This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Hydrogenics Corporation's CEO Discusses Q2 2012 Results - Earnings Call Transcript

Daryl Wilson

Good morning, and thank you for joining our Q2 earnings call. With very strong financial results and several strategic accomplishments coming into place, Q2 was a very important quarter for Hydrogenics.

Revenue was up more than 100% over Q2 2011 and more than 24% on a year-to-date basis. Our backlog of confirmed orders is up 60% with the addition of more than $10 million of new orders in the quarter. This gives us clear visibility on strong results for the overall year with a projection of approximately 30% to 40% growth year-over-year in revenue.

We entered into a five-year joint development agreement with Enbridge for utility scale energy storage in North America. This agreement was accompanied by an equity investment of $5 million.

Enbridge is a very strong, innovative partner with significant experience and influence in North American energy markets. With a leadership position in gas markets and renewable energy facility deployment, Enbridge is the ideal partner to join with us in opening up the market for Power-to-Gas energy storage in North America.

Turning to Slide 4 in the presentation, we profile the ongoing growth story for the company. Again, we see the importance of the strategic announcements that were made in this recent quarter. Hydrogenics is now well recognized as the leader in the development of Power-to-Gas energy storage technology.

In addition to the relationship with Enbridge, we announced the sale of a two-megawatt Power-to-Gas facility for E.ON, the German-based largest gas and electric utility in the world. This is an important win for us, and just one of several wins in Germany. In the last year more than 15 Power-to-Gas projects have been announced in Germany alone.

In 2012 Hydrogenics has won more than 50% of the projects which have been decided, and while we do not disclose the individual project values, we can say that the overall benefit of these wins to Hydrogenics is in excess of $10 million in revenue in R&D funding. When considered against annual revenues in our electrolysis business at approximately $20 million in 2011, this is very significant indeed.

2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,826.30 -279.47 -1.54%
S&P 500 2,081.18 -23.81 -1.13%
NASDAQ 4,931.8150 -75.9760 -1.52%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs