Nel ASA Builds a Bigger Backlog While the Income Statement Still Bleeds

Nel ASA closed the third quarter of 2026 with a fuller order book and a thinner top line — a combination that asks investors to hold two ideas apart rather than treat one as proof of the other. New orders are piling up, but the revenue they represent has yet to arrive, and the company's operating result remains deep in the red.

The Norwegian hydrogen specialist booked revenue from customer contracts of NOK 112 million in the quarter, a 63% slide from the same period a year earlier. EBITDA came in at NOK -93 million, and the net loss reached NOK 141 million. Order intake, by contrast, surged 339% to NOK 253 million, lifting the backlog to NOK 1.314 million at quarter-end — 34% above the year-earlier level.

That divergence is the heart of the Nel story right now. A rising backlog signals demand. It does not, on its own, demonstrate recovering sales or an improving bottom line, and the quarterly figures make the distinction plain.

A Firm Order, but for 2027

The clearest piece of hard business came on Tuesday, when subsidiary Nel Hydrogen US disclosed an order worth roughly USD 12 million. The buyer is an unnamed, globally active technology company headquartered in the United States, which has commissioned several containerized PEM electrolysers from the MC series along with associated services. Delivery is expected in 2027.

That timing matters as much as the value. The contract is a genuine order rather than a statement of intent, yet its shipment window sits beyond the current year, so it cannot be read as evidence that a revenue turnaround has already taken hold. Nor does the order value alone translate into an earnings contribution.

Rheinmetall Talks Carry No Commitment

A separate Tuesday announcement sits at a different level of certainty. Nel and Rheinmetall signed a non-binding letter of intent to explore decentralized production of renewable synthetic fuels, combining Nel's electrolyser technology with Rheinmetall's Giga-PtX concept. Applications under consideration include defense and critical infrastructure.

Both companies were explicit that the arrangement is non-binding. Any pilot projects depend on further agreements and feasibility studies, and next steps require mutual consent and ongoing review. It is a possible business opportunity, not a secured order, and should not be valued like the US contract.

Liquidity in Hand, Turnaround Unproven

Nel ended the quarter with NOK 1.078 million in liquid funds against the NOK 1.314 million backlog, so both business potential and cash are on the books. Neither balance-sheet figure, however, settles the question that matters most: whether ordered business will convert into revenue and a stronger operating performance. Firm orders strengthen the outlook; possible collaborations remain options until they are signed. A durable recovery would eventually have to show up in sales and earnings — and that is precisely what the latest quarter does not yet deliver.