ITM Power FY revenues more than triple, guidance disappoints

Energy storage and clean fuel company ITM Power said on Thursday that revenues had more than tripled in the 12 months ended 30 April.

ITM Power said revenues had grown from £5.2m to £16.5m, at the top end of its £10.0m-18.0m guidance, while adjusted underlying losses had improved from £94.2m to £30.4m, well ahead of its £45.0m-50.0m guidance. Net cash of £230.0m was also ahead of its £200.0m-220.0m guidance.

However, ITM issued disappointing guidance for the next year, stating it now expects to report revenues of £18.0m to £22.0m, well and truly short of consensus estimates of £33.0m. Adjusted operating losses were expected to be £35.0m-40m.0m, above consensus of £33.0m, while net cash was expected to finish at £160.0m-175.0m, in line with expectations.

Chief executive Dennis Schulz said: “We completed our 12-month plan and transformed ITM into a credible delivery organisation. Today, we have a focused and highly competitive portfolio of products, all utilising the same market-leading stack technology which we can deploy into projects of any size and into almost every region of the world.

“We also have achieved a shift in culture of doing things right the first time, and prioritising quality over quantity, which is becoming increasingly evident in our day-to-day operations. As a result, EBITDA losses in the financial year decreased to one-third of the previous year, whilst we were able to grow revenues threefold. We now have a disciplined approach to the use of our capital, which is reflected in our year-end net cash position."

As of 0950 BST, ITM Power shares were down 2.06% at 56.95p.

Reporting by Iain Gilbert at Sharecast.com