Quarterly Figures: Ballard Power With Sales Growth in Q2 24 - Losses Widened - Investments to be Reduced

Vancouver, Canada - Ballard Power has presented its financial results for the second quarter of 2024 (Q2 24). Although sales increased compared to the same quarter last year, the fuel cell and hydrogen specialist recorded higher losses than in the same quarter last year.

Ballard Power's total revenue amounted to USD 16.0 million in the second quarter, an increase of 4% compared to the same quarter of the previous year (Q2 24: USD 15.3 million). Broken down by business unit, the Heavy Duty Mobility segment accounted for USD 13.2 million, a significant increase of 55% compared to Q2 23 (Q2 2024: USD 8.5 million). This growth was primarily due to significant revenue growth in the bus and truck segments, which was partially offset by weaker revenue in the rail segment. Revenue from stationary systems of USD 1.7 million fell by 53%, while revenue in emerging markets and other markets of USD 1.2 million decreased by 65% compared to the same quarter of the previous year.

Adjusted EBITDA amounted to minus USD 35.4 million, compared to minus USD 34.2 million in the same quarter of the previous year. On balance, Ballard Power reported a net loss of USD -31.5 million for the second quarter of 2024, compared to USD -28.2 million in Q2 2023. This results in a loss per share of USD -0.11 (Q2 23: USD -0.09).

Ballard received new orders worth approximately USD 5.0 million in the second quarter and delivered orders worth USD 16.0 million, resulting in an order backlog of approximately USD 169.5 million at the end of the second quarter. Compared to the end of the first quarter of 2024, this is a decrease of 6%. The 12-month order backlog amounted to USD 75.5 million at the end of the second quarter. Compared to the end of the first quarter, this is a decrease of 5%.

In line with past practice, Ballard Power is not providing specific sales or net profit (loss) guidance for the full year. However, the Board expects sales to be heavily weighted towards the second half of the year. Given the slower market acceptance of fuel cells and hydrogen, Ballard Power's management has decided to postpone certain planned capital expenditures. The guidance for capital expenditures for 2024 is therefore reduced to an updated range of USD 25 to 40 million (previously USD 50 to 70 million).

After the first two trading days of this week, Ballard Power shares are trading at EUR 1.77, up 1.1% (closing price, 13.08.2024, Stuttgart Stock Exchange). Yesterday, however, the share came under heavy pressure, ending the trading day with a loss of 6.8% at EUR 1.65 (closing price, 14.08.2024, Stuttgart Stock Exchange). Compared to the turn of the year, this represents a drop of 52%.

Source: IWR Online, 15 Aug 2024