Plug Power Receives $172M Order for Hydrogen and Fuel Cell Solutions From Fortune 100 Customer
January 06 2020 - 7:00AM
Plug Power Inc. (NASDAQ: PLUG), a leading provider of hydrogen
engines and fueling solutions enabling e-mobility, received an
order at the close of 2019 from a Fortune 100 customer for hydrogen
fuel cell deployments across their distribution network over the
next two years. This contract, valued at more than $172 million, is
for Plug Power’s GenDrive fuel cell power, GenFuel hydrogen
fuel, storage and dispensing infrastructure, and GenCare
aftermarket service and support.
The global total available market for material handling is
currently valued at $30 billion. Plug Power’s turnkey hydrogen and
fuel cell solutions are attractive in high utilization
environments, where they have a distinct advantage as compared to
batteries. Hydrogen fuel cells are adopted to increase
productivity, lower operational costs and reduce greenhouse gas
emissions. Plug Power customers have reported a 15% productivity
increase, and savings per year greater than $1 million in sites
with approximately 200 forklift trucks.
Expansions with material handling customers like that announced
today, combined with developing sales channels and continued growth
in the European market are key drivers for achieving Plug Power’s
$1B plan for gross billings in 2024.
Plug Power’s CEO Andy Marsh comments, “The material handling
industry remains our core growth market in the near-term. This
sizable contract signifies continual market validation to
customer’s rapidly moving material handling business thus far. We
commend this customer for its leadership in hydrogen and fuel cell
adoption throughout the logistics business.” Marsh continues,
“Coupling this growth with already unfolding market expansion in
stationary power and on-road electric vehicles well positions Plug
Power to achieve our $1B gross billing goal for 2024.”
Plug Power, the leader in deploying hydrogen and fuel cell
systems into broader logistics markets, has deployed more than
30,000 fuel cell units into commercial applications. The company
has built more than 80 hydrogen stations and, as the largest user
of liquid hydrogen, consumes more than 24 tons daily. Plug Power’s
manufacturing facility for the GenDrive and GenFuel products is its
headquarters in Latham, New York.
About Plug Power Inc. The architect of modern
hydrogen and fuel cell technology, Plug Power is the innovator that
has taken hydrogen and fuel cell technology from concept to
commercialization. Plug Power has revolutionized the material
handling industry with its full-service GenKey solution, which is
designed to increase productivity, lower operating costs and reduce
carbon footprints in a reliable, cost-effective way. The Company’s
GenKey solution couples together all the necessary elements to
power, fuel and serve a customer. With proven hydrogen and fuel
cell products, Plug Power replaces lead acid batteries to power
electric industrial vehicles, such as the lift trucks customers use
in their distribution centers.
Extending its reach into the on-road electric vehicle market,
Plug Power’s ProGen platform of modular fuel cell engines empowers
OEMs and system integrators to rapidly adopt hydrogen fuel cell
technology. ProGen engines are proven today, with thousands in
service, supporting some of the most rugged operations in the
world. Plug Power is the partner that customers trust to take their
businesses into the future. Learn more at www.plugpower.com.
Safe Harbor Statement This communication
contains "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995 that involve
significant risks and uncertainties about Plug Power Inc.("PLUG"),
including but not limited to statements about PLUG's expectations
regarding growth in Europe, revenue, growth with GenKey customers
and its project financing platform. You are cautioned that such
statements should not be read as a guarantee of future performance
or results, and will not necessarily be accurate indications of the
times that, or by which, such performance or results will have been
achieved. Such statements are subject to risks and uncertainties
that could cause actual performance or results to differ materially
from those expressed in these statements. In particular, the risks
and uncertainties include, among other things, the risk that we
continue to incur losses and might never achieve or maintain
profitability; the risk that we will need to raise additional
capital to fund our operations and such capital may not be
available to us; the risk that our lack of extensive experience in
manufacturing and marketing products may impact our ability to
manufacture and market products on a profitable and large-scale
commercial basis; the risk that unit orders will not ship, be
installed and/or converted to revenue, in whole or in part; the
risk that pending orders may not convert to purchase orders, in
whole or in part; the risk that a loss of one or more of our major
customers could result in a material adverse effect on our
financial condition; the risk that a sale of a significant number
of shares of stock could depress the market price of our common
stock; the risk that negative publicity related to our business or
stock could result in a negative impact on our stock value and
profitability; the risk of potential losses related to any product
liability claims or contract disputes; the risk of loss related to
an inability to maintain an effective system of internal controls
or key personnel; the risks related to use of flammable fuels in
our products; the cost and timing of developing, marketing and
selling our products and our ability to raise the necessary capital
to fund such costs; the ability to achieve the forecasted gross
margin on the sale of our products; the risk that our actual net
cash used for operating expenses may exceed the projected net cash
for operating expenses; the cost and availability of fuel and
fueling infrastructures for our products; market acceptance of our
products, including GenDrive, GenSure and GenKey systems; the
volatility of our stock price; our ability to establish and
maintain relationships with third parties with respect to product
development, manufacturing, distribution and servicing and the
supply of key product components; the cost and availability of
components and parts for our products; our ability to develop
commercially viable products; our ability to reduce product and
manufacturing costs; our ability to successfully expand our product
lines; our ability to successfully expand internationally; our
ability to improve system reliability for our GenDrive, GenSure and
GenKey systems; competitive factors, such as price competition and
competition from other traditional and alternative energy
companies; our ability to protect our intellectual property; the
cost of complying with current and future federal, state and
international governmental regulations; risks associated with
potential future acquisitions; and other risks and uncertainties
referenced in our public filings with the Securities and Exchange
Commission (the “SEC”). For additional disclosure regarding these
and other risks faced by PLUG, see disclosures contained in PLUG's
public filings with the SEC including, the "Risk Factors" section
of PLUG's Annual Report on Form 10-K for the year ended December
31, 2018. You should consider these factors in evaluating the
forward-looking statements included in this presentation and not
place undue reliance on such statements. The forward-looking
statements are made as of the date hereof, and PLUG undertakes no
obligation to update such statements as a result of new
information.
SOURCE: PLUG POWER
Media ContactIan MartoranaThe Bulleit
Group(415) 237-3681plugpowerpr@bulleitgroup.com
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