Westport Fuel Systems Inc. reported its fourth‑quarter and full‑year 2025 results on April 23 2026. Cash and cash equivalents stood at $27.2 million, a $2.9 million term loan from Export Development Canada was recorded, and the company received a $6.5 million payment from the recent light‑duty business divestiture. Revenue fell 43% to $2.9 billion, and gross profit turned negative $1.1 million in Q4, compared with a $0.5 million profit in Q4 2024. Net loss widened to $12.3 million for the year, and adjusted EBITDA slipped to a loss of $17.3 million from $11.4 million a year earlier.
The decline in overall revenue is largely driven by the end of transitional service agreements and a slowdown in the hydrogen industry, which reduced demand for Westport’s legacy products. In contrast, the Cespira joint venture with Volvo grew 28% year‑over‑year in Q4 and contributed $1.2 billion of revenue, reflecting strong adoption of the HPDI fuel system and Volvo’s milestone of over 10,000 natural‑gas trucks. The high‑pressure controls business remains a focus, but its margin compression is offset by the high‑margin growth in the Cespira segment.
Management warned that the company’s existing cash and cash equivalents of $27.2 million will not fund operations for the next 12 months without new financing. The going‑concern statement highlights projected cash shortfalls and the need for additional capital to sustain the transition to a heavy‑duty alternative‑fuel strategy.
"We appreciate the patience and support of our shareholders as we worked through our recent cybersecurity incident. Our priority was to ensure the integrity of our IT systems, business continuity and financial reporting, and we are pleased to confirm that this review has been successfully completed," said CEO Daniel Sceli. "This improved financial position provides Westport with greater flexibility to concentrate on markets that are best suited to our current strategy. Cespira continues to drive meaningful improvement in our results," added Sceli. CFO Elizabeth Owens noted, "This milestone payment reflects continued progress in the post‑closing steps of our Light‑Duty business divestiture. While additional payments are expected as the transaction phases are completed, this interim payment strengthens our cash position today to support ongoing operations and our strategic initiatives."
Investors reacted negatively, citing the material going‑concern warning and the continued revenue decline in the core business. The company’s focus on the Cespira joint venture and the high‑pressure controls segment is seen as a positive long‑term strategy, but the short‑term liquidity risk and widening losses remain a key concern for stakeholders.
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