Copyright 2019
May 2019
Plug Power Investor Presentation
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NASDAQ listed in 1999
• Over $1B in capital deployed
• Substantial improvement in cost and reliability
• Financial Performance:
• Full Year 2018: $185 M gross billings
• 40%+ increase vs. 2017 • EBITDAS breakeven in Q4
• 2019 Targets: $235 - $245 M gross billings
• Adjusted EBITDAS positive for full year
• 80% Blue Chip Customer Base –
• WMT, AMZN, Carrefour
• Targeting $500M in Revenue in 2022
• Substantial operating leverage
Plug Power:
Leader in Hydrogen and Fuel Cell Technology
1st to create a market
for HFC technology
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• 25,000+ GenDrive units shipped
• 80+ hydrogen fueling stations built
• 20+ T of liquid hydrogen used daily
• Surpassed NASA in 2018
• 19 M+ hydrogen fills from GenFuel
stations
• Most in the world –
1 hydrogen fill every 3 seconds
Plug Power: Created and Leading
Fuel Cell Material Handling Industry
Pioneered a Rapidly Growing Industry.
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Material Handling: First Large and Growing Market
$3,100
$900
$900
$500
Product H2 Infrastructure
H2 Fuel Service
Millions of
Forklifts
GenDrive in
~25000
>10,000 Sites
GenKey in ~ 70
>400k Tons H2
Available
GenFuel
Service ~2%
→Servable market in NA is >$4.5 Billion
→Europe doubles the served opportunity
→Total addressable market >$30 Billion
North American
Market
(SAM defined as sites > 50 trucks; in $ millions)
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Fueling infrastructure and
fuel delivery
Com
ple
te S
olu
tion in M
ate
rial H
andlin
g I
ndustr
y
Hybrid electric fuel cell solution
for forklifts
Complete service and
maintenance
First Market: Full Suite of Products Accelerates
Customer Adoption
Hybrid fuel cell engines for a
variety of applications
Powerful Benefits: • Increased Productivity - higher throughput per shift
• 5% - 15% more capacity
• Lower Operational Costs - eliminate battery changeout • 3% - 5% improvement from fast refueling
• More Operation Space - battery room eliminated • 5% - 7% more space reclaimed
• Reduced Peak Power Demand – high-cost demands
eliminated • New buildings save over $1 million dollars by not building a
electric battery infrastructure
• Reduced Site Emissions - safe, clean, zero-emission
power
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Success in Our First Market:
Loyal and Repeat “Blue Chip” Customers
multi-site customer
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Walmart: Long Term Strategic Partner
First Market Success
2014• Initial agreement signed for multiple sites
• GenKey installed in 6 distribution centers with
1,700 GenDrive units in 2014
2015• 9 GenKey sites added
• >1 million fuelings over the year
2018• 8,000 GenDrive units deployed
• Total of 38 GenKey sites deployed to date
• > 10T on hydrogen usage per day
2019 and
beyond
• Have over 150 NA distribution centers
• Continuing to expand with Plug Power
• Potential 35T per day of hydrogen usage
• Expansion into delivery vans, drayage trucks
Plug Power’s relationship with Walmart represents the largest hydrogen enabled fleet in the world
“We are pleased with the
performance of the hydrogen fuel
cells that we have been operating
and are excited to expand our
program with Plug Power.”
– Jeff Smith, Senior Director
for Walmart Logistics
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Background• Plug Power and Amazon actively engaged in 2016
• Amazon recognized Plug’s value proposition, including
the ability to enhance productivity
First Site Success• First site went live in Q4 2016
• Completed system installation in 8 weeks
Present Situation• Over 20 GenKey sites deployed to date
• Using 4T on hydrogen per day
• Potential to Expand to 100 sites
• 20T of hydrogen per day
• Focus on potential new applications
Amazon: Another Strategic Partner
First Market Success
Amazon establishes multi-year,
multi-site customer agreement with Plug Power
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Material Handling Economic Value Proposition
Subscription Direct Sale
Payback Period Immediate < 2 years
Two Examples for a Subscription and a Direct Sale
The Range is for two examples: Ex 1: 50 and Ex 2: 250 Forklifts
Capital Spend (if any) NA $2.3 M - $8.5 M
Cumulative 10 Yr Savings $1 M – $7 M $1.2 M - $8 M
Value of Implementing a Fuel Cell Fleet
• A new 1 M sqft Distribution Center: cost between $55 - $75 Million
• Increases in operational capacity / efficiency • 5% - 15% or more improvement
• Additional revenue generating space
Distribution Center Budget
Operator Labor: 77%
Vehicle Cost: 11%
Maintenance Labor: 5%
Insurance: 3%
Parts: 3%
Energy: 1%
Business Case Summary:
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Our Foundation is Established and Best in Class
$30 B : Material Handling
$300B + : Light / Medium / Heavy Duty Vehicles
We are building off of our foundation:
• 70% reduction in costs (less than 10 years)
• 200M hours of field experience
• Our current stack technology can serve /
scale and be used in the entire light /
medium and heavy duty market
Our Foundation is Critical Toward Addressing Electrification in the Broader Transportation Industry
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Why EVs
1. Design Simplicity
2. Higher Reliability
3. Lower Total Cost of Ownership
4. Self-Driven Vehicles / Autonomy
5. Climate Change
Transportation 2.0: Electrification Already Underway
FCEVs are ideal for asset-intense logistics applications.
