Does this give the Next Generation Air Dominance program more momentum, or does it open it up to more scrutiny? Today, Miguel Patricio, Chief Executive Officer of The Kraft Heinz Company (Nasdaq: KHC) ("Kraft Heinz" or the "Company"), and members of his senior leadership team are unveiling a transformation of the Company. A new strategy, operating model and key initiatives signal a fundamental The current enthusiasm for hydrogen and fuel cell companies is likely to propel PLUG stock further in the coming quarters. N-power News 2020 – See Today’s 10 latest salary Updates Here – Npower.gov.ng – Today we’re going to give you N-power News 2020
WASHINGTON — The U.S. Air Force has secretly designed, built and flown at least one prototype of its enigmatic next-generation fighter jet, the service’s top acquisition official confirmed to Defense News on Sept. 14.
The development is certain to shock the defense community, which last saw the first flight of an experimental fighter during the battle for the Joint Strike Fighter contract 20 years ago. With the Air Force’s future fighter program still in its infancy, the rollout and successful first flight of a demonstrator was not expected for years.
“We’ve already built and flown a full-scale flight demonstrator in the real world, and we broke records in doing it,” Will Roper told Defense News in an exclusive interview ahead of the Air Force Association’s Air, Space and Cyber Conference. “We are ready to go and build the next-generation aircraft in a way that has never happened before.”
Almost every detail about the aircraft itself will remain a mystery due to the classification of the Next Generation Air Dominance program, the Air Force’s effort for fielding a family of connected air warfare systems that could include fighters, drones and other networked platforms in space or the cyber realm.
Roper declined to comment on how many prototype aircraft have been flown or which defense contractors manufactured them. He wouldn’t say when or where the first flight occurred. And he refused to divulge any aspect of the aircraft’s design — its mission, whether it was uncrewed or optionally crewed, whether it could fly at hypersonic speeds or if it has stealth characteristics.
Those attributes, he said, are beside the point.
The importance, Roper said, is that just a year after the service completed an analysis of alternatives, the Air Force has proven it can use cutting-edge advanced manufacturing techniques to build and test a virtual version of its next fighter — and then move to constructing a full-scale prototype and flying it with mission systems onboard.
“This is not just something that you can apply to things that are simple systems” like Boeing’s T-7 Red Hawk trainer jet, the first Air Force aircraft to be built using the “holy trinity” of digital engineering, agile software development and open architecture, Roper said.
“We’re going after the most complicated systems that have ever been built, and checked all the boxes with this digital technology. In fact, [we’ve] not just checked the boxes, [we’ve] demonstrated something that’s truly magical.”
Now, the Next Generation Air Dominance program, or NGAD, sits at a decision point. Roper declined to say how quickly the Air Force could move its next-gen fighter into production, except to say “pretty fast.” But before the service decides to begin producing a new generation of fighters, it must determine how many aircraft it will commit to buy and when it wants to start purchasing them — all choices that could influence the fiscal 2022 budget.
The program itself has the potential to radically shake up the defense industry. Should the Air Force move to buy NGAD in the near term, it will be adding a challenger to the F-35 and F-15EX programs, potentially putting those programs at risk.
And because the advanced manufacturing techniques that are critical for building NGAD were pioneered by the commercial sector, the program could open the door for new prime contractors for the aircraft to emerge — and perhaps give SpaceX founder Elon Musk a shot at designing an F-35 competitor.
“I have to imagine there will be a lot of engineers — maybe famous ones with well-known household names with billions of dollars to invest — that will decide starting the world’s greatest aircraft company to build the world’s greatest aircraft with the Air Force is exactly the kind of inspiring thing they want to do as a hobby or even a main gig,” Roper said.
The disclosure of a flying full-scale fighter prototype could be just what the Air Force needs to garner more financial support from Congress during a critical time where the service is facing budget constraints and needs to gain momentum, said Mackenzie Eaglen, a defense budget analyst with the American Enterprise Institute.
“If you can quickly get to something and show progress through product, it just changes the whole dynamic for the Hill,” she said. “[Roper has] got so many headwinds, it seems this would be a likely avenue to show conceptual success for his ideas.”
A radical new acquisition
Flying a prototype of its future fighter was the easy part. Now the Air Force must choose whether to commit to a radical method of buying it.
Over the last 50 years, the U.S. industrial base has dwindled from 10 manufacturers capable of building an advanced fighter to only three defense companies: Lockheed Martin, Boeing and Northrop Grumman. The time it takes the Air Force to move a new fighter from research and development to full-rate production has stretched from a matter of years to multiple decades.
The result is that every fighter program becomes existential for companies, who fight to prove that they can meet technical requirements during the development and production phase at a lower cost than their competitors. The companies are finally able to turn a profit during the later years of a program, when they become locked in as sustainment providers with the technical knowledge necessary for upgrading, repairing and extending the life of their product — often with little congressional interest or scrutiny.
“The sustainment account is a black hole that nobody understands. The [operation and maintenance] account is a black hole that no one can figure out,” Eaglen said. “The person who can change sustainment can change the acquisition game, writ large.”
For the Air Force, the turning point is when an aircraft hits 15 years old. At that age, maintenance costs compound rapidly, growing another 3-7 percent every year, Roper wrote in a Sept. 15 document titled “Take the Red Pill: The New Digital Acquisition Reality.”
But what if instead of spending significant funds on sustaining old jets, the Air Force used that money to buy new ones?
