Slide 1: Fourth quarter & full year 2024 results presentation
Fourth quarter & full year 2024 results presentation 26 February 2025 @2025 Nel – All right reserved
Slide 2: Forward-looking information
Forward-looking information This Presentation includes and is based, inter alia, on forward-looking Although Nel ASA believes that its expectations, estimates and projections information and statements relating to the business, financial performance are based upon reasonable assumptions, it can give
Slide 3: Agenda
Agenda 1. Nel in brief 2. Q4 and FY 2024 highlights 3. Commercial update 4. Technology update 5. Summary and outlook 6. Q&A @2025 Nel – All right reserved
Slide 4: 1. Nel in brief
1. Nel in brief @2025 Nel – All right reserved
Slide 5: A fully dedicated electrolyser technology company
NEL IN BRIEF A fully dedicated electrolyser technology company Listed on the Oslo Stock Exchange Leading pure-play electrolyser 1 GW of ALK manufacturing capacity ~400 employees (NEL.OSE) since 2014 manufacturer with >7 000 stacks (Norway) delivered to more than 80 countries 500 MW of PEM manufactur
Slide 6: Nel's value proposition
6 NEL IN BRIEF Nel’s value proposition Unrivalled track record • Decades of experience • Large installed base Technology leadership • Multiple technology platforms (AWE+PEM) • Guaranteed and proven performance • Game-changing next-generation solutions Cost and scale leadership • Front-runner in cost
Slide 7: 2. Q4 and FY 2024 highlights
2. Q4 and FY 2024 highlights @2025 Nel – All right reserved
Slide 8: Quarterly highlights
Q4 2024 Quarterly highlights Financial results and financing Key highlights in Q4 2024 (from continuing operations) • 10 MW purchase order from Samsung C&T Revenue from contracts with customers • Purchase order for one MC250 from Trillium NOK 416 million • Selected for EUR 135 million in grants for
Slide 9: Group financials
Q4 2024 Group financials (Continuing operations) Q4 2024 Q4 2023 FY 2024 FY 2023 • Revenues in the quarter positively (NOK million) (restated) (restated) impacted by increased deliveries of PEM electrolyser equipment and the Revenue from contracts with customers 416 412 1 390 1 350 Reliance IP shari
Slide 10: Group financials 2020-2024
Q4 2024 Group financials 2020-2024 (Continuing operations) Revenue, EBITDA and EBITDA margin development (NOK million / %) 1500 1390 0% 1350 1300 -10% -12% 1100 -20% -20% 900 708 -30% 700 500 436 -40% 279 300 -50% -52% 100 -60% -60% -100 -145 -70% -173 -70% -300 -306 -272 -500 -428 -80% 2020 2021 20
Slide 11: Alkaline electrolyser financials
Q4 2024 Alkaline electrolyser financials Alkaline Electrolyser Revenue and EBITDA • Revenues were up 10% in the (NOK million) quarter compared to Q4’23, and Revenue 15% for FY24 vs. FY23 302 254 262 196 238 224 220 • EBITDA in Q4’24 improved by 187 NOK 26m YoY due to higher revenues, solid gross mar
Slide 12: Alkaline electrolyser financials 2020-2024
Q4 2024 Alkaline electrolyser financials 2020-2024 Alkaline Electrolyser Revenue and EBITDA (NOK million) Revenue 1,009 876 339 72 53 2020 2021 2022 2023 2024 EBITDA margin -3% 13% -55% -54% -269% 2020 2021 2022 2023 2024 @2025 Nel – All right reserved
Slide 13: PEM electrolyser financials
Q4 2024 PEM electrolyser financials PEM Electrolyser Revenue and EBITDA • Substantially higher revenues QoQ, (NOK million) but down 12% YoY Revenue 174 153 • EBITDA in the quarter improved by 117 NOK 17m YoY, whereas FY24 EBITDA 107 112 was reduced by NOK 35m 77 52 64 compared to FY23 • As in the al
Slide 14: PEM electrolyser financials 2020-2024
Q4 2024 PEM electrolyser financials 2020-2024 PEM Electrolyser Revenue and EBITDA (NOK million) Revenue 474 382 369 381 207 2020 2021 2022 2023 2024 EBITDA margin -17% -21% -27% -33% -43% 2020 2021 2022 2023 2024 @2025 Nel – All right reserved
Slide 15: Order intake and backlog
Q4 2024 Order intake and backlog Order intake Order backlog (NOK million) (NOK million) 500 3 000 443 450 2 443 398 2 375 2 329 400 2 500 338 2 093 2 115 2 071 350 1 872 2 000 300 270 1 610 250 229 1 500 200 161 148 150 131 1 000 100 500 50 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2023 20
Slide 16: Backlog details
Q4 2024 Backlog details NOKm PEM Alkaline Total 1800 • 15 January 2025, Nel and client, the 1600 “undisclosed US customer” agreed 1400 to let Nel use the collateral as Significant risk of delay or cancellation 1200 consideration for the receivables 1000 • The collateral value will offset Delivery 20
Slide 17: 3. Commercial update
