Ballard Power Systems Inc. (BLDP): Business Model Canvas [Dec-2025 Updated]

You're looking at Ballard Power Systems Inc. right now, and the story isn't just about fuel cells anymore; it's about a serious, late-2025 pivot to disciplined execution aimed squarely at hitting positive cash flow by 2027. Honestly, after two decades watching tech scale, this focus is what matters: they are targeting an annualized operating cost reduction of about 30% while leaning on $525.7 million in cash to bridge the gap. This is about execution, not just innovation. Below, we break down the Business Model Canvas to show exactly how their key partnerships-like those with Solaris Bus & Coach and NFI Group-and aggressive R&D cost-downs are supposed to turn that backlog of $132.8 million into reliable profit.

Ballard Power Systems Inc. (BLDP) - Canvas Business Model: Key Partnerships

You're looking at the core relationships that are turning Ballard Power Systems Inc.'s technology into tangible revenue streams, moving beyond pilot projects into what looks like commercial scale, especially in rail and marine. Here's the breakdown of the key alliances as of late 2025, grounded in the latest contract figures.

Major Volume and Power Agreements

The partnerships in the bus, rail, and marine sectors are underpinned by significant, multi-year supply agreements that lock in future module demand. This is where you see the shift from R&D spending to booked revenue potential.

Partner	Agreement Type/Focus	Volume/Power Metric	Delivery/Term Window
Solaris Bus & Coach	Long-Term Supply Agreement (LTSA) for European bus market	1,000 hydrogen fuel cell engines total	Through 2027
NFI Group Inc.	LTSA for North American bus deployments (Buy America compliant)	Initial order of 100 modules; Second order of 200 modules (approx. 20 MW total)	First order planned for 2024; Second order planned for 2025
Canadian Pacific Kansas City (CPKC)	Follow-on LTSA for North American rail	98 fuel cell engines, totaling approximately 20 MW of power (200 kW each)	Deliveries expected in 2025
eCap Marine/Samskip	Secured marine fuel cell order	6.4 MW of fuel cell engines (32 FCwave-200 kW engines)	Delivery planned for 2025 and 2026

Solaris Bus & Coach: European Transit Backbone

The relationship with Solaris Bus & Coach represents the largest single commitment in Ballard Power Systems Inc.'s history as of early 2024. This LTSA is a consolidation and extension of prior business. The total commitment is for 1,000 hydrogen fuel cell engines through 2027.

This figure breaks down into:

• Approximately 300 fuel cell engines from existing consolidated orders.
• An incremental commitment for approximately 700 fuel cell engines plus related after-market services.

The engine mix is specified to address different bus sizes:

• Approximately 80% are FCmove®-HD 70 kW engines.
• Approximately 20% are FCmove®-HD+ 100 kW engines.

To be fair, Solaris had already delivered nearly 200 hydrogen-powered buses, with over 500 units in their order book as of early 2024.

Canadian Pacific Kansas City (CPKC): Decarbonizing Freight Rail

The follow-on order from CPKC under a new LTSA is substantial for the rail sector. It includes an initial supply of 98 fuel cell engines, which equates to approximately 20 MW of total fuel cell power, with each engine having a nameplate of 200 kW. Deliveries for this 20 MW order are expected in 2025. This builds on a prior relationship that saw the delivery of approximately 10 MW of fuel cell engines. CPKC currently has three hydrogen locomotives in operation.

NFI Group Inc.: Scaling North American Bus Deployments

The LTSA with NFI Group Inc. is focused on deployment-level volumes for New Flyer's Xcelsior CHARGE FC™ buses, with modules produced at Ballard Power Systems Inc.'s Bend, Oregon facility to ensure Buy America compliance.

The initial activity under this agreement included:

• A first purchase order for a minimum of 100 FCmove®-HD+ modules, planned for delivery in 2024.
• A second purchase order for 200 fuel cell engines, representing a total of approximately 20 MW of power, planned for delivery in 2025.

eCap Marine/Samskip: Landmark Marine Order

Ballard Power Systems Inc. secured a purchase order for 6.4 MW of fuel cell engines for deployment on two vessels by Samskip, working with eCap Marine GmbH. This order consists of 32 FCwave-200 kW engines. Delivery of these engines is planned across 2025 and 2026. Each of the two 135-meter vessels will be powered by a hydrogen fuel cell output of 3.2 MW.

