24.10.2003: Meldung: Plug Power Reports Strong 3rd Quarter
Plug Power continues to be a leader in the deployment of proton exchange membrane (PEM) fuel cell systems at customer locations in the United States, Europe and Asia. This quarter the Company:
-- Installed and commissioned the Company"s first prototype back-up
product for the telecommunications industry, which is connected to
Verizon"s telecommunication network as part of a field trial. This
one-year program, sponsored by the New York State Energy Research and
Development Authority (NYSERDA), is providing Verizon and Plug Power
with data on the application of fuel cells in the telecom industry.
-- Delivered 41 GenSys(TM) grid-parallel, five-kilowatt stationary
systems. Significant shipments included 16 systems destined for the
European Union"s Virtual Power Plant program, in conjunction with
partner Vaillant GmbH, and 20 systems to the Long Island Power
Authority for installation in residential locations beginning in the
fourth quarter of this year.
-- Operated 129 systems, including 10 newly installed systems, at 64
customer locations, generating more than 400,000 kilowatt-hours of
electricity during the quarter. Since 2001, Plug Power systems, in
total, have exceeded one million operating hours and have generated
more than 2.8 million kilowatt-hours of electricity.
-- Demonstrated a prototype Home Energy Station at Honda R&D Americas"
facility in Torrance, California. The Home Energy Station is a fully
integrated system co-developed by Plug Power and Honda, using
proprietary technologies from both companies. The system was developed
under the exclusive joint development agreement signed between Plug
Power and Honda in October 2002.
-- Finalized contracts totaling $18.7 million with the U.S. Department of
Energy and NYSERDA under which Plug Power expects to receive
approximately $12.8 million in net funding during the 30-month
-- Received a contract for $3.9 million from the National Institute of
Standards and Technology (NIST). The contract is part of NIST"s
Advanced Technology Program and is for research and development of
stationary fuel cells. Plug Power expects to receive approximately
$1.8 million in net funding from NIST during the two year, cost-share
-- Added four, new patents to Plug Power"s portfolio in the third
quarter, for a total of 105 patents issued with 144 pending.
"Plug Power continues to jointly work with new and existing customers to develop fuel cell products that meet their specific needs," said Mark Sperry, Chief Marketing Officer. "We are pleased to have the opportunity to showcase our products to a variety of customers in multiple applications and are honored to be working with companies who are leaders in their industry."
During the fourth quarter, the Company expects to make shipments against the current order backlog including initial deliveries of the GenCore(TM) 5T backup systems. The Company will be announcing additional product direction relative to hydrogen generation in conjunction with the upcoming PowerGen 2003 conference and exhibition in December.
Total revenue for the third quarter ended September 30, 2003 increased by 16 percent to $3.5 million compared to $3.0 million for the third quarter of 2002. Year-to-date total revenue increased by 13 percent to $9.5 million compared to $8.4 million in 2002.
Net cash used in operating activities declined for the quarter ended September 30, 2003 to $8.3 million, including $0.3 million spent in the third quarter of 2003 for integration costs related to Plug Power"s March 25, 2003 acquisition of H Power Corp. (H Power). This compares to $9.2 million during the third quarter of 2002. Year-to-date, net cash used in operating activities was $27.6 million, including $3.2 million for acquisition fees, severance and other integration costs related to the acquisition of H Power, compared to $26.0 million during the same period of 2002. (See attached financial highlights.) Excluding the impact of H Power, cash used in operating activities for the full year 2003 is currently expected to be toward the lower end of the existing guidance of $35.0 to $40.0 million.
Net loss for the quarter was $12.4 million or $0.20 per share, compared to $10.7 million or $0.21 per share for the same period in 2002. Year-to-date, the net loss was $39.0 million or $0.68 per share, compared to $34.5 million or $0.68 per share for the same period last year. The current year-to-date loss includes a charge of $3.0 million for the write-off of in-process research and development expense related to the acquisition of intellectual property and certain other assets acquired as a part of the H Power acquisition.
Weighted average shares outstanding for the quarter ended September 30, 2003, increased to 61.0 million shares compared to 50.8 million shares for the same period in 2002. Year-to-date weighted average shares outstanding increased to 57.7 million shares compared to 50.6 million shares in 2002. As of September 30, 2003, there were approximately 61.0 million shares issued and outstanding.
Plug Power has scheduled a conference call today, at 10:00 AM (ET) to review its third quarter 2003 results. Interested parties are invited to participate. To listen to the conference call, please call (706) 634-1510. The live Web cast can be accessed by logging onto http://www.plugpower.com. A playback of the call will be available on the company"s Web site until October 29, 2003.
See the attached financial highlights for the third quarter 2003. For more information about Plug Power please visit http://www.plugpower.com.
About Plug Power
Plug Power Inc. designs, develops and markets proton exchange membrane (PEM) fuel cells for stationary applications. Plug Power"s strategic partners include GE Fuel Cell Systems, DTE Energy Technologies, Vaillant GmbH, Honda R&D Co., Ltd., Engelhard Corporation and Celanese Ventures. The Company"s headquarters are located in Latham, N.Y., with offices in Washington, D.C., and The Netherlands.
