Plug Power (PLUG) 9 Nov 232023 Q3 Earnings call transcript

Greetings, and welcome to the Plug Power Third Quarter Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Teal Hoyos, Director of Marketing Communications. Thank you, Teal, you may begin.

Thank you. third call. XXXX the to quarter earnings Welcome This include forward-looking statements. call will statements These our future results financial projections of of or forward-looking forward-looking contain other operations information. position or of the contained in Act XXA forward-looking be statements and We of Securities of Section provisions the Section intend statements covered XXXX. XXE of these of by forward-looking for safe Act to XXXX the harbor Exchange Securities

expectations it is important to future investors. that our believe We communicate to

not actual statements XX-Q forecasts Such and such risks XA as ended as differ for not Form including, a result materially or quarterly SEC. file XXXX, However, of of time Form or in on estimates, based cautioned forward-looking under subject current and or the other investors performance as as be upon the we not rely XX, Item from factors, understood the quarters various discussed are beliefs XX-K and fiscal the limited but XXXX XXXX, are Risk read cause June and to reports significant unduly expectations, and uncertainties results future annual as to statements, performance of and management report statements current should a reports projections uncertainties those guarantee on or to, March our results. to Factors assumptions risks well XX, with time discussed December the to from and ending year XX, could for that are and

update statements this a new I which Marsh. do to this undertake made, information. we would as statements Power's Andy speak not forward-looking result the the day over only after to statements intend At CEO, forward-looking call of to are or turn of point, in Plug These the like call or and any

thank primarily and the third Teal, joining hydrogen. the you difficult driven availability by conference quarter, call. was It for a you, of quarter Thank

hydrogen, challenges availability entire network. primarily including plants, hydrogen been temporary with our several due Over and associated Tennessee the has of down the months, across there facility the enormous past to outages plant

demand many supply. For days, outstripped

of example, without past regular the been have basis or many limited stations on For had California a over the several fuel fueling months. fuel

price the $XX kilogram been pump, about per normal the at hydrogen for the over these has twice Additionally, stations of price.

of customers, has been This have hydrogen now is the Coast second subsided, been will news has core our has service outages plus effort moving the Coast. online. many network yeoman's the compared hydrogen to and cost reducing planned West while coming To been Good Plug from accomplished these East a additional has of capacity the the and quarter. stabilized to be

of will We expect the year. producing hydrogen end by our Tennessee plant the online back be

This plant XX% when fully needs. production about of our operational provides

suppliers full in upgrading plant coming output XX% capacity. one The One of capacity of been plant has is our months. of nameplate operate facilities allow to major to between at the their producing the to X%

continuing are the we plant, to see the process, We construction progress Georgia commissioning liquefier. our step in are and the last finishing at

to plant expect We online the year-end. be by

American North network and of Stress of facilities hydrogen our will those structure actually additional and commissioned fuel as the benefits points. financial These to criticality believe be also hydrogen It's as and experience that business nationwide of well We the as caused the business to resolve. delay some handling beginning the to that are building accrue the reaffirms a that material both network that other the cell in deployment support our be company this for network could few are the of hydrogen Many issue. this just fuel realized. applications available. already our though customers. hydrogen plant cells timing A sites issues fueling

revenue from from grow. cryogenic Furthermore, In businesses diversification the time anticipate revenue will business quarter, to the and fourth traditional the our model. business our our we surpass of continue for electrolyzers underscores this experience as new the first wisdom our ventures

life on had just I scale our to has a infrastructure than hydrogen this and me available opportunity. has partner. that to hydrogen no Finally, relationships to our set, This have. fuel facilities take Plug like like market and one our we reflect just talent, has as advantage our bump for yesterday for questions. and I the just no one cell European the technical Sanjay and morning one belief in road. and I'd Paul, remains grows, no remind now He customer one toured conversation are has product real has on customer, the better on our no position experiences. that built one with his no supplier of the No is a a It is one

[Operator from Instructions] the line Colin Oppenheimer. with Our of question Rusch comes first

to want sheet. with I start the balance off

You've got amount a fair restricted cash. of

reasonable closed around timing of in fairly the sources. free a the letter with question real to restricted shareholder those in is bring one and update ability talking your letter? you how some up about start or those offered more and the of you're process on You see that I guess cash potential on some of that your funding to deals

