Plug Power Announces First Quarter 2013 Financial Results

Plug Power Announces First Quarter 2013 Financial Results

LATHAM, N.Y., May 14, 2013 (GLOBE NEWSWIRE) -- Plug Power Inc. (Nasdaq:PLUG),
a leader in providing clean, reliable energy solutions, today reported its
financial results for the first quarter 2013.

Plug Power (the "Company") business highlights in the first quarter of 2013
include product shipments to customers such as Lowes, P&G, and Sysco. The
Lowes' shipment was to support the opening of a brand new distribution center
in Georgia. Also, the Company completed conversion of all the units at
Walmart's Washington Courthouse, Ohio, facility to fuel cell powered forklift
trucks with over 250 units in operation. Plug Power, to date, has shipped over
4,000 GenDriveĀ® units to over 23 different customers. These units consume more
than 90% of the hydrogen fuel used to power fuel cell products in North
America. This is a clear indication of Plug Power's leadership position in the
fuel cell industry.

A prime focus of Plug Power management in 2013 has been to strengthen its
financial position to support all stakeholders. The Company recently announced
a $6.5 million strategic investment from Air Liquide. An Air Liquide
representative will also be joining the board of directors, which will provide
the Company additional industrial insight. The Company also recently added
Johannes Minho Roth, founder of 5T Capital, to the board of directors. Mr.
Roth offers the Company financial depth and international experience.

"I am pleased with our business progress in 2013," said Andy Marsh, CEO of
Plug Power. "We have dramatically improved our quality, have added to our
customer list, and have enhanced our financial position. The sales prospects
and funnel remain strong for the rest of the year, and we expect that the
business steps taken over the past six months will result in increased
customer traction." Marsh concluded, "I remain upbeat about the future of Plug
Power."

Financial Results

Operating loss for the first quarter of 2013 was $6.4 million compared to an
operating loss of $7.8 million for the first quarter 2012.

Total revenue for the first quarter 2013 was $6.4 million compared to total
revenue of $7.8 million for the first quarter of 2012. Product and service
revenue for the first quarter 2013 was $6.0 million compared to $7.2 million
for the first quarter 2012. Research and development contract revenue for the
first quarter 2013 was $0.4 million compared to $0.5 million for the first
quarter 2012.

Total cost of revenue for the first quarter of 2013 was $8.6 million,
comprised of $8.0 million for cost of product and service revenue and $0.6
million for cost of research and development contract revenue. Prior year
comparable numbers for the first quarter were $9.8 million for total cost of
revenue, comprised of $9.0 million for cost of product and service revenue and
$0.8 million for cost of research and development contract revenue.

Research and development expenses for the first quarter 2013 were $0.8 million
compared to the first quarter of 2012 of $1.2 million.

Selling, general and administrative (SG&A) expenses for the first quarter 2013
were $2.9 million compared to SG&A expenses in the first quarter 2012 of $3.9
million. Additionally, $0.6 million was expensed for amortization of
intangible assets during the first quarter of 2013 and the first quarter of
2012.

Net loss for the first quarter of 2013 was $8.6 million.On a per share basis
(basic and diluted), the loss for the quarter was $0.18.This compares with a
net loss of $6.6 million, or $0.28 per share (basic and diluted), for the
first quarter of 2012. Included in the net loss for the first quarter of 2013
is a $2.1 million non-cash charge for the change in the fair value of the
Company's common stock warrants. This non-cash charge compares to an increase
to income (non-cash) of $1.2 million during the first quarter of 2012.

Cash and Liquidity

Net cash used in operating activities for the first quarter 2013 was $5.9
million compared to $3.5 million for the first quarter 2012. On March 31,
2013, Plug Power had cash and cash equivalents of $4.5 million and net working
capital of $7.9 million.This compares to $9.4 million and $6.9 million,
respectively, at December 31, 2012.

The accompanying financial information and reconciliation tables provide
additional information on the Company's year-to-date performance.

Conference Call

Plug Power has scheduled a conference call today at 10:00 am ET to review the
Company's results for the 2013 first quarter results. Interested parties are
invited to listen to the conference call by calling 877.407.8291.

The webcast can be accessed by going directly to the Plug Power Web site
(www.plugpower.com) and selecting the conference call link on the home page.A
playback of the call will be available online for a period following the call.

About Plug Power Inc.

The architects of modern fuel cell technology, Plug Power revolutionized the
industry with cost-effective power solutions that increase productivity, lower
operating costs and reduce carbon footprints. Long-standing relationships
with industry leaders forged the path for Plug Power's key accounts, including
Walmart, Sysco and Coca-Cola. With more than 4,000 GenDrive units shipped to
material handling customers, accumulating over 10 million hours of runtime,
Plug Power manufactures tomorrow's incumbent power solutions today. Additional
information about Plug Power is available at www.plugpower.com.

