Ballard Reports Q4 2024 Results

Core Insights - Ballard Power Systems reported significant financial challenges in 2024, with Q4 revenue of $24.5 million, down 48% year-over-year, and full-year revenue of$ 69.7 million, down 32% [2][3] - Despite the tough market conditions, the company achieved a record order backlog of $173.5 million at the end of 2024, a 41% increase from Q3 2024, driven by strong order intake [2][7] - The company is focusing on restructuring to reduce operating expenses by more than 30% in 2025 and has halted investments in the China market [2][3] Financial Performance - Q4 2024 total revenue was$ 24.5 million, a decrease of 48% compared to Q4 2023, with Heavy Duty Mobility revenue at $16.8 million, down 42% [3][6] - Full-year revenue for 2024 was$ 69.7 million, down 32% from $102.4 million in 2023, with notable growth in the Bus vertical, which saw a 51% increase [2][8] - Q4 gross margin improved by 9 points year-over-year to (13%), while full-year gross margin was (32%), an 11-point decline from 2023 [3][6] Operational Highlights - The company achieved record shipments of over 660 fuel cell engines in 2024, representing approximately 56 MW, an increase of nearly 30% from 2023 [2][7] - New net order intake for 2024 was approximately$ 113 million, with Q4 order intake of $75.4 million [2][4] - The 12-month order book reached$ 98.9 million at the end of Q4, a 48% increase compared to the previous year [7] Cash Position and Outlook - At the end of 2024, Ballard had cash and cash equivalents of $603.9 million, down from$ 751.1 million in 2023, with no bank debt [3][8] - The company expects total operating expenses for 2025 to be between $100 million and$ 120 million, with capital expenditures projected between $15 million and$ 25 million [5][8] - The focus for 2025 will be on product development, cost reduction programs, and maintaining a strong balance sheet for long-term competitiveness [2][5]