Slides
Page 1
1 ITM Power plc Capital market update 19 Oct 2026 ©2026 ITM Power Group This document contains information which is proprietary and confidential to ITM Power plc and its subsidiaries ("ITM Power Gr oup"). Such information may not, without the prior written consent of the ITM Power Group entity to which it relates, be used or reproduced, in whole or in part, or communicated to any p erson not employed by an entity of ITM Power Group.
Page 2
2 1. Setting the scene 2. The market we operate in 3. Our business model 4. Hydropulse 150 MW project 5. Project execution update 6. Rheinmetall collaboration 7. UK Government investment 8. Chronos stack platform 9. FY26 results 10. FY27 guidance CONTENT
Page 3
3 Market & competition Financial position Operational situation Strategic priorities ▪ The conflict in the Middle East has reinforced the strategic rationale for accelerating the energy transition ▪ Europe continues to be the most important region ▪ Strong customer engagements for Hydropulse, Alpha 50, and Neptune V; trend towards larger projects ▪ Market consolidation continues, with growing customer preference for proven technology providers ▪ Year-end cash of £216m; a clear competitive advantage, particularly in the current market environment ▪ Despite record revenues, contracted order backlog remains healthy at £144m ▪ Profitable share of order backlog now at 83% (FY25 60%) ▪ EBITDA losses continue to narrow ▪ ITM is uniquely positioned with full ownership of core science, intellectual property and manufacturing processes ▪ Comprehensive and competitive product portfolio ▪ Endorsement by UK Government investment ▪ Strong project execution, incl. Leuna (24 MW), Lingen (200 MW) and REFHYNE2 (100 MW), providing high-profile reference plants ▪ Strategic priorities remain valid and unchanged: - Remain at the forefront of tech, product and delivery credibility - Scale operations whilst retaining flexibility and conserving cash - Grow global footprint & reach, while staying adaptable ▪ Hydropulse launched and has established offices in Berlin and Sheffield, and has signed first Heads of Terms for a large-scale 150 MW refinery project SETTING THE SCENE
Page 4
4 1) Hydrogen Europe 2025; 2) International Energy Agency (IEA) 2024 Green hydrogen market [GW]We solidified our foundation ▪ While the market accelerated slower than forecasted, ITM advanced its technology and product portfolio, debottlenecked its supply chain and manufacturing, rightsized the business and built important reference plants with blue -chip customers Rapid growth forecasted from here ▪ IEA forecasts 11x market growth to 77 GW in five years, worldwide excl. China ▪ Hydrogen Europe expects growth in Europe to accelerate from 42% to >100% CAGR Underpinned by government policies and funding ▪ EU funding of >€20bn announced, with additional national investments in transport & storage infrastructure, like the DE pipeline network ▪ Other commitments: UK >£2bn, AUS A$8bn, JP $20bn and many more ▪ RED III mandates could unlock ~2.4 Mt/year additional EU clean hydrogen demand 3 4 7 10 15 7 17 32 39 77 2026 2027 2028 2029 2030 +436% +1,009% Europe (conservative)1 World excl. China (bold)2 Refineries Defence Mobility Energy Industry Derivatives THE MARKET WE OPERATE IN
Page 5
5 EPC Electrolysers Build, Own, Operate EPC ▪ We innovate, design and manufacture leading electrolysers ▪ We engineer these electrolysers into full green hydrogen production plants, and build them with our in-house EPC capabilities ▪ Our after-sales services provide customers long-term certainty ▪ We build, own and operate modular hydrogen production plants to supply hydrogen to industry under long-term offtake commitments ▪ Our competitiveness accelerates the uptake of hydrogen ▪ This increases ITM’s factory utilisation, provides recurring income streams, and is cash-generative One-stop shop for customers who need electrolyser equipment, full green hydrogen plants, or simply just hydrogen RECAP: OUR BUSINESS MODEL Building an integrated hydrogen company
Page 6
6 ▪ Heads of Terms signed by Hydropulse, ITM’s Build, Own, Operate (‘BOO’) subsidiary, with a leading European oil refinery in October 2026 ▪ 150 MW Alpha-based plant to produce hydrogen on customer site under a 10-year agreement ▪ Customer to provide power and site, mitigating electricity price exposure ▪ FEED study underway, with joint FID targeted in 2027 and hydrogen production expected to commence in 2029 ▪ Financing discussions with banks progressing well If progressed through FID, this marks the largest commercial contract of ITM to date, and demonstrates the potential of our BOO business model. HYDROPULSE 150 MW REFINERY PROJECT A gamechanger for ITM Power 50 MW Alpha plant (illustrative)
Page 7
7 PROJECT EXECUTION RWE Get H2 Nukleus Project in Lingen – 2x 100 MW ▪ The world’s largest PEM electrolyser and Europe’s largest electrolyser of any technology ▪ And most importantly: a happy customer!
