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Invinity Energy Systems PLC (GB:IES)
LSE:IES
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Invinity Energy Systems (IES) AI Stock Analysis

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GB:IES

Invinity Energy Systems

(LSE:IES)

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Neutral 43 (OpenAI - 4o)
Rating:43Neutral
Price Target:
20.50p
▲(0.00% Upside)
Invinity Energy Systems' overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues and persistent losses. While the earnings call provided some positive strategic developments, the technical analysis indicates bearish momentum, and the valuation remains unattractive due to negative earnings. The company's efforts to reduce costs and expand market reach are promising but need to translate into improved financial metrics.

Invinity Energy Systems (IES) vs. iShares MSCI United Kingdom ETF (EWC)

Invinity Energy Systems Business Overview & Revenue Model

Company DescriptionInvinity Energy Systems plc manufactures and sells vanadium flow batteries (VFB) for energy storage solutions in the United Kingdom, Canada, the United States, Australia, and China. The company also develops electricity grids, as well as offers electric grid services. It provides batteries for energy storage for utilities and developers, commercial and industrial, and off-grid and microgrid applications. Invinity Energy Systems plc was incorporated in 2006 and is based in Saint Helier, the United Kingdom.
How the Company Makes MoneyInvinity Energy Systems generates revenue through the sale of its vanadium flow battery systems and related services. The company has a multi-faceted revenue model that includes direct sales of energy storage systems, installation services, and ongoing maintenance contracts. Additionally, IES benefits from strategic partnerships with energy developers and utilities, which can lead to larger projects and bulk orders. The increasing demand for renewable energy solutions and energy storage systems, driven by global decarbonization efforts, also contributes significantly to its earnings potential.

Invinity Energy Systems Earnings Call Summary

Earnings Call Date:Jun 25, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Sep 24, 2025
Earnings Call Sentiment Neutral
The earnings call reflects a company that is making significant progress in product development, strategic partnerships, and financial stability. However, challenges remain in terms of achieving cost competitiveness, managing operating losses, and navigating political uncertainties in key markets.
Q2-2025 Updates
Positive Updates
Increase in Orders and Revenue Growth
In the first half of the fiscal year, Invinity Energy Systems signed 12-megawatt hours of orders, up from 4-megawatt hours in the same period last year. They recognized GBP 2 million of revenue and grant income, largely driven by the LoDES project funding.
Successful Product Launch and Cost Reduction
The launch of ENDURIUM resulted in a 43% lower production cost compared to the previous VS3 product. Additionally, moving production from Vancouver to China led to a 36% cost reduction.
Strong Financial Position
The company is debt-free with just under GBP 40 million in cash at the end of September. They are comfortably funded through to 2027.
Strategic Partnerships in China and India
Invinity announced strategic partnerships in China and India to localize production and enhance market reach, potentially leading to significant license and royalty revenue.
Positive Progress in LDES Programs
Invinity's technology was selected for 21 out of 77 projects in the Cap and Floor program, highlighting a strong competitive position in the LDES market.
Negative Updates
Operating Loss Despite Revenue Increase
The operating loss was reduced by only 10%, with a gross loss reflecting running costs spread across lower production volumes and warranty costs.
Dependence on Second Half Revenue
Revenues are heavily second-half weighted, with some risks around 10% of the GBP 20 million order book subject to customer NTPs.
Challenges in Cost Competitiveness
The company needs to continue its focus on driving costs down to compete with lithium-ion technology and other competitors.
Uncertain U.S. Market Conditions
The current political environment in the U.S. presents uncertainties for renewable energy projects, which could affect Invinity's pipeline opportunities.
Company Guidance
During the Invinity Energy Systems Plc Interim Results Investor Presentation, the company provided guidance indicating a strategic shift towards reducing production costs and expanding market reach. In the first half, the company signed 12 megawatt hours of orders, up from 4 megawatt hours in the same period last year, and recognized GBP 2 million in revenue and grant income, largely from the LoDES project. The company reported a 10% reduction in operating loss, supported by lower administrative expenses and a debt-free position with nearly GBP 40 million in cash at the end of September. The order book for the full year stands at GBP 20 million, with a maximum potential revenue and grant income target of GBP 25 million. The company's strategy involves a focus on scaling production and reducing costs, with significant interest in global LDES procurement programs, and strategic partnerships in India and China to enhance production capabilities and market penetration.

