Why Plug Power Shares Are Down Premarket Tuesday

Shares of hydrogen fuel-cell energy company Plug Power, Inc. PLUG were slipping in premarket trading.

The Latham, New York-based company reported first-quarter revenue climbed 49% year-over-year to $210.33 million compared to the consensus estimate of $205.14 million. The company reported a loss of $0.35 per share, wider than the year-ago loss of $0.27 per share.

Analysts, on average, had modeled a loss of $0.26 per share for the quarter.

Gross margin was a negative 33% due to higher fixed-cost absorption amid production ramp-up and fuel margin that remained under pressure.

The company also said it is evaluating multiple sources of low-cost and non-dilutive capital, as it continues to build out a global green hydrogen generation network.

“Green hydrogen production, manufacturing scale, electrolyzer sales, fuel cell product growth and progress on other 2023 objectives have positioned Plug to achieve significant revenue and continued margin expansion throughout the year,” the company said.

In premarket trading on Tuesday, Plug Power shares fell 4.20% to $8.90, according to Benzinga Pro data.

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