Her Majesty the Queen has today recognised Aerofoil Energy with a Queen's Award for Enterprise in Innovation. The award is for the company's pioneering use of shelf-edge technology to improve the energy efficiency of display refrigeration, a feature of the food retail industry that accounts for three per cent of the UK’s entire consumption of electricity.

“We are honoured to have been recognised by Her Majesty with this award for our energy-saving technology and commercial success”, said Aerofoil Energy’s CEO, Paul McAndrew. “Open-fronted supermarket fridges are a great way to display food and make it easy for customers to choose, but they are very power-hungry. Our unique innovation, the Aerofoil, has provided our clients with a straightforward solution that significantly reduces the fridge’s power consumption whilst improving the convenience and comfort of the shopping experience.”

The Aerofoil product has achieved industry-wide adoption by UK supermarkets including Tesco, Sainsbury’s, Asda, the Co-op and M&S. Since 2016, Aerofoils have saved the sector ca. £100 million in energy costs and already avoided some 150 thousand tonnes of CO₂ emissions, savings that will continue to accrue year on year. The company is now expanding internationally to deploy its Aerofoil shelf-edge technology in the world’s largest bricks-and-mortar grocery retailers in Europe, the USA and Asia.

About Aerofoil Energy and ‘Aerofoils’

Aerofoil Energy was founded in 2014 to develop a truly innovative and scalable solution to a global problem. The company’s patented wing-shaped ‘Aerofoils’ are deployed in a vertical plane on the front of each shelf of a supermarket fridge. Instead of creating lift or downforce, as they would on an aeroplane or racing car, they have the effect of drawing the fridge’s cold air stream back into the cabinet, thereby preventing it spilling into the shopping aisle and wasting energy. The Aerofoil blades are manufactured by local businesses in the UK from 100% recycled aluminium and are completely recyclable.

About Queen’s Awards for Enterprise

The Queen’s Awards for Enterprise are the most prestigious business awards in the UK. Established in 1965, the awards celebrate the success of exciting and innovative businesses that are leading the way with pioneering products or services, delivering impressive social mobility programmes or showing their commitment to excellent sustainable development practices.

In 2019, the UK Government passed legislation committing it to bringing greenhouse gas emissions to net zero by 2050. The first major economy in the world to do so, the UK increased its target from the original 80% reduction on the recommendation of the Committee on Climate Change, the UK’s independent climate advisory board. The net zero target has been embraced by many companies in response to their stakeholders’ increased focus on tackling climate change.

One company helping to make this target a reality is Aerofoil Energy, whose technology has proven to be a game-changer for supermarkets and their refrigeration assets. We spoke with the company’s Commercial Director, Nicholas Burke, to find out more about Aerofoils and understand the impact they are having on the grocery retail sector.

Open-fronted multi-deck fridges – those typically seen in supermarkets – employ a curtain of refrigerated air blown down across the open front of the shelves in order to maintain the contents at a consistent target temperature. However, much of this cold ‘air curtain’ spills out of the front of the cabinet and into the store aisles. Not only is this wasteful from an energy perspective, but it also causes ‘cold-aisle syndrome’ with a consequent negative impact on the customer.

“In simple terms, we deploy Aerofoils on the edge of each shelf in this moving current of cold air, and instead of creating lift or downforce as they would on an aeroplane or racing car, they have the effect of drawing the cold air stream back into the fridge” says Nicholas.  “About 70% of the energy consumed by open-fronted fridges is for generating and maintaining the air curtain, and so by controlling it with Aerofoil technology and preventing it from spilling from the cabinet, we can significantly improve energy efficiency, at the same time creating warmer aisle temperatures.”

The concept of using Aerofoils in this way was invented by Paul McAndrew, Aerofoil Energy’s founder and CEO. Coming from a background in engineering and refrigeration, Paul realized that the problem with open-fronted fridges was aerodynamic in nature. Shortly after setting up the company in 2013, he started a collaboration with Williams Advanced Engineering (WAE), which was then part of the Williams Formula 1 Group.  Nicholas explains the rationale:

“My brother Matthew, a member of WAE’s leadership team, was scouting for early-stage ventures in the technology space that Williams could partner with, bringing to bear its expertise in areas such as computation fluid dynamics, materials fabrication, prototyping and testing.  Matthew set up a partnership with Aerofoil Energy in 2014 with the objective of modelling and refining the profile of the Aerofoil blade and enhancing its performance in readiness for testing in a store environment.  At that point, I joined in to source funding.”

Nicholas’ original role was as lead angel and between 2015 and 2018 he arranged four rounds of funding for Aerofoil Energy.  Previously working with the investment banking arm of the World Bank Group, Nicholas had a wealth of experience evaluating early-stage ventures, which helped the company prepare for new investment and speeded up the process of raising money. Recalling the early rounds, Nicholas says:

“Our first challenge was to raise enough money to finance the early prototyping and testing, but also to establish a suitable corporate structure that could support further investment and an ongoing research and development programme.  We only raised a modest amount of equity capital in the first instance, sourced from just four of us; my brother, myself and two friends.”

“The company’s rapid transition from technology development to full commercialization enabled us to reach profitability quickly.”

Utilizing his own experience and the resources available online, including those provided by UKBAA, Nicholas maintained his lead role in subsequent rounds, building on the success of the first round and funding key stages in the development and commercialization of the company’s technology.

“The purpose of the second round in 2016 was to fund the cost of prosecuting our primary patents, and to support our business development efforts within the UK.  By that time the Aerofoil story had captured the imagination of friends so there was no shortage of interest when we solicited new investment. This enabled us to broaden our investor base in the second round, albeit still from individual contacts.”

Subsequent rounds were all about building up company resources to manage the manufacturing and operational logistics for delivering the Aerofoil product at commercial volumes.  The company won its first major contract with Sainsbury’s towards the end of 2017 and proceeded to roll out Aerofoil technology to around 1,400 stores.  Following close behind were contracts to retrofit the estates of Asda, Marks & Spencer, WH Smiths, Boots and SSP, as well as ongoing work with the Cooperative Group for their new stores.  Tesco is the latest grocer to have rolled out Aerofoils across its stores in the UK, Ireland and Asia.