Sure, Colin. Paul take I'm question. going that let to

Colin, thanks question. for the

to act the we're we really taking we around about compulsion ones to continue many most quickly. we we've of be best terms, time be think we -- We on, different inbound work our to not To pursue picky number haven't and of and It's choices for what initiatives. to thoughtful continue It's had interest just continue a that felt and expressions have. which solution. of to through lack act the be to options. which that had prudent is We've with

on well. the that. progressing about -- many DOE many, will ask That's you we're process, very tell people I'll

can that they to very And have will continue by we submit long we here we a sheet through get continue end to And We get them. with effort announce a and pursue to chance other for form great contingent to we still options. that the through by the range term XXX-page That that collaboration of And good need end program of meaningful. expect be will the November. approval that, of the there's year. expect

in something expect the I so term. near And

the Okay. the And deployments the the that's the of about of material the of sales of into cadence can you XXXX? operations and guys balance then availability, impacting hydrogen for some around that with side, working the for equipment how impact the handling you early part and on year through are talk

couldn't left in stress network. which put -- on Yes, so $XX the online, more revenue X which we bring we have Colin, sites represented couldn't would we well we the million over with of quarter because had

material to our caveat it just a foremost, and this that expect going for by season, handling. I'm good we have saying we so sure, have And customers that hydrogen. during make will we key that during have holiday peak especially quarter first to

do mentioned, never we as XX to And been done able able a would I we hydrogen. our to really job good trucks, in we've do. have moving were of over fleet what Without

timing in I So my -- was opening issue. comments, it said a I

probably I swing $XX when network happen is could to there I improve, will possible. think But material about I quarter. about business, up it think the this think, it will if handling our between -- I to continues probably million, think be

this. highlighted That the being letter said, and think I

Ryder new Some of new of their a sites of Tyson. and -- have actually customers, others. customers number gone system this customers, We've increased number We've handling they those through added that added material with we've want.

a hydrogen has it remarkable has So well so it's keeping far but it's -- -- it time, certainly not our for been we've how customers. pretty done challenging in available

with next question Manav of Gupta Our comes UBS. line from the

here. gross understand margin us positive path to the help So

by the that's one think margin and are How number to I get do getting. question when? you positive gross we

Sure. get Paul, to there? but how do want that? take want add some And take you it, to may some items, we -- I may you have I explain on do

platforms platforms platforms Andy, greater for you tell start seen legacy substantial Most our in are up but Andy revenue fundamental and the new would I And from those this are the Sure, of or these thanks leverage. Yes. facility and we going mentioned for be of our poised platforms. Vista to volume business. couple quarter, all as know a than things. of I One, up scaling really question. all you've we're them Rochester, these new if don't equipment new

and and time historically trends. you're and the with material double the equipment that to next every platforms. growth year, at fleet, And handling of installed the XX%, QX we same these reduce from if shown we've we've -- coming so bulk into is and as able you really, been that look see into And sales business, we the in by -- on scale cost going the to

drive As supply get volume we chain automation. greater leverage, get leverage, you you

pilot we So see key equipment move sales is to going the them. programs scaling one platforms to that's past thing and really you're and as launching and these new really through

fuel the margin. on thing see Second is you'll

You in prices. already see some abatement the

happens but own We fuel expect change on we as real facilities. our turn abatement step function additional some the QX, in in

quarter. turn facility Louisiana be we'll And so the reinstating And to up. towards online new Georgia this is Tennessee end and on that the we're QX. in then turn looking of back coming

XX% we to And ourselves, able turn those and very up many credit. of some In when or you only is sorry, cost cases, in the the from as in accretive so which, be I'm that that lot least events a start XX% cheaper -- PTC today. cases, to be those we're source factor is will start paying facilities to at XX% of hydrogen market

the effects through that near to start we have And are really you we to the to as expect ramp margin are to massive want you So to start term. in other XXXX. share? those Andy, see have on in comments most that going QX and that two move

No.

I mean, I equation I is really think the think Paul. right, you're right.

we'll deploy to more quarter. have We fourth in deploying be the equipment more and

get on into look, operating, the the And we think all And best and we've ever a had. helps play. that have deal. those clear And come factors margins. will plan a We to plan have up I think great service I plants

think think waiting the what here think the does PTC. in what is do you would we And do point good out? to get you follow-up PTC some mean, for of you would quick can this come My guidance something? When reasonable that -- do we outcome assume I you clarity at are reasonably level be be on

is So really week PTC, I that's that regionality where will go I is think authorities in has have about the if defined regionality are probably U.S., When that probably to they right. And future the administration defined. activities key announcement on is the year's of there our the end. shared about suspect balancing think has the been item XX Texas. this we most be PTC out in before the would how

need out the for with X almost Plug years. If be regardless would if ISO probably and the we've looked be out come -- regionality have would where it's at of concluded the -- work we that that to that comes that balance regions, think -- additionality, you they

think treasury We also you has pretty that doesn't it's because exist. direct hourly realized for really time think if clear that work that time about that market doesn't matching, matching

that like the hydrogen West coincide to the won't to I perfect industry. broader It be this think think, be a actually the solution I where regionality would final needs would ERCOT outcome. lot really that for something is will of outcome. hydrogen be we hubs that's of best It East I be growth A broad the, And think I and looks work. -- the miss. think people the for and

at And that. certainly, I the you, leadership high-level I've with understand they DOE tell and can spoken

