Annual Report & Accounts 2025

Ceres Annual Report 2025

Read more on our website

www.ceres.tech

Strategic highlights for 2025

• China – Weichai signs manufacturing licence agreement. Weichai intends to produce cells

and stacks for the stationary power markets, targeting power for AI data centres, commercial

buildings and industrial applications.

• Taiwan – Delta invests in land on which to build its solid oxide fuel and electrolysis

cell factory. The purchase of land and factory facilities for approximately NT$6.95 billion

(£170 million), expected to be partly focused on the large-scale manufacturing of hydrogen

energy solutions for data centre power, microgrid and other energy infrastructure applications.

• South Korea – Doosan starts factory production of solid oxide fuel cells and stacks.

Ceres-designed fuel cells are now in production, with first royalties generated.

• Japan – Ceres’ partner DENSO and JERA began testing Japan’s first announced solid oxide

electrolysis demonstrator for hydrogen production at a JERA thermal power station, leading

to government funding valued at 35 billion yen (£165 million).

• India – Shell megawatt-scale electrolysis system produces hydrogen. Exceeding performance

expectations, this milestone underlines the maturity of Ceres’ solid oxide electrolyser technology,

supported by Shell’s installation, integration and safety assurance expertise.

• Business transformation plan implemented. Ceres transitions to a new structure as the

business begins to focus on accelerating its commercial opportunities. Team structures have been

aligned to support the growth of new business, delivering anticipated operating cost savings of

20% in 2026.

• The launch of Ceres Endura™, a single technology platform for both power and

electrolysis applications.

Visit our website

Commercialising world-

leading clean technology

with purpose and pace

23 140.0

25 83.3

Cash, cash equivalents and

short-term investments

£83.3m

Sustainability credentials

24 102.5

Financial highlights

Revenue

£32.6m

23 22.3

25 32.6

24 51.9

Sustainability

Our ambition is to build a sustainable business

and make a positive impact on our people,

communities, partners and planet.

Read more on page 16

Strategic report

01 Clean energy starts with...

02 Strategic roadmap

03 The Ceres investment case

04 At a glance

06 Chair’s statement

08 Chief Executive’s statement

13 Business model

14 Strategic pillars

15 Key performance indicators

16 Technology

18 Product

20 Partners

24 Sustainability

33 Section 172(1) statement

34 Stakeholder engagement

36 Chief Financial Officer’s statement

40 Principal risks and uncertainties

45 Viability statement

Corporate governance

49 Chair’s introduction to governance

50 Board of Directors

52 Executive Committee

54 Corporate governance report

62 Audit and Risk Committee report

67 Remuneration and Nomination Committee report

72 Directors’ Remuneration Report

91 ESG Committee report

94 Directors’ report

Financial statements

99 Independent auditor’s report

106 Consolidated statement of profit and

loss and other comprehensive income

107 Consolidated statement of financial position

108 Consolidated cash flow statement

109 Consolidated statement of changes in equity

110 Notes to the consolidated financial statements

136 Company balance sheet

137 Company statement of changes in equity

138 Notes to the Company financial statements

142 Directors and advisers

143 Glossary

Clean energy starts with…

Contents

Strategic report Corporate governance Financial statements

01Ceres Annual Report 2025

Strategic roadmap

A clear purpose and focused

strategy to enable industrial

decarbonisation globally

Purpose Positioning

Clean energy for

a clean world.

Our ultimate

purpose is to help

sustain a clean

planet by ensuring

there is clean

energy everywhere

in the world.

We pioneer

advanced

technologies and

embed them in our

partners’ companies

to meet their

strategic imperative

to transform to

clean energy.

Goal

Secure new licence

partners, targeting

a leading market

share of the global

solid oxide industry.

Read more on page 34

Strategic report

02 Ceres Annual Report 2025

Leading solid oxide platform technology Strong commercial value proposition Robust financial discipline

The Ceres investment case

A compelling equity story

Over the last two decades we have created best-in-class

lower temperature solid oxide technology in a single,

reversible platform for both power generation and green

hydrogen production. In power mode, our solid oxide

fuel cells (“SOFCs”) produce electricity at an efficiency

of 65%, with over 90% overall efficiency when heat is

captured, making it a technology of choice for the data

centre, commercial and distributed power sectors.

In electrolysis mode, our cells produce hydrogen at

37kW/kg, the most efficient rate currently available,

providing the market with one of the few viable ways

to decarbonise hard-to-abate industrial sectors.

We are a world leader in solid oxide technology.

Our intellectual property, manufacturing knowledge and

trade secrets are well protected, allowing us to pursue

an asset-light licensing model.

Global manufacturing partners can rapidly access our

next-generation decarbonisation technology as well

as the know-how to establish their manufacturing

infrastructure. This accelerates new commercial

opportunities in the dynamic new power and hydrogen

markets at scale and pace.

Our commercial activities are underpinned by the

ongoing prudent financial management of the business.

In 2025 we implemented a business transformation plan

to drive a new phase of commercial growth, optimising

the costs and structure of the business. This underpins

our licensing model.

The generation of our first royalties in 2025 validates

this model and, with a more streamlined business, we

remain well financed as we progress along the path

to profitability.

Read more about our technology on page 16

Read more about our commercial value proposition on page 13

Read more about our financial position on page 37

Our investment case is built on three pillars to create long-term value for shareholders

Strategic report Corporate governance Financial statements

03Ceres Annual Report 2025

At a glance

Delivering commercial traction through

our global partners

Our partner portfolio forms the foundation to our business and

in 2025 we implemented a business transformation plan to focus

more on building commercial traction. One partner started to

produce and sell Ceres-based products for their end customers

in 2025, generating royalty revenues for us for the first time.

DENSO

StackCell

High-efficiency energy

conversion at low cost

POWER

HYDROGEN

Scalability pathway – power generation and hydrogen production

Over 20 years of development has enabled

us to build an intellectual property portfolio

of over 150 patent families in solid oxide

power and electrolysis, enabling us to

establish our asset-light licensing model.

Strategic report

04 Ceres Annual Report 2025

Establishing the industry standard for solid oxide

Our platform technology addresses significant global markets

Our technology is meeting the need for cleaner power now while positioning for a

hydrogen future.

AI and

data centres

Green

ammonia

Commercial

power

Refineries

Industrial

power

Green steel

Shipping eFuels

POWER HYDROGEN

Strategic report Corporate governance Financial statements

05Ceres Annual Report 2025

Chair’s statement

As our end markets continue to evolve

and with a new operational structure

to drive our next phase of growth,

I remain confident that our solid oxide

technology will play a central role in

the energy transition markets.”

