Slide 1: ITM Power | Final Results | September 2021
ITM Power | Final Results | September 2021 Graham Cooley CEO, ITM Power plc Andy Allen CFO, ITM Power plc 1
Slide 2: ITM Power Positioning
ITM POWER POSITIONING HYDROGEN ENERGY SYSTEMS ITM Power Positioning ▪ ITM Power manufactures world leading, field-proven PEM electrolysers ▪ ITM Power has the largest PEM electrolyser factory in the world Only One Net-Zero Fuel | Green Hydrogen: ▪ PEM Electrolysis powered by renewables is the only v
Slide 3: The Macro Market
THE MACRO MARKET HYDROGEN ENERGY SYSTEMS 7th June 2021 The Macro Market ▪ IEA: 322m Tonnes of electrolytic hydrogen needed by 2050 ▪ IEA: global electrolyser capacity of 3,585GW needed by 2050 ▪ Aurora: Current pipeline of electrolysers is over 200GW ▪ Aurora: 85% of the 200GW is in Europe ▪ Nationa
Slide 4: Key Achievements
KEY ACHIEVEMENTS HYDROGEN ENERGY SYSTEMS Key Achievements in the period: ▪ Record Backlog: 310MW ▪ Record Tender pipeline: 1,011MW (1GW+) ▪ Bessemer Park Gigafactory fully operational ▪ 10MW Refhyne delivered ▪ Plans for 100MW Refhyne II announced ▪ 100MW Humber FEED study completed ITM Power 10MW S
Slide 5: Results | Backlog and Pipeline
RESULTS | BACKLOG AND PIPELINE HYDROGEN ENERGY SYSTEMS Financial results (figures in brackets Oct 2020 results): 09/2021 10/2020 % Change ▪ Work in Progress** of £36m (£16m) up 125% YoY constituting 43MW of electrolysers Work in Progress* £36m £16m 125% ▪ Contracts backlog* of £171m (£118m) up 26% Y
Slide 6: Backlog & Tender Pipeline
BACKLOG & TENDER PIPELINE HYDROGEN ENERGY SYSTEMS Backlog & Tender Pipeline (MW) Backlog (MW) Contracted + In Negotiation Record Backlog*: ▪ Total: 310MW ▪ Contracted: 43MW ▪ Negotiation: 169MW ▪ Preferred supplier: 98MW Record Tender Pipeline**: ▪ Total: 1,011MW (1GW+) vs 593MW in June ‘21 ▪ Increa
Slide 7: Products & Projects
PRODUCTS & PROJECTS HYDROGEN ENERGY SYSTEMS Containerised Plug & Play 2MW 5MW 800kg/day 2100kg/day Project Product Platform Integration 0-4 MW Plug & Play ITM 4-20 MW Plug & Play and 2MW Modular ITM or ILE 2MW & 5MW Modular 21-80 MW 2MW Modular ILE 81 MW+ 5MW Modular ILE Backlog: 310MW | Tender pipe
Slide 8: Tender Pipeline
TENDER PIPELINE HYDROGEN ENERGY SYSTEMS Record Tender Pipeline: ▪ Total: 1,011MW (excludes feasibility and FEED studies) ▪ Excludes wider pipeline development ▪ Increasingly weighted towards larger projects Project size distribution: Project Product Platform Integration Total MW No. Projects 0-4 MW
Slide 9: Tender Opportunity Pipeline Graphs
TENDER OPPORTUNITY PIPELINE GRAPHS HYDROGEN ENERGY SYSTEMS Tender Opportunity Pipeline : ▪ Industrial hydrogen driven by the transition to Net zero ▪ Renewables aligning with the O&G industry ▪ EMEA Leading ▪ APAC Fast follower ▪ AMER Earthshot not yet reflected Region (MW) Energy Industrial Mobilit
Slide 10: Total Cost of Ownership
TOTAL COST OF OWNERSHIP HYDROGEN ENERGY SYSTEMS Delivering the Lowest LCoH2 Lowest H2 Production Costs • Performance • Testing • Technology roadmap Total Cost of Ownership | Winning orders through lowest LCoH2 Lowest Full System Price ▪ Hydrogen production cost dominated by electrolyser performance
Slide 11: Strategic Partnerships
