FCEL - Earnings call transcript Q3 2018

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Operator

Good morning. My name is Casey and I will be your conference operator today. At this time, I would like to welcome everyone to the FuelCell Energy Q3 2018 Earnings Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session. you. Thank Instructions] [Operator President Relations, Vice your may conference. of Gelston, you Investor begin Tom

Tom Gelston

and welcome the morning, morning, quarter you, release third good Thank Casey, The XXXX. and financial for call earnings FuelCell quarter of released well XXXX for to Energy. Energy This as FuelCell as results the presentation earnings third the available at on approximately website. call section of Relations that referenced this during Investor it's this after will hours of earnings company's X the www.fuelcellenergy.com. website conclusion be will company's replay be call are available the A the on

statements the call, would statements, anticipated of regarding call fuel forward-looking the statements the would to the and the with proceeding company's Securities direct financial that it's and today listeners plans. everybody discussion Commission. to including with and other this without the Before and results our cell being U.S. that company's recorded filings expectations technology cautionary forward-looking and the development, read I I to commercialization its regarding like business risk factors limitation, like contain on remind plans Exchange continuing to in statements information and will financing and company's is respect with

and Officer. call the to I'd to like Now, turn Chip? Chip Chief Bottone, over President Executive

Chip Bottone

CMEEC, hosted for the California. a details cell the will Partners. call. other Electric start fourth fuel in in in AEP these College X.X Base Navy At Energy each secured Groton megawatt returned multi-megawatt the I'll the Beach in showcases is thoughtful from Municipal of The totaling for of just of Long solicitation tri-generation more XX.X including several as park the projects Korea service KOSPO agreement of KOSPO DEEP represent & Class or grid, execution Thank X, contract X.X projects business micro high current and Trinity a highlights Power you, Please by new utility Environmental College Highlights. to megawatts comprised billion; our welcome. third Korea Tom. of Connecticut the OnSite Slide New Department execution Island KOSPO; X.X XXXX or Good and Power closure results Korea part AEP Project in on and XX.X that for which technologies Authority awards morning Southern York's turn fuel South grid, Today, capabilities, project June fuel LIPA, of awards on megawatt our Energy; in profile micro-grid, tri-generation and capabilities, at our its Energy to by competitive the I and as is $X.X sale Partners; our the everybody and backlog cell quarter leadership X continued at we Dr.JS in a power ceremony announced expected, projects Relative closed to Long awarded include Hartford of to on of the Trinity Cooperative where a power project. our on officials, cell its KOSPO, serve which share in quarter, was very the first fuel for of U.S. of Toyota CEO, Port Shin. plant plant and in developments we XX-megawatt OnSite sale including among honored thrilled later exciting project of the totaling Company Connecticut megawatts or cell versatile operating FuelCell things, proud with megawatt XX-year Submarine very Protection

clean Trinity AEP a add decision energy it's capacity. XX,XXX to FuelCell through takes OnSite the build over power its and enter transaction in into of Project subsidiary production recognition Energy in utilities solution excited of AEP, this AEP's megawatts relationship are the and pride profile Partners. one the to in electric performance AEP's of We largest U.S. our to with customer-focused

company's quarter, and annual month March are addition at $X.X third $XXX.X record of XX awards Torrington production to and of XX a of yet fuel incrementally in of a from projects facility of our backlog, the billion, of prudently recent reached supports the Connecticut. profitability, are while project the history. production our backlog project next our construction run our assets to Responding Adding that Beginning the at of we into important we'll this XXXX, XXX%. additional total record, have at with cell in future and the at cash rate predictable total facility not awards; we manufacturing in Our our generation megawatts megawatts, the power sustainable increasingly American North from continuing component the increase select highest recurring current sale a portfolio the projects. end increase revenues increase to million backlog in the in announced ramp an delivers

are to Bishop, costs helping Officer, We new by in executed, March. in reviews plants and Mike profitability. our Once process jobs our Chief manufacturing our under-absorption the after I'll XXX of over is hiring skilled mid-XXXX Financial in for to drive expected highly discuss execution already our the eliminate more of now between of employees Mike? manufacturing improvements ramp business the financials.