Instead of buying a large quantity of a single fighter over decades and retaining each plane for 30 years or more — as is currently the norm — the “Digital Century Series” model, proposed by Roper, posits that advanced manufacturing and software development techniques make it possible for the Air Force to rapidly develop and buy aircraft more frequently, much as the service did during the 1950s when it bought six fighters from six companies just years apart from each other during the original Century Series.
In August, Air Force’s advanced aircraft program office completed a business case analysis of the Digital Century Series model meant to validate whether the idea was technically feasible and, more importantly, whether it could save money.
Leaders found that by applying digital manufacturing and development practices — as used by the T-7 program, as well as in the development of the NGAD prototype — it could drop the total life cycle cost of a next-gen fighter by 10 percent over 30 years compared to legacy fighters like the F-35 and F-15, Roper wrote.
But for the same price as a single variant of a digitally manufactured fighter produced with a 30-year life cycle, the Air Force could buy a new fighter every eight years and replace them after 16 years — before the plane reaches the 3,500 flight-hour mark here it starts needing heavy overhauls and expensive modifications to extend its service life.
“I don’t think it’s smart thinking to build one and only one aircraft that has to be dominant for all missions in all cases all the time,” he said. “Digital engineering allows us to build different kinds of airplanes, and if we’re really smart … we ensure smart commonality across the fleet — common support equipment, common cockpit configurations, common interfaces, common architecture, even common components like a landing gear — that simplify the sustainment and maintenance in the field.”
The main difference is that the Air Force would flip from spending the majority of fighter program costs upfront instead of at the end of the aircraft’s life. To continuously design new fighter jets, the service would keep multiple vendors constantly under contract for the development of new planes, choosing a new design about every eight years. To make a business case that is profitable for industry, it would then buy batches of about 50-80 aircraft every year.
The result is a 25 percent increase in development costs and an 18 percent increase in production costs. However, the price of modernizing aircraft would drop by 79 percent while sustainment costs are basically cut in half, Roper wrote in the paper.
“I can’t make both ends of the life cycle go away; industry has to make a profit somewhere,” Roper said. “And I’m arguing in the paper that if you get to choose what color of money you use for future air superiority, make it research, development and production because it’s the sharp point of the spear, not the geriatric side that consumes so much of our resources today.”
There is also a strategic benefit to continuous fighter production and development, Roper said. It puts China on the defense, having to respond to U.S. technical advances as new capabilities — whether they’re hypersonic missiles or drone wingmen — are matured and spiraled into the fighter’s production.
“This speeds up the pace at which we can do things so that we can be the disrupter instead of the disrupted, but it does so in a way that can’t be undermined by throwing cheap labor at the problem,” he said.
The next step is for Air Force leadership to decide how much it can afford for the program in FY22 and whether it will adopt the Digital Century Series model for developing the aircraft.
“What we need to do going forward is simply understand the [Department of the Air Force’s] level of financial commitment and the date they want us to charge towards for initial operations, and we can fit the acquisition strategy for [NGAD] to it, and explain how quickly we can afford to spiral and when we need to retire the aircraft to generate enough savings to afford those spirals,” he said.
“Perhaps getting to the fastest [initial fielding date] may not be the most important thing. It may be important for us to push the [technical] boundaries more. Those are decisions that I’ve given for leadership to think about. But every decision I’ve given them is a better decision over the legacy ones.”
If the Air Force is going to get financial support for a business plan that requires taxpayers to pay a higher upfront cost for fighter aircraft, it must clearly identify desired combat capabilities, said Rebecca Grant, an aerospace analyst with IRIS Independent Research.
“Now we have the F-35, F-15EX and the Digital Century Series’ small batch costs,” she said. “If it’s that great, maybe it’s worth the upfront cost. I could argue that, for sure. Is this the new F-117, which was similar batch size at similar cost and worth every penny? We just don’t know.”
On the technical side, the Air Force needs to solidify a rigorous, standardized method of conducting test activities in a virtual environment using modeling and simulation tools that can cut down the amount of time needed for live flight tests. It also needs industry to buy in to coding via a government-owned computing environment, Roper said.
“We can’t have every industry partner creating their own mechanism,” Roper said. “We have to have just as rigorous a process for digital design and assembly as we do for physical design assembly. So we will own that in the government, we will certify that in the government.”
And — perhaps most critically — the Air Force will have to sell the concept to Congress. Roper has briefed staff members on the defense committees, and he held classified sessions with many of the lawmakers who sit on those panels to present findings of the business case study as well as the detailed progress of NGAD development and test activities.
“I had some tough audiences on this. I’ve had people that I’ve been told want to cut the program or they don’t understand why we need it,” he acknowledged. “But I have not left a single one of those briefings with anything other than [lawmakers saying]: ‘This is the future, we ought to do it now. And why aren’t we going faster?’ And the answer [to] why we aren’t going faster is simply money. We can push the accelerator down more today because the digital technology allows it.”
Author: Valerie Insinna
The Kraft Heinz Company Unveils Its Strategic Transformation Plan, Updates 2020 Outlook, and Provides Long-term Financial Algorithm
Today, Miguel Patricio, Chief Executive Officer of The Kraft Heinz Company (Nasdaq: KHC) (“Kraft Heinz” or the “Company”), and members of his senior leadership team are unveiling a transformation of the Company. A new strategy, operating model and key initiatives signal a fundamental shift in its approach to growing its brands and its business at a global scale. The Company also is establishing a long-term financial profile and updating its third quarter and full year 2020 financial outlook.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20200915005730/en/
“I am extremely confident that unlocking the power of scale with agility, combined with our new operating model, will return Kraft Heinz to consistent and sustainable growth,” said Patricio. “We are placing the consumer at the center of everything we do, leveraging our greatest assets, strengthening our partnerships, generating fuel that funds growth investments like our 30% increase in marketing spend, and creating a clear path to rebuilding Kraft Heinz into the industry leader we have the potential to become.”
