Westport Fuel Systems reports mixed Q2 2026 results

Westport Fuel Systems reported its second quarter 2026 financial results, highlighting a significant divergence between its corporate performance and its joint venture, Cespira. While Westport’s total revenue fell 78% year-over-year to $2.7 million, its joint venture with Volvo Group, Cespira, saw revenue grow by 125% to $27.1 million.

Cespira’s growth was driven by increased demand for HPDI fuel systems in the heavy-duty transportation sector, particularly in Europe where the price advantage of LNG over diesel remains resilient. Cespira also improved its gross profit to $3.8 million, up from a $1.9 million loss in the prior-year quarter. Additionally, Cespira and Volvo Trucks signed an agreement to integrate HPDI technology into Volvo’s 13-litre hydrogen engines, with a commercial launch targeted before 2030.

Despite the success of the joint venture, Westport reported a widening net loss from continuing operations to $11.4 million. The company disclosed that its existing cash is projected to be insufficient to fund operations for the next 12 months, raising substantial doubt about its ability to continue as a going concern. To bolster liquidity, Westport completed a private placement in June for approximately $10 million in gross proceeds.