Emily Dattilo

Shares of Plug Power were falling after the hydrogen-technology provider announced plans to shorten its path to profitability.

Plug stock tumbled 7% to $1.40 in premarket trading Tuesday.

For its fourth quarter, Plug reported revenue of $191.5 million and a gross margin loss of 122%, while operating cash flow rose 46% from a year ago. The company also recorded $971.3 million in noncash charges for varied asset impairments and bad debt provision in operating expenses.

For 2024, Plug's net loss widened to $2.1 billion from $1.4 billion in 2023, according to a form the company filed with the Securities and Exchange Commission.

"While we made great strides in improving cash flows in 2024, it is clear based on market dynamics that we have to make additional strides," CEO Andy Marsh said in the press release.

Plug detailed "Project Quantum Leap" -- a collection of optimization efforts meant to reduce annual expenses by $150 million to $200 million -- which is anticipated to include further reductions in workforce and limiting capital spending.

"Taking these actions will further improve margins and cash flows, and accelerate the path to profitability," the company said.

Write to Emily Dattilo at emily.dattilo@dowjones.com

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March 04, 2025 08:11 ET (13:11 GMT)

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