FuelCell Energy (FCEL) 16 Mar 202020 Q1 Earnings call transcript

Ladies and gentlemen, thank you for standing by and welcome to the FuelCell Energy's First Quarter Fiscal Year 2020 Financial Results Conference Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. [Operator Instructions] Thank you.

I would now like to hand the conference over to your speaker today, Tom Gelston, Senior Vice President of Finance and Investor Relations. you. Thank sir. ahead, go Please

you, Julian. joining thank for everyone, Good on the morning, us and call you Thank today.

and quarter results As with a FuelCell the XXXX, website. financial our slide morning, Investor earnings our webcast on Consistent press press section recorded. being year release first after we and approximately for this practice, call. in and a our addition is the two the have reminder, for this the recorded presentation being fuelcellenergy.com. Energy call on of call released available our replay is at of This to of fiscal the is available posted hours This be company's conclude Relations release, will our we on website website

of made are please the to financial our this it's by included your discussion statements. and regarding fuel statements regarding statement company's to commercialization it's forward-looking facts on other Securities anticipated statements presentation, begin the Litigation disclosure cell of forward-looking historical intended Private comments, to statements Safe our are XXXX. and the and operational respect related for Slide disclaimers today statements anticipated and and statements the technology call plans. of development, qualify limitation, contain Harbor the statements, All we the financial of from These performance. statements, established plans release and to and financing business liability forward-looking Act the than include Reform today prepared on results, continued press company's regarding including attention X without the forward-looking expectations statements The with will the direct in Before

and on this the management's current available are are statements Forward-looking statements at call made. represent made based on time such information expectations

those risks, encourage cautionary to forward-looking we described materially implied annual statements information statements risks the other the to review We the on unknown factor reports strongly XX-Q. and these the predicted, and Forward-looking that risk particular are any our cause that results quarterly SEC you from in statement. our and and or by uncertainties factors filed in the differ our actual with of reports may numerous Form-XXK, results Form known statements involve assumed regarding concerning forward-looking report on in disclosures and and uncertainties, section the

section morning's You earnings this review should forward-looking also in the statement cautionary press entitled release. statements concerning

non-GAAP comparable call, you SEC financial GAAP measures and with earnings this during GAAP when about posted accordance a condition. Investor Relations we'll and Lastly, talking can in use regulations, our non the this portion release, our measures the on company's website. measures In to reconciliation of these morning's find of financial reconciliation document performance the press

like highlight our are calendar, turning public plays and participation some of to to Slide and Investor role Energy Now broadening in to reflective X, included. on FuelCell Energy's states which energy B.Riley May New May, in New Cowen we're present FBR to present York. California. And The Institutional TMT Emerging XX, On on York. XX, plan will at Oppenheimer the we Conference May present at the Hills, XX, plan upcoming Relations we -- regarding FuelCell in at Growth on discussion In clean Conference Beverly the the scheduled Investor I'd we the events ongoing in to May Conference and

and FuelCell and Financial For Mike President Energy's Chief Chief am Officer today Bishop, Jason our today, I President, Few, Executive call Treasurer. by Vice joined and Officer; Executive

Jason? team. [Technical remarks, take of Difficulty] the prepared our we questions other to be your available Following by leadership will joined and members be

you, Thank Tom.

everyone turning X, good Before Slide to thank for call joining you and us the today. morning on

execution, plan, significant team. of period This FuelCell a months driven for backlog company, made project we highlight healing focus proud Energy how citizens COVID-XX. to revenue Americans, by any prayers started, the novel on coronavirus, am support we our take want known transformational moment a and impacted I our world of capital to our executing I has as to around of cost the have the get to offer fellow containment Before shareholders, generation, six would on last and and suppliers, by and allocation. like our also disciplined I team been progress members,