Warren Finegold

Chair of the Board

A new era for Ceres

Ceres Annual Report 202506

Strategic report

Dear Shareholders,

Since my last report to you we have seen continued growth in

the end markets for our technology, particularly in commercial

and industrial power. Over the year energy demand from these

sectors has accelerated as societal needs evolve and, as we

continue to move away from fossil fuels, the electrification

of energy systems is gathering pace. In 2024 clean power

surpassed 40% of global electricity generation for the first

time, driven by record growth in renewables, especially solar

This momentum has increased further with the rise of AI

enabled data centres, which add significant demand for

computational processing, data storage and cooling. McKinsey

& Company highlights an investment super-cycle in data centre

infrastructure over the coming years

. Its research suggests that

by 2030, data centres are projected to require a staggering

$6.7 trillion of capital investment worldwide to keep pace with

the demand for computational and processing power. The

lion’s share of that is attributable to data centres equipped to

handle AI processing loads, projected to require $5.2 trillion in

capital expenditure. These industrial-scale facilities are placing

unprecedented stress on electrical grids worldwide and driving

demand for next-generation power solutions, such as solid

oxide fuel cells.

The evolution of power markets brings new opportunities

to Ceres as the data centre industry seeks off-grid solutions.

Meeting high-power capacity demands requires energy systems

that can overcome time-to-power bottlenecks and comply with

strict permitting and emissions regulations. Our Chief Executive

Officer, Phil Caldwell, will elaborate on how these changes play

to the strengths of our technology.

Strong commercial progress

Even though we were not able to beat last year’s record

revenues, Ceres continues to make important commercial

progress. Production at the world’s first commercial scale

factory for the manufacture of Ceres’ solid oxide fuel cells

in Jeollabuk-do, South Korea, began in July 2025, with the

first product sales achieved before year end. The generation

of royalty revenues from these sales marks a key milestone

for our business.

I believe this proactive, forward-looking approach will serve

the business well. Filip Smeets, our Chief Commercial Officer,

will provide more on our commercial strategy as we focus on

increasing our manufacturing partner relationships. Caroline

Hargrove, Chief Technology Officer, explains how we continue

to invest in programmes to extend the lifetime and durability

of our cells and stacks and reduce manufacturing costs and

complexity for our partners.

Governance changes during the period

In February 2025, Uwe Glock stepped down from the Board

following Bosch’s decision to discontinue solid oxide activities

and divest its stake in Ceres. The disposal of its 17.4% holding

was completed in October 2025. We thank Uwe for his

support and valuable contributions as a Director. In view of her

increased operating responsibilities at Equinor, where she has

been promoted to Senior Vice President PWR Global Offshore

Wind, Trine Borum Bojsen has decided not to stand for re-

election at the AGM. We congratulate Trine on her promotion

and thank her for her many important contributions to Ceres

over the last four years. Trine’s role as Employee Engagement

Director has been assumed by Julia King.

On the Executive Committee, Chief Operating Officer Mark

Garrett retired after five years and was succeeded by Steve

Hill, who was promoted from the existing Ceres management

team. He brings extensive manufacturing, engineering and

technology transfer experience.

Thank you

The business transformation plan has brought change and

new ways of working to Ceres. On behalf of the Board,

I thank the entire management team and all employees for

their professionalism and focus during this period, minimising

disruption as we prepare for the next phase of growth.

We approach 2026 with a renewed commercial mindset and

I look forward to reporting further progress for our business.

Warren Finegold

Chair of the Board

25 March 2026

1. Ember Global Electricity Review 2025, April 2025.

2. McKinsey & Company, April 2025: The cost of compute: a $7 trillion race to

scale data centers.

In line with our ambition to sign at least one new manufacturing

partnership annually, in November 2025 we announced a

new manufacturing licence agreement with Weichai, one

of the world’s largest engine manufacturers and our largest

shareholder. Weichai plans to establish a factory in China to

produce cells and stacks for stationary power markets, giving

Ceres’ technology a presence in one of the world’s largest

power markets.

On the electrolysis side of our business, in May 2025 we

announced the first megawatt-scale hydrogen production from

our electrolysis cells at Shell’s demonstrator unit in Bangalore,

India. This illustrates how Ceres’ high-efficiency technology

could be scaled to meet the needs of industry and deliver

a route to economically viable hydrogen for green steel,

ammonia and synthetic fuels.

Other Ceres electrolysis partners have also been busy during

the year as the industry regroups after a period of uncertainty.

In September 2025, DENSO announced that together with

Japanese utility JERA, it has begun Japan’s first demonstration

of SOEC hydrogen production at a JERA thermal power station.

Setting ourselves up for commercial success

With a rapidly evolving market and strong commercial

momentum, we see attractive opportunities to position solid

oxide as the technology of choice for both fuel cells and green

hydrogen production. Our research and development ("R&D")

over the past 24 years has created the most advanced solid

oxide technology available, culminating in a versatile, reversible

platform for power or electrolysis applications. We felt that

the time was right to increase further the focus of the business

on optimising commercial success.

In September 2025, we launched a business transformation

plan to transition towards a more commercial focus, prioritising

new manufacturing licence partner wins. This involved

restructuring internal teams into cross-functional units to

support business development and commercial activities better,

enabling more effective decision making. This new structure

also reduced operating costs by 20%, ensuring we remain well

capitalised as we progress towards profitability.

Strategic report Corporate governance Financial statements

07Ceres Annual Report 2025

Focusing on

commercial delivery

Chief Executive’s statement

In 2025 our first partner achieved scaled production,

unlocking Ceres’ first royalties, a significant milestone

for the business. We sharpened our commercial focus

to address rising demands for power generation

and advanced our solid oxide technology towards

becoming the industry standard.”

Phil Caldwell

Chief Executive Officer

Ceres Annual Report 202508

Strategic report

In comparison, SOFCs can offer the highest rates of energy

efficiency coupled with virtually zero particulate emissions

and high reliability, making them a natural choice for these

markets. In addition to these attractive features, SOFCs can

now offer a compelling advantage that other energy systems

cannot – rapid time-to-power. Wait times for higher power

systems are now significant: up to 15 years for upgraded grid

connections; exceeding five years for gas turbines; and at least

a decade for small modular nuclear power systems. The more

rapid availability of SOFC systems is now becoming a key

differentiating factor in the data centre power market (see our

Technology section on page 16 for additional details).

Our analysis, based on BloombergNEF estimates, suggests that

the market for SOFC power could be around 22GW by 2030,

representing a substantial market for our technology. This

represents a substantial market for our technology, with Ceres’

ability to meet that demand delivered through the scale-up of

our manufacturing partners.

integration, low local emissions and 24/7 reliability, with systems

that can scale quickly.