Mike Bishop

million charge. a by low months volumes for ended for for $XX.X legacy thank generated of the the you, Financial in XXXX. joining loss third low $X of to in XX, related $X.X today. the X, of to service quarter. million the our million the sub-megawatt and Slide termination gross totaled the approximately agreement XXXX in the of service morning, margins turn quarter of million fiscal to loss three the XXXX. Please Good $X.X was XX, gross the July fiscal $X.X you impacted totaled $X.X in production quarter to third fiscal Also XXXX FuelCell third three reported for July million were quarter production the Margin in Chip. titled Energy third the call compared The ended XXXX of for months quarter of total costs compared Overview. XXXX related to of Thank everyone XXXX. compared third to and quarter million quarter million a related impacted primarily fiscal fiscal volume Manufacturing variances service by a of revenues $XX.X

recent project Given of reaching July awards, by to rate XXXX. increase of annualized XX goal level decision backlog its the April announced production run company megawatts its in an rate with the a and of

third XXXX production expect third lead the million, XXXX We third includes loss million, common share a EBITDA a third adjusted our of of to quarter attributable diluted of $X.XX increased Operating for deemed third the Net on fiscal in margins totaled of compared compared quarter common fiscal EBITDA, rate $XX.X earnings fiscal to the measure. Series $XXX,XXX Please to convertible XXXX. of to in dividend is loss per release totaled fiscal $XX.X see of XXXX totaling for million, depreciation Net loss to $XX.X of million quarter comparable quarter improved $X.XX and XXXX diluted the $XX.X fiscal third stockholders which this or the most attributable of XXXX. basic fiscal to the C negative in and the million XXXX. and to GAAP amortization negative reconciliation the stockholders the taxes, adjusted quarter a over interest, fiscal stock. for preferred $XX.X non-GAAP million or time. or company's totaled third before Adjusted for measure to per share basic compared quarter $XX.X quarter for expenses

X.X to previously on backlog the of quarter. the third million projects the quarter asset Subsequent end XXXX, chart Trinity fiscal of megawatt top quarter illustrated backlog of had OnSite by Partners. end $X.X AEP sold of combined classified to a billion at of the the awards company XXXX. been and the of level the the project end the third as backlog which generation $XXX.X sat totaled College of the the right approximately third at fiscal slide, As at side Contracted record

third the project with megawatts, XXXX XX, Project has project expected $XX.X Company with X.X that in these to the in awards primarily XX, assets sold during and awards Trinity of As Authorities received backlog. as be a the megawatt quarter removed million includes result million fiscal $XX.X project will awards AEP million. which backlog fiscal as South XXXX. totaled This recurring equivalents XXXX. sale, as Product July slide months the of project classified technology years. of College Power as XXXX. balance Investment backlog of million, long-term revenue Long totaled Triangle is quarter $XX.X XX.X The million first will an assets RFP was with and million Power approximately July totaled Street cash cash in sales the totaling megawatts. of backlog and totaling with in XXXX Cash, and XX.X backlog backlog this of commercial project totaled Connecticut of advanced and product XXXX. July $XX.X as Korea. the well Generation agreement totaled recognized million, The the $X.X $XX.X over nine generation AEP Biomed significantly backlog shows and project service as cash includes commercial Island totaled Project expected and $XXX.X backlog the the in project and sheet. consisting end agreement $XXX not of XX, operation Groton restricted the KOSPO restricted chart product and services XXXX fourth the term in XXXX. date third of [indiscernible] of backlog the both year, Southern of of equivalents. was operation from equivalents, $XX.X up include services cash the service this company's X.X and addition fiscal the of totaled the totals recently as in the million right cash the the recognized be million August included fall services in of backlog project, the quarter, asset totaled cash billion, which revenue megawatt this X.X at Sub-base of signed on bottom Korea unrestricted or XX At The megawatt dates project the as $X.X

the of be XXXX. As Trinity sales in removed a of from sale project recognized will of cost the College and as assets result was project fourth of project asset, long-term the this quarter

activity. discuss Finally, I recent would like to financing

closed project X.X the employ and located sale AEP to our that security, announced at OnSite raised strategies. positive Last Also issuance company. is last of company's certain variety cash operations. proceeds the All company from can in flow this build the flow cash long-term scale, and we believe achieve support on benefit portfolio of growth sales and To the the assets expects it's positive convertible net stock preferred a support strategy D Partners. the consistent for the the of of convertible Series to million our project new profitability project profiles. financing reliance retain megawatt week reduce College order new we sale to of the company week we $XX their portfolio, of to Trinity of on to At approximately

looking forward and our return are opportunities relationship from capital a We long-term out for the to transaction business have evaluate to arise. AEP. demonstrates we option to This we sell the that time such as they with of to building strategically to time continue will projects portfolio

raising portfolio. focuses our project of for continues One company's the financing to be

construction financing in debt interest diverse assets seen acquiring tax have providing We outright. for both and equity term

to portfolio. expect our in in assets the provide financing updates on We progress months currently for coming on project the being executed

