Birchtech Issues Shareholder Letter and Provides Corporate Update

Executive Summary

• Birchtech secured a final federal court judgment of approximately $78 million in its patent infringement case and is initiating collection.
• The company completed a $15 million capital raise concurrent with its uplisting to NYSE American and a reverse stock split, strengthening the balance sheet for water‑treatment expansion.
• Birchtech outlined significant growth initiatives—including licensing revenue of ~$37 million since 2020, upcoming construction of a GAC rejuvenation facility (expected online late 2027), and multiple pilot programs targeting PFAS removal—positioning 2026 as a milestone year for both clean‑air and water‑treatment segments.

Key Details

• Litigation Success: U.S. District Court increased judgment to ~$78 M against refined‑coal operators; collection process underway despite pending appeal.
• Licensing Revenue: Cumulative $37 M in license fees and settlements received since 2020 from utility licensing agreements for the SEA® mercury capture technology.
• Capital Markets Milestones:
• Executed a reverse stock split (date not specified).
• Uplisted to NYSE American on Feb 26 2026, enhancing visibility and liquidity.
• Completed a $15 M equity raise in December 2025/early 2026, earmarked for water‑business expansion and Carbon Rejuvenation™ infrastructure.
• Water‑Treatment Growth:
• Ongoing media changeout projects; purchase orders totalling ~$0.9 M from a mid‑Atlantic utility for wastewater filtration media replacement (announced Oct 2025).
• Pilot programs with universities (Rapid Small‑Scale Column Testing) targeting multi‑year carbon supply opportunities starting in 2027.
• Targeting ~50,000 U.S. community water systems, especially small‑ to mid‑size utilities facing PFAS, arsenic, selenium, mercury compliance pressures.
• Carbon Rejuvenation™ Initiative: Demonstrated thermally rejuvenated GAC (rGAC) performance comparable to virgin carbon for PFAS removal; construction of first rGAC facility slated for 2026 with commissioning expected late 2027.
• Operational Highlights: Near‑doubling of staffing in technical and operational roles; design centers positioned to become meaningful revenue contributors beginning in 2026.
• Outlook for 2026: Anticipated continued licensing activity, product supply agreements, and advancement of water‑treatment pilot programs; expects the rejuvenation facility and expanded service offerings to generate recurring revenue streams.

Notable Quotes

“We entered 2026 positioned for continued expansion in water treatment and long‑term value creation.” – Richard MacPherson, CEO, Birchtech Corp.