Plug Power Inc (PLUG)

[uksausage]

going to be a very interesting conference call. I didn't expect the numbers to be presented with such focus on Q4 - not necessary as this is an annual report.

I cannot make the numbers add up at all.

Supposedly they "broke even" on cash flow from operating activities, yet the numbers indicate a $3m gross profit ($6.6m from hardware sales - still losing money on services, PPA and Hydrogen).

I wish I knew what was in "operating activities" - how is PPA accounted for as the cost of the items is spent but the revenues only come in each month so if that is the case they spent c $10m on building $16m of Gendrives but only collected $4m in total PPA revenue from whole installed base


What is clear is that they are making big margins on GenDrive hardware every unit sold is making a profit. Roughly 33% gross margin on hardware is so much better than just one year ago (12%) or two years ago - loss.


How is net loss to shareholders calculated?

I see $32m revenues contributing $3m gross profit, operating overheads of $15m which should leave a loss of $12m, yet they claim $19m loss

Later on they use the $12m as operating loss as reported, but the number in the table is still $19m loss.

Lots of accounting explanations needed which will detract from the future discussion in the conference call.


I guess we have to wait again for the SEC Filing to really get the details