Hydrogen fuel company Plug Power (PLUG -9.25%) announced revenue grew 11% in the first quarter, but investors are punishing the stock today anyway. Losses continued to mount for the company, even as demand for its hydrogen electrolyzers grew.

That led investors to knock Plug shares down by 9.3% as of 1:07 p.m. ET. Investors were also not impressed by the company's guidance for second-quarter revenue, which would represent a decline from the year-ago period at the low end of its range.

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Hydrogen fuel momentum has dwindled

The increase in sales mainly came from rising demand for fuel cell units used in material handling. Plug has raised billions of dollars to build out hydrogen production infrastructure, though, and fuel cells for forklifts and other material handling equipment won't be enough to provide a sufficient return.

The company announced a loan facility for up to another $525 million just last week. Plug said it would use the additional financial flexibility to help it grow its green hydrogen network. It has made progress in expanding that network in the last few years, but that hasn't helped Plug stock, as shares have continued to fall this year.

This quarterly report didn't help, as Plug's adjusted loss of $0.21 per share missed estimates by a penny. Andy Marsh, CEO of Plug Power, tried to placate investors, stating, "We're delivering real progress toward profitability and scaling our hydrogen ecosystem to meet growing global demand for clean energy."

The current presidential administration is a headwind for the adoption of clean energy in the United States, though. That's likely why Plug's guidance for second-quarter revenue doesn't imply strong growth. Until that growth materializes, Plug stock may be stagnant or continue to drop further.