“The company’s rapid transition from technology development to full commercialization enabled us to reach profitability quickly.  Consequently, we haven’t needed to raise a significant amount of capital overall and have not tapped the institutional market.  That’s not to say that we wouldn’t have benefitted from the extra discipline that an institutional investor could have brought to the table, though we’re fortunate to have built an excellent management team through our own network.  We’ve also established a very proficient operations team, which handles all the manufacture, supply and installation through sub-contracting.  Although we are a technology company at heart, we’ve become rather good at logistics too.”

As Aerofoil Energy’s Commercial Director, Nicholas is responsible for guiding the company’s growth strategy and overseeing the commercial partnerships being put together for their overseas operations. Thankfully for Aerofoil Energy, the global pandemic hasn’t caused too much of a headache given that supermarkets are one industry that has been able to stay open and operate throughout. Discussing the year, Nicholas comments:

“I wouldn’t say the pandemic has had a significant impact on us. However, we have had to work around the challenges that the virus has presented, for example our need to write a completely new set of Risk Assessment and Method Statements for any work we conduct in stores, not to mention coordinating Aerofoil installations at night-time, when many of our clients were busy re-stocking depleted shelves following the initial bout of panic-buying.  But overall we’ve had another profitable year and we’re enormously thankful for that.”

With the company having installed its technology in around 80% of the addressable market in the UK, it now has its sights set on international opportunities as well as commercializing further energy-saving technology coming out of its R&D programme. Nicholas shares:

“We’re progressing our business in the US and are in advanced trials with major grocery chains there including Walmart.  Asia, Australia and Europe are also target markets for us, and Aerofoil technology is in the trial phase with retailers in these territories.  Importantly, our profitability has also given us the flexibility to accelerate our ongoing development efforts. In 2017, we set ourselves the objective of making an open-fronted multi-deck fridge perform as well as one with a glass door. Impossible as this might seem, we’ve actually achieved it through several aerodynamic design modifications that manufacturers can apply to new cabinets. We expect these super-efficient fridges to start appearing in supermarkets in the near future.”

Reproduced from UKBAA blog 21st December 2020 - see https://www.ukbaa.org.uk

The award acknowledged the significant steps we have made to bridge the gap between an unsustainable present and a more sustainable future. It recognised the significant contribution that Aerofoils have on sustainability and in achieving a positive impact on current environmental issues and challenges.

When the BusinessGreen Leaders Awards launched in 2011, fossil fuels were the UK's dominant source of energy and environmental issues were a niche concern for most politicians, businesses, and voters. Now, thanks in no small part to the hundreds of companies the awards have recognised over the years, low carbon technologies dominate the UK grid, environmentalism has captured the zeitgeist, and the UK has become the first major economy to set itself on a course to achieving net zero emissions.

These are the UK's most prestigious green business awards, providing e a platform for the country's most innovative, important, and inspirational organisations.

Nick has a background in investment banking and project finance. In 2015 he was one of four angel investors in Aerofoil Energy, a technology start-up in the energy efficiency space, which now has clients including Sainsbury’s, M&S, Asda and Tesco. As Commercial Director Nick now oversees the company’s growth strategy, investor relations and marketing.

What was the inspiration for your company?

We established Aerofoil Energy in 2013 to promote technology to improve the energy efficiency of supermarket refrigeration. The food retailing industry in the UK accounts for about 3% of the country’s total electrical energy consumption. More than half of the energy required to run supermarkets and convenience stores is used to power the cold chain. The open-fronted multi-deck cabinet is the chief consumer and tends to be the most common type of fridge you’ll see in a UK store. Hence, there was significant scope for energy savings and associated CO2 reductions by tackling inefficiencies in these cabinets.

And what is the vision going forward?

So far, we have installed 1.4 million Aerofoils in 4,000 supermarkets, convenience stores and food-to-go outlets. This includes the UK’s largest retailers, such as Tesco, Sainsbury’s, Asda, M&S, Coop, Boots and WHSmith. Together, they are saving 150 million kg CO2 emissions each year, and this figure will increase as more grocers adopt Aerofoils going forward. Indeed, the next phase of our strategy is to roll out the technology across major retailers in North America, Europe, Asia and Australia, and we are currently engaged in store trials across all these regions.

Innovation remains a key part of our business, and we have developed further technology to enhance the energy and temperature performance of commercial fridges. In 2017, we set ourselves the objective of making an open-fronted multi-deck fridge perform as well as one with a glass door. Impossible as this might seem, we’ve succeeded through a combination of new technology and aerodynamic design modifications that manufacturers can apply to new cabinets. We expect these to start appearing in supermarkets in the near future.

What challenges has the current pandemic brought and how are you overcoming them?

Our head office is based in Cheshire and houses our operations and logistics team, whilst some of our management and Board members are located in the south. So we’ve been used to working together remotely for some time. Our transition to home-working has, thankfully, been relatively straightforward. All of our products are manufactured in the UK within 40 miles of our head office. Although our suppliers have all been affected by the pandemic, our proximity and long-standing relationships with them have kept our respective businesses functioning without too much interruption. Relying on overseas manufacturing would, I fear, have had far more serious consequences.

“Even though things have since calmed down,
the way of working for each of us has changed dramatically.”

Whilst our clients, the supermarkets, have continued to trade throughout the crisis they too have faced significant challenges, especially in the initial stages of the pandemic when there was widespread panic-buying. Even though things have since calmed down, the way of working for each of us has changed dramatically. We have had to write a completely new set of RAMS (Risk Assessment and Method Statements) for any work we conduct in stores under the “new normal”. Interestingly, the application of Aerofoils as an alternative to glass doors on fridges has, in effect, removed a high-frequency touch point for shoppers, which is one of many considerations that retailers are now having to address.

Aside from the profound impact of the pandemic itself, we are aware of the risk that it detracts from the global agenda on climate change, which remains another major threat to society in the medium-to-long term. Our business is helping retailers to work towards their individual climate change targets, for example Sainsbury’s ‘Net Zero’ and Walmart’s ‘Project Gigaton’. We hope, therefore, that pressure to follow through on these commitments is maintained, be it through legislation or consumer choice.

Reproduced from LMH News, an Oxford University alumni publication

Highlights:

• Over half-a million Aerofoil sales in 2019
• Aerofoils now in five of largest UK food retailers
• Aerofoils awarded 2019 ‘Refrigeration Product of the Year’
• Established our own testing laboratory to replicate real-world store conditions
• Net assets of over £4m and debt-free
• Continuing strong operating cashflow

Tesco and M&S joined the list of UK grocers adopting Aerofoils

Early in the year, we completed the final phase of the Sainsbury’s roll-out of Aerofoils and delivered materials for the supply-based contract with M&S.  In Spring 2019, Tesco awarded us the contract to retro-fit Aerofoils across their estate, which we recently completed over three phases.  We also supply Aerofoils to OEMs for installation on our clients’ new cabinets, which adds an increasingly important dimension to our overall business.