Now, call like broader the to back Chip? turn who I provide business update. Chip will would to a

Chip Bottone

you, projects projects X, Authority Long execution, well York's XX.X Slide are totaling Starting progressing all and the of New Thank Please Power to in with for Business currently turn Mike. megawatts Island on Execution. three schedule. our

these project the the schedule. in be projects, be we on accordance of with execution quarter currently year XXXX stage in We we of and in this anticipate fourth will executed in the and to expect construction are the PPAs permitting

in Operator of secure operating the power electrical power with Construction will megawatts Our our megawatt and municipal in power micro-grid, in on be than innovative are U.S. with In figures we under PPA SureSource XX%. project outage. XXXX plant of X.X with two our Navy supply plants CMEEC, a cooperative, is located of power ensuring operating electric begin XX, cell the power plants underway spring X.X celebrated the project the the will energy U.S. Connecticut. producing more Submarine for plant of resiliency Navy Base use the On fuel the Navy each. the event to CMEEC of scheduled ultra-clean efficiency the high in XXXX. cell of July will and fuel regional U.S. electrical groundbreaking Groton, efficiency

these in fuel a June, their will or power As project megawatt agreement. projects respected Hartford, projects cell X in & Derby, with normal of Connecticut; and in competitive under Energy Class Environmental RFP energy include Energy communities, megawatt Connecticut to benefits in located Connecticut Connecticut. Protection a one credits awarded utilities the Clean us announced project located XX.X XX-year Department power Welcome X.X the resiliency for DEEP by megawatts. provide one totaling The purchase clean XX.X base-load under projects

team development generation agreements posted regulatory with contribute These and to finalize project process backlog our connection two will the Our obtain a the is local PPAs which megawatts the utilities to support finalizing than ramp projects and now and our sighting add engineering. more to production site to our required working our on XX profitability. approvals

Our is XXXX. ExxonMobil. emissions. team carbon project Energy, agreement in technology, companies is to and carbon high ExxonMobil the excellent project by first the about continues electricity is by to Department anticipated be our with partially be ability progress carbon innovative enthusiastic our profile improving plant simultaneously and This unique development clean installations capture generate making capturing capabilities Alabama. to joint operational while capture of Southern This facilitated of located research on at funded the

$X Next, has in key FuelCell Toyota platform, hydrogen. step power, heat for schedule in in carbon biogas designed major forward the plant is and with of by summary. California. California increased step simultaneously goals. backlog completed. to and The application authority built in end Toyota waste in for projects Please history. port of revenue be the over secured moving and company's in innovative hydrogen of directed unique our megawatts in groundbreaking agricultural multi-megawatt generate The the also produce to our a the fuel nearly our carbon team is financed a near our will renewable approved from third our while core turn it's nearly fuel environmental X, company backlog providing executing cell and permitting around September increase on supports billion, fueled advancing after Long a is by forward This will technology million Beach and in technology Energy's XXX% economy our $XXX a awards Slide cell for project future. The annual to represents the in is highest being currently record XXX% certain XX that the and production, project tri-generation quarter in

diverse As path Mike projects financing we mentioned, see and our our on relationships globally. building a for and customer project of quality clear on the based successful

business us global clean posture, towards execution successful and and execute combined with substantial our awards backlog to plan strong momentum XXXX. record Our financial trends project into positive market energy fiscal give on

to execution margins supports portfolio enhanced happy our to at be Operator, EBITDA power strategy take Continued construction results. finance we'll on to towards including our our growing new contributing generation profitability and and this sell-on questions time. and progress select assets positive is

Operator

Oppenheimer. comes with And your Instructions] line Colin question the first Rusch from [Operator of

