Bloom Energy Corporation · NYSE:BE
Bloom Energy — Investor Day (May 2022)
67 slides from Bloom Energy's investor day presentation, May 25, 2022
Slide 1: Exhibit 99.1
WED, MAY 25, 2022 Exhibit 99.1
Slide 2: Forward-looking statements and non-GAAP financial measures
Forward-looking statements and non-GAAP financial measures This presentation contains "forward-looking" statements that are based on our beliefs and assumptions and on information currently available to us. Forward-looking statements include all statements other than statements of historical fact, i
Slide 3: Bloom Energy Mission: Decarbonization
Bloomenergy’ MISSION: DECARBONI2ATION
Slide 4: Company Vision: Mission Decarbonization
Company Vision: Mission Decarbonization KR Sridhar Founder, Chairman & CEO
Slide 5: 12 9 3 6
12 9 3 6
Slide 6: Value of CO2 Reduction
Value of CO2 Reduction Time (Years) Time value of carbon $ $ $ $ $ $ $ $ $ $
Slide 7: EU wants to allow natural gas, nuclear in green investment
EU wants to allow natural gas, nuclear in green investment The European Commission wants to include nuclear energy and natural gas in its plans for building a climate-friendly future “Four technology value chains contribute about half of the cumulative CO2 savings: technologies to widely electrify e
Slide 8: Decarbonization Platform
Decarbonization Platform Based on mitigation potential from the SDS. IEA (2020), Energy Technology Perspectives 2020, IEA, Paris https://www.iea.org/reports/energy-technology-perspectives-2020 Curbing Methane Emissions, McKinsey Aligned with a net-zero future Shift to Cleaner Fuels Electrification H
Slide 9: Slide 9
Slide 10: Decarbonization Resiliency
Decarbonization Resiliency
Slide 11: Resiliency Decarbonization
Resiliency Decarbonization
Slide 12: Slide 12
Slide 13: Slide 13
Slide 14: Reversible technology: Electrolyzer and Fuel Cell Mode
Electrolyzer Mode Fuel Cell Mode Chemical Energy Electrical Energy Reversible technology Electrical Energy Chemical Energy
Slide 15: A flexible energy platform
A flexible energy platform Inputs Natural Gas Biogas Hydrogen Intermittent Energy Sources Electricity Outputs AC Power DC Power Flexible Voltage Flexible Current Hydrogen Water Oxygen
Slide 16: Driving innovation: computing and digital power
~10 years > 65 million fuel cells > 2 million stacks > 30,000 server modules > 700 installations > 20 billion kWh Transistor Server Blade Integrated Chip Rack Data Center Driving innovation: computing and digital power Power for the Digital Economy Fuel Cell Server Module Stack System Power Center
Slide 17: Driving innovation: computing and digital power
~10 years > 65 million fuel cells > 2 million stacks > 30,000 server modules > 700 installations > 20 billion kWh Driving innovation: computing and digital power Power for the Digital Economy Fuel Cell Server Module Stack System Power Center
Slide 18: Energy Server evolution
3 kW/m2 8 kW/m2 9 kW/m2 11 kW/m2 229 kg/kW 109 kg/kW 87 kg/kW 70 kg/kW 26 kW/m2 37 kW/m2 41 kg/kW 32 kg/kW 200 kW 250 kW 100 kW 500 kW 5 kW Power density Material leverage 750 kW 12x 8x Energy Server evolution
Slide 19: Blue chip customers
Kaiser Permanente Blue chip customers AT&T APPLE DISNEY COSTCO
Slide 20: SK partnership: November 2018 partnership formalized
SK partnership November 2018: Partnership Formalized
Slide 21: SK partnership
SK partnership KOEN Bundang Size: 8.35 MW COD: December 2018 KT Daeduk Size: 900 kW COD: September 2019 2018 2019
Slide 22: SK partnership
SK partnership Hwasung Size: 19.8 MW COD: May 2020 EWP Donghae Size: 15 MW COD: October 2020 2020
Slide 23: SK partnership
SK partnership Paju Size: 8.1 MW COD: October 2020 EWP Honam Size: 15 MW COD: December 2021 2021
Slide 24: SK partnership
SK partnership 99.85% fleet availability factor and 100% economic evaluation win rate in Korean utility RFPs - October ‘18 to October ’21 SK Ecoplant expanded the partnership by: Making a significant investment in Bloom Executing a $4.5B take-or-pay contract Opportunities in hydrogen fuel cells and
Slide 25: Hydrogen in Korea
Hydrogen in Korea Hydrogen SOFC Pilot Size: 100 kW COD: April 2021 Electrolyzer Pilot Size: 130 kW COD: January 2022 2022
Slide 26: Global expansion
Global expansion Stationary fuel cells over the last 3 years United States Korea Europe 80% market share 80%+ market share Next frontier
Slide 27: Bloom Energy Mission: Decarbonization
Bloomenergy’ MISSION: DECARBONI2ATION
Slide 28: Financial Overview: A Plan For Profitable Growth