Plug fine the guidance think is I So comes be out. when to going

States all be the regions that that I winners. will fine. hope are it's I industry United way in done of the think a

next from JPMorgan. line Our Bill of question with Peterson comes the

bit So I'd shore sheet. into on Colin's deeper a balance little dig and cash questions the raise to the like up

is on? provide So what announce you Can kind this year, facilities later corporate talks solutions. color On talked you're about loan, options, more what you conditional but of conditional. the hoping about What to on DOE talking it kind about of you're here? something debt the

-- guess, finally, then -- you course, flow? project dollars when could I can guess, think finance, what your is actually how order confirm milestone-based? should I the when the of these guess And that overall, I this can I cash And then these think the could Really about up be term? kind ability position solidified your we of to shore position? shore up in near when to in just for

Paul, do take you that? want to

of lot I'll Bill, my best. a there, Sure. There's do in questions

works the fact detailed term put approval, DOE, because although require and takes a together it you of the for news. they is place. is First, actually in diligent it have is way -- been The process sheet submitted package go on to their work put they bad through extremely agreements the reports which the then effectively have good all and gets to once the time final approved, one, very it's long-form actually helpful the news, that

those and XXX worked term pages through long-form of of already they've things. kind sheets, it's all because in fact, But key

should that them framework plants that The our $X.X would with be a process. would on faster So is phase fund green construction we're fund a from that much working and onwards. billion platform

-- in So -- to that on, framework place. upwards as and working $X.XX That's very it could on and the the XX% get that be as we're diligently we're dollar. working

to addition expressions of Generate. In offers to of ABL restricted facilities. that, cash had have we like had for advanced facilities like we've expressions some some with used offers We've for

-- So that some there have for number a of are parties our some expressed initial project plans. -- equity and there's of been interest on

ones and different a have we So of range forms. other -- in been a number there's

think through, and best best we is accomplish just And given options, so range dynamics of trying and the and wrestling a what to what that the we're here. solutions the work we to choices through we are continue have we

what And the New think likely be capital facilities Texas think lever capital that I early starts and of other could as complement as of end to that like levered on. is the DOE it into York. some plants back potentially. structure for late even would funding QX, existing is we some probably go I working early QX So of project we and maybe it be and back general even other could advancing as actually and these More

helps, hopefully, that Bill. So

context. Yes. No, additional that's good a

through you fuel is end. bottom took time for fourth provide the Just ability the numbers But how headwinds your -- down to quarter. your the talked to think hydrogen systems fourth presumably, impacting you with the about symposium, you the at quarter, about of the cell

puts the by you and could, So the if how I the takes about in assumptions product revenue fourth and hydrogen? given guess, issues maybe all all evolve, walk through, should could you talked us quarter we how think type about with

Bill, this. about one, that spent lot a take I'll we because thinking time of

hydrogen, about as of earlier we -- that when million $X.X deals a we this the fourth where first the think of billion, billion I million $XX year, at think and think cryogenics of $X.X really on go the one are I traditional where -- if quarter, for in risk we in business. this two looking in also mentioned has items at So there's the our of risks watching think circa you think $XX there's a And I our Because base call, look which the we're year? of the flash really timing the could been instead some and and they're and into business, strength really some quarter closely. we

of I revenue, other our good electrolyzer in in We we our business, but business. about really see. activities business, our trailer our cryo feel we're good all feeling about that's breakdown revenues the kind the think other

when for So if we think electrolyzers, you business. our I think traditional about XX% business material for of are those that, cryogenic and the XX% is numbers equipment handling outlined

take $X.X Does billion, question? your Bill. and answer that the of billion from kind give that's $X.X So to

of if paraphrase. some still of feel risks -- year. the associated of No, that you can electrolyzer rest like with It I sounds is the the kind about good Yes. that describes

yes. material the mean, I with got our feel I trailers. about feel good of Yes, We to about some handling. sure about I cryogenic electrolyzers. good that expansion really really we look, good feel make activities real just

is enough sold, which It's of for refueler, buses really We liquid we have can't and make this others. and them.

parts that sure online feel can handling. for things. our customers' a So just we It's bring I good that material we them really have in meets a needs. making those question way do of And about the built

the Dendrinos Markets. Capital line from comes RBC with of question next Chris Our

the discuss recurring that, they've or you can events could that like situation. Is -- anything guess backup ability to I just stable speak been majeure guess, of some to there you availability hydrogen anything force is be supply? your suppliers ensure are have the Obviously, sort year. like more to When and can to? I there of do, the business kind throughout think you the I that done that suppliers, wanted about

at items. additional There they St. is When and get think Having great told there us help -- So a doing, talking our Bring tons it that that's available. online, the of hydrogen. to who Chris, was Gabriel an hydrogen, of deal. someone up XX quarter Tennessee couldn't though, three second provides coming me -- plants hydrogen. Georgia tons tons. in XX I isn't mentioned I what we another brings look XX today I I hydrogen we're any

met the one and hydrogen online SMRs in putting -- We XX I with down Tuesday. some by to they're on stream industry, of coming. this President that the in Americans one of waste sat tons suppliers their been major other operations of stock hasn't replace bringing major the

do of I And XX%, is is feel, additional hydrogen So January, just to tons. XX% of XX there give another tons a end the that see you by availability. approximately XX probably

going next we're use to year. more Now hydrogen

through We And are our by will so but online. of fourth be the grow to quarter to that we're half that customers. working by that Texas that's needs and support is that's the the bring sure really for that next projecting that able important second year's will end. one, really, one late why tons to produce -- to XX demands critical hydrogen to that year make is by And us will

issue the the X. going final good January not to just through news, here. to on stages is We So got is be Chris, that an work this

