Business
Trading Update
Trading Update.
About this update from Ceres Power Holdings Plc
[{"type":"text","content":"\n\nCWR.L\n \n25 July 2023\n \nCeres Power Holdings plc\n \nTrading Update\n \nProgress in green hydrogen technology driving commercial interest\n \nHorsham, UK: Ceres Power Holdings plc (\"Ceres\", the \"Company\") (CWR.L), a global leader in fuel cell and electrochemical technology, today provides the following update ahead of the announcement of its interim results for the six months ended 30 June 2023, which will be released on Thursday 28 September 2023. \n \nFinancial\n· Revenue for the six months to 30 June 2023 is expected to be approximately £11 million (H1 2022: £9.7m)\n· Gross margins are expected to be around 55-60% (H1 2022: 55%)\n· Cash and short-term investments were approximately £162 million as at 30 June 2023\n· On 29 June 2023, Ceres successfully moved to the Main Market of the London Stock Exchange from AIM\n \nCurrent trading and outlook\n· Bosch and Weichai have reconfirmed to Ceres their commitment to the China JVs and are targeting signature this year. However, given the continued delay which is not within Ceres' control, and the time required post signature for regulatory clearances, we are taking a prudent view that the revenue associated with the JVs is now unlikely to be recognised this year. This reduces our expectation for 2023 by an estimated net £15m (compared with current market consensus[1]), by moving revenue associated with the China JVs to 2024, partially offset by the anticipation of additional licence fee revenue from new contract wins this year.\n· The Company continues to expect full-year revenue growth against the prior year as a result of the growing pipeline of potential new licence partners with whom the Company is in active discussions. The Company will update guidance as appropriate once any new material commercial contracts are signed.\n· Bosch's 'Power Units' have received European funding of ~€160 million as an Important Project of Common European Interest (IPCEI) to enable the mass production of its solid oxide fuel cell product, utilising Ceres' stack technology.\n· Building construction is nearing completion on Doosan's 50MW factory in South Korea. All machinery...