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Image source: The Motley Fool. Thu, Aug. 13, 2026 at 8:00 a.m. ET Director of Investor Relations - Patricia Gil Chief Executive Officer - Clay Sell Chief Financial Officer - Daniel Gross Operator: Hello, and welcome to the X-Energy Second Quarter 2026 Earnings Conference Call. [Operator Instructions] Please note that this call is being recorded. I'll now turn the call over to Patricia Gil, Director of Investor Relations for X-Energy. You may now begin. Patricia Gil: Thank you, and good morning, everyone. Welcome to X-Energy's Second Quarter 2026 Earnings Call. This morning, we released second quarter 2026 financial results and operational highlights for X-Energy, Inc. You can find today's presentation and our earnings press release available on the Investor Relations portion of X-Energy's website at investors.x-energy.com. Our remarks today will include forward-looking statements, which are based on assumptions as of today and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements. Our SEC filings, including our quarterly report on Form 10-Q, identify certain risk factors and cautionary statements that could cause the company's actual results to differ materially from those projected in our forward-looking statements made this morning. We undertake no obligation to update any forward-looking statements, except as required by law. During this call, we also present non-GAAP financial measures. There are reconciliations of these measures included in our investor presentation posted on the Investor Relations portion of our website. Joining me today are Clay Sell, our Chief Executive Officer; and Daniel Gross, our Chief Financial Officer. On today's call, Clay will open with a review of our recent highlights and operational updates, followed by what we believe are our compelling and differentiating business factors. Daniel will then review our financial performance for the second quarter in more detail before turning it back to Clay for closing remarks. We will then open the call up to Q&A. With that, I'll now turn the call over to Clay. J. Sell: Thank you, Patricia. Welcome, all. Good morning. It's great to be with you today. What an extraordinary time to be in the business of bringing new power technologies to the market. Based on third-party estimates, global electricity demand is expected to increase more than 75% by 2050. About 1/3 of that growth is predicted to take place in our key markets, the U.S., the U.K. and Canada. And it's estimated that the market just for SMRs could be 158 gigawatts by 2050. That's a $2.3 trillion revenue potential. At X-Energy, we have the opportunity to play a significant role in what will likely be the greatest build-out of power and electrical generation since the dawn of the electricity age. And we have a transformative next-generation technology and a great team of people that will allow us to reinvent and simplify the way nuclear power is built and expand the functions it can serve now and in the future. We're benefiting from a tremendous level of support and help along the way from our early partnership with the U.S. Department of Energy to our first announced customers in Dow, Amazon, Energy Northwest and the U.K. utility Centrica. Now, it will take us several years to fully unlock the scale of this business opportunity, but we want you to come to continue that journey with us today, as we hit the news highlights and update you on our ARDP contract, supply chain agreements, developments at our TRISO-X fuel business, how we're using AI inside X-Energy, project milestones, licensing achievements, new customer agreements and our financial performance in the second quarter. We have a big agenda with a lot of news, so let's get to it. I'll ask you to please turn to Slide 3. We're already there. I want to start with financing update on our partnership with Dow and the Department of Energy. Now, you may recall that in 2021, X-Energy was competitively awarded and to date has been allocated approximately $1.1 billion under the Advanced Reactor Demonstration Program, a 50-50 public-private partnership to deliver our first commercial power plant with Dow in Seadrift, Texas. This DoE grant award is our largest source of revenue at our current stage of development. Yesterday, the Department of Energy formally notified X-Energy that our ARDP cooperative agreement will receive up to an additional $1 billion. This funding will be subject to the same 50-50 cost share requirements as the original award and is expected to be obligated to the award as part of the normal contractual process with the department. So overall, that would increase DoE's cost share contribution to the ARDP up to $2.115 billion. Our project with Dow is important, not only because it's our initial deployment, but because of the unmatched versatility for nuclear energy that it represents. When completed, our Xe-100s are expected to provide both electricity and high-temperature industrial steam for Dow's operations, demonstrating the range of applications our technology can address. And it is, of course, expected to be the first grid-scale advanced nuclear reactor deployed to serve an industrial site in North America. Okay. Let's move to news updates on what we've done to strengthen our supply chain. And again, our supply chain goals are deliver for early projects, derisk and accelerate our ability to