STRATEGIC PARTNERSHIPS HYDROGEN ENERGY SYSTEMS Strategic Partnerships Crucial to Success ▪ Building partnerships, rather than just supplier-customer relationships ▪ Long-term strategic partnerships are key to its future success ▪ Counterparties with the greatest potential to deploy electrolyser capa
Slide 12: Financial Results: Key Drivers and Results Snapshot
100MW FEED Study | Gigastack, Humberside Financial Results: ▪ Key Drivers ▪ Results Snapshot Performance: ▪ Revenue ▪ EBITDA ▪ Cash ▪ Guidance ▪ Summary Andy Allen | CFO | Financial Results 12
Slide 13: Key Drivers | Year Ended April 2021
KEY DRIVERS | YEAR ENDED APRIL 2021 HYDROGEN ENERGY SYSTEMS Moving into Bessemer Park: ▪ Moved in January 2021 | Opened by Secretary of State in August 2021 ▪ Fitout of factory: Semi automation | Blueprint for further expansion ▪ Capacity scalable to 1GW within six months: able to respond to demand
Slide 14: Financial Snapshot | Year Ended April 2021
FINANCIAL SNAPSHOT | YEAR ENDED APRIL 2021 HYDROGEN ENERGY SYSTEMS Total income of £5.1m (£5.4m), down 6%, comprising: ▪ Sales revenue: £4.3m (2020: £3.3m) up 30% ▪ Collaborative grant income recognised: £0.8m (2020: £2.1m) down 62.9% Adjusted EBITDA Loss* of £21.4m, (£18.1m), increased by 20% ▪ Gro
Slide 15: Revenue Bridge | Year Ended April 2021
REVENUE BRIDGE | YEAR ENDED APRIL 2021 HYDROGEN ENERGY SYSTEMS Total Income weighted towards sales revenue ▪ Product sales down £0.6m | Covid and IFRS 15 impact ▪ Consultancy up | Gigastack development | Future sales ▪ Maintenance offering developing ▪ Fuel sales down due to Covid Commercial revenue
Slide 16: EBITDA Bridge | Year Ended April 2021
EBITDA BRIDGE | YEAR ENDED APRIL 2021 HYDROGEN ENERGY SYSTEMS Positioning for growth: ▪ Gross margin impact of exiting EPC scope of projects ▪ Includes Refhyne 10MW project, inaugurated July 2021 Investing in the future ▪ Payroll increased by £0.8m | experienced hires ▪ Investment in JV, ILE | Recor
Slide 17: Resources
RESOURCES HYDROGEN ENERGY SYSTEMS Investment in skills & experience: ▪ FTEs as at 31 August of 305 Strengthening the management team ▪ Filled CoSec and Ops Director vacancies ▪ Seeking Projects Director New starters heavily weighted to delivery: ▪ Production and Quality 27 Automation, testing, proce
Slide 18: Cash Bridge | Year Ended April 2021
CASH BRIDGE | YEAR ENDED APRIL 2021 HYDROGEN ENERGY SYSTEMS Strong balance sheet: ▪ £176.1m cash at year end (£39.9m) Bessemer Park: ▪ Capital Expenditure of £10.4m | Semi automation Bessemer Park Partnerships ▪ Beginning to build to Inventory Partnerships ▪ Invested £0.5m in Joint venture | Support
Slide 19: Guidance
GUIDANCE HYDROGEN ENERGY SYSTEMS Manufacturing, Bessemer Park Current year guidance: ▪ Core stack module production in excess of 55MW ▪ Completed product production volume 33-50MW ▪ Revenue recognition depends on: ▪ Site access and travel restrictions ▪ Micro-chip and steel availability ▪ Revenue he
Slide 20: Summary
SUMMARY HYDROGEN ENERGY SYSTEMS ITM Power Hosts Energy & Mining Ministry Delegation from Chile Summary of Results and Progress: ▪ Results in line with the June 10th trading update ▪ Record Backlog: 310MW ▪ Record Tender pipeline: 1,011MW (593MW, 10th June 2021) ▪ Strong market & policy momentum ▪ Gr
Slide 21: ITM Power | Final Results | Sept 2021
ITM Power | Final Results | Sept 2021 Graham Cooley, CEO, ITM Power plc Andy Allen, CFO, ITM Power plc From Bessemer Park 21