Ceres Power (LON:CWR) Issues Earnings Results

Ceres Power (LON:CWR) released 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 return on equity of 29.93% and a negative net margin of 130.56%.

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 Price Performance

Shares of CWR stock traded up GBX 29.20 during mid-day trading on Friday, hitting GBX 417.80. 3,003,544 shares of the stock traded hands, compared to its average volume of 8,842,562. Ceres Power has a twelve month low of GBX 119 and a twelve month high of GBX 872.50. The company has a debt-to-equity ratio of 1.06, a quick ratio of 12.18 and a current ratio of 10.54. The company’s 50-day simple moving average is GBX 399.90 and its 200-day simple moving average is GBX 475.86. The firm has a market cap of £893.37 million, a price-to-earnings ratio of -17.04 and a beta of 3.00.

Wall Street Analysts Forecast Growth

CWR has been the topic of a number of analyst reports. Jefferies Financial Group reaffirmed a “buy” rating and issued a GBX 920 price objective on shares of Ceres Power in a report on Wednesday, June 10th. Berenberg Bank reissued a “buy” rating and set a GBX 950 target price on shares of Ceres Power in a research note on Wednesday. Two analysts have rated the stock with a Buy rating, According to MarketBeat.com, Ceres Power has a consensus rating of “Buy” and a consensus price target 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.