Colin Rusch

into that bookings? sales end bookings Can your on into backlog? then is you are talk pipeline a your awards of leads about drops rate you any into moving the project from cadence from bit your forward the seeing awards, little of and those actual what awards sort the And of

Chip Bottone

then shows the project between we've way it's an sign the get From works as then award the think you once sign award I time agreement; goes in booking and a and talked purchase actually is, up explained. it category power you about, a so you I agreement, a the perspective purchase number award, power an cadence into it which the

will quarter, end the the Connecticut, when -- the by you always process year And through shortly. those as here, and process done expect fourth the ones different said but we -- LIPA it's that to normal in have there I way, So is then happen the time, that's well. those every same here in thing, of get the and a on why sign there’s -- subsequently, to that go projects

diverse that's probably being but which the we So thoughtful say I of cadence, project varies ever the plan diverse activity to it's things And to business; on we to that -- say the high the we would projects it's basically production annual that our kind just it's and you cadence Relative like that. it's after pretty would bookings as that months ourselves. award for we as here, we're to lay do as try been, pipeline quarter, on have ever is get normal that quarter it's close six far it numbers out as I And or sign that been. so as of new obviously PPA. support you

Colin Rusch

stage Just that? so sales being pretty the you not seeing guys clear moving turn project are clear, the next pacing and into into on about you're at any the your backlog, judicious Just, that. point, this of I’m of awards steady so not is I'm pipeline and

Chip Bottone

-- don't one. of number is build there’s I when we it always – contract, we is parts two, finalized, our Colin, getting one we get them. always mean, that; up a Again experience two Number ends

portion in So of of and always time, this, things execution done. that, do interconnection like the which our even is ahead get we again, so they homework

Colin Rusch

dramatically, financing? of certainly, economic things the be these projects integrate the some trends And then tax [ph] the little you in to to, to towards quickly and these to guys these you transactions of we've you lot start process other sources any seen to in diversity finalizing talking of number of to some a folks you're the additional financing some year, talk about capital able certainly on that moving how as going are equity, being money close Can bit for in that able change projects, will these pretty some available are how projects. terms forward? last of a pool the is chasing of And move of

Mike Bishop

project the announced as quarter sale to in that's I of in banks, we projects. equity quarter potential financing, of you a buyer tax of so remarks, the are in We've example prepared from an my AEP, from utilities, had seeing a interest specialty fourth interest -- College obviously obviously to Trinity from said this project As the diverse mentioned. lenders,

attracting depth Given lot of the it's of portfolio, interest. and size a our

be next in judicious couple months. about we I financing place, on how expect the said, will in that We traction announce to we a put plan again, but portfolio as here

Operator

next Your Jeff Osborne question Cowen comes with from & Company.

Jeff Osborne

up just the better of completed. presentations, of showed XXXX in as projects that line and to some one then some look a on past be PPAs time graphic you of past would great that those expected as questioning; get had construction than of any Maybe the the in XXXX, Colin's pipeline, ago? guys are months and the out the sense -- that the just graphic of and didn't, moving want it when we or and projects I of three to a you faster had slower following

Mike Bishop

have and I my our to I this of talk as remarks, some walk list but here. that do we disclosure Yes, on in walk prepared we in I pace of the can but all XX-Q execution, project tried down can

of out the and also in Groton Triangle XXXX, project, are the over online coming that Tulare projects, Connecticut. Trinity XX on this our we that in megawatts XX% come of come In are this project the year quarter The have expect executing we Street of we Bolthouse in we Connecticut awards, that's projects was those XX the online, added XXXX projects with we’re online, the to projects to that's California. efficient sub-base So calendar time. X.X currently to here news megawatts project new come megawatt project, a expect

then Tulare the in Groton you do is projects the megawatt, megawatts, out the have would into laid and the and have LIPA, X.X is be XXXX, those. beyond off-takers dates And So our for XXXX Toyota, then X and and megawatts. that, Connecticut X.X is we that but late project XX-Q Bolthouse

Jeff Osborne

wasn't I I than prior I Yes, all normal of quarter And new OpEx sure helpful. major weren't this Q I issue levels? that. R&D? you there to know or any it the onetime there these run I'm this in put And rate, the as so at the the were there this now, in folks, people make a margin ramp-up wanted is want we was delays make hire a sure any that had but call. but you I service gross any just quarter? to are in March hadn't the then, issues that modeling, as bit OpEx OpEx hiring just higher or then onetime either seeing your that's through to terms items through more appreciate SG&A