Our project pipeline is driven by trials in the UK and internationally

We continue to trial Aerofoils with UK retailers, but have also expanded our geographic reach to test the technology with grocers in North America, Europe, the Middle East, Asia and Australia.  Advanced trials of Aerofoils with a large global retailer is showing encouraging results both in terms of energy savings and reduced product shrink (i.e. need to discount or dispose of product prematurely).

Our own laboratory facility is helping to accelerate technology development

In August 2019 we established our own testing facility at Williams Advanced Engineering.  This gives us more flexibility in our Vortex technology development programme, because we can fabricate and modify components on site and run energy-monitoring tests on a much faster timescale.  It also allows for a seamless transition from the virtual world of CFD (computational fluid dynamics) models to testing in our real-world environment mimicking typical store conditions.

In 2019 we bolstered our operational capacity with new staff

Our operational team now includes additional project management and administrative capabilities, to help us deliver on current and future manufacturing and installation logistics, domestically and overseas.  More recently, we recruited a Product Design Engineer, which will give us in-house CAD (computer-aided design) capacity and engineering solutions for the broad range of cabinet types that we are now trialling for Aerofoil and Vortex technology.  Our profitability has enabled us to grow our staff resource to a level that will support our business development and operations going forward.

Despite the challenges presented by Coronavirus, 2020 has seen encouraging progress with prospective new clients

Our project management and installation teams adapted quickly to the demanding conditions of working in a Covid-compliant store environment.  With their expertise, Aerofoils are now installed in over 4,000 stores globally.  We have succeeded in building a reputation as a reliable and trusted partner, and the breadth and depth of our existing and prospective client base provides an excellent spring-board for our continued growth and profitability.

Sainsbury’s is fitting its 400,000th Aerofoil to fridges in its new Battersea Park Station store today, meaning all of its convenience stores and supermarkets are now fitted with the innovative energy saving technology.

The news follows Sainsbury’s announcement in January 2020 where it pledged to invest £1 billion over the next 20 years to become a Net Zero business in its own operation by 2040 – 10 years ahead of UK government legislation.

Pioneers of the innovative technology, Sainsbury’s was the first supermarket to install Aerofoils in 2017. After undertaking extensive research into the positive impact Aerofoil fitted fridges would have on energy reduction, Sainsbury’s made the decision to roll them out across convenience stores and supermarkets, and as a result has seen a 15% energy reduction from its fridges across the estate.

The technology has been created by Aerofoil Energy and Williams Advanced Engineering, a technology and engineering services business and part of the Williams F1 Group.

Initially created to divert air over and around race cars to allow them to maximise performance , in store it helps prevent cold air from leaving the cabinet, directing it back into the fridge. This saves energy, keeps aisles warmer and reduces food waste, by maintaining products at their optimal temperature.

The fitting of the one millionth Aerofoil in the UK in the Sainsbury’s Battersea Park Station store marks a huge milestone in cutting carbon emissions. Each year, Aerofoil equipped fridges in Sainsbury’s deliver carbon savings of 8,783 tonnes of CO2e

As part of its £1 billion investment to become Net Zero by 2040, Sainsbury’s will see changes focusing on reducing carbon emissions, food waste, plastic packaging and water usage, and increasing recycling, biodiversity and healthy, sustainable lifestyles.

The retailer’s current carbon footprint is one million tonnes, which is a 35% absolute reduction in the last 15 years despite its space increasing by 46% over the same time frame. For the last six years Sainsbury’s has been awarded an ‘A’ grade listing for taking action on Climate Change by the CDP (Carbon Disclosure Report), the highest rating of any UK supermarket.

Dave Merefield, Carbon, Utilities and Engineering Manager at Sainsburys says: “We’re committed to becoming a Net Zero business by 2040 and have already begun to make headway by investing substantial time, research and money into different areas that can help us achieve this goal – including the fitting of the pioneering Aerofoil technology.

Since rolling out Aerofoils, we’ve seen a 15% reduction in energy created from fridges across our estate, and over the next few years we’ll continue innovating and investing in technology to help us combat climate change.”

Craig Wilson, MD at Williams Advanced Engineering says:
“We are delighted to be part of the millionth Aerofoil installation at Sainsbury’s; particularly as they were the first high street retailer to trial Aerofoils in 2017 and it is satisfying to see how this F1 inspired technology is supporting Sainsbury’s Net Zero 2040 commitment.”

Paul McAndrew, Founder and CEO of Aerofoil Energy says:
“Sainsbury’s endorsement of Aerofoils has established this unique product as the industry gold standard in energy saving technology. As one of the fastest-growing “green tech” companies in the UK, it’s great that Aerofoil Energy has been part of Sainsbury’s drive towards a more sustainable retail future.”

The powerful GreenBiz 20 community of more than 1,500 sustainability leaders - from business, government, academia and NGOs - convened in Scottsdale, Arizona this February to explore the latest sustainable business trends. Aerofoil Energy featured its shelf-edge technology for supermarket refrigeration, enabling retailers to reduce product waste through avoiding shrink, as well as saving energy and lowering their carbon footprint.

The contract represented another major endorsement of Aerofoils in the grocery sector and another iconic retail client for Aerofoil Energy.  M&S viewed the project as an opportunity to make radical reductions to its energy bill and CO2 emissions, as well as improving aisle temperatures for its colleagues and customers.

As part of the programme, M&S deployed three new technologies from Aerofoil Energy’s Vortex development project.  Aerofoil Energy firstly created the ‘micro-Aerofoil’ to accommodate M&S’ own ticketing specifications, as well as providing an enhanced visual impact and improved customer journey.  M&S also adopted Aerofoil Energy’s patented ‘Aerosteer’ product, which improves the coherence of the fridge's cold air curtain at its origin.  The third innovation for the project was Aerofoil Energy’s snap-fit bracket, which is installed securely in seconds and has saved M&S significant logistical costs during the roll-out process.