Adani Group: Exploring the Indian Market

Ballard Power Systems Inc. signed a non-binding Memorandum of Understanding (MoU) with the Adani Group in February 2022 to evaluate a joint investment case for commercializing fuel cells in India, including potential collaboration for fuel cell manufacturing there. The Adani Group, as of that announcement, had committed to investing US$70 billion in solar, wind, and hydrogen value chains over the next decade.

The efforts under this MoU are anchored by Adani New Industries Limited (ANIL).

Finance: draft 13-week cash view by Friday.

Ballard Power Systems Inc. (BLDP) - Canvas Business Model: Key Activities

You're looking at the core actions Ballard Power Systems Inc. is taking right now to shift from building a future market to serving the one that's actually here. It's a pivot focused heavily on financial discipline and monetizing existing technology, so let's break down the key activities driving that change as of late 2025.

Strategic Realignment to Reduce Annualized Operating Costs

Ballard Power Systems Inc. initiated a major strategic realignment in July 2025, following a corporate restructuring in September 2024, to better align investment pacing with delayed market adoption. The core objective is to achieve positive cash flow by the end of 2027. This involves a plan to reduce total annualized operating costs by approximately 30% relative to the first half of 2025, with a substantial part of that savings expected to be realized in 2026. The company's 2025 outlook for Total Operating Expenses was set in the range of $100 million to $120 million. The results of these cost-cutting measures are already showing up in the financials; for the third quarter ended September 30, 2025, Total Operating Expenses were $34.9 million, a 36% drop year-over-year. Cash Operating Costs saw a 40% reduction in Q3 2025 due to these restructuring actions.

Research and Development (R&D) for Next-Generation, Lower-Cost Fuel Cell Products

While the focus has sharpened on near-term commercial opportunities, Research and Development (R&D) remains a key activity, though rationalized. The 2025 restructuring involved a rationalization of product development programs. Ballard plans to prioritize product development efforts specifically on initiatives to reduce system costs and accelerate the readiness of next-generation stacks. The company is exercising disciplined capital management; the Capital Expenditure forecast for 2025 was revised downward to a range of $8 million to $12 million, significantly lower than the previous estimate of $15 million to $25 million. This signals a more targeted approach to investment, ensuring capital supports the most immediate path to margin improvement.

Manufacturing and Delivery of PEM Fuel Cell Engines

Ballard Power Systems Inc. is actively manufacturing and delivering its Proton Exchange Membrane (PEM) fuel cell engines, primarily targeting heavy-duty mobility applications like buses, commercial trucks, trains, and marine vessels. The delivery activity is clearly translating to revenue; Q3 2025 revenue reached $32.5 million, marking a 120% increase year-over-year. The Heavy Duty Mobility segment was the main driver, generating $23.4 million in Q3 2025, an 83% jump from the prior year. The installed base continues to grow, with Ballard powering more than 1,800 fuel cell buses globally, which have collectively logged over 200 million miles of service. For context on the scale of prior commitments, the company secured 1,600 bus engine orders across 7 Original Equipment Manufacturers in 2024.

Converting Pilot Projects into Large-Scale Commercial Orders

A critical activity in 2025 is the conversion of successful pilots into larger, commercially validated deployments, particularly in the rail and marine sectors. This shift is evidenced by several landmark orders secured:

• Securing the largest marine order in history, a 6.4 MW order from eCap Marine to power two Samskip container vessels.
• A follow-on order from Canadian Pacific Kansas City (CPKC) for approximately 20 MW of fuel cell engines (~98 engines) for locomotive programs, with deliveries starting in 2025.
• A multi-year agreement with bus manufacturer MCV for approximately 5 MW of fuel cell engines (50 FCmove-HD+ engines total), with initial deliveries scheduled between 2025 and 2026.
• A 1.5 MW order to convert Sierra Northern Railway locomotives.