Ceres’ solid oxide systems meet these needs well. As data

centre operators expand capacity globally, including major

investments announced in the UK by Microsoft, Google,

OpenAI/NScale and Blackstone, the near-term commercial

opportunity for high-efficiency SOFC systems continues to

grow.

Importantly, the same fundamentals underpin opportunities in

commercial buildings, industrial campuses, microgrids and other

distributed power markets, strengthening our confidence in the

scale of demand our partners can serve.

This growth dynamic presents distinct and significant near-term

opportunities for Ceres SOFCs given the many advantages

over conventional power generation systems, such as gas

turbines, diesel reciprocating engines and renewable energy.

Highlights

• Continued commercial progress with new

manufacturing licence signed with Weichai.

• Ceres generates royalties for the first time with the

Doosan factory starting production.

• Renewed focus on SOFC as power markets open up.

• SOEC partner DENSO demonstrates Japan’s first

SOEC hydrogen production at a JERA thermal

power station.

• Megawatt-scale demonstration electrolyser starts

producing green hydrogen at Shell’s Technology

Centre in Bangalore, India.

Introduction

I am pleased to report on another year of progress as we

continue to deliver on our ambitions to establish our solid oxide

technology as the industry standard for both power generation

and hydrogen production. The year had its challenges as Bosch

withdrew from its SOFC activities following a strategic shift and

there was a slowdown in the demand for hydrogen solutions.

Nonetheless, we intensified our focus on commercial activities

and made meaningful progress in positioning Ceres at the

heart of emerging markets for power solutions for commercial,

industrial and data centre markets. Our focus on disciplined

execution, clarity of purpose and partner-centric ways of

working is now creating tangible commercial momentum.

Power markets are undergoing structural change

Around the world, electrification, digitalisation and AI are

transforming power demand. Nowhere is this clearer than

in AI enabled data centres, which have become one of the

fastest growing and most energy intensive sectors of the

global economy. Structural grid constraints, long lead times

for conventional generation and rising environmental pressures

are driving operators to look for alternative, high-efficiency

power technologies.

Customers tell us consistently that they need faster time-

to-power, high electrical efficiency and meaningful heat

Strategic report Corporate governance Financial statements

09Ceres Annual Report 2025

A clear step forward in commercial delivery

For almost 25 years, Ceres has invested in building world-

leading solid oxide technology. In 2025, that investment

translated into some of the most important milestones in

our history. We saw our technology move from development

to production and our commercial strategy sharpen around

the markets that offer the greatest near-term opportunity.

We achieved a significant milestone in July 2025, when Doosan

commenced mass market manufacture of fuel cell stacks using

Ceres’ technology at its first of a kind 50MW facility in South

Korea. This represents a validation of both our technology

leadership and our asset-light IP licensing model. These early

shipments generated our first royalty revenues, marking the

beginning of a scalable, high-margin future income stream.

Momentum continued across our partner ecosystem.

Delta Electronics advanced at pace towards establishing

large-scale manufacturing in Taiwan, targeting AI enabled

data centres, commercial buildings, industrial facilities and

microgrid applications.

During the year Delta acquired land and factory facilities in

Taiwan for approximately £170 million, expected to be partly

focused on the large-scale manufacturing of hydrogen energy

solutions, based on Ceres’ solid oxide technology. Delta

continues to move at pace and with clear commitment to initial

pilot production based on our technology by the end of 2026.

In November 2025 we announced that we had signed a new

manufacturing licence agreement for the production of our

proprietary SOFC technology with Weichai Power, a global

original equipment manufacturer and power systems developer,

headquartered in Shandong, China. Weichai intends to establish

a manufacturing facility to produce cells and stacks for the

stationary power markets supported by key components

supplied by Ceres, targeting power for AI data centres,

commercial buildings and industrial applications.

This agreement extends our existing relationship with Weichai,

which we anticipate will open up a multi-billion-dollar market

opportunity and boosts our ambition to establish Ceres as the

global industry standard for solid oxide.

Chief Executive’s statement continued

Hydrogen: progress with discipline and purpose

While industry-wide progress on large-scale electrolysis

projects has been slower than anticipated, our own SOEC

programme continued to advance in 2025.

At Shell’s Technology Centre in Bangalore, our first megawatt-

scale demonstrator produced hydrogen at industry-leading

efficiency, a major proof point of the cost and performance

advantages of high-temperature electrolysis. With a class-

leading electrolyser module efficiency of 37kWh/kg of

hydrogen from a 1MW plant, this equates to potential

production capacity of around 600kg of hydrogen per day.

This milestone marks an important step, demonstrating

the maturity of Ceres’ solid oxide electrolyser technology,

supported by Shell’s installation, integration and safety

assurance expertise.

After completing its technology transfer programme during

2025, SOEC manufacturing partner DENSO announced in

September that it had begun Japan’s first demonstration of

SOEC hydrogen production at a JERA (Japan’s largest power

generation company) thermal power station. This aims to

achieve hydrogen production with the world’s highest level

electrolysis efficiency by applying DENSO’s heat-management

technology. The project, which is due to run until 2032,

is valued at 46 billion yen (c.£220 million), with significant

government subsidies from Japan’s New Energy and Industrial

Technology Development Organisation (NEDO) of up to 35

billion yen (c.£165 million).

In India, Thermax continued its rapid progress, following the

launch of its HydroGenX Hub in Pune, our partner broke

ground earlier this year on its SOEC pilot plant, a very clear

commitment to deploying Ceres’ technology in one of the

world’s most strategically important markets for clean energy

in industrial applications.

These milestones reinforce the long-term relevance of our

technology as we expect industrial decarbonisation to gather

pace towards the end of this decade.

In addition to the significant progress being achieved with

current partners, we have also been working hard to ensure

that our technology remains an attractive proposition for future

manufacturing partners. Our latest design is a stack that can

generate power or produce hydrogen from the same core cell

and stack platform and enables partners to build both fuel cell

There has been accelerated

demand for power in the rapidly

maturing commercial and industrial

sectors, led by the booming data

centre market, creating new and

attractive opportunities for our

business. We also continue to

secure new licence agreements

with global manufacturers to drive

future business and to position

our technology as the industry

standard for solid oxide.”

Phil Caldwell

Chief Executive Officer

Strategic report

10 Ceres Annual Report 2025

Global market opportunity for solid oxide fuel

cell power is forecast at 22GW by 2030

Market opportunity

drivers by end use case

22GW

Reference: House analysis based on BNEF New Energy Outlook Data, 2025

Shipping

49%

Data

Centre

28%

Industry

14%

Commercial

Building

Global electrolyser capacity estimated to be

1,766GW in 2040

Market opportunity

drivers by end use case

1,766GW

Reference: BNEF New Energy Outlook 2024.

