Today's News |
Ballard Reports Third Quarter 2014 Results - Q3 Revenue Up 21%
Wednesday, October 29, 2014Company Profile | Follow Company
Continued top-line growth and positive Adjusted EBITDA
Vancouver, BC, October 29, 2014--(T-Net)--Ballard Power Systems (BLDP)(BLD.TO) today announced its consolidated financial results for the third quarter ended September 30, 2014. All amounts are in U.S. dollars unless otherwise noted and have been prepared in accordance with International Financial Reporting Standards (IFRS).
"Third quarter results reflect continuing progress in the business, including year-on-year improvements of 21% in revenue, 15% in cash operating costs, 40% in cash used by operating activities in addition to positive Adjusted EBITDA of $0.5 million," said John Sheridan, who retired as President and CEO on October 6.
Randy MacEwen, Mr. Sheridan's successor, added, "The leadership transition has gone very smoothly and now, three weeks into the CEO role, I am fully engaged in driving the Q4 execution priorities together with the 2015 planning process and am excited by Ballard's growth prospects."
Third Quarter 2014 Highlights
Growth (all comparisons to Q3 2013 unless otherwise noted)
Fuel Cell Product Sales:
(i) Telecom Backup Power
(ii) Material Handling
(iii) Development Stage Markets
Engineering Services:
Path to Profitability (all comparisons to Q3 2013 unless otherwise noted)
2014 Business Outlook
While progress in top-line growth has been achieved each quarter in 2014, year-to-date revenue growth of 21% is lower than initially expected. The Company is therefore resetting guidance to:
Third Quarter 2014 Financial Highlights
(Millions of U.S. dollars) |
Three months ended Sept. 30, |
Nine months ended Sept. 30, |
||||
2014 |
2013 |
% |
2014 |
2013 |
% |
|
GROWTH |
||||||
Revenue: |
||||||
Telecom Backup Power |
$6.3 |
$3.9 |
60% |
$12.9 |
$14.6 |
-12% |
Material Handling |
$3.6 |
$2.1 |
70% |
$10.2 |
$4.5 |
127% |
Development Stage Markets |
$2.5 |
$4.5 |
-43% |
$6.0 |
$10.0 |
-40% |
Engineering Services |
$8.2 |
$6.5 |
26% |
$24.0 |
$14.9 |
62% |
Total Revenue |
$20.6 |
$17.0 |
21% |
$53.1 |
$43.9 |
21% |
12 Month Rolling Order Book |
$43.0 |
$43.3 |
||||
PROFITABILITY |
||||||
Gross Margin |
25% |
28% |
(3-points) |
25% |
25% |
0-points |
Cash Operating Costs1 |
$5.6 |
$6.6 |
15% |
$18.6 |
$21.8 |
15% |
Adjusted EBITDA1 |
$0.5 |
($0.9) |
151% |
($2.6) |
($8.4) |
69% |
Net Income (Loss) |
($2.4) |
($4.6) |
47% |
($10.7) |
($17.7) |
39% |
Earnings Per Share |
($0.02) |
($0.05) |
60% |
($0.8) |
($0.18) |
59% |
Normalized Net Loss1 |
($2.4) |
($4.6) |
47% |
($10.6) |
($16.2) |
35% |
Normalized Net Loss Per Share1 |
($0.02) |
($0.05) |
60% |
($0.8) |
($0.17) |
50% |
CASH |
||||||
Cash Used by Operating Activities: |
||||||
Cash Operating Income (Loss) |
($0.4) |
($2.3) |
82% |
($4.9) |
($11.7) |
58% |
Working Capital Changes |
($2.5) |
($2.5) |
-1% |
($7.5) |
($4.8) |
-57% |
Cash Used By Operating Activities |
($2.9) |
($4.8) |
40% |
($12.5) |
($16.5) |
25% |
Cash Reserves |
$32.7 |
$20.4 |
60% |
|||
Cash Reserves, Net of Operating Line |
$32.7 |
$17.7 |
85% |
For a more detailed discussion of Ballard Power Systems' third quarter 2014 results, please see the company's financial statements and management's discussion & analysis, which are available at www.ballard.com/investors, www.sedar.com and www.sec.gov/edgar.shtml.
About Ballard Power Systems
Ballard Power Systems (BLDP)(BLD.TO) provides clean energy fuel cell products enabling optimized power systems for a range of applications. Products deliver incomparable performance, durability and versatility. To learn more about Ballard, please visit www.ballard.com.
Important Cautions Regarding Forward-Looking Statements
This release contains forward-looking statements concerning projected revenue growth, product shipments, gross margin, Adjusted EBITDA, cash operating expenses and product sales. These forward-looking statements reflect Ballard's current expectations as contemplated under section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any such statements are based on Ballard's assumptions relating to its financial forecasts and expectations regarding its product development efforts, manufacturing capacity, and market demand. For a detailed discussion of the factors and assumptions that these statements are based upon, and factors that could cause our actual results or outcomes to differ materially, please refer to Ballard's most recent management discussion & analysis. Other risks and uncertainties that may cause Ballard's actual results to be materially different include general economic and regulatory changes, detrimental reliance on third parties, successfully achieving our business plans and achieving and sustaining profitability. For a detailed discussion of these and other risk factors that could affect Ballard's future performance, please refer to Ballard's most recent Annual Information Form. These forward-looking statements are provided to enable external stakeholders to understand Ballard's expectations as at the date of this release and may not be appropriate for other purposes. Readers should not place undue reliance on these statements and Ballard assumes no obligation to update or release any revisions to them, other than as required under applicable legislation.
Endnote:
1 Cash Operating Costs measures operating expenses excluding stock based compensation expense, depreciation and amortization, restructuring charges, acquisition costs and financing charges. EBITDA measures net loss attributable to Ballard Power Systems Inc. excluding finance expense, income taxes, depreciation of property, plant and equipment, amortization of intangible assets, and goodwill impairment charges. Adjusted EBITDA adjusts EBITDA for stock based compensation expense, transactional gains and losses, asset impairment charges, finance and other income and acquisition costs. Normalized Net Loss measures net loss attributable to Ballard from continuing operations, excluding transactional gains and losses and asset impairment charges.
Note that Cash Operating Costs, EBITDA, Adjusted EBITDA and Normalized Net Loss, are non GAAP measures. Non GAAP measures do not have any standardized meaning prescribed by GAAP and therefore are unlikely to be comparable to similar measures presented by other companies. Ballard believes that Cash Operating Costs, EBITDA, Adjusted EBITDA and Normalized Net Loss assist investors in assessing Ballard's operating performance and liquidity. These measures should be used in addition to, and not as a substitute for, net income, cash flows and other measures of financial performance and liquidity reported in accordance with GAAP. For a reconciliation of Cash Operating Costs, EBITDA, Adjusted EBITDA and Normalized Net Loss to the Consolidated Financial Statements, please refer to Ballard's Management's Discussion & Analysis.
Other Recent Company News |
|||||||||||||||||||
|