Close X
Thursday, November 14, 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

    SkyTrain service in Metro Vancouver area halted by electrical fault

    SkyTrain service in Metro Vancouver area halted by electrical fault
    VANCOUVER — SkyTrain service has been halted between two busy stations in the Metro Vancouver area after what transit officials believe is an electrical fault.

    SkyTrain service in Metro Vancouver area halted by electrical fault

    B.C. poultry supply unaffected by avian flu; turkeys brought in to meet demand

    B.C. poultry supply unaffected by avian flu; turkeys brought in to meet demand
    VANCOUVER — Poultry producers are assuring B.C. residents there will be plenty of turkeys on store shelves during the holidays despite an avian flu outbreak that has killed thousands of animals.

    B.C. poultry supply unaffected by avian flu; turkeys brought in to meet demand

    Oilsands leak that fouled aquifer is close to site where oil bubbled to surface

    Oilsands leak that fouled aquifer is close to site where oil bubbled to surface
    EDMONTON — A Canadian Natural Resources Ltd. oilsands operation that has contaminated a groundwater aquifer is renewing questions about a technology that has already been linked to another serious leak in northern Alberta.

    Oilsands leak that fouled aquifer is close to site where oil bubbled to surface

    Judge at Magnotta trial says Twitter account in his name isn't his

    Judge at Magnotta trial says Twitter account in his name isn't his
    MONTREAL — The judge in Luka Rocco Magnotta's first-degree murder trial says he is "flabbergasted" and "not amused" about what he calls a fake Twitter account bearing his name.

    Judge at Magnotta trial says Twitter account in his name isn't his

    Rainfall Warning In Metro Vancouver Leads BC Ferries To Cancel Some Sailings

    Rainfall Warning In Metro Vancouver Leads BC Ferries To Cancel Some Sailings
    Environment Canada issued a rainfall warning for Metro Vancouver with some 50 millimetres expected to drench the region on Saturday.

    Rainfall Warning In Metro Vancouver Leads BC Ferries To Cancel Some Sailings

    B.C. Education Support Staff Ratify Agreements Negotiated With Province

    B.C. Education Support Staff Ratify Agreements Negotiated With Province
    The province says the remaining seven districts and unions representing some 3,500 workers have recently signed on to their agreements.

    B.C. Education Support Staff Ratify Agreements Negotiated With Province