The Kraft Heinz Operating Model
At the core of the Company’s transformation is a new operating model with five primary elements:
People with Purpose: Employees are the Company’s most important resource, charged with bringing the strategy to life. They’re also inspired by its new Purpose, Let’s Make Life Delicious, guided by its redefined Values and responsible for fulfilling the Company’s Vision “To sustainably grow by delighting more consumers globally.”
Kraft Heinz employees are global citizens who believe in helping to create a healthier, more sustainable environment. Later today, the Company will release its 2020 Environmental Social Governance (ESG) Report, Growing Sustainably, which contains goals under three pillars: Environmental Stewardship, Responsible Sourcing, and Healthy Living & Community Support. ESG is integrated into every part of the Company’s business, with related metrics incorporated into performance goals held by the CEO and key senior leaders.
Consumer Platforms: The Company has transitioned from managing its portfolio as more than 55 individual categories to six consumer-driven platforms. A platform is a lens created for the portfolio based on a groupings of real consumer needs and includes:
Easy Meals Made Better
Real Food Snacking
Fast Fresh Meals
Easy Indulgent Desserts
Each of these platforms will fill a Grow, Energize, or Stabilize role within the portfolio. The Company will take a disciplined approach that prioritizes and invests differentially according to the opportunities and objectives for each platform.
Ops Center: The Company’s Ops Center brings together the value chain on an end-to-end basis, creating a fast, adaptable, integrated supply chain with greater visibility. It is designed to be the key source of fuel for growth by driving better alignment across the Company, streamlining day-to-day processes, and deploying technology and data analytics towards continuous improvement. Through 2024, the Company’s Ops Center has identified and is targeting approximately $2 billion of gross productivity efficiencies to offset inflation and critical investments to support the Company’s growth initiatives.
Partner Program: Kraft Heinz is dedicated to developing winning customer partnerships with centralized customer development and revenue management teams to strengthen existing customer relationships, building new strategic partnerships, and delivering unique consumer insights and solutions.
Fuel Our Growth: The Company’s plans to reinvest efficiency gains and apply agile portfolio management are designed to help the Company fulfill and accelerate its strategy. The strategy will be driven by capital priorities that have not changed. These priorities include investing to accelerate growth and strengthen its long-term market position; continuing to provide shareholders with a strong return of capital, including its ongoing commitment to its strong dividend payout; and reducing net leverage to below 4x on a consistent basis. Fuel Our Growth also will include agile portfolio management to accelerate the Company’s strategic plan, enhance its geographic profile, and sharpen its focus on areas of advantage while maintaining price discipline.
Long-Term Financial Profile
Taking into account its strategic review, the subsequent reorientation of the business, as well as confidence in its ongoing turnaround, Kraft Heinz set long-term growth targets, including:
Organic Net Sales(1) growth of 1% – 2%
Adjusted EBITDA(1) growth of 2% – 3%
Adjusted EPS(1) growth of 4% – 6% with greater than or equal to 100% Free Cash Flow(1) conversion
“We are committed to returning Kraft Heinz to consistent growth on both the top and bottom lines,” said Paulo Basilio, Global Chief Financial Officer. “Leveraging our new platform structure to drive growth, our new productivity programs to deliver efficiencies, and our capital priorities to support reinvestment and accelerate our strategic plan will enable us to achieve our new long-term financial profile in the years ahead.”
Third Quarter & 2020 Outlook
“Our business momentum is stronger than expected and as a result, we are updating our outlook for the third quarter and full year 2020 with expected 3Q 2020 Organic Net Sales(1)(2) growth in the mid-single-digit range versus the prior year period,” said Patricio.
In addition, the Company expects high-single-digit 3Q 2020 Constant Currency Adjusted EBITDA(1)(2) growth and mid-single-digit full year 2020 Constant Currency Adjusted EBITDA(1)(2) growth versus 2019; and
to reduce net leverage to approximately 4x by the end of 2020.
A more detailed outlook for full year results will be provided on the Company’s third-quarter earnings call, expected to be held in late October.
(1) Organic Net Sales, Adjusted EBITDA, Constant Currency Adjusted EBITDA, Adjusted EPS, and Free Cash Flow are non-GAAP financial measures. Please see discussion of non-GAAP financial measures at the end of this press release for more information.
(2) Third quarter and 2020 full year guidance for Organic Net Sales and Constant Currency Adjusted EBITDA are provided on a non-GAAP basis only because certain information necessary to calculate the most comparable GAAP measure is unavailable due to the uncertainty and inherent difficulty of predicting the occurrence and the future financial statement impact of such items impacting comparability, including, but not limited to, the impact of currency, acquisitions and divestitures, integration and restructuring expenses, deal costs, unrealized losses/(gains) on commodity hedges, impairment losses, and equity award compensation expense, among other items. Therefore, as a result of the uncertainty and variability of the nature and amount of future adjustments, which could be significant, the Company is unable to provide a reconciliation of these measures without unreasonable effort.
