AFC Energy reports steady progress and strategic shift

Published 19/03/2025, 08:04
AFC Energy reports steady progress and strategic shift

LONDON - AFC Energy PLC (AIM: AFC), a leader in hydrogen power generation technology, disclosed its annual financial results for the fiscal year ending October 31, 2024, alongside a strategic update emphasizing a shift towards market-driven growth and cost parity with diesel generators.

The company, which recently appointed John Wilson as CEO, outlined its commitment to accelerating the commercialization of its hydrogen power generation technologies. With a focus on areas of greatest opportunity, AFC Energy aims to provide an integrated hydrogen solution that addresses the cost and availability challenges hindering wider adoption.

AFC Energy reported a revenue generation of £4.0 million from the delivery of 20, 30kW S Series H-Power Generators to its joint venture with Speedy Hire Plc. The company also highlighted the deployment of a 45 kVA H-Power Generator at an ACCIONA construction site in Madrid, Spain, and the establishment of a production facility with the capacity to produce up to 250 fuel cells annually.

The launch of Hyamtec, AFC Energy’s proprietary ammonia cracker technology, represents a strategic move to offer affordable, scalable hydrogen production. The company’s Hy-5 ammonia cracker, unveiled today, provides onsite hydrogen at a lower cost and without the need for complex supply chains or new infrastructure.

Despite a loss after tax of £17.4 million, consistent with the prior year, AFC Energy emphasized its R&D investment of £9.5 million in 2024, with £2.7 million in R&D tax credits received. The company ended the year with £15.4 million in cash.

Post-period developments include the commencement of H-Power generator set rollouts to end customers, a trial deployment of the Gen 3 H-Power S+ 200kW generator, and the strategic appointments of a new CEO and CFO to drive commercialization efforts.

AFC Energy’s strategic repositioning focuses on delivering low-cost, onsite hydrogen production and achieving price parity with incumbent diesel solutions. The company aims to remove barriers to adoption by focusing on market "push" through innovative lower-cost hydrogen solutions.

The company’s fuel cell priorities include substantial manufacturing cost reductions, size and weight improvements, and the development of a compact 100kW modular, scalable power module. Hyamtec’s goals include the commercialization of the Hy5 ammonia cracker and scaling up production for large-scale industrial applications.

AFC Energy anticipates that from 2026, hydrogen provided by Hy5, in conjunction with AFC fuel cells, will offer total cost of ownership parity with a stage 5 diesel generator, thus accelerating the transition to clean energy at a competitive price point.

The company’s outlook includes additional 30kW fuel cell generator sales to Speedy Hydrogen Solutions following successful customer deployments, advanced discussions for large-scale cracker systems, and UK Government grants of up to £3.7 million secured for FY2025.

Investors are invited to a live presentation hosted by the CEO and CFO on March 20, 2025, via Investor Meet Company, where they can submit questions and engage with the management team.

This article is based on a press release statement from AFC Energy PLC.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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