Programme Benefits:

Based on earlier successful trials, M&S set exacting targets for energy reduction and heightened expectations for other benefits such as warming up the store aisles for colleagues and customers.  Having now been installed across 505 M&S stores, Aerofoils have delivered a reduction in CO₂emissions of over 3,500 tonnes per year and an average increase in aisle temperature of 1.8 degrees Celsius.

Sacha Berendji, Retail, Operations and Property Director of M&S, said: “We set ambitious objectives for the Aerofoil project in terms of reducing the energy consumption and associated environmental footprint of our food stores.  Aerofoils significantly outperformed alternative shelf-edge technology in our laboratory trials and we are seeing energy savings in practice that are fully in line with expectations.  The Aerofoil roll-out has also led to significantly higher aisle temperatures, improving the store environment for both our colleagues and customers.  Overall, we are delighted with the technology and our ongoing relationship with Aerofoil Energy.”

Paul McAndrew, CEO of Aerofoil Energy, said: “That Aerofoil Energy’s technology saves a significant amount of energy is now acknowledged across the retail sector.  What is particularly pleasing about the M&S project is the great feedback about the positive impact that Aerofoils are having on the store environment for staff and shoppers alike.  We are continuing our collaboration with M&S as part of our Vortex future-fridge technology project, which will deliver further energy solutions for its refrigerated estate and an even better experience for customers.”

With Aerofoils now installed or being installed in ca. 70% of the UK’s supermarkets, the award recognised the magnitude of the impact that the technology is having on energy efficiency in the UK grocery sector.

Paul McAndrew (CEO) and Nicholas Burke (Commercial Director) received the award from the event sponsors. Paul said “It’s great that Aerofoils continue to be acknowledged as the gold-standard in shelf-edge technology. As well as the endorsement we receive from our ever-increasing list of UK and international clients, we’re thrilled that the RAC judging panel see Aerofoil Energy as leading the field in developing energy efficiency solutions for supermarket refrigeration.” Nicholas added “Inevitably, our pioneering shelf-edge technology has spurred others into fashioning their own interpretations. This award confirms beyond any doubt that Aerofoils remain the best-in-class.”

Aerofoil Energy has already installed its technology in Sainsbury’s, ASDA, M&S, WH Smith and Boots, and is embarking on a roll-out of Aerofoils in Tesco. Overseas, it is in advanced trials with major US and Asian retailers. In addition to Aerofoils, the company’s Vortex project has developed other technical innovations that are showing energy savings of up to 58% on a standard open-fronted multi-deck.

The results of the RAC Cooling Industry Awards were revealed on 25th September at the esteemed London Hilton, Park Lane, London, where almost 500 of the refrigeration and air conditioning industry elite came together for a night of recognition and celebration of the sector’s achievements.

Aerofoils were awarded the 2019 Refrigeration Product of the Year, along with a special commendation in the Low Carbon category. Judges were impressed by this innovative product with an on-going impact on energy reduction and safety.

With 20 targeted categories, the awards cover every aspect of the refrigeration and air conditioning industry, from Retail Initiative to Cold Chain Innovation / Project. Now in its 15th year, the RAC Cooling Awards are widely considered the most authoritative awards in the refrigeration and air conditioning industry.

RAC Editor Andrew Gaved said: “Once again the industry has surpassed itself with its innovation, commitment and drive, in the face of all kinds of Brexit turbulence. On top of that our winners have all had to justify their achievements in the heat of our face-to-face round too, so they should be rightly proud. Let’s face it, we make it tough – but it’s what makes the Cooling Awards so sought-after."

Tesco is joining forces with UK technology company Aerofoil Energy to transform the performance of refrigeration cabinets in its stores via the application of Formula One-derived aerodynamics. The roll-out of Aerofoils in Tesco supermarkets throughout the UK and Ireland represents the largest adoption of shelf-edge technology to date.  Tesco will go one step further by adopting Aerofoil Energy’s Vortex technology for its new fridges, delivering energy and carbon emissions savings to rival that of cabinets with glass doors.

Open-fronted fridges are a large consumer of power in supermarkets.  The Aerofoil, from Aerofoil Energy, uses aerodynamics developed with Williams Advanced Engineering to guide cold air more efficiently down the front of the fridge. This stops cold air being lost from the cabinet, resulting in lower energy use, fewer carbon emissions and warmer aisles in stores.

Vortex is the future-fridge technology project of Aerofoil Energy.  Using advanced Computational Fluid Dynamics modelling with technical partner Williams Advanced Engineering, Aerofoil Energy’s Vortex technology delivers enhanced energy and temperature improvements, and is applicable to both existing and new-build refrigerated cabinets.

Paul McAndrew of Aerofoil Energy said “Rolling out Aerofoils across an estate the size of Tesco’s will have a tangible impact on energy consumption at a national level and confirms Aerofoil Energy as the number one choice for shelf-edge technology.  But that’s only half the story – adopting our Vortex technology for Tesco’s new-build cabinets will set a new standard for energy and temperature performance in supermarket refrigeration.”

The Aerofoils are manufactured in Britain from 100% recycled aluminium, which itself is a fully recyclable material.  Overall, the adoption of Aerofoils delivers significant benefits for retailers from a sustainability perspective and will make wide-ranging positive contributions to Tesco’s environmental goals.

“The team at Williams Advanced Engineering welcomes the adoption of Aerofoils by Tesco, applying Formula One-derived aerodynamics technology into their stores,” said Craig Wilson, Managing Director of Williams Advanced Engineering.  “Our mission is to deliver inspired engineering for a sustainable future and it is great news to see the adoption of this technology by such a respected global retailer.”

Financial Highlights:

• Turnover increased from £0.6m to £8.9m
• Net assets over £3m and debt-free
• Strong operating cashflow

Operational Highlights:

• Over half-a-million Aerofoil sales in the year
• Aerofoils now installed in over 2,500 UK stores
• First nationwide roll-out completed for Sainsbury’s
• Now engaged with over 20 retailers internationally
• New products from Vortex development pipeline

Our client list now includes many of the UK’s largest grocers and retail chains...

The roll-out of Aerofoil and Vortex technology to nearly 1,400 Sainsbury’s stores commenced in February 2018, and completed successfully in March 2019. Other substantial orders followed including from Asda, several Cooperative societies, Boots, SSP and WH Smiths. More recently, M&S and its franchisors commenced a programme to install our technology in some 800 stores. We also launched trials with Tesco and other UK grocers, as well as Walmart in the USA and Canada. In total, Aerofoils are now installed in over 2,500 stores across the UK.

