Interim report January-June 2021

QUOTE FROM CEO MARCUS THOR
“Global CO2 emissions need to be halved by 2030 and such emissions are predominantly caused by the production and consumption of energy. Floating wind power is a renewable energy source that can be deployed at the scale that is needed and within a reasonable timeframe.”

April-June 2021 (Apr-Jun 2020)

• Net revenue amounted to SEK 1.0 million (2.1)

• Operating result amounted to SEK -22.1 million (-3.2)

• Result before tax amounted to SEK -22.2 (-3.4)

• Earnings per share amounted to SEK -0.08 (-0.02)

• Cash flow used in operating activities amounted SEK 15.5 million (-1.7)

January-June 2021 (Jan-Jun 2020)

• Net revenue amounted to SEK 12.6 million (3.1)

• Operating result amounted to SEK -23.5 million (-7.4)

• Result before tax amounted to SEK -22.3 (-7.8)

• Earnings per share amounted to SEK -0.08 (-0.04)

• Cash flow used in operating activities amounted SEK 0.9 million (-3.0)

Highlights second quarter

• Hexicon’s Korean J/V has entered a shareholder's agreement with Shell for the continued development of the Munmu Baram project

• Hexicon and Aker Offshore Wind have jointly initiated public consultations for three offshore sites in Sweden and planning is underway to establish a long-term 50-50 development structure

• To serve the design of the TwinWay demonstrator project in Norway, an exhaustive model test campaign was successfully conducted of the TwinWind foundation at MARIN test centre in the Netherlands

• Hexicon has acquired WaveHub, an offshore site in Cornwall, England, to develop the site for up to 40 megawatts (MW) in partnership with Bechtel

• Hexicon successfully listed its shares on NASDAQ First North Premier Growth Market

COMMENT FROM MARCUS THOR, CEO
“I can summarise an eventful quarter for Hexicon where we have taken important steps in regards of both project and technology development, while also having the pleasure to welcome thousands of new shareholders in connection with our listing on Nasdaq First North Premier Growth Market.

We continuously work to develop our project portfolio, and over the past months we have been able to move forward on several locations. In South Korea, our joint venture and Shell have entered into a shareholders’ agreement which is another exciting step taking us closer to realising the project’s target of creating the world’s largest floating offshore wind farm. Furthermore, towards the end of the first quarter, we entered into a joint development agreement with Aker Offshore Wind to develop floating wind projects offshore Sweden that could generate several gigawatts of renewable power and support Sweden’s goal of reaching net zero emissions. Additional early-stage developments are ongoing with local partners and expertise in selected markets such as Ireland, South Africa and Spain.

In the quarter we have also acquired Wave Hub, an offshore renewable energy test site off Cornwall, South West England. Our intention is to develop the site for a 30-40MW floating offshore wind project with two TwinWind foundations with the aim to deliver power by 2025.

For anyone out there still questioning that human influence has warmed the globe, last week’s assessment report from the United Nations Intergovernmental Panel on Climate Change should turn you around. Climate change is no longer a future threat, it is here and now. With current policies we are on track towards a significantly warmer planet than per the Paris Agreement.

With the evidence presented in the report and the upcoming COP26 climate conference in Glasgow later this year, I am however optimistic that we will see improved government policies that more closely align with the Paris Agreement, which will further benefit the offshore wind markets where Hexicon is active.”

Link to the report
The interim report is attached to this announcement and available at https://www.hexicon.eu/investors/report-center/