Product Cost Reduction Initiatives

Improving profitability through internal efficiencies is a dedicated activity, highlighted by initiatives like Project Forge, which targets the cost reduction of key components such as bipolar plates. This focus on cost discipline is directly impacting the bottom line. Gross margin saw a dramatic improvement, reaching 15% in Q3 2025, which represents a 71-point increase year-over-year. This improvement is attributed to lower manufacturing overhead costs resulting from restructuring actions and product cost reduction efforts. Here's a quick look at the financial performance tied to these activities:

Metric	Q3 2025 Value	Year-over-Year Change
Revenue	$32.5 million	Up 120%
Gross Margin	15%	Up 71 points
Total Operating Expenses (Excl. Restructuring)	Implied reduction of 55%	Down 55% YoY
Adjusted EBITDA Loss	($31.2 million)	Narrowed from ($60.1 million) in Q3 2024

The company ended Q3 2025 with $525.7 million in cash and cash equivalents and no bank debt. Finance: draft 13-week cash view by Friday.

Ballard Power Systems Inc. (BLDP) - Canvas Business Model: Key Resources

You're looking at the core assets Ballard Power Systems Inc. needs to execute its strategy right now, late in 2025. These aren't just line items; they're the tangible and intangible things that make their business model work.

Proprietary Proton Exchange Membrane (PEM) fuel cell technology and IP

Ballard Power Systems Inc. relies on its deep, in-house expertise in PEM fuel cell technology, which is protected by a broad patent portfolio, giving the company a modest economic moat. This technology is the foundation for their product line, including the recently launched, ninth-generation FCmove®-SC fuel cell engine, which features integrated DC/DC functionality.

The company's technological foundation is supported by its manufacturing scale and global footprint. Here's a look at the physical and human capital:

Resource Category	Specific Asset/Location	Quantifiable Metric (Late 2025)
Manufacturing Capacity (Canada)	Burnaby, Canada Facilities	Over 1GW of MEAs and fuel cell stacks production capacity
US Manufacturing	Bend, Oregon Site	Manufacturing site for FCmove® products complying with "Buy America" requirements
Global Footprint	Facilities/JVs	Manufacturing facilities in the US and Denmark, plus joint-venture operations in China
Engineering & R&D Talent	Total Experts	Over 1300 dedicated experts
Engineering & R&D Talent	Collective Experience	800+ Years of experience

Strong liquidity with $525.7 million in cash and equivalents (Q3 2025)

Financial stability is a major resource, especially in a capital-intensive sector. Ballard Power Systems Inc. ended the third quarter of 2025 with a solid balance sheet position.

• Cash and cash equivalents as of September 30, 2025: $525.7 million.
• This compares to $635.1 million at the end of Q3 2024.
• The company reported having no bank debt at the end of Q3 2025.
• Cash Used by Operating Activities for Q3 2025 was $22.9 million.

Long-term supply agreements and a total Order Backlog of $132.8 million (Q3 2025)

The current order book represents near-term revenue visibility and customer commitment. The total backlog is a direct measure of secured future work, though it saw some movement in the quarter.

• Total Order Backlog as of September 30, 2025: $132.8 million.
• The 12-month Orderbook stood at $71.6 million at the end of Q3 2025.
• Net order intake for Q3 2025 was $19.1 million.
• Deliveries in Q3 2025 totaled $32.5 million.

Highly specialized engineering and R&D talent

The intellectual capital driving the technology forward is critical. This talent pool is responsible for the product cost reduction efforts that led to a Q3 2025 gross margin of 15%, a 71-point increase year-over-year. The company's focus on disciplined cost management also resulted in a lower 2025 Capital Expenditure outlook range of $8 to $12 million.

Ballard Power Systems Inc. (BLDP) - Canvas Business Model: Value Propositions

You're looking at the core reasons customers choose Ballard Power Systems Inc. fuel cell technology over other zero-emission options, especially in heavy-duty transport. Here's the breakdown based on their late 2025 performance and product roadmap.

