ITM Power grows proceeds 68% as hydrogen group narrows losses

ITM Power shares rose on Monday after the hydrogen agency reported file proceeds and narrowing losses, constructing on authorities backing and a string of contract wins.

Shares rose a measured 4% on Monday as ITM outlined rising proceeds however remained loss-making.

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The electrolyser maker mentioned proceeds rose 68% to £43.6m within the yr to 30 April, forward of its upgraded steering, whereas its adjusted EBITDA loss narrowed 39% to £20.2m. It ended the yr with a powerful money place of £215.6m, boosted by a £40m asset placement from Great British Energy, the government-owned physique, and mentioned its order ebook high quality had improved, with 83% of its backlog now on worthwhile contracts, up from 60%.

The firm, which makes electrolysers that produce hydrogen from renewable energy, has had a busy yr and ramped up industrial exercise. Its flagship plant at Lingen in Germany, constructed for RWE, is now operational and is the globe’s largest of its kind. It additionally launched a brand new enterprise, Hydropulse, to construct, personal and function hydrogen crops itself, and secured a authorities grant to assist fund a brand new UK manufacturing line for its next-generation expertise.

ITM, which stays loss-making because it scales, guided to additional proceeds progress of between £50m and £60m within the present yr. Chief government Dennis Schulz mentioned the enterprise was getting into its subsequent progress part with momentum, supported by a rising deal with vitality safety.

ITM Power shares have been up 4% to 96.25p on the time of writing. The ITM share worth had touched 219p earlier within the yr.