We also later current our I those offer support on more detail response COVID-XX in address the our in and working prepared frontline of remarks. will company's the of in to behalf. all my impact

period less full-year fiscal of the million the service with to and and company for you revenue year recent revenue a business, sources generation those our recurring most we have on the depicts of refresh company. licenses, As technologies, who snapshot advance Slide be included categories, $XX.X revenue year, we familiar or that diversified we XXXX. for may of with total recorded Last three largest providing X,

like I the some the slide. Additionally, would illustrated to on attention your to draw of customers

and life, commercialization applications, few our these solid multi-year oxide long our of over and seven-year have growth customers from the with to both, combined years, of duration future extended will to technology our on-site power, the and hydrogen deliver the grid including for We electrolysis future our generation, our micro customers All existing hydrogen-based companies offers energy heat stack and platform in that storage. platform capabilities and past us. enhancements contracts opportunities believe customer current base the benefit with

by the is to Slide a Energy's Turning enable to life empowered world FuelCell energy. live clean to purpose X;

our the Our deliver solutions DNA. to the the It it purpose on our also to and customers. how focused our guides our bringing strategy, our innovations we simply, To we're we collective market, capital, guides allocate people, put work. is and

our Slide of quarter increase our in Turning on quarter an with very and including on management funds, revenue discipline fourth XXXX expenses. am the fiscal continued of over operating XXXX, to first several execution the X; pleased of fiscal I

efforts. to expenses continued execute also us towards more we with our backlog, and of Along Solid our will powerhouse our we Consistent $X.X and with have to to on quarter, execution continue presence I extend gross project on improved our demonstrate gross on both, strategy margin. continue global in in strengthening and profit executing shortly. revenue our our sheet. and stewardship. for marketplace ramped which we make sustainability and leadership environmental purpose, operating sales achieve the operating million increased our business detail helped balance sales cover the a up And our model, progress in We've across

energy hit pause We of parts continue society without many progress button. believe the is brought necessary to or modern world carbon reducing most global to asking day to in that the footprint carbon of the of world to to make capture the forego significant the comforts developing has the asking

while technology from cell time. Together same technology ExxonMobil at we generating applications, carbon that currently under while fuel FuelCell the to only Research in producing the concentrates power the is cell power joint carbon Energy's known that also Engineering COX coal refine second Company, fuel gas technology plants, with industrial agreement, and and fired continue our development stack. capture captures power our

And finally, are on a few of in the how additional business managing coronavirus. we our comments the wake

I global health am now, of foremost, reported team the and as world FuelCell and of that the the pray have members of our safety none team. having for continued around thankful First of virus. We symptoms

our to to rules and to that monitor contain the continue precautions frontline vigilant the employees, And priority. monitoring who remain that federal our governmental to the safe daily. will and the we world dictate saying, the healthcare help We of coronavirus. of course, will It local practices health We respond and remain one complying the of international and continue are number taking team and is on working our are we supply on the governments workers, appreciate the our are potential our communities and the however, customers operations. members lines how We business with and are virus. suppliers around impact situation state, must without to comply all coronavirus goes and

Our gives feedback ability of plan our improved of as performance deliver beyond. positive XXXX on the us our our in and key sheet prudent from to and balance company, confidence stakeholders over balance our a our management

And more discuss our in Mike detail. results over to financial to the now, I'll turn call

Thank you, Jason.

our XXXX. decline the quarter, Slide and with was additional from of increase in executed generation more by for $XX.X XXX% revenues the bit quarter $X.X revenue million. plan on with of year color reviewing begin primarily revenue X% sequentially associated an acquired period, add mix, million, the versus Bridgeport quarter benefiting This increase at our project the year quarter revenue but XXXX. on totaled Fuel which To the over met highlights Park a an Let's shown fourth We the well the expectations versus prior some X. Cell in prior is on the

duration generation assets remains project by XX.X due the XX, of as of increased in deliver development now quarter, focus storage With energy to technology the of order power fiscal XX% megawatts long-term our benefit long XXXX, our as to development Advanced relates portfolio revenues contract commissioning million hydrogen-based XX.X during strategic joint first cash The company. the addition of electrolysis advanced to of in of platforms. flows XXXX. revenues of agreement quarter ExxonMobil XXXX the Tulare have platform a the XX, balance January Increasing the Company. recurring million operating as to of and Research January contract of BioMAT plants Engineering and with to our compared continued from solid-oxide in to we $X.X technology we the the prepare

