Ballard Power Systems Inc. (NASDAQ:BLDP) Q2 2020 Earnings Conference Call - Final Transcript
Aug 06, 2020 • 11:00 am ET
Thank you for standing by. This is the conference operator. Welcome to the Ballard Power Systems Second Quarter 2020 Results Conference Call. [Operator instructions]
I would now like to turn the conference over to Guy McAree, Director of Investor Relations. Please go ahead.
Welcome to Ballard's second quarter 2020 financial and operating results conference call.
With us today on the call, we've got Randy MacEwen, Ballard's president and CEO; and Tony Guglielmin, our CFO. We'll be making forward-looking statements that are based on management's current expectations, beliefs and assumptions concerning future events. Actual results can be materially different. Please refer to our most recent annual information form and other public filings for a complete disclaimer and related information.
Before we get started, I'd like to remind everyone that we're planning a virtual investor and analyst day 2020 on Tuesday, September 29 this year. Basic information regarding that event is now available on our website, and we'll be adding a dial-in information in the coming weeks to enable interested investors to participate in this live video stream day which is set to kick-off at 10:00 a.m. Eastern Time on the 29 of September.On today's conference call, Randy is going to provide a business update, and Tony will then review quarter -- second-quarter 2020 financials, followed by a Q&A session.
And I'll turn the call over to Randy.
Thanks Guy, and welcome everyone to today's conference call. On our second-quarter financial results, Ballard delivered top line revenue of $25.8 million, gross margin was 21%, adjusted EBITDA was negative $8.6 million, and we finished the second quarter with $170.3 million in cash reserves. Results were consistent with our expectations reflecting some modest impact as a result of COVID-19.
Consistent with the revenue cadence of the past few years, we expect a strong second half. Although we've seen some delays in certain programs and activities during the past quarter as a result of COVID-19, and although order intake has slowed during the pandemic, conversely, we've recently seen a significant increase in quoting activity with the quality of opportunities improving and project sizes increasing.
Indeed, our sales pipeline has grown almost 50% in 2020 compared to the end of 2019, with most of that growth coming in the past few months. I want to repeat this point, during the pandemic, our sales pipeline is at record highs, up almost 50% over the past few months with quoting activities particularly high across our heavy duty motive segments of bus, commercial truck, rail and marine.
Now as noted on our last earnings call in the context of the COVID-19 pandemic, our top priority remains the health and safety of our employees, contractors, customers and partners. We continue to comply with the most conservative public health guidelines including having most employees working remotely and implementing precautionary and prudent measures at our facilities globally.
We've preserved business continuity to align with our customer deliverables including continued operations at our essential manufacturing and testing operations in Vancouver as well as essential