Hexagon Purus ASA Reports Record Q3 Growth and Future Plans

Financial Highlights of Hexagon Purus in Q3 2024

Hexagon Purus ASA achieved impressive financial results in the third quarter of 2024, marking a pivotal moment in the company's growth trajectory. The quarter was characterized by record revenues amounting to NOK 544 million, which reflects a significant 43% increase compared to the previous year's third quarter. The cumulative revenue for the year, as of the end of Q3 2024, reached NOK 1,480 million, showcasing a remarkable 55% growth. Such robust financial performance is a clear indicator of the company's effective strategies and market positioning.

Key Developments and Strategic Initiatives

Several important developments occurred during and after Q3 2024, further solidifying the foundation for future growth. Notably, the company recorded an EBITDA of NOK -51 million for the quarter, showing improvement from NOK -116 million in the previous year. The EBITDA margin also exhibited a positive shift, moving from -30% to -9%. This encouraging trend is partly attributed to a significant contract termination payment received from Daimler Trucks North America.

Additionally, Hexagon Purus successfully raised approximately NOK 1 billion through an equity private placement, which will be pivotal in funding its expansion efforts and strategic initiatives. The company also entered a multi-year supply agreement with GILLIG for hydrogen fuel storage systems, emphasizing its commitment to the hydrogen mobility sector.

Performance of Hydrogen Mobility and Infrastructure Segment

The Hydrogen Mobility and Infrastructure (HMI) segment demonstrated exceptional performance in Q3 2024, generating NOK 514 million in revenue—a 35% increase from the previous year. Factors contributing to this growth include a substantial boost in hydrogen infrastructure solutions, which grew by 34%, and a remarkable 163% surge in hydrogen mobility revenue. This segment is witnessing increased demand from transit bus OEMs like Solaris, CaetanoBus, and New Flyer, contributing to the overall positive growth.

Battery Systems and Vehicle Integration Overview

In the Battery Systems and Vehicle Integration (BVI) segment, revenue for Q3 2024 reached NOK 29 million, predominantly driven by a contract termination payment. The BVI segment's anticipated revenue growth is expected to pick up in the fourth quarter as initial deliveries of complete battery electric heavy-duty vehicles are set to begin.

Future Outlook and Strategic Focus

As Hexagon Purus wraps up its multi-year capacity expansion program, the company is positioned to utilize its enhanced operational capabilities to meet the anticipated growth in demand for hydrogen solutions over the next few years. The focus for the coming period will involve optimizing existing resources, enhancing operational efficiency, and aiming for profitability without significant additional capital expenditure.

Moreover, the company's order backlog stood at NOK 913 million, with a notable portion slated for execution in 2024. This solid backlog underpins the expectation of at least 50% year-over-year revenue growth and further improvement in EBITDA margins moving into 2025 and beyond.

Hexagon Purus: Commitment to Clean Energy Solutions

Hexagon Purus remains committed to enabling a zero-emission future. As a leader in the production of hydrogen Type 4 high-pressure cylinders and systems, the company's innovations are pivotal in the shift towards sustainable energy. Their solutions span across various applications, including vehicles, storage, and transportation of hydrogen and renewable energy sources.

As the world moves steadily towards cleaner energy solutions, Hexagon Purus positions itself as a key player dedicated to supporting the transition to a sustainable future.

Frequently Asked Questions

1. What were Hexagon Purus's revenue figures for Q3 2024?

In Q3 2024, Hexagon Purus reported record revenue of NOK 544 million, a 43% increase from the previous year.

2. What strategic agreements has Hexagon Purus entered into recently?

Hexagon Purus signed a multi-year supply agreement with GILLIG for hydrogen fuel storage systems and amended terms with Panasonic Energy regarding a battery cell supply agreement.

3. How is Hexagon Purus addressing its capacity growth?

The company has recently concluded a multi-year capacity expansion program, allowing it to scale operations significantly while minimizing additional capital expenditures.

4. What is the outlook for Hexagon Purus in 2025?

Hexagon Purus expects to achieve at least 50% year-over-year revenue growth and further improvement in EBITDA margins in 2025.

5. How does Hexagon Purus contribute to zero-emission mobility?

Hexagon Purus provides hydrogen solutions and infrastructure critical for fueling the transition to zero-emission vehicles, playing a pivotal role in the sustainable energy landscape.

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