Invinity Energy Systems Financial Statement Overview

Summary
Invinity Energy Systems faces significant financial challenges with declining revenues and persistent losses. The negative margins and cash flow deficits signal operational and financial inefficiencies. While leverage is low, the company struggles to generate sufficient returns on its equity.
Income Statement
35
Negative
Invinity Energy Systems shows a declining revenue trend over the past two years, with a significant drop from 2022 to 2023. The gross profit margin is negative, indicating costs exceed revenues. Net profit margin is also negative, highlighting ongoing losses. The company reported negative EBIT and EBITDA margins, reflecting operational inefficiencies.
Balance Sheet
40
Negative
The company maintains a relatively low debt-to-equity ratio, indicating low leverage. However, the stockholders' equity has been decreasing, and the equity ratio indicates a high reliance on equity financing. The return on equity is negative, reflecting the company's inability to generate profits from its equity base.
Cash Flow
30
Negative
Free cash flow is negative, with a declining trend, indicating liquidity issues. The operating cash flow to net income ratio is unfavorable, highlighting the challenge in generating cash from operations. Despite positive financing cash flows, the company struggles with negative free cash flow growth.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue5.01M22.01M2.94M3.19M406.00K
Gross Profit-3.51M-3.35M17.00K-3.44M-1.28M
EBITDA-21.31M-20.97M-17.12M-20.60M-22.56M
Net Income-22.80M-23.18M-18.59M-21.04M-24.27M
Balance Sheet
Total Assets75.56M41.97M53.09M66.64M50.15M
Cash, Cash Equivalents and Short-Term Investments35.35M5.01M5.14M26.36M21.95M
Total Debt1.70M1.56M1.71M770.00K756.00K
Total Liabilities9.89M8.16M18.70M15.40M7.79M
Stockholders Equity65.67M33.81M34.39M51.24M42.35M
Cash Flow
Free Cash Flow-26.20M-20.40M-22.58M-23.71M-11.27M
Operating Cash Flow-24.89M-19.36M-21.87M-22.96M-10.92M
Investing Cash Flow-1.30M-984.00K-708.00K-751.00K-358.00K
Financing Cash Flow53.62M20.13M1.29M28.10M32.00M

Invinity Energy Systems Technical Analysis

Technical Analysis Sentiment
Positive
Last Price20.50
Price Trends
50DMA
21.07
Negative
100DMA
21.83
Negative
200DMA
17.07
Positive
Market Momentum
MACD
-0.45
Positive
RSI
47.45
Neutral
STOCH
50.00
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:IES, the sentiment is Positive. The current price of 20.5 is below the 20-day moving average (MA) of 20.53, below the 50-day MA of 21.07, and above the 200-day MA of 17.07, indicating a neutral trend. The MACD of -0.45 indicates Positive momentum. The RSI at 47.45 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:IES.

Invinity Energy Systems Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
$10.79B15.437.44%2.01%2.89%-14.66%
£148.01M35.17-1.99%5.70%
9.437.13%10.33%3.36%
£112.33M-4.72-32.53%-58.85%55.03%
£16.62M-0.86-68.06%-60.76%-230.39%
£23.48M-4.04-87.07%3.87%-160.00%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:IES
Invinity Energy Systems
20.50
7.50
57.69%
GB:AMP
SIMEC Atlantis Energy
2.30
0.55
31.43%
GB:PHE
Powerhouse Energy
0.52
-0.58
-52.73%
GB:SEIT
SDCL Energy Efficiency Income Trust Plc
61.30
8.34
15.75%
GB:DORE
Downing Renewables & Infrastructure Trust Plc
102.00
23.36
29.70%
GB:RNEW
Ecofin U.S. Renewables Infrastructure Trust Plc
0.24
-0.14
-36.00%

Invinity Energy Systems Corporate Events

Invinity Energy Systems PLC Earnings Call Highlights
Oct 15, 2025

Invinity Energy Systems PLC’s recent earnings call paints a picture of a company on the rise, making strides in product development and strategic partnerships, while maintaining financial stability. Despite these positive developments, the company faces challenges in achieving cost competitiveness and managing operating losses, compounded by political uncertainties in key markets.

Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing
Invinity Energy Systems Reports Strong H1 2025 Results and Strategic Expansion Plans
Positive
Sep 30, 2025

Invinity Energy Systems announced its interim results for the first half of 2025, highlighting a revenue increase to £2.0m and a significant reduction in operating losses. The company has made substantial progress in reducing battery costs and expanding its order book, with new customer orders totaling 11.7 MWh. The strategic investment from Atri Energy and Next Gen Mobility has bolstered Invinity’s cash position to £39.7m. The company is focused on scaling its operations globally, with a particular emphasis on the UK Cap and Floor Scheme, which could create up to 1,000 jobs in Scotland. Invinity is also expanding partnerships in India and China, aiming to meet the growing demand for long-duration energy storage solutions.

The most recent analyst rating on (GB:IES) stock is a Hold with a £21.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Private Placements and FinancingShareholder Meetings
Invinity Energy Systems Secures £25 Million Through Share Subscription
Positive
Sep 29, 2025

Invinity Energy Systems announced the successful passing of all resolutions at its General Meeting, paving the way for the admission of 128,205,128 Subscription Shares to trading on AIM. This move, which will increase the company’s share capital to 568,766,867 Ordinary Shares, is expected to generate gross proceeds of £25 million. The significant shareholders post-admission include Atri Energy Transition Private Limited and Next Gen Mobility Limited, each holding 11.3% of the issued share capital. The capital raised is anticipated to bolster Invinity’s operations and strengthen its position in the energy storage industry.

