Ballard Power Systems Inc. · TSX:BLDP
Ballard Power Systems — Investor Presentation (February 2012)
25 slides from Ballard Power Systems's investor presentation, Feb 22, 2012
Slide 1: Smarter Solutions for a Clean Energy Future
® NASDAQ:BLDP z TSX:BLD Smarter Solutions for a Clean Energy Future Corporate Presentation February 22, 2012
Slide 2: Forward Looking Statements
Forward Looking Statements NASDAQ:BLDP z TSX:BLD This presentation contains forward‐looking statements, including: estimated revenue; cash operating costs; gross margins; product cost reductions; adjusted EBITDA, funding requirements; market size and growth projections; customer value propositions;
Slide 3: Who We Are
Who We Are NASDAQ:BLDP z TSX:BLD Ballard Power Systems, Inc. is a Multi‐Market Focus recognized global leader in the design & manufacture of clean energy, zero‐ emission PEM fuel cells Successful transformation of the company since 2007 ‐ from high‐cost, automotive fuel cell R&D company, to leading
Slide 4: Market Opportunity
Market Opportunity NASDAQ:BLDP z TSX:BLD SOFC 600°‐1200°C (Bloom Energy) Temperature Increasing High Thermal Management MCFC (Fuel Cell Energy) Proton Exchange Requirements Membrane (PEM) fuel PAFC (United Technologies) cell technology 60°‐120°C PEMFC accounted for 97% of Low global fuel cell 1kW 10
Slide 5: PEM Product Portfolio
PEM Product Portfolio NASDAQ:BLDP z TSX:BLD Fuel Cell Stacks • Power 500W‐2kW • Power 2‐8kW • Power 4‐20 kW • Power 100 kW • Operating life 2.5K‐4K hrs • Operating life 20k‐ 30k hrs • Operating life 8k‐12k hrs • Operating life >5k hrs • ASP $650 2,600/stack* • ASP $2,800‐11,200/stack* • ASP $2,000‐1
Slide 6: PEM Fuel Cell Technology
PEM Fuel Cell Technology NASDAQ:BLDP z TSX:BLD 1 Hydrogen fuel is channeled through field 2 …while Oxygen from the air is Compact & scalable flow plates to the Anode on one side of channeled to the cathode on the the fuel cell… other side of the cell Fuel flexibility Efficient, reliable & safe Fast
Slide 7: Competitive Advantage
Competitive Advantage NASDAQ:BLDP z TSX:BLD Sustainable leadership position in technology & product development Extensive R&D work over past 15 years, including joint development programs with Daimler & Ford >200 patents & patent applications owned … and license rights to >700 patents & patent appli
Slide 8: Backup Power Market
Backup Power Market NASDAQ:BLDP z TSX:BLD Focus on backup power for Dual Channel Access wireless telecom industry Direct via Dantherm Power Network / Compelling value proposition Fuel Cell Stacks Service End & Systems Users driven by extended runtime & Providers reliability at competitive lifecycle
Slide 9: Backup Power Case Study
Backup Power Case Study NASDAQ:BLDP z TSX:BLD • FCgenTM‐1020ACS fuel cell • Ballard SI & direct channel • Fuel cell systems installed at stack • Integration of fuel cells into off‐grid sites • Low cost, air cooled product complete systems • Used for primary power facilitates simplified system • 10‐y
Slide 10: Backup Power – Sample of Customers
Backup Power – Sample of Customers NASDAQ:BLDP z TSX:BLD Dantherm Power systems provides continuous power at off‐grid sites in Canada … converted to backup role once grid is connected Dantherm Power systems deployed at >120 TETRA base stations throughout Denmark’s SINE public safety mobile radio net
Slide 11: Distributed Generation Market
Distributed Generation Market NASDAQ:BLDP z TSX:BLD Dual Channel Access Focus on applications with available low‐cost hydrogen Direct via Delivery of Complete System in markets with FIT and/or Fuel Cell Chemical Plant/ SGIP support Systems DG System Operators CLEARgen™ system “Levelized Cost of Ener
Slide 12: Distributed Generation Case Study
Distributed Generation Case Study NASDAQ:BLDP z TSX:BLD • Complete CLEARgen™ system powered by • Fuel cell system will convert by‐product FCgen®‐1300 fuel cell stacks hydrogen from bleach production into • High efficiency, liquid cooled product with clean, load‐following electricity 20,000 hour life
Slide 13: Distributed Generation – Sample of Customers
Distributed Generation – Sample of Customers NASDAQ:BLDP z TSX:BLD 1MW CLEARgenTM system for peak load management at Eastlake, Ohio facility 1MW CLEARgenTM system to provide peak power and heat at Toyota’s 5,000‐employee California campus CLEARgenTM system will convert by‐product hydrogen from bleac
