Ballard Power Systems Inc. (NASDAQ:BLDP) Q3 2022 Results Conference Call November 7, 2022 11:00 AM ET

Company Participants

Kate Charlton - VP, IR

Randy MacEwen - CEO

Paul Dobson - CFO

Conference Call Participants

Rob Brown - Lake Street Capital Markets

Aaron MacNeil - TD Securities

Rupert Merer - National Bank Financial

Mac Whale - Cormark Securities

Michael Glen - Raymond James

Alex Kania - Wolfe Research

Craig Shere - Tuohy Brothers

Jeff Osborne - Cowen & Company

PJ Juvekar - Citi

Greg Wasikowski - Webber Research

Kashy Harrison - Piper Jaffray Sandler

Craig Irwin - ROTH Capital Partners

Operator

Thank you for standing by. This is the conference operator. Welcome to the Ballard Power Systems Third Quarter 2022 Results Conference Call. As a reminder all participants are in listen-only mode and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. [Operator Instructions]

I would now like to turn the conference over to Kate Charlton, Vice President, Investor Relations. Please go ahead.

Kate Charlton

Thank you, operator, and good morning. Welcome to Ballard’s third quarter 2022 financial and operating results conference call. With us on today’s call are Randy MacEwen, Ballard’s CEO; and Paul Dobson, Chief Financial Officer.

We will be making forward-looking statements that are based on management’s current expectations, beliefs and assumptions concerning future events. Actual results could be materially different. Please refer to our most recent annual information form and other public filings for our complete disclaimer and related information.

Before we discuss the quarter, I would like to provide an update on our Investor Day. Given scheduling challenges with our current priorities and recent additions to our senior leadership team, we have made the decision to reschedule our Investor Day to the first half of 2023. We will provide additional details early in the New Year.

I’ll now turn the call over to Randy.

Randy MacEwen

Thank you, Kate, and welcome everyone to today’s conference call. We made important customer progress across our verticals during Q3, while also advancing our global manufacturing strategy and product cost reduction initiatives. In Q3, we delivered $21.3 million in revenue with approximately 57% of our revenue coming from heavy-duty motive applications. This highlights the ongoing intentional shift in our business towards an increasingly product-focused company.

We also note, there has been a significant a change in our revenue mix by geographic markets in 2022 as compared to 2021. Continued challenges and delays in the China fuel cell market have adversely impacted 2021 -- 2022 revenue, and have masked the underlying growth we are seeing outside of China. For the first three quarters of 2022, revenue for Europe, North America and rest of world is up approximately 22%, while China revenue is down approximately 68%.