VANCOUVER, July 26, 2016 /PRNewswire/ – Ballard Power Systems (NASDAQ: BLDP; TSX: BLD) today announced its consolidated financial results for the second quarter ended June 30, 2016. All amounts are in U.S. dollars unless otherwise noted and have been prepared in accordance with International Financial Reporting Standards (IFRS).
“Our strong order book for 2016 continued to drive year-on-year revenue growth of 58% in Q2,” said Randy MacEwen, President and CEO. “Revenue from our Power Products platform increased 87%, including a significant improvement in Heavy Duty Motive resulting from shipments to China in support of planned fuel cell bus deployments, together with the addition of Portable Power revenue. We also experienced a 20% gain in revenue from our Technology Solutions platform. The revenue mix, with its heavier weighting from higher margin Heavy Duty Motive, Portable Power and Technology Solutions, underpinned a significant improvement in gross margin, to 29% in the quarter, up from 10% in 2015 Q2.”
Mr. MacEwen continued, “Ballard achieved important progress on a number of key strategic fronts. First, we sold our methanol Telecom Backup Power business for up to $6.1 million. Second, we licensed our hydrogen backup power system designs in China for $2.5 million. Third, we signed definitive agreements for a transaction which, subject to closing, is estimated at $168 million in revenue over five years, for the establishment of a fuel cell stack manufacturing operation in China. And fourth, we announced a pending strategic collaboration and $28.3 million equity investment from Broad-Ocean.”
Q2 2016 Financial Highlights
(all comparisons are to Q2 2015 unless otherwise noted)
Q2 2016 Sales and Operations Highlights
Q2 2016 Corporate Platform Highlights
Q2 2016 Financial Summary
For a more detailed discussion of Ballard Power Systems’ second quarter 2016 results, please see the company’s financial statements and management’s discussion & analysis, which are available at www.ballard.com/investors, www.sedar.com and www.sec.gov/edgar.shtml.
Ballard will hold a conference call on Wednesday, July 27, 2016 at 8:00 a.m. PDT (11:00 a.m. EDT) to review its second quarter 2016 operating results. The live call can be accessed by dialing +1.604.638.5340. Alternatively, a live audio and slide webcast can be accessed through a link on Ballard’s homepage (www.ballard.com). Following the call, the audio webcast will be archived in the Quarterly Results area of the Investors section of Ballard’s website (www.ballard.com/investors).
About Ballard Power Systems
Ballard Power Systems (NASDAQ: BLDP; TSX: BLD) provides clean energy products that reduce customer costs and risks, and helps customers solve difficult technical and business challenges in their fuel cell programs. To learn more about Ballard, please visit www.ballard.com.
Important Cautions Regarding Forward-Looking Statements
This release contains forward-looking statements concerning projected revenue growth, product shipments, gross margin, Adjusted EBITDA, cash operating expenses and product sales. These forward-looking statements reflect Ballard’s current expectations as contemplated under section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any such statements are based on Ballard’s assumptions relating to its financial forecasts and expectations regarding its product development efforts, manufacturing capacity, and market demand. For a detailed discussion of the factors and assumptions that these statements are based upon, and factors that could cause our actual results or outcomes to differ materially, please refer to Ballard’s most recent management discussion & analysis. Other risks and uncertainties that may cause Ballard’s actual results to be materially different include general economic and regulatory changes, detrimental reliance on third parties, successfully achieving our business plans and achieving and sustaining profitability. For a detailed discussion of these and other risk factors that could affect Ballard’s future performance, please refer to Ballard’s most recent Annual Information Form. These forward-looking statements are provided to enable external stakeholders to understand Ballard’s expectations as at the date of this release and may not be appropriate for other purposes. Readers should not place undue reliance on these statements and Ballard assumes no obligation to update or release any revisions to them, other than as required under applicable legislation.
SOURCE Ballard Power Systems Inc.