Gelion (GELN) H1 2025 earnings summary

Executive summary

• Advanced sulphur and silicon-sulphur battery technology, achieving 402 Wh/kg energy density with GEN 3 Li-S, and positioning for high-value and mass markets.

• Integration Solutions division launched, now revenue-generating with a £1m commercial order and plans to double sales.

• Secured major grants, including £2.5m from the Australian Government for the Advanced Commercial Prototyping Centre, supporting in-house lithium-sulphur pouch manufacturing.

• Strategic partnerships and collaborations underway in silicon-sulphur, solid-state, and recycling technologies, with ongoing UK government support.

• Board strengthened with the appointment of Dr Graham Cooley as Non-Executive Director.

Financial highlights

• Adjusted EBITDA loss improved to £2.9m in H1 FY25 (H1 FY24: £3.2m), driven by increased grant income and stable costs.

• Total income rose to £0.4m (H1 FY24: £0.04m), mainly from grant income.

• Cash position at 31 December 2024 was £3.5m, with no debt.

• Total cost base reduced by 21% since FY23, with £1.6m in cost savings since November 2023.

• Loss per share improved to 2.6p (H1 FY24: 3.6p) on a higher share count.

Outlook and guidance

• 2025 focus on advancing sulphur technology leadership, commercial milestones, and prudent cost management.

• Revenue and gross margin from commercial orders expected in H2 FY25.

• On track to deliver minimum viable performance for lithium-sulphur batteries, targeting high-performance niche applications and licensing opportunities.

• Additional capital investment required in the short term; cash runway projected to last until just after June 2025, with risk of dilution if value inflection is not achieved.

• Strategic partnerships and investor engagement are key to growth and value realization.