Final results for the year ended 31 December 2025
Summary by AI BETAClose X
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CWR.L 26 March 2026 Ceres Power Holdings plc
Final results for the year ended 31 December 2025
Horsham, UK: Ceres Power Holdings plc ("Ceres", the "Company") (CWR.L), a leading developer of clean energy technology, announces its audited results for the year ended 31 December 2025.
Financial highlights • Strong cash and short-term investments position of £83.3 million (2024: £102.5 million) with continued disciplined cash management driving a reduced cash outflow of £19.2 million (2024: £37.5 million). • Revenue of £32.6 million (2024: £51.9 million), a decrease of 37%. • Gross profit of £22.7 million (2024: £40.2 million), maintaining sector-leading gross margin of 70% (2024: 77%). • First royalties were generated, representing a key milestone for the Company.
Strategic highlights • China - Weichai signs manufacturing licence agreement. Weichai intends to produce cells and stacks for the stationary power markets, targeting power for AI data centres, commercial buildings and industrial applications. • Taiwan - Delta invests in land on which to build its solid oxide fuel and electrolysis cell factory. The purchase of land and factory facilities for approximately NT$6.95 billion (£170 million), expected to be partly focused on the large-scale manufacturing of hydrogen energy solutions for data centre power, microgrid and other energy infrastructure applications. • South Korea - Doosan starts factory production of solid oxide fuel cells and stacks. Ceres designed fuel cells are now in production, with first royalties generated. • Japan - Ceres' partner DENSO and JERA began testing Japan's first solid oxide electrolysis demonstrator for hydrogen production at a JERA thermal power station, leading to government funding valued at 35 billion yen, approximately £165 million. • India - Shell megawatt-scale electrolysis system produces hydrogen. Exceeding performance expectations, this milestone underlines the maturity of Ceres' solid oxide electrolyser technology, supported by Shell's installation, integration and safety assurance expertise. • Business transformation plan implemented. Ceres transitions to a new structure as the business to focus on accelerating its commercial opportunities. Team structures have been aligned to support the growth of new business, delivering anticipated operating cost savings of 20% in 2026.
Outlook • Current contracted group revenue for 2026 is approximately £45m before any new business.
Phil Caldwell, Chief Executive Officer of Ceres, said: "In 2025 our first partner achieved scaled production, unlocking Ceres' first royalties, a significant milestone for the business. We sharpened our commercial focus to address rising demands for power generation and advanced our solid oxide technology toward becoming the industry standard, setting a strong foundation for a successful 2026."
Ends
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CONSOLIDATED STATEMENT OF PROFIT AND LOSS AND OTHER COMPREHENSIVE INCOME For the year ended 31 December 2025 |
|
|
|
31 December 2025 |
31 December 2024 |
|
|
Note |
£'000 |
£'000 |
|
|
|
|
|
|
Revenue |
2 |
32,643 |
51,891 |
|
Cost of sales |
|
(9,939) |
(11,727) |
|
Gross profit |
|
22,704 |
40,164 |
|
Other operating income1 |
|
3,168 |
2,846 |
|
Operating costs |
3 |
(70,073) |
(74,327) |
|
Exceptional operating costs |
22 |
(3,420) |
ꟷ |
|
Operating loss |
|
(47,621) |
(31,317) |
|
Impairment of investment in associate |
22 |
(2,158) |
ꟷ |
|
Finance income |
4 |
4,060 |
5,807 |
|
Finance expense |
4 |
(587) |
(362) |
|
Loss before taxation |
|
(46,306) |
(25,872) |
|
Taxation (charge)/credit |
5 |
(1,240) |
(2,433) |
|
Loss for the financial period and total comprehensive loss |
|
(47,546) |
(28,305) |
|
|
|
|
|
|
Loss per £0.10 ordinary share expressed in pence per share: |
|
|
|
|
Basic and diluted loss per share |
6 |
(24.52)p |
(14.64)p |
|
|
|
|
|
|
The accompanying notes are an integral part of these consolidated financial statements. 1 Other operating income relates to grant income and the Group's RDEC tax credit. |
|
CONSOLIDATED STATEMENT OF FINANCIAL POSITION As at 31 December 2025 |
|
|
|
31 December 2025 |
31 December 2024 |
|
|
Note |
£'000 |
£'000 |
|
Assets |
|
|
|
|
Non-current assets |
|
|
|
|
Property, plant and equipment |
7 |
18,194 |
23,584 |
|
Right-of-use assets |
8 |
2,063 |
1,834 |
|
Intangible assets |
9 |
16,203 |
19,974 |
|
Investment in associate |
|
ꟷ |
2,218 |
|
Other receivables |
