Update on strategic review of BVI segment and trading update
(Oslo, Norway, 27 January 2026) Reference is made to the stock exchange release published by Hexagon Purus (the “Company”) on 16 June 2025, in which the Company announced an evaluation of strategic alternatives for its Battery Systems and Vehicle Integration (“BVI”) segment. The Company is today providing an update on the status of the review and the operational and cost-related measures being implemented with respect to the BVI segment.
Over the past decade, the Company has built an industry-leading battery-electric mobility offering for the North American heavy-duty truck market, supported by patented and proprietary technology covering key systems required for vehicle electrification. Customer feedback on the Class 8 battery-electric truck platform has been solid, and more recently the Company has entered into an agreement with Hino Motors Sales U.S.A. Inc. relating to the delivery of Class 6 & 7 battery-electric trucks. These trucks will carry the Hino brand and made available through Hino’s extensive dealer network. To date, the Company has delivered 27 battery electric class 6, 7 and 8 vehicles to Hino, which are currently operating in customer hands or being demonstrated through Hino’s dealer network in daily commercial use.
The U.S. market for vehicle electrification has changed materially over the past 12 months. Increased regulatory and tariff uncertainty has weighed on near-term demand, with fleet operators opting to prolong asset utilization and postpone fleet replacements. While certain state-level incentives remain in place and some fleet operators continue to pursue long-term decarbonization strategies, the near-term demand is limited.
In response, the Company initiated a strategic review of the BVI segment in June 2025, evaluating a range of structural, partnership and transaction alternatives. Given current market conditions, executing a value-accretive transaction is not realistic. At the same time, the Company maintains the view that fleet electrification will materialize and that the technology developed has substantial medium to long-term value potential. The strategic review has therefore recently focused on identifying solutions that preserve future optionality at a materially reduced cost base.
As a result, the Company has today decided to scale back the BVI segment to a minimum operating level. This includes a reduction of approximately 2/3 of the workforce in the segment, with annual truck production capacity expected to meet the projected demand following the restructuring. The remaining organization will consist of approximately 25 individuals who have been instrumental in developing the business and its underlying technology from inception, thereby ensuring operational continuity and preserving the capability to scale up activities when market conditions improve. The Company intends to consolidate BVI operations at its Dallas facility, with the Ontario site planned to be exited in March 2026 and the Kelowna facility planned to be wound down over time. One-time restructuring costs related to the workforce reduction is estimated to approximately USD 0.7 million and will be recognized in the first quarter of 2026 accounts.
In parallel, the Company has recently received an order from Hino for an additional 14 Class 6, 7 and 8 battery-electric trucks, with expected delivery towards the end of the second quarter and the beginning of the third quarter of 2026. This order, together with the implemented cost reduction measures, is expected to allow the BVI segment to be operated at close to cash-neutral levels in aggregate through mid-2026. This is enabled by the fact that a substantial portion of the required inventory is already on hand, thereby limiting the need for additional working capital to complete the vehicles.
The Company will continue to closely monitor the performance and market conditions of the BVI segment, actively assess the best path forward on an ongoing basis, and continue to explore dialogues regarding potential strategic and transaction-related opportunities. Hence, the strategic review will continue.
The actions described above form part of a broader set of initiatives undertaken by the Company to preserve liquidity and strengthen its financial position. Further updates on these initiatives, as well as progress across the business, will be provided in conjunction with the Company’s fourth quarter and preliminary full-year 2025 report to be published on 10 February 2026. In advance of this reporting, the Company has decided to publish the below preliminary, estimated and unaudited figures for the Group for the fourth quarter of 2025. The figures reflect estimates as of the date hereof and may be subject to change.
Q4 2025 revenue of approximately NOK 468 million
Ending Q4 2025 cash balance of approximately NOK 322 million
Ending Q4 2025 order backlog of approximately NOK 728 million
This information is considered to be inside information pursuant to the EU Market Abuse Regulation. This stock exchange announcement was published by Mathias Meidell of Hexagon Purus ASA on 27 January at 16:31 CET.
For more information
Mathias Meidell, Investor Relations Director, Hexagon Purus
Telephone: +47 909 82 242 | mathias.meidell@hexagonpurus.com
About Hexagon Purus
Hexagon Purus enables zero emission mobility for a cleaner energy future. The company is a world leading provider of hydrogen Type 4 high-pressure cylinders and systems, battery systems and vehicle integration solutions for fuel cell electric and battery electric vehicles. Hexagon Purus' products are used in a variety of applications including light, medium and heavy-duty vehicles, buses, ground storage, distribution, refueling, maritime, rail and aerospace.
Learn more at www.hexagonpurus.com and follow Hexagon Purus on X and LinkedIn.
