 Materials handling fleet with Plug Power fuel cells |
Alternative power providers Plug Power Inc and Flux Power Holdings Inc. of Vista, California report progress in marketing their technologies. Both recently issued financial and operational results for the fiscal quarter ended 30 September.
Plug PowerThe Latham, New York-based supplier of energy solutions shipped 857 GenDrive units to materials handling customers, up substantially from the 155 units shipped in 2013's comparable third quarter.
Plug Power's backlog is valued at USD150 million, of which about two-thirds involve orders for powering Class 3 electric motor hand forklifts or hand/rider trucks.
Plug Power is taking prospective customers to existing operations utilising fuel-cell technology as an alternative to lead-acid batteries. Existing customer sites with fuel-cell-powered forklifts include distribution centres of Bentonville, Arkansas-based retailer Wal-Mart Stores Inc and production sites of auto makers BMW Manufacturing Co of Greer, South Carolina and Volkswagen Group of America Inc of Chattanooga, Tennessee
Plug Power and supplier Ballard Power Systems Inc of Burnaby, British Columbia, Canada are working through separate issues relating to aspects of the causes of failures of high-powered liquid-cooled fuel cell stacks.
Plug Power signed a non-exclusive agreement with Ballard for fuel cell stacks for use in GenDrive systems. "The agreement provides favourable pricing to Plug Power with the ability for us to achieve additional reductions in the future," says Andrew J Marsh, Plug Power chief executive officer and president. "Through this new agreement in place until the end of 2017, Plug Power secured a stack supplier as we fulfill customer orders and close additional significant sales opportunities." Plug Power's relationship with Ballard dates back to 2008.
Plug Power says it remains committed also to internal development of air-cooled and liquid-cooled stack programs for its GenDrive product suites.
Plug Power says it has completed installation of its first GenFuel hydrogen infrastructure for the ground support equipment market at the airport in Memphis, Tennessee. Announced on 18 November, the deployment includes a standard hydrogen storage tank, compression system, fuel pipelines and Plug Power's first outdoor GenFuel hydrogen dispensers to service a 15-truck fleet of airport tuggers powered by Plug Power fuel cells. Plug Power says fuel cells operate at least twice as efficiently as diesel engines.
Plug Power reports a loss of USD9.4 million on sales of USD19.9 million for the third quarter. Product sales were USD12.6 million, service revenues were USD6.9 million and research and development contract work accounted for USD371,000.
Plug Power projects calendar-2014 sales in the range of USD70 million to USD75 million versus the 2013 full-year result of USD26.6 million.
Plug Power has appointed Paul Middleton as chief financial officer. Previously, Middleton was in financial management positions with polymer composite materials maker Rogers Corp of Rogers, Connecticut.
Flux PowerThe Vista, California-based developer of advanced lithium-ion storage systems reports more national account activity, including negotiation of orders for USD800,000 worth of business through battery distributors and equipment dealers.
Flux LiFT Packs are in evaluation in 25 states, principally within materials handling equipment applications for retail and grocery chains and food service, beverage and distribution companies.
"Though little more than a month since our Q4 report, Flux continues to build awareness, its sales pipeline and customer reach with major national and regional accounts," says Ronald F Dutt, chief executive officer and interim chief financial officer. Flux Power is continuing "to receive glowing feedback for our solutions as we meet with national and regional accounts, lift truck OEMs and dealers and battery distributors."
A distributor placed an order for 15 LiFT Packs. Flux Power says the two-month timeline from establishing a new distributor to receiving orders from a national account is indicative that Flux products are beginning to gain market acceptance. The typical Flux sales cycle can range up to two months.
Flux is expanding its LiFT Pack product line with development of a pack for stand-on pallet jacks. Initial models are scheduled for field-testing soon. The price point for that product is about double that of Flux Power's current LiFT Pack for walkie pallet jacks.
Flux Power reports a loss of USD197,000 on sales of USD86,000 for the first quarter. Those results compare to a loss of USD746,000 on sales of USD34,000 for the corresponding 2013 period.
Flux has formed a strategic advisory board and, as initial members, named publishing executive and microcap investor Sir Nigel Burney and former Sybase Inc executive Steven Capelli.