11 |
741 |
741 |
|
Total non-current assets |
|
37,201 |
48,351 |
|
|
|
|
|
|
Current assets |
|
|
|
|
Inventories |
10 |
3,203 |
2,756 |
|
Contract assets |
2 |
143 |
8,208 |
|
Other current assets |
12 |
1,449 |
1,430 |
|
Derivative financial instruments |
16 |
ꟷ |
8 |
|
Current tax receivable |
|
1,792 |
ꟷ |
|
Trade and other receivables |
11 |
18,736 |
17,885 |
|
Short-term investments |
13 |
47,437 |
54,971 |
|
Cash and cash equivalents |
13 |
35,835 |
47,494 |
|
Total current assets |
|
108,595 |
132,752 |
|
|
|
|
|
|
Liabilities |
|
|
|
|
Current liabilities |
|
|
|
|
Trade and other payables |
14 |
(2,742) |
(3,538) |
|
Contract liabilities |
2 |
(23,284) |
(10,682) |
|
Other current liabilities |
15 |
(4,149) |
(6,825) |
|
Lease liabilities |
16 |
(834) |
(731) |
|
Provisions |
17 |
(2,214) |
(441) |
|
Total current liabilities |
|
(33,223) |
(22,217) |
|
Net current assets |
|
75,372 |
110,535 |
|
|
|
|
|
|
Non-current liabilities |
|
|
|
|
Lease liabilities |
16 |
(1,575) |
(1,492) |
|
Other non-current liabilities |
15 |
(976) |
(1,221) |
|
Provisions |
17 |
(2,376) |
(2,340) |
|
Total non-current liabilities |
|
(4,927) |
(5,053) |
|
Net assets |
|
107,646 |
153,833 |
|
|
|
|
|
|
Equity attributable to the owners of the parent |
|
|
|
|
Share capital |
18 |
19,469 |
19,370 |
|
Share premium |
|
406,650 |
406,650 |
|
Capital redemption reserve |
|
3,449 |
3,449 |
|
Merger reserve |
|
7,463 |
7,463 |
|
Accumulated losses |
|
(329,385) |
(283,099) |
|
Total equity |
|
107,646 |
153,833 |
|
|
|
|
|
|
The accompanying notes are an integral part of these consolidated financial statements. |
|
CONSOLIDATED CASH FLOW STATEMENT For the year ended 31 December 2025 |
|
|
Note |
31 December 2025 |
31 December 2024 |
|
|
|
£'000 |
£'000 |
|
Cash flows from operating activities |
|
|
|
|
Loss before taxation |
|
(46,306) |
(25,872) |
|
|
|
|
|
|
Adjustments for: |
|
|
|
|
Finance income |
|
(4,060) |
(5,807) |
|
Finance expense |
|
587 |
362 |
|
Depreciation of property, plant and equipment |
|
7,100 |
7,472 |
|
Depreciation of right-of-use assets |
|
753 |
710 |
|
Amortisation of intangible assets |
|
3,858 |
1,374 |
|
Impairment of associates |
|
2,218 |
ꟷ |
|
Net foreign exchange (gains)/loss |
|
(13) |
79 |
|
Net change in fair value of financial instruments |
|
90 |
(99) |
|
Loss on disposal of property, plant and equipment and right of use assets |
|
125 |
─ |
|
Share-based payments charge |
|
1,260 |
964 |
|
Operating cash flows before movements in working capital |
|
(34,388) |
(20,817) |
|
Increase in trade and other receivables |
|
(870) |
(8,757) |
|
(Increase)/decrease in inventories |
|
(447) |
69 |
|
Decrease in trade and other payables |
|
(3,717) |
(1,809) |
|
Decrease/(increase) in contract assets |
|
8,065 |
(6,633) |
|
Increase in contract liabilities |
|
12,602 |
3,213 |
|
Increase/(decrease) in provisions |
|
1,717 |
(188) |
|
Net cash used in operations |
|
(17,038) |
(34,790) |
|
Taxation paid |
|
(3,032) |
(1,019) |
|
Net cash used in operating activities |
|
(20,070) |
(35,941) |
|
|
|
|
|
|
Investing activities |
|
|
|
|
Purchase of property, plant and equipment |
|
(1,776) |
(4,449) |
|
Capitalised development expenditure |
|
(87) |
(2,294) |
|
Decrease in short-term investments |
|
7,445 |
32,537 |
|
Finance income received |
|
4,149 |
8,469 |
|
Net cash generated from investing activities |
|
9,731 |
34,263 |
|
|
|
|
|
|
Financing activities |
|
|
|
|
Proceeds from issuance of ordinary shares |
|
99 |
539 |
|
Repayment of lease liabilities |
|
(792) |
(774) |
|
Interest paid |
|
(495) |
(243) |
|
Net cash generated used by financing activities |
|
(1,188) |
(478) |
|
|
|
|
|
|
Net decrease in cash and cash equivalents |
|
(11,527) |
(2,156) |
|
Exchange loss on cash and cash equivalents |
|
(132) |
(57) |
|
Cash and cash equivalents at beginning of period |
|
47,494 |
49,707 |
|
Cash and cash equivalents at end of period |
13 |
35,835 |
47,494 |
|
The accompanying notes are an integral part of these consolidated financial statements. |
|
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY For the year ended 31 December 2025 |
|
|
|
Share capital |
Share premium |
Capital redemption reserve |
Merger reserve |
Accumulated losses |
Total |
|
|
|
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
|
At 1 January 2024 |
|
19,297 |
406,184 |
3,449 |
7,463 |
(255,758) |
180,635 |
|
|
|
|
|
|
|
|
|
|
Comprehensive income |
|
|
|
|
|
|
|
|
Loss for the financial year |
|
ꟷ |
ꟷ |
ꟷ |
ꟷ |
(28,305) |
(28,305) |
|
Total comprehensive loss |
|
ꟷ |
ꟷ |
ꟷ |
ꟷ |