Got it.

have that on on I there? additional going guess, It color just on the looks happening mix the walk here. in segment? equipment was just as through it in it maybe negative. what's it margin just guess sounded And Can topic a might But Understood. maybe the you any what's sales us Okay. like related. quarter, a follow-up, just of It's been I dynamics like slightly different

Paul, that do to one? you want take

Sure.

us. have leverage, So manufacturing driving about important. Andy we matters volume you some about programs mentioned the and of scale that's pushed, that these When for facilities think

So as you processes. the programs. associated leverage your part to that's driver launching you this in and money leverage not when programs, of part it's you one the volume of make hundreds the start drive to to something. of and just start really of build up in scaling improvements say early especially pilot these chain new the Other but drive I supply costs But can thousands, we with is some driver. of always some hard manufacturing

drivers to the were better sales. And equipment given certainly you'll meaningfully so so this these And quarter, even those we key more QX, then and really that ramp in expect ramp in that be the of XXXX. see

fair say Paul, be have way. material it that to I million the $XX it'd also other revenue would think handling flipped

been super moving Andy, that have yes. would certainly It direction, helpful right in

question Jordan Levy from next Truist Securities. line the of Our with comes

out you the in just your thing? network starting to to just supply of If materials balancing of kind Maybe bit a and strategic that of to But and on materials persist timing a high-level these issues of handling the other of as throttle bring XXXX growth supply of sort here. your look of kind handling ramping getting the side you sort versus it curious think and whether side. how sense sort your own volumes of about recognizing plants of on question makes own down own some kind we online. I'm in you're some

think the good for thank question. a is that you I Jordan, And question.

position a other suppliers in As around I've sure talked we've there's come the and January one And big industry, talked to X. and plans spoke about the we we'll are in their better which reasons making that with much of are, feel leadership I -- about mentioned, what gone public. be

here. hidden being that's nothing there's So

And -- combination combination some We and business. feel that's our grow we I another which of to you, look hydrogen that's back the can I talked additional beginning at other expand know an coming some I math Gabriel, market. of about St. coming that think online, for folks that XX did in tons. continue do to putting online from I XX tons that are XX-ton supplier.

don't really liquid. to really For we're -- the needs back. we really it need, us, see to Jordan, be But throttle

some just follow-up seems of a the into you've like traction shipments. side letter, stationary the there good fourth I of business. maybe going kind And shareholder these on are made then But it bulkier quarter. from know the the

an there, could. Just if update we

Yes.

-- the in know don't the products so So we much are deployed it that days let and because one we ways and I handling our more how more get is material operational more all I it's will was many going. challenging at items me the of manage it be first fully and it's water. simpler a it first, power, That mean actually symposium shipping it was really -- say products, complicated so working. first product X-megawatt because critical. was that, those but I much once system. All challenging than you hydrogen of to really, product

product fact The about performance runs field. power, worked in engineering working remarkably went the XX about almost hearing the the constant years, that at The not has incredibly when I product the deployments. point, X To first weeks anything my unusual. around. But moving it's fact the ago, you're of it in it products it first the Jordan, well wasn't

and was the called So I remarkably picked phone well. it customer asked been going. It's them how the up working and

deal A for extra hydrogen that deployments. about associated we're We'll of doing be good that with product. be next the So lot product. upbeat really will year

of pleased. ever I've So challenging, probably It's more one launches my we're but the seen product of really in best one the career.

Genuity. the of next Canaccord George question line from Our Gianarikas with comes

your an of particularly In to someone this hydrogen high level, you've the if about in wanted sort 'XX, green updates ask I glimpse you earlier just light alluded XXXX. made the that gross can, of and to generation. have you early fact to have may that to margin

want take do you question? that to Paul,

programs I I XXXX is, But directionally, around always likely finalize center give, plans specific we of we'll would in what January, to business we for absolutely or forecast. north. do we of those the expect you update there. how I and year end and our and about up year, equipment as be you next it it then will Yes. where tell from and scale mean, be you scale -- every about starting the have low I positive, January think digits think, think it sites And most to guess I the could scheduled the those I not think go numbers in guess up, I think are, fuel our when we directionally -- We and double as towards more kind meaningful only impactful

