Ceres Power (LON:CWR) Releases Quarterly Earnings Results

Ceres Power (LON:CWR) announced its quarterly earnings data on Wednesday. The company reported GBX (8.58) EPS for the quarter, Digital Look Earnings reports. Ceres Power had a negative net margin of 145.65% and a negative return on equity of 39.26%.

Here are the key takeaways from Ceres Power’s conference call:

• Contracted revenue guidance of £45 million was reiterated, with roughly half delivered in the first half and management confident of achieving the balance in the second half.
• The partner pipeline has grown across the U.S., Asia and Europe, and Ceres remains confident of signing at least one new manufacturing licensee this year.
• Existing partners are progressing toward commercial scale: Doosan secured a roughly £60 million export order, Delta is developing a second Taiwan facility, and Weichai is targeting initial production soon with an ambition of 200 megawatts.
• Ceres reported progress in reducing its cost base and R&D spending following the launch of its Endura platform, while an oversubscribed equity raise of just over £100 million strengthened the balance sheet.
• Near-term revenue remains weighted toward license fees and engineering services, while royalties are not expected to become material until partners reach larger-scale production; management also noted that licensee signing and revenue-recognition timing can be unpredictable.

Ceres Power Stock Performance

LON:CWR opened at GBX 397.20 on Thursday. The firm’s 50-day moving average is GBX 398.74 and its 200-day moving average is GBX 475.83. The company has a debt-to-equity ratio of 2.24, a quick ratio of 12.18 and a current ratio of 3.27. The company has a market cap of £849.32 million, a price-to-earnings ratio of -16.20 and a beta of 3.00. Ceres Power has a 52-week low of GBX 119 and a 52-week high of GBX 872.50.

Wall Street Analysts Forecast Growth

CWR has been the subject of a number of recent analyst reports. Berenberg Bank restated a “buy” rating and issued a GBX 950 price objective on shares of Ceres Power in a research report on Wednesday. Jefferies Financial Group reissued a “buy” rating and set a GBX 920 price target on shares of Ceres Power in a research note on Wednesday, June 10th. Two investment analysts have rated the stock with a Buy rating, Based on data from MarketBeat, Ceres Power currently has a consensus rating of “Buy” and an average target price of GBX 935.

Ceres Power Company Profile

Ceres is a leading developer of clean energy technology: fuel cells for power generation and electrolysers for green hydrogen. Its asset-light, licensing model has seen it establish partnerships with some of the world’s largest companies, such as Doosan, Delta, Denso, Shell, Weichai and Thermax. Ceres’ solid oxide technology supports greater electrification of our energy systems, including AI data centres, commercial and industrial applications, and produces green hydrogen at high efficiencies as a route to decarbonise emissions-intensive industries such as ammonia, steelmaking and electrofuels.