Plug Power, a U.S.-based hydrogen fuel cell company, said its net loss widened to $206.6 million for the first quarter (Q1) of the financial year 2023, compared to $156.5 million as the margins were squeezed by a higher hydrogen molecule costs caused by elevated natural gas prices and supply chain disruptions.

Additionally, the company’s fixed costs rose during the quarter due to the ongoing production ramp at their new manufacturing facilities.

The company’s revenue came in at $210.3 million, a YoY increase of 49%. The sale of equipment and related infrastructure accounted for the largest chunk of the revenue at ₹182.1 million.

Plug Power delivered a higher capacity of electrolyzers at 62 MW in the first quarter compared with the previous full year and added 14 material handling sites.

The company’s operating expenses accounted for $140.4 million, an increase of 35% YoY.

Plug Power’s Georgia plant is on track to complete commissioning and ramp up liquid hydrogen production throughout Q2, having achieved a construction timeline that sets a new industry standard.

The company will build similar plants in Texas and New York while optimizing its project execution strategy in Louisiana. It said the demand for its containerized electrolyzer systems and large-scale stationary power offerings was growing.

Plug Power said it is scaling up production facilities, with its Vista fuel cell manufacturing facility now producing all GenDrive units for material handling.

The company said it is exploring various options for obtaining low-cost and non-dilutive capital, including completing ongoing projects with the Department of Energy’s loan program office and assessing asset-backed loan facilities from banks.

The company recorded a revenue of $220.7 million in Q4, a year-on-year (YoY) increase of 36% compared to $162 million during the corresponding period in 2021.

Plug recorded a net loss of $170.76 million in the third quarter of 2022, a YoY increase of 60% from $106.67 million.