AFC Energy (AIM: AFC), the leading alkaline fuel cell power company is pleased to announce unaudited preliminary results for the year ended 31 October 2018.
FY18 Highlights
- Development of new high-power density alkaline fuel cell technology with potential use in applications where space and weight are key considerations, opening opportunities for early revenue generation through licensing or joint development in existing markets
- Concluded funded engineering study for deployment of fuel cell system in Australia at Southern Oil’s Gladstone refinery
- Continuing joint development with De Nora with further improvements in electrode longevity and performance whilst reducing cost
- Completed global tender process and chose Advanced Plastics to be our flow plate mass manufacturing partner
- Successfully developed EV charging solution and installed a demonstration unit at our Dunsfold facilities
- Completed detailed “Go to market” studies confirming addressable markets, distribution strategy, product benchmarking and resources required
- Invited to join the Hydrogen Council and actively participating in the debate to promote the Hydrogen economy and develop long term strategic relationships with like-minded global industrial companies
- Commenced engagement with international industrial partners to discuss joint product development and market initiatives
- Operating loss of £ 5.0 million (2017: £ 5.5 million)
- Cash reserves at 31 October 2018 of £ 2.6 million (2017: £ 6.7 million)
Post Period Highlights
- Arranged a £ 4 million convertible loan facility to fund working capital and develop the Company’s commercial strategy
- Improved liquidity by raising a further £813,000 in an equity placement
Adam Bond, CEO of AFC Energy, commented: “Progress has been made in a number of areas; new technology, product development, manufacturing readiness, commercial footprint and financing. The high-power density alkaline fuel cell technology complements our existing technology opening opportunities where space and weight influence the purchasing decision. This new technology also has the possibility to be monetised in the short term through joint development cost sharing and licensing agreements. Our manufacturing readiness is built around our industrial partners starting with De Nora, with whom we have now selected an electrode pairing, and welcoming Advanced Plastics as our mass manufacturing partner for flow plates.
Our commercial activity continues to grow, both through prospecting and market studies. The latter has identified several addressable markets over and above our Chlor Alkali base principally in off grid applications traditionally dominated by diesel generators. Our product development work has seen the installation of an EV charging demonstration unit at our Dunsfold facilities which has commanded much attention and demonstrated the role fuel cells can play in building a truly emissions free environment. Finally, the fundraising concluded provides us with £ 4.8 million which together with existing cash reserves funds the continued development of our technology base, range of products, manufacturing readiness and commercial presence.”
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