ITM Power: Hydrogen specialist sets sights on greener pastures
Hydrogen power producer ITM Power said it is making “substantial progress” towards building a solid operating year with both revenues and losses in line with expectations.
In a trading update circulated this morning, the firm reported half-year revenues of £7.5m, within the £10-18m full-year guidance, and an adjusted EBITDA loss of between £22-23.5m against a full-year guidance of £45-55m.
It also revealed net cash at the end of the first half of the year of £253.7m, against full-year guidance of £175-200m.
Based in Sheffield, ITM Power specialises in making electrolysers, devices which use electricity to split water into hydrogen and oxygen — a fundamental part of the green hydrogen generation.
The company’s chief executive Dennis Schulz said that six months into a one-year turnaround plan, the company is building a “strong foundation” and there is “already a picture of a new ITM”.
The old ITM had its fair share of woes in recent months.
Amid soaring debts and production difficulties, the company has seen its share price sink ever-lower, now sitting at a four-year low of 51.48p, far removed from the heights of 666p in February 2021.
Within the last 12 months, over one hundred workers were made redundant as a cost-saving measure and former chief executive Graham Cooley resigned after overseeing losses triple within 12 months.
Despite difficulties, the company recently vowed to list in the US, swayed by the Inflation Reduction Act.
The news, announced in October, was one of many recent blows to the UK’s energy sector — which has adopted its own 10GW target of hydrogen generation over the current decade.