Mike Bishop

SG&A little No, on is bit more A development commercial we be like quarter to radical changes continue is the activities but in we engineers get are expect product we OpEx should for There into of as than is that inflation we R&D and some we year. as see to of focused and grow. we to that leverage where things don't of bit this in our grow range rather activities growth we're any out in next a be future. going always little that think the but

Jeff Osborne

you if that wondering could way about think megawatts is there what XX the roughly a was on highlighted I a the just quantify from exactly you or Mike, under-absorptions move as to quarterly… megawatts; negative you overhang just XX is to

Mike Bishop

-- I right drag cost have my in $X up. of very away back you that and the in but remarks XX that that what should quarter. release. and product our the get it's we It's is you in lines away million it you all see as Yes, go apparent on over megawatts, all, When sales this was -- will up should that tried to in we go now and it's it ramp overhead highlight

Jeff Osborne

flexibility the reflect with coincidentally on well you you recent be at timing can for quarters financing; now was would as for capital flexibility And on the funding the terms that the it's just just the equity project has needed one equity the these used highlighted and as that in sales company from several had, tax specifically to last capital construction projects that raise just given had of debt what in you've -- for Trinity? the I

Mike Bishop

Sure.

for on closed So as recently we million mentioned, convertible in you brought the preferred company. a $XX capital raise,

make had the strong range sheet in portion then execute where from of sat expect on project be production plus term and are funded would wanted we the here As just ramp get we've balance working phase in we we we capital, said as a but financing expect they construction past, construction to projects the financing both as we we get today, to forward. sure in go into XX% as you portfolio and to do the

Operator

Your Carter question Driscoll from comes B. Instructions] next FBR. with Riley [Operator

Carter Driscoll

guess I my lower that a nature? more financing, sheet? question, you us makes or lower that that sell and a significantly balance decision-making just on can decision? Thank mean you. Is pure first of the with all help a that maybe recycling, been project to had would factors [ph] priorities keeping balance you ROI it a at at to sense that I contemplating sheet maybe on is or purchased process capital of the related determine to of cash a project or keeping sale cost it and things some it; versus sense get trying into --

Mike Bishop

that of and OnSite does We obviously of quality financing typically you project and a when on [ph], economics. any had with the typically liked of service process attract nice sell we a and -- terms closing of good selling feel debt the monetize the is but do we best like the have cash a projects when it terms, the customer gate struck company, we both long-term project you're balance the the relationship made developed sale project transaction. this seeking all syndication partner is that are decision quarter. and played flows this or and to financed to this out really in the for projects, AEP the customer product for project and able down the outright they process, operating upon at didn't a both sheet, Partners, COD our the can come case This sell get the the the right agreement profile of tax into ran benefits to in as full for Certainly, benefit for obviously

opportunities So in look happy future. additional the with to with transaction, and forward the we to are partner them AEP happy with really

Carter Driscoll

that would is does a do what like to that's factor part into does to wish a to you're with in development? And said, determining if sale? build the the desire relationship -- Is you longer that mean, of it factor they project hoping term that a your selling with long-term relationship AEP;

Chip Bottone

mean relationship, And timing, it, I relationships players, yes, as said, is that's kind sure. pretty part if Exxon deep is have I mean big at we with look some here, a you Dominion AEP. strategy some we Mike -- kind one Yes, or whether of it's one pretty terms. of have of or our

spaces that look yes, these of So it it. adjacent other cases a think when customers to I frankly, projects, you huge benefit serve we things know, customers some Because we -- a to some strategy they at we overall has an in well in as as these project, on or have that don't have.

reputation so a of so as they for sure, and on projects developing forth. strategic our helps good at overall that so this look So investment, and

to lot -- go a a for anything developing it to do it other that timing going is opportunity we're bigger we're these us, there if that but makes going into not are projects do it Mike that fact think things of is it I a to of into and clearly capital recycled alluding and was lot which in were under such we sense CMEEC the currently And others construction. only factors. as

