Ceres Power says it's on track for a 'strong' 2024

Ceres Power posted higher full-year sales and gross profits and said that it was on track for a "strong" 2024.

"After a challenging 2023, Ceres is already on track for a strong year in 2024, underpinned by a significant new licence deal with Delta, our first to include SOEC," chief executive officer Phil >Caldwell said.

"This is further validation of our strategy to accelerate investment into SOEC our green hydrogen technology and adds to our series of world class partnerships as we continue to scale our business globally."

The company posted a 12.6% jump in sales for the year ending on 31 December to reach £22.3m.

Gross profit meanwhile increased 27% to reach £13.6m, with gross margins improving from 54% to 61%.

Its cash outflow was cut from £67.3m during the prior year to £42.4m.

As at 31 December the company held £140m of cash and short-term investments, which was down from £182.3m in 2022.

Management said that post period end, in January, it signed a "significant" new fuel cell and electrolysis license with Delta Electronics for staged revenues of £43m for Ceres.

Half of that amount would be recognised in 2024.

The company expressed confidence that revenues from its existing partnerships was set to double versus the prior year tally.