Major roll-out contracts resulted in rapid sales growth...

In the year to 30 November 2018 we sold over 500,000 Aerofoils and recorded turnover of £8.9m.† Our net assets now exceed £3m and we are debt-free, having funded our growth organically and with the support of shareholders. Our financial stability gives us freedom to accelerate our product development pipeline, expand our client base, and finance major roll-out projects from internal resources. With such agility, we can move quickly and our clients can take every confidence in our operational and financial capacity to deliver.

We continued to innovate and enhance our suite of energy-saving technologies...

Approximately 70% of a multi-deck’s energy consumption is influenced by the effectiveness of the air curtain. This has therefore been the focus of our attention, recognising that this is where the major gains in energy efficiency are achieved. On this front, Aerofoils are just one of a suite of energy-saving Vortex technologies that we developed in 2018. All are designed with merchandising a priority: they look great, are easy to install, perform exceptionally well, and have a positive impact on store colleagues and customers.

Our team demonstrated class-leading experience in design, operations and logistics...

We leveraged our technical partnership with Williams Advanced Engineering by adding in-house design and engineering expertise with specific industry relevance. We have also bolstered our project management and logistics capacity, enabling us to deliver major client contracts whilst maintaining hands-on control over the quality of materials and integrity of installations. Through our contracting partners, we now have Aerofoil-trained technicians distributed throughout the UK. This attention to detail enabled us to complete the Sainsbury’s roll-out with flawless results.

Further innovation and growth is planned for 2019...

With our experience in technology innovation and our logistics capability, we have established ourselves as the leader in energy-efficiency solutions for retail refrigeration. 2019 will mark the release of new technology, further growth and wider customer engagement both domestically and internationally. Darren Shapland, Chair of Aerofoil Energy, said “The company succeeded in meeting its 2018 targets, and I would like to thank our shareholders for their loyal support during the development phase and trialling of Aerofoil technology. We have set ambitious growth targets for the business in the coming years and I look forward to reporting positive progress.”

† Based on unaudited accounts to 30 November 2018. Accounts will be lodged with Companies House in due course.

Aerofoil Energy is delighted to announce the successful completion of its estate-wide roll-out of Aerofoils across Sainsbury’s UK stores. The multi-phase project represents the industry’s biggest commitment to date to shelf-edge technology, establishing Aerofoils as the gold-standard.

Download a case study of the project for more information.

In adopting Aerofoil Energy’s market-leading fridge shelf-edge technology, WHSmith is set to make transformative energy and carbon emissions savings, while significantly improving the retail experience for its customers. WHSmith is one of the UK’s most recognisable retail brands. Created in 1828, it now operates 1,200 stores across the UK and is increasing its international presence across Europe, Australia, South East Asia, India and the Middle East.

Paul McAndrew, Aerofoil Energy CEO said, “We are delighted that WHSmith has chosen Aerofoil to capitalise on the substantial benefits that our technology will bring to its retail estate. Our customers enjoy savings of up to 30% on refrigeration energy costs through this straightforward, cost-effective and retrofittable solution.  By adopting Aerofoils WHSmith becomes one of our truly global clients and we are excited to see Aerofoils appearing around the world as we roll out our technology into WHSmith stores."

Ignite Energy conceived and implemented successful trials of Aerofoils in several WHSmith stores in the UK, paving the way for the adoption of the technology into the retailer’s existing estate as well as within new cabinet orders going forward. Ignite Energy and WHSmith have a successful long-term partnership that has allowed them to reduce energy consumption significantly and provide better visibility of energy usage across the business. Projects implemented have covered a wide variety of technologies targeting energy reduction in lighting, refrigeration and HVAC.

In their present design, open-fronted refrigerators lose significant amounts of cold air, creating inefficiencies that demand increased energy use. The Aerofoil is influenced by Formula One aerodynamics from Williams Advanced Engineering, and helps guide cold air down the fridge more efficiently, meaning substantially less is spilt from the cabinet, resulting in lower energy use, fewer carbon emissions and warmer aisles in stores.

Clare Meehan, Head of Stores and Supply Chain Finance at WHSmith said, “Fitting Aerofoils across our retail estate will make a major contribution to our corporate responsibility programme, most importantly by lowering our energy consumption and related emissions, but also by improving product quality and reducing product waste.”

Scotmid Development Project Manager David Greenshields said: “By lowering our energy consumption, Aerofoils will make a significant contribution to our target reduction in gross emissions of 30% by 2020. Aerofoils are therefore a major component in our corporate environmental strategy.”

The initiative is led by Impact Shopfitting, who specified aerofoil technology for the retailer after excellent feedback from store trials. Impact will manage the installation of aerofoils in Scotmid’s 186 convenience stores across Scotland and the North of England.  Derek Wilson, Operations Director for Impact Shopfitting, said: “Scotmid have had aerofoils installed in several locations for some time now, and we were impressed by their robustness and customer-friendly aesthetics, in addition to their energy performance.”

Aerofoils were conceived and developed by Aerofoil Energy in conjunction with Williams Advanced Engineering, part of the Williams Group that includes the Formula One racing team. They prevent cold air from spilling out of the refrigeration cabinet, resulting in lower energy use, fewer carbon emissions and warmer aisles in stores.  Paul McAndrew, Aerofoil Energy Ltd CEO said: “Scotmid joins our rapidly growing list of UK and international clients that are benefiting from aerofoil technology.  Our customers enjoy savings of up to 30% on refrigeration energy costs through this straightforward, cost-effective and retrofit solution.”

Aerofoil Energy worked closely with Williams Advanced Engineering to refine the original Aerofoil concept, using Williams’ proven expertise in aerodynamic design and testing from four decades of success in Formula One racing. The aerofoil product has won multiple awards recognising its innovative nature and was most recently a finalist with the Royal Academy of Engineering for their MacRobert Award, the UK’s most prestigious and longest-running engineering prize.

About Scotmid Co-operative

Scotmid Co-operative is Scotland’s largest independent co-operative and has been at the heart of local communities since 1859. It operates around 300 retail outlets across Scotland, Northern Ireland and the North of England. Its businesses include Scotmid Food, Semichem, Funeral Directors, Post Offices and a property division.

For more information see https://www.scotmid.coop/about-us/

About Impact Shopfitting Ltd

Impact Shopfitting are experts in refrigerated cabinet installation, refurbishment and fabric relative service works.

