to timely address and resolve related warranty claims. On this news, the price of Fluence Energy Class A common stock fell more than 15%.

Then, on February 22, 2024, Blue Orca Capital published a research report revealing that Fluence Energy had prematurely sold its sixth-generation technology before the design of the technology had been completed. The report disclosed that this failure had contributed to the operational mishaps that had occurred at Fluence Energy's installed projects, including the Diablo project. In addition, the research report revealed that a Siemens' affiliate, Siemens Energy Inc., had filed a lawsuit against Fluence Energy for fraud, misrepresentation, and a host of engineering and design failures with respect to a project located in Antioch, California. On this news, the price of Fluence Energy Class A common stock fell more than 13%.

Thereafter, on November 25, 2024, Fluence Energy reported financial results for its fourth fiscal quarter and full year 2024 ("4Q24 Release"). The 4Q24 Release issued annual revenue guidance for fiscal 2025 of approximately $3.6 billion to $4.4 billion, representing year-over-year growth of approximately 48% at the midpoint of the range. The 4Q24 Release revealed that only 65% of Fluence Energy's fiscal 2025 revenue guidance (at the midpoint) was "covered by the Company's current backlog," indicating that Fluence Energy did not have sufficient work contracted and would need to secure additional new orders to meet its revenue targets. On this news, the price of Fluence Energy Class A common stock fell approximately 22% over a two-day trading period.