Greg Cameron EVP and Chief Financial Officer Financial Overview: A Plan For Profitable Growth
Slide 29: Decarbonization Platform
Decarbonization Platform The platform enables our profitable growth strategy: Smart market expansion Scaling Up for cost efficiency Simplifying our operations Power Generation Hydrogen/ Carbon Capture Marine
Slide 30: Leading Decarbonization Platform
Leading Decarbonization Platform Solid Oxide Platform Shift to Cleaner Fuels Electrification Hydrogen Waste to Energy Carbon Capture
Slide 31: Bloomenergy Fi |
7 Bloomenergy Fi |
Slide 32: Cost down opportunity
Cost down opportunity Product Install Service % of Revenue1 ~65% ~15% ~20% Expected Annual Reduction Avenues for Cost Reduction Increasing power density Reducing complexity Leveraging volumes Partnerships Leveraging technological improvements Increasing life and reducing cost Leveraging performance
Slide 33: Delivered cost of electricity
14¢ 9¢ Tolling Fuel US PPA Example Cost ($/kWh) Note: Cost/kWh is the cost of electricity for a 15 year PPA for similar installations.. Delivered cost of electricity
Slide 34: Reaffirming 2022 financial outlook
Reaffirming 2022 financial outlook 1With respect to Bloom’s expectations regarding its 2022 Outlook, Bloom is not able to provide a quantitative reconciliation of non-GAAP gross margin and non-GAAP operating margin measures to the corresponding GAAP measures without unreasonable efforts. Metric 2022
Slide 35: Revenue and non-GAAP gross margin growth
$232 $366 2017 2021 $808 $972 Fiscal Year Revenue ($MM) Product & Service Install & Electricity 36% CAGR 28% CAGR Total Growth since the IPO (3%) 22% 2017 2021 Non-GAAP Gross Margin % +25 pts 1Please reference appendix for GAAP to Non-GAAP reconciliations
Slide 36: Bloom's forecasted growth rate
Bloom’s forecasted growth rate $2.5-3B $8-10B 2021 2026 E 2031 E $1-2B $6-8B Power Gen (SOFC) $1-2B $4-5B $1B $15-20B 30-35% Total Company CAGR Marine 25-30% CAGR Decarbonizing Technologies +5pp CAGR Power Gen Power gen includes Product, Install, Electricity & Service for our current SOFC business i
Slide 37: Long-term growth model
1.With respect to Bloom’s expectations regarding its 2022 Outlook, Bloom is not able to provide a quantitative reconciliation of non-GAAP gross margin and non-GAAP operating margin measures to the corresponding GAAP measures without unreasonable efforts. 30% - 35% Revenue Growth (through 2031) Lever
Slide 38: Bloomenergy Fi |
7 Bloomenergy Fi |
Slide 39: Leveraging across markets and applications
Leveraging Across Markets and Applications Mature, Proven Technology Cash Generative Leading energy platform
Slide 40: Smart Market Expansion
Smart Market Expansion Sharelynn Moore Market Development and Chief Marketing Officer
Slide 41: Smart Market Expansion
Decarbonization Platform Smart Market Expansion Tailored solutions Value Driven: Resiliency Predictability Sustainability Expand with partners Power Generation Hydrogen/ Carbon Capture Marine
Slide 42: Market Leadership
1. According to The Hydrogen Analysis Resource Center’s FY21Q4 stationary fuel cell data > Over 80% market share1 Leader in deployed MW Technology leader Low environmental impact Easy install, low maintenance Fuel-flexible High efficiency Lower CO2, no air pollution, no noise Highest availability of
Slide 43: Three businesses focused on decarbonization
Power Generation Microgrids Primary Power Waste to Energy Utility-Scale Power Hydrogen/Carbon Capture Electrolyzers: Green Hydrogen Electrolyzers: Pink Hydrogen SOFC with CCUS: Net-Zero Electricity Marine Three businesses focused on decarbonization TAM $70 BILLION TAM $340 BILLION TAM $1.4 TRILLION
Slide 44: Roadmap update
Roadmap update International Announce new SK type partner in Europe First deployments Ramp Hydrogen CCUS Manufacture demo systems Demonstration projects First commercial projects Ramp Biogas Marine Demonstration hardware Begin commercial sales First commercial projects Ramp US C&I (Target Selling St
Slide 45: Bloomenergy Fi |
7 Bloomenergy Fi |
Slide 46: Increasing need for resiliency
Increasing need for resiliency Predictability - escalating grid costs, time to power Sustainability Increasing demand Hydrogen/ Carbon Capture Marine Power Generation
Slide 47: Packaged Servers: time to power
Packaged Servers Rapid installation Capacity when needed Bloom is Ready to Deliver Power Now Time to power: fast and dependable “First, we needed a solution that would deliver power in months, not years. Second, we wanted to decrease our overall carbon footprint. Bloom delivered on both fronts.” –CT