(28,305) |
(28,305) |
|
|
|
|
|
|
|
|
|
|
Transactions with owners |
|
|
|
|
|
|
|
|
Issue of shares, net of costs |
|
73 |
466 |
ꟷ |
ꟷ |
ꟷ |
539 |
|
Share-based payments charge |
|
ꟷ |
ꟷ |
ꟷ |
ꟷ |
964 |
964 |
|
Total transactions with owners |
|
73 |
466 |
ꟷ |
ꟷ |
964 |
1,503 |
|
At 31 December 2024 |
|
19,370 |
406,650 |
3,449 |
7,463 |
(283,099) |
153,833 |
|
|
|
|
|
|
|
|
|
|
Comprehensive income |
|
|
|
|
|
|
|
|
Loss for the financial period |
|
ꟷ |
ꟷ |
ꟷ |
ꟷ |
(47,546) |
(47,546) |
|
Total comprehensive loss |
|
ꟷ |
ꟷ |
ꟷ |
ꟷ |
(47,546) |
(47,546) |
|
|
|
|
|
|
|
|
|
|
Transactions with owners |
|
|
|
|
|
|
|
|
Issue of shares |
|
99 |
ꟷ |
ꟷ |
ꟷ |
ꟷ |
99 |
|
Share-based payments charge |
|
ꟷ |
ꟷ |
ꟷ |
ꟷ |
1,260 |
1,260 |
|
Total transactions with owners |
|
99 |
ꟷ |
ꟷ |
ꟷ |
1,260 |
1,359 |
|
At 31 December 2025 |
|
19,469 |
406,650 |
3,449 |
7,463 |
(329,385) |
107,646 |
|
|
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of these consolidated financial statements. |
|
1. Basis of preparation The financial information presented in this final results announcement has been prepared in accordance with the recognition and measurement requirements of UK adopted international accounting standards ("IFRS") as issued by the International Accounting Standards Board ("IASB"). The principal accounting policies adopted in the preparation of the financial information in this announcement are unchanged from those used in the company's statutory financial statements for the year ended 31 December 2025. Whilst the financial information included in this announcement has been computed in accordance with the recognition and measurement requirements of IFRS, this announcement does not itself contain sufficient disclosures to comply with IFRS. The financial information contained in this final results statement does not constitute statutory financial statements as defined by in Section 434 of the Companies Act 2006. The financial information has been extracted from the financial statements for the year ended 31 December 2025 which have been approved by the Board of Directors, and the comparative figures for the year ended 31 December 2024 are based on the financial statements for that year. The financial statements for 2024 have been delivered to the Registrar of Companies and the 2025 financial statements will be delivered after the Annual General Meeting on 14 May 2026. The Auditor has reported on both sets of accounts without qualification, did not draw attention to any matters by way of emphasis without qualifying their report, and did not contain a statement under Section 498(2) or 498(3) of the Companies Act 2006. The Directors confirm that, to the best of their knowledge, this condensed set of consolidated financial statements has been prepared in accordance with the LSE Rules. Going Concern The Group has reported a loss after tax for the year ended 31 December 2025 of £47.5 million (2024: £28.3 million) and net cash used in operating activities of £20.1 million (2024: £35.9 million). At 31 December 2025, the Group held cash and cash equivalents and investments of £83.3 million (31 December 2024: £102.5 million). The Directors have prepared monthly budgets and cash flow projections that extend up to 31 December 2027. The forecast operating cash will be lower in 2026 compared to 2025 following the Group's restructuring. Future projections include management's expectations of the further investment in R&D projects, new product development and capital investment as the Group sustains its competitive advantage in licensing fuel cell and electrolysis technologies. Future cash inflows reflects management's expectations of revenue from existing and new licensee partners in both the power and green hydrogen markets. The projections were stress tested by applying different scenarios in line with the Group's viability scenarios including a slower intake of future licensee partners leading to a loss of significant future revenue and a resulting cost mitigation. In each case the projections demonstrated that the Group is expected to have sufficient cash reserves to meet its liabilities as they fall due and to continue as a going concern for at least a period of 12 months. For the above reasons, the Directors continue to adopt the going concern basis in preparing the consolidated financial statements. Critical accounting judgements and key sources of estimation uncertainty In the application of the Group's accounting policies, management is required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources.
