Nel ASA

Quarterly Report • Oct 29, 2025

Nel ASA

Q3 2025 report

Contents

Highlights	2
Key figures	2
Financial development	4
Group Nel Alkaline Electrolyser Nel PEM Electrolyser Finance Cash	4 5 6 7 8
Risks and uncertainty	9
Outlook	9
Condensed interim financial statements	11
Notes to the interim financial statements	15
Alternative Performance Measures	20

Highlights

• Revenue from contracts with customers in the third quarter 2025 was NOK 303 million, a 17% reduction compared to the third quarter 2024 (Q3 2024: 366)
• Total revenue and income in the third quarter 2025 was NOK 349 million (Q3 2024: 391)
• EBITDA in the quarter was NOK -37 million (Q3 2024: -90)
• Net loss was NOK -85 million (Q3 2024: -115). The development was mainly explained by decreased operating loss of NOK 41 million, offset by NOK -10 million decreased net financial items
• Order intake in the quarter amounted to NOK 57 million, a 64% decrease from the corresponding quarter last year (Q3 2024: 161)
• Order backlog was NOK 984 million at the end of the quarter, down 47% from the third quarter of 2024 and down 21% from the previous quarter
• Cash balance was NOK 1 757 million at quarter end (Q3 2024: 1 941)

Key figures

(Amounts in NOK million)	Q3 2025	Q3 2024	YTD 2025	YTD 2024	2024
Revenue	303	366	633	974	1 390
EBITDA	-37	-90	-238	-137	-173
Operating loss	-105	-146	-445	-284	-389
Pre-tax income (loss)	-86	-116	-398	-199	-264
Net income (loss)	-85	-115	-395	-194	-258
Net cash flow from operating activities	-132	-47	-243	-108	-83
Cash balance end of period	1 757	1 941	1 757	1 941	1 876
Order intake	57	161	440	829	977
Order backlog	984	1 872	984	1 872	1 614

Key press releases	during the	quarter and subsequent events

Nel PEM Electrolyser • Received a follow-on equipment order from H2 Energy for a containerized 2.5 MW electrolyser delivery to Switzerland

The complete list of press releases is available at Nel's web site Press releases | Nel Hydrogen

Financial development

Group

Key figures

(Amounts in NOK million)	Q3 2025	Q3 2024	Change	YTD 2025	YTD 2024	Change	2024
Revenue	303	366	-17%	633	974	-35%	1 390
EBITDA	-37	-90		-238	-137		-173
Order intake	57	161	-64%	440	829	-47%	977
Order backlog	984	1 872	-47%				1 614
Employees	354	430	-18%				409
Total assets	5 881	6 183	-5%				6 304

Revenue & Order intake, order backlog and employees

Nel reported a decrease of 17% in revenue compared to third quarter last year. Alkaline and PEM revenues declined by 17% and 15%, respectively, quarter on quarter. Net cash flow from operating activities compared to EBITDA was negatively impacted by changes in net working capital of NOK 153 million in the quarter, reflecting revenue recognised on deliveries against customer prepayments received in prior periods.

Management has implemented and continues to implement cost reduction and capacity adjustment measures to adapt to the current market sentiment. These measures included temporary shut-down of the Herøya facility.

Nel Alkaline Electrolyser

Key figures

(Amounts in NOK million)	Q3 2025	Q3 2024	Change	YTD 2025	YTD 2024	Change	2024
Revenue	249	302	-17%	385	747	-48%	1 009
EBITDA	26	4		-52	108		127
Order intake	15	7	107%	48	490	-90%	577
Order backlog	577	1 431	-60%				1 290
Employees	189	248	-24%				229
Total assets	2 293	2 378	-4%				2 508

Revenue & Order intake, order backlog and employees

Nel Alkaline Electrolyser reported a 17% decrease in revenue compared to third quarter last year. In total, EBITDA improved by NOK 22 million compared to third quarter 2024. This quarter included NOK 22 million in research and development expenses compared to 29 MNOK in Q3 2024.

The order backlog for Alkaline Electrolyser ended at NOK 577 million. This was down NOK 249 million from the end of Q2-25. The note on Alternative Performance Measures quantifies the risk in and distribution over time of the backlog. Nel has secured paid front-end engineering and development studies for projects above 100 MW. These activities lay the foundation for future order intake of firm equipment orders.