Page 8
8 …and another happy customer! ▪ Our first Neptune V has been completed and went smoothly through customer-witnessed Factory Acceptance Test (FAT) ▪ The performance is exceptional and is beating our contractual promises on efficiency and hydrogen production rate PROJECT EXECUTION Guttroff Dettelbach project – 5 MW
Page 9
9 ITM POWER x RHEINMETALL A strategic industrial partnership for defence readiness Together we deliver: ▪ Combining proven hydrogen technology with defence systems integration and industrial scale ▪ NATO-compatible drop-in diesel, aviation and marine fuels for existing vehicles, aircraft, vessels and fuel infrastructure ▪ Strengthening fuel security, operational resilience, and sovereign supply chains ▪ Up to 5,000 tonnes of synthetic fuels per facility, per year (based on a 50 MW electrolyser) ▪ Initial focus is on the UK and Germany X Industrial - scale electrolysers Defence and Power - to - X integration
Page 10
10 INHERENT REDUNDANCY THROUGH SEVERAL HUNDRED PLANTS ACROSS EUROPE (indicative) A EUROPEAN NETWORK OF DISTRIBUTED FUEL PRODUCTION NATO defence fuel resilience THE GIGA PTX VISION ▪ A distributed network of modular Power-to-X plants producing NATO-compatible synthetic fuels ▪ Local production of drop-in diesel, aviation and marine fuels for defence and critical infrastructure ▪ Resilient, sovereign fuel supply with no single point of failure across the network
Page 11
11 OPERATIONAL ADVANTAGES ▪ Can be produced close to the point of use, utilising electricity, water and captured CO2 ▪ Highest energy density, lowest- weight and logistics footprint ▪ Compatible with existing military vehicles, aircraft and fuel infrastructure CRITERION CONVENTIONAL FUEL SYNTHETIC FUEL BATTERY COMPRESSED HYDROGEN Existing military vehicle compatibility ★★★★★ ★★★★★ ★ ★ Energy density ★★★★★ ★★★★★ ★ ★★ Logistics maturity ★★★★★ ★★★★★ ★★★ ★★ Refuelling speed ★★★★★ ★★★★★ ★ ★★★★ Long-term field storage ★★★★★ ★★★★★ ★★ ★★★ Logistical practicality ★★★ ★★★★★ ★ ★★ SYNTHETIC DIESEL PRODUCTION Hydrogen + captured CO2 → synthetic diesel + water COMPARISON: 2.6 MWH ‘WHEEL’ ENERGY Volume 2.5 m3 2.7 m3 40.6 m3 19.2 m3 Weight 1.9 t 1.7 t 38.1 t 6.7 t SOVEREIGN FUEL PRODUCTION AT THE POINT OF USE Synthetic diesel delivers conventional fuel performance
Page 12
12 Rationale ▪ Green hydrogen is strategically important to the UK government ▪ The UK has ambitious hydrogen targets underpinned by its HAR funding programme ▪ ITM is the UK’s electrolyser champion, supporting energy sovereignty and resilience ▪ As a global leader, ITM offers strong growth and export potential, creating local jobs and boosting the economy ▪ Balance sheet strength matters for customers and operational flexibility ▪ Total UK government support package of £86.5m consisting of: ▪ £40m investment from Great British Energy (GBE) ▪ £46.5m grant from DESNZ £40m GBE Invest£46.5mDESNZ Grant Growth package £86.5m RECAP: STRATEGIC UK GOVERNMENT BACKING Supporting the establishment of Chronos manufacturing
Page 13