scale the business. The availability of HALEU fuel is a current commercial constraint. We've been executing on a strategy to retire that risk for our customers and our businesses for many years. The U.S. Department of Energy and the U.K. government as a result of our efforts and advocacy are financially supporting the construction of new HALEU production facilities. And those incentive contracts have now been awarded and facility expansions are underway. For our first core loads at Dow, we've secured existing material, about 7.6 metric tons from the Department of Energy. Over the last week, we have executed long-term agreements for HALEU enrichment services with both Centrus Energy Corp. and General Matter. Under the contracts, firm delivery commitments will grow through a phased approach to scale HALEU production in line with our expected commercial pipeline. So including our HALEU allocation from the Department of Energy, we now have firm agreements to support the fuel needs for the initial and replacement core loads of our announced Xe-100 projects and beyond. Those agreements give us further certainty around the fuel supply required for our pipeline and are a meaningful step toward diversifying supply, increasing our competitive advantage and significantly reducing HALEU supply risk for our commercial pipeline. Now, let me move to another aspect of our supply chain, nuclear-grade graphite used inside our reactor core. Through an agreement we recently announced with SGL Carbon, we're working to expand SGL's production capacity for medium-grain graphite. We will invest up to $8 million in milestone-based payments to support new facilities and equipment upgrades at SGL's facility in Chedde, France. Full execution of this agreement would double SGL's manufacturing capacity for medium-grain graphite by 2030, enabling the facility to produce graphite billets for up to 8 new Xe-100 reactors per year. All these supply chain agreements are part of our strategy to allocate a portion of our IPO proceeds to secure capacity on behalf of our customers to incentivize early investments by our supply chain partners, to increase our competitive moat and reduce schedule risk for our early projects. As part of our plan, these contractual obligations are expected to be transferred ultimately to our customers. It's been a lot of good progress by our commercial and supply chain team this quarter. So let me now turn to Slide 4 and then 5. I'd like to move to the latest developments of our TRISO-X fuel business. Our vertically integrated fuel fabrication business gives us greater control of an important piece of the reactor supply chain and will create recurring revenue opportunities for the company. In February of this year, we received our Part 70 commercial license from the Nuclear Regulatory Commission for an initial 40-year term. That was the first new commercial fuel fabrication facilities licensed by the NRC in over 50 years. Our first fabrication plant, which we call TX-1, and as you see in this picture, is being constructed with a 50-50 cost share with the U.S. Department of Energy and also received a competitively selected award for up to $148 million in federal tax credits, helping to overall reduce the project risk. In addition, we appreciate the recent $11 million economic development grant from the State of Tennessee, which will be utilized to support the continued development of our potential second commercial fuel facility, which we call TX-2, and will also support the development of our dedicated research and development center, which we call TX-L, all of these located on our campus in Oak Ridge. Our TX-2 facility is also covered under NRC's Part 70 license and is currently in the design phase. This facility is anticipated to produce 4x the capacity of TX-1. And once completed, this campus is expected to establish one of the world's largest commercial scale advanced nuclear fuel fabrication sites with the capacity to produce enough TRISO-X fuel to support approximately 55 of X-Energy's Xe-100 reactors. TX-1, TX-L and the future TX-2 will form the core of our fuel fabrication and technology development campus in Tennessee. As part of that growth plan, we acquired 70 acres of adjacent land in July. This purchase brings the site's total footprint to approximately 180 acres, allowing for continued expansion covered under our Part 70 license, and it provides additional space for utility corridors, equipment staging, fuel storage and long-term expansion. This week, we announced an extension to our cooperative research and development agreement with the Department of Energy's Oak Ridge National Lab. This agreement expands nearly a decade's worth of joint research, technology transfer and process development that has enabled TRISO-X to get ready to manufacture at commercial scale. We have achieved significant process improvements that we expect will continue to reduce the cost of TRISO fuel. Let me give you an example. In our pilot plant, we have consistently achieved greater than 95% for first pass process yield on our kernel conversion process for TRISO fuel. This speaks to the mature process optimization in place at TRISO-X, and we anticipate receiving that level or better at commercial scale. What this means is that more uranium ends up in the pebble and not discarded as waste, which means lower cost fuel. TRISO-X's manufacturing capacity equips it to potentially