ITM Power revenue fall spooks investors

Electrolyser manufacturer says production suffered due to Covid-19, but the problem is only temporary

Markets reacted negatively to the sharp drop in revenue announced by electrolyser manufacturer ITM Power yesterday, but the company stressed on an investor call that it will catch up once delays caused by Covid-19 have passed. And it also took the opportunity to dismiss the viability of blue hydrogen. A 92pc fall in revenue for the six months to 31 October 2020 sent shares in ITM sharply down yesterday, from above £6.50 to below £5.20 before partially recovering to £5.60 this morning. This was despite the confidence expressed by James Collins, the company’s head of investor relations, that it will make up lost ground once installation of projects required for revenue recognition is complete.