ITM Power has just posted its FY 2026 numbers and the share price closed at £0.86, capping a run of declines over the past week, month and quarter. The headline is simple. The electrolyser specialist delivered record revenue of £43.6m while losses remained heavy at £24.9m from continuing operations over the trailing twelve months.
The market has been marking the stock down for months as patience wears thin on profitability. Yet today’s results show the real pressure point is valuation, with a relatively high P/S multiple and a discounted cash flow estimate that is far below the current price.
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FY 2026 Earnings Summary
- Revenue (FY 2026 vs FY 2025): £43.6m vs. £26.0m (approximately 68% increase in reported annual revenue)
- Net Loss from Continuing Operations (FY 2026 vs FY 2025): £25.0m loss vs. £45.5m loss (loss narrowed by roughly 45%)
- Basic EPS (FY 2026 vs FY 2025): £0.040 loss per share vs. £0.073 loss per share (loss per share reduced by around 45%)
- Adjusted EBITDA Loss (FY 2026 vs FY 2025): £20.2m loss vs. £33.0m loss (adjusted EBITDA loss reduced by about 39%)
Prefer clean charts instead of another wall of earnings notes and raw figures? View ITM Power’s full financial picture, including its valuation, in the interactive company report for ITM Power.
ITM Power: Progress On Backlog And Recurring Revenue
Bulls argue ITM Power can turn a swelling pipeline and early long term agreements into a sturdier earnings engine over time.
"The main thing that has to go right is that ITM Power converts its expanded multi gigawatt sales pipeline and early build own operate agreements into delivered projects that support a shift from ongoing EBITDA losses to a sustainably profitable operating model."
On that score, several milestones are now visible. Backlog is £144m, with 83% described as profitable, a marked shift from legacy loss making work. Hydropulse has secured 150 MW Heads of Terms with a European refinery under a 10 year agreement, giving the recurring revenue story a concrete flagship project, even though EBITDA remains in loss today.
That disagreement has a full argument behind it. → Uncover the higher Fair Value this Narrative argues for.
ITM Power: Fixed Cost Fears Meet Slower Capacity Proof
The worry is that ITM Power locks in big factory costs before there is enough profitable work to soak them up.
"Despite policy support for large scale green hydrogen build out and a growing project pipeline for ITM Power, the planned £120m CHRONOS manufacturing line with bespoke automation risks locking in a high fixed cost base well ahead of proven demand for that capacity."
Latest numbers partly back that concern. Backlog sits at £144m and is described as mostly profitable, yet it is flat year on year while capex of £13.2m and CHRONOS spend start to bite. Cash of £215.6m is healthy, helped by £40m government equity, but there is still no disclosed commercial release date for CHRONOS. That missing timetable keeps the risk of under used capacity unresolved.
Hunt For Mispriced Earnings Power
ITM Power’s latest numbers show how fast sentiment can shift around revenue progress and ongoing losses. The real opportunity could be spotting stocks that look mispriced before fresh information closes the gap.
- Company 1 - 25% below our estimate - captures extended equipment and services contracts as rising defense needs support long term modernization programs.
- Company 2 - 21% below our estimate - advances a copper project pipeline as permits unlock progress from delayed development toward greater production capacity.
- Company 3 - 38% below our estimate - adds robotic surgery platforms and higher growth implants that support revenue mix shifts toward newer product categories.
Three companies from the same screener. Open the full list of 7 companies trading below our fair value estimates →
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