EVs: electric vehicles
IC: internal combustion
Why FCEVs
1. Power Density
2. Asset Utilization
3. Sharing Economy
4. Fast Fueling/Infrastructure
5. Range
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FCEV: Role in Vehicle Electrification
• Power Density: Enabling better vehicle designs in smaller packages
• Asset Utilization: Achieve lowest total ownership costs
• Fast Fueling: 10x Faster
• Infrastructure: Leverageable to larger fleet, multiple benefits
• Range: Excellent compliment to BEV for range
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Leverage Modular Products:
Targeting Multiple Markets
30 kW: Light Duty Trucks,
Small Transit Buses
60 - 100 kW: Trucks,
Full size Hybrid Buses
80 - 100 kW: Small and Midsize Auto
15 - 30 kW: Airport GSE
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Standard Products Based on
In-house MEA Technology
• Purchased American Fuel Cell (AFC)
• Key skills from GM fuel cell program
• Vertically integrated in key component
• Successfully ramped manufacturing
• Largest US based MEA manufacturer by EOY 2019
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Next Market: Fleet Transportation
ProGen-Powered FedEx Delivery Van
• ProGen engine-powered Workhorse Class 5
zero emission EGEN delivery van
• 17,500+ miles on-road by FedEx
delivering packages
• Refuels at Plug Power’s HQ, Latham, NY
• Operates in standard commercial environment
• 160 miles per delivery cycle
• 166% increase over standard battery power
• Safe and sustainable transportation solution
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Plug Power Signs a Major On-Road Electric Vehicle
Deal with StreetScooter and DHL
Plug Power Delivering 100 Hydrogen Fuel Cell
Systems for StreetScooter Vans• Delivery of vehicles to DHL will start in 2020
• Panel vans is based upon Ford Transit
• There is no comparable production vehicle on the
market worldwide
• ProGen engine shipments begin July 2019
Markus Reckling, Head of German operations at DHL Express
• “If everything works as we imagine it would, there could soon be
500 vehicles worldwide.”
• “With the H2 Panel Van, DHL Express will be the first express
service provider to use electric transporters with fuel cells on a large
scale for its last mile logistics.”
• “80 to 90 percent of the express fleet can ultimately only be
covered by vehicles with a box body and hydrogen.”
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Market Opportunities
$0
$50
$100
$150
$200
$250
$300
2019 2022 Medium Term Long Term
Ma
rke
t V
alu
e (
Bill
ion
s)
Material Handling and Airport Equipment Fleet Vehicles and Buses Medium and Heavy Duty Vehicles Light Duty Vehicles
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Financial Targets
Full Year 2019 Guidance
Gross Billings Range $235M to $245M
Adjusted EBITDA Positive for full year 2019
Medium Term Target
Gross Billings Range $450 to $550
Target EBITDA Margin 18-22%
Key Metrics to Track
Margin Expansion in Material Handling
Expansion into On-Road Vehicle Market
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Summary
• Success in first target market – material handling
• Room for substantial growth and margin expansion
• Entry and growth in new adjacent market: fleet transpiration
• Meaningful operating leverage in the financial model
• Optionality in multiple mega-markets
• Team and technology in place to delivery
Plug Power Fuel Cell Engine: Facilitating Vehicle Electrification
Corporate Headquarters
968 Albany Shaker Road, Latham, NY 12110
plugpower.com