module with strategic of driver or replacements absence associated rather of purchase any quarter Company. million, the sales outright, decreased the The during the grow situation development quarter. on in revenues revenues in Asian million previous Energy license period as utility Revenue PPAs market. continuing our well ExxonMobil to and with POSCO $X.X product selling no that focus in portfolio with joint decrease Research and power generation our was the projects Service by our as our includes the key decision limiting were sales to $X than of the XX% licensed reflects agreement recognized is scale agreements there Engineering to a

from restructuring increased manufacturing quarter. million, fiscal resulted improvement, for and for efforts to quarter. Administrative XXXX contributions our of during first restructuring were fleet acquisition quarter expenses revenue selling also $X.X $X.X of of activity. expenses an expenses first $XX headcount result received during development XX% the and benefited million million $X.X and settlement compared fiscal XXXX by which a to or of million XXX% margins and the of of of and lower million in XX.X% quarter in in of $X.X costs, recognized producing quarter. and the as licensed $X.X the year fiscal the expenses million, reflects prior a in XXXX. legal the to which overhead generation to of the compared from XXXX in a revenue related fiscal for project and XXXX activities larger quarter $X.X represents first the to Research from Operating selling gross allocation quarter of our Results decreased administrative million the Bridgeport the benefited loss Gross lower

increase of this finally we quarter an to with XXXX. finished And XX, on $X.XX backlog of January compared X% slide, the billion,

warrants the share. share Partners loss value the Please turn related XXXX X, million impact $XX.X to charge performance. quarter XXXX. change of approximately Slide per Energy net in $X.XX a loss Discharge loss under in first fair of Orion reported was $XX.X a to the issued credit of the accounted liability per first million $XX.X compared includes to first for non-cash the quarter the to quarter the Net in loss agreement. of Net our associated our on million with financial

our and ExxonMobil lower with our development adjusted growing fleet, and significant both, from months operating operations over Research generation We the Company. our expenses, Engineering progress are happy with last operational joint agreement improving very reflects efficiencies, improvement a EBITDA nine our and on which in in executing loss

quarter $XXX,XXX first of million the XXXX. $XX.X loss million compared first improved the totaled million operations fiscal of XXXX. fiscal and to of of totaled million cash negative XX, compared of unrestricted EBITDA a first in $X.X restricted and the fiscal restricted XXXX, of the to XXXX Adjusted operations quarter XXXX adjusted quarter cash, Loss of cash $XX.X to of cash. cash, cash restricted in the from equivalents million center million negative and cash first in $XX.X In million of slide, when as $X.X fiscal EBITDA $XX.X and for of in equivalents including quarter $XX.X long-term of the short-term January

of that Orion facility $X During $XX bringing the received Connecticut of approval, Energy an million drew the $XXX loan down quarter we we from million under Partners, our drawn million, balance total under with to we credit Subject million to and facility. the from the lender Greenbank. facility Orion $XX.X have availability $XXX million additional

of division leaseback sale finance, Subsequent equity tax Tulare with a to quarter-end, Crestmark project. equipment on the a BioMAT Metabank we megawatt transaction closed X.X

commercial financing to our platform. thrilled are a We Crestmark to deployment as partner

side right $XX.X the of $X.X on generation January million. Turning comprised backlog chart backlog is licensed to the XXXX. $X.XX of backlog XX, quarter of up of with advanced service we X% and to of billion, slide, finished Backlog compared $XXX.X backlog the technology million, of and billion, contract the

In opportunities. we look progress summary, pleased have we growth are made the our continued very execution forward with to future backlog and against and

that, with the call now back to And Jason. I over will turn

Mike. Thank you,

on transform, Next XXXX, on of restructuring want of insight Slide we quarter work last focused strategy. under on to additional XXXX, focus establishing of strategy, grow. to achieving industry accomplished while our our position thus and first leadership. the XX, of milestones business undertook more growing Powerhouse Fiscal we our shifting the strengthen is provide are which also profitability, I unveiled to our and phase are following our business We improvements we fiscal recognized to priorities; several foundational accomplishments consisting support keenly next do, still but and the we initiatives quarter business, various there