In preparing the consolidated financial statements, the areas where judgement has been exercised remain consistent with those applied to the annual report and accounts for the year ended 31 December 2024. |
|
2. Revenue The Group's revenue is disaggregated by geographical market, major product/service lines, and timing of revenue recognition: Geographical market |
|
|
31 December 2025 |
|
31 December 2024 |
|
|
£'000 |
|
£'000 |
|
Europe |
4,571 |
|
8,689 |
|
Asia |
27,989 |
|
43,064 |
|
North America |
83 |
|
138 |
|
|
32,643 |
|
51,891 |
|
For the year ended 31 December 2025, the Group has identified four major customers (defined as customers that individually contributed more than 10% of the Group's total revenue) that accounted for approximately 33%, 23%, 17% and 11% of the Group's total revenue recognised in the year (year ended 31 December 2024: three customers that accounted for approximately 44%, 26% and 13% of the Group's total revenue recognised for that year). Major product/service lines |
|
|
31 December 2025 |
|
31 December 2024 |
|
|
£'000 |
|
£'000 |
|
Provision of technology hardware |
10,289 |
|
6,938 |
|
Engineering services and licences |
22,244 |
|
44,953 |
|
Royalties |
110 |
|
ꟷ |
|
|
32,643 |
|
51,891 |
|
Timing of transfer of goods and services |
|
|
31 December 2025 |
|
31 December 2024 |
|
|
£'000 |
|
£'000 |
|
Products and services transferred at a point in time |
14,328 |
|
33,030 |
|
Products and services transferred over time |
18,315 |
|
18,861 |
|
|
32,643 |
|
51,891 |
|
The contract-related assets and liabilities are as follows: |
|
|
|
|
31 December 2025 |
31 December 2024 |
1 January 2024 |
|
|
|
|
£'000 |
£'000 |
£'000 |
|
Trade receivables |
11 |
|
14,938 |
9,872 |
3,422 |
|
Contract assets - accrued income |
|
|
143 |
7,333 |
1,575 |
|
Contract assets - deferred contract costs |
|
|
ꟷ |
875 |
ꟷ |
|
Total contract related assets |
|
|
15,081 |
18,080 |
4,997 |
|
Contract liabilities - variable consideration constrained |
|
|
(1,500) |
(525) |
ꟷ |
|
Contract liabilities - deferred income |
|
|
(21,784) |
(10,157) |
(7,469) |
|
Total contract liabilities |
|
|
(23,284) |
(10,682) |
(7,469) |
|
3. Operating costs |
|
Operating costs can be analysed as follows: |
|
|
|
|
|
31 December 2025 |
|
31 December 2024 |
|
|
£'000 |
|
£'000 |
|
Research and development costs |
48,559 |
|
48,531 |
|
Administrative expenses |
14,199 |
|
18,014 |
|
Commercial |
7,315 |
|
7,782 |
|
|
70,073 |
|
74,327 |
|
4. Finance income and expenses |
|
|
31 December 2025 |
|
31 December 2024 |
|
|
£'000 |
|
£'000 |
|
Interest income on cash, cash equivalents and investments |
4,060 |
|
5,807 |
|
Finance income |
4,060 |
|
5,807 |
|
|
|
|
|
|
Interest on lease liability |
(245) |
|
(243) |
|
Unwinding of discount on provisions |
(92) |
|
(40) |
|
Unwinding of the finance component of a customer contract |
(250) |
|
ꟷ |
|
Foreign exchange loss on cash, cash equivalents and short-term deposits |
ꟷ |
|
(79) |
|
Interest expense |
(587) |
|
(362) |
|
5. Taxation A tax charge has arisen as a result of expenditure surrendered and claimed under the SME R&D regime in the prior year and foreign tax and withholding tax arising on licence income received from customers based in China, South Korea and Taiwan. |
|
|
31 December 2025 |
|
31 December 2024 |
|
|
£'000 |
|
£'000 |
|
UK corporation tax |
─ |
|
ꟷ |
|
Foreign tax suffered |
1,248 |
|
2,445 |
|
Adjustment in respect of prior periods |
(8) |
|
(12) |
|
|
1,240 |
