Plug Power is set to report its fiscal second-quarter results on Thursday, August 6 before the market opens. Shares of the fuel cell maker have declined more than 47% in the last 12 months. But there are signs that things have started turning around for the Latham, New York-based company.
Plug Power set to report strong Q2 revenue
On July 7, Plug Power announced that it witnessed record revenues in the April-June quarter. The company added that it was on track to surpass its $100 million revenue target for FY2015. That’s quite surprising, given Plug Power had reported only $9.4 million revenue in the first quarter. The company said last month that it shipped 888 GenDrive units in the June quarter, compared to 419 units in January-March period.
Wall Street expects Plug Power to report $25.23 million in Q2 revenues, up 45.70% from the same quarter a year ago. However, the company is expected to incur a loss of 7 cents a share. The company is spending tons of money to fuel growth and expand in international markets, especially Europe.
Europe represents a huge opportunity for Plug Power
Last week, Plug Power announced that it would acquire the remaining 80% of HyPulson that it doesn’t already own. HyPulsion is the European joint-venture between Plug Power and Air Liquide. Plug Power would pay Air Liquide $11.47 million in common stock. To fund the deal, the Latham, New York-based company is issuing 7.89 million common shares. The two companies expect to close the deal by August 2015.
Europe represents a huge opportunity for Plug Power. With engineering and sales staff already in place, the company will move aggressively to bolster its presence in the European material-handing market. Plug Power CEO Andy Marsh said Europe was critical to the company’s ambition to become a $500 million entity by 2020. Andy Marsh visited the company’s European sales team earlier this week, where he claimed that Plug Power has 95% share in the global fuel cell market for forklift trucks.
Plug Power shares jumped 3.68% to $2.82 in early trading Wednesday.