Proton Power Systems is, to put it delicately, a company that hasn’t quite hit its stride just yet. The company produces hybrid electric fuel cells that can supplement or back up traditional fossil-fuel-based engines during heavy industrial applications. However, a switch to fully electric cells often doesn’t provide the necessary energy for most industrial uses such as materials handling or mass transit.
Proton Power Systems’ proprietary hybrid electric fuel cells aim to solve the paradox involved with clean energy, which is that it often doesn’t provide the necessary power for heavy tasks. The cells connect with existing engines or generators to offer compromise solutions that can work according to each company’s individual needs. When using the hybrid cell, companies achieve lower fuel consumption, less emissions and consistent power delivery.
The company has been on the Alternative Investment Markets (AIM) for nearly five years now, and while shares were initially offered at significantly inflated prices due to the rush toward green energy, they have since stabilised at a level more consistent with the company’s profits and viability. Proton Power Systems is still a viable company, but it is heavily in debt. Its losses have been significantly greater than its profits for the past five years in a row. While the company has made significant advances in hybrid fuel cell technology, they haven’t been enough to turn the company into a profitable endeavour.
Nevertheless, the company has a a few bright spots. Its loss margins have decreased from year to year, and 2011 could be the year that PPS ends in the black. With a variety of industrial and mass transit clients looking for ways to save money on fuel, Proton Power Systems has a plan for moving forward. Furthermore, oil prices are expected to remain expensive, increasing demand for hybrid electric motors and fuel cells. This all potentially makes PPS an attractive candidate for future investment at rock-bottom prices.