McPhy Energy

Earnings Release • Apr 15, 2014

Sales Q1 2014: Strong growth in the Industry segment

(€ '000s)	2014	2013	Change	FY 2013
First quarter	774	515	+ 50 %	3,070

In 2014 first quarter, McPhy Energy has prepared for the acceleration of its development strategy.

La Motte-Fanjas, April 15th, , 2014 - McPhy Energy, specialized in hydrogen production and storage equipment for industry and energy markets, had sales in the 2014 first quarter of €774,000, up 50% year-on-year.

This performance reflects strong growth in the Industry segment driven by new commercial momentum and an expanded offering. Sales of small and medium hydrogen production units and associated services, as in 2013, accounted for the major share of consolidated revenue.

The Energy segment focused on renewable energies storage and carbon free mobility will not contribute significantly to consolidated revenue in the shortterm. Today this latter activity is largely focused on subsidized demonstration projects to which McPhy Energy contributes through its hydrogen production and storage equipment.

First quarter highlights

In the quarter ended, McPhy Energy's equity was significantly strengthened by the major success of its initial public offering and listing on Euronext Paris (compartment C) which raised gross proceeds of €32 million.

In accordance with its roadmap, McPhy Energy has prepared for the ramping up of its industrial operations:

• In Italy, with the relocation of its plant planned for the second quarter that will significantly increase production capacity for small and medium hydrogen production units;
• In Germany, with the commissioning its assembly unit for large capacity hydrogen production units.

McPhy Energy has also accelerated its commercial development by notably:

Concluding a partnership agreement with EPS, a leading hydrogen fuel cell for stationary and datacenter market specialist whereby McPhy Energy becomes the exclusive electrolysis stack provider for ElectroSelfTM , its self-rechargeable full-green fuel cell solution.

Executing a decisive agreement in the sea H² mobility segment with Fincantieri, one of the world's largest shipbuilding groups, to design a tank for a hydrogen powered vessel prototype.

Finally, the group has strengthened its management team in recent months:

• Leopold Demiddeleer, former Executive Vice President of the chemical group, Solvay, who has notably contributed to the development of one of the world's most powerful prototype fuel cells, was appointed Chairman of the Supervisory Board.
• With 15 years as CFO of fast-growing innovative and industrial small caps, Grégory Wagemans, previously Deputy Chief Executive Officer - Finance for Hologram. Industries, has joined McPhy Energy as Group's Chief Financial and Administrative Officer and member of the Executive Board

About McPhy Energy

McPhy Energy, a Motorola system leading developer of hydrogen-based solutions, was founded at La Motte Fanjas in France in 2008. The company draws on its exclusive technique for storing hydrogen in solid form and its years of experience in producing hydrogen through water electrolysis to design and manufacture flexible production and storage equipment.

McPhy Energy markets easy-to-use, environmental-friendly solutions combining unique safety features and energy independence to over 1,000 clients in the renewable energy, mobility and industry sectors.

The group has three production sites in France, Germany and Italy and an R&D laboratory in France.

Since March 19th 2014, McPhy Energy is listed on Euronext Paris (compartment C, ISIN code: FR0011742329; ticker: MCPHY).

McPhy Energy press contact

Calyptus Marie-Anne Garigue Tel: + 33 1 53 65 68 63 marie-anne.garigue@calyptus.net