For more information see https://www.impactshopfitting.com/what-we-do

SSP operates an extensive portfolio of more than 500 international, national, and local brands, with a presence in 33 countries around the world. In adopting Aerofoil Energy’s proven refrigeration technology, SSP is set to make transformative carbon emissions savings, while significantly improving the retail experience of its customers across stores in the UK, Ireland, France and Germany.

The Aerofoil is influenced by Formula One aerodynamics from Williams Advanced Engineering, and helps guide cold air down the fridge more efficiently, meaning substantially less is spilt from the cabinet, resulting in lower energy use, fewer carbon emissions and warmer aisles in stores. Results from existing client adoption of Aerofoils suggest that SSP stands to reduce consumption by c.20% on refrigeration energy through this simple, cost-effective and retrofittable solution.

Ignite Energy conceived and implemented successful trials of Aerofoil in several SSP-operated stores in the UK, paving the way for the adoption of the technology more widely. Ignite Energy have been working with SSP since 2014, helping them to drive their sustainability agenda and make their business more efficient. Projects implemented have covered a wide variety of technologies targeting energy reduction in lighting, refrigeration and HVAC, across different SSP brands in multiple countries.

Sukh Tiwana, SSP’s Group Commercial Director, added, “The electricity and gas used to power our units continues to make up the largest part of our carbon footprint. Aerofoils are therefore central to our sustainability agenda for the UK and internationally. The technology also brings improvements to product temperatures, which will help us reduce shrinkage and food waste, another key component of our environmental strategy.”

Paul McAndrew, Chief Executive of Aerofoil Energy, said “This order represents a further significant endorsement of aerofoils from a leading global retail company, and will showcase our technology across a truly international arena. No matter what mode of transport SSP customers will be using, it’s great to know that a Formula One-inspired wing will have played a role in delivering them a better travel experience.”

About SSP

SSP is a leading operator of food and beverage concessions in travel locations, operating restaurants, bars, cafés, food courts, lounges and convenience stores in airports, train stations, motorway service stations and other leisure locations. With over 50 years of experience, it has more than 37,000 employees, serving approximately one and a half million customers every day. It has business at approximately 140 airports and 280 rail stations, and operates more than 2,600 units in 33 countries around the world.

SSP operates an extensive portfolio of more than 500 international, national, and local brands. Those receiving Aerofoils include M&S, Café Ritazza, Millies Cookies, Starbucks, Camden Foods, Upper Crust and Spar Express.

For more about SSP Group plc see https://www.foodtravelexperts.com/international/

About Ignite Energy Ltd

Ignite Energy are experts in energy management for large businesses, offering a total solution for organisations looking to reduce their energy cost and consumption. Working with several household names; including SSP, New Look, Pets at Home, WH Smith and Halfords, Ignite have an established track record of achieving excellent financial and environmental savings for clients.

For more information see https://www.igniteenergy.co.uk

Open-fronted fridges are the largest consumer of power in stores and after extensive laboratory and store trials, M&S has seen proven energy savings from Aerofoils, with the added benefit of a more comfortable temperature for customers and colleagues. Results from existing client adoption of Aerofoils prove that customers can save up to 30% on refrigeration energy costs through this straightforward, cost-effective and retrofittable solution.

Paul McAndrew, CEO of Aerofoil Energy, said: "Aerofoil Energy is delighted to be working with such an internationally iconic brand in food retail as M&S. This was a very interesting development project for us, because M&S has its own bespoke refrigeration cabinets. The whole design process required close collaboration from the Aerofoil team with M&S to arrive at the most favourable and energy-efficient solution. As a result of this relationship, M&S will deploy three new technologies, taken from our Vortex project, that together have enhanced the performance and aesthetics of Aerofoils."

Ian Moore, Head of Store Development at Marks and Spencer, said: "We're excited to be collaborating with Aerofoil Energy to reduce the energy consumption and environmental footprint of our stores. This technology will also help us offer a better shopping experience for customers by improving the temperature in our aisles."

About Aerofoils and Vortex:

The Aerofoil, from Aerofoil Energy, uses aerodynamics to guide cold air more efficiently down the front of the fridge, so that substantially less cold air is lost from the chiller unit, resulting in lower energy use, fewer carbon emissions and warmer aisles in stores.

As part of its Vortex project, Aerofoil Energy created the micro-Aerofoil to accommodate M&S' own ticketing specifications. This performs in the same way as the standard-sized Aerofoil, but with even more pleasing aesthetics for retailers with smaller price label dimensions. M&S will also adopt the patented Aerosteer product, which can be installed in situ and improves the coherence of the fridge's cold air curtain at its point of origin. This enables Aerofoils to be fitted even closer to the shelf-edge, further enhancing their visual impact for the consumer. Thirdly, Aerofoil Energy developed a robust, snap-fit Aerofoil kit that is installed securely in seconds, saving M&S significant logistics costs during the roll-out process.

Innovation Award Horizontal Innovation category

The IET Innovation Awards were founded in 2005 and recognise and reward the best new innovations in engineering, science and technology. These annual awards are open to all innovators, and industrial companies of all sizes, academic departments and enterprising individuals have won over the years. There are 15 categories, covering the breadth of the IET’s activities, and each category is independently peer-reviewed by a panel of experts in that field.

The object on display, made by Williams Advanced Engineering and Aerofoil Energy Ltd, won the Horizontal Innovation Innovation Award in 2016.

Open-fronted, multi-deck refrigerators that line the aisles of supermarkets consume excessive energy, primarily because of the open front. These fridges have a cold air curtain to make them safe. Much of this falls out and has to be continuously replaced.

Aerofoil Energy and Williams developed a retrofittable aerofoil that attaches onto each refrigerator shelf to retain more of the cool air. Aerofoils control the direction of air flow and are fundamental in the design of F1 cars to channel the flow of air and create downforce. The technology brings significant energy savings, reduces both carbon footprint and “cold aisle syndrome”.

John is highly respected as one of the most experienced and technically accomplished engineers in the refrigeration industry. In 2018 John was awarded the prestige RAC Gold Award for his lifetime contribution to tackling major environmental issues in the cooling and refrigeration industry. Following his career at the Epta Group, he has set up his own refrigeration consulting business, JAD ICE Ltd, and is advising OEM's and retailers on the latest HVAC technology, whilst continuing to support Epta Group initiatives.