And XXXX mean of tons on I think be another capacity function there'll between turn because targeted XXX we're to step and those turning Texas big facilities. day in I on New that's X York. per

revenue So accretion those substantially and that's those turn meaningful do to what given programs, we're a margin and on. of those forecasts and planning

will I kind it think, fly. how directionally, So that's of

follow-up, about curious when our impact to And some I think Washington? implementation if to can y long-term as do x help when And how means to as final think given make And the for how your how we outcome final outcome we're Washington PTC? on you words, you've can hear it forecast other means us long-term in waiting guidance. a a the forecast, compartmentalize we those In numbers? the you like Washington know question. a I'm about this outcome outcomes, so from different used just based that,

the IRA. built the on of will PTC But of conservative elements outcome. the additional question, on the opportunities. George. taken and unlock And and a We further good a other based That's very models view know not our that plans always guidance PTC -- very, being available. the We we've

it would said gets probably a minimum just that say whatever you I about So if think it, for XXXX. impact has

frame it outcome that, be electrolyzers. PTC in may the that Just think the call of forecast I'll even about people get That's waiting would still time think takes road. I to would though I especially different are on a it. time our middle 'XX-'XX to how with it, FID,

I but my additional well any have you've sale electrolyzer sales you the know view. too, you're do of since as comments? funnel deeply thinking kind been that's as But involved in about this, hydrogen, Sanjay, of

No.

multiple in the about guidance opportunity well. I even as summarized been even thing more XXX-megawatt And hear this guidance X mega electrolyzer add and of working opportunity working we I becomes start sort in that, unlock. talked clear about another are on we a might the But We've only in Europe, here you talked in Andy, have of think, and is, announced I electrolyzer on about that already obviously XXX-megawatt have And Europe, it a side, some the for we've U.S. on think pretty been we we've already before deals. here we some think this working Australia. preferred as I XXX-megawatt the opportunity to PTC of being on announced supplier large-scale

of growth With this PTC, mix you then see meaningful there XXXX said, a in business, be the Andy, existing well as but electrolyzer backlog. time we certainly and XXXX meaningful for in growth diversity XXXX, and market business, especially very will as frame, given the of the

need more of their are hydrogen coming meet going online. PTC. are are to products to the There status corporate want folks that the there of regardless hydrogen mean green I who goals,

for of decision the the road will think beneficial middle I Plug. So PTC really be

is Eric [Operator Instructions] Our Craig-Hallum. Stine next from with question

second. Hearing you curious little if a from, some doing in bit? I talk today, around jumping for stick terms just power hope did where a I your be that already I that's end been one. don't sourced the that asked. hear regionality ask been of to so on what the And of calls could I've that expand last something with see So I'll needs for IRA on you business? just the of just would

Yes.

business at if end to I ERCOT. and of there's is would we regionality up people work. in we that and there. solution middle-of-the-road the balancing which that tight most be the think, drives about going into I work balancing activity -- really REC XX think don't think authorities, authorities markets ISO we So When -- think Eric, the it the I think there. it's work most for and regions would for industry, would work There's Plug think

-- more can minor. additionality You should that the regions big be the enough issue are much

of we're best make be sure more will probably what's would be the up hydrogen That's hubs you That where in successful. most it hydrogen, and of time would operating for from Plug matching customers. think the the it that in for a our and many also end could perspective, could regions. work, Ultimately, quite it probably just X I probably what's probably and honestly, would having -- probably best -- probably leadership phase U.S. nation

I regions nationwide more rollout perspective, helpful. from many not a -- think regions is

regions, So region, happen, will we'll the deployments if be it's the ISO in shape. our it quicker will the the for the But business. the quicker better be good

$XX we'll that. color. like helpful on billion. I there then it $X color sounds for if a in number, if symposium, maybe -- That's 'XX discussed variability the some curious had And million so any XXXX you 'XX, you'd past, you had of XXXX. guess or tuned $X.X previous target. the I in mean the you is the had know outlook targets? so stay around, billion-plus a little And I been Okay. I had think, you I'm provide At out-year that did revenue

mean, more -- making you is Or that? January for the that address update? that's So just you I Are changes? did curious, any are you something

changes. call. was Paul January make We the explained, Eric, the update did any people it not

changes. make Didn't

Okay.

Stanley. Our Andrew comes next from question Morgan Percoco line of with the

it's the I financing think to balance questioning did do important and sheet back because of want I line come here. to just

in which balance quarter, the leaves of you cash available-for-sale unrestricted it the you and flow, million securities $XXX million cash free $XXX with sheet. about burned So looks on like of

out laid sounds you the like project you and timing stages. project based, Fortescue potential announced like milestone know but early at also this it I DOE Paul, it the still level, but year, that that's financing late And sounds

Is next a capital probably can or there over leading do what size capital profitability with next need working me you the you in that confident it's to correct? equity you'll within is potential you So few a the three, the and manage for parent the are need at weeks. convert give level just still to sense One, a here? that for terms working of few Two, to us And manage that something to drag can need debt? do it think you'll quarters?

