ITM Power FY revenues more than triple, guidance disappoints

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