Nel's cost structure and the utilization of the Herøya production capacity are being adjusted to market demand. However, increased fixed costs from higher production capacity will continue to negatively influence results until more orders have been secured.

Product development for the next-generation pressurized alkaline electrolyser continues to progress well with full-size electrode testing ongoing at Nel's test center in Notodden, Norway, and a prototype plant under construction. Nel believes this technology platform will become competitive on a levelized cost of hydrogen (LCOH) basis compared to alternative solutions currently available in the market.

Nel PEM Electrolyser

Key figures

(Amounts in NOK million)	Q3 2025	Q3 2024	Change	YTD 2025	YTD 2024	Change	2024
Revenue	54	64	-15%	247	227	9%	381
EBITDA	-34	-57		-103	-143		-165
Order intake	43	154	-72%	392	339	16%	400
Order backlog	407	441	-8%				324
Employees	142	151	-6%				150
Total assets	1 619	1 648	-2%				1 755

Revenue & Order intake, order backlog and employees

Nel PEM Electrolyser reported a 15% decrease in revenue compared to third quarter last year. Revenue in this quarter is driven by containerized electrolysers.

The reported EBITDA of NOK -34 million has improved by NOK 23 million compared to same quarter last year. This quarter included NOK 27 million in research and development expenses compared to 35 MNOK in Q3 2024. Product and project margins are in general up compared to previous quarters due to better project execution.

The PEM segment reported an order backlog of NOK 407 million, down NOK -17 million from the end of Q2- 25 mainly driven by low order intake in the quarter.

The expansion program for the Wallingford facility, which aims at increasing annual capacity from 50MW to 500MW is close to completion.

Product development for a next-generation PEM electrolyser in collaboration with General Motors is progressing according to plan. A smaller scale test electrolyser with significantly lower material cost and improved energy efficiency is being built.

Finance

(Amounts in NOK million)	Q3 2025	Q3 2024	YTD 2025	YTD 2024	2024
Finance income
Interest income	22	26	69	94	128
Change in fair value financial instruments	0	0	0	0	0
Other	5	0	10	0	4
Interest income and other finance income	28	26	79	95	132
Finance costs
Interest expense	-4	-4	-13	-12	-16
Net foreign exchange gain (loss)	-2	8	-18	5	14
Change in fair value financial instruments	-3	0	-5	-3	-3
Other	0	-1	-1	-1	-1
Interest expense and other finance costs	-10	3	-36	-10	-7
Net finance income (cost)	18	29	42	84	125

Nel reported finance income of NOK 22 million (Q3 2024: 26) in the quarter, driven by interest income of NOK 22 million (Q3 2024: 26) from cash and cash equivalents. The decrease in interest income can be attributed to the lower cash amount in the period and decrease in NOK interest rates.

Finance costs in the quarter were NOK -10 million compared to NOK 3 million in the same quarter last year. This quarter includes a decrease in fair value of shareholdings in Cavendish Hydrogen ASA of NOK 3 million. Net finance income (cost) YTD 2025 include a net decline in fair value of shareholdings in Cavendish Hydrogen ASA of NOK 5 million.

-28

Q3

Cash

(Amounts in NOK million)	Q3 2025	Q3 2024	Change	YTD 2025	YTD 2024	Change	2024
Net cash flow from operating activities	-132	-47		-243	-108		-83
Net cash flow from investing activities	-28	-230		-187	-469		-548
Net cash flow from financing activities	-12	-10		315	-651		-663
Foreign currency effects on cash	0	0		-3	1		2
Net change in cash	-171	-287		-119	-1 227		-1 292
Net change in cash discontinued operation	0	0		0	-196		-196
Cash and cash equivalents OB	1 928	2 228	-13%	1 876	3 363	-44%	3 363
Cash and cash equivalents	1 757	1 941	-9%	1 757	1 941	-9%	1 876

Cash and cash equivalents, operating activities and investing activities

Cash flow from operating activities was negative NOK -132 million this quarter (Q3 2024: -47). Changes in net working capital impacted cash by NOK -153 million (Q3 2024: 12) in the quarter. Since Nel has a limited set of large-scale projects, temporary mismatches between cash inflows and outflows on individual projects has a significant effect on working capital.

The purchase of property, plant and equipment totalled NOK 38 million (Q3 2024: 132) in the quarter, mainly related to next-generation pressurized alkaline electrolyser.

