Ballard Power Systems Inc. · TSX:BLDP
Ballard Power Systems — Investor Presentation (August 2020)
22 slides from Ballard Power Systems's investor presentation, August 2020
Slide 1: Investor Presentation August 2020
Investor Presentation August 2020 Nasdaq & TSX ticker: BLDP Power to Change the World® 1 BALLARD.COM
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements, including: estimated revenue; gross margin; cash operating costs; adjusted EBITDA; product cost reductions; liquidity; market size and growth projections; customer value propositions; and expected sales and product shi
Slide 3: Ballard by the Numbers
Ballard by the Numbers Power to Change the World® 3 BALLARD.COM
Slide 4: Key Trends
Key Trends • Climate Change – Policy Responses • Medium- and Heavy-Duty Motive Applications • Fuel Cell (TCO) Competitiveness • Corporate Investments in Fuel Cell Industry Power to Change the World® 4 BALLARD.COM
Slide 5: Policy Responses
Policy Responses GLOBAL • More than 66 countries have net-zero carbon targets for 2050; 18 governments – representing 70% of global GDP – now have hydrogen roadmaps • 10-10-10 Energy Ministerial targets: 10m FCEVs and 10k hydrogen fueling stations over the next 10 years • United Nations IMO targetin
Slide 6: Policy Responses (Cont’d)
Policy Responses (Cont’d) U.S. • CARB – 100% of bus fleets to be zero-emission by 2040; Clean Truck Standard requires 100% of HMD trucks sold in California to be zero-emission by 2045 • CA transit agencies – including OCTA, AC Transit, SunLine – have published zero- emission bus rollout plans, in co
Slide 7: Heavy & Medium Duty Commercial Vehicle Adoption
Heavy & Medium Duty Commercial Vehicle Adoption Use cases best suited for early adoption of fuel cell systems: i Long range (>100km / 60 miles per day) ii Fast refueling (<10 min.) for maximum asset utilization iii Heavy payload capabilities (>10 tons) iv Route flexibility, including a range of clim
Slide 8: Hydrogen & Fuel Cell Competitiveness
Hydrogen & Fuel Cell Competitiveness Source – Hydrogen Council Report – “Path to Hydrogen Competitiveness: A Cost Perspective”, January 2020 Ballard near-term market focus Power to Change the World® 8 BALLARD.COM
Slide 9: Hydrogen Council Formed in 2017
Hydrogen Council Formed in 2017 CEO-led global initiative of leading energy, transport and industry companies with a united vision and long-term ambition for hydrogen to foster the energy transition Power to Change the World® 9 BALLARD.COM
Slide 10: Recent Corporate Investments in Fuel Cell Industry
Recent Corporate Investments in Fuel Cell Industry $6.7 Billion Investment Power to Change the World® 10 BALLARD.COM
Slide 11: Ballard Strategy: e12345
Ballard Strategy: e12345 e – engage e-mobility ecosystem Simplify FCEVs and drive down TCO 1 2 3 4 5 Number ONE in the TWO growth THREE key FOUR parts of the FIVE key world with best PEM platforms geographic markets* value chain applications* fuel cell technology and products • MEAs & plates • Power
Slide 12: Vertically Integrated Power Products
Vertically Integrated Power Products Power to Change the World® 12 BALLARD.COM
Slide 13: Power Products - Truck
Power Products - Truck • Global addressable engine market of $120b o Freight volumes expected to grow 40% by 2050, driven by eCommerce • Fuel cells can address wide range of use cases • Fuel cells deliver key benefits: o EXTENDED RANGE – and duty cycle o PAYLOAD – 3,000-6,000 kilograms more than bat
Slide 14: Power Products - Bus
Power Products - Bus • Global addressable engine market of $14b o 40% of all new buses forecast to be electric by 2040 • Fuel Cell Electric Buses (FCEBs) offer: o OPERABILITY – extended range (up to 350 miles); rapid (6-10 min.) & centralized refueling; reliable; highly durable; scalable fueling inf
Slide 15: Power Products – Rail
Power Products – Rail • Strong fuel cell value proposition for electrified rail without catenary wires o Fuel cell market share of 40%+ anticipated in EU by 2030 • Ballard currently working in China with CRRC and in Europe with Siemens • Fuel cells deliver key benefits: o EXTENDED RANGE – and duty c
Slide 16: Power Products - Marine
Power Products - Marine • Rapidly emerging opportunity o Ballard currently working on Norway ferry (Norled), Scotland ferry, river push boats in Germany & France, and MW-scale project (ABB) • Marine Center of Excellence to open in 2020 at Hobro, Denmark facility • Fuel cells deliver key benefits: o
Slide 17: Technology Solutions
Technology Solutions • ACES trends – autonomy, connectivity, electrification, shared mobility • Estimate of 500k fuel cell cars by 2025 • Ballard currently working with Audi • Fuel cells deliver key benefits: o EXTENDED RANGE – 600+ km’s o RAPID REFUELING – in minutes o LOW MAINTENANCE – minimal dow
Slide 18: China Opportunity
China Opportunity • Weichai is the largest global diesel engine OEM with ~900k units in 2019 o COLLABORATION SIGNED Q4 2018 o WEICHAI TOOK 19.9% POSITION IN BLDP o $90M TECH. TRANSFER PROGRAM o ESTABLISHMENT OF JV; 49% Ballard • Weichai-Ballard JV has begun production & assembly of LCS stacks and LC
Slide 19: ESG Commitment
ESG Commitment Ballard issued an inaugural ESG Report 2019 in April 2020 – the Company is committed to continued enhancement of ESG reporting going forward Power to Change the World® 19 BALLARD.COM
Slide 20: We deliver fuel cell power for a sustainable planet
We deliver fuel cell power for a sustainable planet. www.ballard.com Power to Change the World® 20 BALLARD.COM
Slide 21: Q4 & Full Year 2019 Results
APPENDIX Q4 & Full Year 2019 Results (Millions of U.S. dollars) Q4 2019 Q4 2018 % Change FY 2019 FY 2018 % Change REVENUE Fuel Cell Products & Services Revenue: Heavy Duty Motive $21.4 $10.6 101% $35.4 $39.5 -10% UAV $0.2 $0.4 -66% $0.6 $7.1 -92% Material Handling $1.9 $3.2 -40% $10.7 $8.0 34% Backu
Slide 22: Q2 & YTD 2020 Results
APPENDIX Q2 & YTD 2020 Results (Millions of U.S. dollars) Q2 2020 Q2 2019 % Change YTD 2020 YTD 2019 % Change REVENUE Fuel Cell Products & Services Revenue: Heavy Duty Motive $12.5 $6.5 94% $22.9 $9.0 153% UAV $0.0 $0.2 -85% $0.2 $0.4 -52% Material Handling $2.2 $2.8 -20% $2.9 $6.0 -51% Backup Power
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