ABOUT THE KRAFT HEINZ COMPANY
For 150 years, we have produced some of the world’s most beloved products at The Kraft Heinz Company (Nasdaq: KHC). We are one of the largest global food and beverage companies, with 2019 net sales of approximately $25 billion. Our portfolio is a diverse mix of iconic and emerging brands. As the guardians of these brands and the creators of innovative new products, we are dedicated to the sustainable health of our people and our planet. To learn more, visit www.kraftheinzcompany.com or follow us on LinkedIn and Twitter.
This press release contains a number of forward-looking statements. Words such as “plan,” “believe,” “anticipate,” “reflect,” “invest,” “make,” “expect,” “drive,” “improve,” “intend,” “assess,” “evaluate,” “establish,” “focus,” “build,” “turn,” “expand,” “leverage,” “grow,” “will,” and variations of such words and similar future or conditional expressions are intended to identify forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements regarding the Company’s plans, impacts of accounting standards and guidance, costs and cost savings, legal matters, taxes, impairments, dividends, expectations, investments, innovations, opportunities, capabilities, execution, initiatives, pipeline, and growth. These forward-looking statements are not guarantees of future performance and are subject to a number of risks and uncertainties, many of which are difficult to predict and beyond the Company’s control.
Important factors that may affect the Company’s business and operations and that may cause actual results to differ materially from those in the forward-looking statements include, but are not limited to, the impact of COVID-19; operating in a highly competitive industry; the Company’s ability to correctly predict, identify, and interpret changes in consumer preferences and demand, to offer new products to meet those changes, and to respond to competitive innovation; changes in the retail landscape or the loss of key retail customers; changes in the Company’s relationships with significant customers, suppliers and other business relationships; the Company’s ability to maintain, extend, and expand its reputation and brand image; the Company’s ability to leverage its brand value to compete against private label products; the Company’s ability to drive revenue growth in its key product categories, increase its market share, or add products that are in faster-growing and more profitable categories; product recalls or product liability claims; unanticipated business disruptions; the Company’s ability to identify, complete or realize the benefits from strategic acquisitions, alliances, divestitures, joint ventures or other investments; the Company’s ability to realize the anticipated benefits from prior or future streamlining actions to reduce fixed costs, simplify or improve processes, and improve its competitiveness; the Company’s ability to successfully execute its strategic initiatives; the impacts of the Company’s international operations; economic and political conditions in the United States and in various other nations where the Company does business; changes in the Company’s management team or other key personnel and the Company’s ability to hire or retain key personnel or a highly skilled and diverse global workforce; risks associated with information technology and systems, including service interruptions, misappropriation of data or breaches of security; impacts of natural events in the locations in which we or the Company’s customers, suppliers, distributors, or regulators operate; the Company’s ownership structure; the Company’s indebtedness and ability to pay such indebtedness, as well as the Company’s ability to comply with covenants under its debt instruments; the Company’s liquidity, capital resources and capital expenditures, as well as its ability to raise capital; additional impairments of the carrying amounts of goodwill or other indefinite-lived intangible assets; foreign exchange rate fluctuations; volatility in commodity, energy, and other input costs; volatility in the market value of all or a portion of the commodity derivatives we use; increased pension, labor and people-related expenses; compliance with laws, regulations, and related interpretations and related legal claims or other regulatory enforcement actions, including additional risks and uncertainties related to any potential actions resulting from the Securities and Exchange Commission’s (“SEC”) ongoing investigation, as well as potential additional subpoenas, litigation, and regulatory proceedings; potential future material weaknesses in the Company’s internal control over financial reporting or other deficiencies or the Company’s failure to maintain an effective system of internal controls; the Company’s failure to prepare and timely file its periodic reports; the Company’s ability to protect intellectual property rights; tax law changes or interpretations; the impact of future sales of the Company’s common stock in the public markets; the Company’s ability to continue to pay a regular dividend and the amounts of any such dividends; volatility of capital markets and other macroeconomic factors; a downgrade in the Company’s credit rating; and other factors. For additional information on these and other factors that could affect the Company’s forward-looking statements, see the Company’s risk factors, as they may be amended from time to time, set forth in its filings with the SEC. The Company disclaims and does not undertake any obligation to update, revise or withdraw any forward-looking statement in this press release, except as required by applicable law or regulation.
Non-GAAP Financial Measures
The Company has presented Organic Net Sales, Adjusted EBITDA, Constant Currency Adjusted EBITDA, Adjusted EPS, and Free Cash Flow which are considered non-GAAP financial measures. The non-GAAP financial measures presented may differ from similarly titled non-GAAP financial measures presented by other companies, and other companies may not define these non-GAAP financial measures in the same way. These measures are not substitutes for their comparable GAAP financial measures, such as net sales, net income/(loss), diluted earnings per share, or other measures prescribed by GAAP, and there are limitations to using non-GAAP financial measures.
Management uses these non-GAAP financial measures to assist in comparing the Company’s performance on a consistent basis for purposes of business decision making by removing the impact of certain items that management believes do not directly reflect the Company’s underlying operations. Management believes that presenting the Company’s non-GAAP financial measures (i.e., Organic Net Sales, Adjusted EBITDA, Constant Currency Adjusted EBITDA, Adjusted EPS, and Free Cash Flow) is useful to investors because it (i) provides investors with meaningful supplemental information regarding financial performance by excluding certain items, (ii) permits investors to view performance using the same tools that management uses to budget, make operating and strategic decisions, and evaluate historical performance, and (iii) otherwise provides supplemental information that may be useful to investors in evaluating the Company’s results.