We long energy duration continue carbon storage. progressing technologies capture, across innovations on advanced to and hydrogen electrolysis our generation, hydrogen-based focus

in we reduction profile. continue in resulted a million deliver implemented operating that detailed and plan expense fiscal a As annualized of on approximately operating to restructuring quarter, lower plan we savings to XXXX. cost We last $XX

to strengthening deployment. on are Moving business strengthening; now we by our capital optimizing focused

sale example were focus projects. of will the lower recent Tulare successful on financing generation deployment project. We equity tax and cost, BioMAT, capital continue long-term leaseback FuelCell to is most securing and disciplined The financing, completed

strengthening and the customer needs Pursuing excellence; serve a over have customer world-class past our relationships keeping our and responding the by of quarter on commercial close to focused reputation building markets we customers. centric to we the

company. remain also on We opportunities for focused developing business the

our by We reinvigorated and broadened to are the go-to-market product response marketplaces solutions efforts. encouraged and our

and partnership is customers. customers our to continue develop to priority a deep Our to existing and such future strategic with provide relationships

delivery projects, excellence; operational progress at to Connecticut. service. States our am platform, strive the I our on Groton, we the project of pleased Tulare of customer operational current Navy of the execute United with Base the the in On manufacturing and with and project performance particularly

with continue evolve our to these approaches future of management In projects, our to addition to against we operational execute ability processes goal growing the ensuring demand. and

adhering and capital and reduction cost the a reduction across operations continued in all to quality aspects be our run financing we Related management to to cost lean safety our to reductions; standards. product of continue yielded we resource horizon. revenue continue focused expenses on to These and over organization and efforts opportunities to rate have expect deployment pace strategic our and additional while

we also grow, pursue growth strategies. we following As the will

distribution intend we change power by the six customers and customers revenues growth, our alternative and capabilities strategic service Two, new the grow reduce of encouraged our increase customers the to perspective seek for prospective build products, months. to sales. sales positive and our the am and with exploiting For agreements tenure product customers of I over by world. conversations We cost both, total will around channels, projects the further and in win past purchase with of customers. the ownership tone differentiating

We are and CHP, across in generation grid, very active customer power energy biofuel, applications hydrogen in micro global segments, geographies. conversations

We to continue will innovate.

capabilities. advantage We increasing multi-feature on reliability and applications, to our continue and product exploiting competitive scalable platform, focus use multi-fuel our on will life,

distributed intend duration technologies hydrogen hydrogen-based to our we carbon advanced storage. addition, production, In platforms energy develop long commercialize across and capture, and

to utilizing biogas, by leadership; meeting enabling we for and need micro generation. bring ultimately power combined and on production gas needs core power eliminating to for industry, available which storage customer transportation generating out biofuels seek grids the distributed heat emissions reduction solution of capitalize hydrogen flare and and will On our contributes energy the for to and power, strengths power

change. like continue while addressing clean to FuelCell important, climate that work is that must a believe [indiscernible] education together intelligently transition to and companies to progress to We and pursue Energy continues energy governments advance

working advocates, by understand deploying platforms. are increased and security enhanced reliability environmental We benefits and ensure policymakers, to environmental consumers realized FuelCell Energy the that

happening, It intend our it to transformation, is we in and happen, international that including markets. strengthening will is important that to business and of growth note, continue

We we technology recent There can POSCO to for taking international global growing with Asian to steps of a the license Energy. will the a part market, solution regain that access agreement ensure go-forward our be are realize intended benefits of working including appreciation is our we that intend to growth story. our

success. York, project to in execution nearing the key X.X Yaphank I project long-term to wastewater projects Turning project on to of as mobilization phase, our biogas outlined, San that I New a want Island, our the and XX.X take megawatt Long progress megawatt facility. which treatment XX; to is in consist quick Slide projects are just highlight moment Bernardino X.X at megawatt on Connecticut, our Derby municipal our backlog

the hard EPC contractors, required working in project management us been all on-site have to interconnect Our [ph] divide approvals, teams detailed our establishing site for to and civil at place work site permits, commence necessary put timelines construction. for

