Hydrogenpro Asa · OSL:HYPRO
Hydrogenpro Asa — Q4 2024 Earnings Presentation
30 slides from Hydrogenpro Asa's earnings presentation, Feb 25, 2025
Slide 1: Q4 2024 Presentation
Q4 2024 Presentation 25 Februrary 2025
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements and information, including assumptions, opinions and views of the Company or third-party sources, and are solely opinions and forecasts which are subject to risks, uncertainties and other factors that may cause actual results and event
Slide 3: Agenda
Agenda › Quarterly highlights › Financials Q&A
Slide 4: Highlights
Highlights 1 2 3 Revenues of NOK 70 million in ANDRITZ and MHI invested NOK New manufacturing line of advanced Q4 2024, with 41% gross 70 million, plus NOK70 million by electrodes in Denmark to start up margin LONGi (pending approval) @ 22% premium 4 5 Main components delivered on Full-scale validat
Slide 5: Implementation of a solid HSE culture gives results
Implementation of a solid HSE culture gives results Lost Time Injuries Frequence - Last Twelve Months 3,3 3,00 3,00 3,00 2,00 1,80 1,80 1,80 0,96 0,59 0,00 0,00 Feb-24 Mar-24 Apr-24 May-24 Jun-24 Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 5
Slide 6: Serving industrial applications and hard-to-abate sectors
Serving industrial applications and hard-to-abate sectors Power-To-Gas Refinery/ Decarbonization Renewables Synthetic fuel H2 Balancing the grid + O2 H2O Fertilizer/ ammonia Water Steel Production 6
Slide 7: HydrogenPro delivers 2 of the 10 largest projects estimated online in 2025
HydrogenPro delivers 2 of the 10 largest projects (excl. China) estimated to come online in 2025 (Electrolyser capacity MW p.a.) 800 500 320 250 220 200 200 100 100 100 Project 1 Project 2 Project 3 Project 4 ACES Project 6 Project 7 Salzgitter Project 9 Project 10 Source: IEA “Hydrogen production p
Slide 8: Leading industry position validated by strong partners
Leading industry position validated by strong partners 2023 revenues1 NOK 100 bn NOK 350 bn NOK 130 bn # of employees 29,717 77,778 75,066 Ownership2 16.7% 12.3% 13.3% SALCOS (100 MW) + ACES (220 MW) + Projects N/A one 5.5 MW project two 5.5MW projects North America and Main focus region(s) Europe A
Slide 9: A cooperation with LONGi enables global leadership
A cooperation with LONGi enables global leadership › Enable large-scale green hydrogen plants with 1 World’s leading supplier of PV solutions competitive LCOH Large footprint in green hydrogen’s largest 2 › Access to ~2/3 of global demand for electrolysers market Advanced technology and manufacturin
Slide 10: Solid partnerships enable delivery power on large-scale projects globally
Solid partnerships enable delivery power on large-scale projects globally Customers key Scope delivered with Target customers Green hydrogen project – key components selection criteria global partners 1 2 › Well-known developers Electrolyser system › Technology of large renewable Electrolyzer Gas se
Slide 11: Our partners provide HydrogenPro with a global reach
Our partners provide HydrogenPro with a global reach Committed to energy transition and Hydrogen as a key enabler 11
Slide 12: Geopolitical tensions increases risk of delayed energy transition
Geopolitical tensions increases risk of delayed energy transition … 12
Slide 13: HydrogenPro has made proactive measures in today's market conditions
… but HydrogenPro has made several proactive measures to maneuver in today’s market conditions HydrogenPro positioning Market backdrop Headquartered in Norway combined with cost-leading supply chain position on a global scale • Market is slower than expected, leading to Raised capital from strat
Slide 14: China continues as the driving force in the renewable era
China continues as the driving force in the renewable era In 2024, mainland China invested more in the energy transition than US, EU and UK combined Energy transition investment and GDP share in 2024 Clean energy patents per year 14
Slide 15: Underlying alkaline electrolyser deliveries in 2025 and 2026 estimated to exceed NOK 50bn
Underlying alkaline electrolyser deliveries in 2025 and 2026 estimated to exceed NOK 50bn Alkaline market forecast # Electrolyser deliveries (NOK bn) Electrolyser deliveries (GW) 98 › Estimates have come down lately 86 32,5 › Estimated 19GW to be 28,5 delivered of electrolysers in 59 2025 and 2026 c