Plug Power Inc. Safe Harbor Statement

This communication contains forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995, including but not
limited to Plug Power's expected use of the net proceeds from the offering.
These statements are based on current expectations that are subject to certain
assumptions, risks and uncertainties, any of which are difficult to predict,
are beyond Plug Power's control and that may cause Plug Power's actual results
to differ materially from the expectations in Plug Power's forward-looking
statements including statements regarding the risk that we may not have
sufficient cash to fund our operations to profitability and that we may be
required to seek strategic alternatives, including but not limited to a
potential business combination or a sale of the Company, or reduce and/or
cease our operations, other risks and uncertainties related to satisfaction of
the closing conditions of the offering, the estimated proceeds from the
offering and the anticipated use of proceeds from the offering, the risk that
unit orders will not ship, be installed and/or convert to revenue, in whole or
in part; the cost and timing of developing Plug Power's products and its
ability to raise the necessary capital to fund such development costs; the
ability to achieve the forecasted gross margin on the sale of Plug Power's
products; the actual net cash used for operating expenses may exceed the
projected net cash for operating expenses; the cost and availability of fuel
and fueling infrastructures for Plug Power's products; market acceptance of
Plug Power's GenDrive system; Plug Power's ability to establish and maintain
relationships with third parties with respect to product development,
manufacturing, distribution and servicing and the supply of key product
components; the cost and availability of components and parts for Plug Power's
products; Plug Power's ability to develop commercially viable products; Plug
Power's ability to reduce product and manufacturing costs; Plug Power's
ability to successfully expand its product lines; Plug Power's ability to
improve system reliability for GenDrive; competitive factors, such as price
competition and competition from other traditional and alternative energy
companies; Plug Power's ability to manufacture products on a large-scale
commercial basis; Plug Power's ability to protect its intellectual property;
the cost of complying with current and future governmental regulations; and
other risks and uncertainties discussed in the reports Plug Power files from
time to time with the SEC. Plug Power does not intend to, and undertakes no
duty to update any forward-looking statements as a result of new information
or future events.

Plug Power Inc.
Financial Highlights
                                                           
Balance Sheets (Dollars in thousands):                      
(unaudited)                                                 
                                             March 31, 2013 December 31, 2012
Assets                                                    
Current assets:                                           
Cash and cash equivalents                   $4,503       $9,380
Accounts receivable                         5,577         4,022
Inventory                                   10,090        8,550
Prepaid expenses and other current assets   1,897         1,988
                                                           
Total current assets                        22,067        23,940
                                                           
Restricted cash                             750           --
Property, plant and equipment, net          6,294         6,708
Leased property under capital lease, net    2,841         2,970
Note receivable                             556           571
Intangible assets, net                      4,635         5,271
                                                           
Total assets                                $37,143      $39,460
                                                           
Liabilities and Stockholders' Equity                      
Current liabilities:                                      
Borrowings under line of credit             $--         $3,381
Accounts payable                            5,602         3,558
Accrued expenses                            2,206         3,828
Product warranty reserve                    1,873         2,672
Deferred revenue                            2,779         2,950
Obligations under capital lease             667           650
Other current liabilities                   1,065         --
                                                           
Total current liabilities                   14,192        17,039
                                                           
Obligations under capital leases            1,132         1,305
Deferred revenue                            5,767         4,362
Common stock warrant liability              4,575         476
Finance obligation                          2,544         --
Other liabilities                           1,223         1,248
                                                           
Total liabilities                           29,433        24,430
                                                           
Stockholders' equity                        7,710         15,030
                                                           
Total liabilities and stockholders' equity  $37,143      $39,460
                                                           
                                                           
Statements of Operations (Dollars in          Three months ended March 31,
thousands):
(unaudited)                                                 
                                             2013         2012
Revenue                                                     
Product and service revenue                 $6,045       $7,237
Research and development contract revenue   400           515
Total revenue                               6,445         7,752
                                                           
                                                           
Cost of revenue and expenses                                
Cost of product and service revenue          7,998         9,061
Cost of research and development contract    620           767
revenue
Research and development expense            750           1,227
Selling, general and administrative expense 2,881         3,935
Amortization of intangible assets           574           576
                                                           
Operating loss                              (6,378)       (7,814)
                                                           
Interest and other income                   16            48
Change in fair value of warrant liability   (2,131)       1,239
Interest and other expense                  (83)          (56)
                                                           
Net loss                                    $(8,576)     $(6,583)
                                                           
