NEL ASA ( (NLLSF) ) has released its Q1 earnings. Here is a breakdown of the information NEL ASA presented to its investors.
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Nel ASA is a Norwegian company specializing in hydrogen electrolyser technology, serving industries and energy sectors with solutions for producing hydrogen from renewable energy. The company operates in the renewable energy sector with a focus on decarbonizing industries such as transportation and steel production.
In its Q1 2025 earnings report, Nel ASA reported a significant decline in revenue and income compared to the same quarter last year. The company faced a challenging quarter with a reduction in revenue by 44% and a net loss of NOK 179 million, primarily due to decreased EBIT and reduced net financial items.
Key financial metrics highlighted a decrease in order intake by 22% and a reduction in order backlog by 31% compared to Q1 2024. The company also reported a negative EBITDA of NOK 115 million. Despite these challenges, Nel’s PEM Electrolyser segment showed a 64% increase in revenue, driven by containerized electrolyser sales. The company secured significant purchase orders, including a USD 7 million order from a steel producer in the US and a USD 6 million order from the U.S. Navy.
Looking ahead, Nel ASA remains focused on maintaining its position as a leading electrolyser manufacturer. The company is adjusting its cost structure and production capacity to align with market demand while continuing to invest in technology development. Although the market faces uncertainties, Nel’s solid cash position and strategic adjustments are expected to support its growth plans and improve profitability over time.