Published: 2022-11-01 07:49:07 CET
Green Hydrogen Systems A/S
Interim report (Q1 and Q3)

16/2022 Green Hydrogen Systems - Trading statement Q3 2022

Company announcement 16/2022

Trading statement Q3 2022

Performance highlights for Q3 2022

  • Green Hydrogen Systems sees continued progress and has, in Q3 2022, delivered additional A-Series electrolyser units to customer sites. These electrolysers will undergo tests in a production environment as part of a full hydrogen production value chain in order to obtain a final site acceptance test and revenue recognition
  • The electrolysers delivered in Q2 2022 continue to show positive initial test data and are producing hydrogen in line with our expected specifications
  • Expansion of production facilities to an initial 400 MW electrolyser capacity progressing ahead of plan and according to budget. Commissioning of production facilities to commence in late 2022 and to be completed by mid-2023 which will enable scalable serial production of the A-Series and later on the X-Series
  • Development of the X-Series prototype progresses as planned. Major key components such as stacks, piping and gas purification modules are assembled and mounted to the base frame. Delivery to customer test site expected in Q1 2023
  • Partnership with Burmeister & Wain Scandinavian Contractor for installation and commissioning of the first X-Series prototype

Guidance for 2022

Based on progress related to assembly and delivery as well as positive operational test data for the A-Series versions delivered for testing at customer sites the full-year guidance for 2022 (updated 25 August 2022) is maintained:

  • Revenue, DKK 1 to 19 million
  • Gross profit, DKK -20 to -15 million
  • EBITDA, DKK -255 to -235 million
  • EBIT, DKK -290 to -270 million
  • CAPEX, DKK 310 to 350 million, of which around DKK 125 million is allocated to the expansion of the production capacity

The revenue guidance range reflects the uncertainty of the exact timing of the initial electrolysers passing revenue recognition criteria within the 2022 calendar year.

Sebastian Koks Andreassen, CEO of Green Hydrogen Systems comments:

“We are pleased to report that we receive positive production test data from our delivered and onsite installed electrolyser units, and we will continue to push additional electrolyser units to the customer sites for final installation stages in the coming months.

While we have started delivery of the first A-Series units, our production facility expansion in Kolding, Denmark, progresses on budget and ahead of plans and we expect to start commissioning from next month which will enable us to initiate scalable serial production of the A-Series and later the X-Series.

We see political steps related to the green energy transitions in EU with the RePowerEU plan and from the US Inflation Reduction Act. The Inflation Reduction Act will push green hydrogen to become the most viable and attractive alternative to fossil fuels in an intensively fossil fuel US energy market.
These significant political plans could spur a worldwide push for electrolyser demand and add to the current imbalance seen between electrolyser production capacity and the project developers increased appetitive for electrolysers. A demand our chosen pressurised alkaline electrolyser platform is well positioned to benefit from.

Pressurised alkaline electrolysis holds the potential to be the preferred electrolysis technology for large scale projects as it can cater for variant power loads from renew- able energy sources, lowers the physical footprint of the hydrogen production facility on site, and has no reliance on critical materials and scarce metals.”

Conference call details

In connection with the announcement of the Trading statement for Q3 2022, Green Hydrogen Systems will host a conference call. The conference call will be held on 1st November 2022 at 9:30 CET.
Please visit investor.greenhydrogen.dk to access the presentation used for the meeting.

Link to the webcast

DK: +45 32 71 49 89
UK: +44 (0) 203 059 58 70

For more info please contact:

Jens Holm Binger
Head of Investor Relations
+45 6065 6525, jhb@greenhydrogen.dk

Jesper Buhl
Head of Public Affairs and Media Relations
+45 5351 5295, jbu@greenhydrogen.dk

Forward-looking statements

This announcement contains forward-looking statements. Words such as ‘believe’, ‘expect’, ‘may’, ‘will’, ‘plan’, ‘strategy’, ‘prospect’, ‘foresee’, ‘estimate’, ‘project’, ‘anticipate’, ‘can’, ‘intend’, ‘outlook’, ‘guidance’, ‘target’ and other words and terms of similar meaning in connection with any discussion of future operating or financial performance identify forward-looking statements. Statements regarding the future are subject to risks and uncertainties that may result in considerable deviations from the outlook set forth. Furthermore, some of these expectations are based on assumptions regarding future events which may prove incorrect.

Please also refer to the overview of risk factors in the Annual Report 2021 available at greenhydrogen.dk.

Source: Green Hydrogen Systems
Ticker: GREENH
Tag: Company announcement



Green Hydrogen Systems - Trading statement Q3 2022 v1.pdf