Carter Driscoll

and signed think, the the you the future understand as typical maybe what again typically You -- O&M for about KOSPO, service O&M project perspective relationship of just projects? could sale happen, parameter the sell you a a there talk maybe impact. sale, size is just if maybe agreement And maybe project estimate forecasting underappreciated if talk from economic then does the threshold investor maybe given community with we agreement expect a -- about agreement, choose on that typically I focus component to to

Chip Bottone

Yes, far say far. won so absolutely correct. underestimation award to that you is the so underappreciated the Carter, statement was the for of

Let add some me to that. color

came slide well about do operating not contract that company was who project with project $XXX Korea, power I KOSPO, customer it's including on you plant the And deck And largest in designed, spent agreement the our has the we was the the beautiful million, who the leadership entire there. X.X we're picture. at one talking to from if just that look only that a how going I of built, CEO the how was back hours same how in well in project the and gigawatts in XX-year utilities a for So nation, of at KOSPO. and over managed, X side. that is constructed itself it was plant;

were make we a did a in that terms, were the money way as that's to well. also helpful and also not we much at think big credibility the we trying without of too of in company that So it's that projects did which it, into the direction detail, it the trying at all And which extremely some pace we future whole our process, I deal; we I the for market and are -- there the numerous. we'll to right right from was lead getting Korean, way, think country did

this it's is very did but that the so us, [indiscernible]. we you came from from do it -- always over and never projects philosophy absolutely very, in but more of has from the for good and good get you was but nobody them been marketplace way that $XXX and market impactful projects know, million that's credibility get -- money, that; that ever been recognized the a signals don't that's impact big companies philosophy is bad that, our then like our So better, get true

asking for you the thank So, question.

Carter Driscoll

to sign? XX reasonable is, O&M relationship relationship size to part future -- lead of scale just similar the could project trying I'm potentially size X; does O&M second we a relative like agreement the the of projects? in there or between agreement X.X and the And project a hope think the or the the megawatt to is into just hold

Chip Bottone

does. the typically than things Carter, it But contract, XX-year be is equal agreement plan and so I here. the Yes, not Everybody's of contract than pricing in the careful that. and the equal not greater is want the value if sure, that for greater if to service if build be a might it's I of different mean,

that's because business that's you have service right into if to not lock want not you agreement a the why yourselves a project, that's -- good projects the bad So proposition. then do good you

it's -- recurring that just have, -- building the the to big whole nice so we're focused revenue project, a pretty you thing. is right; deal, not so So on but absolutely don't

Carter Driscoll

talked we about talking for fiscal? XXXX Couple you're LIPA; not of calendar about clarifications; PPAs

Chip Bottone

please? Sorry you Carter, repeat could that

Carter Driscoll

anticipating of projects, You're PPAs was 'XX, for the life fiscal calendar that not XQ? XQ

Chip Bottone

think yes, the would yes. our Yes, comment say -- I on my here whether Mike is I in did in this fiscal plan, -- my was but fall year comments I

Carter Driscoll

was project was And made due decision to that… project, then quarter; think And is last carry New was you I you from quarter, to that the this same impairment correct? the service the the charge over the related it took, that based York

Chip Bottone

I but -- a others lot Yes, And goes to didn't that -- a had did frankly, clients, project legacy lot really early they when did probably sense but make the of -- for it reviewed we for I we -- it's projects. a day nor economic a us, of as we forget back demonstration a back and got years. projects going back the in small project, XX project, place was days in those

that we if if deal So just to didn't longer item, so that that will with the was project that and come we a goes dealt for prior it got it's you I you good service see an to up news done no will going but service and -- remember our sense; a non-recurring did that amicable we've legacy had loss back the we secondly, it really is our QX the done so it so off and in it, another amicable it any of And of cleaned that's forward. line was was again, we that and with would balance sheet, termination have I margin think amicably. we thing don't we on exactly; years which one to made

Carter Driscoll

-- look the you potentially types a anticipate we Do more legacy lot projects of forward? of as

Chip Bottone

at we're No, the of end that.