|
2,433 |
|
6. Loss per share |
|
|
31 December 2025 |
31 December 2024 |
|
|
£'000 |
£'000 |
|
Loss for the financial period attributable to shareholders |
(47,546) |
(28,305) |
|
|
|
|
|
Weighted average number of shares in issue |
193,896,776 |
193,321,401 |
|
|
|
|
|
Loss per £0.10 ordinary share (basic and diluted) |
(24.52)p |
(14.64)p |
|
|
|
|
|
7. Property, plant and equipment |
|
|
Leasehold improvements £'000 |
Plant and machinery |
Computer equipment |
Fixtures and fittings £'000 |
Assets under construction £'000 |
Total £'000 |
|
Cost |
|
|
|
|
|
|
|
At 1 January 2024 |
8,813 |
31,317 |
2,042 |
391 |
6,429 |
48,992 |
|
Additions |
554 |
2,786 |
29 |
ꟷ |
1,805 |
5,174 |
|
Transfers |
32 |
2,357 |
ꟷ |
ꟷ |
(2,389) |
ꟷ |
|
Disposal |
(267) |
(640) |
(321) |
(15) |
ꟷ |
(1,243) |
|
At 31 December 2024 |
9,132 |
35,820 |
1,750 |
376 |
5,845 |
52,923 |
|
Additions |
161 |
30 |
15 |
ꟷ |
1,570 |
1,776 |
|
Transfers |
386 |
2,055 |
ꟷ |
ꟷ |
(2,441) |
ꟷ |
|
Disposals |
(168) |
(1,435) |
(259) |
(16) |
ꟷ |
(1,878) |
|
At 31 December 2025 |
9,511 |
36,470 |
1,506 |
360 |
4,974 |
52,821 |
|
|
|
|
|
|
|
|
|
Accumulated depreciation |
|
|
|
|
|
|
|
At 1 January 2024 |
3,844 |
17,273 |
1,725 |
268 |
ꟷ |
23,110 |
|
Charge for the year |
1,564 |
5,635 |
224 |
49 |
ꟷ |
7,472 |
|
Depreciation on disposals |
(267) |
(640) |
(321) |
(15) |
ꟷ |
(1,243) |
|
At 31 December 2024 |
5,141 |
22,268 |
1,628 |
302 |
ꟷ |
29,339 |
|
Charge for the year |
1,238 |
5,719 |
91 |
52 |
ꟷ |
7,100 |
|
Depreciation on disposals |
(120) |
(1,417) |
(259) |
(16) |
ꟷ |
(1,812) |
|
At 31 December 2025 |
6,259 |
26,570 |
1,460 |
338 |
ꟷ |
34,627 |
|
|
|
|
|
|
|
|
|
Net book value |
|
|
|
|
|
|
|
At 31 December 2025 |
3,252 |
9,900 |
46 |
22 |
4,974 |
18,194 |
|
At 31 December 2024 |
3,991 |
13,552 |
122 |
74 |
5,845 |
23,584 |
|
At 1 January 2024 |
4,969 |
14,044 |
317 |
123 |
6,429 |
25,882 |
|
'Assets under construction' represents the cost of purchasing, constructing and installing property, plant and equipment ahead of their productive use. The category is temporary, pending completion of the assets and their transfer to the appropriate and permanent category of property, plant and equipment. As such, no depreciation is charged on assets under construction. Assets under construction primarily comprise plant and machinery and leasehold improvements related to the Group's manufacturing and testing facilities. |
|
8. Right of use assets |
|
|
Land and Buildings |
Computer equipment |
Electric vehicles |
Total |
|
|
£'000 |
£'000 |
£'000 |
£'000 |
|
Cost |
|
|
|
|
|
At 1 January 2024 |
4,658 |
43 |
ꟷ |
4,701 |
|
Additions |
ꟷ |
ꟷ |
290 |
290 |
|
Disposals |
ꟷ |
ꟷ |
(38) |
(38) |
|
Adjustment to lease term |
145 |
ꟷ |
ꟷ |
145 |
|
At 31 December 2024 |
4,803 |
43 |
252 |
5,098 |
|
Additions |
935 |
ꟷ |
106 |
1,041 |
|
Disposals |
ꟷ |
ꟷ |
(111) |
(111) |
|
At 31 December 2025 |
5,738 |
43 |
247 |
6,028 |
|
|
|
|
|
|
|
Accumulated depreciation |
|
|
|
|
|
At 1 January 2024 |
2,522 |
38 |
ꟷ |
2,560 |
|
Charge for the year |
648 |
5 |
57 |
710 |
|
Disposals |
ꟷ |
ꟷ |
(6) |
(6) |
|
At 31 December 2024 |
3,170 |
43 |
51 |
3,264 |
|
Charge for the year |
658 |
ꟷ |
95 |
753 |
|
Disposals |
ꟷ |
ꟷ |
(52) |
(52) |
|
At 31 December 2025 |
3,828 |
43 |
94 |
3,965 |
|
|
|
|
|
|
|
Net book value |
|
|
|
|
|
At 31 December 2025 |
1,910 |
ꟷ |
153 |
2,063 |
|
At 31 December 2024 |
1,633 |
ꟷ |
201 |
1,834 |
|
At 1 January 2024 |
2,136 |
5 |
ꟷ |
2,141 |
|
