Plug Power Inc (NASDAQ:PLUG) announced Wednesday that it has won an order to supply 39 GenDrive fuel cells to California-based fast-food distributor Golden State Foods. The fuel cells will power 39 material handling vehicles at Golden State Foods’ new distribution center near Chicago. Price of the deal was not disclosed, but Plug Power CEO Andy Marsh said that it also includes GenCare onsite maintenance and service.
Plug Power’s fuel cell to improve productivity
Vehicles to be powered by Plug Power’s zero-emission fuel cells are 28 class-3 rider pallet trucks and 11 class-2 stand-up reach lift trucks. Golden State Foods makes and distributes food to giants like McDonald’s Corporation (NYSE:MCD), Taco Bell, Arby’s, and Starbucks Corporation (NASDAQ:SBUX). Its brand new 158,300 square-foot distribution center in Illinois will serve 460 McDonald’s restaurants.
Plug Power chief executive Andy Marsh said that fuel cells will make Golden State Foods’ day-to-day operations highly efficient. It will generate cost savings and have a positive impact on the California company’s productivity. Fuel cell-powered vehicles can run at full speed even when they are low on fuel. They can also be re-fueled within minutes.
The Latham, New York-based company forecasts to triple its revenue from $26 million in 2013 to more than $75 million in 2014. The company recently said that it shipped 857 GenDrive units during the September quarter, up 450% from just 155 units in the same quarter last year. Last month, the company signed an agreement with M&T Bank to provide financing options to first-time buyers. It will likely attract more customers.
Plug Power to report Q3 results on Nov.12
Plug Power is set to release its fiscal Q3 results on November 12 before the market opens. Analysts expect the company’s revenue to rise 426.70% from last year to $24.37 million. Third-quarter loss is expected to narrow from 9 cents last year to 3 cents. Earlier this month, Plug Power signed a long-term deal with Ballard Power Systems Inc. (NASDAQ:BLDP) (TSE:BLD) to supply fuel cell stacks.
Plug Power shares inched up 0.23% to $4.45 in pre-market trading Thursday.