Balqon was started in the USA only a few years ago to provide heavy-duty electric vehicles and their drive systems and lithium ion battery packs in the face of popular perception that these industries are dominated by very large companies.
California-based Balqon develops heavy duty electric trucks, tractors and electric drive systems that use its proprietary flux vector motor technology to design propulsion systems for 10 to 50 ton capacity vehicles and material handling equipment.
In April 2010, it was announced that it saw its revenues for 2009 dramatically increase by $3.39m above the 2008 figure of $203,660, to $3.60m, as it cut its losses by almost two-thirds. This was a direct result of its ramp-up of business in 2009, during which sales of vehicles and parts increased by $3.15m over 2008 levels. Balqon reduced its losses in 2009 by nearly two thirds, reporting a net loss of $3.02m for 2009 compared to a net loss of $7.93m for 2008, a 62 per cent decrease.
The company said the $4,92m reduction in net loss during 2009 was primarily due to $5.94m of stock-based compensation expense incurred in 2008 compared to none in 2009. In 2010, the revenues dropped sharply with only $664,729 for the nine months to Sept 30 with net loss $4,786,000 but these are just typical growing pains of an ambitious startup that is heavily investing in new products.
IDTechEx believes that, provided sufficient ongoing finance is available for this quoted company (BLQN), it will go far.
"We believe that the growth in our revenues in 2009 validates our ability to commercialise our core drive system technologies and meet the growing needs of the zero emission vehicle markets we serve," said Balwinder Samra, CEO of Balqon. "The successful implementation of higher range lithium-ion batteries into our heavy duty vehicles and development of proprietary battery management system are examples of our ability to develop and implement new technologies while generating record revenue growth."
Now, in January 2011, Balqon has secured an order for 300 electric drive systems, each priced at $53,000, from China-based energy storage unit developer Winston Global Energy. Winston Global is to integrate the electric drive systems into a fleet of buses and market them to local private and government fleet operators in China, the company said.
The $15.9m deal follows a $5m private placement that Balqon completed last month and is expected to create near to 150 jobs in Los Angeles County during the next 18 months. The company said it is planning to start production later this year in California. Balqon will commence hiring next month to meet the order, with jobs opening in fabrication, engineering, research and development fields.
"This order from Winston Global Energy validates the competitiveness of our technology in the global marketplace and will result in the creation of high tech green jobs domestically," declared Balqon CEO Balwinder Samra.
Balqon's electric drive system includes its high-efficiency electric motor and automatic transmission with its proprietary inverter technology, a lithium-ion battery management system, a vehicle diagnostic system and related software. Balqon does not make battery cells.
Winston Global Energy CEO Winston Chung said, "We believe that combining our lithium battery and fast charging technology with Balqon's proprietary electric drive systems will enable us to provide cost competitive zero-emissions solution to a growing global demand for electric vehicles."
Earlier successes included the August 2010 announcement that Balqon had received an initial $490,000 order from China under a new dealer agreement with DynaProTech, a leading composite automotive parts manufacturer. Under the terms of the dealer agreement, DynaProTech plans to integrate Balqon's zero-emissions electric drive systems into electric buses, heavy-duty trucks, light commercial vehicles and automobiles for use throughout China. DynaProTech will also provide servicing and parts for Balqon's products throughout China.
In September 2010 Lightning Motorcycle's Balqon-equipped superbike won the 2010 TTXGP North America electric motorcycle racing championship held at the Virginia International Raceway. The Balqon electric drive system supplied featured Balqon's flux vector AC motor controller. Also in September, Balqon entered into a dealer agreement with Beltway International, LLC, Maryland's largest full-service domestic and international truck dealer to market Balqon's zero emissions truck tractors. In November 2010 Balqon and T&K Logistics, Inc., a leading provider of logistics services, have collaborated to provide a zero emissions transportation solution for Ford Motor Company at its Michigan Assembly Plant in Wayne, Michigan. Some of the giant truck, heavy powertrain and traction motor suppliers should question why they are failing to show the vivacity and innovation of this tiny but formidable new competitor.
For more read the new IDTechEx report, Electric Buses and Taxis 2011-2021.
For more attend Electric Vehicles - Land Sea Air Europe 2011
which has now been renamed from Future of Electric Vehicles to reflect its unique covering of the whole subject.