The lease liabilities are detailed in Note 16. |
|
9. Intangible assets |
|
|
Internal developments in relation to manufacturing site £'000 |
Internal development programmes £'000 |
Perpetual software licences £'000 |
Patent costs |
Total £'000 |
|
Cost |
|
|
|
|
|
|
At 1 January 2024 |
411 |
20,190 |
525 |
1,209 |
22,335 |
|
Additions |
ꟷ |
2,010 |
ꟷ |
284 |
2,294 |
|
At 31 December 2024 |
411 |
22,200 |
525 |
1,493 |
24,629 |
|
Additions |
ꟷ |
ꟷ |
87 |
ꟷ |
87 |
|
At 31 December 2025 |
411 |
22,200 |
612 |
1,493 |
24,716 |
|
|
|
|
|
|
|
|
Accumulated amortisation |
|
|
|
|
|
|
At 1 January 2024 |
328 |
2,514 |
285 |
154 |
3,281 |
|
Charge for the year |
83 |
1,019 |
124 |
148 |
1,374 |
|
At 31 December 2024 |
411 |
3,533 |
409 |
302 |
4,655 |
|
Charge for the year |
ꟷ |
3,382 |
42 |
434 |
3,858 |
|
At 31 December 2025 |
411 |
6,915 |
451 |
736 |
8,513 |
|
|
|
|
|
|
|
|
Net book value |
|
|
|
|
|
|
At 31 December 2025 |
ꟷ |
15,285 |
161 |
757 |
16,203 |
|
At 31 December 2024 |
ꟷ |
18,667 |
116 |
1,191 |
19,974 |
|
At 1 January 2024 |
83 |
17,676 |
240 |
1,055 |
19,054 |
|
The internal development intangible relates to the design, development and configuration of the Group's core solid oxide cell and system technology. Amortisation of capitalised development commences once the developed technology is complete and is available for use. The net book value of internal development programmes that are not available for use at 31 December 2025 are £Nil (2024: £812,000). Amortisation of the 640 programme commenced in 2024. |
|
10. Inventories |
|
|
31 December 2025 |
|
31 December 2024 |
|
|
£'000 |
|
£'000 |
|
Raw materials |
1,313 |
|
1,621 |
|
Work in progress |
1,319 |
|
759 |
|
Finished goods |
571 |
|
376 |
|
Total inventory |
3,203 |
|
2,756 |
|
11. Trade and other receivables |
|
|
31 December 2025 |
|
31 December 2024 |
|
Current: |
£'000 |
|
£'000 |
|
Trade receivables |
14,938 |
|
9,872 |
|
VAT receivable |
687 |
|
1,120 |
|
RDEC receivable |
2,814 |
|
6,790 |
|
Other receivables |
297 |
|
103 |
|
|
18,736 |
|
17,885 |
|
Non-current: |
|
|
|
|
Other receivables |
741 |
|
741 |
|
The RDEC receivable is a receivable from the UK Government for the Group's 2025 RDEC claim. |
|
12. Other current assets |
|
|
31 December 2025 |
|
31 December 2024 |
|
|
£'000 |
|
£'000 |
|
Prepayments |
1,449 |
|
1,430 |
|
|
1,449 |
|
1,430 |
|
|
|
|
|
|
13. Net cash and cash equivalents, short-term and long-term investments |
|
|
31 December 2025 |
|
31 December 2024 |
|
|
£'000 |
|
£'000 |
|
Cash at bank and in hand |
3,287 |
|
10,338 |
|
Money market funds |
32,548 |
|
37,156 |
|
Cash and cash equivalents |
35,835 |
|
47,494 |
|
|
|
|
|
|
Short-term investments |
47,437 |
|
54,971 |
|
Cash and cash equivalents and investments |
83,272 |
|
102,465 |
|
The Group typically places surplus funds into pooled money market funds with same day access and bank deposits with durations of up to 24 months. The Group's treasury policy restricts investments in short-term sterling money market funds to those which carry short-term credit ratings of at least two of AAAm (Standard & Poor's), Aaa-mf (Moody's) and AAAmmf (Fitch) and deposits with banks with minimum long-term rating of A-/A3/A and short-term rating of A-2/P-2/F-1 for banks which the UK Government holds less than 10% ordinary equity. |
|
14. Trade and other payables |
|
|
31 December 2025 |
|
31 December 2024 |
|
Current: |
£'000 |
|
£'000 |
|
Trade payables |
1,352 |
|
2,007 |
|
Other payables |
1,390 |
