PLUG POWER INC Q1 FY2025 earnings call

• Business highlights: Renewed momentum in material handling with a large pedestal customer order and new partners like Stephan Spain; Louisiana hydrogen plant commissioned. - Cost savings: Quantum Leap program targeting over $200M annualized run rate reductions, with most savings executed; Q1 cash burn down nearly 50% YOY. - Capital: Raised $280M in equity in March, followed by $525M structured financing, and has $1.66B DOE loan guarantee. - Tariffs: Increased duties on Chinese imports impact GenDrive, with mitigation plan including surge charges, dual sourcing, redesigns, and geographical diversification. - US policy: Uncertainty with new administration, engaged with policymakers, pursuing state and local funding. - Europe: Electrolyzer opportunity funnel over $21B in 2025-2026, active in aviation, refining, UK, with full stack offering and strong project position.

Revenue for Q1 was $134 million. In the material handling business, a large pedestal customer placed a $10 million initial order with over $200 million in future opportunities. The hydrogen generation build-out saw the 15 ton per day Louisiana plant commissioned in Q1, with internal production capacity now at 40 tons per day. The material handling segment contributed through renewed momentum, while the hydrogen generation segment contributed via infrastructure build-out.

• Projected Q2 revenue between $140M to $180M. - Expect further cash burn reductions with Quantum Leap. - Anticipate 2 gigawatts of electrolyzer projects to reach FID by year-end.

• Tariff uncertainties impacting GenDrive. - Uncertainty with US administration changes affecting DOE loan process and hydrogen tax credits. - Electrolyzer project delays due to large investment timelines.

Q: Bill Peterson asked about 45B tax credit impact on Texas facility and electrolyzer orders.

A: Andy Marsh discussed working through draft tax bill, electrolyzer orders with 2 gigawatts expected to FID by year-end, mostly outside US.

Q: George Gianarikas asked about cost cuts and Europe people power.

A: No plans to sell business parts, significant investment in Europe over 3 years.

Q: Colin Rusch asked about hydrogen production facilities and material handling demand.

A: Louisiana plant progressing, material handling seeing activity in Europe with new customers.

Q: Eric Stine asked about material handling geographic mix and economics.

A: Growing with existing and new customers, economics impacted by 480 possibility.

Q: Dushyant Ailani asked about 45V safe harbor and tariff conversations.

A: Spent $250M on Texas, initial tariff conversations, inventory protected.