Ceres Power (LSE:CWR) reported revenue of £32.6 million for 2025, representing a 37% decline from the previous year. The company generated gross profit of £22.7 million and maintained a strong financial position with cash and investments totalling £83.3 million. Cost discipline significantly reduced operating cash outflows, cutting them nearly in half compared with the prior year. Although operating losses widened, Ceres recorded its first royalty income as partner Doosan commenced mass production of fuel cell stacks, marking an important milestone for the company’s licensing-based business model.
Strategically, the group continued expanding its international partnerships. In China, Weichai signed a manufacturing licence agreement, while Delta secured approximately £170 million worth of land and facilities in Taiwan to support large-scale hydrogen and power technology manufacturing. In South Korea, Doosan began factory production of Ceres-based systems. Additional developments included a government-supported electrolysis initiative in Japan involving Denso and JERA, and the successful deployment of a megawatt-scale hydrogen system in India by Shell. Alongside these initiatives, Ceres launched a business transformation programme aimed at reducing operating costs by around 20% in 2026. The company said its existing order book already supports roughly £45 million in expected revenue for 2026 before accounting for any new contracts.
The company’s outlook is supported by a solid balance sheet with low leverage and a strong equity base, as well as progress in commercialising its technology through global partners. However, continued operating losses and ongoing cash consumption remain key challenges. Technical indicators present a mixed picture, while valuation metrics remain constrained due to negative earnings and the absence of a dividend yield. Commentary from the latest earnings call highlighted progress toward commercial deployment and planned cost reductions, though uncertainty around future order intake and the timing of revenue recognition remains an important risk factor.
More about Ceres Power Holdings
Ceres Power Holdings is a UK-listed clean energy technology company focused on the development of solid oxide fuel cells for power generation and electrolysers for green hydrogen production. The business operates an asset-light intellectual property licensing model, partnering with global industrial groups including Doosan, Delta, Denso, Shell, Weichai and Thermax. Its technologies target applications such as AI data centres, commercial and industrial power systems, microgrids and other sectors involved in the global energy transition.
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