Proton Power increases turnover in 2010, fails to reduce losses

Fuel cell producer Proton Power Systems increased its turnover 273 per cent in fiscal 2010 as the automotive market softened to the technology, but failed to curb its net loss.

With a rise in revenue, new grant funding and an extension of its loan facility the AIM-listed designer, developer and maker of fuel cells and electric hybrid systems reduced its loss from over £4.8m to a little over £3m.

In addition to extending and drawing down on its existing loan, during 2010 the company also secured nearly double the level of financing from convertible loans compared to the previous year.

One of the biggest successes for Proton Power during the year was successfully trialing its fuel cell range extender, which it developed in conjunction with Smith Electric Vehicles.

Proton Power chairman John Wall said, ‘Proton Power is pleased to report a positive year in which turnover increased by 237 per cent to £718,000.

‘We have seen a general shift in the attitude of automotive manufacturers and governments which are increasingly recognising the importance of supporting the growth of a hydrogen infrastructure.’

Proton Power plans to form a roadmap for delivering battery and fuel cells to the electric mobility market in Germany with funding it secured from its partners, according to Wall.

‘While economic conditions and market growth remains volatile, the group has been fortunate to have the support of its loyal shareholders such as our lead investor Roundstone Properties, who have provided the group with the necessary funding,’ he said.

Earlier this year, General Motors and Opel formed a partnership to establish 2,000 hydrogen fuelling stations in Germany in partnership with a consortium of automakers.

Automotive manufacturers such as Daimler, Opel, Audi, Toyota, and Hyundai are participating in the group, having publicly supported battery and fuel cell technology.

Proton Power said it plans to take advantage of these developments and is engaged in talks with SPower, Skoda Electric and Smith Electric Vehicles.