Organic Net Sales is defined as net sales excluding, when they occur, the impact of currency, acquisitions and divestitures, and a 53rd week of shipments. The Company calculates the impact of currency on net sales by holding exchange rates constant at the previous year’s exchange rate, with the exception of highly inflationary subsidiaries, for which the Company calculates the previous year’s results using the current year’s exchange rate. Organic Net Sales is a tool that can assist management and investors in comparing the Company’s performance on a consistent basis by removing the impact of certain items that management believes do not directly reflect the Company’s underlying operations.
Adjusted EBITDA is defined as net income/(loss) from continuing operations before interest expense, other expense/(income), provision for/(benefit from) income taxes, and depreciation and amortization (excluding integration and restructuring expenses); in addition to these adjustments, the Company excludes, when they occur, the impacts of integration and restructuring expenses, deal costs, unrealized losses/(gains) on commodity hedges, impairment losses, and equity award compensation expense (excluding integration and restructuring expenses).The Company also presents Adjusted EBITDA on a constant currency basis. The Company calculates the impact of currency on Adjusted EBITDA by holding exchange rates constant at the previous year’s exchange rate, with the exception of highly inflationary subsidiaries, for which it calculates the previous year’s results using the current year’s exchange rate. Adjusted EBITDA and Constant Currency Adjusted EBITDA are tools that can assist management and investors in comparing the Company’s performance on a consistent basis by removing the impact of certain items that management believes do not directly reflect the Company’s underlying operations.
Adjusted EPS is defined as diluted earnings per share excluding, when they occur, the impacts of integration and restructuring expenses, deal costs, unrealized losses/(gains) on commodity hedges, impairment losses, losses/(gains) on the sale of a business, other losses/(gains) related to acquisitions and divestitures (e.g., tax and hedging impacts), nonmonetary currency devaluation (e.g., remeasurement gains and losses), debt prepayment and extinguishment costs, and U.S. Tax Reform discrete income tax expense/(benefit), and including when they occur, adjustments to reflect preferred stock dividend payments on an accrual basis. The Company believes Adjusted EPS provides important comparability of underlying operating results, allowing investors and management to assess operating performance on a consistent basis.
Free Cash Flow is defined as net cash provided by/(used for) operating activities less capital expenditures. The Company believes Free Cash Flow provides a measure of the Company’s core operating performance, the cash-generating capabilities of the Company’s business operations, and is one factor used in determining the amount of cash available for debt repayments, dividends, acquisitions, share repurchases, and other corporate purposes. The use of this non-GAAP measure does not imply or represent the residual cash flow for discretionary expenditures since the Company has certain non-discretionary obligations such as debt service that are not deducted from the measure.
View source version on businesswire.com: https://www.businesswire.com/news/home/20200915005730/en/
Michael Mullen (media)
Christopher Jakubik, CFA (investors)
Investor Interest in All Things Alternative Fuel-ing PLUG Stock Higher
Plug Power (NASDAQ:PLUG) stock has been one of the darlings of Wall Street in 2020. Year-to-date, PLUG stock is up over 280%. But that metric tells only half the story for the year. That proverbial $1,000 invested in the shares of the hydrogen fuel cell maker in early spring would now be worth more than $4,000. What’s behind the rise?
The market seems to be coming around to the conclusion reached in 2017 by Argonne National Laboratory that “fuel cells are utilizing domestically produced natural gas to power to retail stores, data centers, production sites and other company facilities, greatly reducing emissions and doing so at a cost that can be competitive with the local electric grid in some states.”
The report continues, “Fuel cells are also competing in the material handling market, with companies finding value in improved operational efficiency and cost savings using fuel cells in forklifts and other vehicles over battery units.”
As a result of its rapid move in the past six months, PLUG stock has become a momentum stock. It is also among the top 100 most popular stocks on online brokerage firm Robinhood. The stock exhibits wide daily swings, especially whenever there is news regarding alternative energy sources.
Let’s take a closer look at what to expect from the company through the end of the year. If you’re not yet a shareholder, you may consider investing in Plug Power, especially if the price declines toward $10.
Material handling industry — like forklifts — is Plug Power’s core market, where it is the leader across North America. Its fuel cells are an alternative to lead-acid batteries. The company specializes in technology that uses hydrogen as fuel for vehicles both small (warehouse forklifts) and large (delivery vans and airport safety equipment).
Plug Power’s clients include Walmart (NYSE:WMT), Amazon (NASDAQ:AMZN), Kroger (NYSE:KR), SuperValu (a wholly owned subsidiary of United Natural Foods (NYSE:UNFI), Wegmans, and Switzerland-headquartered Aryzta.
Earlier in August, Plug Power reported solid second-quarter earnings. Revenue came at $68.07 million for the quarter ended June 2020. A year go, the number was $57.07 million. Quarterly loss was 3 cents per share, compared to a loss of 8 cents per share a year ago. Both metrics were better than expectations. Since the release of the results, PLUG stock is up over 30%.
Management said, “as of year-end 2019, Plug Power’s products were moving 25% of the retail food and groceries through the United States. In the first quarter of 2020, Plug Power reported that number had risen to approximately 30% as demand peaked.”
Guidance for the Q3 gross billings is now in the range of $110 million to $115 million. The company also has a long-range aim of $1.2 billion in annual revenue, and $200 million in operating profit, by 2024.