Paul McAndrew CEO of Aerofoil Energy said

"Having John as our specialist technical advisor is a huge bonus for Aerofoil Energy. John brings unrivalled expertise and is one of the few people in the industry who command complete respect from OEMs and retailers alike. It's a great opportunity for us to accelerate our product development pipeline whilst benefiting from John's experience."

John Austin-Davies said

"During my years at Epta I have seen many new technologies emerging, including the products introduced by Aerofoil Energy where I have first hand test experience. It has been fascinating to see the technology grow into a market-leading energy solution now adopted by the top UK retailers. Aerofoils have been a game-changer in the refrigeration industry and I am looking forward to driving further technological innovation as part of the development team at Aerofoil Energy and Williams Advanced Engineering."

*Vortex is Aerofoil Energy's technology pipeline and has developed a suite of ground-breaking technologies that are already transforming the refrigeration industry. The Vortex team comprises highly-skilled experts with over 150 years of combined industry expertise, and deploys some of the world's most advanced R&D technologies including high-fidelity computational-fluid-dynamic modelling and independent EN23953 laboratory testing.

Boots UK Limited has a major food-to-go offering across its stores. Many of its fridges are fitted with glass doors, but aerofoils are now delivering energy savings to the customer-friendly open fridges best suited to narrow isles with high customer traffic.

We'll be fitting over 100 Boots stores with aerofoils by the end of 2018.

In the UK alone, nearly 2,000 supermarkets and convenience stores are already using aerofoil technology, making Aerofoil Energy one of the fastest-growing and innovative technology companies in the UK. The unprecedented success of aerofoil technology now enters a new phase with the launch of VORTEX.

What is VORTEX?

The team that invented aerofoils has again partnered with Williams Advanced Engineering to deploy some of the world’s most advanced R&D technologies, including high-fidelity computational-fluid-dynamic modelling and independent EN23953 laboratory testing. The VORTEX team comprises highly-skilled experts with over 150 years of combined industry expertise. They have been working quietly behind the scenes for the last three years on the VORTEX project and have developed a suite of ground-breaking technologies that are already transforming the refrigeration industry.

– That’s right, VORTEX technology is already here! –

We’ve already completed extensive laboratory and field trials, and this year Aerofoil Energy has installed VORTEX technologies in over 150 UK supermarkets. VORTEX is now being used in three major supermarket chains in the UK.

VORTEX technologies:

- virtually eliminate cold air spill from fridges;
- eradicate product hot spots; and
- significantly narrow temperature banding.

VORTEX technologies can therefore:

- reduce energy consumption by up to 52%;
- extend food shelf life, reducing food waste and associated revenue loss;
- create warmer aisles, increasing customer comfort whilst simultaneously lowering heating bills;
- reduce refrigeration duty and lower the cost of new plant; and
- provide a genuine alternative to glass doors.

VORTEX technologies can be retrofitted now to existing refrigeration estates. We have also worked closely with some of the world’s leading case manufacturers to ensure VORTEX technology can be applied to new-build fridges. VORTEX technologies make for a compelling investment case, and can deliver a negative payback period with savings going straight to the bottom line from day one.

British company Aerofoil Energy is in Atlanta to bring Formula 1-inspired technology to supermarkets in the US. At the Energy and Store Development Exhibition in Atlanta, Aerofoil Energy will show-case its innovative new device – the Aerofoil – developed in association with Williams Advanced Engineering (part of Williams F1). Attached to open-fridge shelves, Aerofoils direct cold air more efficiently down the front of the fridge, preventing it from spilling into the aisles. As well as saving up to 30% on energy costs and CO2 emissions, Aerofoils create a more pleasant customer experience. Available as retro-fit and for new-build cabinets.

Earlier this week, UK retailer ASDA (part of the Walmart family) announced plans to install Aerofoils across 187 of its stores. Confidential store trials are already under-way with several US retailers.

Paul McAndrew, Chief Executive Officer of Aerofoil Energy said: “Aerofoil is proving a great success in the UK. Taking an innovation from our company and combining it with the aerodynamic expertise at Williams, we are improving product shelf-life and significantly enhancing refrigeration efficiency. Aerofoil can thus pay for itself in just a few days, with energy improvements helping companies reduce their carbon footprint.”

Aerofoil-energy has won multiple awards in recognition of its innovative nature. Most recently, it was a finalist for the Royal Academy of Engineering’s MacRobert Award, the UK’s most prestigious and longest-running prize for engineering.

Supermarket Asda has today announced that it will install F1-inspired Aerofoils in 187 of its supermarkets, reducing energy consumption from refrigeration by an estimated 17% and slashing CO2 emissions.

Refrigerators are the largest consumer of power in supermarkets and, in their present design, lose significant amounts of cold air, creating inefficiencies that demand increased energy use. This leads to greater carbon emissions and colder aisles for shoppers.

Aerofoil, a new device from Aerofoil Energy, is influenced by Formula One aerodynamics from Williams and is similar in appearance to the rear wing of a Formula One car. It uses aerodynamics to guide cold air down the fridge more efficiently, meaning substantially fewer carbon emissions and warmer shops. Initial results from tests in the US also show an increased shelf life of produce, helping to reduce food waste.

“Like all the Walmart family, we’re committed to lowering our energy use, with a target of a 30% reduction in energy intensity by 2025 from our 2010 baseline, said Brian Churchyard, Senior Manager for Construction Design Standards at Asda. The rollout of Aerofoils, alongside other initiatives we’re undertaking, such as moving to 100% LED sales floor lighting this year, will significantly help us in achieving this target, as well as improving the shopping experience for our customers.”

Aerofoil has won multiple awards recognising its innovative nature and was most recently a finalist with the Royal Academy of Engineering for their MacRobert Award, the UK’s most prestigious and longest-running engineering prize.

“The teams at Williams and Aerofoil Energy are delighted that Asda has recognised the benefits that installation of the innovative Aerofoil device can deliver to the company and its customers,” said Craig Wilson, Managing Director of Williams Advanced Engineering. “Using state-of-the-art aerodynamic capabilities here at Williams we have worked with Aerofoil Energy to design and develop Aerofoil to deliver multi-million pound energy savings, tons of CO2 emission reductions and an improved climate in stores for shoppers.”

Aerofoil Energy worked closely with Williams Advanced Engineering to refine the original Aerofoil concept, using Williams’ proven expertise in aerodynamic design and testing from four decades of success in Formula One racing. Williams’ Advanced Engineering division uses computational fluid dynamics to model and simulate new designs before testing them at the Williams technical facility in Oxfordshire.

“It is great to see such a well-known and respected brand as Asda choosing to install Aerofoils,” said Paul McAndrew, CEO of Aerofoil Energy Ltd. “From an idea I had a few years ago, through working with Williams to refine and produce it, to now seeing Aerofoils in operation in supermarkets, this is a proud day for me and the Aerofoil team.”

The MacRobert Award is the UK's longest-running and most prestigious national prize for engineering innovation, recognising outstanding innovation, tangible societal benefit and proven commercial success. Originally founded by the MacRobert Trust, the Award is now presented and run by the Royal Academy of Engineering, with support from the Worshipful Company of Engineers.

Combining cutting-edge technology with four decades of success in Formula 1, Oxford-based Williams Advanced Engineering (WAE) has been working with Aerofoil Energy since 2015 to develop the Aerofoil shelf-edge technology. This aerodynamic device significantly reduces the energy consumed by refrigerators in supermarkets and convenience stores by ensuring that more of the cold air stays in the chiller.

Since January 2017, 130,000 Aerofoils have been installed in supermarkets and convenience stores, with a further 300,000 in production and planning. As of March 2018, Aerofoils have been fitted in over 1,000 stores and by the end of 2019 Aerofoils are expected to be fitted in nearly 3,500 stores.

MacRobert Award Judge Professor Ric Parker CBE FREng said: “In recent years the UK motorsport industry has focused on developing technologies that improve performance and energy efficiency without compromising the sporting spectacle. This vision is equally reflected in the application of motorsport technologies in other markets as in the Williams Advanced Engineering and Aerofoil Energy partnership – their innovative Aerofoils not only reduce energy consumption on supermarket refrigeration units, but also improve the customer shopping experience. The retro-fittable and unobtrusive Aerofoil may look simple, but it has been carefully engineered for maximum impact. It could potentially save supermarkets millions of pounds in refrigeration costs and help the UK reduce its carbon footprint. The partnership of one of the UK’s well-known names in the sector with a local micro-enterprise is also an inspiring business story. Sharing technical support as well as business acumen shows how all companies, big and small, can collaborate successfully.”

Craig Wilson, Managing Director of Williams Advanced Engineering said: “The team at Williams Advanced Engineering and Aerofoil Energy are delighted to have been recognised by the MacRobert Award for the innovation involved in Aerofoil and the positive impact it is making on the economy and the environment. Combining an innovative idea from Aerofoil Energy with our engineering and aerodynamic capabilities has enabled the product verification and engagement of leading supermarkets, delivering benefits for them and their shoppers for the long term.”

Paul McAndrew, CEO of Aerofoil Energy said: “It’s an honour for us to be through to the final three for the Royal Academy of Engineering MacRobert Award. This is a great partnership with Williams Advanced Engineering and it is delivering tangible benefits to our supermarket clients, the environment and consumers across the UK, with potential for worldwide application. We’re excited about where the future might take Aerofoil and hopeful for the final award decision soon.”

The nominated team members are:

• Matthew Burke, Head of Technology Ventures, WAE
• Ian Turner, Senior Aerodynamicist, WAE
• Phil Stanton, Chief Designer, WAE
• Christian Bedford, Head of Legal, WAE
• Paul McAndrew, CEO, Aerofoil Energy

The new energy saving technology helps to chill food to the same temperature whilst making the aisles warmer for customers.

The aerofoils, which will be introduced in aisles stocking products such as cheese, yoghurts and meat, will account for an energy reduction that equates to over 320M+ kettles boiled and 360M+ toaster pops-ups.   The fridges will remain at the same temperature to keep food cool and fresh, however the aisles will be warmer for customers by up to 4°C – helping to make the shopping experience more comfortable for customers. 

The state-of-the-art aerofoil technology, which borrows from the fast-paced world of Formula 1, prevents cold air from the fridges spilling out into the aisle by steering it directly back down into the fridge unit. The principle for the technology replicates aerofoil design with an aerodynamic ‘profile’ that redirects air flow, similar to those seen on cars. The aerofoil system is attached to the front of the refrigerator unit shelves to keep more of the cool air inside the fridges in the cold aisle of a supermarket.

The new fridge technology will be installed across the Sainsbury’s estate by the middle of 2018 and Sainsbury’s will be the first retailer to retrofit the technology on such a large scale.

Paul Crewe, Head of Sustainability, Sainsbury’s, said; “By keeping the cold air in our fridges using this technology, we’ll see an energy reduction of up to 15% which, when multiplied across all of our stores is a significant amount of energy saved.  By looking outside of our industry, and borrowing technology from an industry that is renowned for its speed and efficiency, we are accelerating how we are reducing the impact on the environment whilst making shopping in Sainsbury’s stores a more comfortable experience.”

Craig Wilson, Managing Director of Williams Advanced Engineering, added; “Our collaboration with Aerofoil Energy is a perfect example of how Formula One derived innovations can have a tangible benefit to the general public, and the environment. This technology has global potential and, the extensive tests we have carried out with the support of Sainsbury’s, have shown the significant savings in operational costs and emissions are extremely promising.”

Williams Advanced Engineering, the division of Williams that commercialises Formula One derived innovation and expertise, has created the technology in collaboration with UK start-up Aerofoil Energy.

Paul McAndrew, Managing Director of Aerofoil Energy commented, “Bringing a new technology to market is extremely challenging, but we have been fortunate to have a great partner in Williams Advanced Engineering and the support of Sainsbury’s. This announcement of a mass scale roll-out of our technology across Sainsbury’s signals the successful conclusion of several years of extensive development work, which can benefit retailers in the UK and globally in significantly reducing carbon emissions.”

Judged by engineering experts, the Innovation Awards recognise the depth and breadth of innovative work being carried out across all areas of engineering and technology. A champion of environmentally friendly technology, Aerofoil Energy appealed to judges because of its extensive research and development, which shows energy savings and design refinement. In an increasingly environmentally conscious future, the development and implementation of energy saving technologies is an important consideration for large supermarkets.

The judging panel commented: “The innovation has significant potential to reduce impact and increase cost savings to supermarkets, which demonstrated a focused approach to delivery at scale with real life examples shown. The panel felt this was an excellent example of Horizontal Innovation to promote this important area of engineering.”