Ammonia production includes shipping, which is ammonia and methanol.

SAF procurement agreements for international airlines.

Sector proportions are based upon hydrogen consumption in 2040.

15%

Steel

56%

Other

industries

17%

Ammonia

12%

eFuels

and electrolysis stacks using the same manufacturing facility,

allowing them to leverage their investment in our technology

to access the power markets now and electrolysis markets in

the future. I believe that this is a key differentiator for us and

our technology, positioning us as the global leader in solid

oxide energy solutions.

Market dynamics create new opportunities

In parallel to the AI enabled data centre market, other attractive

power applications continue to mature for Ceres through our

partners. These include distributed power provision through

microgrids; combined heat, power and cooling applications

for buildings; and auxiliary power systems for marine vessels.

These nascent markets continue to be supported by favourable

tax credit and other incentives to adopt next-generation clean

technologies, such as fuel cells. Key regions where these are

available include the US (30% Investment Tax Credit under

Section 48E of the One Big Beautiful Bill for fuel cell adoption),

South Korea (the Green New Deal aims to achieve fuel cell

deployment of 15GW by 2040, supported by tax and other

incentives) and Japan (Green Transformation policies supporting

the hydrogen economy, including the development of large-

scale stationary fuel cell power stations).

While progress in our power business accelerated in 2025,

securing final investment decisions for hydrogen electrolysis

projects has undoubtedly been a challenge for the industry,

exacerbated by macroeconomic headwinds. However,

as we refocus our commercial activities on the near-term

opportunities, we remain confident that the structural impetus

to decarbonise industrial processes will continue to drive the

market over the longer term and that this will stimulate the

industry to adopt more advanced clean technologies such

as solid oxide.

Executing our business transformation plan

During 2025 we defined new strategic priorities that underpin

the sharper commercial focus we have brought to the business

(see page 20 for more details). To ensure we are set up for

success, we are optimising the business and have initiated a

business transformation plan, which started in September 2025.

This will realign our resources to new market opportunities

by the end of 2026 and consolidate our platform for

further growth.

The objectives of this programme are to simplify the

organisation, embed accountable ways of working and align

resources with the commercial markets that matter most.

By the end of 2026, we expect to have:

• Realigned Ceres into focused, delivery driven teams;

• Strengthened partner-centric values and behaviours across

the organisation;

• Reduced operating costs by around 20% compared to the

year ending 31 December 2025;

• Supported partners on their path to manufacturing scale-up

and product launch;

• Enhanced our capability to secure new licensing agreements; and

• Commercially launched our best-in-class, dual-purpose

stack platform serving both power and hydrogen markets,

consolidating development onto a unified technology

platform ready for scale.

Now is the right time for us to take these actions to optimise

the business and I firmly believe that successful completion

will ensure that we operate with the scale, pace, discipline and

clarity required for commercial success.

Strategic report Corporate governance Financial statements

11Ceres Annual Report 2025

Chief Executive’s statement continued

Outlook

The final words in my review of the year are dedicated to the

people at Ceres. Without doubt, 2025 started as a challenging

year for us following the Bosch announcement in February

2025 and a wider slowdown in hydrogen adoption. I am,

however, very pleased with the manner in which we responded

as a business, demonstrating purpose and professionalism

as we refocused on new and evolving market dynamics

represented by the growth in power. I would like to thank

everyone at Ceres for the ongoing commitment and dedication

they showed over the past year. Not only have our teams

come together to overcome the challenges of a turbulent year

to deliver key milestones for the business, but they have also

embraced the changes we are putting in place to drive our

next chapter of growth.

Although we are conscious of the uncertainties arising from

the war in Iran and its impact on global energy markets, we

start 2026 with strong operational momentum. We have

generated our first royalty revenues and are seeing growing

demand across commercial and industrial power markets

- particularly in the rapidly expanding data centre sector.

I am confident that we remain

well positioned to capitalise

on the growth in the resurgent

power markets of today

as well as the substantial

hydrogen electrolysis markets

of tomorrow, where our

technology provides one of the

few routes to decarbonising

heavy industry.”

Phil Caldwell

Chief Executive Officer

Solid oxide technology is increasingly viewed as a high-

efficiency, low-emission and fast-to-deploy solution for resilient

power. We remain well positioned for electrolysis for green

hydrogen as we anticipate industrial demand will accelerate

as global decarbonisation policies mature towards the end

of this decade.

Our sharper commercial focus and strategic pillars aligned

during the year with the resurgence of demand in the power

markets, I am confident that we are well positioned to capitalise

on the growth in the power markets today and the hydrogen

electrolysis markets of tomorrow.

As we enter our 25th year, Ceres is firmly positioned for a

new era: establishing our technology platform as the industry

standard for solid oxide, embedding partner-centric values

throughout the organisation and maintaining absolute focus

on commercial execution. Together with our partners, we are

moving to market with real pace and unlocking the next phase

of growth for Ceres.

Phil Caldwell

Chief Executive Officer

25 March 2026

Strategic report

12 Ceres Annual Report 2025

How we create value

How our business model works

We have developed next-generation solid oxide technology

IP, which is protected by a portfolio of patents, know-how and

trade secrets. This enables us to license our cell and stack IP to

manufacturing partners for mass production. Additionally, we

license system IP where stacks are integrated into power or

electrolysis systems, which are sold to end markets.

We earn revenue through up-front licence fees for access

to our IP; engineering services; technology hardware sales

to support partners scaling up factories for mass production;

and royalties when commercial scale is achieved. These

royalty payments are based on kW of product sold into the

power or electrolysis end markets, providing high-margin,

recurring revenue.

The Ceres business model is based on our leading solid oxide technology platform, which can be used to generate power

efficiently from a range of different fuels and to produce green hydrogen when coupled with a zero-carbon source of energy.

This technology and its manufacturing process are highly protected by patents, trade secrets and know-how, enabling us to

operate an asset-light licensing business model. By working in partnership with licensees who have the scale and expertise

to mass manufacture solid oxide products for their various end markets, we can together accelerate the decarbonisation

of a number of key industries.

Our business model

Business model

Read more on our website

www.ceres.tech

Cell and stack IP

Manufacturing

partner

OEM

customer

Sells consumer

products

Ceres licenses core

technology to partner

Ceres licenses system

technology to partner

Licence fees

System IP

Licence and engineering

Stack supply to OEMs

Stack royalties £/kW sold System royalties £/kW sold

Partners can develop their own systems as products, or they can

license system designs from Ceres.