Hydrogen fuel cells as an alternative energy source have been making news headlines lately. Nikola (NASDAQ:NKLA) has been getting investor attention as it aims to bring its hydrogen-powered vehicles to market. Earlier in September, General Motors (NYSE:GM) and Nikola announced a partnership, whereby ““General Motors will engineer, homologate, validate and manufacture the Nikola Badger battery electric and fuel cell versions.” The Street welcomed the news.
A fuel cell generates electricity by a chemical reaction. According to the U.S. Department of Energy’s Office of Energy Efficiency and Renewable Energy, “a fuel cell uses the chemical energy of hydrogen or another fuel to cleanly and efficiently produce electricity. If hydrogen is the fuel, electricity, water, and heat are the only products.”
The European Union (EU) also believes fuel cells may offer the prospect of supplying the world with clean, sustainable electrical power. A recent study highlighted, “Hydrogen is an essential element in the energy transition and can account for 24% of final energy demand and 5.4m jobs by 2050.”
The industry is still experiencing growing pains. Yet after the recent announcement between GM and Nikola, Plug Power may also find itself a candidate for partnership or to be acquired by one of its top customers.
In the coming quarters, Plug Power‘s revenue growth is likely to continue. If you’re bullish on hydrogen as well as alternative energy and would like to have exposure to Plug Power in your holdings, then you may consider building a position between $10-$12. There are currently nine analysts whose 12-month price forecasts for PLUG stock have a median target of $13.
Well-performing stocks tend to keep on winning, and the recent strength of PLUG stock might be a good indication that within three or four years, investors who buy PLUG stock on weakness are likely to be rewarded handsomely.
Alternatively, market participants may consider buying into an exchange-traded fund that includes PLUG stock, too. Examples include the iShares Global Clean Energy ETF (NASDAQ:ICLN), the Invesco DWA Industrials Momentum ETF (NASDAQ:PRN), the ALPS Clean Energy ETF (BATS:ACES) or the SPDR S&P Kensho Smart Mobility ETF (NYSEARCA:HAIL).
On the date of publication, Tezcan Gecgil did not hold (either directly or indirectly) any positions in the securities mentioned in this article.
The author has worked in investment management for over two decades in the U.S. and U.K. In addition to formal higher education in the field, she has also completed all 3 levels of the Chartered Market Technician (CMT) examination. Her passion is for options trading based on technical analysis of fundamentally strong companies. She especially enjoys setting up weekly covered calls for income generation. She also publishes educational articles on long-term investing.
Tezcan Gecgil, InvestorPlace Contributor
Npower News 2020 – See Today’s 10 latest salary Updates Here
N-power News 2020 – See Today’s 10 latest salary Updates Here – Npower.gov.ng – Today we’re going to give you N-power News 2020. You’ll See Today’s 10 latest Updates here and how Npower.gov.ng can be used to get all trending n-power Nigeria updates. N-power 2020 application is currently online, click here to apply now.
Getting n-power 2020 news update will also help you stay informed more than every other npower applicants.
We shall bring you more news later.
If read this guide diligently, you’ll know what’s currently happening with npower programme.
Don’t be in a hurry to leave website without taking time to read through all the news below.
FG: N-Power beneficiaries to be absorbed into MDAs – Minister of Humanitarian Affairs, Disaster Management and Social Development, Hajiya Sadiya Umar Farouq, says discussions are ongoing to ensure that exited and eligible N-Power beneficiaries are absorbed into government programmes.
Farouq in a statement on Thursday in Abuja by her Special Assistant on Media, Mrs Nneka Anibeze, said exited beneficiaries should exercise more patience and await the result of her efforts.
“We have directed Focal Persons of National Social Investment Programmes in the states to submit an updated list of the exited N-Power beneficiaries that are interested in participating in the transition plans of the ministry.
“Meanwhile, approval has been given for the payment of the outstanding stipends for the exited N-Power Batches A and B beneficiaries.
“The approval for payments for up to the month of June, 2020 for the two Batches has already been forwarded to the office of the Accountant General of the Federation (AGF) for final checks and payments.
“The only outstanding approval waiting to be forwarded to AGF’s Office is for the payment of July Stipends for batch B beneficiaries,” she said. The ministry said it had requested for the details of those affected and the reasons for their rejection from the AGFʼs office and promised to communicate that to the affected beneficiaries.
N-Power stipends: FG approves payment to exited beneficiaries: THE Minister of Humanitarian Affairs, Disaster Management and Social Development, Sadiya Umar Farouq has approved the payment of stipends to the exited N-Power beneficiaries.
A statement Thursday, by Nneka Ikem Anibeze, the minister’s Special Assistant on Media, quoted her as saying the “approval has been given for the payment of the outstanding stipends for the exited N-Power Batches A and B beneficiaries.”
“The approval for payments for up to the month of June 2020 for the two (2) Batches has already been forwarded to the office of the Accountant General of the Federation (AGF) for final checks and payments.
n-power Batch C: Umar Farouq Hints On Those To Be Enrolled – Sadiya Umar Farouq, Minister of Humanitarian Affairs, on Friday gave an update on the N-Power programme as Batch C will commence soon.
She spoke at an event in commemoration of the ministry’s first year anniversary in Abuja.
Farouq announced that as at the last count, 109, 823 beneficiaries from Batch A and B have set up businesses in their communities.
“We have successfully exited the 500,000 Batch A and B beneficiaries and closed registration for Batch C with a total of 5,042,001 registrations received.”