earn the fuel business of customers beyond our own X-Energy fleet. We have the manufacturing expertise and the capabilities to produce various types of fuel to address the needs of a broader set of SMRs, microreactors and nuclear space applications. Now, if we'll return back to Slide 3, let me switch gears and talk about artificial intelligence. We often talk about AI and hyperscale data centers as a demand pull for nuclear. And certainly, we've experienced that in our own partnership with Amazon. But I want to briefly talk about how we are using AI tools to transform the way we do our business on the inside. At X-Energy, we embraced the use of AI to further accelerate nuclear development. We view every opportunity through the lens of reducing the time and expense required to design, license, manufacture and deploy the fuel and the reactors. We are excited to have recently joined the Department of Energy's Project Prometheus as a founding member, collaborating with organizations, including Idaho National Laboratory, NVIDIA and Amazon Web Services. As part of our commitment, we're providing $10 million in private capital, along with the use of our reactor design and fuel fabrication data. Our data will serve as a technical basis for a 3-year research campaign, leveraging the DoE's test reactors and supercomputing capabilities to integrate frontier class AI models into uses from reactor design to semiautonomous operation workflows as well as fuel fabrication. Our partners -- our participation in this project builds upon the ongoing development of our internal proprietary tool called APEX. This is our multi-agentic AI platform that we have currently deployed across our engineering, licensing and operations teams, where we are already realizing meaningful time and cost savings. Now let's turn to Slide 6, and I'd like to briefly touch on the project -- on the progress of our near-term milestones. First, you will note that we added a line recognizing the agreements to significantly reduce our early HALEU supply risk, which occurred this month, and it's a notable achievement. Moving on down the line, the vertical construction for the shell of our TX-1 fuel facility is progressing on schedule and is approximately 80% complete today. We are on track to meet our third quarter near-term milestone for vertical construction completion and the commencement of the next scope of work for the interior build-out, which includes the construction of a graphite matrix powder building, utility installation and equipment installation in TX-1. On the NRC construction permit for Dow, we anticipate that the NRC staff will close all safety questions by the end of August. We continue to expect final review of our construction permit to be completed in late 2026 with the issuance by the first quarter of '27. In Washington State, the Energy Northwest project is expected to be our second project online and the first of 5 gigawatts of new power projects with Amazon. This project will benefit from engineering, execution and licensing experience developed on the Dow project. Work with Energy Northwest is progressing as planned with Energy Northwest moving toward construction permit submission in the first half of 2027. Finally, regarding our plan to announce the next 1 gigawatt project in 2026, we are in the final throes of an agreement with a major investor-owned utility for our next 1 gigawatt project. It's coming to a close. This is extraordinarily exciting news. But given the larger interest of our partners and the local communities involved, a full announcement will be made in the near future. So stay tuned for more exciting details to come. Let me turn to Slide 7. On last quarter's earnings conference call, we introduced our long-term milestone road map found here. We recognize that our projects are long dated and will take some years to come online. This road map provides you with the order of our project work streams extending into the early 2030s, so you can follow along with us on our progress, as we make project development announcements. Since our last earnings conference call, there have been no changes to the anticipated time line presented on this slide. I'd like to now turn it over to Daniel Gross, our CFO, to discuss our financial results for the quarter in more detail. Daniel Gross: Thank you very much, Clay. Please turn to Slide 8. One note before I get to the numbers. This is our first quarter reporting as X-Energy, Inc. We closed the IPO the last week of April, so Q2 covers several weeks as a private company and then a little over 2 months as a public company. In Q2 of 2026, total revenues and grant income were $54.6 million. That's $50.1 million of services revenue, which is primarily the Xe-100 design work under the Advanced Reactor Demonstration Program, plus $4.5 million of grant income, which is primarily tied to the Dow demonstration reactor. Total revenues and grant income were up 154% compared to Q2 of last year. And the reason is straightforward. We're doing more engineering work, and the cost share under the ARDP program reimburses us for roughly half of it. As of June 30, 2026, at the end of the quarter, the DoE has reimbursed $547 million to us under that program. Total operating expenses in Q2 of 2026 were $164.6 million. This breaks down into direct costs of $86.7 million and SG&A of $77.7 million. But when looking at our SG&A for the