In April 2016, eZelleron, a German startup, filed for bankruptcy protection (see H2-international, August 2016). Now, its former CEO, Sascha Kühn, was charged with violating accounting principles, committing fraud and deepening the company’s insolvency, the Dresdner Neueste Nachrichten newspaper has reported. Kühn left Germany for the United States to head kraftwerk Inc. and eZelleron Inc. based in Silicon Valley. He is alleged to have filed balance sheets too late
The minus USD 0.11 per share was a much higher loss than the USD 0.06 that had been anticipated. The adjusted EPS is said to be at USD 0.08 per share. The company’s revenue increased to USD 32.6 million in the final quarter of 2016 – while USD 34.8 million had been expected. The net loss attributable to common shareholders (incl. large extraordinary items) added up to USD 57.6 million at USD 85.9 million in revenue. This fiscal year, GAAP revenue is expected to grow to USD 130 million. Where does the company go from here? The focus of Plug Power (NASDAQ: PLUG) is the materials handling market, and it’s doing well on it regarding customers and bookings.
The losses of the US-based company increased during the last quarter of 2015 to USD 320 million. Over the entire year, they added up to around USD 980 million. Whether you choose GAAP (the default rulebook) or the visually more enticing non-GAAP accounting standards (with the latter, the result per share seems to improve “cosmetically”) is not the main question. The larger issue is whether the trend points to a balanced result or even a profit. That was now the plan for 2016, as CEO Elon Musk announced.