Windar Photonics plc (LON:PHO), a pioneer in LiDAR-assisted wind turbine optimisation, continues to demonstrate forward momentum in commercial progress and technological deployment, according to the company’s latest update and a recent research note by Zeus. While a revenue recognition adjustment has prompted short-term forecast revisions, Zeus maintains a constructive outlook on the company’s long-term prospects.
Windar’s innovative solutions, which integrate proprietary LiDAR technologies into turbine control systems, allow for more efficient energy production. This capability positions Windar well in a growing global market seeking greater renewable energy efficiencies. As the company prepares to release its full-year results for 2024 later this month, Zeus’s analysis provides a timely assessment of Windar’s financial and strategic trajectory.
FY24 Revenue Adjusted on Audit Review
In its note dated 12 June 2025, Zeus revised Windar’s FY24 revenue expectations downward by 19.3 percent, from €5.7 million to €4.6 million. This adjustment was prompted by a revenue cut-off review during the annual audit process, deferring €1.25 million of expected 2024 sales into FY25. As a result, EBITDA forecasts have been revised from a €0.4 million profit to a €0.4 million loss.
Despite this, Zeus maintains confidence in Windar’s outlook. “While the adjustments to expectations are disappointing, we note that FY24 changes are purely cosmetic,” wrote Research Analyst Nick Spoliar. “We highlight the group’s strong net cash position following last year’s fundraise and a good pipeline of opportunities, underpinned by the group’s proprietary IP.”
Financial and Operational Highlights
Windar’s recent performance and projections continue to underscore its growth momentum, particularly as the company scales commercially:
- FY24 Revenue: €4.6 million (down from €4.8 million in FY23)
- FY24 EBITDA: Loss of €0.4 million (vs. €0.2 million profit in FY23)
- FY25 Revenue Forecast: €13.8 million, a near tripling from FY24
- FY25 EBITDA Forecast: €4.8 million, reflecting improved margin leverage
- Net Cash Position: Expected to rise to €5.5 million in FY24 and €8.0 million by FY25
The minor shortfall in 2024 revenue is seen more as a timing issue than a demand concern. Key deliveries totalling approximately €1.4 million were delayed into 2025 at the request of customers, reaffirming the strength of underlying demand.
Moreover, Windar’s margin profile has begun to benefit from its move into software solutions. The first software-only deployment of its Nexus OS, sold to an existing client, is expected to contribute initial revenue and gross margin in the six-digit euro range. This transition marks a strategic shift towards higher-margin, recurring revenue streams.
Strategic Progress and Geographic Expansion
Windar continues to build commercial traction globally. A major order from the United States, announced in December 2024, underpins expectations of strong trading in the first half of 2025. Additionally, the company has commenced its first offshore wind turbine deployment in Continental Europe, its first such project outside of Asia.
In the words of Nick Spoliar, “FY25 expectations continue to point to a considerable improvement in trading on the back of recent commercial progress.”
Windar’s strategy hinges on its ability to penetrate both retrofit and OEM markets with its proprietary solutions. The retrofit opportunity, in particular, is significant. As wind farms seek ways to maximise output from existing infrastructure, Windar’s technology presents a compelling value proposition.
Strengthened Financial Platform
The company also benefits from a solid financial footing, following an oversubscribed £5.9 million fundraise in December 2024. This capital boost has left Windar with a strong net cash position, enabling it to invest in scaling operations and capturing growth opportunities across North America, Europe, Asia and Australasia.
Zeus’s report suggests that the company is also reinforcing its internal capabilities. “Excellent progress is also being made in strengthening Windar’s commercial and other key internal resources to support delivery of the Company’s strategy and opportunity,” the note observed.
While the accounting-driven adjustment to FY24 expectations may cause short-term concern, Zeus’s analysis highlights the fundamentally sound and growing nature of Windar Photonics. With accelerating commercial momentum, entry into the high-margin software space, and a robust financial base, the company is well positioned to capitalise on the global push for wind energy optimisation.
Nick Spoliar’s assessment sums it up aptly: “We highlight the group’s strong net cash position following last year’s fundraise and a good pipeline of opportunities, underpinned by the group’s proprietary IP.”
Windar’s journey from a niche LiDAR innovator to a full-spectrum optimisation solutions provider is clearly gaining altitude, and investors would do well to keep an eye on this expanding clean-tech story.
