Ceres Power Holdings Plc · LSE:CWR
Ceres Power — Ceres Power Hldgs — H1 2023 Earnings Presentation
20 slides from Ceres Power's earnings presentation, Sep 28, 2023
Slide 1: Interim results
Interim results For the six months ended 30 June 2023 Ceres Power Holdings plc 28 September 2023 Ceres Power Holdings plc | Full year results
Slide 2: Strong operational and strategic momentum
Strong operational and strategic momentum • Bosch and Doosan progressing towards start of production, with Bosch receiving • Electrolysis testing surpassing expectations. Collaboration for SOEC signed with Linde Engineering and Bosch • In active discussions with a growing pipeline of potential licen
Slide 3: Weichai collaboration and China JV
Sector focus: SOFC Weichai collaboration and China JV • Continued delay of signing the China Weichai appoints new Board Director JVs with Bosch and Weichai, means we do not expect associated revenue Dr. Nannan Sun, Assistant President of to be recognised this year Weichai Power said: join the Ceres
Slide 4: Financial update
Financial update Eric Lakin
Slide 5: Financial overview
Financial overview For the six months ended 30 June 2023 Revenue Gross margin Cash and short-term Employees investments £11.3m 61% £161.2m 586 up 17% vs H1 2022 H1 2022: 49% 1 Dec 2022: £182.3m Dec 2022: 570 Gross profit Adjusted EBITDA Order backlog 2 Planned partner capacity £6.9m (£23.8m) £61.1m
Slide 6: Revenue and gross profit
Revenue and gross profit Sector leading gross margins maintained Revenue and gross profit £m • Top line growth and margins highly influenced by the timing of licence fee revenue recognition 6 Ceres Power Holdings plc Note. As R&D expenditure credits become more significant, we elected to exclude fro
Slide 7: Revenue mix evolution
Revenue mix evolution Revenue mix and gross margin % • Licence fee revenue very high margin (can be recognised up-front or over time) • Supply represents prototype technology (cells and stacks) to partners for development • Engineering services joint development and collaboration with partners acros
Slide 8: Planned investment on track
Planned investment on track Investment in the future £m • £30.6m (H1 2022 £25.7m) driven largely by growth in SOEC R&D, and investment in SOFC capability • Capital investment in 2023 to further enhance pilot manufacturing and testing capacity and capability * R&D spend before depreciation, amortisat
Slide 9: Reduced cash outflows in 2023
Reduced cash outflows in 2023 Free cash flow (plus cash and short-term investments) £m • On track for reduced cash outflows in 2023 compared to 2022, in line with plan (H2 cash outflow expected to be higher than H1 2023 but lower than H2 2022) • Interest income (on an accruals basis) increased to £2
Slide 10: Business strategy
Business strategy Phil Caldwell
Slide 11: Platform technology to address significant global markets
Platform technology to address significant global markets FUEL IN RENEWABLE ENERGY IN 11 Ceres Power Holdings plc | Interim results
Slide 12: Strategy for future growth
Strategy for future growth To enable our • Doosan and Bosch moving towards start of series production licence partners • Bosch has received to succeed • Demonstrations progressing well with Shell, and with Bosch and Linde To build Engineering commercial scale • Building engagement through the hydrog
Slide 13: Doosan manufacturing facility nearing completion
Sector focus: SOFC nearing completion • All machinery and processes have Product development for new markets undergone factory acceptance testing Doosan has secured a domestic supply • Installation on site is underway, and chain and laid the foundations for commissioning is on schedule for growth be
Slide 14: Bosch receives funding for SOFC power units
Sector focus: SOFC Bosch receives funding for SOFC power units • Funding for the mass production and Recent deployments series ramp-up of the solid oxide fuel cell under the EU's IPCEI Hydrogen Publicly funded project using 100kW of Program SOFC for electricity and heat at Erkelenz • Plug-and-play o
Slide 15: Collaboration with Bosch and Linde Engineering
Sector focus: SOEC Collaboration with Bosch and Linde Engineering • Three-way collaboration electrolysis (SOEC) technology for large scale industrial applications Bosch has significant expertise in product industrialisation and mass • Validate performance of a high- manufacturing. efficiency pathway
Slide 16: MW-class SOEC system installed at test site in Germany
MW-class SOEC system installed at test site in Germany 16 Ceres Power Holdings plc | Interim results
Slide 17: Modular scale-up concept
Modular scale-up concept Cell Stack Stack array Module Plant 30-150W 10-50 kW 100-500 kW 1-5 MW 100MW-GW Industrial de-carbonisation of green steel, green ammonia, e-fuels. Chemicals, oil and gas. 17 Ceres Power Holdings plc | Interim results
Slide 18: Engagement through the hydrogen value chain
Engagement through the hydrogen value chain Stack Module System EPC Hydrogen manufacturer manufacturer integrator end user 18 Ceres Power Holdings plc | Interim results
Slide 19: Outlook and focus for the year ahead
Outlook and focus for the year ahead • Bosch and Doosan progressing towards start of production • Demonstrator programmes for green hydrogen on track with Shell, and with Bosch and Linde Engineering • Full-year revenue growth subject to the timing of securing new licence partners • Growing pipeline
Slide 20: Questions
Questions Investor Relations investors@cerespower.com Ceres Power Holdings plc Viking House, Foundry Lane, Horsham RH13 5PX T: +44 (0)1403 273463 | E: info@cerespower.com