Hexagon Purus (HPUR) Q4 2024 earnings summary

Executive summary

• Full-year 2024 revenue grew 42% to NOK 1,876 million, with Q4 revenue up 8% to NOK 396 million, driven by hydrogen infrastructure, mobility, and battery systems.

• EBITDA margin improved to -19% for FY 2024, a 15pp increase from FY 2023, with Q4 EBITDA margin at -26%.

• Completed multi-year capacity expansion, establishing a global manufacturing footprint and diversified customer base.

• Launched a cost reduction program, including a 15% workforce reduction and NOK 200 million in annualized savings.

• Exited Cryoshelter liquid hydrogen business, ending related funding and collaboration.

Financial highlights

• FY 2024 revenue: NOK 1,876 million (+42% YoY); Q4 2024 revenue: NOK 396 million (+8% YoY).

• FY 2024 EBITDA: NOK -348 million (margin -19%); Q4 2024 EBITDA: NOK -104 million (margin -26%).

• FY 2024 net loss: NOK -1,202 million; Q4 2024 net loss: NOK -667 million, mainly due to NOK 353 million in impairments.

• Equity ratio at year-end: 43%; cash and cash equivalents at NOK 1,028 million after NOK 1 billion equity raise.

• Cost of materials at 58% of revenue for FY 2024; payroll at 40%; other operating expenses at 21%.

Outlook and guidance

• Market outlook for 2025 is highly uncertain, with limited forward visibility and a weak first half expected.

• No specific guidance provided for 2025 due to market and regulatory uncertainty, especially in North America.

• Revenue growth in 2025 expected to be slower, with a significant sequential decline projected for Q1 2025.

• Focus on capital discipline, cash preservation, and reaching cash flow break-even with current cash on hand.