Zero-emission power for hard-to-abate heavy-duty transport segments

Ballard Power Systems Inc. is focused on providing zero-emission power where battery-electric solutions face significant challenges, specifically in heavy-duty transport. This focus is validated by their Q3 2025 financial results, showing strong traction in these key areas.

The company's Heavy Duty Mobility segment generated revenue of $23.4 million in Q3 2025, which was an 83% increase year-over-year, driven by bus and rail deliveries to North American and European customers. Overall consolidated revenue for Q3 2025 reached $32.5 million, a 120% surge year-over-year. The rail segment, in particular, saw revenue increase by 509% year-over-year to $7.4 million, while the bus segment revenue rose 39% year-over-year to $15.6 million in the same quarter.

Commercial validation in these hard-to-abate segments includes landmark orders:

• Follow-on order from Canadian Pacific Kansas City (CPKC) for approximately 20 MW of fuel cell engines for locomotives.
• A historic 6.4 MW order to power Samskip's container vessels in the marine sector.
• A 1.5 MW order to convert three diesel switching locomotives in Northern California.

High-power density and reduced parts count with the FCmove®-SC engine

The launch of the FCmove®-SC, Ballard Power Systems Inc.'s ninth-generation fuel cell module unveiled in October 2025, directly addresses integration complexity and performance for city transit buses. This product is engineered to deliver greater sustained power and improved in-service performance.

Key technical enhancements for the FCmove®-SC include:

Feature	Metric/Improvement
Peak Power Capability Target	At least 75 kW
System Power Increase (End-of-Life)	30% increase
Volumetric Power Density Increase	25% increase through integrated DC/DC packaging
Total Part Count Reduction	40% reduction
Maximum Radiator Outlet Temperature	75°C (up from 60°C)
Expected Service Life	Approximately 25,000 operating hours

The design consolidates functionality by internalizing the DC/DC converter and power controller into a smaller package.

Lower Total Cost of Ownership (TCO) through product cost reduction efforts

Ballard Power Systems Inc. is actively working to narrow the cost gap with legacy diesel systems, which is a core challenge for wider adoption. Significant internal cost reductions are contributing to improved financial performance.

The focus on product cost reduction efforts helped drive the Q3 2025 Gross Margin to 15%, a substantial 71-point increase year-over-year.

Operational cost efficiencies achieved through restructuring actions include:

• 40% reduction in Cash Operating Costs.
• Total Operating Expenses were $34.9 million in Q3 2025, a decrease of 36% year-over-year.
• Excluding restructuring charges, Total Operating Expenses showed a 55% decrease year-over-year.

The FCmove®-SC is specifically designed with lower lifecycle cost in mind, targeting competitive Total Cost of Ownership versus diesel systems.

Long range and fast refueling capabilities superior to battery-electric alternatives

Fuel cell electric buses deliver operational strengths that are inherently superior to battery-electric alternatives in certain duty cycles. These advantages include rapid refueling and long range, which are critical for high-utilization transit fleets.

The technology provides consistent performance across varying weather conditions, including freeze-start capabilities, which is an important operational consideration for fleet managers.

Proven, commercially-validated technology in bus, rail, and marine applications

Ballard Power Systems Inc. technology is not just in the pilot phase; it is commercially validated with significant operational history across its core heavy-duty mobility markets.

The operational experience underpinning the new FCmove®-SC includes:

• The FCmove®-HD module has been successfully operated over nearly a hundred million service kilometers.
• Ballard has deployed more than 850 vehicles across cities in Europe using the FCmove family.

The company ended Q3 2025 with $525.7 million in cash and cash equivalents, providing a strong financial runway to support these commercial deployments.

Ballard Power Systems Inc. (BLDP) - Canvas Business Model: Customer Relationships

You're looking at how Ballard Power Systems Inc. manages its key relationships as it pushes for commercial scale, which is definitely reflected in their latest figures. The focus is clearly on securing high-volume, long-term commitments with major players in the mobility sector.