Carter Driscoll

progress other first the the is half it's end that if construction done both or that's concurrently, both hopefully 'XX, sometime there one update So is year timeframe? the more Any completed sides, the the for by on Exxon prioritizing? and and granular in been you the other, can coal there give maybe gas as COD

Chip Bottone

have we'll it to first, and in build -- then itself off to -- we project convert plan. willing just is time gas we starting the have it, gas, it's was Then always convert coal that the it certain same So we're certain do testing to [ph]. then location, that to to do

as that far then others for the in as and the of policy plant. the scale and is try is in enthusiasm behind project 'XX schedule, operation from of fossil example from towards a than certainly frankly a obviously we interest been, the But think of execution as that policy COX off. well. that's is up as which this construction the is it's that commercial this and end As it as on then the Exxon And to I to figured our stronger depending clean ever the mentioned it, increasing and and fuels I 'XX construction interest in obviously far 'XX NOX that emissions said into it, issue perfect folks do to on

Carter Driscoll

for Maybe lot update energy investments? of towards obviously percolate to [ph] least a solid opportunities your sense get and pairing, going an work energy oxide solar involvement to storage at been commercial your when of begin a storage to storage, -- maybe using

Chip Bottone

have say here One, is kind probably solid future we'll there oxide we installed. about have there. Yes, generation in more be things a installation that shortly power to will three talking calls of about but we

people oxide Department we're directly and talking the several to seeing good. areas, awards million cell through putting probably Energy hydrogen, is medium storage back of you're hydrogen so portions power, power from $XX there, hydrogen and probably the fuel the again gotten part. And grade take the storage proposals the solid using create close Second, to to we've different that's awards for of for of then, particularly run other basically all in

of that's an short-term they not education were imagine thought storage, that were It's storage. but process the for what need people, to they be there and storage honest all little because a a seeing levels duration a that's for you asking because say lot they lot need. when they a necessarily for of as can that's for asking interest get people of longer primarily would utility companies I are different can progressing Carter, So bit

future kind using give which your solid well. with network for can perhaps helps in we've I'm as our door your the actively we come that, to deploying are need say and of have strategy, oxide but pleased or anything as I well, part you would announce we pursuing in of So don't renewables whatever, increasing you storage opportunities said what so I

Carter Driscoll

in or typically sizes, you so the over a lucrative recently the to project Korea, at to adding size -- the -- there least potentially Korea talking your about you done were what maybe since outlook relative of of it's be most most since basically recently? the process Lastly, engagement seems you terms KOSPO did with another U.S., for similar near-term project in what in

Chip Bottone

you sort I things have we for lot but went mean, been. of so financing, powering need apply forth. reasons you have need here, as thoughtful there the we a is need and on last right, I for same proper -- multiple have be racks, things do to week you and of these activity off-takers there so to you when to And

lot over like in point at So -- KOSPO from to hydrogen, different generation about and there, everything for talking things of built power we're a capture. carbon some we even on perhaps active

everything we offer these is got correctly long-term folks. but projects important of the marketplace. most you've doing to is important So that interest relationship Speed with because is

you market that's be So to trying XX whatever; detail XX you an the government. good XX that financing again and and by I pretty sure size, doing think XX you're and the megawatts, that got to we're the actively I so on projects, megawatts, the can objective larger make on the that good, that say on But tend hit to in RPS right now. the paper demos forth, it's is that's megawatts, dictated a and megawatts, because get market would everybody and projects but these so is on and things

Operator

this And remarks. further turn for Bottone to will closing there Chip no the at questions are time. call back over I

Chip Bottone

Thank for joining you today. everybody

questions, ventured you the to I thank had think for so broad we them. range of ask that a people

as remarks, the but responses the well lot shortcuts is really us I in business moving we're in forward comments the think tell you -- along right with the value the not of -- can kind the a prepared we're as you necessarily see it locational the taking for going said to we moving people; you with bode good good and is projects, I things value, these that getting, and the way well from that we questions of to going model can don't with in that any projects relationship future. to do we're have see

execution have in clearly us of we're in substantial. what we of So, which pretty is mode front

have I commitments us active and in very the financing, to at really in are get are done front we have of looking stage a of us. we and Mike now at said project those that to with our We pipeline -- my balance team that. in they on as the good closure remarks feel great trying out and about things with his and job

full we on in for moving here look year. guess you as later we the the in forward all, all updating forward said and to year we're So I

have thank and great everybody you So day. for joining a today

Operator

concludes call. And conference ladies and this gentlemen, today's

now disconnect. You may

FuelCell Energy (FCEL) 6 Sep 182018 Q3 Earnings call transcript