Thyssenkrupp Nucera, a company that produces green hydrogen, announced its growth plans after reporting strong sales and operating income. The company aims to meet the growing demand for green hydrogen, which is considered crucial for decarbonizing the German economy.

Chief Executive Werner Ponikwar stated that a global workforce expansion is necessary to achieve their growth targets. The company, which is majority-owned by Thyssenkrupp, also plans to expand production to new locations, including India.

Green hydrogen, produced using renewable energy, is still in its early stages but has been identified as a key energy source for reducing carbon emissions in Germany and other European Union countries.

Nucera reported its first financial results since going public, with earnings before interest and taxes (EBIT) increasing by 59% year-on-year to 7 million euros in the third quarter of its 2022/23 financial year. Sales nearly doubled to 187.5 million euros, mainly driven by its alkaline water electrolysis.

Nucera’s shares rose by up to 5% following the release of the results. The company confirmed its mid- and long-term targets but warned that spending on its growth strategy would affect its EBIT margin. The company expects its EBIT margin to turn negative in the next quarter but still anticipates a positive result for this financial year.

Nucera plans to invest all available funds in growth and will forego a dividend for the foreseeable future.