Westport Fuel Systems Inc

Westport Fuel Systems reported a second-quarter 2026 loss of 53 cents per share, wider than the Zacks Consensus Estimate of a 45-cent loss and the 29-cent loss posted a year earlier. Revenue fell 78.3% year over year to $2.72 million, though it beat the consensus estimate of $2 million by 44.5%, as the planned end of the Heavy-Duty OEM transitional service agreement with Cespira after the second quarter of 2025 left that segment with no sales activity. Cespira's quarterly revenues jumped 125% to $27.07 million, with product revenues up 127% to $18.92 million, aftermarket revenues up 108% to $5.52 million and service revenues up 156% to $2.64 million, lifting Cespira's gross margin to 14% from negative 16% and narrowing its net loss 65% to $2.38 million. Westport's operating loss widened to $7.21 million from $1.01 million, and adjusted EBITDA was negative $6.27 million versus negative $1.02 million, while cash and cash equivalents ended June at $23.95 million. The company said projected cash resources are not sufficient to fund operations through the next 12 months, raising substantial doubt about its ability to continue as a going concern, though it reiterated that Cespira can reach break-even in 2027 and said Volvo is funding Cespira's hydrogen HPDI development program, with a European commercial launch targeted before 2030.