quarter, it's important to recognize that $33.5 million of that expense was noncash equity-based compensation mostly from options that were granted to employees at the IPO. A little under half of that equity comp expense was a onetime charge recognized at the IPO when previously vested awards converted. And then, the remainder of our equity comp awards will amortize over the remaining vesting periods. So with revenue up 154%, total operating expenses were up 156% compared to Q2 of 2025. And there were 3 primary drivers: more ARDP work, more people and contractors doing that work and the equity-based compensation, which, as I mentioned, was a noncash expense. Below the operating line, interest income was $11 million on our investment portfolio, but this is offset by $6.3 million in expenses that are categorized as other income or expense net. But I want to unpack that so you can see where it's coming from. Most of that $6.3 million in expense was a noncash mark-to-market loss of $5.6 million on a warrant that was granted to an investor in 2022 and exercised in April of this year. And as the value of our equity went up, the fair value of the warrant also increased, so we had to book an expense. But no cash left the building, and this won't repeat because the warrant has been exercised and the liability is gone. So netting it all out, total other income or expense was a positive $4.7 million. Turning to cash flow. Operating activities used $97.3 million in the quarter, which is up from $20 million in Q2 of 2025. That reflects higher ARDP activity, corporate head count and contractors and some significant prepayments to vendors on long lead materials. Investing activities used $73.6 million in Q2. A lot of this was simply from rolling cash into debt instruments as other debt instruments matured. So we bought $126.6 million of short-term securities, and we had $92.8 million mature. We also spent $63.3 million on capital expenditures for construction projects including TX-1, for which ARDP reimbursed us $23.5 million in cash during the quarter. And that last figure raises a question that we get a lot. So let me answer it now. As Clay mentioned, ARDP is a 50-50 cost share. So why is the reimbursement for CapEx and OpEx never exactly half of what we spent? 2 reasons. So first, we spend the money, and then, we invoice, and then, we get paid. So the amount we report is cash spent on capital projects, and the associated reimbursements were affected by the timing of our cash payments versus cash receipts. Second, not everything we spend is ARDP eligible. The cost share covers the Xe-100 design work and TX-1. It doesn't cover TX-2 or TX-L or subsequent fuel facilities. And as Clay mentioned, we're continuing to progress the design work on TX-2. And so internally, we track eligible ARDP costs separately from ineligible costs, but in our financials, we report them together. So our financial statements are always going to include amounts of CapEx and OpEx that will never be reimbursed under ARDP. If you'll turn to Slide 9, I'd like to walk you through our capital structure and balance sheet. We ended June with $1.9 billion in cash and investments, that's $1.1 billion of cash and cash equivalents, $490 million of short-term investments and $265 million of long-term investments. This liquidity is roughly double from where we were 3 months ago, thanks to the $1.1 billion of net IPO proceeds. We've invested this money conservatively. Feel free to call us boring, but our priorities are capital preservation, liquidity and credit quality, U.S. treasuries, high-grade corporates, commercial paper, money market and a few similar instruments, nothing exotic and everything matures before we expect to need it. At the end of Q2, we had 0 debt outstanding. Please turn to Slide 10. Our SEC filings contain a number of non-GAAP measures, several of which are based on share count, and we thought that this additional color could help inform how you think about us. If you've ever pulled up X-Energy's ticker on a smartphone app or use the data from many online financial sites, the market cap you're looking at probably doesn't -- or depending on which site may not reflect what we believe is the implied equity value of X-Energy as a whole. So let me explain why and what I'd suggest you use instead. When we went public in late April, we reorganized the company as an Umbrella Partnership-C Corporation, or an Up-C, which you can see diagrammed in the slide on the right-hand side. And here's the short version. Because our Up-C structure has 2 classes of stock and different shareholders at the parent and the subsidiary level, your stock app may only be looking at our Class A common shares outstanding when it calculates the market cap. And these calculations are often excluding the Class B shares, which we think leads to a misleading outcome. So holders of Class B shares hold an equal number of common units in our subsidiary, and those units can be redeemed for Class A shares. And since the Class B shareholders can redeem their common units for Class A shares, we think they should be viewed as having similar economic rights to Class A shareholders. Mind you, if they redeem, their Class B shares will be canceled. And so given the possibility for this exchange, we think that for purposes of calculating our implied equity value, it's more important to add together 280 million Class A shares plus 119 