Invinity Energy Systems (IES) H2 2025 earnings summary

Executive summary

• Achieved a 66% reduction in product cost over two years, 18 months ahead of schedule, accelerating commercial traction and positioning for competitive advantage in the energy storage market.

• Dispatched over 9 GWh of energy from deployed batteries globally, with a focus on third-party validation to improve bankability and customer trust.

• Tripled battery shipments year-over-year and expanded global partnerships, with a six-fold increase in sales and a robust commercial pipeline across Europe, North America, and Asia.

• Expanded global presence with manufacturing and customer support in the U.K., U.S., Canada, and Asia, and established key strategic partnerships.

• Entered a new phase of accelerated growth, investing in corporate foundations and scaling manufacturing and supply chain capabilities.

Financial highlights

• Revenue and project grants increased 239% year-on-year to £17.8 million, including £9.1 million in approved grant funding and £8.2 million in customer revenue (+63% YoY).

• Gross margin improved by 35 percentage points year-on-year, from -70% to -35%, reflecting cost-down initiatives and improved project economics.

• Adjusted EBITDA loss increased 7% YoY due to scaling activities and cost reduction initiatives.

• Net cash outflow from operating activities improved by 31% YoY; investing activities increased 631% due to key investments.

• Year-end cash position was £28.8 million, with a positive going concern assessment through June 2027.

Outlook and guidance

• Positioned for growth with a robust pipeline of larger projects and increasing commercial momentum, targeting further cost reductions by 2030.

• Expecting further information on Cap and Floor results from Ofgem by the end of the month, which could impact future order flow.

• Focused on achieving cash flow break-even and profitability as scale increases.

• Conservative guidance set for the next couple of years, with the aim to exceed targets as opportunities convert.

• Positioned to compete directly with lithium-ion on upfront and levelized cost, aiming to capture a larger share of the global energy storage market.