Aduro Clean Technologies Reports Fourth Quarter and Fiscal Year 2025 Results and Provides Business Update

Executive Summary

• Aduro Clean Technologies Inc. released its audited financial results for the fiscal year ended May 31, 2025, reporting a decline in revenue and an increase in operating losses driven by scale-up activities and Nasdaq listing costs.
• The company completed a U.S. public offering in June 2025, raising approximately US$9.2 million in gross proceeds, which significantly strengthened its cash position to US$6.96 million at year-end.
• Operational highlights include the advancement of the NGP Pilot Plant construction with Zeton, scheduled for commissioning in September 2025, alongside new strategic collaborations with NexGen Polymers, Siemens Canada, and Cleanfarms Inc.

Key Details

• Q4 Fiscal 2025 Financials:
  • Revenue: $74,670 CAD (a 27% decrease from $102,250 CAD in Q4 2024).
  • Loss from operations: $3,716,774 CAD (compared to $1,792,219 CAD in Q4 2024).
• Fiscal Year 2025 Financials:
  • Revenue: $231,212 CAD (a 31% decrease from $337,516 CAD in FY2024).
  • Loss from operations: $12,145,790 CAD (compared to $7,436,861 CAD in FY2024).
  • The increase in losses was primarily attributed to increased R&D, technology scale-up activities, new hires, non-cash share-based compensation, and corporate expenses related to the Nasdaq listing in November 2024.
  • Property, plant, and equipment carrying cost increased to $5.1 million CAD (from $3.6 million CAD in 2024), driven by research equipment and pilot plant construction.
  • Cash position at May 31, 2025: $6,957,846 CAD (up from $2,814,576 CAD in 2024).
• Subsequent Financing (Post-May 31, 2025):
  • Received gross proceeds of approximately US$9.2 million from an underwritten U.S. public offering.
  • Received approximately $0.8 million CAD from the exercise of options and warrants.
• Financing Details (June 2025 U.S. Public Offering):
  • Gross Proceeds: ~US$9.2 million.
  • Units Sold: 1,090,048 common shares with accompanying warrants.
  • Warrants: 545,024 warrants to purchase common shares.
  • Price: US$8.44 per common share and accompanying half warrant.
  • Warrant Terms: Exercise price of US$10.13 per share; exercisable immediately; expire three years from issuance.
  • Use of Proceeds: Strengthening balance sheet, ongoing R&D, and advancing scale-up/commercialization programs.
• Strategic Collaborations & Agreements:
  • NexGen Polymers: Signed an MOU for a proposed collaboration to develop a demonstration-scale HCT plant, focusing on feedstock supply, site evaluation, and plant operations.
  • Siemens Canada: Engaged to supply advanced control systems, automation solutions, and engineering services for the NGP Pilot Plant to ensure robust automation and process safety.
  • Cleanfarms Inc.: Signed an MOU to evaluate agricultural plastics (silage film, bale wrap, etc.) using HCT, leveraging Cleanfarms' network of 200+ member companies and 2,000+ collection sites.
  • Delphi: Engaged to conduct an independent Life Cycle Assessment (LCA) of HCT for waste plastic processing to measure environmental impacts (GHG emissions, energy use).
• Operational Updates:
  • NGP Pilot Plant: Construction advanced with Zeton; site readiness (HVAC, electrical, lab mods) completed. Factory Acceptance Testing for extruders completed. Siemens integration of automation components began.
  • Commissioning Schedule: Scheduled to begin in September 2025 (feed preparation and reactor systems), followed by product recovery system in October 2025.
  • Feedstock Testing: Completed testing of synthetic turf waste with encouraging results, demonstrating conversion of polyolefin components into shorter-chain hydrocarbons without extensive preprocessing.
• Leadership Changes:
  • Appointed David Weizenbach, P.Eng., as Chief Operating Officer in July 2025, bringing experience from NOVA Chemicals in process automation and capital project delivery.
• Industry Engagement:
  • Joined the Plastics Industry Association (PLASTICS) and the Polystyrene Recycling Alliance (PSRA) in July 2025 to collaborate on polystyrene recovery and recycling standards.

Notable Quotes

• Ofer Vicus, CEO: “Fiscal year 2025 marked a period of significant execution against our strategic priorities. Notably, we advanced construction of our Pilot Plant in collaboration with Zeton, with commissioning activities expected to begin in September 2025... These initiatives position Aduro to demonstrate the scalability of Hydrochemolytic™ Technology (“HCT”) and generate valuable data needed to assess its performance on diverse feedstocks.”
• Mena Beshay, CFO: “We maintained financial discipline throughout the fiscal year, while supporting significant investment in our Pilot Plant. The equity financing we completed in June was executed efficiently and provides meaningful additional resources to advance our scale-up program. Aduro remains in a healthy financial position, supported by a strong balance sheet and continued backing from partners.”