Slide 48: Packaged Servers: time to power
Packaged Servers Time to power: fast and dependable “First, we needed a solution that would deliver power in months, not years. Second, we wanted to decrease our overall carbon footprint. Bloom delivered on both fronts.” –CTO, recent customer Order to power: 9 months Power Generation
Slide 49: Bloom's Value Proposition
Bloom’s Value Proposition Alternative to methane flaring Improve LCFS value Resiliency for critical infrastructure Growing Market Opportunity 15,000 wastewater treatment plants 10X increase in biofuels plants this decade Waste to energy expands solutions Power Generation
Slide 50: Hydrogen & Carbon Capture
Hydrogen & Carbon Capture Rick Beuttel Hydrogen Business
Slide 51: Platform superiority for net-zero
Power Generation Marine Platform superiority for net-zero Leveraging competitive advantage Hydrogen Production Most efficient electrolyzer on market today Carbon Capture Proven technology Superior economics Hydrogen & Carbon Capture
Slide 52: Green hydrogen projects a good fit for solid oxide
75% of green hydrogen projects are a good fit for high efficiency solid oxide Excellent Fit Refining Ammonia Methanol Iron & Steel Synfuels Biofuels Nuclear & Hydro Power Likely Fit Non-Nuclear or Hydro Power “Other Industry” Less Likely Fit Mobility Residential & Commercial Heat 1. Announced projec
Slide 53: SOECs offer lowest-cost hydrogen
Alkaline: 54.0 kWh/kg PEM: 49.9 kWh/kg Solid Oxide: 45.0 kWh/kg Solid Oxide with Steam: 39.6 kWh/kg Levelized Cost of Hydrogen ($/kg)1 Electrolyzer Type Starting Efficiency SOECs offer lowest-cost hydrogen Assumptions: Funded by project finance at 8% WACC, 98% capacity factor, 30-year plant lifetime
Slide 54: Pathway to scale
Pathway to scale Key Steps Product developed/launched: Small scale demonstrations: 10MW demonstrations: 2022 Large orders: starting H2 2023
Slide 55: Carbon capture
Anode Exhaust Sequestration Utilization Upstream Downstream (Illustrative) 95% Purity CO2 Drying No NOx, SOx, or particulates Carbon capture 15x higher CO2 concentration; 16x less mass flow 240x combined advantage Hydrogen & Carbon Capture
Slide 56: Low cost, zero-carbon, 24/7 power
Low cost, zero-carbon, 24/7 power Simpler carbon capture from power generation Scale to drive further cost efficiency Low barriers to siting Cost of combine cycle source: Lazard’s 2021 Levelized Cost of Energy, Cost of Combine Cycle + CCUS source: Global CCS Institute, The Costs of CO2 Capture, Tran
Slide 57: Marine & International
Marine & International Tim Schweikert International Business and Marine
Slide 58: A new market to meet IMO goals
A new market to meet IMO goals Marine Hydrogen/ Carbon Capture Power Generation Platform Advantage No NOx, SOx, PM, methane slip Future Proof: LNG today, net zero fuels tomorrow Efficiency: 20-30% more efficient vs ICE, more efficient vessel designs
Slide 59: Go to Market
Go to Market Launch Segment Cruise hotel load applications Expand Freight vessel generator replacement Partnerships Ship builders, ancillary equipment providers Marine 30% NEW VESSELS IN 2021 POWERED BY LNG
Slide 60: Global expansion
Global expansion Stationary fuel cells over the last 3 years United States Korea Europe 80% market share 80%+ market share Next frontier
Slide 61: Europe market drivers
Europe Market Drivers Time to Power: 3-7 years Subsidies: 75% efficiency requires CHP Future Proof: fuel flexibility Energy Security: expedited H2 transition High efficiency: lower LCoE, increased gas prices Net Zero by 2050 Roadmap First Win:+15MW industrial application +200MW SOFC pipeline: Italy,
Slide 62: Driving Capacity Up & Cost Down
Driving Capacity Up & Cost Down Greg Cameron, Chief Financial Officer Glen Griffiths, Operations and Services Satish Chitoori, Procurement and Supply Chain Carl Cottuli, Global Engineering
Slide 63: Key Takeaways
Greg Cameron EVP and Chief Financial Officer Key Takeaways
Slide 64: Q&A
Q&A We will now take your questions
Slide 65: Bloomenergy Fi |
7 Bloomenergy Fi |
Slide 66: Appendix
Appendix
Slide 67: GAAP to Non-GAAP reconciliation: Gross margin
GAAP to Non-GAAP reconciliation: Gross margin $ in millions 2017 2021 Revenue $366 $972 GAAP gross profit ($16) $197 GAAP gross margin % (4%) 20% Stock-based compensation expense – COGS $6 $14 Non-GAAP gross profit ($10) $211 Non-GAAP gross margin % (3%) 22%