November 19th 2021

Interim report: Continued progress despite challenges from the pandemic

Significant events

Q3: Jul – Sep 2021

  • In August, Azelio signed a conditional order with Engazaat Development S.A.E. on 20 units of Azelio’s renewable energy storage, TES.POD®. The order, which is conditional on, apart from the usual project objects, the ongoing techno-economic feasibility study for this specific project, has a value of approximately $ 1.5 million and is expected to be delivered in December 2021.
  • The company’s global presence was strengthened with Country Directors in South Africa and Australia, both markets with ambitious plans for renewable energy.
  • Azelio was granted two new patents, published in the USA and China as well as in Sweden, and thus has 16 patents and several under registration.
  • Production in volume design of the energy storage TES.POD® was started as planned in September. To ensure high quality in both the product and the supply chain, production will begin at a low pace and then scale up to high volumes in 2022.
  • Holders of the warrant program TO 27 have exercised warrants to 448,000 shares, which provided the company with just over SEK 16 million.

After the end of period

  • Azelio published a white paper with validation data on technical performance for TES.POD®, which shows that the system works in all aspects according to the technical performance specification. This is the same data that Azelio provided to DNV, that is working on finalizing a report for third-party validation.
  • Together with 24 other technology companies, energy players and investors, Azelio launched the Long Duration Energy Storage Council at COP26 in Glasgow. The Council is working to speed up the transition to carbon neutrality by 2040 with the help of energy storage.
  • Azelio receives an order for 1.3 MWh of renewable electricity supply corresponding to 8 units of its energy storage TES.POD®, from the South African agricultural company Wee Bee Ltd. The order has a value of approximately 1.2 million US dollars over a period of 15 years, including expected price increases.

Group financial development

Q3: Jul – Sep 2021

  • Net sales amounted to kSEK 391 (164)
  • Operating profit/loss (EBIT) amounted to kSEK -91,228 (-49,536). As a result of the start of commercialisation, the company began to write off development costs, which entailed an increase in depreciation and amortisation to kSEK -35,663 (-5,461)
  • Earnings per share before and after dilution totalled SEK -0.79 (-0.53)
  • Profit/loss for the period amounted to kSEK -91,604 (-49,764)
  • Cash flow amounted to kSEK -96,856 (192,859)
  • Cash and bank balances amounted to kSEK 617,597 (417,027)

First nine months: Jan – Sep 2021

  • Net sales amounted to kSEK 1,118 (622)
  • Operating profit/loss (EBIT) amounted to kSEK -255,900 (-142,938) after depreciation and amortisation of kSEK -73,431 (-15,708)
  • Earnings per share before and after dilution totalled SEK -2.29 (-1.57)
  • Profit/loss for the period amounted to kSEK -256,953 (-143,431)
  • Cash flow amounted to kSEK 285,046 (361,371)
  • Cash and bank balances amounted to kSEK 617,597 (417,027)

For more information, please contact

Jonas Eklind – CEO
Email: jonas.eklind@azelio.com
Tel: +46 709 40 35 80

Fredrik Wäppling – CFO
Email: fredrik.wäppling@azelio.com
Tel: +46 709 91 12 34

This disclosure contains information that Azelio AB is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 19 November 08:00 CET.

Azelio is a Swedish cleantech company. We have developed an ingenious long duration energy storage technology, providing dispatchable electricity and usable heat for all hours of the day – with zero emissions and at a very competitive cost.

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Contact information

Azelio
Lindholmsplatsen 1
417 56 Gothenburg
Sweden

Phone: +46 532 100 20

Email: info@azelio.com

© Azelio 2022