Ballard Power Systems Expects Gross Margins Of 20%+ In 2027, Scaling To 25%+ By 2028; Plans To Allocate $80M-$120M In Capex To Expand Its Hydrogen Power Unit Fleet

 Ballard Power Systems (NASDAQ:BLDP) (TSX:BLDP) today held the Ballard Forum. Notable highlights included:

Expanded Business Model: Ballard's business model has grown to add Energy-as-a-Service to existing equipment sales and services. 
Accelerating Revenue Growth: Ballard is targeting a 30% Compound Annual Growth Rate (CAGR) in corporate revenue over the next two fiscal years.
Expanding Margin Profile: The Company anticipates gross margins exceeding 20% in 2027, scaling to greater than 25% by 2028.
Strategic Fleet Expansion: Ballard plans to allocate $80 million to $120 million in capital expenditures to expand its Hydrogen Power Unit (HPU) fleet, with optionality in pace of investment. This investment is expected to be financed through asset-backed finance at greater than 80% loan to value, minimizing the cash outlay.
Prudent Capital Allocation and Cash Management: There is no immediate need to invest in manufacturing expansion or hydrogen production. Cash use for operating costs is expected to decrease over time as margins and revenue grow.
Path to Profitability: Ballard is targeting Adjusted EBITDA profitability by the end of 2027, sustaining full-year profitability throughout 2028.