Plug Power Inc. (NASDAQ:PLUG) shares are trading lower Wednesday after the company reported first-quarter results that showed revenue growth, but a wider-than-expected loss.
What To Know: The move comes despite a beat on the top line, as investors focused on ongoing profitability challenges and cautious sentiment around the company's path forward.
For the first quarter, Plug reported revenue of $133.67 million, slightly ahead of analyst expectations of $132.16 million and up from $120.26 million in the same quarter last year. The company credited the revenue growth to strong momentum in its electrolyzer segment, where GenEco electrolyzer sales surged 575% year-over-year. Plug also cited continued demand in material handling and growth in cryogenic platform deployments.
Despite the revenue beat, the company posted a net loss of 21 cents per share, missing analyst estimates for a 19-cent loss. Plug noted progress in managing its cash flow, with net cash used in operations and investing dropping to $152.1 million, compared to $288.3 million in the prior year's quarter. The company ended the period with $295.8 million in unrestricted cash.
Management emphasized a narrowed focus for 2025, stating it will concentrate on material handling, electrolyzers and hydrogen supply, areas where Plug believes it holds competitive advantages. CEO Andy Marsh said the company is working to scale its hydrogen ecosystem and drive adoption of its GenEco platform globally. He also highlighted new production capacity coming online in Louisiana and efforts to strengthen capital efficiency through financing initiatives such as tax credit transfers and project equity structures.
Plug Power guided for second-quarter revenue in the range of $140 million to $180 million, versus estimates of $132.16 million, signaling confidence in continued demand growth.
Following the print, Canaccord Genuity analyst George Gianarikas maintained a Hold rating and lowered the price target from $1.25 to $1, which may be adding pressure to shares on Tuesday.
PLUG Price Action: Plug Power shares were down 9.41%, trading at approximately 82 cents at the time of publication Tuesday, according to Benzinga Pro.
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