Plug Power, Inc.

and 22 earnings call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Please note that this conference is being recorded. I will now turn the conference over to our host, Teal Hoyos, Senior Director of Marketing and Communication. Thank you. You may begin.

Thank you. Welcome to the 2022 fourth quarter and near-end earnings call. This call will include forward-looking statements. These forward-looking statements contain projections of our future results of operations or of our financial position or other forward-looking information. We intend these forward-looking statements to be covered by the Safe Harbor provision for forward-looking statements contained in Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934. We believe that it is important to communicate our future expectations to investors. However, investors are cautioned not to unduly rely on forward-looking statements, and such should not be read or understood as a guarantee of future performance or results. Such statements are based upon the current expectations, estimates, forecasts, and projections as well as the current beliefs and assumptions of management and are subject to significant risks and uncertainties that could cause actual results or performance to differ materially from those discussed as a result of various factors, including but not limited to the risks and uncertainties discussed under item 1A risk factor in the annual report on Form 10-K for the fiscal year ending December 31, 2021. subsequent quarterly reports on Form 10Q, and other reports we file from time to time with the Securities and Exchange Commission. These forward-looking statements speak only as of the day in which the statements are made, and we do not undertake or intend to update any forward-looking statements after this call or as a result of new information. At this point, I would like to turn the call over to PLUG's CEO, Andy Marsh.

Thank you, Teal. and all those who have joined us on the call today. Our shareholder letter was made public 30 minutes ago, and as previously discussed in January, our performance did not meet our expectations. We attribute this primarily to three factors, obstacles while encountered while introducing new products, delays in constructing our hydrogen plant, and macroeconomic conditions that affected the cost of natural gas resulting in a significant increase in the cost of our hydrogen. Despite the difficulties we faced this past year, I firmly believe that our efforts in 2022 will serve as the foundation for PLUG's success over the next five years. Allow me to take just a few minutes to explain how all the pieces fit together. PLUG is actively pursuing every aspect of the hydrogen economy. including expanding the hydrogen ecosystem and establishing top-tier manufacturing and supply chain capabilities. One of our major advantages is a distinguished list of customers, including Amazon, Walmart, New Fortress Energy, and great partners like SK and Renault. Moreover, our growth plans are supported by a policy environment that promotes renewables, such as the USA's IRA legislation and Repower Europe. We anticipate that our broad efforts across the hydrogen ecosystem will become apparent this year. Our hydrogen generation facilities, for instance, will play a crucial role in this effort. Our first green hydrogen plant in Georgia is set to begin hydrogen production early this year. However, this is just the start of our plan. to expand our production of 500 tons per day across the United States by 2025. We're also building green plants in Europe, including projects in the port of Antwerp, Bruges, and in collaboration with our partner Exxon in Spain. Our plants will utilize plug electrolyzers and cryogenic equipment to produce and deliver liquid hydrogen via plug trailers. Part of our aggressive strategy, we also will provide products such as our electrolyzer platforms, stationary products for EV charging and peaker plants. We're also developing on-road vehicles through our JV partner, Renault. All of these products will be marketed and sold by our JV partner, SK. We believe that our manufacturing supply chain capabilities are crucial differentiators in our industry. The state-of-the-art facilities we have in Rochester and Albany are unrivaled in the sector. Additionally, we have formed valuable partnerships with partners such as Johnson Matthey, which grants us access to invaluable product development and manufacturing expertise, as well as essential elements that are crucial to scaling the industry. At Plug, we place a high priority on the advantage of large-scale manufacturing, which we believe will accelerate our business growth and drive profitability. While some may doubt our capacity to achieve all these tasks simultaneously, we have confidence that our 4,000 global employees and partnerships can make it possible. Moreover, the favorable business environment for sustainable solutions will benefit all PLUG stakeholders. By the end of 2023, we aim to generate $1.4 billion in revenue, commission more than 200 tons of liquid green hydrogen plant, and become the largest global player, exceed $400 million in electrolyzer sales, deploy 30 megawatts of stationary power products, which will serve as a substantial source of recurring revenue for plug, and finally, clearly demonstrate the pass the profitability to all our investors. I do want to ensure complete transparency by acknowledging the potential challenges that may arise during our business activities throughout the year. Scaling new product platforms and building first-of-a-kind hydrogen plants involves taking into account design and manufacturing learnings, especially for complex products like our electrolyzers and stationary products. Based on my experience, design issues that were not initially considered often arise within the first six months, and supply chain and manufacturing challenges tend to emerge during the first year. As someone who's been involved in introducing new platforms for many years, I can confidently say that it's unrealistic to expect flawless product launches. However, we believe that our plans are achievable and have built in some buffer in our projections for 2023. Finally, I believe at the end of 2023, no one will question Plug's ability to scale the hydrogen economy. By 2026, we expect to generate $5 billion in revenue and $20 billion by 2030. We are committed to achieving our vision of being the leader in the hydrogen economy and will continue to build and dream accordingly. Paul, Sanjay, and I are now open to take your questions.