3. Commercial update @2025 Nel – All right reserved
Slide 18: Delivery strategy to meet client demand
COMMERCIAL Delivery strategy to meet client demand Nel alone Nel + OEM Nel + Preferred EPC Nel + Customer EPC @2025 Nel – All right reserved
Slide 19: The second 10 MW purchase order from Samsung C&T
COMMERCIAL The second 10 MW purchase order from Samsung C&T • Client: Samsung • Size: 10 MW • Value: USD ~5 million • The client will set up a demonstration plant to validate the commercial model for nuclear pink hydrogen • The aim is to produce hydrogen from excess nuclear power generation, allowin
Slide 20: The second purchase order from Trillium Transportation Fuels
COMMERCIAL The second purchase order from Trillium Transportation Fuels • Client: Trillium Transportation Fuels on behalf of the Mass Transportation Authority (MTA) of Flint, Michigan • Size: 1.25 MW • The containerized electrolyser will support the clients expansion and be part of an $20+ million i
Slide 21: The third purchase order from a major US steel producer
COMMERCIAL | S UBSEQUENT The third purchase order from a major US steel producer • Client: Undisclosed • Size: 5 MW • Value: USD ~7 million • The undisclosed customer, one of the largest US steel producers, already uses Nel’s PEM electrolysers to generate hydrogen at two other sites in the US • Nel
Slide 22: Preferred supplier for a 25MW project in Norway
COMMERCIAL | S UBSEQUENT Preferred supplier for a 25MW project in Norway • Signed LoI with Norwegian Hydrogen, naming Nel as the preferred supplier for the Rjukan project with next-gen alkaline electrolyser • Nel to supply a 25MW pressurized alkaline electrolyser delivered in phases • Technology man
Slide 23: MoU with Korea Hydrogen & Nuclear Power for developing pink hydrogen
COMMERCIAL | S UBSEQUENT MoU with Korea Hydrogen & Nuclear Power for developing pink hydrogen • Signed MoU with Korea Hydro & Nuclear Power (KHNP) to collaborate on clean hydrogen production technology • Partnership combines Nel's alkaline electrolysis expertise with KHNP's nuclear power experience
Slide 24: 4. Technology update
4. Technology update @2025 Nel – All right reserved
Slide 25: Technology strategy
TECHNOLOGY Technology strategy Current product portfolio Next generation technologies ATM Alkaline Pressurized Alkaline • Continued cost reductions and • Significant CAPEX reduction on efficiency improvements on stack level system level driven by new technology and modular design • Large cost down p
Slide 26: Pressurized alkaline status
TECHNOLOGY Pressurized alkaline status • Full cell stack assembled and pressure- tested • All long-lead components in house including transformer and rectifier • Fabrication of processing skid ongoing • Initial testing to be performed at Herøya in H1 2025 Nel Hydrogen @2025 Nel – All right reserved
Slide 27: Selected for EUR 135 million in support for industrialization of pressurized alkaline
TECHNOLOGY Selected for EUR 135 million in support for industrialization of pressurized alkaline • Nel was selected for a grant up to EUR 135 million from the EU Innovation Fund • This will enable faster market introduction of the new next- generation AWE technology • Technology development has been
Slide 28: 5. Summary and outlook
5. Summary and outlook @2025 Nel – All right reserved
Slide 29: Market perspective
S UMMARY AND OUTLOOK Market perspective • The market is showing signs of recovery, and projects continue to mature toward FID • Increased clarity around EU and US regulations in combination with national hydrogen auctions will help demand • Many of Nel’s target projects are expected to take FID in t
Slide 30: Adjusting capacity to market demand
S UMMARY AND OUTLOOK Adjusting capacity to market demand • In January workforce adjustments and a temporary production halt at Herøya were announced amid lower-than-expected order intake in 2023/24 and several projects at risk of delays or cancellations • Nel has secured overdue receivables by retai
Slide 31: Measures taken throughout 2024 to set the company up for future success
31 S UMMARY AND OUTLOOK Measures taken throughout 2024 to set the company up for future success Restructuring Improved financial completed, making Significantly performance with Nel a pure-play improved safety better cost control electrolyser performance and margins company Partnered with Organizati
Slide 32: The future belongs to the front runners
The future belongs to the front runners @2025 Nel – All right reserved