Paul, do that you to want take one?

Sure.

things. of couple So a

what is largely period not the big. in to the for balance we for need turn in that to Fortunately, plant for we're this -- spent that's is on. kind also We've Louisiana left context, not we've very of Georgia where

chunks So and back spent. the more year the of on the year big the Texas kind is of when money we're of really -- of middle gets into -- and

So little quarter bit I we have this that CapEx think latitude in on of a regard. quarter, next

scale these And cash, sales so the launch that And tap into substantially helps. see. on inventory on laser-focused then a of quarter, that that obviously, that but amount We've given as there capacity -- of reducing broad and we that, that help of levels. kind can that thirdly, our that substantial platforms, built have of top we into there's convert up we're we to this then we'll

see QX liquidity we to start and on You'll into pool. as those start some of QX happen leveraging in that benefits

some of had range or So of solutions -- could plans, but some fungible, advance you're as things about look right. restricted or certainly more we've at cash ABL And with focused facility like we I and Generate our what ones structures. it focus of and the include to a like the before other right, those our on we're near-term talked is. fund

in working But receivable we're inventory the positive to well be CapEx capital I and think conversions a period between allows as position that that of that low through and as for that what picking about quarter thoughtful of helps, we this move we effect when do next little us a and as given quarter we the best into Hopefully, Andrew. and bit it solutions Plug. do more good

And helpful. maybe related question, as business. just follow-up your is it to Yes, a electrolyzer

storage, over just about help a Just trying FID? should the we've underwrite seen, sense how to of hydrogen. that we a same you solar, obviously, many wind, reached battery us across issues projects maybe guys backlog. said gigawatts X financing it relates think some of and think it's you Can sure get supply those chain. I'm X-gigawatt have how as have to for I

how these this point? I'm So wondering just FID of many at have projects reached

Sanjay, you one? do take to want that

Andy. that, do to happy Yes,

very good a it's question. Andrew, So

me backlog, these you a that, right? different context a are on In lot some And customers. lot of give of that system, let have X-megawatt we for So right?

obviously X-megawatt they and at about gone of that represents So all system. those XX have FID to least

talked a we've XXX-plus through FID, Second, Europe megawatt customer project is that's before year supplier about, FID project over. gone and already with the is we in a deal this go talked that big to that's to preferred And opportunity. about that expected

Then actually FID us product direct the sale. go that's project we right? doing is and works 'XX fuel about that for business, are other that looking we a to which sale, us a think to direct actually have So Andrew, that start we a XXXX. another an project expected end have we actually as QX, the And percent working really though, for pretty projects business to is have X-megawatt here, basis, you you business about also is aviation keep for revenue it And Then think right? the completion that's of year, months. that electrolyzer system, stack that with way on substantial for -- to offtake a X our base there the in builds sale, as on sustainable sometime next some start in X been have to were of we up mind standard for

multiyear by have we guidance we the look really and clarity start year, to that project projects the of to and this will by business. mean these and base mega of from that Again, next these of actually a will either to really early are revenue. some be this contributor funding becomes do for looking year I end that expect And in some you some also move build projects ahead of pretty or meaningful start standpoint. see are place

as on all highlighting It's on bookings been project line. here as side cost Paul trend. think in alluded not business very product that And as new we've and our the Andy focused both just that's side the the margin as I on top well worthwhile one thing and to, is our of well expansion, is other down, the

you all things. plan We start how those margin as will into as to that 'XX that's we're XXXX, see looking and go to into as also well progression

the take I'll Great. rest offline.

Our next question comes from Ameet Thakkar with BMO Capital Markets.

follow I bucket? And right facility with $X.XX follow-up. cash into now have And had as just I'm of work up, restricted basically of One, you not before. the one then work? guess kind Paul, the for to unrestricted how you I've cash restricted billion way wanted does like got any familiar that I its facility

Andy, that. take you I want assume me to

Yes.

done -- we've programs our on So with years our the billion of here, in $X customers. as of worth probably our monetize been some tax on I've XX sale-leaseback some credits transactions to of

Some own assets, like customers model to CapEx buy. a the like of and so our

solutions us. to lease effectively our like from access Some it and

is the And market sell a we the we credits monetize do in it those best place of it so Fargo to package the kind place And bank those traditional Wells is a cases, as in what or those and bank. to efficient institutions. like most

most well. the regulated they're But as

make they tax in us so credit -- often there. tax of And investment the some collateralize

So that's that what that represents. most of -- a lot

us it to so XX% released does get per And about year.