The investing activities in the third quarter 2025 included net NOK 40 million (Q3 2024: -70) in net changes to restricted bank deposits and collateral for bank guarantees with a maturity longer than three months at the date of purchase. Other investment activities in the quarter included capitalised internal development of next generation electrolysers for a total of NOK 31 million (Q3 2024: 27).

Financing activities full year 2024 includes the cash balance of NOK 625 million of the distributed company Cavendish Hydrogen ASA.

Foreign currency effect on cash was limited as Nel holds a significant portion of cash in NOK, which is also the presentation currency of Nel.

Risks and uncertainty

Nel is exposed to significant risk and uncertainty factors, which may affect some or all of the group's activities. Nel is exposed to operational, financial, market and climate-related risk. These risks could occur individually or simultaneously. The risks and uncertainty factors described in our Annual Report 2024 are still relevant. Since the publication of that report, there are increasing risks that global trade barriers may increase the cost of green hydrogen plants and the risk of already awarded subsidies and incentives being amended.

Outlook

Nel's strategy is to deliver reliable and energy-efficient electrolyser stacks and balance of stack systems to projects, initially in Europe and North America and over time in other markets. To handle the scope Nel does not cover, Nel has partnered with world-class EPC companies. This approach allows Nel to focus its efforts and resources on improving its core technology.

The company is well positioned to maintain a leading role among electrolyser manufacturers. A proven track record of delivering working electrolyser systems over several decades, a diverse product portfolio covering both alkaline and PEM solutions, and automated GW-scale production facilities are important differentiating factors. Nel also continues to make significant investments in improving the performance of current technology platforms and maturing next generation technologies. Nel's industrial and technological development is strengthened by its strategic collaborations with partners such as General Motors, Reliance, Samsung E&A and Saipem.

Delays in announced government incentives, higher interest rates, and higher than expected costs for building and operating hydrogen facilities (outside of Nel's core scope) have led to lower than expected order intake for the industry as a whole and for Nel in the last years, as well as delays and cancellations of already signed projects. The increasing macroeconomic risk mentioned above may lead to a longer market downturn. Nel has a solid cash balance that, in combination with adjustments to the cost base and capacity utilization, allows the company to fund its operations, investment in technology development and to be ready to return to its growth strategy when the market returns.

Following the spin-off of its former Fueling division (now Cavendish Hydrogen), Nel's operational cash burn-rate has been significantly reduced. Investments will come down by approximately 50% in 2025 compared to 2024 following the PEM plant expansion program in Wallingford, USA last year. Nel has downsized its organisation and reduced its manufacturing capacity utilisation. The alkaline production facility in Herøya, Norway, was shut down in the first quarter of 2025. The length of the shut-down will depend on future order intake.

Several high-quality projects with reputable clients continue to mature and get closer to final investment decisions. In the near- to mid-term, Nel expects projects to be smaller than what was anticipated a few years ago. Nel is well-positioned to capture these near-term opportunities and scale with the market as it grows. The Company's reduced cost base and reduced investment plan in 2025 is not expected to compromise technology development or strategic position as the company already has established significant annual production capacity, and can harvest prior investments. Nel has demonstrated segment profitability in quarters with solid capacity utilisation, and expects to achieve profitability for the whole business once the market develops into solid growth.

Oslo, 29 October 2025 The Board of Directors

Arvid Moss

Chair (Electronically signed)

Jens Bjørn Staff Board member

(Electronically signed)

Gyu Yeon Kang Board member

(Electronically signed)

Beatriz Malo de Molina

Board member

(Electronically signed)

Hanne Blume

Board member

(Electronically signed)

Håkon Volldal

CEO

(Electronically signed)

Charlotta Falvin

Board member

(Electronically signed)

Tom Røtjer

Board member

(Electronically signed)