renderings this completion. provided look these visual like On we've slide, products to what expected are two upon of of

are the shape. and begin when site take approaching projects work to distributed time We commences power these

confirmed electricity excess carbon Long joint and the Beach. our our Long at that continue technologies, needs on the of technology California energy be grid. the BioMAT Toyota going at this the facilities of Southern meet megawatt rules, plant Company. under facility the carbon-neutral, Beach FuelCell enabled announced allowing power Additionally, Public Earlier us to Port of The our development SureSource on-site platform to at the Toyota's to California we X.X Hydrogen the located with Port will with in Tri-generation ExxonMobil platform agreement Research month, to of we including the focus Engineering and advanced with deployment Energy's program proceed Utilities capture understanding Commission

carbon-free and mission installation needed power platform the usage. for the fuel vehicles; Tri-gen The technology. our infrastructure supports leveraging improved environmental water additional transportation include Hydrogen-generated will hydrogen also provide applications Toyota to fuel bio quality and tri-gen platform delivered cell benefits FuelCell reduced zero air demand growing by

percentage that and We out our we are the years it important portfolio few XX.X Slide XXXX; year targeting looking at Turning compounded XXXX, increase provide tightly adjusted targets the over our fiscal with recurring agreement had was of goals end target our to double-digit positive year from through generation power amount add to and achieving XXXX, revenues. of the over backlog, strategy revenues longer-term next delivering fiscal by felt EBITDA. rate growth horizon time Each drives the in XX. fiscal annual we XXX% to to which by a megawatts revenue context our end at of year execution long-term linked revenue service and is generation project

Fundamental also are We our markets And as model, kilowatt as cash positive we do hour including free future to delivering to today. I've ultimate financial aspiration per presentation, in on of drive EBITDA, for focused well we an parity, said on recurring to even our our positive goal delivering cost focused the appropriate goals, are strategic returns achieve in more lower on with capital invested consistent grid flow is eventually business the delivering return stockholders. than as generation. our

continued decisions operation, optimizing our among to revenue capital grow the on achieving promote company, to strategic and initiatives, portfolio private accountability commercial our to achieving goals winning for culture keys recurring new our of cost achieving globally are these of The project and and pipeline, a discipline, continuing business choices. execution which delivers construction replenish

sheet sheet remarks it's Energy our our XX, facility Energy with balance the I Orion Energy. FuelCell my credit Partners for with Slide management. with conclude prepared highlights FuelCell balance has On prudent strengthened and will today

help the generate the this us credit recurring long-term for million deliver revenue expect We that long-term in future. projects company to $XXX facility

on have achieving strategy The long-term. our Powerhouse breadth private efficiencies to financial our depth and and transform, organization of We and an second committed the our we grow to and execution, our business milestones, portfolio for operational company living strengthen are is focused purpose. none, implementing and core technology

compared quarter year. strong last a to over we delivered we where summary, were In

ahead, lie in role the ever navigate our We more the SureSource ability are that plays and the our future. progress, to excited platform global opportunities our successfully than about headwinds, energy

formal concludes This remarks. our

begin I we joined Before me. Q&A, a Tom, to few and the team introduce want Mike that have more members

Toby, by Sales Mike Service; are Jill COO; joined Crossman, EVP Ben Americas. Finance; and EVP Lisowski, Customer and and We CTO; SVP Direct SVP SVP and Leo, Frank Sales Tony Wolak,

will now Julian over turn begin Q&A. it to I to

Eric question Instructions] [Operator Craig-Hallum. comes Your first - Stine from from

open. is line Your

morning, everyone. Good

Morning, How you? Eric. are

I'm Fine. And you?