that, $XXX up of be So QX, it's that's million out will per we $XXX Well, QX. in quarter, a to kind that million million released, -- rate. have, $XXX of number million $XX including around it quarter this probably million $XX be balance million, that in gets million $XX release about it'll $XX

in you're working language XX-Q, that for previously? and pick just of kind maybe guys looks of I guys if Okay. And other was some But guys times to through that -- financing you the like maybe added narrows some this several like calls one. exploring have the have, options you this the trying that the and couple it said kind call, of best I then options you think, a of a of in kind growing concern were you wondering

so is like. it. mean feel lot by manage I I standards really more we to and really. a $X you I and the it debt. And we've a unlevered. have obviously, billion you accounting what But I than mean that's we included conservative, have sheet have what -- driven -- language oftentimes have don't evaluate any balance Not that it's

confident we're and the given year we of parties -- at. news seen pretty -- in we we So working with. we're where haven't with where of position that about range tempering been it's there's clear where what and still we're we're that sit going. doing and not about mean all are our any And I liquidity extremely interest We've solutions

appreciate So I and think that and it's understand where which where accretion most and going. to come, all we're growth this at margin is people this and what's certainly

So to work that's they with on play when -- us. people what want betting are

as And our so we don't options. limiting really see it

with from comes line with question BMO next the Sherif of Our Elmaghrabi -- BTIG.

unplanned that more on bit customers? the So of first, upgrades accrual course, delayed It I fleet the have but outages shortage makes charge. service service, just for of affects little hydrogen these cost like clarity how a sense,

I'm going answer. understandable. I hope I -- that's it's you Well, give an -- to hope you

hydrogen -- down we me Sherif. going different I'm issues, slow let into generators. have It So XX-plus a does separate upgrade fleet because to of rolling

every Our one getting now out trail connect our tube almost on that -- folks high-pressure or we're reconnecting often the service and a and hydrogen X. connecting pad positioned day, products can

kind you very pumps. hydrogen with of you pressures, low when hydrogen have these the -- you And down also when running you're start often liquid happens which running to when up issues, end cavitating

maintenance doing pad. you're more a on therefore, hydrogen lot So the

But ramification a me take that. let has it further. to So it

how the you're impact customer -- staff the is keep alive today. fast your to does implementing it things because So doing

So that's why.

I accrual, field, if the -- think -- traditional it, level -- much have in confidence I service design, to that I our the handling look, when we and or we out Now a latest talk and I'm do the the products better the business, going about that material see about newer put believe perform take not our issues.

of take and units legacy a Our lot effort. time

-- second -- And be think year, X have we we place we'll quite that us get that through surprised margin next accrual. not when once other the next the I of would go maybe but I legacy I the quarters, place think coming be I business half if at I where direction, it, we're over -- believe gross in additional a the that the in an with, And I in go look could that accrual issues, helps could unit in issue which where a positive. line service

for essentially simpler for and But remotely, help. to with It's dispatch our it's will systems start. look those start business they all need on that if more think at I new actually We margins I those stationary the monitor and to more electrolyzer businesses off much make references much business interesting. service and our then -- call made our to to those earlier, businesses, repairs, positive things people

answer, know So a that's kind a why -- connection. long but of that's Sherif, how I that's there's

bolts answer, When guess. really nuts Long comes shorter to... bit appreciate window so little question, it a good I of it. and then but a I into of And the business,

was I a shorter Sherif. answer, it trying make to

day a tons of Really, XX I'm matter liquid, driving Or retooling comes drill Georgia into a decision from there to liquid. the down other a have converting tons is and the it process of XX then liquefier? what's involved? to tons trying adding more per just in to When is it from gaseous gaseous the XX

Sherif, feeds -- that's the the liquid. Well, gaseous,

X not there's plants. So

high-pressure -- that plant hydrogen or talked produced the generators at liquefiers. Does sense? wheels. X liquid We are And have are -- like Georgia. But I plant. make there, kind looking ton X.X which the high-pressure about, at There we expanding possibilities a which gaseous that's trailers but the of filling generators a is Georgia these feeds Georgia is on the plant X-ton of gaseous that primarily is

sense. total Makes

comes Our from Bagri with next Citi. question Vikram

environment about funding off supportive? funding $X funding staying provide on the start next is some the do has, that cautionary facility, a liquidity be is tighter Any through you it on now you next beyond up risks then over chance that topic, you go for finally, controls how assuming into any see not talked quarterly quantify minimum And being filing you assuming year? Can And How talked next the operations about as to year. Georgia much go insufficient same that you you inventory about, is year, of statement required, trending? -- are maybe as then Georgia can billion. up contingent running? some the can start funding 'XX? And could and if as on To of source options

Paul me and all let let with financial So I'll the take question, then questions. Georgia deal the

liquefier So steps cold box, of at the look to drying out. when it And bring have it dry out at we're the we final to the you Georgia, down.

is XXX, start to ensure that heat whole up impede and you to almost essentially would XX performance. don't liquefier absolute have degrees the in you we degrees, out at its anything running that XXX So Kelvin, liquefier the when X, which dry it