Condensed interim financial statements

(Amounts in NOK thousands)	Note	Q3 2025	Q3 2024	YTD 2025	YTD 2024	2024
Revenue and income
Revenue from contracts with customers	3	303 373	365 905	632 631	974 353	1 389 909
Other income		45 723	25 383	106 762	70 104	105 024
Total revenue and income		349 096	391 288	739 393	1 044 457	1 494 933
Operating expenses
Raw materials		132 611	158 412	263 203	346 188	503 976
Personnel expenses		134 960	163 704	421 181	479 436	645 586
Depreciation, amortisation and impairment	4, 5	67 702	56 070	206 347	146 535	216 486
Other operating expenses		118 542	158 775	293 385	356 003	518 313
Total operating expenses		453 815	536 961	1 184 116	1 328 162	1 884 361
Operating loss		-104 719	-145 673	-444 723	-283 705	-389 428
Finance income		27 799	25 911	78 642	94 717	132 076
Finance cost		-9 596	3 274	-36 429	-10 252	-6 833
Share of loss from associates and joint ventures		783	0	4 527	0
Net financial items		18 986	29 185	46 740	84 465	125 243
Pre-tax income (loss)		-85 733	-116 488	-397 983	-199 240	-264 185
Tax expense (income)		-1 032	-1 326	-3 217	-5 428	-6 554
Net income (loss) from continuing operation		-84 701	-115 162	-394 766	-193 812	-257 631
Net income (loss) from discontinued operation		0	0	0	13 289	13 289
Net income (loss) for the period		-84 701	-115 162	-394 766	-180 523	-244 342
Items that are or may subsequently be
reclassified to income statement:
Currency translation differences		-10 191	-17 287	-143 629	2 606	92 554
Cash flow hedges, effective portion of changes in fair value		-5 004	-31 354	-4 700	-47 097	-52 108
Cash flow hedges, reclassified		3 835	22 142	7 997	34 684	43 244
		-11 360	-26 499	-140 332	-9 807	83 690
Other comprehensive income
Total comprehensive income		-96 061	-141 661	-535 098	-190 330
Basic EPS (figures in NOK) 1)		-0.05	-0.07	-0.22	-0.11	-160 652 -0.15
Diluted EPS (figures in NOK) 1)2)		-0.05	-0.07	-0.22	-0.11	-0.15
Weighted average number of outstanding shares (million)		1 838	1 671	1 795	1 671	1 671

¹⁾ Basic earnings per share are computed using the weighted average number of ordinary shares outstanding.

The accompanying notes are an integral part of the condensed consolidated financial statements (unaudited).

²⁾ Diluted earnings per share are computed using the weighted average number of ordinary shares outstanding adjusted for share options. The number of share options outstanding in Q3, as potential shares, was 6.4 million shares.

Consolidated statement of financial position (unaudited)

(Amounts in NOK thousands)	Note	30.09.2025	31.12.2024
ASSETS
Intangible assets	4	984 832	1 029 173
Property, plant and equipment	5	1 570 179	1 664 079
Restricted cash and cash equivalents		130 698	158 750
Other non-current assets		48 838	44 519
Total non-current assets		2 734 547	2 896 521
Inventories		936 242	531 748
Trade receivables	6	198 169	700 679
Contract assets		38 192	24 155
Other current assets		217 728	273 269
Restricted cash and cash equivalents		0	2 260
Cash and cash equivalents		1 756 614	1 875 580
Total current assets		3 146 945	3 407 691
TOTAL ASSETS		5 881 492	6 304 212
EQUITY AND LIABILITIES
Shareholders' equity		4 792 871	4 977 276
Total equity		4 792 871	4 977 276
Deferred tax liability		27 563	34 813
Lease liabilities		197 053	215 523
Other non-current liabilities		74 755	74 542
Total non-current liabilities		299 371	324 878
Trade payables		105 002	110 742
Lease liabilities		42 698	44 479
Contract liabilities		382 371	583 392
Other current liabilities		259 179	263 445
Total current liabilities		789 250	1 002 058
Total liabilities		1 088 621	1 326 936

The accompanying notes are an integral part of the condensed consolidated financial statements (unaudited).

Consolidated statement of cash flows (unaudited)

