Last checked at 16 Jun 2023 07:00
The information contained within this Announcement is deemed by Invinity Energy Systems plc to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 as it forms part of UK law by virtue of the European Union (Withdrawal) Act 2018 ("MAR").
16 June 2023
Invinity Energy Systems plc
("Invinity" or the "Company")
Update on 2022 Financial Results
Invinity Energy Systems plc (AIM: IES) (AQSE: IES) (OTCQX: IESVF), a leading global manufacturer of utility-grade energy storage, confirms that its full results for the year ended 31 December 2022 will be published by 30 June 2023.
As part of the audit process, the cost of fulfilling previously signed contracts has been reviewed and the Company is pleased to announce that this is likely to result in a significant reduction in the provision for contract losses which was previously recorded. Therefore, Invinity expects its reported gross margin loss as well as the loss before tax to be materially better than was anticipated.
Further, subject to final auditor approval, the Company expects to report revenue (including grant income against direct costs) of c.£3.6m in line with the delivery of c.4.3 MWh of products delivered during the year and disclosed in the Project Delivery Update issued on 30 December 2022.
The significant reduction in the provision for contract losses highlights the reducing cost of delivering the Company's VS3 product and the transition towards achieving positive gross margins as evidenced by all but one of the sales contracts closed since Q4 2022 expecting a positive gross margin. As previously disclosed, this trend is an important step on the path to industry standard gross margins which are expected to be delivered with the launch of the Company's next generation product code-named "Mistral".
The Company can also confirm a cash balance of c.£15.4m as at 31 May 2023.
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Enquiries:
Invinity Energy Systems plc | +44 (0)20 4551 0361 |
Jonathan Marren, Chief Development Officer and Interim CFO Joe Worthington, Director of Communications | |
Canaccord Genuity (Nominated Adviser and Joint Broker) | +44 (0)20 7523 8000 |
Henry Fitzgerald-O'Connor / Harry Pardoe / Gordon Hamilton | |
VSA Capital (Financial Adviser and Joint Broker) | +44 (0)20 3005 5000 |
Andrew Monk / Simon Barton | |
Tavistock (Financial PR Advisor) | +44 (0)20 7920 3150 |
Simon Hudson / Charles Baister | invinity@tavistock.co.uk |
Notes to Editors
Invinity Energy Systems plc (AIM: IES) (AQSE: IES) (OTCQX: IESVF) manufactures vanadium flow batteries for large-scale, high-throughput energy storage requirements of business, industry and electrical networks.
Invinity's factory-built flow batteries run continually with no degradation for over 25 years, making them suitable for the most demanding applications in renewable energy production. Energy storage systems based on Invinity's batteries are safe, reliable, and economical, and range in size from less than 250 kilowatt-hours to tens of megawatt-hours.
Invinity was created in April 2020 through the merger of two flow battery industry leaders: redT energy plc and Avalon Battery Corporation. With over 65 MWh of systems already deployed or contracted for delivery across over 70 sites in 15 countries, Invinity is active in all major global energy storage markets and has operations in the UK, Canada, USA, China and Australia. Invinity Energy Systems plc is listed in the UK on AIM and AQSE and trades in the USA on OTCQX.
To find out more, visit invinity.com, sign up to our monthly Investor Newsletter here or contact Investor Relations on via +44 (0)20 4551 0361 or ir@invinity.com