“Very encouraging” trading update

Hydrogen fuelling specialist ITM Power has delivered a strong trading update this month with CEO, Graham Cooley,  saying the company is “in the right place at the right time” as it saw book total income of around £17 million, up 20% year-on-year.
 

“Total recognised revenue, our contracts backlog and quotations against tenders are all showing strong growth and the world outlook for green hydrogen demand and electrolysers is very encouraging,” Cooley said.

In the update, the company said it had seen a significant increase in completed projects in the second half of the year to April 30, which means the group is expected to The underlying (EBITDA) loss of £6.7 million was in line with forecasts.

The firm’s total financial assets at the period-end were £19.8 million, made up of £5.2 million of cash, £1.7 million of cash on guarantee and deployed working capital (debtors less creditors) of £12.9 million.ITM said its “contracts backlog” stands at a record £45.1 million, an increase of 26% since February.
 
The tender opportunity pipeline, meanwhile, is up to £330 million, another record. It comprises 46 active commercial tender responses over the last 12 months with an average project size of £7.2 million – up from £6.5 million and reflecting strong industrial demand for larger systems.

Attractive products 

“This trading and pipeline update demonstrates the attractiveness of our products around the world and the hard work of our team,” said CEO Cooley.
 
“Total recognised revenue, our contracts backlog and quotations against tenders are all showing strong growth and the world outlook for green hydrogen demand and electrolysers is very encouraging.”
 
ITM has developed and commercialised a cutting-edge power to gas storage technology, which also helps create hydrogen refuelling stations being rolled out by petrol and diesel retailers such as Shell.
 
Demand for its product is strong, particularly electrolysers, with some large international projects paving the way for what ITM does. Public and political opinion, meanwhile, appears to be behind renewable companies such as ITM, with focus on finding the best ways to optimise green electricity sources such as wind.