Ballard Power Systems announced its financial results for the first quarter ended March 31, 2010 today. All amounts are in U.S. dollars, unless otherwise noted.
John Sheridan, President and CEO said "Our first quarter results are strong, consistent with the full year outlook provided in January. With 47% revenue growth year-over-year and 29% order book growth during the first quarter, Ballard is well-positioned to meet guidance for full year revenue growth in excess of 35%."
Revenues for the first quarter of 2010 increased 47%, to $11.9 million, compared to $8.1 million for the first quarter of 2009. Increases in the core Fuel Cell Products segment of $1.1 million, combined with increases in the supporting Material Products segment of $3.0 million, more than offset the slight declines in the supporting Contract Automotive business segment of $0.3 million.
In the core Fuel Cell Products business segment, first quarter of 2010 revenues increased 28%, or $1.1 million, to $5.0 million compared to the first quarter of 2009. The overall increase was driven by higher materials handling revenues as a result of shipments to support Plug Power Inc.’s GenDrive™ systems combined with increases in the backup power market as a result of increased shipments to IdaTech, LLC. Revenues were also positively impacted by the acquisition, and subsequent consolidation, of Dantherm Power’s operating results which contributed $0.7 million of revenue. Fuel cell bus revenues were down slightly as shipments in 2010 to SunLine Transit Agency and Advanced Public Transportation System bv were lower than shipments in 2009 for the Transport of London fuel cell bus program.
Net loss excluding non-controlling interests for the first quarter of 2010 decreased by $9.1 million, to $10.0 million, or ($0.12) per share, compared with a net loss of $19.1 million, or ($0.23) per share, in the first quarter of 2009. The improvement in net loss of $9.1 million was driven by the above improvement in EBITDA. Net loss, excluding the negative impact related to the controlling interest in Dantherm Power of $1.1 million, improved $10.1 million to $9.0 million, from the first quarter of 2009.
Cash used in operating activities in the first quarter of 2010 increased by $5.6 million to $14.2 million, compared to $8.6 million for the first quarter of 2009. Cash used in operating activities, excluding the negative impact of Dantherm Power of $2.8 million, increased $2.9 million to $11.4 million, from the first quarter of 2009.
The higher cash used in operating activities of $2.9 million, excluding the results of Dantherm Power, was as expected and is primarily a result of working capital impacts related to the buildup of inventory in the quarter to support expected future automotive fuel cell shipments to Daimler, the payment of accrued severance and accrued acquisition costs, and the expected timing of revenues and the related customer collections. The cash used in operating activities of Dantherm Power of $2.8 million in the first quarter of 2010 was driven by higher than expected working capital impacts as a result of the timing of customer collections, combined with higher than expected operating expenses primarily as a result of delays in the filing of government grant applications. Both of these items are expected to correct in the following quarter.