Clean Energy Fuels (CLNE 1.93%), a leading supplier of renewable natural gas and alternative fuel infrastructure for transportation, reported its results for Q2 2025 on August 7, 2025. The company’s top-line revenue grew to $102.6 million (GAAP), outpacing analyst expectations of $100.32 million (GAAP) and rising 4.7% from the prior year’s $98.0 million in Q2 2024 (GAAP). However, net loss attributable to Clean Energy Fuels widened to $(20.2) million on a GAAP basis compared to a $(16.3) million GAAP loss in Q2 2024. Non-GAAP earnings per share were $0.00, missing last year’s $0.01 non-GAAP income per share figure for Q2 2024. Management described the quarter as a period of solid revenue growth and higher fuel volumes, yet acknowledged profit pressure from expiration of key regulatory credits and higher non-cash charges. Overall, the quarter showed operational momentum but strained profitability.
| Metric | Q2 2025 | Q2 2025 Estimate | Q2 2024 | Y/Y Change |
|---|---|---|---|---|
| EPS (Non-GAAP) | $0.00 | N/A | $0.01 | (100.0%) |
| Revenue | $102.6 million | $100.32 million | $98.0 million | 4.7% |
| Net Loss Attributable to Clean Energy | $(20.2) million | $(16.3) million | (23.9%) | |
| Adjusted EBITDA | $17.5 million | $18.9 million | (7.4%) | |
| Renewable Natural Gas Gallons Sold (million) | 61.4 | 57.1 | 7.5% |
Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q1 2025 earnings report.
Company Overview and Key Success Factors
Clean Energy Fuels specializes in providing renewable natural gas (RNG) and constructing and operating fueling stations aimed at transportation fleets. The company’s core operations include its broad fueling infrastructure and leadership in RNG supply for trucks, buses, and other large vehicles. Its network comprises more than 500 fueling stations across North America, serving a diverse base of transit, refuse, and heavy-duty trucking customers.
Recently, the business has focused on expanding RNG adoption, securing new supply contracts, and growing its upstream RNG production. Critical success factors include maintaining leadership in RNG supply, capitalizing on regulatory incentives, deepening customer relationships, and leveraging strategic partnerships with energy companies such as BP and TotalEnergies. Shifts in environmental policy, credit pricing, and fleet demand strongly influence Clean Energy Fuels’ performance.
Highlights and Developments from the Quarter
Revenue (GAAP) increased to $102.6 million, surpassing analyst estimates. This growth was mainly driven by strong RNG sales, with 61.4 million gallons sold—a rise of 7.5% from the prior year period. Total fuel volume delivered across all products reached 76.3 million gas gallon equivalents (GGEs), compared to 70.4 million in Q2 2024.
Although sales volumes improved, the earnings picture was mixed. Net loss attributable to Clean Energy Fuels expanded to $(20.2) million on a GAAP basis, reflecting several pressures. The expiration of the federal Alternative Fuel Tax Credit (AFTC) resulted in zero AFTC revenue, removing a $6.0 million benefit from the prior year. Revenue from renewable identification numbers (RINs) and Low Carbon Fuel Standard (LCFS) credits fell to $11.9 million, down from $13.9 million in Q2 2024, The decrease in revenue was primarily due to the timing of the sale of certain LCFS credits.
Within its fuel distribution segment, fuel sales revenue grew to $67.9 million from $57.4 million (GAAP). This was aided by contract wins with public transit agencies and new infrastructure projects. However, operations and maintenance (O&M) services volume declined to 64.9 million GGEs, down from 67.9 million in Q2 2024, even as related revenue (GAAP) improved slightly.
On the cost side, non-cash Amazon warrant charges rose to $17.4 million, up from $14.1 million in Q2 2024. This accounting item reduces reported revenue and is linked to warrants issued to Amazon for fueling partnership activity. Upstream RNG joint ventures reported equity-method losses of $(5.2) million, reflecting ongoing production ramp-up costs. Other notable one-time events included the finalization of a $29.5 million investment tax credit sale through a BP partnership, which provided $27.2 million in proceeds for further project funding.
Looking Ahead: Management Outlook and Investor Focus
For FY2025, company management projected a GAAP net loss in the range of $(217) million to $(212) million, including the impact of non-cash items like Amazon warrant charges and goodwill impairments. Adjusted EBITDA is expected in the range of $60 million to $65 million. Leadership indicated that upstream RNG projects are likely to remain unprofitable at the EBITDA level for the rest of 2025, with improvement in core fuel distribution expected to offset some production ramp-up costs.
No additional numerical guidance was given for revenue or RNG volumes. For investors, key metrics to watch in the coming quarters include further changes in regulatory credit revenue, RNG infrastructure and contract growth, and the ongoing performance of upstream production assets. CLNE does not currently pay a dividend.
Revenue and net income presented using U.S. generally accepted accounting principles (GAAP) unless otherwise noted.