(Amounts in NOK thousands)	Q3 2025	Q3 2024	YTD 2025	YTD 2024	2024
Cash flow from operating activities
Pre-tax income (loss) 1)	-85 733	-116 488	-397 983	-199 240	-264 185
Net income (loss) from discontinued operation	0	0	0	13 289	13 289
Discontinued operation	0	0	0	-172 034	-172 034
Depreciation, amortisation and impairment	67 702	56 070	206 347	146 535	216 486
Change in net working capital 2)	-152 741	12 247	-40 728	-38 959	-82 318
Other adjustments	38 826	699	-10 554	-16 105	47 182
Net cash flow from operating activities	-131 946	-47 472	-242 918	-266 514	-241 581
Cash flow from investing activities
Purchases of property, plant and equipment	-38 175	-132 166	-113 828	-436 117	-527 337
Payments for capitalised technology	-30 509	-27 479	-82 835	-91 035	-119 241
Cash flows from (used in) decrease (increase) in restricted cash 4)	40 148	-70 155	57 780	-58 718	-18 236
Purchase of other investments	0	0	-17 952	0	0
Investments in other financial assets	0	0	-35 000	0	0
Investments in associates and joint ventures	783	0	4 527	0	0
Proceeds from sales of other investments	0	0	0	116 632	116 632
Discontinued operation	0	0	0	-33 728	-33 728
Net cash flow from investing activities	-27 752	-229 800	-187 308	-502 966	-581 910
Cash flow from financing activities
Interest paid 3)	-4 091	-4 318	-12 695	-11 984	-16 166
Gross cash flow from share issues	0	0	353 070	0	0
Transaction costs connected to share issues	0	0	-3 840	0	0
Distribution of shares in Cavendish Hydrogen ASA 5)	0	0	0	-625 420	-625 420
Payment of lease liabilities	-7 453	-5 284	-21 889	-13 569	-20 943
Discontinued operation	0	0	0	-3 459	-3 459
Net cash flow from financing activities	-11 544	-9 602	314 646	-654 432	-665 988
Foreign currency effects on cash	-53	-190	-3 386	1 199	1 628
Net change in cash and cash equivalents	-171 295	-287 064	-118 966	-1 422 713	-1 487 851
Cash and cash equivalents beginning of period	1 927 909	2 227 782	1 875 580	3 363 431	3 363 431
Cash and cash equivalents	1 756 614	1 940 718	1 756 614	1 940 718	1 875 580

¹⁾ Q3 2025 includes interests received of NOK 22 (26) million.

²⁾ Change in net working capital comprises changes in inventories, trade receivables, contract assets, contract liabilities, trade payables and prepayment to suppliers.

³⁾ Interest paid includes interest expense on lease liabilities.

⁴⁾ Cash flow changes in restricted bank deposits and collateral for bank guarantees with a maturity longer than three months at the date of purchase.

⁵⁾ The line item includes the cash balance distributed as part of the company Cavendish Hydrogen ASA.

Consolidated statement of changes in equity (unaudited)

				Other
	Share	Share	Treasury	component of	Retained	Total equity
(Amounts in NOK thousands)	capital	premium	shares	equity	earnings
Equity as of 31.12.2023	334 265	8 661 090	-84	134 538	-2 932 073	6 197 736
Net loss					-257 631	-257 631
Result from discontinued operation					13 289	13 289
Currency translation differences				92 554		92 554
Hedging reserve				-8 864		-8 864
Capital increase						0
Options and share program					2 719	2 719
Distribution of shares in		-1 062 527				-1 062 527
Cavendish Hydrogen ASA
Equity as of 31.12.2024	334 265	7 598 563	-84	218 228	-3 173 696	4 977 276
Net loss					-394 766	-394 766
Currency translation differences				-143 629		-143 629
Hedging reserve				3 297		3 297
Capital increase	33 427	315 804				349 231
Options and share program					1 462	1 462
Equity as of 30.09.2025	367 692	7 914 367	-84	77 896	-3 567 000	4 792 871

Notes to the interim financial statements

Note 1 Organisation and basis for preparation

Corporate information

Nel is a global, dedicated hydrogen electrolyser technology company, delivering solutions to efficiently produce hydrogen from renewable energy. The company serves industries, energy, and gas companies with leading technology making it possible to decarbonize various sectors such as transportation, refining, steel and ammonia. The history of the company dates back to 1927, and has since then continuously developed and improved its hydrogen production technology offering. Today, its solutions cover the only industrially relevant and commercially ready electrolyser platforms; alkaline and PEM. The company continues to invest in current offering as well as develop next-generation technologies. Nel currently has two divisions: Nel Alkaline Electrolyser and Nel PEM Electrolyser.

Nel (org. no 979 938 799) was formed in 1998 and is a Norwegian public limited company listed on the Oslo Stock Exchange under the ticker "NEL". The group's head office is in Karenslyst allé 49, N-0278 Oslo, Norway.

Basis for preparation

The financial information is prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting" (IAS 34). This financial information should be read together with the annual report for the year ended 31 December 2024 prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by the European Union (EU).

