Close X
Tuesday, November 26, 2024
ADVT 
National

Ballard says it won't meet 2014 guidance due to contract breaches in China

Darpan News Desk The Canadian Press, 02 Jan, 2015 11:18 AM

    VANCOUVER — Ballard Power Systems (TSX:BLD) says it will fall short of its guidance for 2014 revenue and adjusted earnings as a result of alleged contract breaches by Azure Hydrogen, which was licensed to assemble Ballard products for the Chinese market.

    The fuel cell company says it has given notice that it's terminating two licensing agreements with Azure, one to assemble bus power modules and the other to assemble telecom backup power systems.

    Vancouver-based Ballard says it won't recognize any of the $3 million in revenue it had expected to book from Azure in the fourth quarter and will record an impairment charge of $4.5 million from outstanding receivables owed by Azure.

    The company said in October it expected 2014 revenue to be 20 per cent above the previous year, down from its previous guidance of 30 per cent revenue growth.

    As of Sept. 30, Ballard had recognized US$53.1 million in revenue over three quarters, up 21 per cent from the comparable nine-month period of 2013.

    The company had also reduced its nine-month adjusted loss (adjusted earnings before interest, taxes, depreciation and amortization) to US$2.6 million from US$8.4 million over the first three quarters of 2013.

    In 2013, Ballard had US$61.3 million of revenue and an adjusted EBITDA loss of US$8.4-million.

    Ballard says it will provide further details about the Azure contract in late February when it discusses 2014 audited financial results and its 2015 outlook.

    MORE National ARTICLES

    White Christmas doubtful for many in more populated parts of Canada: Forecast

    White Christmas doubtful for many in more populated parts of Canada: Forecast
    TORONTO — The Weather Network says Canadians' dreams of a white Christmas likely won't come true for many of those living in the more populated parts of the country.

    White Christmas doubtful for many in more populated parts of Canada: Forecast

    Police In Delta, B.C., Pull Wristband Supporting Officer Accused Of Murder

    Police In Delta, B.C., Pull Wristband Supporting Officer Accused Of Murder
    DELTA, B.C. — A Metro Vancouver police department says it is removing online promotions for the sale of a wristband that support of an officer facing a second-degree murder charge.

    Police In Delta, B.C., Pull Wristband Supporting Officer Accused Of Murder

    Five Powerful Earthquakes Strike Off The Coast Of B.C. Over The Weekend

    Five Powerful Earthquakes Strike Off The Coast Of B.C. Over The Weekend
    A series of powerful earthquakes shook the coast of B.C. over the weekend. The federal agency that monitors earthquakes in Canada says there were five offshore quakes on Saturday and Sunday.

    Five Powerful Earthquakes Strike Off The Coast Of B.C. Over The Weekend

    TTC speeds up review of bus and streetcar operators after teen's death

    TTC speeds up review of bus and streetcar operators after teen's death
    Toronto's transit authority will be speeding up its review of bus and streetcar operators following the death of a 14-year-old girl who was killed after being hit by a city bus.

    TTC speeds up review of bus and streetcar operators after teen's death

    Vancouver MLA Mable Elmore Seeking Ndp Nomination For Federal Riding

    Vancouver MLA Mable Elmore Seeking Ndp Nomination For Federal Riding
    VANCOUVER — A Vancouver MLA is seeking the NDP nomination for the federal riding of Vancouver East. Mable Elmore currently represents the riding of Vancouver-Kensington for the provincial New Democrats.

    Vancouver MLA Mable Elmore Seeking Ndp Nomination For Federal Riding

    Study Involving UBC Scientist Says Chinook Salmon Could Be Wiped Out By 2100

    Study Involving UBC Scientist Says Chinook Salmon Could Be Wiped Out By 2100
    VANCOUVER — New climate-change research involving a University of British Columbia scientist predicts that one of the West Coast's most prized salmon stocks could be wiped out over the next 85 years.

    Study Involving UBC Scientist Says Chinook Salmon Could Be Wiped Out By 2100