ITM Power cuts annual revenue forecast

3rd Jul 2013 13:30

ITM Power's shares plunged after the energy storage and clean fuel company said full-year revenues would be significantly lower than expected.The AIM-listed company's revenues for the year to April 30th 2013 are anticipated to dip to £87,000 due to delivery delays, according to a trading update on Wednesday.The group has controlled its costs in the period to achieve a net loss for the year in line with market estimates. Cash as the period end was £5.9m.Looking forward, the company is developing its key markets in Germany and the US. The order book stands at £0.93m while product development and collaborative project grant awards are continuing to flow. However, delivery times and hydrogen plant deployment is slipping which will in turn affect revenues of deployment until the financial year 2015.In light of the delayed roll out in both H2 Mobility and Power-to-Gas sectors, the company expects that its move into profitability will be delayed.ITM Power CEO, Dr Graham Cooley, said: "The progress we have made, and are making, is real and substantial. "Our strategy is to embed the company in as many hydrogen infrastructure programmes around the world as we can and to make ITM Power's products the must-have solution to the problem of surplus renewable energy - converting it either to fuel or injecting resultant hydrogen into gas grids. "This is a medium to long term value creation strategy but one that I believe will reward shareholders despite any short term financial cost."Shares were down 32.47% to 32.50p at 13:42.RD