Slide 14: Material Handling Market
Material Handling Market NASDAQ:BLDP z TSX:BLD Focus on battery replacement in Channel Access N/American forklift trucks at high volume distribution centers & warehouses System Lift Truck OEMs Value proposition driven by productivity Fuel Integrator Lift Truck Fleet gains vs. battery‐power Cell & De
Slide 15: Material Handling Case Study
Material Handling Case Study NASDAQ:BLDP z TSX:BLD • FCvelocity™‐9SSL fuel • GenDrive® fuel cell • Leading North • 85 GenDrive® cell stack systems for forklifts American forklift OEM forklifts deployed at • Highly durable product, • Improved productivity, • Independent manufacturing plant in based o
Slide 16: Material Handling – Plug Power Sample of Customers
Material Handling Plug Power ‐ Sample of Customers NASDAQ:BLDP z TSX:BLD Replaced entire Class 1 sit‐down counterbalanced lift truck fleet at Texas facility with 32 Plug Power GenDrive® units 8 sites, including Houston warehouse fleet of 72 pallet trucks and 26 forklifts powered by Plug Power GenDri
Slide 17: Bus Market
Bus Market NASDAQ:BLDP z TSX:BLD Focus on government supported zero‐ Channel Access emission transit programs in South America, North America & Europe Fuel Cell Bus System Bus Transit Power Product cost reductions moving fuel cell Integrators OEMs Operators Module* hybrid buses to competitive positi
Slide 18: Bus Case Study
Bus Case Study NASDAQ:BLDP z TSX:BLD • FCvelocityTM‐HD6 fuel cell • Major European bus OEM and • Transit authority in Oslo, power module system integrator … 4th largest Norway • Balance‐of‐plant components OEM in Europe • Public & government pressure fully integrated • Supply agreement for to improv
Slide 19: Bus – Sample of Customers
Bus – Sample of Customers NASDAQ:BLDP z TSX:BLD SYSTEM INTEGRATORS & OEM’s TRANSIT AGENCIES Global leader in bus hybrid drive propulsion systems, used in U.S., 20 fuel cell buses – world’s largest fleet Canada & UK – recently surpassed 1 million miles in revenue service in Whistler, BC BC Transit Fu
Slide 20: Path to Profitability
Path to Profitability NASDAQ:BLDP z TSX:BLD Revenue (millions) Gross Margin (%) ~30% ~$100.0 $76.0 Material $65.0 Products 18% 16% $46.7 Contract 13% Automotive Fuel Cell Products 2009 2010 2011 2012E 2009 2010 2011 2012E 2011 revenue growth of 17% 2011 gross margin of 18% Expect revenue of approxim
Slide 21: Path to Profitability (cont'd)
Path to Profitability (cont’d) NASDAQ:BLDP z TSX:BLD Cash Operating Cost Base (millions) Adjusted EBITDA (millions) ~$75.0 2009 2010 2011 2012E Measures operating Measures EBITDA expenses excluding adjusted for stock‐based ~breakeven stock‐based compensation expense, compensation, depreciation and t
Slide 22: Path to Profitability (cont'd)
Path to Profitability (cont’d) NASDAQ:BLDP z TSX:BLD 2005 2012 Focus: Automotive R&D programs Focus: Commercial fuel cell markets Cash operating costs: $84M Cash operating costs: Low‐$30M’s Gross margin: 15% Gross margin: approximately 30% Breakeven level of revenue: ~$500M Breakeven level of revenu
Slide 23: Path to Profitability (cont'd)
Path to Profitability (cont’d) NASDAQ:BLDP z TSX:BLD Liquidity & cash reserves at end‐2011 Cash reserves of $46.2… $41.6M net of $4.6M drawn on C$10M bank line to assist in financing short‐term working capital requirements Liquidity is sufficient to reach profitability without additional public mark
Slide 24: Key Takeaways
Key Takeaways NASDAQ:BLDP z TSX:BLD Large addressable market opportunity Multi‐market growth focus & first‐mover strategy Technology & product leadership in PEM fuel cells Strong revenue growth; aggressively moving towards profitability Healthy liquidity of $51.6M Management track record of strong e
Slide 25: Contact Us
Contact Us NASDAQ:BLDP z TSX:BLD Investor Relations Media Relations Social Media Lori Rozali or Guy McAree Linked In: Ballard Guy McAree Power Systems Email: Email: media@ballard.com Twitter: @BallardPwr investors@ballard.com Phone: Facebook: Ballard Phone: +1.604.412.7919 Power Systems +1.604.412.3
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