Fusion Fuel secures new contracts worth $3.6 million

DUBLIN - Fusion Fuel Green PLC (NASDAQ: HTOO), an energy services company with a current market capitalization of $8.04 million, has announced the acquisition of new engineering and service contracts through its subsidiary Al Shola Al Modea Gas Distribution LLC. The contracts, secured since early 2025, total an estimated $3.6 million in value. According to InvestingPro data, analysts anticipate sales growth of 43.55% for the company in the current year, though the stock has seen a -41.09% return year-to-date.

Since March, Al Shola Gas has entered into engineering contracts valued at approximately $2.7 million. These contracts involve the design, supply, installation, maintenance, and operations of various projects, showcasing the company’s capacity to handle demanding industry projects. This growth aligns with the United Arab Emirates’ increased migration and construction sector expansion.

In the residential sector, Al Shola Gas has added over 1,800 service contracts for LPG utility solutions in Dubai since January. These contracts, spanning 16 buildings, are expected to generate about $0.9 million in annual recurring revenue. The company’s utility solutions now reach over 12,000 customers.

Additionally, Al Shola Gas has broadened its commercial reach by securing LPG supply and maintenance contracts for two food and beverage facilities in Dubai, increasing its monthly billing management to over 170 outlets.

The company’s bulk LPG supply has been growing organically, exceeding 600 metric tons (MT) monthly. With new bobtail trucks joining its fleet soon, Al Shola Gas anticipates reaching 800 MT per month in bulk LPG supply by year-end.

John-Paul Backwell, CEO of Fusion Fuel, commented on the contracts, stating they reflect the market’s confidence in the company’s capabilities and will contribute to the long-term revenue base through both project and recurring utility income. InvestingPro analysis indicates the company faces financial challenges with a WEAK overall health score and a current ratio of 0.54, suggesting potential liquidity concerns. For deeper insights, investors can access the comprehensive Pro Research Report, available for HTOO among 1,400+ US equities.

Fusion Fuel, with its Al Shola Gas and BrightHy brands, provides a range of energy supply, distribution, and engineering and advisory solutions. Al Shola Gas specializes in full-service industrial gas solutions, while BrightHy offers hydrogen solutions for decarbonization across various industries.

The information in this article is based on a press release statement. The forward-looking statements mentioned by the company are predictions and are subject to risks and uncertainties that could cause actual results to differ materially. Trading at $0.33, InvestingPro analysis suggests the stock is currently undervalued, with 12 additional ProTips available to subscribers covering crucial aspects like cash flow, profitability, and growth metrics.

In other recent news, Fusion Fuel Green PLC has amended its financial projections following the acquisition of Quality Industrial Corp. The company provided revised financial information for the fiscal year ending December 31, 2024, reflecting the merger’s impact. Fusion Fuel previously acquired approximately 69.36% of QIND’s capital stock, with the merger resulting in QIND becoming a wholly-owned subsidiary. Additionally, Fusion Fuel announced plans to acquire a UK-based fuel distribution company for £50 million, which reported over $54 million in revenue and $7 million in net income for 2024. This acquisition is part of Fusion Fuel’s strategy to expand its energy distribution capabilities in the UK market. In further developments, Fusion Fuel secured $1.3 million in private financing through senior convertible notes, maturing in August 2026 with an 8% interest rate. The funding is intended to bolster the company’s financial standing and provide additional working capital. CEO John-Paul Backwell highlighted that these moves align with Fusion Fuel’s growth strategy, aiming to enhance its role as a diversified energy services leader.

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