Slide 16: Despite project cancellations, HydrogenPro's pipeline remains strong
Despite several project cancellations in the market, HydrogenPro’s pipeline remains strong Definition Number of Projects Size (GW) Value ($bn)1 Pipeline • All active projects with 177 39.6 10.8 received invitation to bid last three years (173) (39.7) (10.7) Prioritized • Projects HydrogenPro priorit
Slide 17: HydrogenPro will meet the new requirements from the European Hydrogen Bank
HydrogenPro will meet the new requirements from the European Hydrogen Bank › On 27 September 2024, the European Hydrogen Bank introduced new terms where prospective projects will not be allowed to source more than 25% of electrolyser stacks — covering surface treatment, cell unit production, and sta
Slide 18: Superior positioning vs. other technologies
Superior positioning vs. other technologies Continuing R&D and technology development for cost leadership and lower LCOH PEM Alkaline High pressure Atmospheric pressure High pressure 3rd Gen Plant efficiency Low cooling need No noble materials Suitable for renewable energy High pressure on O2 Suitab
Slide 19: Delivery update on ACES and SALCOS projects
Delivery update on ACES and SALCOS projects PROJECT SIZE & USE SCOPE STATUS & NEXT STEPS • 220MW • Renewable • Electrolyser stacks + • Manufacturing completed ACES fuel for gas separator • Installation and (USA) power • 2nd gen technology commissioning in 2025 generation • Main components • 100 MW •
Slide 20: SALCOS project groundbreaking ceremony
SALCOS project groundbreaking cermony Press release 20 February 2025: 20
Slide 21: 350 MW manufacturing capacity of 3rd generation technology to start up in Aarhus
350 MW manufacturing capacity of 3rd generation technology to start up in Aarhus, Denmark › Delivered on time and below budget (NOK 70 million) › Full production later in Q1 2025 › On-going work for even further capacity expansions Pictures from Aarhus, Denmark 21
Slide 22: Joint full-scale validation program with ANDRITZ
Joint full-scale validation program with ANDRITZ › Validate stack performance and operating conditions for the SALCOS project Purpose including new design improvements to reduce shunt currents and 3rd gen technology Location › Herøya, Norway › One stack w/ 50% 3rd gen technology and gas separator +
Slide 23: Agenda
Agenda › Quarterly highlights › Financials Q&A
Slide 24: Key P&L items
Key P&L items NOK million Q4 2024 Q3 2024 Q4 2023 FY 2024 Revenue from contracts with customers 70 72 127 196 › Q4 revenues mainly related to deliveries on SALCOS project Direct materials 41 53 71 147 › Manufacturing of main components Gross profit/(loss) 29 19 56 49 completed. Gross margin 41 % 26
Slide 25: Cash balance, changes in cash and backlog
Cash balance, changes in cash and backlog NOK million Q4 2024 Q3 2024 Q4 2023 FY 2024 Cash balance start of period 188 247 133 161 EBITDA -44 -38 12 -205 Changes in NWC & other 58 -3 25 183 Investments -9 -15 -8 -25 › Investments mainly related to expansion of Financing -1 -3 -1 78 electrode manufac
Slide 26: Cost leadership is a key competitive advantage
Cost leadership is a key competitive advantage Foundation Key focus areas › One core technology › Cost measures to adjust cost base in line with project deliveries › Large-scale solutions › Very limited committed capital. Expansion in › Lean global organization with strong Denmark delivered on time
Slide 27: Cost reduction measures
Cost reduction measures 1 › Downsizing in Europe 2 › Reduced use of external consultants > 40 MNOK annual 3 › Reducing Tianjin manufacturing activity savings 4 › Shanghai office “dormant” 27
Slide 28: Agenda
Agenda › Quarterly highlights › Financials Q&A
Slide 29: Key investment highlights
Key investment highlights Vast TAM and massive growth potential for green H2 underpinned by secular tailwinds Favorable government policies provide critical support; new end markets unlock a bigger TAM for green H2 HydrogenPro’s 3rd-generation technology drives significant LCOH reductions Technology
Slide 30: Powering innovation. Energizing tomorrow.
POWERING INNOVATION. ENERGIZING TOMORROW. \4ydrogenPro