The minister assured that applicants to be selected would be just the qualified ones.
“As we move to the selection stage, the Ministry will ensure due diligence will be applied to ensure that only duly qualified applicants are enrolled,” Farouq said.
She disclosed that work was ongoing to ensure the establishment of National Disability Commission and the take-off of the National Senior Citizens Centre.
Npower Releases Fresh Notification Regarding Batch C Application – Npower have Notified Batch C applicants regarding their application, applicants were yet to receive confirmation for the online application they did over a month ago.
However, some applicants are currently receiving email confirmation with respect to their application.
The email confirmation simply buttresses the fact that persons who applied for the program, successfully did it
See proof of email confirmation below;
Volunteers are hereby obliged to check their email address and confirm therein in order to proceed to the next phase of the application.
It’s looking like proper verification is ongoing in due course, applicants who meet the required prerequisite will definitely be informed to proceed further.
You are only required to stay glued to your e-mail address should Incase NPOWER releases fresher update regarding your application.
Do not hesitate to comply with any directives from NPOWER.
Share this information to others to see and acquaint them as well.
Over 5 million Nigerians apply for N-Power as deadline is extended: The federal government has extended the ongoing N-Power Batch C online application by two weeks, an official has said, adding that over five million people have so far applied.
This was disclosed in a statement signed by the humanitarian ministry’s Deputy Director, information, Rhoda Iliya, on Sunday.
The ministry explained that the decision aims to capture more intending applicants who have had difficulties accessing the online registration portal.
It added that since the opening of the new batch C online portal, last month, the ministry has received a record number of over 5 million applications so far.
“The Federal Ministry of Humanitarian Affairs, Disaster Management, and Social Development state that the extension has become necessary to provide an equitable and level playing field to all eligible applicants which have seen a record number of over 5 million applications.”
According to the ministry, the extension is to afford more opportunity for online registration, taking into cognizance the difficulties some people might encounter in gaining access to the registration portal.
N-Power: Beneficiaries hold ‘Thank You Rally’ for Buhari – No fewer than 2,000 Nigerians, on Wednesday, held a ‘Thank You Rally’ to the Presidential Villa over the success of the N-Power scheme and other Social Intervention Programmes in the country.
Led by the Concerned Citizens/ N- Power Forum with participants drawn across the 36 states of the federation and the FCT, they expressed gratitude to President Muhammadu Buhari and Minister of Humanitarian Affairs, Disaster Management and Social Development, Hajiya Sadiya Farouq, for the numerous interventions “targeted at the vulnerable and less privileged groupings in the country”.
In his address, president of Concerned Citizens, Ibrahim Kabiru Dallah, extolled President Buhari as a leader with the interest of the people at heart who has displayed ” an unalloyed commitment to the entrenchment of sustainable growth and development”.
N-POWER Beneficiaries: FG accused of delaying payment – Some Nigerians on Thursday accused the Federal Government of delaying payment of the beneficiaries of its N-POWER programme.
The beneficiaries who are yet to receive their March stipends have urged the government to ensure prompt payment, following the lockdown in most parts of the country, aimed at controlling the spread of the Coronavirus.
Oluwaglory in a tweet said: “Npower Volunteers are hungry. Pay them their March Stipends and also ensure timely payment of their Stipends henceforth. They have suffered enough of hunger and neglection.”
Ojoye Tosin via his twitter handle said: “Please @segalink help Npower volunteers with this. They have not been paid their March stipends. These are beneficiaries who have worked, they deserved to be paid. Please @Sadiya_farouq pay Npower beneficiaries who have worked.”
FG urged not to disengage N-Power beneficiaries – The Federal Government has been urged to jettison its proposal to disengage the N-Power beneficiaries.
Appealing a press briefing in Umuahia, National Chairman of Isun Multipurpose Cooperative Society, Sir Isaac Nkole, said the move would be counter -productive.
He said that the scheme had made tremendous impacts in some key sectors of the economy such as agriculture and education; stressing that any idea to discontinue the programme “is ill-advised and makes no economic sense.”
Nkole noted that several university graduates had been engaged in teaching primary school pupils through N-Power, a development, he explained, had improved the quality of education in primary schools especially in rural communities.
He further argued that disengaging the beneficiaries after giving them hope and little succour for about four years would not only worsen the unemployment situation in the country but lead to increase in crime wave as well as suicide cases.
Why we’re owing N-Power beneficiaries – FG: The Minister of Humanitarian Affairs, Disaster Management and Social Development, Hajia Sadiya Farouq, has explained the delay in paying the monthly stipends of beneficiaries of the N-Power programme.
The minister said the delay resulted from a verification process embarked upon by the ministry.
Farouq stated this on Monday during a visit by members of the House of Representatives Committee on Poverty Alleviation. The committee, which was on a familiarisation visit to the ministry, was led by its chairman, Hon. Abdullahi Salame.
According to her, the verification process became necessary to enable the ministry to understand and have a full list of beneficiaries that were paid before she began to supervise the N-Power programme.
She said that the ministry has asked those that were in charge of the programme to provide historical background, justification, the last approval and last list of beneficiaries that were paid.
The Minister said: “I know we had a complaint in October while we just got the NSIP into the ministry and we needed to understand the programme considering that it has been in existence before we came on board. We needed to understand before we start signing for a large amount of money and that was why we had the delay then.
“Unfortunately, then we were operating with a director who was overseeing the office of the permanent secretary and then in January, we had a new permanent secretary who also had to understand the nature of the programme.”
