Ceres Power (CWR) H2 2025 earnings summary

Executive summary

• Focused on signing new licensees, supporting partners to market, and maintaining technology leadership, with key milestones in global manufacturing partnerships and new license agreements in China, Taiwan, South Korea, and India.

• Business transformation implemented to accelerate commercialization and reduce operating costs by 20% in 2026.

• Maintained a strong cash position over GBP 83 million (£83.3m) at year-end 2025.

• Launch of single stack platform enables both power generation and green hydrogen applications.

• Significant progress in global partnerships, including first royalty revenues and factory launches.

Financial highlights

• Revenue for 2025 was £32.6m, down 37% year-over-year from £51.9m in 2024.

• Gross margin remained robust at 70%, though down from 79% in 2024, with gross profit at £22.7m.

• Cash outflow reduced to £19.2m in 2025, with strong cash discipline.

• Revenues remain dependent on signing new manufacturing license agreements; Weichai signed late in 2025, revenue recognition deferred to 2026.

• First royalty revenues recognized from Doosan at year-end.

Outlook and guidance

• Priorities for 2026 include signing new manufacturing licenses, accelerating partners to market, and launching a single stack technology platform.

• Contracted revenue for 2026 is approximately £45m.

• Operating costs expected to be reduced by around 20% by end of 2026.

• Royalties expected to become material from 2027 as partners scale production.

• Market opportunity for solid oxide power generation estimated at 22 GW by 2030, with strong demand in data centers and industrial sectors.