Hyzon Motors

Hyzon announced its first quarter 2024 financial and operating results on May 13, 2024. 

Key Highlights

• Revenue: Hyzon reported $10.0 million in revenue for Q1 2024, marking a significant increase from no revenue in the same period last year. This growth reflects progress in customer acceptance and the completion of the commercial cycle.
• Joint Development Agreement: Hyzon has partnered with New Way Trucks, North America’s largest private refuse manufacturer, and introduced the first hydrogen-powered refuse truck for the U.S. market at WasteExpo in May. Trials with major refuse collection fleets are expected to start in summer 2024.
• Fuel Cell System Production: The company completed five 200kW C-sample Fuel Cell Systems (FCS) in Q1 and an additional five in April. Hyzon is on track to start production of the 200kW FCS in the second half of 2024.
• Refuse Truck Trial: Hyzon successfully concluded a four-month trial of a refuse truck with REMONDIS Australia, leading to a full vehicle sale.
• New Product Launch: The company introduced a 200kW fuel cell system integrated into an Australian heavy-duty cabover truck. The start of production for the Class 8 200kW Fuel Cell Electric Vehicle (FCEV) is expected in the latter half of 2024.
• Financial Management: Research and Development (R&D), Selling, General, and Administrative (SG&A) expenses, and net cash burn, excluding certain one-time items, were all at or below the company’s guidance ranges for Q1 2024.

Business Developments

• U.S. Market Introduction: At the WasteExpo in Las Vegas, Hyzon introduced the first fuel cell electric refuse truck for the U.S. market in collaboration with New Way Trucks. This follows a successful trial of the company’s Australian refuse truck.
• Customer Deliveries: Hyzon delivered a Class 8 fuel cell truck to a drayage customer at the Ports of Los Angeles and Long Beach. The company also received positive feedback from Performance Food Group (PFG) in California, which is using four FCEVs delivered in December 2023.
• New Product Launches: In March, Hyzon launched a 200kW fuel cell system and powertrain integrated into a heavy-duty cabover vehicle. The company plans to deploy these vehicles in Australia, New Zealand, and conventional 200kW vehicles in the U.S. later this year.

Government Support

• Clean Ports Program: Hyzon is supporting applications for two major U.S. ports under the EPA’s Clean Ports Program, which aims to deploy up to 100 trucks in a single application.
• DOE Funding: Hyzon is a partner in a Department of Energy project funded by the Bipartisan Infrastructure Law (BIL). The company has submitted a concept paper for additional BIL funding, potentially providing up to $14 million for expanding the Bolingbrook facility.

Production and Capacity

• 200kW Fuel Cell System: Hyzon is progressing its C-sample development to meet the start of production for its single stack 200kW fuel cell system in the second half of 2024. The company completed five C-sample systems in Q1 and five more in April.
• Manufacturing Efficiency: Hyzon increased its daily single cell production rate by over 2.5 times in Q1. The company expects its annual production capacity to reach 700 systems with minimal additional capital expenditure.

Financial Performance

• Revenue: Hyzon reported $10.0 million in revenue for Q1 2024, a significant milestone compared to no revenue in the same period last year.
• Cash Position: As of March 31, 2024, Hyzon held $82.6 million in unrestricted cash, cash equivalents, and short-term investments. The net cash burn for Q1 2024 was $29.6 million, excluding certain one-time items, the cash burn was $24.0 million, the lowest in ten quarters.

Chief Financial Officer Stephen Weiland noted, “The first quarter revenue reflects a significant milestone in customer acceptance. We anticipate fluctuations in revenue recognition due to deployment timings and contract terms. Our R&D, SG&A, and net cash burn met or were below our guidance ranges.”