Dedicated direct sales and engineering support to large OEM partners

Ballard Power Systems Inc.'s customer base is heavily weighted toward large Original Equipment Manufacturers (OEMs) in the heavy-duty space. The Q3 2025 revenue of $32.5 million shows this concentration, with the Heavy Duty Mobility segment generating $23.4 million, an 83 per cent year-over-year increase. This revenue stream was largely fueled by bus and rail deliveries to customers in North America and Europe. For instance, the Bus segment alone brought in $15.58 million in Q3 2025. The company is clearly prioritizing these large-scale relationships where integration support is critical.

Long-term, high-volume supply agreements (LTSAs) with key integrators

The commitment to long-term relationships is formalized through LTSAs. You can see the pipeline building from these agreements, even if the current order intake fluctuates. In Q3 2025, net order intake stood at $19.1 million. This included the largest marine order to date with eCap & Samskip. Furthermore, the pipeline is being built out with specific commitments:

• A multi-year supply agreement with Manufacturing Commercial Vehicles (MCV) for approximately 5 MW of fuel cell engines, with deliveries scheduled between 2025 and 2026.
• A new Long Term Supply Agreement with Canadian Pacific Kansas City (CPKC) for 98 fuel cell engines, totaling about 20 megawatts, with expected deliveries in 2025.
• Revenue earned from the Weichai Ballard JV long-term MEA supply agreement was $0.2 million in the first quarter of 2025.

The Order Backlog at the end of Q3 2025 was $132.8 million.

After-sales services, training, and technology solutions for fleet operators

The installed base provides a foundation for recurring after-sales revenue, which is essential for a mature business model. Ballard Power Systems Inc. currently powers more than 1,800 fuel cell buses worldwide, and these units have collectively logged over 200 million miles of operational service. This massive operational history suggests significant ongoing requirements for service, maintenance, and parts supply to keep those fleets running.

Collaborative product development with customers to ensure integration success

Successful integration is key to securing repeat business, and Ballard Power Systems Inc. is actively launching new products that customers are adopting. The launch of the FCmove®-SC engine received positive customer reception in Q3 2025. Existing partnerships, like the one with MCV, began with fuel cell engine integration support back in 2022. This shows a pattern of working closely with customers from the initial integration phase through to high-volume supply.

Value-based pricing strategies to support margin expansion

The company is explicitly tying its pricing approach to margin improvement. The CEO noted that more rigorous value-based pricing strategies will support margin expansion. The market is starting to see the results of this focus, alongside cost reductions. Gross margin in Q3 2025 reached 15 per cent, a significant 71-point increase year-over-year. This margin expansion is a direct indicator of successful pricing discipline and product cost reduction efforts.

Here's a snapshot of the key customer-related financial metrics as of Q3 2025:

Metric	Value (Q3 2025)	Comparison/Context
Total Revenue	$32.5 million	Up 120% Year-over-Year (YoY)
Heavy Duty Mobility Revenue	$23.4 million	Up 83% YoY, driven by bus and rail
Gross Margin	15 per cent	A 71-point increase YoY
Net Order Intake	$19.1 million	Improved compared to the previous two quarters
Total Order Backlog	$132.8 million	Down 9% from end-Q2 2025
Rail Revenue	$7.39 million	Up from $1.2 million in Q3 2024

Finance: review the Q4 2025 order intake against the 12-month Orderbook of $71.6 million by end-Q3.

Ballard Power Systems Inc. (BLDP) - Canvas Business Model: Channels

You're looking at how Ballard Power Systems Inc. gets its high-power PEM fuel cell technology into the hands of heavy-duty mobility and stationary power customers as of late 2025. The channel strategy is clearly segmented, moving from broad market seeding to focused, commercial-scale deployment in verticals where the value proposition is proven.

