ITM Power shares rose on Monday after the hydrogen firm reported record revenue and narrowing losses, building on government backing and a string of contract wins.
Shares rose a measured 4% on Monday as ITM outlined rising revenue but remained loss-making.
The electrolyser maker said revenue rose 68% to £43.6m in the year to 30 April, ahead of its upgraded guidance, while its adjusted EBITDA loss narrowed 39% to £20.2m. It ended the year with a strong cash position of £215.6m, boosted by a £40m investment from Great British Energy, the government-owned body, and said its order book quality had improved, with 83% of its backlog now on profitable contracts, up from 60%.
The company, which makes electrolysers that produce hydrogen from renewable power, has had a busy year and ramped up commercial activity. Its flagship plant at Lingen in Germany, built for RWE, is now operational and is the world’s largest of its type. It also launched a new business, Hydropulse, to build, own and operate hydrogen plants itself, and secured a government grant to help fund a new UK manufacturing line for its next-generation technology.
ITM, which remains loss-making as it scales, guided to further revenue growth of between £50m and £60m in the current year. Chief executive Dennis Schulz said the business was entering its next growth phase with momentum, supported by a growing focus on energy security.
ITM Power shares were up 4% to 96.25p at the time of writing. The ITM share price had touched 219p earlier in the year.