New Risk • Oct 24
New major risk - Market cap size The company's market capitalization is less than US$10m. Market cap: kr102.6m (US$9.34m) This is considered a major risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (19% average weekly change). Earnings have declined by 43% per year over the past 5 years. Revenue is less than US$1m (kr2.1m revenue, or US$188k). Market cap is less than US$10m (kr102.6m market cap, or US$9.34m). Minor Risk Shareholders have been diluted in the past year (38% increase in shares outstanding). Reported Earnings • Sep 22
First half 2024 earnings released First half 2024 results: kr0.72 loss per share. Net loss: kr117.3m (loss widened 108% from 1H 2023). Over the last 3 years on average, earnings per share has fallen by 32% per year but the company’s share price has fallen by 42% per year, which means it is performing significantly worse than earnings. Duyuru • Jul 30
TECO 2030 ASA announced that it expects to receive NOK 11 million in funding TECO 2030 ASA announced a private placement that it will issue 5,500,000 new shares at an issue price of NOK 2 per share for the gross proceeds of NOK 11,000,000 on July 29, 2024.
On the same day, the company issued 2,000,000 new shares at an issue price of NOK 2 per share for the gross proceeds of NOK 4,000,000 in its first tranche. New Risk • Jul 18
New major risk - Revenue size The company makes less than US$1m in revenue. Total revenue: kr9.3m (US$870k) This is considered a major risk. Companies with a small amount of revenue are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-kr123m free cash flow). Share price has been highly volatile over the past 3 months (14% average weekly change). Earnings have declined by 43% per year over the past 5 years. Revenue is less than US$1m (kr9.3m revenue, or US$870k). Minor Risks Shareholders have been diluted in the past year (25% increase in shares outstanding). Market cap is less than US$100m (kr316.0m market cap, or US$29.4m). New Risk • Jul 04
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 25% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (13% average weekly change). Earnings have declined by 46% per year over the past 5 years. Minor Risks Latest financial reports are more than 6 months old (reported September 2023 fiscal period end). Shareholders have been diluted in the past year (25% increase in shares outstanding). Revenue is less than US$5m (kr12m revenue, or US$1.1m). Market cap is less than US$100m (kr305.8m market cap, or US$29.0m). New Risk • Mar 03
New major risk - Revenue and earnings growth Earnings have declined by 46% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-kr130m free cash flow). Share price has been highly volatile over the past 3 months (16% average weekly change). Earnings have declined by 46% per year over the past 5 years. Minor Risks Revenue is less than US$5m (kr12m revenue, or US$1.1m). Market cap is less than US$100m (kr388.2m market cap, or US$36.9m). New Risk • Jan 25
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Norwegian stocks, typically moving 15% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-kr130m free cash flow). Share price has been highly volatile over the past 3 months (15% average weekly change). Minor Risks Currently unprofitable and not forecast to become profitable over next 2 years (kr30m net loss in 2 years). Revenue is less than US$5m (kr12m revenue, or US$1.1m). Market cap is less than US$100m (kr689.8m market cap, or US$65.9m). Major Estimate Revision • Jan 18
Consensus revenue estimates decrease by 76% The consensus outlook for fiscal year 2023 has been updated. 2023 revenue forecast fell from kr50.0m to kr12.0m. EPS estimate unchanged from -kr0.60 per share at last update. Machinery industry in Norway expected to see average net income growth of 53% next year. Consensus price target down from kr13.50 to kr10.50. Share price fell 9.3% to kr3.72 over the past week. Price Target Changed • Jan 17
Price target decreased by 23% to kr10.50 Down from kr13.67, the current price target is an average from 2 analysts. New target price is 146% above last closing price of kr4.27. Stock is down 68% over the past year. The company is forecast to post a net loss per share of kr0.60 next year compared to a net loss per share of kr0.65 last year. Reported Earnings • Nov 30
Third quarter 2023 earnings released Third quarter 2023 results: Net loss: kr22.2m (loss narrowed 6.5% from 3Q 2022). Revenue is forecast to grow 63% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Machinery industry in Norway. Duyuru • Oct 13