Direct sales force targeting global Heavy-Duty Mobility OEMs and integrators is the primary engine for large-volume deals. This direct engagement secures landmark commercial orders that validate the channel. For instance, the Long Term Supply Agreement (LTSA) with Solaris targets 1,000 fuel cell engines through 2027, and a separate order from New Flyer secured 200 engines. In the rail sector, a follow-on order from Canadian Pacific Kansas City (CPKC) was for approximately 20 MW of fuel cell engines, with deliveries starting in 2025. The bus segment continues to be a core channel; in 2024 alone, Ballard took in 1,600 bus engine orders across 7 OEMs, and a multi-year agreement with MCV in March 2025 covers 50 FCmove®-HD+ engines, with an initial order of 35 units.

The company's channel strength in China is heavily reliant on its strategic joint ventures (JVs) for regional market access. The Weichai Ballard JV (WBJV), where Ballard holds a 49% interest, is a critical manufacturing and distribution arm for the China market. This facility in Weifang, Shandong, has an annual production capacity of approximately 40,000 stacks and 20,000 engines. Furthermore, Ballard is executing a "local for local" strategy by investing approximately $130 million in a new Membrane Electrode Assembly (MEA) manufacturing facility and R&D center in Shanghai, planned for 2025 operation, which will have capacity for 13 million MEAs, enough for about 20,000 engines.

The physical infrastructure supporting these sales is built around a global network of service and support centers for maintenance and parts. Ballard maintains key operational sites to support its installed base. These include the headquarters, R&D, manufacturing, and after-sale service facilities in Burnaby, Canada, as well as sales, assembly, R&D, and after-sales service offices in Hobro, Denmark, and Guangzhou, China. The installed base is significant; as of late 2024, Ballard-powered vehicles had traveled over 200 million km, demonstrating a product uptime in fleet operation of 98%.

For high-volume, established customers, the channel involves direct delivery of fuel cell modules and stacks to customer assembly lines. This is reflected in the financial results from the focused execution strategy. For the third quarter ended September 30, 2025, total revenue reached $32.5 million, a 120% increase year-over-year, with Heavy Duty Mobility revenue specifically at $23.4 million, marking an 83% year-over-year increase, driven by these direct deliveries to bus and rail customers. The company is actively working to secure more sustainable contract terms, which has slightly delayed some orders from Q3 2025 into Q4 2025 or Q1 2026.

Finally, regulatory and market entry is facilitated through government and industry partnerships to drive regulatory adoption. The European Union's Horizon Europe ZEFES project is a key channel for real-world demonstration, with nine different vehicle concepts (four FCEV) expected to run over 1 million km across EU corridors in 2025. Ballard also signed a Memorandum of Understanding (MoU) with Adani Group to enter the Indian market, establishing a future channel there.

Here's a quick look at the scale of the channel activity and financial context as of Q3 2025:

Channel Metric	Value/Amount	Context/Timeframe
Q3 2025 Revenue	$32.5 million	Total Revenue, Q3 2025
Heavy Duty Mobility Revenue	$23.4 million	Q3 2025, 83% YoY increase
WBJV Annual Stack Capacity	40,000 stacks	Weifang, China facility
Shanghai MEA Investment	$130 million	Planned investment for 2025 facility
Total Operating Expenses Outlook	$100 million to $120 million	Fiscal 2025 Range
Q3 2025 Cash Position	$525.7 million	Cash and cash equivalents
Total Fuel Cell Kilometers Logged	Over 200 million km	To date (late 2024/early 2025)

The company's overall strategy is supported by a disciplined financial approach; Total Operating Expenses for fiscal 2025 are guided to be between $100 million and $120 million, while the Q3 2025 gross margin improved to 15%, a 71-point increase year-over-year, showing cost discipline is improving the realized value from these channels.

The key physical locations supporting the service channel include:

• Burnaby, Canada: HQ, R&D, manufacturing, after-sale service.
• Hobro, Denmark: Sales, assembly, R&D, service facilities.
• Guangzhou, China: Sales, quality, supply chain, after-sales service office.

Also, the company is focused on building out its order pipeline, with Net Order Intake in Q3 2025 at $19.1 million, which included the largest marine order to eCap & Samskip.

Finance: draft 13-week cash view by Friday.

