Capsol Technologies (CAPSL) Q1 2025 earnings summary

Executive summary

• Achieved 28% year-over-year revenue growth in Q1 2025, driven by paid studies, CapsolGoⓇ, and expanded demonstration campaigns, with mature pipeline up over 70% to 22 million tonnes annual CO2 capture capacity.

• Stockholm Exergi made a final investment decision to deploy the company's technology in the world's first large-scale BECCS project, validating its cost and energy efficiency and boosting market credibility.

• Mature project pipeline includes 13 projects (6.5 million tonnes) potentially reaching FID in 2026, with several licensing agreements targeted for H2 2025 and 2026.

• Expanded traction in Europe and the US across cement, energy-from-waste, BECCS, and gas turbines, with increased engagement from multinationals.

• Strengthened position as a carbon capture technology leader with new lab, expanded services, and recurring revenue per tonne CO2 captured.

Financial highlights

• Q1 2025 revenue was NOK 24.9 million, up 28% compared to Q1 2024.

• Operating expenses for the quarter were NOK 38.6 million, with a pre-tax loss of NOK -16.1 million (Q1 2024: NOK -7.9 million).

• Cash balance at end of Q1 was NOK 58.5 million, with a cash outflow of NOK 7.2 million for the quarter.

• Net cash flow from operations: NOK 0.6 million (Q1 2024: NOK -18.1 million); total assets: NOK 173.8 million; equity ratio: 58%.

• Market capitalization as of March 31, 2025: NOK 582 million.

Outlook and guidance

• Break-even targeted within the next 12 months, supported by higher value engineering work and flexible cost base.

• 13 projects in mature pipeline with potential FIDs in 2026, totaling 6.5 million tonnes CO2 and NOK 300m+ licensing revenue potential.

• Risk-adjusted 2026 EBITDA forecast at NOK 60 million, with significant upside from services and licensing.

• Targeting NOK 3bn+ licensing revenue 2025–2035 and 5–10% global market share in carbon capture technology.

• Recurring service revenues of EUR 2+ per tonne CO2 captured expected as more projects reach operations.