TECO 2030 ASA Elaborates the Fcm400 TECO 2030 ASA elaborated the FCM400. The FCM400 has already an Approval in Principle from DNV and currently undergoes type approval process for maritime and heavy-duty applications. FCM400 is inherently gas-safe to accommodate easy integration onboard a ship for zero emission energy generation. TECO 2030 has developed hydrogen fuel cells that enable ships and other heavy-duty applications to become emissions-free, and the company is in the process of establishing Europe's first Giga production facility for hydrogen PEM fuel cell stacks and modules in Narvik, Norway. Production of fuel cell stacks is already underway, and the commencement of module production is expected tostart within the next few months. TECO 2030's fuel cell stacks employ unique technologies developed together with technology partner, AVL, a forerunner in hydrogen applications, enabling power density and performance. TECO 2030's world-class fuel cell system is a technologically advanced clean energy generation system. The attributes of the modular 400kW fuel cell system includes industry leading energy efficiency, inherent safety concept, leading dimensions and component design, lifetime, and rapid dynamic load response. Safety is always the key priority. TECO 2030's fuel cell system has been developed along with an inherent safety concept, this means that the design and operation of fuel cells minimize consequence of potential hazards. This includes a separate and independent safety system, venting arrangement, certified and field proven components, and robust containment systems. The FCM400 system has the lowest footprint on the market when calculating poweroutput per unit volume, meaning that there is no other supplier of similar energy density for marine and heavy-duty applications. Real estate onboard a ship or similar sites is limited so the importance of energy density is key to many of TECO 2030's clients and partners. The FCM400 has a dynamic load which relates to the ability of the fuel cell to rapidly respond to changes in power demand, which is important for mobility and grid applications were power requirements can change swiftly. Major Estimate Revision • Sep 19
Consensus revenue estimates decrease by 27% The consensus outlook for fiscal year 2023 has been updated. 2023 revenue forecast fell from kr68.5m to kr50.0m. EPS estimate unchanged at -kr0.607 per share. Machinery industry in Norway expected to see average net income growth of 11% next year. Consensus price target down from kr13.67 to kr13.00. Share price rose 13% to kr6.70 over the past week. Price Target Changed • Sep 18
Price target decreased by 7.1% to kr13.00 Down from kr14.00, the current price target is an average from 3 analysts. New target price is 95% above last closing price of kr6.68. Stock is up 44% over the past year. The company is forecast to post a net loss per share of kr0.60 next year compared to a net loss per share of kr0.65 last year. Reported Earnings • Sep 03
Second quarter 2023 earnings: Revenues miss analyst expectations Second quarter 2023 results: Net loss: kr28.9m (loss widened 73% from 2Q 2022). Revenue missed analyst estimates by 88%. Revenue is forecast to grow 60% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Machinery industry in Norway. New Risk • Jun 30
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: kr1.06b (US$97.9m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Less than 1 year of cash runway based on free cash flow trend (-kr181m free cash flow). Minor Risks Shareholders have been diluted in the past year (15% increase in shares outstanding). Revenue is less than US$5m (kr16m revenue, or US$1.5m). Market cap is less than US$100m (kr1.06b market cap, or US$97.9m). Reported Earnings • Apr 30
Full year 2022 earnings released: kr0.65 loss per share (vs kr0.42 loss in FY 2021) Full year 2022 results: kr0.65 loss per share (further deteriorated from kr0.42 loss in FY 2021). Net loss: kr93.1m (loss widened 76% from FY 2021). Revenue is forecast to grow 53% p.a. on average during the next 3 years, compared to a 22% growth forecast for the Machinery industry in Norway. Duyuru • Jan 12
TECO 2030 Completes First FCM400's Component Procurement TECO 2030 has completed selection of all major component suppliers and procured necessary parts for the first fuel cell modules (FCM400). This means the FCM400 development is close to completion and the first units are ready for assembly. The layout release entails a freeze of all functional components to allow for further resimulation and fine detail solutions to be executed. The first FCM400 will be assembled at AVL's facility in Graz, Austria during Quarter 2, before its scheduled operation in the advanced testbed for complete simulation. The fuel cell development project now shifts from design engineering to the build and validation phase. The FCM400 will complete advanced testbed operations during Quarter 3 2023. The FCM400 is the building block in TECO 2030's Fuel Cell Power System and is a key driver towards achieving zero emissions while operating marine and heavy-duty applications. The system is designed for an electrical capacity of 400kW. Board Change • Nov 16