For every stack or system sold, Ceres receives a royalty payment.

Highly competitive technology

Our unique, inherently reversible and fuel

flexible solid oxide technology reduces cost

while maximising efficiency, resulting in highly

competitive total cost of ownership for

the end user.

Access to untapped markets

As the global energy system evolves,

our cutting-edge technology supports

greater electrification of our energy systems

and generates green hydrogen at high

efficiencies, supporting the decarbonisation of

incumbent industries that are dependent on

fossil fuels today.

Accelerated market entry

Licensees can adopt our technology quickly

and enter new markets for hydrogen

without lengthy and expensive research and

development times, thereby capitalising on

more than 24 years of experience in cell and

stack development to continuously advance

solid oxide technology.

Leveraging world-leading R&D resources

Licensees don’t need to spend resources on

acquiring technology capabilities, but can

instead focus on their own core business

strengths. By using commonly found materials,

our technology can be mass produced at low

cost with a limited carbon footprint.

How we create value for our partners

Strategic report Corporate governance Financial statements

13Ceres Annual Report 2025

Strategic pillars

Our strategic priorities

Sign new

manufacturing

licensees

Establish manufacturing facilities

globally to cement our

technology as the industry

standard for solid oxide.

Accelerate

partners to

market

Support our partners towards

successful product launch,

thereby providing ongoing,

sustainable royalties to Ceres.

Single stack

technology

platform

Launch and continuously

extend lifetime and lower costs

of our dual-purpose stack

platform.

Links to KPIs

Revenue

Gross margin

Cash outflow (at 31 December)

Stack manufacturing partners

Accelerate partners to market

Single stack technology platform

Links to risks

Viability of technology

Operational capability

IP and regulation

Long-term value proposition

Commercial traction/partner

performance

Partner scale-up/supply chain

Cyber security

Geopolitical

People and capability

Future funding and liquidity

Our three strategic pillars define our priorities as we enter an exciting new phase in our growth,

helping us to establish our technology as the standard for solid oxide. These act as our guiding

lights for the commercial direction of the business.

Links to KPIs

Links to risks

Links to KPIs

Links to risks

Links to KPIs

Links to risks

Strategic report

14 Ceres Annual Report 2025

Key performance indicators

Our key performance indicators

Links to strategy

Sign new manufacturing licences

Accelerate partners to market

Single stack technology platform

Revenue

£32.6m

Description

Revenue of £32.6 million in 2025, compared with £51.9 million in the prior

year. The 37% reduction can be mostly attributed to revenues generated in

2024 from the new licence partners as upfront technology transfers were conducted.

Total stack manufacturing partners

2025 performance

Manufacturing Licence Agreement signed with Weichai in November 2025,

bringing a total of four under licence.

Description

Announced stack manufacturing partners under licence.

Accelerate partners to market

2025 performance

In July 2025 Ceres and Doosan announced that mass market production

of fuel cell stacks using our solid oxide technology had commenced. Delta

Electronics anticipates having its SOFC factory up and running by the end of

2026.

Description

We aim to ensure that our manufacturing partners start mass production as

planned.

Single stack technology platform

2025 performance

Our dual-purpose stack platform gives our technology a clear and

differentiated identity and a compelling performance.

Description

A stack that can generate power or produce hydrogen from the same core

cells, allowing partners to leverage their investment in our technology to

access the power markets now and electrolysis markets in the future.

Gross margin

70%

Description

Gross margin of 70% compared to prior year margin of 77%. These margins

remain much higher than industry norms due to the licensing nature of our

business model.

Cash outflow (at 31 December)

£(19.2)m

Description

Cash outflow relates to the movement in cash and investments. The

controlled year-on-year reduction in outflow demonstrates our continued cash

management discipline.

Links to strategy:

1 32

Links to strategy:

1 32

Links to strategy:

1 32

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1 32

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1 32

Links to strategy:

1 32

Financial KPIs

Non-financial KPIs

23 22.3

25 32.6

24 51.9

23 61

25 70

24 77

(42.4) 23

(19.2) 25

(37.5) 24

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15Ceres Annual Report 2025

Technology

Clean energy starts with

Technology

Ceres Annual Report 202516

Strategic report

What key technology milestones have been

achieved in 2025?

This year, we made significant progress in our ability

to understand and model the mechanisms for lifetime

degradation and durability in our cells. This is important as

it enables us to target our R&D efforts on improvements

that are likely to yield greatest impact. It also helps us

with optimising our control strategies to improve the

performance of our stacks through life.

We’ve also made good progress towards optimising

some of our ceramic layers, leading to the reduction in the

complexity of some of our manufacturing processes. These

should help us lower the capital expenditure and operating

expenses of some manufacturing processes, which we can

pass on to our partners.

Ceres has undergone a business transformation

plan, so what does this mean for the ability to

continually innovate the Company’s technology?

Our ability to innovate remains central to our business

model as a licensing company. Over the years we

have made great strides, taking us to the limit of the

electrochemical performance of our cells and stacks.

However, we are not resting there, as staying at the

forefront of technology is a key differentiator for us.

Our work on the lifetime, degradation characteristics and

durability of our cells has increased our understanding

of the cell-level electrochemistry. This allows us to be

more targeted with our R&D resources and to continue to

innovate where the impact is highest. The improvements

we make here can support the efforts of our partners in

bringing the technology to market and help define how

they support their customers over the longer term.

Power markets have been developing rapidly, so

what makes Ceres SOFC such a compelling solution?

There are many reasons why SOFCs are a great fit for

data centres. Currently the most pressing issue facing this

market is time-to-power: the time it takes to implement

the high-performance systems needed to power these

energy-hungry installations. Current power units, such as

gas turbines

or small modular reactors, have order lead

times of five to ten years from today

, with high voltage

grid upgrades not anticipated in many regions until the

mid-2030s

. SOFCs are available from our partners now

as factory production builds during 2026 and beyond.

Permitting and emissions are another pressing issue,

with power sources increasingly located next to the

data centres, often close to population areas. Current

technologies can produce harmful by-products such as

SOx, NOx and other particulates from combustion, as well

as high levels of diffuse carbon dioxide. However, SOFCs

produce virtually no particulate emissions and any carbon

dioxide produced from the use of natural gas can be readily

captured by existing carbon capture technologies. SOFCs

can also produce the high voltage direct current (“DC”)

power that data centres ultimately need, in turn producing

an efficiency gain in power electronics.

Another advantage is our ability to load follow quickly.

