5E Advanced Materials (FEAM) Q2 2026 earnings summary

Executive summary

• Q2 2026 marked significant progress in financing, customer engagement, resource expansion, and project readiness for a U.S.-based boron development asset, with a focus on developing a vertically integrated boron and advanced materials business.

• Achieved milestones in federal financing engagement, customer validation through successful glass trials, updated mineral resource estimate, and advanced engineering towards final investment decision.

• Filed patents for proprietary in-situ leaching and closed-loop mining processes, strengthening technical differentiation.

• Completed several equity and debt transactions, including a major debt-for-equity exchange, multiple equity offerings, and warrant exercises to improve liquidity.

• Fort Cady Project's foundation was strengthened with increased mineral resources, patent filings, and strategic positioning as a next-generation boron producer.

Financial highlights

• Pre-feasibility study confirmed a nearly 40-year mine life based on proven and probable reserves, with compelling economics for phase one.

• Net loss for the quarter was $10.9 million, a 24% improvement year-over-year; six-month net loss was $21.6 million.

• Operating expenses for the quarter were $10.9 million, down 1% year-over-year; six-month operating expenses were $21.6 million, down 10%.

• Cash and cash equivalents at quarter-end were $0.6 million, down from $3.8 million at prior fiscal year-end.

• Interest expense decreased significantly due to extinguishment of convertible notes in March 2025.

Outlook and guidance

• Priorities include progressing customer engagement to offtake agreements, executing pre-FID and FEED work streams, and advancing non-dilutive federal financing.

• Plans to continue operating the small-scale facility, progress engineering for a commercial-scale facility, and optimize wellfield design.

• Additional capital will be required to maintain operations and achieve milestones; management is exploring various financing options.

• Substantial doubt remains about the ability to continue as a going concern without further funding.

• Specialty boron work stream, especially magnet-grade ferroboron, is a focus, with customer testing targeted for late spring.