Ballard Power Systems Inc. (BLDP) - Canvas Business Model: Customer Segments

You're looking at where Ballard Power Systems Inc. is actually getting its revenue in late 2025, and honestly, the picture is clearer now after the strategic realignment. The company reports results in a single segment, Fuel Cell Products and Services, which breaks down into specific end-markets. The focus is definitely on heavy-duty mobility, where their Proton Exchange Membrane (PEM) fuel cells offer a zero-emission solution for applications that need range and quick refueling.

Here's the quick math on the revenue quality in the third quarter of 2025, which hit $32.5 million, a massive 120% increase year-over-year. The quality of that revenue, driven by deliveries, tells you who is buying right now.

Customer Segment / Market (Q3 2025)	Revenue Contribution (Q3 2025)	Year-over-Year Growth (Q3 2025)	Key Metric/Win
Heavy-Duty Mobility (Total)	$23.4 million	83% higher	Drove the majority of the $32.5 million total revenue.
Bus (within Hvy-Duty)	Implied significant portion	Strong deliveries noted	Contributed 81% of Q1 2025 revenue, up 41% YoY in Q1.
Rail (within Hvy-Duty)	$7.4 million	509% surge	Follow-on order for approximately 20 MW from CPKC mentioned.
Marine (within Hvy-Duty)	Included in total	Growth driven by new orders	Secured largest marine order on record to eCap & Samskip (6.4 MW total).
Stationary Power	Relatively low	Seeing 'green shoots'	Revenue was $0.6 million in Q1 2025, down 84% YoY in Q1.
Emerging and Other Markets	Implied low portion	Sustained interest noted	Grew 757% to $1.9 million in Q1 2025, driven by material handling.

Heavy-Duty Mobility OEMs are the primary focus, and you see the results in the delivery figures. The rail segment, in particular, is showing a massive acceleration, defintely validating the focus on high-power applications.

The customer base for these deliveries includes public transit authorities and commercial logistics companies, who are the fleet operators putting these zero-emission vehicles to work. What this estimate hides is the exact split between OEM sales and direct fleet operator sales, as revenue is reported by application type.

• Bus deliveries drove Q1 2025 revenue, which was 81% of the total $15.4 million.
• Rail revenue in Q2 2025 reached US$7.2 million, up from zero in Q2 2024.
• Truck and Marine segments saw steep declines in Q2 2025.
• Net order intake in Q3 2025 was $19.1 million, bolstered by the marine order.

Stationary Power Customers are a longer-term play, often tied to renewable hydrogen projects reaching Final Investment Decision (FID). While Q1 2025 saw a major drop in this area, management noted sustained interest in late 2025, especially for data centers and critical infrastructure needing reliable backup power.

Emerging Markets, which include material handling like forklifts and off-road equipment, showed explosive growth early in the year. In Q1 2025, this segment grew 757% to $1.9 million, showing early traction outside the core mobility markets.

Technology Solutions Partners are present, though revenue is often bundled. The Weichai Ballard joint venture, for instance, purchased MEAs (Membrane Electrode Assemblies) valued at approximately $19 million under a long-term supply agreement, with $0.2 million in revenue recognized in Q1 2025 from that agreement.

Ballard Power Systems Inc. (BLDP) - Canvas Business Model: Cost Structure

You're looking at the cost side of Ballard Power Systems Inc. (BLDP) as of late 2025, and it's clear the company is in a phase of intense cost management following significant restructuring efforts.

High fixed costs from Research and Product Development (R&D) remain a fundamental part of the structure, as Ballard continues to invest in its technology roadmap, even while rationalizing some development programs. This R&D spend is bundled within the Total Operating Expenses, which management is aggressively bringing down.

The impact of the aggressive restructuring, which included workforce reductions and operational consolidation, is clearly visible in the manufacturing cost base. This effort is directly aimed at improving the absorption of manufacturing overhead, which previously weighed heavily on profitability. You can see the direct result of this in the gross margin trend.

