Capsol Technologies (CAPSL) said on Tuesday its shares fell 4.81% to $4.55 after presenting second-quarter 2026 financial and operational results, reflecting a sharp decline in gross profit despite progress in U.S. market development and cost reductions.
The company reported a 70% year-over-year drop in first-half 2026 gross profit to NOK 7 million from NOK 23 million in the same period of 2025. Quarterly gross profit improved to NOK 5 million in Q2 2026 from NOK 2 million in Q1, while EBITDA losses narrowed to NOK 15 million from NOK 18 million sequentially. Operating cash flow remained negative at NOK 36.5 million for H1 2026, though liquidity stood at NOK 48 million at quarter-end, including NOK 21 million in cash and an undrawn NOK 27 million revolving credit facility.
Management highlighted a NOK 45 million capital raise in January and debt refinancing in May as key steps to reduce current liabilities by about NOK 25 million and total liabilities by over NOK 30 million. Cost reductions were significant, with personnel expenses down 24% year-over-year and other operating expenses down 30%, contributing to a 26% total cost reduction from NOK 49 million in H1 2025 to NOK 36 million in H1 2026. Headcount is expected to decline from 38 employees and contractors at the start of the year to roughly 24 plus contractors by year-end.
Capsol’s U.S. pipeline includes approximately 150 gas turbine leads under assessment, with its CapsolGT technology projected to unlock about 15% additional capacity from existing peaking gas turbines while capturing CO₂. An exclusive U.S. utility project has advanced to the pre-FEED phase, with a targeted final investment decision in Q1 2028 under potential build-own-operate or build-transfer-agreement structures.
In Europe, Capsol reported 31 engineering studies and pre-FEEDs underway, 11 demonstration campaigns completed or in progress, and positioning for over 40 future final investment decisions. Strategic partners include Holcim, which became a shareholder, Dyckerhoff, which launched a new CapsolGo demonstration campaign, and E.ON, which selected Capsol for a feasibility study in Norrköping, Sweden. Stockholm Exergi noted a prior NOK 20 million license payment and its first full-scale operational site under construction.
Management described commercial activity during the period as "exceptionally soft," though the U.S. lead pipeline and cost discipline provided some support to the outlook.