The accounting policies adopted in the preparation of the condensed interim consolidated financial statements are consistent with those used in the preparation of the group's annual consolidated financial statements for the year ended 31 December 2024.

As a result of rounding differences, numbers or percentages may not add up to the total.

Discontinued operation

A discontinued operation refers to a disposal group of assets and liabilities, together as a group in a single transaction, that has been disposed of or is classified as "held-for-distribution". The disposal group must represent a separate major line of business, a geographical area of operations, or be a subsidiary acquired exclusively with the intent to resell.

The disposal group shall be classified as a discontinued operation at the earlier of the date of disposal or when the disposal becomes highly probable.

The results of the discontinued operation are presented separately in the statement of comprehensive income, with restatement of prior period figures as if the operation had been discontinued from the start of the comparative year.

Note 2 Significant estimates, judgements and assumptions

The preparation of the interim financial statements requires management to make judgements, estimates and assumptions that affect the reported amounts of revenues, expenses, assets, liabilities and disclosure of contingent liabilities at the date of the interim financial statements. If in the future such estimates and assumptions, which are based on management's best judgment at the date of the interim financial statements, deviate from the actual circumstances, the original estimates and assumptions will be modified as appropriate in the period in which the circumstances change.

In the process of applying the group's accounting policies, management has made the following judgements, which have the most significant effect on the amounts recognised in the condensed interim financial statements:

Judgements

• Revenue recognition
• Deferred tax asset
• Development costs
• Leases, incremental borrowing rates and lease terms

Assumptions and estimation uncertainty

• Revenue recognition
• Share-based payments
• Impairment of goodwill and intangible assets
• Expected credit loss assessment

The estimates and underlying assumptions are reviewed on an ongoing basis, considering the current and expected future market conditions. Changes in accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects both current and future periods. Refer to the annual report of 2024 for more details related to key judgements and estimation.

Note 3 Segments

Nel identifies its reportable segments and discloses segment information under IFRS 8 Operating Segments. This standard requires Nel to identify its segments according to the organisation and reporting structure used by management. See Nel's Annual Report 2024 note 2.3 Segment information for a description of Nel's management model and segments, including a description of Nel's segment measures and accounting principles used for segment reporting. Based on the growth of the company, Nel reevaluated its segment reporting during the first quarter 2024 and is reporting its previous Electrolyser segment as two separate segments.

The executive management group is the chief operating decision maker (CODM) and monitors the operating results of its business units separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit or loss and is measured consistently with profit or loss in the consolidated financial statements. Nel operates within two operating segments, Nel Alkaline Electrolyser and Nel PEM Electrolyser.

Billing of goods and services between operating segments are effected on an arm's length basis.

The following table includes information about Nel's operating segments.

(Amounts in NOK thousands)	Q3 2025	Q3 2024	Change	YTD 2025	YTD 2024	Change
Revenue
Nel Alkaline Electrolyser	249 492	302 380	-17%	385 229	746 950	-48%
Nel PEM Electrolyser	53 881	63 525	-15%	247 402	227 403	9%
Total	303 373	365 905	-17%	632 631	974 353	-35%
EBITDA
Nel Alkaline Electrolyser	25 916	4 466		-51 716	107 868
Nel PEM Electrolyser	-33 681	-57 102		-102 502	-142 992
Corporate 1)	-29 252	-36 967		-84 158	-102 046
Total	-37 017	-89 603		-238 376	-137 170
Investments 2)
Nel Alkaline Electrolyser	35 096	125 005	-72%	117 191	362 650	-68%
Nel PEM Electrolyser	33 588	34 640	-3%	79 472	164 502	-52%
Total	68 684	159 645	-57%	196 663	527 152	-63%
Total assets 3)
Nel Alkaline Electrolyser	2 293 237	2 377 914	-4%
Nel PEM Electrolyser	1 619 398	1 647 963	-2%
Corporate	1 968 857	2 156 753	-9%
Total	5 881 492	6 182 630	-5%

¹⁾ Corporate comprises parent company and other holding companies.

Property, plant and equipment by geographical area

(Amounts in NOK thousands)	30.09.2025	30.09.2024	Change	31.12.2024	Change
Norway	1 098 208	1 152 911	-5%	1 147 001	-4%
USA	471 971	432 055	9%	517 078	-9%
Total	1 570 179	1 584 966	-1%	1 664 079	-6%

²⁾ Investments comprise intangible assets and property, plant and equipment.