The most recent analyst rating on (GB:IES) stock is a Hold with a £21.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Invinity’s Endurium Batteries Gain Eligibility for UK Energy Scheme
Positive
Sep 23, 2025

Invinity Energy Systems plc has announced that 21 project bids, utilizing its Endurium battery technology and totaling approximately 16.7 GWh, have been declared eligible by Ofgem for the UK LDES Cap and Floor Scheme. This development is significant as it positions Invinity’s vanadium flow batteries as a key player in the UK’s future electric grid, with the potential to secure substantial orders that could impact the company’s future trading. While the competitive nature of the process means not all bids may succeed, the company remains optimistic about advancing through the project assessment stage.

The most recent analyst rating on (GB:IES) stock is a Hold with a £21.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Invinity Energy Systems Expands in Hungary with New Battery Sale
Positive
Sep 18, 2025

Invinity Energy Systems announced the sale of 4 MWh of its VS3 vanadium flow batteries to Central European Vanadium Storage Kft, a subsidiary of Ideona Group, for two solar plus storage projects in Hungary. This marks the second order from Ideona, reinforcing Invinity’s position in the Hungarian energy storage market. The deployment will help stabilize solar output and enhance grid flexibility, with shipping expected in Q4 2025. This deal highlights the growing demand for Invinity’s energy storage solutions and their strategic expansion in Central Europe.

The most recent analyst rating on (GB:IES) stock is a Hold with a £21.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyPrivate Placements and FinancingShareholder Meetings
Invinity Energy Systems Announces Shareholder Circular and General Meeting
Positive
Sep 11, 2025

Invinity Energy Systems has announced the posting of a shareholder Circular and Notice of General Meeting following a £25 million investment and new strategic partnership. The Circular, which seeks shareholder approval for the investment, will be discussed at a General Meeting on 29 September 2025. This development is significant for Invinity as it could enhance its financial position and strategic capabilities in the energy storage industry, potentially impacting its operations and market presence positively.

The most recent analyst rating on (GB:IES) stock is a Hold with a £21.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Invinity Energy Systems Secures £25 Million Investment to Boost Manufacturing and Market Expansion
Positive
Sep 9, 2025

Invinity Energy Systems announced a strategic investment of £25 million from Atri Energy Transition and Next Gen Mobility to expand its manufacturing capabilities and strengthen its supply chain. This partnership aims to enhance Invinity’s operations and commercial focus, particularly in the Indian market, and is expected to support ongoing product development and cost reduction efforts. The investment reflects confidence in Invinity’s prospects and positions the company to capitalize on the growing demand for energy storage solutions amid a global energy crisis.

The most recent analyst rating on (GB:IES) stock is a Hold with a £21.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Invinity Energy Systems Secures £25 Million Investment to Boost Manufacturing and Expand in India
Positive
Sep 9, 2025

Invinity Energy Systems has announced a strategic partnership with Atri Energy Transition and Next Gen Mobility, securing a £25 million investment to enhance its manufacturing capabilities and expand its market presence in India. This investment aims to strengthen Invinity’s supply chain, support product development, and improve working capital, positioning the company to capitalize on the growing demand for energy storage solutions amid a global energy crisis. The partnership will also allow Invinity to explore new commercial opportunities in India, potentially reducing costs and establishing local manufacturing operations.

The most recent analyst rating on (GB:IES) stock is a Hold with a £21.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Invinity Energy Systems Launches Endurium Enterprise for C&I Market
Positive
Sep 8, 2025

Invinity Energy Systems has launched the Endurium Enterprise, a new product aimed at commercial and industrial customers, during North America’s largest clean energy event, RE+. This product is designed to provide safe, cost-effective on-site energy storage, leveraging the company’s vanadium flow battery technology. The Endurium Enterprise is expected to enhance Invinity’s market position by meeting the growing demand for flexible and durable energy storage solutions, while offering benefits such as lower insurance premiums due to its inherent safety features.

The most recent analyst rating on (GB:IES) stock is a Hold with a £21.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Invinity Secures Major European Battery Order
Positive
Aug 1, 2025

Invinity Energy Systems has received a Notice to Proceed for a 10.8 MWh ENDURIUM battery system order from its Hungarian partner, STS Group. This project, part of a solar plus storage initiative in Hungary, marks the first commercial deployment of ENDURIUM in Europe and is expected to contribute significantly to Invinity’s 2025 revenues.

The most recent analyst rating on (GB:IES) stock is a Buy with a £40.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyPrivate Placements and FinancingProduct-Related Announcements
Invinity Energy Systems Advances LoDES Project with Planning Approval and £10m Grant
Positive
Aug 1, 2025

Invinity Energy Systems has received planning approval for its LoDES project in the South East of England, which will involve the construction of a 20.7 MWh Vanadium Flow Battery (VFB) system, with a £10 million grant confirmed from DESNZ. This project, expected to be Europe’s largest commercially operating VFB, will serve as a significant reference site for Invinity, enhancing its market positioning and showcasing its technology’s benefits over lithium-ion alternatives, particularly in terms of safety and community acceptance.

The most recent analyst rating on (GB:IES) stock is a Buy with a £40.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 17, 2025