Ceres Power Holdings experienced a decline in shares on Tuesday following the announcement that its revenue for 2023 is expected to fall below expectations. The company attributed this setback to delays at its joint ventures in China.

At 0730 GMT, shares of Ceres Power Holdings were down 39.4 pence, or 10%, at 350.4 pence.

The fuel-cell technology company revealed that its 2023 revenue projections have been reduced by approximately £15 million ($19.2 million) due to the postponement of sales from its joint ventures with Bosch and Weichai to 2024. Currently, the market consensus stands at £49 million, according to the company's statement.

However, Ceres Power Holdings anticipates offsetting some of this revenue loss with additional license fee income from new contract wins throughout the year.

"Despite the ongoing delay with the China JVs, the company is making good progress elsewhere, especially with our growing pipeline of opportunities," stated Chief Executive Phil Caldwell.

Furthermore, for the first half of the year, Ceres Power Holdings projects revenue of £11 million, compared to £9.7 million in the same period the previous year.

The company expects gross margins for the six-month period to range from 55% to 60%, surpassing the 55% gross margin achieved in the first half of 2022. As of June 30, its cash and short-term investments totaled £162 million.

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