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ESS Tech Inc (NYSE: GWH) develops and manufactures long-duration energy storage systems based on iron flow battery technology. Founded in 2011 and listed on the New York Stock Exchange in November 2021, the company provides energy storage solutions designed to enable renewable energy sources to serve as baseload power for data centers, utilities, and communities.
Corporate Structure
Headquartered in Wilsonville, Oregon, ESS Tech employs between 201 and 500 staff with expertise in areas such as fuel cells, electrochemistry, advanced materials science, and renewable energy engineering. Products are designed and assembled domestically, and research and development efforts are supported through partnerships with insurers and strategic collaborators in the Asia-Pacific region.
Energy storage by NASA
Developments and News
On June 25, 2025, ESS Tech announced it had secured additional capital that allowed it to keep its Oregon battery manufacturing facility operational while planning workforce adjustments to manage expenses.
For the quarter ending June 30, 2025, the company reported revenue of US$2.4 million, a 578% increase year-over-year, alongside an US$11.6 million operating loss and US$0.90 net loss per share. In response, management initiated an operational reset, discontinuing the Energy Center and Energy Warehouse products to concentrate on the new Energy Base solution, which targets gigawatt-scale storage applications.
On October 14, 2025, a Form 424B2 prospectus supplement disclosed an offering of up to US$25 million of common stock under a Standby Equity Purchase Agreement. To date, 3,674,940 shares have been sold for gross proceeds of US$6.3 million, leaving US$18.7 million available.
Financial and Strategic Analysis
As of October 14, 2025, ESS Techâs share price closed at US$11.7043, a 29.33% increase, with a trading volume of 2,338,718 shares. Over the past 52 weeks, the stock traded between US$0.76 and US$10.12. Key trailing twelve-month metrics include:
⢠Revenue: US$6.17 million
⢠Net income: âUS$75.05 million
⢠Diluted EPS: âUS$6.26
⢠Cash on hand: US$0.8 million
⢠Total debt/equity: 26.39%
⢠Levered free cash flow: âUS$42.88 million
The company continues to incur operating losses as it scales manufacturing. The shift to the Energy Base solution, with projected revenue recognition planned for 2026, is intended to improve unit economics by allowing deployments of up to 22 hours of storage. The US$25 million equity offering and cost management measures seek to address working capital needs, although the Form 10-K filing highlights doubts about the companyâs ability to continue as a going concern without additional financing.
Market Position and Industry Context
ESS Tech holds certifications under UL 1973 and UL 9540A standards for long-duration energy storage systems. Its iron flow batteries utilize common materialsâiron, salt, and waterâoffering unlimited cycle life with no capacity degradation over a 25-year design life. Analysts project that global electricity grids may require 8 TW of long-duration storage by 2040 to meet clean energy objectives, with demand from AI data centers expected to increase by 165% by 2030. Competitors include vanadium-based flow systems and lithium-ion technologies; however, iron flow batteries are promoted for their safety, sustainability, and domestic manufacturing advantages, particularly for applications requiring extended discharge.
tl;dr
- Q2 2025 revenue rose to US$2.4 million, with an US$11.6 million operating loss.
- Management has revised its product strategy to focus on the Energy Base platform, with sales recognition beginning in 2026.
- On October 14, 2025, ESS Tech launched a US$25 million equity offering, having sold US$6.3 million to date.
- The Form 10-K filing indicates cash constraints and going-concern risks that necessitate further capital or debt financing.
- Future outlook depends on the adoption of the Energy Base product, cost reductions, and successful implementation of the equity program.