Doing you. great. Thank

the Well, backlog just you're lacking. Good. good product into dig Obviously more I fully inroads wanted side, very and progress committed and been of I to know plans on but have the generation there. the some made product have product,

with maybe milestones for Toyota, it's talk So E.ON, steps etcetera? some you're customers, should whether of just just maybe about key signpost the look some we And going taking, or forward?

the we that platform what we're platform work XXX-kilowatt the doing the sell different something about will is that in is that think think our than There megawatt have which addition doing and is on we to quite sub-megawatt if both the we there targeted nicely, European really there fact we're with platform So, in that we marketplace. continue market, the E.ON European XXX-kilowatt plus that also. fits there, market to a US

I today. of new customers beyond So to milestone the set Europe current look we to opportunity there win is our for serve business some the say in would I -- think,

will product project, an the think where where example you actual pretty standpoint efforts Toyota's if extensions you're support the to trucks ships to of Toyota product of on to on-site cell what product-wise; the doing large platform coming terms that off the and addition generation vehicles see both, In port. in I look doing going extension fueling hydrogen significant we're through a fuel our we're that's of at

point I milestone that our product in portfolio a -- at you look there in would I of think our groundbreaking extending terms to would be regard.

that? anything add to you would Mike,

opportunities large well. back headwind as as in Eric, been I has remarks, a into obviously but obviously said are my The bit to and Korea of get are diligently we quite that only a prepared those other thing market, working

next if are know mean there good that and just -- back I and a guess forth things POSCO, is with some can and my segue anything you while that's some has developments been there not I maybe would to in near-term; whether the or you that recent how Yes. developing see playing question. give opportunities it's be I that positive you've clearly just you're And other of there I market, the past, but out? great. with is, mean, about KOSPO that about wondering talked some

We you -- have an today. of know, are in with -- where Yes. as we we X-K issued POSCO terms we

is to working We consistent the are to process try through with our that agreement achieve resolution.

As we think up, opportunity we've we're in more a future to support about the markets not intend, we say where to could where the will being aggressively overall. our about remain as the Asia, those market Korea probably And and we back company. pursue positive about stated we and we point as but there, market a in South at growth end very

Okay. for then, one And me. last

and there; or you maybe and that assume you goals on targets, revenue -- adjusted the Just I positive product largely into have in kind at missed the are three EBITDA that's from that but the factoring year this, generation. would of XXXX all I fiscal

we correct. largely perspective driven generation, That this back from generation. do but a intend that largely from as is the in product sales by to be We market is is said,

lot. thanks Okay, a

Thank you.

Your from Rusch from Oppenheimer. next Colin question comes

Your line is open.

your at your but guys. like shortages timelines client point? How going, have you can as days much around pipeline early approvals, here you and the I you process your this stoppages, at products processes resiliency say that so Thanks what far that look of construction face what permitting about and of it's know say? are work and in you the in you or can things there

Mike I'll So to comments. some to add it Colin, then additional maybe I'll over start maybe turn and Lisowski

still relates and be the take impacted that those state go-forward on only of But we to we progress no to complete standpoint. feel plan from the on timeline, it with in-flight are could about As projects that we're recognize a to be today have our to current making the actions good governments going that we indication a or respect acknowledge not about very development projects, impacted basis projects as may by work we product stoppage. federal those

you Mike would Lisowski. to add Mike, anything that?

And appropriate addition situation, management to execute confident forward. thank and be corporate the operational confident you we backlog. Colin, execution, inventory listed develop the at relative Jason, able effectively in current projects the this needed. closely pipeline; the to actions that that we're to we I those very taken is, project project for program take phases Jason's on on that time to are well relative you we all have to continue a labor add robust to that as very make supply things and execution would and to Based use well-positioned positioned workforce, current feel I continue feel Yes thank you very much. risk the efficiently we'll items All manage progress question. execution, on program overall, the we've and where we'll going and project Again, our we'll But to existing we're phases. positions, key all project of continuing direct very actions through projects construction existing that of the on that are our in solid comments monitor

on chain. guess, question supply then, And the really the Great. I is second

and equipment you this of many in complete little Sorry, of an you the international? guess, in; here much how equipment is; them additional these just the perspective -- bring of things in need bring inventory projects? may of that from the complete And domestic question those to really have a on-hand, how asking to these how in from in I terms the the that outside being you outside that bring just but terms you you and country but And of need US extreme bit pieces how sources maybe are the to to -- many projects? need what actually answered many the have that to are question;

characterize Mike way is, is, moderate Lisowski, this have backlog. to projects existing that I Colin, the again. assessment is you would we our to know, relative risk The in low supply

