German electrolysis firm cuts outlook after Q3 sales drop

A German electrolysis technology firm revealed on Wednesday that its third-quarter sales fell by 21% compared to the same period last year, as green hydrogen sales dwindled. Consequently, the company has revised its full-year guidance downwards following the suspension of solid oxide electrolyzer cell mass production plans. Q3 sales totaled EUR 145 million, surpassing the analyst-estimated EUR 112 million.

Operating profit turned negative at EUR -2 million for the quarter, while earnings after taxes broke even, with pretax profit amounting to EUR 1 million. Order intake increased by 29% year-over-year, fueled by a significant green hydrogen contract and robust performance in the Chlor-Alkali segment. The Chlor-Alkali segment demonstrated strong sales and order intake, bolstered by growth in new builds and services, including timing-related early effects.

The company downsized its 2025/2026 order intake forecast from EUR 550 million to EUR 850 million to between EUR 550 million and EUR 670 million. Group sales for 2025/2026 are now projected between EUR 450 million and EUR 500 million, a decline from the previous forecast of EUR 450 million to EUR 550 million. The firm also adjusted its operating profit outlook, now anticipating group EBIT between EUR -105 million and EUR -75 million for 2025/2026, down from the prior range of EUR -80 million to EUR -30 million.

Despite the reduced sales volume, the company's improved gross margin and proactive cost management have largely offset the decline in operating profit.