This Day On The Street
Continue to site right-arrow
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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

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

Stocks in this article: HYGS

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

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
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!

Markets

DOW 17,356.87 +288.00 1.69%
S&P 500 2,012.89 +40.15 2.04%
NASDAQ 4,644.3120 +96.4780 2.12%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs