Topsoe has announced a revised strategic pathway for the development and commercialization of its solid oxide electrolyzer cell (SOEC) and derived technologies.

The announcement follows a Strategic Roadmap Review, announced in March 2026, focused on defining the path for industrial scale development and commercialization of SOEC technology in the context of the challenging market outlook for clean hydrogen in key markets.

Going forward, the company will seek to commercialize the SOEC and derived technologies through exploration of key partnerships, focused development activities and by demonstrating system and value chain reliability and performance through demonstration projects. In addition, Topsoe will prove commercial-scale manufacturing capabilities from its factory in Herning, Denmark, after which the factory will be hibernated until demand is robust.

All near-term SOEC manufacturing activities will be focused in Denmark. As a result, the company will not proceed with previously announced plans for a second SOEC factory in the U.S.

The revised strategic pathway implies a leaner Power-to-X business. Combined with a continued focus on reducing the cost base in light of the current general global market uncertainty, Topsoe intends to initiate an organizational restructuring that is expected to impact around 440 roles globally. This is anticipated to mainly impact the Power-to-X business, but also other global functions, primarily in Denmark. This includes contemplated redundancies, offshoring and vacant roles that will not be filled.

In Denmark, Topsoe will now start an information and consultation process with relevant employee representatives and will notify employees by end of May in line with Danish legal requirements.

When fully implemented, the restructuring is expected to deliver an annualized cost saving of DKK 450-550 million. The company expects one-off restructuring cost, including impairment of Power-to-X assets, in the range of DKK 3,500 - 3,900 million. The impairment and restructuring costs are expected to be treated as special items, the majority of which will be included in the financial results for the first half of 2026.

Topsoe maintains its full year revenue guidance of DKK 7,600 - 8,400 million. The EBIT before special items margin guidance is revised to 4.0-9.0% from 0.0-5.0%.

Elena Scaltritti, CEO of Topsoe, said, “The slower than expected development in targeted clean hydrogen markets, combined with global market uncertainty and general hesitation in the markets we serve, means that we must respond actively to stay profitable and competitive. Unfortunately, we expect that this will impact many dedicated and talented colleagues who have made significant contributions to our company. It is a tough but necessary decision to strengthen our position in the new market reality.”

She continued, “Our commitment to being a technology leader in the energy transition remains. We will continue to prove the SOEC technology, progress its performance and align our investments with market development. We believe that e-fuels will be essential for a resilient, sustainable future, and our technology can be a strong enabler for that – already capable of delivering 30% more hydrogen for the same amount of scarce, valuable renewable energy input.”