Sign up
Tech Capital

ITM Power pleased with progress at the halfway point

"The company is highly regarded internationally and solid progress is being made on all fronts," said Graham Cooley, the chief executive of ITM
Power-to-gas energy storage system
RWE power-to-gas energy storage system

Energy storage and clean fuel company, ITM Power PLC (LON:ITM) has significantly strengthened its capability to deliver larger industrial scale projects.

In its results statement for the six months to the end of October, the company said it has been a major transitional period as it continued its evolution from a research-focused company to one capable of manufacturing the equipment required by its expanding list of industrial partners.

READ: ITM Power reveals expansion in Germany

The company ended the reporting period with a strong balance sheet, including £15.6mln of cash.

Total income rose to £5.0mln from £4.4mln the year before, comprising £1.2mln of revenue (2017: £1.7mln) and £3.8mln of grant income (2017: £2.7mln).

As in previous years, revenue will be weighted more towards the second half of the fiscal year.

As of today, £23.2mln (2017: £27.0mln) of projects are under contract and a further £10.4mln (2017: £10.4mln) are in the final stages of negotiation, making a total backlog of £33.6mln (£37.4mln).

The tender opportunity pipeline has grown steadily and now totals more than £240mln, up from £200mln at the same point a year earlier, representing 36 commercial tender responses within the last 12 months.

The average project size has shot up to £6mln from £3.5mln the year before, which ITM said reflects strong industrial demand for larger systems.

The quotations pipeline is strong and industrial partnerships continue to develop in all of the company’s chosen sectors, setting ITM up for “a very active second half to the year”.

The loss from operations was higher than expected at £5.3mln (2017: £2.9mln) due to cost overruns on four “first-of-a-kind” projects as well as significant investments in growing the business and recruiting more staff – the headcount has more than doubled over the past year.

"The board is pleased with the significant progress that has been achieved over the last six months. Deploying increasing numbers of MW [megawatt] scale equipment in challenging industrial environments has certainly proved the company's credentials to many industrial partners and we look forward to a very busy second half," said Roger Putnam, the chairman of ITM Power.

John-H.jpg


Register here to be notified of future Company articles
View full profile View Profile
Newswire

ITM Power reveals expansion in Germany

Article

ITM Power driving forward

View All

© tech Capital 2019

Tech Capital, a subsidiary of Proactive Investors, acts as the vanguard for listed tech companies to interact with institutional and highly capitalised investors.
Headquartered in London, Tech Capital is led by a team of Europe's leading analysts and journalists, publishing daily content, covering all key movements in the Technology market.