Hexagon Purus ASA

Results for the second quarter 2023

Selected key developments in Q2 2023 and after balance sheet date:

• Revenue growth trend continues with 57% year-over-year growth to NOK 330 million in Q2 2023, and 55% year-over-year growth in the first half of 2023.
• Signed a long-term agreement with a major North American OEM to provide complete vehicle integration of battery electric utility trucks in North America, with an estimated potential sales value of approximately USD 150 million.
• Entered into a 5-year framework agreement with a global energy company for delivery of hydrogen distribution systems with a potential sales value of approximately EUR 27 million.
• Commenced serial production of hydrogen cylinders for the Nikola TRE fuel cell electric heavy-duty truck.
• Exited the quarter with total backlog of approximately NOK 1.4 billion.

“It has been yet another strong quarter with continued revenue growth and commercial traction as evident by the strong order book and recent announcements of major long-term agreements across both hydrogen distribution and battery electric mobility”, says Morten Holum, CEO of Hexagon Purus. “We are still executing according to the strategic plan set in 2020 and we are tracking well towards our short- and medium-term targets”. 

In the second quarter of 2023, Hexagon Purus (“the Company” or “the Group”) generated NOK 330 million in revenue, up 57% from NOK 210 million in the second quarter of 2022. The year-over-year growth is mainly driven by increased sales of hydrogen distribution modules for industrial and infrastructure purposes as well as transit bus applications and aerospace. Total operating expenses in the second quarter of 2023 ended at NOK 419 (322) million, leading to an operating profit before depreciation (EBITDA) of NOK -89 (-112) million.

Total assets at the end of the second quarter of 2023 amounted to NOK 3 818 (2 527) million. The year-over-year increase in total assets is mainly driven by increases to property, plant and equipment and right-of-use assets as a result of the Company’s ongoing capacity expansion program, combined with an increase in cash and cash equivalents following the Company’s NOK 1.3bn (gross) capital raise in March 2023. Increases in equity and non-current liabilities in the second quarter of 2023 compared to the second quarter of 2022 is mainly driven by the NOK 500 million (gross) equity and NOK 800 million (gross) convertible bond private placements in March 2023. At quarter-end, the Company had a satisfactory equity ratio of 62% (72%).