Plug Power Inc (PLUG)

[uksausage]

you are right about how PLUG will recognize revenues from HYVIA. as a 50:50 JV the asset is on the books (so may appreciate in value as you assess the value of the HYVIA corporation) but any revenue HYVIA makes will be in that company, when they start to make a profit they can then assign a dividend to their shareholders which would be revenue on PLUGs books.

The other potential source of revenue is if the JV has to buy components for their supply chain from PLUG. The set up costs should all be part of the initial capital investment but if they keep buying say PEM membranes or the cell plates from PLUG for the JV to make into the ProGen like fuel cells they that could be booked as revenue I believe.

It isn't clear how the infrastructure (storage/dispensers/compression) for the fleet customers will be accounted for - HYVIA could sub contract direct to PLUG (or others) or set up their own factory to make them.

So when we start to see HYVIA make news about deals for hundreds of vans and shuttle buses it is a very indirect benefit for the cash flow of PLUG.