Today’s AI models require a supply of power that can react

quickly to the huge swings in demand as processing starts

and stops. Our SOFCs can rapidly ramp power output up

and down in response to these loads, reducing the need for

supercapacitors, which are often used by other products

to fill the gap while they ramp up.

Looking ahead, what are the technology

priorities for Ceres?

Our priorities for the year ahead fall into three categories.

Our highest R&D priorities are “must have” features that

can lead to reduced capital expenditure and operating

expenses to lower the bar to adoption from licensees.

The next set of priorities are incremental improvements

to the cells and stacks to increase lifetime, extend durability

and reduce bill of materials costs.

Thirdly, we continue to examine revolutionary ideas that

could add to our technological leadership. By their nature,

these are earlier stage technologies – smaller bucket but

always worth planting seeds early, and we do some of

this through university collaborations.

1. US gas-fired turbine wait times as much as seven years; costs

up sharply | S&P Global.

2. Initial projects coming on-stream in 2030, new project deployment

7–10 years: Executive Summary – The Path to a New Era for

Nuclear Energy – Analysis – IEA.

3. Executive summary – Electricity Grids and Secure Energy Transitions

– Analysis – IEA.

Over the years we have worked

tirelessly to create the leading reversible

solid oxide cells for the power and

hydrogen markets. I’m very pleased

to see our technology now coming to

market through our partners. But we are

not stopping there. We continue to look

for ways to reduce costs and improve

durability for our partners, keeping us at

the forefront of solid oxide technology.”

Caroline Hargrove CBE

Chief Technology Officer

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17Ceres Annual Report 2025

Product

Launching Ceres Endura

Power built to last

This year we stand at a pivotal moment

in an extraordinary journey that began

more than 25 years ago. A journey

that has challenged the ingenuity,

tenacity and determination of our

teams. The result is a world-class

clean energy product, powered by

our unique, robust, metal supported

technology. This product is now being

manufactured in Korea and will soon

be made by others around the world,

clearly marking our transformation

from R&D to true commercialisation.

Together with our partners, we’ve

not just built a product - we’ve built

a legacy of outstanding innovation

with our purpose at its core.”

Nick Lawrence

Chief Product Officer

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Ceres Annual Report 202518

Strategic report

Can you tell us a little more about your recent

product launch – why now?

In 2025 we brought a sharper commercial focus to our

business, underpinned by refreshed strategic imperatives

and a business transformation plan to align our resources.

A key element of this evolution is the commercial launch

of our dual-purpose stack platform in April 2026, for the

first time giving our technology a clear and differentiated

identity and a compelling brand story.

Over two decades of innovation at Ceres has created the

world’s most advanced solid oxide stack that can generate

power or produce hydrogen from the same core cells. The

technology has been designed from the ground up to be

high-volume manufacturing ready, to last a long time and

to work for multiple uses. Crucially, it enables dual-licensee

partners to build both fuel cell and electrolysis stacks using

the same factory machinery, allowing them to access the

power markets now and electrolysis markets in the future.

Ceres stacks will be deliverable within months to site by

partners and connected within months rather than years,

solving critical time-to-power problems for data centre

developers. The stacks can provide 99.999% power

availability with only 10% oversizing, substantially reducing

the footprint and capital expenditure for the data centre

operator. They can also react almost instantly to varying

data centre loads (in a similar response time to batteries),

faster than any other SOFC stack.

How’s progress this year with Ceres’ SOEC

systems partners?

I’m pleased to say that our 1MW electrolysis demonstrator

in Bangalore is now fully operational, delivering in-field

class-leading hydrogen generation efficiencies of 37kWh/

kg. We are also in the later stages of the build of our very

first stack array module, which will go on test with our

partner Thermax this year.

Additionally, we have seen major growth in the number of

potential system development partners interested in using

our SOFC stacks in next-generation clean power systems

– with Ceres Endura™ positioned to become an industry

standard. This shows the versatility of our stack platform,

being used in applications ranging from power for data

centres to marine and offshore applications, electrolysis for

ammonia and eFuels, as well as biogas and future reversible

energy opportunities. Licensees value the versatility and

markets they can access with Ceres Endura™.

Internally we are working on maturing reference designs for

SOFC systems to support potential partners with a system

baseline design, designed from the ground up to make best

use of Ceres Endura™ and reducing time to market. I expect

these to be ready for use in 2026.

We thought long and hard about a name that encapsulates

all of this – the robustness, longevity, scale, manufacturing

readiness, and tenacity and ingenuity of our teams. We are

all proud to have launched Ceres Endura™ with the tagline

“Power built to last”.

What improvements have you put into the latest

stack platform?

The Ceres Endura™ design shares a common architecture

between fuel cell and electrolysis operation. Most of

the stack components are either identical or can be

manufactured on the same machines, which simplifies

product releases and helps drive down production costs.

Additionally, we’ve concentrated on reducing manufacturing

costs across the board, especially by leveraging technology

features to remove process steps at the cell level,

simplifying the design and using supply chain partnerships

to introduce lower-cost materials.

These changes have resulted in a stack design that is half

the manufacturing cost of the one we had in 2020, as well

as a substantial performance improvement accessible to our

licensee partners. We’re not finished there, though: our goal

is to bring the capital cost of Ceres Endura™ systems to a

comparable level with conventional generation by 2030,

making Ceres Endura™ a no-regrets solution to a clean

power future.

Furthermore, we have taken advantage of the stack-ability

and mechanical strength of our cells to release a next-

generation electrolysis stack that has 400 layers, reducing

the number of stacks required per MW. We will also

continue to verify it for pressurised operation during 2026.

How well is Ceres Endura™ suited to capture the

data centre power market?

Clearly this year has also shown the important role SOFC

can play in the need to supply clean power for data centres.

Ceres Endura™-based systems will work well with the new

Nvidia 800V direct current architecture out of the box and

are an ideal match for sustainable AI data centre power.

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19Ceres Annual Report 2025

Clean energy starts with

Partners

Strategic report

Ceres Annual Report 202520

With our first manufacturing partner

now in production and a unified

platform that serves both power and

hydrogen, Ceres is entering a more

commercial phase. Our technology

is real, our partner production base

is scaling and we are now focused on

converting two decades of innovation

into long-term, sustainable value.”

Filip Smeets

Chief Commercial Officer

What is your commercial strategy and what

characteristics do you seek in manufacturing

partners?

Our commercial strategy is to scale Ceres’ solid oxide

platform globally through an asset-light licensing model,

embedding our technology into the manufacturing

footprints of Tier-1 industrial partners. This approach

enables rapid commercialisation with lower capital

intensity, while partners leverage their own market

access and industrial scale to deliver power and

hydrogen solutions.

