Ballard Power Systems (BLDP) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue increased 6% year-over-year to $15.4 million, led by a 41% rise in the bus market and a 31% increase in engine shipments.

• Gross margin improved by 14 points, driven by higher revenue and lower manufacturing overhead from 2024 restructuring.

• Operating expenses declined 31% due to restructuring, with cash operating costs down 22%.

• Ended Q1 with $576.7 million in cash and no near- or mid-term financing needs.

• Order backlog at quarter-end was $158 million, with a 12-month order book of $92.4 million; Q1 order intake was soft after a record Q4.

Financial highlights

• Q1 revenue was $15.4 million, up 6% year-over-year, with bus revenue up 41% and Heavy Duty Mobility revenue at $12.9 million.

• Stationary revenue declined 84% to $0.6 million; Emerging and Other Markets revenue surged 757% to $1.9 million.

• Gross margin was negative 23%, a 14-point improvement year-over-year.

• Adjusted EBITDA loss improved to ($27.5) million from ($36.6) million year-over-year.

• Net loss from continuing operations was $21.0 million, a 49% improvement year-over-year.

Outlook and guidance

• 2025 revenue expected to be weighted toward the second half of the year; no specific revenue or net income guidance provided.

• Operating expenses for 2025 guided between $100 million and $120 million, about 30% lower at midpoint versus 2024.

• Capital expenditure guidance for 2025 is $15–25 million, about 38% lower at midpoint compared to 2024.

• Focus remains on cost rationalization, margin expansion, and disciplined spending.

• Further cost rationalization and possible guidance revisions are under review.