Nel (NEL) investor relations material

Executive summary

• Q2 2026 revenue from contracts with customers was NOK 153 million, down 12% year-over-year; total revenue and income reached NOK 182 million, down from NOK 215 million.

• EBITDA was NOK -155 million, impacted by a NOK 70 million one-off settlement; net loss widened to NOK -189 million from NOK -131 million.

• Order intake surged 224% year-over-year to NOK 230 million, with backlog at NOK 1,213 million, up 9% sequentially but down 3% year-over-year.

• Cash balance at quarter-end was NOK 1,328 million, a 31% decrease from Q2 2025.

• CEO Håkon Volldal announced his resignation, with a six-month notice period and ongoing search for a successor.

Financial highlights

• Revenue from contracts with customers declined 12% year-over-year to NOK 153 million; Alkaline revenue fell 14%, PEM revenue dropped 10%.

• EBITDA loss increased by NOK 69 million year-over-year, mainly due to the NOK 70 million settlement.

• Net income was NOK -189 million, compared to NOK -131 million in Q2 2025.

• Net cash flow from operating activities was NOK 2 million, compared to NOK -53 million last year.

• Personnel expenses decreased 9% year-over-year, with headcount at 313.

Outlook and guidance

• Order momentum is expected to improve as new pressurized alkaline technology gains traction, but large-scale orders may take a few quarters to materialize.

• Profitability remains dependent on higher revenues as investments in next-generation technologies continue.

• Several promising projects in the 50-150 MW range are expected to reach FID in upcoming quarters.

• Europe remains the most promising market, with policy support and project activity, while the U.S. market is more challenging due to fewer subsidies and off-takers.

• Strategic partnerships and continued investment in next-generation technologies support future growth.