PyroGenesis Announces Third Quarter 2025 Results

Executive Summary

• PyroGenesis reported Q3 2025 revenue of $3.25 M, an 18.7% decline year‑over‑year, and a net loss of $2.25 M.
• The company disclosed a $1.2 M cement‑industry contract, progress on the fumed silica reactor (3× surface‑area increase), and continued work with Constellium on plasma torches for aluminum remelting.
• Post‑quarter financing included two non‑brokered private placements raising approximately $5.0 M in gross proceeds and a warrant repricing to $0.63 per share.

Key Details

• Financial Highlights (Q3 2025)
• Revenue: $3,249,540 (down $753,149 YoY).
• Gross margin: 24% (vs 42% in Q3 2024).
• Net loss: $2.25 M; Modified EBITDA loss: $1.89 M.

• Backlog of signed/awarded contracts: $51.6 M (81% USD).

• Operating Highlights

• Cement contract: $1.2 M for plasma torch system (Sept 2025).
• Fumed silica reactor pilot plant: 3× surface‑area increase to 136 m²/g; carbon impurity reduced to 0%.
• Constellium partnership: Phase 2 industrial implementation of plasma torches in aluminum remelting furnaces (contract announced Aug 5 2025).
• Waste processing contract: $600,000 with major environmental services firm (July 2025).

• Tata Steel coke‑oven gas valorisation project: $9.3 M completed (July 2025).

• Financing Activity

• Private placement – Unit Group 1: 6,666,665 units @ $0.63/unit → $4.20 M gross; each unit = 1 common share + 1 warrant (exercise $0.28, 48‑month term).
• Private placement – Unit Group 2: 4,000,000 units @ $0.20/unit → ~$0.80 M gross; warrants exercise $0.40, 24‑month term.
• First tranche closed (Oct 16 2025): 5,555,556 units sold to CEO for ≈$3.50 M.
• Second tranche closed (Oct 29 2025): 4,110,000 units sold for ≈$822 k.

• Warrant repricing (Oct 17 2025): 1,581,250 warrants re‑priced to $0.63/share, expiry extended to July 17 2026 with acceleration clause if TSX price > $0.80 for three consecutive days.

• Liquidity

• Cash on hand as of Sept 30 2025: $0.1 M; net working capital deficit $15.3 M.

• Term loan balance: $0.3 M (down $0.05 M since Dec 2024).

• Outlook

• No specific revenue or earnings guidance for 2025 provided.
• Emphasis on advancing plasma‑torch projects in aluminum, cement, and waste processing; continued cost‑optimization targeting $3–$5 M savings in 2025.

Notable Quotes

“The $1.2 million contract secured in September with a cement industry customer is an example of new sectors we view as emerging focal points for plasma innovation.” – P. Peter Pascali, President & CEO
“For Q4, buoyed by our recent financing, we are focused on delivering a strong finish to the year and setting the stage for 2026.” – P. Peter Pascali

Materiality Assessment: Material – Negative (significant revenue decline, net loss, and financing activities that materially affect investors).