This press release may contain statements, which are not historical facts and are considered forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements contain projections of Plug Power"s future results of operations, Plug Power"s product development expectations or of Plug Power"s financial position or state other forward-looking information. In some cases you can identify these statements by forward-looking words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "should," "will" and "would" or similar words. You should not rely on forward-looking statements because Plug Power"s actual results may differ materially from those indicated by these forward-looking statements as a result of a number of important factors. These factors include, but are not limited to, Plug Power"s ability to develop commercially viable on-site energy products; the cost and timing of developing Plug Power"s on-site energy products; market acceptance of Plug Power"s on-site energy products; Plug Power"s reliance on its relationship with certain affiliates of General Electric (GEFCS); Plug Power"s ability to perform on its multi-generation product plan in a manner satisfactory to GEFCS; Plug Power"s ability to manufacture on-site energy products on a large-scale commercial basis; competitive factors, such as price competition and competition from other traditional and alternative energy companies; the cost and availability of components and parts for Plug Power"s on-site energy products; the ability to raise and provide the necessary capital to develop, manufacture and market Plug Power"s on-site energy products; Plug Power"s ability to establish relationships with third parties with respect to product development, manufacturing, distribution and servicing and the supply of key product components; Plug Power"s ability to protect its intellectual property; Plug Power"s ability to lower the cost of its on-site energy products and demonstrate their reliability; the cost of complying with current and future governmental regulations; the impact of deregulation and restructuring of the electric utility industry on demand for Plug Power"s on-site energy products; fluctuations in the trading price and volume of Plug Power"s common stock and other risks and uncertainties discussed under the heading "Factors Affecting Future Results" in Plug Power"s annual report on Form 10-K for the fiscal year ended December 31, 2002, dated March 31, 2003 and filed with the Securities Exchange Commission on March 31, 2003, and the reports Plug Power files from time to time with the Securities and Exchange Commission. Plug Power does not intend to and undertakes no duty to update the information contained in this press release.
Plug Power Inc.
Balance Sheet Data:
December 31, September 30,
Assets 2002 2003
Cash and cash
equivalents $27,257,641 $44,854,773
Restricted cash 325,000 325,000
securities 28,590,378 12,705,864
receivable 4,145,328 3,097,285
Inventory 2,031,995 3,197,456
costs 2,145,265 1,036,276
assets 2,639,630 903,659
assets 67,135,237 66,120,313
Restricted cash 4,675,274 4,675,274
and equipment, net 26,320,676 24,590,752
Intangible asset 514,847 4,125,000
affiliates 9,488,762 8,046,834
Goodwill -- 10,308,643
Other assets 547,995 465,796
Total assets $108,682,791 $118,332,612
Liabilities and Stockholders" Equity
Accounts payable $947,839 $2,480,094
liabilities 3,432,841 4,169,350
Deferred revenue 5,878,784 4,550,828
liabilities 10,259,464 11,200,272
Long-term debt and
other liabilities 5,726,559 5,704,837
liabilities 15,986,023 16,905,109
equity 92,696,768 101,427,503
equity $108,682,791 $118,332,612
Statements of Three Months Ended Nine Months Ended
Operations Data: September 30, September 30,
2002 2003 2002 2003
service revenue $2,619,110 $1,988,093 $7,381,398 $6,166,687
revenue 374,577 1,477,011 1,060,244 3,354,946
Total revenue 2,993,687 3,465,104 8,441,642 9,521,633
Cost of revenue
Cost of revenues 3,142,867 3,606,186 7,725,699 8,713,044
development -- -- -- 3,000,000
compensation 269,836 500,596 520,006 1,433,828
and development 8,411,249 9,727,157 29,405,724 29,338,357
compensation 22,135 184,829 415,308 355,862
administrative 1,667,745 1,505,024 4,688,194 4,727,749
Operating loss (10,520,145) (12,058,688) (34,313,289) (38,047,207)
net 327,182 130,017 1,358,089 489,838
Loss before equity
in losses of
affiliates (10,192,963) (11,928,671) (32,955,200) (37,557,369)
Equity in losses
of affiliates (481,403) (476,840) (1,544,051) (1,441,928)
Net loss $(10,674,366) $(12,405,511) $(34,499,251) $(38,999,297)
Loss per share -
basic and diluted $(0.21) $(0.20) $(0.68) $(0.68)
number of shares
outstanding 50,818,978 60,958,387 50,558,138 57,697,749
Statements of Cash Three Months Ended Nine Months Ended
Flows Data: September 30, September 30,
2002 2003 2002 2003
Net cash used in
activities $(9,224,280) $(8,314,118) $(26,067,988) $(27,631,920)
net of proceeds
on disposals (572,183) (152,190) (1,505,930) (289,554)
on long-term debt
leases (4,494) (44,449) (17,167) (46,968)
exercises 1,500 5,219 918,458 215,318
acquisition, net -- -- -- 29,465,741
Source: Plug Power Inc.