Thyssenkrupp Nucera's Strategic Resilience Drives Profit Growth Amid Market Challenges in Green Hydrogen
Thyssenkrupp Nucera, a global leader in electrolysis technology, reported a positive operating performance for the 2024/2025 fiscal year, despite facing a slight decline in sales. The company anticipates sales of approximately EUR 845 million, down modestly from EUR 862 million the previous year, while achieving an EBIT of around EUR 2 million, a significant turnaround from a EUR -14 million loss in the prior reporting period. This demonstrates the ability of the company to navigate market fluctuations while maintaining profitability.
Key to this resilience is the strategy of the company in green hydrogen technology. The Green Hydrogen (gH2) segment, which employs alkaline water electrolysis (AWE) for climate-neutral hydrogen production, saw sales of EUR 459 million, down from EUR 524 million last year. However, EBIT improved markedly, moving from a EUR -76 million loss to EUR -56 million. This indicates that operational efficiencies and strategic adjustments are beginning to pay off, despite market challenges driven by hesitant investment and economic geopolitical uncertainties.
In the chlor-alkali (CA) segment, sales experienced double-digit growth, reaching EUR 386 million compared to EUR 338 million previously. The EBIT in this segment was slightly below last year's EUR 62 million, estimated at EUR 58 million. The segment's growth underpins the strategy of the company and demonstrates robustness in traditional electrolysis markets. Nevertheless, order intake declined significantly to EUR 348 million from EUR 636 million last year, and the order backlog shrank to EUR 0.6 billion from EUR 1.1 billion, reflecting more cautious market activity ahead of the next fiscal cycle.
Looking ahead to the 2025/2026 fiscal year, thyssenkrupp Nucera expects sales to fall further, between EUR 500 million and EUR 600 million, amid ongoing market headwinds. The management team has already implemented measures to reduce costs in response to expected lower sales, aiming to limit EBIT loss to between EUR -30 million and EUR 0 million. CEO Dr. Werner Ponikwar emphasized the strategy of the company in hydrogen and chlor-alkali markets, along with its high financial resilience, as critical assets to overcoming current challenges and continuing progression toward sustainable decarbonization goals.
Market conditions for green hydrogen remain constrained, with delayed final investment decisions and a deteriorating global economic environment. Despite these hurdles, thyssenkrupp Nucera remains committed to its strategic goals, leveraging its technological leadership and market diversification. The company believes that ongoing innovations and operational efficiencies will ultimately support long-term growth in green hydrogen and decarbonization initiatives, aligning with broader industry trends toward sustainable industrial practices and clean energy solutions.