Ceres Power: Interim Results

30th September 2021

Half-yearly results for the six months ended 30 June 2021


Ceres Power Holdings plc (“Ceres Power”, “Ceres”, the “Company” or the “Group”) (AIM: CWR.L), a global leader in fuel cell and electrochemical technology, announces its half-yearly results for the six months ended 30 June 2021.

Financial highlights

  • Revenue and other income up 96% to £17.4m (H1 2020: £8.9m), reflecting strong progress of commercial partnerships
  • Increased gross profit of £12.2m (H1 2020: £7.1m) at sector-leading gross margin of 72% (H1 2020: 79%)
  • Successfully raised net proceeds of £179m in March through an equity fundraising of 17.1 million new ordinary shares to support growth into electrolysis for green hydrogen and further SOFC applications. Weichai (20%) and Bosch (18%) fully supportive of the fundraising and strategy
  • Group had £263m of cash and investments at 30 June 2021
  • Order book* of £42.0m and pipeline* of £43.8m as at 30 June 2021

Commercial highlights

  • New joint development programme for a 30kW stationary power system with Weichai, increasing the commercial scope of the agreement alongside transportation
  • Discussions progressing well with Weichai on the JV and wider strategic relationship. No further update at this time
  • First-of-a-kind solid oxide electrolyser (SOEC) 1MW-scale demonstrator to become operational in 2022. Strong commercial interest and discussions now in progress with several commercial partners
  • Bosch to invest €400m into its solid oxide fuel cell (SOFC) business between now and 2024. It plans to put up to 100 small-scale stationary fuel cell power plants into operation this year
  • AVL List strategic collaboration progressing well, with three early-stage projects and a strong pipeline
  • Doosan signed a memorandum of understanding with the shipbuilding division of Hyundai Heavy Industries, to develop a marine system based on Ceres’ proprietary SOFC stack technology

Current Trading and Outlook

  • On track to achieve revenue in line with consensus estimates of £31.5 million for the 12 months ending 30 December 2021, subject to no significant constraints on our operations
  • Doosan announced that it has completed development of its 10kW SOFC system using Ceres’ technology. Soft commercial launch is planned for 2022
  • Successful in two separate projects awarded UK grant funding as part of the Clean Maritime Demonstration Competition to explore the use of our technology in marine applications
  • Caroline Hargrove joining the Executive team as Chief Technology Officer and Mark Selby appointed to a new role as Chief Innovation Officer, both with effect from 25th October 2021
  • Plan to move up to the London Stock Exchange Main Market Premium Listing is on track for mid-2022

Phil Caldwell, chief executive of Ceres commented: “We are pleased to report a strong performance for the Company in the first half of 2021, including a notable increase in our revenues at sector-leading gross margins. The outlook for clean technology innovation and hydrogen remains strong, buoyed by growth in strategies, regulation and green investment. Our partners continue to announce significant developments in the scale and application of our technology and the high level of interest and early engagement around its use for electrolysis to produce green hydrogen is very promising.”

In the film below, CEO Phil Caldwell outlines Ceres’ business, including its cash position and the macro climate