Minesto (MINEST) Q1 2025 earnings summary

Executive summary

• Technology and operations in Vestmanna are ready for scale-up, with robust procedures and hardware improvements supporting expansion to a commercial Dragon farm in Hestfjord.

• Focused on advancing tidal energy technology, with strong stakeholder engagement in the Faroe Islands and progress on the 200MW buildout roadmap.

• Completed independent technical review of Dragon-class technology by DNV, strengthening investment case.

• Selected for Global Innovation Accelerator and SKF's international marketing campaign, boosting business development and brand exposure.

• CEO highlights record public exposure, ongoing upgrades, and preparations for relaunch of Dragon 12 in the Faroe Islands.

Financial highlights

• The first 10 MW buildout in Hestfjord will benefit from a power purchase agreement at a price significantly above European market levels, supporting commercial viability.

• Total operating income for Q1 2025 was SEK 6,298 thousand, down from SEK 6,791 thousand year-over-year.

• Net sales were SEK 0 thousand, compared to SEK 75 thousand in Q1 2024.

• Operating loss improved to SEK -10,697 thousand from SEK -11,794 thousand year-over-year.

• Cash flow for the period was SEK -24,317 thousand, with cash and cash equivalents at SEK 10,334 thousand at period end.

Outlook and guidance

• Deployment of the initial 10 MW in Hestfjord is projected within 2–2.5 years after securing funding, with sales anticipated significantly earlier.

• Business development for Hestfjord Phase 1 (10MW) progressing, with higher-than-expected tidal flow energy content improving financial outlook.

• Focus on relaunching Dragon 12 and scaling up manufacturing for multiple large-scale kites.

• Participation in market development programs in Asia and Europe to drive future sales growth.

• Expansion plans include both large-scale and microgrid installations, with ongoing discussions for further market entries.