million Class B shares plus a combined total of 15 million shares of outstanding stock options, RSAs and RSUs and that would bring you to a non-GAAP total fully diluted share count of 414 million shares to use for calculating our implied equity value. So that's the share count we would use if we were calculating implied equity value. And that's also the share count that we would use for earnings per share or in our current case loss per share comparisons. It's a non-GAAP measure, and you'll find the full reconciliation along with other non-GAAP measures, which we believe are useful in the earnings release and the 10-Q. Note that in those documents, we've also included an adjusted EBITDA calculation and an adjusted earnings per share calculation, currently loss per share, which consolidates together the A shares and the B shares. With that, I will now turn it back over to Clay. J. Sell: Thank you, Daniel. Let's go to Slide 11. Let me provide a few wrap-up comments before we go to questions. X-Energy intends to lead the way in building a technology and business model that will enable us to completely reinvent the way the world thinks about constructing and operating new nuclear at scale and provide the broadest array of functionality with the greatest geographic flexibility globally. We believe we have the right technology backed by decades of development and operational experience. We believe we have the deepest experienced executive team. We believe we have the right business model. That's why X-Energy has earned the support and capital commitment of high-quality blue-chip customers and partners like Dow, Amazon and Centrica. We continue to enjoy strong support as evidenced today from our partner at the Department of Energy. We've been well received in the communities around our projects, where we are building or developing. We have secured significant supply chain commitments and are working to further derisk our projects and provide line of sight for the deployment of our reactors while continuing to build our commercial manufacturing for our TRISO-X fuel. X-Energy is uniquely positioned for the opportunity of this day. That's how we succeed in our multiple ways to win. X-Energy isn't built around a single project or a single source of revenue, it's built around a sustainable platform, intentionally designed to drive the growth of advanced nuclear for decades to come. And with that, we will now take your questions. Operator: [Operator Instructions] Our first question comes from Marc Bianchi with TD Cowen. Esteban Mario Albarracin: This is Esteban Albarracin on for Marc Bianchi. I had a question on the ARDP allocation, $2.1 billion allocated is a meaningful amount there. How much more is needed to reach the 50% share for the Dow project? Is that close to the mark? Or is the total share amount not finalized yet? J. Sell: Yes. As you know, Esteban, we've not fully -- we have not previously disclosed in our S-1 or other documents what the full cost of the program is going to be. You will recall that this program provides a 50-50 commitment for 3 big scopes of work: the design of our reference plant Xe-100; the design, construction and licensing of our first fuel plant, TX-1; and then in addition to that, the full project cost -- total project cost of the Dow deployment in Seadrift, Texas. So that's the full scope of the 50-50 cost share. We have always enjoyed a strong commitment from the Department of Energy to see this through, strong commitment from Capitol Hill to continue to provide the appropriations to fund that. I think this most recent $1 billion increase is evidence of that. And I'm confident to the extent more dollars will be required, they will be provided by our partners at the Department of Energy and Commerce because fundamentally, I mean you'll recall, the foundation of the ARDP program was created effectively in response to the technology peer competition that is currently underway with China. And the U.S. government made a decision years ago that we had to pick the best of our advanced technologies that could compete in the international market, that we could first deploy here at home, and they chose X-Energy and they chose TerraPower to invest heavily. And so I think the return on investment that we've been able to indicate through our partnerships with Amazon and Centrica and the significant backlog that we have identified makes the investments that the U.S. government are making to get us back into the nuclear game an extraordinary return. So we'll see where the number ends up, but I'm confident that the department and our advocates in Congress will stay committed to the 50-50 cost share. Esteban Mario Albarracin: Got it. Okay. And then my follow-up is on the Janus program. You're a finalist there with Project Pele before with the XENITH reactor. And I think that program is moving along, I think, with possible announcements maybe later this year. Are you actively pursuing that opportunity? I know the DoD seems to be looking at multiple technologies for that. And it seems like you have an advantage with the high-temperature gas reactor type they're already working on. So could we expect anything later this year? J. Sell: I'll tell you, we have an extraordinary business opportunity in the deployment of Xe-100s and the manufacture of TRISO-X fuel. And that is what we are focused on. That is what our Board has directed us to do. That is