³⁾ Total assets per segment includes excess values on intangible assets derived from the consolidation of the financial statements.

Note 4 Intangible assets

(Amounts in NOK thousands)	Goodwill	Technology	Total
Carrying value of 01.01.2025	411 753	617 420	1 029 173
Additions	0	82 835	82 835
Amortisation	0	-35 219	-35 219
Currency translation differences	-42 148	-49 809	-91 957
Carrying value as of 30.09.2025	369 605	615 227	984 832

Intangible assets are reviewed each quarter for impairment indicators, including market changes, technological development, order backlog and other changes that might potentially reduce the value of the assets. For goodwill, impairment tests are performed annually at year-end, and if impairment indicators are identified.

Goodwill is tested using the 'value in use' approach determined by discounting expected future cash flows. If the impairment test reveals that an asset's carrying amount is higher than its value in use, an impairment loss will be recognised.

Impairment tests are performed on two Cash Generating Units (CGUs). Goodwill and intangible assets are related to CGU Alkaline Electrolyser and CGU PEM Electrolyser.

Note 5 Property, plant and equipment

Property, plant and equipment comprise owned and leased assets

	Land, buildings	Right-of-use
(Amounts in NOK thousands)	and equipment	assets	Total
Carrying value of 01.01.2025	1 448 417	215 662	1 664 079
Additions	113 828	0	113 828
Remeasurements	0	10 794	10 794
Depreciation	-147 358	-23 770	-171 128
Currency translation differences	-40 575	-6 819	-47 394
Carrying value as of 30.09.2025	1 374 312	195 867	1 570 179

Note 6 Trade receivables

The following table provides information about the exposure to credit risk and expected credit losses for trade receivables from individual customers at the end of this quarter.

(Amounts in NOK thousands)	Weighted average loss rate1)	Gross carrying amount	Loss allowance
Current (not past due)	0.1 %	84 195	126
1-30 days past due	0.2 %	30 824	77
31-60 days past due	1.0 %	1 312	13
61-90 days past due	5.0 %	1 395	70
91 days to one year past due	38.4 %	131 145	50 416
Carrying value as of 30.09.2025	20.4 %	248 871	50 702

¹⁾ Loss rates are based on actual credit loss experience over the past two years. These rates are multiplied by a factor to reflect differences between economic conditions during the period over which the historical data has been collected, current conditions and Nel's view of economic conditions over the expected lives of the receivables.

Alternative Performance Measures

Nel discloses alternative performance measures (APMs) in addition to those normally required by IFRS. This is based on the group's experience that APMs are frequently used by analysts, investors and other parties as supplemental information.

The purpose of APMs is to provide an enhanced insight into the operations, financing and future prospect of the group. Management also uses these measures internally to drive performance in terms of monitoring operating performance and long-term target setting. APMs are adjusted IFRS measures that are defined, calculated and used in a consistent and transparent manner over the years and across the group where relevant.

Financial APMs should not be considered as a substitute for measures of performance in accordance with the IFRS.

Nel's financial APMs

EBITDA: is defined as earnings before interest, tax, depreciation, amortisation and impairment. EBITDA corresponds to operating profit/(loss) plus depreciation, amortisation and impairment.

EBITDA margin: is defined as EBITDA divided by revenue and income.

Equity ratio: is defined as total equity divided by total assets.

Order intake: is defined as firm purchase orders with agreed price, volume, timing, terms and conditions entered within a given period. The order intake includes both contracts and change orders. For service contracts and contracts with uncertain transaction price, the order intake is based on estimated revenue. The measure does not include potential change orders.

Order backlog: is order intake where revenue is yet to be recognised. The following table shows details of reported order backlog. Planned delivery is subject to change due to circumstances outside Nel's control:

(Amounts in NOK million)	Alkaline	PEM	SUM
Planned delivery 2025	98	168	266
Delivery 2026 or later	280	239	518
Significant risk of delay or cancellation	199	0	199
Order backlog as of 30.09.2025	577	407	984

Title:

Q3 2025 Report

Published date:

29.10.2025

info@nelhydrogen.com +47 23 24 89 50

Karenslyst allé 49, PB 199 Skøyen, 0212 Oslo, Norway

The publication can be downloaded on nelhydrogen.com