Hexagon Purus (HPUR) Q2 2024 earnings summary

Executive summary

• Achieved record Q2 2024 revenue of NOK 528 million, up 60% year-over-year, and LTM revenue of NOK 1,682 million, up 44% year-over-year.

• Hydrogen Mobility & Infrastructure segment reached EBITDA breakeven ahead of plan, delivering NOK 17 million EBITDA and a 3% margin in Q2 2024.

• Launched Tern RC-8 truck for Hino program and announced partnership with Toyota to supply hydrogen and battery systems for heavy-duty trucks in North America.

• Order backlog at NOK 1 billion, with about 90% for execution in 2024, supporting confidence in full-year revenue targets.

• Secured up to CAD 8.5 million in Canadian funding for battery electric vehicle technology investments.

Financial highlights

• Q2 2024 revenue: NOK 528 million (+60% YoY); YTD revenue: NOK 935 million (+63% YoY); LTM revenue: NOK 1,682 million (+44% YoY).

• Group EBITDA margin improved to -18% in Q2 2024 from -27% last year; YTD EBITDA margin at -21% vs. -35% last year.

• HMI segment Q2 2024 revenue: NOK 526 million (+71% YoY); EBITDA margin at 3% (NOK 17 million positive EBITDA).

• BVI segment Q2 2024 revenue: NOK 2 million; ramp-up phase with significant revenue expected in H2/Q4 2024.

• Loss after tax: -NOK 221 million (vs. -NOK 147 million last year); cash position at quarter end: NOK 543 million; equity ratio at 40%.

Outlook and guidance

• 2024 targets: at least 50% revenue growth and significant EBITDA margin improvement.

• 2025 targets: NOK 4–5 billion revenue and group-level EBITDA breakeven.

• 90% of 2024 revenue target secured via backlog and recurring agreements; strong demand expected for 2025.

• Major revenue recognition for battery electric vehicles for Daimler and Hino expected in Q4 2024, driving 2025 growth.

• BVI segment to become EBITDA positive by end of 2025; group cash flow positivity targeted for late 2026 or early 2027.