We have a clear profile of target organisations

that demonstrate:

• Tier-1 mass manufacturing capability in power,

electronics or process industries, backed by deep

supply chains and capital strength;

• Strong regional market access in priority geographies

including Korea, China, India, Taiwan, Europe and

North America; and

• Strategic alignment with clean, efficient and resilient

energy solutions, where solid oxide technology

becomes central to their long-term portfolio.

Our objective is a concentrated portfolio of scaled

partners rather than a broad tail of smaller licensees -

maximising long-term royalty potential while keeping our

technology roadmap focused and industrially coherent.

What does the business transformation plan

mean from a commercial perspective and

how does it help Ceres capture opportunities

more effectively?

The business transformation plan reflects Ceres’ evolution

from an R&D-led organisation to one focused on

commercial execution after two decades of technology

development. From a commercial perspective, it delivers

three core benefits:

1. A single, unified solid oxide platform. We are

consolidating development onto one stack platform

serving both SOFC ("solid oxide fuel cell") and SOEC

("solid oxide electrolysis cell") applications. This reduces

complexity, strengthens shared IP and simplifies

industrialisation for partners.

2. Rebalanced resources and a leaner cost base. The

programme shifts emphasis from early stage research

toward productisation, manufacturing support and

applications engineering - capabilities that directly help

partners qualify production lines and win end customer

projects. The plan targets approximately a 20% reduction

in operating expenses versus the 2025 run-rate, improving

operating leverage as royalty revenues scale.

3. Sharper commercial focus. We are concentrating

on markets with clear near-term demand and regulatory

momentum - particularly AI data centres and resilient

distributed power, alongside industrial hydrogen in India,

the Middle East and China. This means deeper strategic

relationships, disciplined opportunity selection and clearer

pathways to scale.

Overall, the transformation shortens time to market,

improves earnings visibility by increasing recurring

royalties and aligns the organisation with the next

decade of growth.

Where do you expect the AI data centre

market to go in 2026 and beyond?

AI workloads are driving a structural shift in electricity

demand. The IEA forecasts that global data centre

consumption will more than double by 2030 to

approximately 945 TWh

. The European Commission

highlights that data centres already account for around

1.5% of global electricity use and could more than double

by decade-end

. Goldman Sachs projects up to 165%

growth in global data centre power demand by 2030

versus 2023

Demand is concentrated in the US, EU and China, where

grid constraints and permitting timelines are increasingly

the limiting factor for development. As a result, operators

are turning to scalable on-site solutions.

While time-to-power remains important, the case for

SOFC in data centres is now broader and more durable.

• Permitting ease. SOFC systems offer very low local

emissions, low noise and compact footprint, enabling

faster and more predictable siting compared to

combustion-based alternatives.

Image to be confirmed

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21Ceres Annual Report 2025

• High reliability with lower redundancy cost. Modular

MW-scale units operate in parallel, enabling phased

expansion, hot-swap capability and high availability

without the overbuild required for large single-unit assets.

• High-quality DC power. SOFC delivers stable DC

output that aligns naturally with emerging 800V DC

architectures in AI campuses. Direct DC integration

reduces conversion losses and enables a more

streamlined, efficient power infrastructure.

• Future-proof fuel flexibility. Systems can operate

on natural gas today and transition to biomethane,

hydrogen or synthetic fuels as supply chains mature.

• Sustainability integration. High electrical efficiency lowers

intensity, while high-grade waste heat supports

combined heating and cooling solutions. The exhaust

characteristics are also compatible with future carbon

capture integration.

We therefore expect SOFC to play a meaningful role not

only as a bridge during grid bottlenecks, but also as a

structural component of next-generation AI data centre

energy architecture throughout the following decades.

Are there other attractive power markets for

Ceres outside data centres?

Yes. Solid oxide technology is highly versatile across

distributed power applications.

We see attractive opportunities in:

• Commercial and mixed-use buildings – high-efficiency

combined heat and power in urban environments.

• Grid support and microgrids – modular, dispatchable

power complementing renewables and replacing diesel

generation.

• Marine auxiliary power – low-emission, low-noise

onboard generation aligned with tightening air-quality

regulations.

• Industrial sites and campuses – resilient power for

critical loads, often integrated with heat recovery.

Our strategy remains consistent: deploy one unified

platform across these markets through partners already

embedded in them - expanding our royalty base without

fragmenting development efforts.

Partners continued

With hydrogen markets slower than

expected, how is Ceres ensuring its SOEC

technology is well positioned?

While large-scale green hydrogen deployment has

progressed more slowly than initially anticipated, long-

term fundamentals in refining, chemicals, fertilisers and

steel remain compelling.

We are using this period to strengthen our SOEC

proposition:

1. Proving industrial-scale performance. Our MW-

scale SOEC demonstrator with Shell in India produced

first hydrogen in 2025, with early results indicating

efficiency advantages over incumbent technologies.

2. Securing manufacturing pathways. Our global MLA

with DENSO, a major Japanese OEM, provides a royalty

route to industrial-scale SOEC manufacturing, while

Thermax serves as our system partner in India.

3. Leveraging the unified platform. A single stack

architecture supports both SOFC and SOEC, creating

shared IP, manufacturing commonality and optionality

for partners.

4. Focusing on policy-supported industrial clusters.

We prioritise sectors where high-temperature electrolysis

delivers clear efficiency and integration benefits.

This positions Ceres to scale rapidly as industrial hydrogen

demand accelerates through the 2030s.

1. International Energy Agency Energy and AI report, April 2025.

2. European Commission news article, November 2025 In focus:

Data centres – an energy-hungry challenge - Energy.

3. Goldman Sachs Insights article, February 2025: AI to drive 165%

increase in data center power demand by 2030 | Goldman Sachs.

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22 Ceres Annual Report 2025

Hybrid-ready, fuel-flexible design:

natural gas today,

100% hydrogen tomorrow

Modular and streamlined:

from sub-MW to 100+ MW

Stable 800 Volt DC output:

well suited to latest AI processing chips

Time-to-power:

delivered in months not years

Proven resiliency:

24/7 baseload, long stack life

Sustainability:

low noise and particulate emissions to enable

smoother permitting and planning approval

Fuel efficiency:

65% energy conversion

in power-only mode

Over 90% efficient in combined

heat and power mode

SOFCs provide the solution to

AI data centre power needs

The right technology, available now

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23Ceres Annual Report 2025

Sustainability

Clean energy starts with

Sustainability

Strategic report

Ceres Annual Report 202524

Diversity and inclusion

At Ceres we aim to build a workforce that represents all

sectors of society, where every employee feels safe, respected

and able to contribute their best. We call our approach DEBI

(short for diversity, equity, belonging and inclusion), and it

encompasses our belief that talent and ingenuity stem from a

variety of perspectives and experiences. Our diverse workforce

with over 350 employees includes a wide range of people from

promising students to brilliant scientists and engineers from 35

countries. During 2025 we invested an average of £697 per

employee in technical and leadership training and wellbeing

programmes. We recognise that nurturing and developing

our talent is critical to supporting retention and success. We

continually seek to improve the gender balance within Ceres

and during 2025 35% of our new recruits were female. As of

31 December 2025, 75 employees were female and 276 were

male with two undisclosed. For more information, see the

Gender Pay Report on our website.