No independent directors There are 4 new directors who have joined the board in the last 3 years. Of these new board members, none were independent directors. The company's board is composed of: 4 new directors. 1 experienced director. No highly experienced directors. No independent directors (5 non-independent directors). Chairperson Sigurd Lange is the most experienced director on the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Lack of experienced directors. Major Estimate Revision • Nov 12
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 revenue forecast increased from kr22.0m to kr27.0m. EPS estimate fell from -kr0.47 to -kr0.56 per share. Machinery industry in Norway expected to see average net income growth of 13% next year. Consensus price target of kr7.00 unchanged from last update. Share price rose 8.9% to kr6.00 over the past week. Reported Earnings • Sep 03
First half 2022 earnings: EPS and revenues miss analyst expectations First half 2022 results: kr0.26 loss per share (down from kr0.18 loss in 1H 2021). Net loss: kr36.3m (loss widened 67% from 1H 2021). Revenue missed analyst estimates by 2.0%. Earnings per share (EPS) also missed analyst estimates by 47%. Over the next year, revenue is forecast to grow 1,258%, compared to a 81% growth forecast for the Machinery industry in Norway. Breakeven Date Change • May 01
Forecast breakeven date pushed back to 2024 The analyst covering TECO 2030 previously expected the company to break even in 2022. New forecast suggests the company will make a profit of kr3.00m in 2024. Average annual earnings growth of 79% is required to achieve expected profit on schedule. Board Change • Apr 27
No independent directors There are 5 new directors who have joined the board in the last 3 years. Of these new board members, none were independent directors. The company's board is composed of: 5 new directors. No experienced directors. No highly experienced directors. No independent directors (5 non-independent directors). Chairperson Sigurd Lange is the most experienced director on the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Lack of board continuity. Lack of experienced directors. Breakeven Date Change • Feb 21
Forecast breakeven date pushed back to 2023 The 2 analysts covering TECO 2030 previously expected the company to break even in 2022. New consensus forecast suggests the company will make a profit of kr26.5m in 2023. Average annual earnings growth of 72% is required to achieve expected profit on schedule. Is New 90 Day High Low • Feb 06
New 90-day high: kr77.00 The company is up 228% from its price of kr23.50 on 06 November 2020. The Norwegian market is up 20% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Machinery industry, which is up 37% over the same period. Is New 90 Day High Low • Jan 14
New 90-day high: kr75.25 The company is up 127% from its price of kr33.20 on 16 October 2020. The Norwegian market is up 15% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Machinery industry, which is up 23% over the same period. Duyuru • Dec 02
TECO 2030 ASA Appoints Arild Eiken as Chief Technology & Project Officer for the TECO 2030 Marine Fuel Cell Team TECO 2030 ASA announced that Arild Eiken will join the group as Chief Technology & Project Officer for the TECO 2030 Marine Fuel Cell Team. Mr. Eiken has over the past four years been instrumental in the development of hydrogen and fuel cell systems for maritime and offshore applications at HYON AS, a company which is jointly owned by NEL, Hexagon and Power Cell. Educated as a Naval Architect at NTNU Norwegian University of Science and Technology, Mr. Eiken has 21 years of experience within the maritime and offshore oil and gas industries and has held various leading technical and management positions. Mr. Eiken assumes the position of Chief Technology & Project Officer with the overall responsibility for the TECO 2030 Marine Fuel Cell on December 1st 2020. Duyuru • Oct 13
TECO 2030 ASA Appoints Stian Aakre as CEO of Its Main Operating Subsidiary TECO 2030 ASA announced that Stian Aakre will join the group as CEO of its main operating subsidiary, TECO 2030 AS. Mr. Aakre joins TECO 2030 from Finnish industrial group Wärtsilä, where he has held the position of general manager business development within Marine Solutions as well as other senior management positions. He also has experience from COWI, Höegh Autoliners and Easynet. He holds a MSc in physical chemistry from the Norwegian Institute of Technology (NTH). He will assume the position of CEO of TECO 2030 AS early next year. 
