Swedish tidal energy developer Minesto AB reported a narrowed operating loss of SEK 15.4 million in the first half of 2026, down 25% from SEK 20.5 million a year earlier, as operational efficiency improved and project milestones progressed.
The company’s operating expenses decreased 18% to SEK 26.7 million, driven by a 17% reduction in personnel costs to SEK 18.0 million. Operating cash flow use declined to SEK 15.2 million from SEK 25.1 million in the prior-year period, while capital investments totaled SEK 14.2 million, primarily allocated to technology development and intellectual property. Minesto ended the period with SEK 38.4 million in cash and cash equivalents, sufficient to support planned activities through year-end 2026, according to management.
On the operational front, Minesto’s Dragon 4 system demonstrated improved performance during high-flow conditions, producing electricity at record consistency levels over a 14-day comparison period following an upgrade to its power takeoff system. The Dragon 12 and Dragon 12X systems were described as technically ready for commercial deployment, with only minor adjustments planned for the Dragon 12X variant. The Hestfjord project in the Faroe Islands remains on track, with Phase 1 targeting 10 MW capacity and a potential Phase 2 expansion to 20 MW, supported by a renewed power purchase agreement with local utility SEV.
Minesto’s market capitalization stood at $48.55 million, with revenue of $2.35 million over the trailing twelve months and negative EBITDA of $3.25 million. The stock slipped 1.94% to $1.716 immediately following the earnings update but later rose 2.07% to $1.774. The shares have gained 196% over the past six months but remain down 52% from their 52-week high of $3.71.
Chief Executive Officer Martin Edlund emphasized the company’s technical leadership, stating that the upgraded Dragon 4 system’s performance "far exceeds what is currently available in commercial products." He added that Minesto is positioning itself to deploy the first commercially viable tidal energy farm based on its technology. Chief Financial Officer Alexander Jahnke noted that the company’s financial position supports continued execution of operational and commercial priorities.
