(Alliance News) - Energy storage firm ITM Power PLC on Thursday reported a full-year revenue rise but a widened loss amid an increase in operating costs, and said industrial gas company Linde PLC will take a 20% interest in the firm.
In the year ended April 30, revenue rose by 40% to GBP4.6 million from GBP3.3 million last year. Including grant funding, it rose 25% to GBP17.5 million from GBP14.1 million.
Pretax loss widened to GBP9.3 million from GBP6.5 million a year ago, with administrative expenses rising 54% to GBP4.7 million from GBP3.1 million. Other operating costs - which include research & development, production, and marketing expenses - jumped by 39% to GBP10.2 million from GBP7.4 million.
ITM Power reported positive progress from its flagship 10 megawatt refinery project which it is developing alongside Royal Dutch Shell PLC. In May, the company extended its partnership with the oil major for the supply of hydrogen refuelling stations to a number of Shell's retail forecourts.
Looking ahead, ITM Power said it will open two bus refuelling stations in the current financial year, one in Birmingham, England, and another in Pau, south west France.
The company also said that it plans to raise at least GBP52.0 million through a share placing and an investment from a Linde subsidiary.
ITM Power will price the placing at 40.00 pence, a 7.0% discount to its closing price of 43.00p on Wednesday, and the placing will raise GBP14.0 million.
The bulk of the funds however, will be generated by Linde Engineering investing GBP38.0 million through a subscription of 95.0 million shares, also priced at 40.00p. Linde will hold a 20% stake in ITM Power as a result, the company said.
ITM Power added that it will embark on a joint-venture with Linde, to deliver green hydrogen to large scale industrial projects, primarily those with an energy capacity of 10 megawatts or above.
Shares in ITM Power were 1.2% lower at 42.50p apiece in London on Thursday morning.
By Eric Cunha; ericcunha@alliancenews.com
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