13 CHRONOS ▪ Technology continues to deliver outstanding performance ▪ Underpinned by >20,000 hours at component, cell and short stack level ▪ Bill of materials defined and manufacturing processes under validation FACTORY DEVELOPMENT ▪ Make-or-buy decisions being made for each process ▪ Manufacturing process requirements defined and engagement with automation providers ongoing ▪ Factory design in development PROGRAMME ▪ Strong collaboration with DESNZ and GBE ▪ Recruitment of key roles to support production engineering ▪ Measure twice, cut once; a quality-first approach CHRONOS STACK PLATFORM Progressing to plan
Page 14
14 Revenue ▪ Driven by equipment sales of £40.7m, accounting for over 90% of total revenue ▪ Further income from engineering and service contracts ▪ Legacy contracts accounted for 82% of revenue, which did not contribute to profit, but are fully provided for ▪ £3.9m revenue recognised on percentage-of-completion contracts Adjusted EBITDA* ▪ Gross loss reduced by almost 75%, driven by true-up of provisions following strong project progress ▪ Remaining loss due to under-absorption of factory costs (£7.5m) ▪ Adjusted EBITDA loss reduced by 39% year-on-year Cash at year-end ▪ We closed the year with a strong cash position of £215.6m, a net increase of £8.6m FY26 £m FY25 £m Revenue 43.6 26.0 Gross loss (6.1) (23.7) Adjusted EBITDA* loss (20.2) (33.0) Cash at year end 215.6 207.0 *Adjusted EBITDA is a non-statutory measure SUMMARY FINANCIALS Year ended 30 April 2026 (FY26)
Page 15
15 145.1 144.0 43.6 Contract backlog April 2025 +42.5 Order intake FY26 Revenue FY26 Contract backlog April 2026 [£m] ▪ Contract backlog can be defined as firm orders not yet recognised as revenue ▪ Revenue grew more than 700% over three years ▪ Despite record revenue, contracted backlog has remained consistent in the financial year; demonstrating our ability to replenish revenue as we execute existing contracts CONTRACT BACKLOG DEVELOPMENT
Page 16
16 ▪ As we are working through our legacy projects and continue to sign new contracts, the profitable share of the order backlog continues to grow ▪ 83% of our contract backlog is now profitable April 2025 100% 17% 83% April 2026 CONTRACT BACKLOG DEVELOPMENT Jan 2023 40% 60% Legacy Contracts Profitable Contracts
Page 17
17 40% 60% 39% 61% Raw materials WIP & finished products 33% 67% 28% 72% Development Capability InventoryInvestment FY26 FY25FY26 £m FY25 £m Opening balance 207.0 230.3 Adjusted EBITDA (20.2) (33.0) Decrease/(increase) in inventories (9.7) 14.4 Working capital movements (receivables and payables) 6.8 20.0 (Decrease)/increase in provisions (0.4) (7.1) Investment in factory, testing and product development (13.2) (12.8) Other, including interest received 6.1 8.2 Net equity raised 39.2 0.0 Exceptional item 0.0 (13.1) Movement total 8.6 (23.3) Closing balance 215.6 207.0 CASH FLOW Year ended 30 April 2026 (FY26)
Page 18
18 Revenue of £50m to £60m: ▪ A growth of more than 900% over four years ▪ Revenue recognised on legacy contracts approx. 1/3, and 2/3 on profitable contracts Adjusted EBITDA loss of £17m to £20m: ▪ EBITDA losses continue to decrease and remain a function of factory loading and fixed cost absorption Cash at year-end between £170m and £180m: ▪ We continue to maintain tight cost and capital discipline ▪ Guided numbers include our forecasted capex for the Chronos manufacturing line in the year GUIDANCE FY27
Page 19
19 Thank you for your attention