|
1,531 |
|
|
2,742 |
|
3,538 |
|
15. Other current liabilities |
|
|
31 December 2025 |
|
31 December 2024 |
|
|
£'000 |
|
£'000 |
|
Current: |
|
|
|
|
Accruals |
3,907 |
|
6,581 |
|
Deferred income |
242 |
|
244 |
|
|
4,149 |
|
6,825 |
|
Non-current: |
|
|
|
|
Deferred income |
976 |
|
1,221 |
|
Deferred income consists of grant income and RDEC tax credits deferred in relation to associated development costs which have been capitalised as an intangible asset. Grant income is recognised in the Consolidated Statement of Profit and Loss in the same period as the expenditure to which the grant relates. |
|
16. Lease liabilities |
|
|
|
31 December 2025 |
31 December 2024 |
|
|
|
£'000 |
£'000 |
|
|
|
|
|
|
At the start of the period |
|
2,223 |
2,596 |
|
New finance leases recognised |
|
106 |
290 |
|
Lease payments |
|
(1,037) |
(1,017) |
|
Interest expense |
|
245 |
243 |
|
Disposals |
|
(63) |
ꟷ |
|
Adjustment to lease term |
|
935 |
111 |
|
At the end of the period |
|
2,409 |
2,223 |
|
|
|
|
|
|
Current |
|
834 |
731 |
|
Non-current |
|
1,575 |
1,492 |
|
Total at the end of the period |
|
2,409 |
2,223 |
|
|
|
|
|
|
17. Provisions |
|
|
Property Dilapidations |
Warranties |
Settlement |
Contract Losses |
Total |
|
|
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
|
At 1 January 2024 |
2,282 |
603 |
ꟷ |
44 |
2,929 |
|
Movements in the Consolidated Statement of Profit and Loss: |
|
|
|
|
|
|
Unused amounts reversed |
ꟷ |
(206) |
ꟷ |
ꟷ |
(206) |
|
Unwinding of discount |
40 |
ꟷ |
ꟷ |
ꟷ |
40 |
|
Increase in provision |
18 |
ꟷ |
ꟷ |
ꟷ |
18 |
|
At 31 December 2024 |
2,340 |
397 |
ꟷ |
44 |
2,781 |
|
Movements in the Consolidated Statement of Profit and Loss: |
|
|
|
|
|
|
Unused amounts reversed |
ꟷ |
ꟷ |
ꟷ |
(44) |
(44) |
|
Unwinding of discount |
92 |
ꟷ |
ꟷ |
ꟷ |
92 |
|
Change in provision |
(56) |
(163) |
1,980 |
ꟷ |
1,761 |
|
At 31 December 2025 |
2,376 |
234 |
1,980 |
ꟷ |
4,590 |
|
|
|
|
|
|
|
|
Current |
ꟷ |
234 |
1,980 |
ꟷ |
2,214 |
|
Non-current |
2,376 |
ꟷ |
ꟷ |
ꟷ |
2,376 |
|
At 31 December 2025 |
2,376 |
234 |
1,980 |
ꟷ |
4,590 |
|
|
|
|
|
|
|
|
Current |
ꟷ |
397 |
ꟷ |
44 |
441 |
|
Non-current |
2,340 |
ꟷ |
ꟷ |
ꟷ |
2,340 |
|
At 31 December 2024 |
2,340 |
397 |
ꟷ |
44 |
2,781 |
|
18. Share capital |
|
|
|
31 December 2025 |
|
31 December 2024 |
||
|
|
|
Number of £0.10 |
£'000 |
|
Number of £0.10 |
£'000 |
|
Allotted and fully paid |
|
|
|
|
|
|
|
At 1 January |
|
193,699,380 |
19,370 |
|
192,968,096 |
19,297 |
|
Allotted £0.10 Ordinary shares on exercise of employee share options |
|
995,163 |
99 |
|
731,284 |
73 |
|
At 31 December |
|
194,694,543 |
19,469 |
|
193,699,380 |
19,370 |
|
During the year ended 31 December 2025, 995,163 ordinary £0.10 shares were allotted for cash consideration of £99,516 on the exercise of employee share options (31 December 2024: 731,284 ordinary £0.10 shares were allotted for cash consideration of £538,913). |
|
Reserves The Consolidated Statement of Financial Position includes a merger reserve and a capital redemption reserve. The merger reserve represents a reserve arising on consolidation using book value accounting for the acquisition of Ceres Power Limited at 1 July 2004. The reserve represents the difference between the book value and the nominal value of the shares issued by the Company to acquire Ceres Power Limited. The capital redemption reserve was created in the year ended 30 June 2014 when 86,215,662 deferred ordinary shares of £0.04 each were cancelled.