Relative here when globally. direct project bulk are projects key inventory a furnished well chain, taken are supply what we've with finished we of to equipment supply or of pipeline. the the in and to of very into the equipment would a very, are either and fair the I balanced United to semi-finished our positioned have say content predominantly on strategic external being and way needed of coming States supply ready, the that on inventory in our We and that are goods domestically have supply their our well small to execute direct very a the materials materials percentage the some balance along we goods is, amount actions in chain deploy

much Perfect. Thanks so guys.

[Operator comes Osborne Cowen Instructions] next from Jeff Your from Company. & question

is open. Your line

thanks, morning. questions Couple my Yes, end. of good on

Mike, are for First the else? those that drew Groton facility all, million the all of down; something for? you projects Is that $XX.X on or which

Jeff. morning, Good

So credit conjunction the at Orion $XX.X of a COD Orion two million next and the second we sit the has year. sub-based are has we under that and also the quarter, tranche projects we date LIPA are on a in date refinanced year, today projects of July with 'XX that drew facility, facility in our of then in here projects, COD predominantly targeted short-term which the But Groton that the but down as this our debt that's two drawdown. projects,

little a utilized the debt way long-term the we If think million about that's roughly you so or debt, I about fourth quarter part talked we from $XX into funds recall, the of we've Orion. short-term that in bit of moving call, talked

been LIPA past? but the an And can you have of that's the give if think then, update just in you there two is projects; Okay, I have on us don't one other PPAs awarded the signed that projects helpful. speaking

Yes.

yet. have As signed those not products two -- you PPAs know, do we've

work to but as continue to with have not signed of to We those PPAs projects advance yet. LIPA try

world either there that that should we outside what Is to maybe you the RFP guess, is? sense of would is what can from I something process share, the -- any watching, be lead holdup an it or

But to the to process; where legislation indicator other are think the part and there that I the and policy you through just there an of look No, things trying at. of RFP some will no that, process, I being considered than it's would LIPA it's State is tell York. don't is of not in -- we be other work both, New really

think I is about side? you How can I you have the facets generation was Tony; surge part to curious the Beach as sort your should or renewables? share sort of other relates we new the say, electrolyzers I and would of vertical of you certainly the just well appreciate but of then, certainly should it how cost? there given you economy using investors, as for Jason as Toyota and the benchmark your growth interest could share yourself, just to that cost as lower highlighted, but hydrogen we broader any water relative intriguing that among in on anything And cost facility electrolyzers. be a maybe think platform, in Okay. asset for of hydrogen there an usage Long helpful? low It's the

the the second that fact cost the of on reduced we call it's [ph] for tariff, have based what power, pretty by speed Yes, stream. hydrogen the stream in revenue significant -- revenue tri-generation is production we

it be that for You had will hydrogen. project, expensive for to electrolysis pretty for much pay power

hydrogen obviously it power price, varies So, on depending making that while like and you're fuel fact but price economics. the the you're producing power really capture, enhances carbon

That's had. you. it. good. Appreciate That's I Thank all

Jeff. Thanks,

I closing call We have Few remarks. no to further Jason questions. for over the back turn Mr.

world empowered customers, how conclude FuelCell team. want accomplishments the support I to in we am the deliver to also and the our by want reiterating that FuelCell today management stockholders you. and since I Energy the call to very Julian, our thank to energy. coronavirus, and again, the the our many to our I team. value has to future partners, those and complete invest to on want team our clean thank that their our am by timeframe live money by also Energy world proud our the trust I by out front it's joined about impacted their I go express of I in a those around achieved lines. prayers life excited short the on thoughts provide the to purpose enable both, and the opportunity

FuelCell and want everyone earnings in for in In participating our call your for Energy. closing, I interest thank to today

out us. day. questions, don't to have enjoy please you very hesitate your any to much, you and If reach Thank follow-up

conference today's concludes this call. gentlemen, and Ladies

You may now disconnect.