Health and safety

No one should come to work and return home injured. We are

always striving to improve health and safety performance. In

2025, Ceres reported a Total Recordable Incident Rate (“TRIR”)

of 0.83 per 100 employees, up from 0.33 the previous year.

Ceres reported zero injuries under the Reporting of Injuries,

Diseases, and Dangerous Occurrences (“RIDDORs”) criteria,

consistent with zero reports last year.

Targeting net zero

Ceres enables the decarbonisation of multiple markets by

developing highly efficient and differentiated technology that

scales through global partnerships. But our global impact does not

absolve us of responsibility for our own emissions and impact.

We have implemented initiatives to improve our designs to

reduce emissions impact, which will significantly reduce the

carbon emissions of our technology as our partners scale

production. Ceres has committed to near-term emissions

reduction targets validated by the Science Based Targets

initiative (“SBTi”). We have committed to reducing absolute

Scope 1 and 2 GHG emissions by 42% by 2030 from a 2022

base year, and have also committed to reduce Scope 3 GHG

emissions by 53% per million GBP gross profit by 2030 from

a 2022 base year. In addition to the mandatory reporting on

sustainability, Ceres provides insights into our sustainability

strategy, environmental and governance responsibilities and

commitment to social matters on our company website.

Sustainability overview

Our sustainability targets

Take climate action

We have made an SBTi near-term target to

reduce Scope 1 & 2 emissions by 42% by

2030 and Scope 3 emissions by 53% per

million GBP of gross profit by 2030, using a

2022 baseline.

Operate responsibly

We purchase REGO certificates for certified

renewable energy production.

100%

% of electricity from renewable sources

Build social value

We invested an average of £697 per

employee.

£321,725

Training and development investment

Empower our people

We exceeded our female recruitment target

for new hires in 2025.

35%

Female recruitment in 2025 (%)

Sustainability is at the core of

Ceres - it is embedded in our

products and it motivates our staff.

We are committed to integrating it

across our business activities and

reporting on our performance.”

Julia King

Chair of the ESG Committee

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25Ceres Annual Report 2025

Sustainability roadmap

Ceres’ ESG pillars

Science-based

climate action

A green transition

that works for people

Processes that

support nature

Governance enabling

the right decision

Sustainability continued

Goal

Multi-gigawatts

of manufacturing

capacity under licence

with global partners.

Enabling significant carbon

reduction versus alternative

power and hydrogen

production

methods.

Tackling

climate change is

what drives us; we are

committed to enabling

a decarbonised world

through our technology, and

our aim is to ensure our

sustainability strategy

keeps pace with this

ambition.

• Mature reporting against TCFD

towards full compliance.

• Implement initial emissions

reduction initiatives in line

with SBTi commitment.

• Embed circular economy

principles in product design,

recycling and reuse targets.

• Understand product impact in

service with cradle-to-grave

and Scope 4 emissions analysis.

• Continue to implement

emissions reductions

initiatives in line with our SBTi

commitments.

• Improve monitoring and

targeting of energy to

identify energy hotspots and

future energy improvement

projects, in line with our ESOS

commitments.

• Maintain zero waste to landfill.

• Maintained retention of

employees at 89% from 88%.

• Continue to refine and enhance

our career development and

remuneration framework to our

future skillset requirement and

refreshed values.

• Update and publish our

business contract templates

with minimum ESG contracting

requirements.

• Reduce electrical

consumption by 15,000kWh.

• Maintain ISO 14001

accreditation for

Environmental Management

Systems.

• Evaluate water impacts from

our electrolyser technologies

at scale.

• Embed sustainability

consideration across

our operations, in alignment

with our net zero strategy.

• Annual Gallup 12 employee

survey completed in June

2025.

• Reduced the gender

pay gap amongst Ceres

employees.

• Develop a diverse and

motivated workforce with

a culture of collaboration,

focused on our mission to

deliver “clean energy for a

clean world”.

• Enhance our teams’ skills for

a green transition through

growth and training.

• Integration of Transition

Plan Taskforce framework

into reporting.

• Identification of relevant clauses

from The Chancery Lane

Project for integration into

our business contracts.

• Implement training for

contracting teams on

climate-aligned drafting.

• Set an internal target for

climate-aligned clause

adoption in new and

renewed supplier and

partner contracts.

Progress achieved

Current actions

<1 year

Future actions

1–3 years

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26 Ceres Annual Report 2025

Emissions and energy reporting

While our technology will deliver significant carbon abatement,

we seek to understand our own direct and indirect emissions

relative to our global positive impact. Below is our SECR

emissions reporting for Scope 1, 2 and limited Scope 3 emissions,

calculated using Greenhouse Gas Protocol Accounting.

Our emissions management system, Sweep, enables real-time

tracking, supports our carbon-reduction commitments, and

ensures consistency in future analysis. Designed to comply with

the SBTi frameworks, Sweep enables Ceres to identify our

emission hotspots and monitor our progress against our goals.

Ceres’ Scope 1 and 2 emissions decreased in 2025 by 7% and

13% respectively. Several energy efficiency measures were

implemented in 2025 including: electrification of the company

vehicle; enhancements in energy monitoring to identify energy

efficiency opportunities; awareness campaigns and equipment

shutdown policies.

Although location-based Scope 2 emissions declined, electricity

use slightly increased. A cleaner, less carbon-intensive grid in

2025 largely drove the reduction, but given Ceres sources 100%

verifiable renewable energy, there is no net emissions impact.

Limited Scope 3 emissions also decreased, though fuel use

for personal vehicles represented less than 1% of total Scope

3 emissions in 2024, so this does not indicate a broader trend.

Remaining Scope 3 calculations will be published later this year

on our website. We have reduced overall emissions in 2025, but

relative to revenue, it appears superficially to have increased.

As a growth company, Ceres continues investing in

manufacturing and testing capacity, increasing short-term

emissions. However, we remain committed to reducing our

operational footprint under our SBTi near-term target. Our

technology can address climate and air-quality challenges

across industry, data centres and daily living. While scaling has