Plug Power Inc. (NASDAQ: PLUG) shares remain under pressure after the company reported fourth-quarter results on Tuesday, March 01, 2022.
Cowen has a positive view
Plug Power Inc. is an American company engaged in the development of hydrogen fuel cell systems that replace conventional batteries in equipment and vehicles powered by electricity.
Plug Power reported its fourth-quarter results this Tuesday; total revenue has increased above the expectations and reached $162 million, while the GAAP earnings per share were -$0.33 (misses by $0.22).
The company shipped approximately 3,300 GenDrive units and had revenue associated with 11 hydrogen infrastructure systems during the fourth quarter. This represents an increase compared with the fourth quarter of 2020, in which Plug Power shipped 2,200 GenDrive units and nine hydrogen infrastructure systems.
It is important to say that margins in the fuel business remain under pressure driven by increased hydrogen molecule costs due to higher natural gas prices.
The company’s management expects revenue to be between $900 million and $925 million for the 2022 fiscal year, while average molecule costs should decline throughout the year due to strategic agreements with key suppliers, lower logistics costs, and green hydrogen plants coming online.
Andy Marsh, Chief Executive Officer of Plug Power, said that up to 20% of the world’s energy would come from hydrogen and the focus on green hydrogen is why Plug Power is building out the first green hydrogen network in the US.
This is one of the reasons why Plug Power acquired companies that know how to build hydrogen plants, and by 2025, Plug Power predicts that it will develop over 500 tons of green hydrogen per day.
According to the company’s management, green hydrogen
