Nel ASA Posts 73% Drop in Q1 Orders but Two Post-Quarter Deals Offer a Glimmer
Published on 05/15/2026 at 09:32 | Redaktion boerse-global.de
Nel ASA’s first-quarter numbers for 2026 paint a stark picture: an order intake that slid 73% year-on-year to just 85 million Norwegian kroner, and customer revenues down 5% to 148 million kroner. Yet the hydrogen specialist signed two separate purchase agreements shortly after the quarter closed — each worth roughly $7 million — suggesting the pipeline may not be completely dry.
One of those contracts came from Mesure Process, a subsidiary of Synqo Energies, marking the second time that customer has placed an order with Nel. The other was from the Douglas County Public Utility District in Washington state, the company’s first-ever sale of a green hydrogen plant to a public utility. Both are in the PEM segment, a technology Nel has continued to refine alongside its alkaline offering.
The deals provide a modest counterweight to the broader demand sluggishness that has weighed on the electrolyser market. Nel’s order backlog stood at 1.1 billion kroner at the end of Q1, down 24% from the prior quarter, and the company’s ability to convert its new platform into a steady stream of contracts is now the central question for investors.
That platform — a new generation of pressurised alkaline electrolysers launched commercially on 6 May after more than eight years of development — aims to cut system costs by 40% to 60% compared with current market solutions. For a 25-megawatt facility, Nel targets turnkey costs below $1,450 per kilowatt, a significant reduction in an industry where total system costs of $3,000 per kilowatt are not uncommon. The technology’s rollout at the Herøya facility in Norway is backed by the EU Innovation Fund, which can provide up to €135 million, covering as much as 60% of eligible costs.
Should investors sell immediately? Or is it worth buying Nel ASA?
On the cost side, Nel has already taken decisive action. It has cut roughly a quarter of its workforce, leaving about 300 employees, and personnel expenses fell 21% in the first quarter. The company says it can scale headcount back up when orders pick up. But there is a potential overhang in Herøya: Nel is reviewing the book value of two mothballed production lines built for atmospheric alkaline electrolysers. An impairment is considered a real possibility, and it would add to the 799 million kroner in writedowns the company already absorbed in 2025.
Liquidity remains the most solid pillar of the Nel story for now. The company ended Q1 with 1.443 billion kroner in cash, enough to fund operations through the end of 2026 according to management. The EBITDA loss narrowed to 100 million kroner, an improvement of 15 million kroner from the same period a year earlier. Still, a clear path to profitability remains elusive.
The stock has rallied sharply from its 52-week low of €0.18, trading at €0.28 — a gain of roughly 47% since the start of the year. Analysts, however, remain cautious: the consensus rating is “sell” with an average price target of 2.12 Norwegian kroner (about €0.18), implying the market’s current enthusiasm may have run ahead of fundamentals.
Nel ASA at a turning point? This analysis reveals what investors need to know now.
All eyes now turn to 15 July, when Nel is scheduled to release its half-year results. The critical metric will be whether the new alkaline platform can generate concrete purchase orders beyond the two small PEM deals already secured. Until then, the stock’s rally is a bet on a promise the order book has yet to deliver.
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Nel ASA Stock: New Analysis - 15 May
Fresh Nel ASA information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
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