Loss per share: Basic and diluted             $(0.18)      $(0.28)
                                                           
Weighted average number of common shares      48,566,794    23,437,600
outstanding


Plug Power Inc.
Reconciliation of Non-GAAP financial measures
                                                         
Reconciliation of Reported Net loss                       
to EBITDAS
                                                         
                                     Three months ended March 31,
                                     2013               2012
                                                         
Operating loss, as reported         $(6,378)           $(7,814)
                                                         
Stock based compensation            506                 524
Depreciation and amortization       1,119               1,062
                                                         
EBITDAS                             $(4,753)           $(6,228)
                                                         
                                                         
EBITDAS is defined as operating income (loss), as adjusted for depreciation
and amortization expense and charges for equity compensation.EBITDAS is a
non-GAAP measure of our financial performance and should not be considered as
alternatives to net income or any other performance measure derived in
accordance with GAAP, or as an alternative to cash flows from operating
activities as a measure of our liquidity.
                                                         
                                                         
Reconciliation of Gross margin
percentage to Adjusted gross margin                       
percentage
                                                         
                                     Three months ended March 31,
                                     2013               2012
                                                         
Product and service revenues, as     $6,045             $7,237
reported
                                                         
Deferred revenue recognized in the   (470)               (930)
reporting period
Current invoiceable value of
shipments, recorded to deferred       36                  1,986
revenue
                                                         
Product and service revenues, as     $5,611             $8,293
adjusted
                                                         
Cost of product and service revenue $7,998             $9,061
                                                         
Gross margin percentage             (32.3%)              (25.2%)
                                                         
Adjusted gross margin percentage    (42.5%)              (9.3%)
                                                         
                                                         
Gross margin percentage is a financial ratio used to indicate the relationship
between cost of product and service revenue and product and service
revenue.We use the term adjusted gross margin percentage to refer to product
and service revenue, as adjusted, less total cost of product and service
revenue as a percentage of product and service revenue, as adjusted.This
non-GAAP financial measure allows management to view gross margin percentage
as if revenue had been fully recognized upon invoicing.We believe that these
non-GAAP measures, when taken together with our GAAP financial measures, allow
us and our investors to better evaluate short-term and long-term profitability
trends.
                                                         
While management believes that these non-GAAP financial measures provide
useful supplemental information to investors, there are limitations associated
with the use of these non-GAAP financial measures.These measures are not
prepared in accordance with GAAP and may not be directly comparable to
similarly titled measures of other companies due to potential differences in
the exact method of calculation.


Plug Power Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(Unaudited)
                                                              
                                                              
                                               Three months ended March 31,
                                               2013            2012
Cash Flows From Operating Activities:                        
Net loss                                      $(8,576)      $(6,583)
Adjustments to reconcile net loss to net cash                 
used in operating activities:
Depreciation                                  545            486
Amortization of intangible asset              574            576
Loss on disposal of property, plant and        --             58
equipment
Stock-based compensation                      506            524
Change in fair value of warrant liability     2,131          (1,239)
Changes in assets and liabilities that provide                
(use) cash:
Accounts receivable                           (1,555)        420
Inventory                                     (1,540)        2,245
Prepaid expenses and other current assets     92             717
Note receivable                               15             --
Accounts payable, accrued expenses, product    643            (2,121)
warranty reserve and other liabilities
Deferred revenue                              1,233          1,441
Net cash used in operating activities         (5,932)        (3,476)
                                                              
Cash Flows From Investing Activities:                        
Purchase of property, plant and equipment     (2)            --
Proceeds from disposal of property, plant and  --             58
equipment
Net cash (used in) provided by investing       (2)            58
activities
                                                              
Cash Flows From Financing Activities:                        
Restricted cash                               (750)          --
Proceeds from exercise of warrants            435            --
Proceeds from issuance of common stock and     3,257          17,685
warrants
Stock issuance costs                          (944)          (1,891)
Repayment from borrowings under line of        (3,381)        (5,405)
credit
Proceeds from finance obligation              2,600          --
Principal payments on obligations under        (158)          --
capital lease and finance obligation
Net cash provided by financing activities     1,059          10,389
                                                              
Effect of exchange rate changes on cash       (2)            1
(Decrease) increase in cash and cash           (4,877)        6,972
equivalents
Cash and cash equivalents, beginning of        9,380          13,857
period
                                                              
Cash and cash equivalents, end of period      $4,503        $20,829

CONTACT: Media & Investor Relations Contact:
         Gerard L. Conway, Jr.
         Plug Power Inc.
         Phone: (518) 782-7700
         media@plugpower.com
         investors@plugpower.com

Plug Power, Inc Logo