PowerCell (PCELL) Q1 2025 earnings summary

Executive summary

• Net sales rose 42% year-over-year to SEK 74.1m, driven by increased OEM deliveries and a major 2 MW order in the maritime sector.

• EBITDA improved to minus SEK 6 million, moving closer to breakeven.

• Secured a SEK 150 million OEM order for the new methanol-to-hydrogen fuel cell power plant, indicating strong early traction for new products.

• Received AS 9100/AS9100D certification, enhancing credibility for aviation and industrial customers.

• Operating income improved to SEK -11.3m from SEK -29.3m, and net income was SEK -15.7m versus SEK -25.1m year-over-year.

Financial highlights

• Net sales: SEK 74.1m (Q1 2025) vs SEK 52.1m (Q1 2024), up 42%.

• Order intake from product sales exceeded SEK 150 million for the third consecutive quarter.

• Rolling nine-month order intake surpassed SEK 50 million per month.

• Gross profit: SEK 27.5m (Q1 2025) vs SEK 24.6m (Q1 2024); gross margin 37.1% (down from 47.2%).

• Foreign exchange effects negatively impacted Q1 top line by SEK 18 million and EBITDA by SEK 8 million.

Outlook and guidance

• Strategic focus for 2025 is achieving breakeven on a rolling 12-month basis, not necessarily within the calendar year.

• Demand remains steady with more customers moving to industrialization and scaling, though decision cycles are slowed by global uncertainty.

• Continued investment in innovation and next-generation product development to maintain competitiveness, even if it delays breakeven.

• Management expects ongoing volatility in customer investment timing due to macroeconomic conditions.

• Market remains challenging with longer decision cycles and mixed policy signals, but customer demand and structured procurement are increasing.