Fermi (FRMI) Q3 2025 earnings summary

Executive summary

• Project Matador is a 5,236-acre, multi-phase energy and AI campus in the Texas Panhandle, targeting up to 11 GW of power and 15 million sq ft of data center space, with the first 1.1 GW online by end of 2026 and nuclear generation commencing in 2032.

• Achieved major operational milestones, including a 99-year lease, significant site development, and key partnerships with Hyundai, Siemens, Doosan, and others.

• Raised $1.6 billion in capital to date, including a $785 million IPO and $150 million tenant advance, to fund initial phases.

• No revenue generated as of September 30, 2025; all activity to date relates to formation, site development, and infrastructure procurement.

• Major infrastructure buildout and strategic partnerships with Texas Tech University, Energy Transfer, and Oneok for land, gas, and infrastructure.

Financial highlights

• Reported a GAAP net loss of $346.8 million for Q3 2025, or $0.84 per share, primarily due to non-cash items and early-stage expenses.

• General and administrative expenses were $37.8 million for Q3, including $24.8 million in share-based compensation.

• Other expenses totaled $309 million, driven by a $173.8 million charitable donation and fair value adjustments on convertible notes and derivatives.

• Ended the quarter with $183 million in cash and equivalents, including $99.3 million restricted for project financing.

• Construction in progress reached $270.7 million, mainly for power generation equipment and site development.

Outlook and guidance

• Remain pre-revenue; expect to begin generating revenue in 2026 as the first tenant comes online.

• Each gigawatt of capacity is projected to generate $1.5 billion in annualized revenue and $1 billion in net operating income.

• Capital expenditures for Phase 0 and Phase 1 projected to exceed $2 billion, with $1.2 billion expected in the next 12 months.

• Active negotiations with multiple tenants; expect to have commitments for the full 11 GW campus within two years.

• Combined Operating License Application for nuclear generation accepted for review, with approval expected by 2026.