Capsol Technologies (CAPSL) Q2 2025 earnings summary

Executive summary

• H1 2025 revenues reached NOK 41.3 million, up 14% year-over-year, driven by a 73% increase in the mature project pipeline to 22.6 million tonnes annual CO₂ capture capacity.

• Strong demand from large customers in cement, biomass, and energy-from-waste sectors, with new segment entry into the lime industry and expansion in North America and Europe.

• Strategic focus on cost leadership, high-value verticals, scalable business model, and global expansion, especially in Europe and North America.

• Multiple demonstration campaigns and engineering studies progressed, including major projects in Sweden, Germany, Latvia, and Lithuania.

• Strategic partnerships and financing initiatives advanced, including a NOK 30.8 million (EUR 2.6 million) green loan facility with DNB.

Financial highlights

• Q2 2025 revenue was NOK 16.4 million, slightly down from Q2 2024 due to timing of deployments and client decisions.

• H1 2025 operating expenses were NOK 76.2 million, with a 40% quarter-on-quarter reduction in other operating costs.

• Net loss before tax for H1 2025 was NOK 38.2 million; Q2 2025 pre-tax loss was NOK 22.1 million.

• Cash and cash equivalents at end of Q2 2025 were NOK 36.7 million, with liquidity position increased to NOK 67.5 million after the new loan facility.

• Equity ratio stood at 54.3% with total equity of NOK 80.8 million at quarter-end.

Outlook and guidance

• Pipeline represents unrisked licensing revenue potential of NOK 3.3 billion and NOK 1.7 billion in pre-tax profit, with NOK 0.5 billion in annual recurring revenue potential from services.

• Near-term break-even possible within 12 months, with recurring revenues anticipated from 2028 as projects come online.

• Additional CapsolGoⓇ campaigns and new business models are expected to drive near-term and long-term earnings.

• Targeting 5-10% market share in carbon capture technology licensing by 2030, with EUR 10-15 per tonne installed capacity and 40-60% pre-tax margin ambition.