Ceres Power underlying losses narrow on 'strong' H1 revenue growth

Fuel cell technology group Ceres Power said on Friday that it had delivered "strong growth" in revenue and order intake in the six months ended 30 June, along with a "significant reduction" in cash outflows.

Ceres Power said revenues had skyrocketed 144% to £28.5m, while gross profits surged 217% to £22.9m, and gross margins improved from 62% to 80%. Adjusted losses were significantly reduced, dropping from £23.5m in H123 to £9.0m a year later.

The London-listed group also said it had seen record order intake from signing new contracts of £46.9m in H1, growing to £103.3m since the start of the year to 31 August.

Ceres also highlighted its "significantly reduced" cash outflow of £13.9m, dropping from £21.0m and driving "robust cash" and short-term investments of £126.1m.

Looking forward, Ceres reconfirmed its upgraded revenue guidance for the year of £50.0m to £60.0m, based on contracts secured to date.

As of 0945 BST, Ceres shares had rallied 14.89% at 230.0p.

Reporting by Iain Gilbert at Sharecast.com