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Ballard Power Systems shares sink on wider-than-expected fourth-quarter loss, but beats on revenue

Revenue for the quarter, however, of $28.5 million actually beat consensus
engineers at an oil rig
Ballard is a power firm

Ballard Power Systems Inc (NASDAQ:BLDP) shares sank in New York Thursday after the hydrogen fuel-cell company posted a wider than expected fourth-quarter loss.

The Burnaby, British Columbia-based group reported an operating loss for the three months of $0.06 compared to a loss of $0.02, which had been expected by analysts.

Shares fell over 7.5% to US$3.06 in New York.

READ: Ballard Power Systems shares slip after missing Street's 3Q estimates due to China slowdown

Revenue for the quarter, however, of $28.5 million actually beat consensus of $23.5 million by 21.3%, but was down 29.3% from the year-ago figure, which came in at $40.3 million.

Breaking the revenue figure down, in the Power Products business turnover was $15.6 million, down 48% year over year, reflecting a decline in Heavy Duty Motive shipments to China compared to the fourth quarter in the previous year.

It was also due to a decline in Portable Power/UAV product shipments due to the sale of the Power Manager business, but was partially offset by increases in material handling and backup power, the company said.

Randy MacEwen, President and CEO at Ballard, said: "As we look ahead to 2019, we are planning for a relatively flat top line along with increased investments to drive long-term adoption, scaled commercialization and market share.

"Over that longer-term we anticipate significant growth in China, Europe and California, setting the stage for attractive return on investment for Ballard and our shareholders."

Contact Giles at [email protected]

Follow him on Twitter @Gile74

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