To be fair, the fuel cell products were, until recently, resulting in negative gross margins. For instance, Fuel Cell Products and Services gross margin in the first quarter of 2025 was reported as ($3.6) million, or (23%) of revenues. By the second quarter of 2025, this had improved significantly to (8%). This trend culminated in the third quarter of 2025, where Ballard achieved a gross margin of 15%, an improvement of 71 points year-over-year, attributed to lower manufacturing overhead and a net reduction in onerous contract provisions.

The overall spending discipline is reflected in the operating expense guidance and recent actuals. Ballard Power Systems Inc. projected Total Operating Expenses for fiscal 2025 to be between $100 million and $120 million. For the third quarter of 2025 alone, Total Operating Expenses were $34.9 million, a decrease of 36% year-over-year. Excluding restructuring charges, the year-over-year reduction in Total Operating Expenses was even steeper at 55%. Cash Operating Costs also saw a 40% reduction year-over-year in Q3 2025 due to these actions.

The company is also tightening its belt on physical asset investment. Capital Expenditures guidance for 2025 has been revised downward to a range of $8 million to $12 million, a notable reduction from the previous estimate of $15 million to $25 million. This shift reflects a strategic decision to meet expected volumes with existing installed capacity, rather than pursuing new manufacturing expansion like the previously considered Texas Gigafactory.

Here's a quick look at the key cost structure metrics as of late 2025:

Cost Metric	Latest Reported/Projected Value	Context/Period
Projected Total Operating Expenses (FY 2025)	$100 million to $120 million	Fiscal 2025 Outlook
Revised Capital Expenditures (FY 2025)	$8 million to $12 million	Revised 2025 Guidance
Gross Margin	15%	Q3 2025
Cash Operating Costs Reduction (YoY)	40% reduction	Q3 2025
Total Operating Expenses	$34.9 million	Q3 2025

The broader cost-saving strategy aims for annualized operating cost reductions of at least 30% by 2026, relative to the first half of 2025, achieved through workforce adjustments and exiting non-core programs. This focus on cost discipline is central to the goal of achieving positive cash flow by the end of 2027.

• Rationalization in product development programs is underway.
• Operational consolidation is a key part of the cost structure change.
• The company is prioritizing fuel-cell products with strong commercial traction.
• Annualized total operating expense savings in excess of 30% were expected from the initial restructuring.

Finance: draft 13-week cash view by Friday.

Ballard Power Systems Inc. (BLDP) - Canvas Business Model: Revenue Streams

You're looking at the hard numbers for Ballard Power Systems Inc.'s revenue generation as of late 2025, specifically from the third quarter results.

Total revenue for Ballard Power Systems Inc. in Q3 2025 was reported at $32.5 million. This figure represents a significant increase, showing a 120% year-over-year jump compared to Q3 2024.

The primary driver for this revenue performance was the Heavy-Duty Mobility segment. Revenue from this area reached $23.4 million in Q3 2025, which was 83% higher year-over-year, largely fueled by deliveries for bus and rail applications in North America and Europe.

The overall revenue streams for Ballard Power Systems Inc. in Q3 2025 can be broken down across its key segments. Here's the quick math on the reported figures:

Revenue Stream Component	Q3 2025 Revenue (USD)
Total Revenue	$32.5 million
Heavy-Duty Mobility Revenue	$23.4 million
Emerging and Other Revenue	$5.3 million
Stationary Revenue	$3.8 million

The sale of Fuel Cell Products, which includes engines, modules, and stacks to OEMs and integrators, is captured within these segment totals, with Heavy-Duty Mobility being the largest contributor.

Beyond the initial product sales, Ballard Power Systems Inc. also generates revenue from other sources, though specific Q3 2025 dollar amounts for these categories aren't itemized separately in the top-line breakdown:

• Revenue from Technology Solutions and engineering services is bundled within the reported segments.
• The company expects continued improvements in revenue streams, particularly from after-sales service, maintenance, and spare parts revenue.

The Emerging and Other revenue category was reported at $5.3 million in Q3 2025, significantly higher than its estimate.

The company's gross margin also saw a substantial improvement, reaching 15% in Q3 2025, a 71-point increase year-over-year.

Finance: review the Q4 2025 pipeline to confirm after-sales service revenue projections by end of January 2026.