Nigeria to overhaul N-Power, other NSIPs – The Nigerian government has said it will overhaul the N-Power scheme, school feeding programme and other projects under the National Social Investment Programmes (NSIPs).
“All present processes, especially beneficiary enrolment and payments including for consultancies, are being scrutinised and stakeholders are being consulted for inputs that will lead to the total overhaul of the programmes in order to achieve the purposes for which they were established,” a spokesperson at the Ministry of Humanitarian Affairs, Disaster Management and Social Development Rhoda Ishaku Iliya said in a statement.
N-Power beneficiaries will be paid soon – Sadiya Umar Farouq – The minister for Humanitarian Affairs and Disaster Management, Sadiya Umar Farouq, has appealed to the beneficiaries of the N-Power programme of the federal government not to embark on nationwide protest over the delay in the payment of their January allowance.
In an interview with TVC News on Friday, Mrs Farouq assured the beneficiaries that the January allowance will be paid soon.
She however blamed the delay on the transfer of data from the Office of Vice President, Yemi Osinbajo, which was until the creation of her ministry, responsible for the running of the programme.
Mrs Farouq who also spoke on Internally Displaced Persons, said her ministry is doing everything to reach out to displaced families and constantly interven in their humanitarian needs.
While commenting on alleged corruption practice in the disbursement of relief materials to displaced persons, the minister said although there has not been a formal complaint of such incident, the ministry has read riot acts to the officials and agencies involved.
NPower Beneficiaries to Embark on Strike over Non-payment Of stipends
Beneficiaries of the NPower teaching scheme have threatened to embark on a nationwide strike over the non-payment of January allowances.
The issue of non-payment of allowances was once again a matter of national discourse after a similar incident occurred in October 2019 when beneficiaries were not paid for three months.
N-Power reacts to complaints from Batch A, B beneficiaries – The federal government has responded to complaints by Batch A and Batch B beneficiaries of the N-Power scheme.
Recall that some beneficiaries under the umbrella of the 36 States and FCT N-Power Representatives Forum, demanded that President Muhammadu Buhari government disclose the transition package for batches A and B who will be exiting the programme by June and July respectively.
The beneficiaries told the Minister of Humanitarian Affairs and Disaster management, Sadiya Farouq, not to deceive over 500,000 Nigerian youths who fought hard to ensure the current administration returned to power in 2019 by putting out a mere promise of entrepreneurial schemes to them.
They threatened to embark on a nationwide protest if by the end of seven days the Minister fails to provide them with answers to their demands.
Responding to the agitations, the N-Power scheme in a post on its official Twitter handle assured that all issues about their entitlements in the scheme will be addressed.
The post read: “To our Batch A and Batch B beneficiaries, we have seen your questions on the exit plan, backlogs and devices.”
“In the following days, these issues will be addressed individually. Please stay tuned to our social media pages for updates.”
N-Power: How Nigerian govt shortchanged us – Beneficiaries cry out as batch A, B exit: Beneficiaries of the Federal government’s social investment scheme under the umbrella of the 36 States and FCT N-Power Representatives Forum, has called on the President Muhammadu Buhari government to spell out the transition package for batches A and B who will be exiting the programme by June and July respectively.
The beneficiaries, in a statement to DAILY POST on Sunday, said the Minister of Humanitarian Affairs and Disaster management, Sadiya Farouq, must not deceive over 500,000 Nigerian youths who fought hard to ensure the current administration returned to power in 2019 by putting out a mere promise of Entrepreneurial schemes to them.
They further threatened to embark on a nationwide protest if by the end of seven days the Minister fails to provide them with answers to their demands which include:
“Explain in clear terms the transitioning of beneficiaries into government’s entrepreneurship schemes.
“Assure the 500,000 beneficiaries mode of payment in this newly introduced transition schemes.
“When exactly are you going to pay over 80,000 volunteers that are owed March, April and May stipends.
“The entire 300,000 volunteers of Batch B and some in Batch A have not been given the promised device, when are they going to get it?
“When are you going to backlogs of Batch A and Batch stipends.
“Nothing short of the above will settle the beneficiaries at the moment and will not hesitate to notify our benefactor, President Muhammadu Buhari’s who is the initiator of this Programme,” the volunteers warned.
In the same vein, another volunteer of the N-power scheme, Babatunde (surname withheld) lamented the plight of beneficiaries across the country.
He said that the batch B volunteers, who are supposed be given some gadgets to enhance their program like the first batch (Batch A) until now, have not received the promised working tool.
Babatunde told DAILY POST that the programme was running smoothly while it was under the office of the Vice President, Prof. Yemi Osibajo through his special adviser on job creation(Afolabi Imhuokude) until the President announced in his October 1st Independence Day address to the nation that the social investment programme which N-power was under, will be transferred to the newly created Ministry of Humanitarian and Disaster management.
See Also: Npower Final List
So take your time to go through the npower news 2020 listed below now.
Note: We’ve broken down this npower today’s news updates into 10 Different section’s.
See Also: Npower Posting List
It will be best if you take you’re time and read all the 10 news updates.
Now, let’s start with the first News updates on the list Today.
We’ll keep on giving you all the latest news about Npower Nigeria.
Kindly note that 2020 npower Build Recruitment will commence on November 5th. Application closing date is 16th, 2020
Read This: npvn.npower.gov.ng/my profile
See Npower News 2020 in The >>> Next Page Here
Author: About Cynthia Charles