There elements out. that kind to dried of need are X be

of a dried one completely of only big it cleanly. it's hours. it left come reside. will a that There's the And XX I of took But risks liquefier expect to turn as the is difference dry night, which risks. always X, supplier, first the been so but is rapidly. go the tested we sure we kind confidence of The liquefier up there out up has But before the that's really that's don't last others making is before bringing field. probably lot in the on where

So how that's it. I questions. rest your the of think about let answer Paul I'll

point from from a of comes the it when view. finance -- So

rules. of and like and We're what's want sure in caveats, let and try is filings the the XX% follow according progressed best. disclosing in couple So to Anymore regulations my right? your but feels Yes, doing of me factors rules. rules A we're we lot to we a risk everything compliant, anymore there and the have the and the with make I do mean, way my the was things. filings, questions,

making there's caveat thoughtful ones But to financing turned to not That's -- we're to going available about so like on. us, options it's a that in going that's the make. what It's what of again, back we on -- we not prudent do. have just not and range us decisions being choices to And the -- they're but a contingent it's themselves, -- to they're and we're being which terms really, whole on of pick. not Georgia us

the figure of to and solutions. the big Texas Georgia. can would say, In and right of amount spent of we a the fact York, Louisiana. trying we we the good for large, great you relatively with at need have left we're need facilities that of because largely pace are position, mean right kind what We're those the We solutions really, year, -- much in I because position a look cash that New commensurate terms we've don't on next and I speaking by out -- which

about And given margin, look be in forecast we'll of growth, top business flows. part January in a our should talk next you into terms the it good and position year, more But update. when the year. at middle latter be positive in of we cash line next operating could our crossing to to both for We

be. things that for projects kind of lot need next to to as in big money it's we're doing. of bridge dramatically the things, life we threshold and to institutional so terms funding And to us access a in of changes get cross to really, that and scheme we that and the round not where And of

year-end talk the that more of poised the as to good as our January that the position about we we filing. we're fund the But update get we'll our in we're and options through business So certainly near feel have in and business in and we range where plan term.

billion of sort source that terms you like bring And from Can is inventory, of in near sort the term? of now? you number that meaningfully -- $X in liquidity for guys of down

Yes, on we are absolutely and it. focused can

optimization we're better and to efficiency new from up of But that drive scaling same efficiency tools But liquidity. And substantial more can a and down. starting now So the lot the think up, work source a time of vendors products consignment a market and that kind on with as that the other kind and in when you're more we means time and an near we hard platforms, really it's to at able less ramp those term. we're better bunch and use also on we and you're can speed of of and is down breadth scaling that it deliveries to and the -- of standpoint on optimization things as obviously, it focused that things ramp scale as much. focus to spend

line Rice. next question Martin the comes of from Our Johnson Malloy with

maybe electrolyzers? potential you talk if customers about was I for nuclear wondering could operators as

Sure. Do you take one, want Sanjay? to that

how we clean a produce Sure, energy hydrogen. used can energy green of all clean sorts right, about be to Andy. when and some those sense, in think Again, Martin, of of terms lot this makes of

on some I mean, going along we have those effort look, So lines.

some So happening. there are activities

very So sale does plant see there. as direct we But all. activities we answer lot part that potentially certainly have that on electrolyzer short a whether our a liquid it's look also of more fair electrolyzer to some is a it's going a to with just building a forward of And -- sharing into the expand that those or business question. opportunity, even question you and

unlocked these here of think, as PTC exactly in on to be treasury to some areas, it's guidance some get again, the opportunity, And we opportunity of whether surrounding the IRA. going nuclear further are or and from is U.S., what the other the this going here I language the bigger get

could Great. green of all And question. to try just I follow-up interest maybe and But with monetizing down you terms for these have of around of hydrogen plants maybe Fortescue you my us. I that interest bring sense saw of a you shared if get us them your to the them? that on in level news in selling some as give that? wanted you thoughts

want you do Paul, to one? that take

is my guess, the bias those obviously out I of Yes. not to because equity most expensive plants capital. selfishly that sell is

fact of solutions and their think better we're be can we case and but the capital in can timing alternatives have broadly also I we needs and in that they've that of that and that meaningful that, it's have co-invest we got the agenda mean the us. and working more the to for So than that Plug, platforms we that given Fortescue, breadth have the opportunity investment platforms, for with. interesting partners a the the

opportunities. not we've so acted those And on some necessarily of

and interest our in that would see to expressions stakes continue We nurture take continue equity with to to them, like multiple we parties more plants. of

nurture answer. we're best those going and work so discussions towards with to alternatives think Hopefully, And we other helps, the Martin. to and concepts that continue in context what is

does. Very it helpful. Yes,

our That to is appreciate the call questions for every we January -- we mentioned, be questions. our asking And update do as strategies XXXX. the your last provide day. into call question insights our I you will Paul as having asking year attending everyone the for and

forward now. future. So thank talking you very Bye the much, look to near everyone in to and

today's teleconference. concludes This

your time. You may you this disconnect Thank participation. lines for at your