19. Events after the balance sheet date After the year end, Ceres agreed and paid a settlement of £1,980,000 with a third party in connection with the early termination of a contract. 20. Capital commitments Capital expenditure that has been contracted for but has not been provided for in the consolidated financial statements amounts to £320,000 as at 31 December 2025 (31 December 2024: £725,000). The reduction in capital commitments this year reflects Ceres' continued progression through its technology and manufacturing lifecycle, with major development and test‑related investment now largely complete as we transition toward a commercially focused operating model. 21. Related party transactions As at 31 December 2025 the Group's related parties were its Directors. Major shareholders have been considered in the Directors' Report within the annual report and accounts and it was concluded that they do not meet the definition of a related party in line with IAS 24 'Related Party Disclosures'. During the year ended 31 December 2025 none of the Directors exercised share options. RFC Power Ltd were a related party up until control was obtained on 1 August 2025. There were no transactions with RFC Power Ltd while they were a related party. During the year ended 31 December 2024 one Director exercised 380,424 share options under the Ceres Power Holdings plc 2004 Employees' Share Option Scheme. The Director sold 282,077 shares and retained 98,347 shares. 22. Exceptional operating costs Exceptional operating costs Ceres and a supplier settled a contractual dispute for the sum of £1,440,000. The Group also recognised a provision of £1,980,000 in respect of an obligation arising from the termination of a supply contract. The provision represents management's best estimate of the expenditure required to settle the obligation at the reporting date. Impairment of investment in associate The 24.2% interest in the associate, RFC Power Limited, has been impaired to £nil. During the period the Group identified indicators to suggest RFC could not carry on as a going concern. As this cost arises from events outside the ordinary course of business, it has been presented separately within the consolidated statement of profit and loss to provide clarity on the Group's underlying operating performance. Subsequently, the Group purchased the remaining shares of RFC on 1 August 2025. |
|
Reconciliation between operating loss and Adjusted EBITDA Management believes that presenting Adjusted EBITDA loss allows for a more direct comparison of the Group's performance against its peers and provides a better understanding of the underlying trading performance of the Group by excluding non-recurring, irregular and one-off costs. The Group currently defines Adjusted EBITDA loss as the operating loss for the year excluding depreciation and amortisation charges, share based payment charges, exceptional costs outside the regular course of business, unrealised losses on forward contracts and exchange gains/losses. |
|
|
31 December 2025 £'000 |
31 December 2024 £'000 |
|
Operating loss |
(47,621) |
(31,317) |
|
Depreciation and amortisation |
10,417 |
8,029 |
|
Share-based payment charges |
1,260 |
964 |
|
Unrealised losses on forward contracts |
(88) |
136 |
|
Exceptional operating costs |
3,420 |
ꟷ |
|
Exchange gains |
90 |
(99) |
|
Adjusted EBITDA |
(32,522) |
(22,287) |
|
|
|
|
|
Statement of Director's Responsibility The responsibility statement below has been prepared in connection with the annual report and financial statements for the year ended 31 December 2025. Certain parts thereof are not included within this Preliminary Announcement. The Directors confirm that to the best of their knowledge: · The financial statements, prepared in accordance with the applicable set of accounting standards, give a true and fair view of the assets, liabilities, financial position and profit or loss of the Company and the undertakings included in the consolidation taken as a whole; and · The strategic report, contained within the annual report and financial statements for the year ended 31 December 2025, includes a fair review of the development and performance of the business and the position of the Company and the undertakings included in the consolidation taken as a whole, together with a description of the principal risks and uncertainties that they face. The directors are responsible for the maintenance and integrity of the corporate and financial information included on the Ceres website at https://www.ceres.tech. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdiction.
|
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