where we think the great economic opportunity is. That's where we think the total addressable market is. And we are focused on that $2.3 trillion TAM that we can access with the Xe-100 and our TRISO fuel business. Specific announcements around the Janus program haven't been made, but I'll tell you, that's where our focus is on Xe-100. Operator: Our next question comes from Joseph Osha with Guggenheim. Joseph Osha: You guys have talked this morning about the fuel arrangements that you've got with Centrus and General Matter, which is great. I'm wondering if you can clarify what the initial Dow loads are going to look like, whether that implies you might start with HALEU now? Or is the plan still for the initial load to be LEU? J. Sell: Thanks, Joe. So in our standard start-up configuration for an Xe-100 plant, you accurately recalled that we first load LEU pebbles, and then, the subsequent core is -- the second core is HALEU pebbles, and it's HALEU pebbles thereafter. And that's just a matter of how we manage the neutronics and the reactivity in the start-up sequence. That's why we start with LEU. But -- let's see, what was the rest of your question? Joseph Osha: Okay. So no change there. And you clarified. I thought that the initial -- the fact that the initial load was LEU was perhaps more a reflection of the fuel supply situation, and what you're saying is no, it's just -- it's part of the standard commissioning process if you will. J. Sell: Absolutely not. The only reason we start with LEU on the Dow project is because that's the way we will start up every Xe-100 forever because that's what's required to manage the initial start-up, neutronics and reactivity. But the HALEU that we need for the Dow project will be available to us when the plant towards the end of this decade when we need it to produce the first HALEU core for Dow. And then, as I emphasized or I tried to emphasize in my prepared remarks, the -- we have secured through our initial contracts with Centrus and General Matter sufficient HALEU to cover the second and subsequent core loads for our first announced projects and even beyond that. And we'll provide greater color on a go-forward basis as to that. But on those contracts, we have agreed contractually not to disclose specific timing, specific quantities and specific pricing. So I'm just trying to give you a shape of how we view the opportunity and what -- and the risk that we were seeking to reduce on our initial projects at X-Energy. Joseph Osha: That makes sense. And just a follow-up, just so that I understand, is there anything at the pebble manufacturing level, material handling, whatever, that varies between LEU and HALEU? Or is it pretty much exactly the same thing? J. Sell: Well, we'll use the same facility, Joe, but there are different considerations based largely on criticality factors between LEU and HALEU, but we will be able to produce both of those cores in our TX-1 facility. Operator: Our next question comes from Michael Sullivan with Wolfe. Michael Sullivan: It's exciting news on the potential new customer... J. Sell: Michael, I need you to speak up. I can barely hear you. Michael Sullivan: Okay. Is this any better? J. Sell: Yes. Michael Sullivan: Okay. Sorry about that. I just wanted to ask on the customer announcement that seems imminent here. You mentioned investor-owned utility. Do they have a hyperscaler lined up? Or is this preparing to just go into their rate base? How should we think about the structure of the order? J. Sell: Michael, I would love to give you additional details, but you're going to have to wait. And we will provide clarity on the when, the where, the who and other details in the near future. Real projects with real partners are real things, and they require a significant level of appropriate early community engagement. And so the communities, in my view, like the communities deserve to hear first, what's coming to their communities even before the investor community does. And so there is a process by which these agreements and plans get rolled out. And I think that's the right way to do business. And so all questions will be answered in time, but I just wanted to give an indication today that those announcements, the full details were imminent. Michael Sullivan: Okay. Great. I can appreciate that. And just at the federal level, you had the ARDP update. I think the DoE recently announced some potential loans for utilities on the AP1000 side. Anything you see coming down the pike on the SMR side for your technology in terms of additional DoE funding outside of the ARDP that you already have? J. Sell: We are -- we have ongoing dialogues with the full suite of financing entities inside of the U.S. government, everything from the Energy Dominance Financing Group at the Department of Energy, the Strategic Capital Office at the Department of War, EXIM Bank, DFC, on and on. And we fully expect to be able to access those debt financing entities for our projects. So those are ongoing discussions. When we have something to announce, of course, of course, we will. But yes, ongoing discussions. On the AP1000 commitment, yes, I'll just tell you that -- I think there are places around the country where it may make sense to build AP1000s. But what I'm even more confident in is the opportunities and the customer interest in SMRs. I think just from a functionality, from a safety case, from a geographic siding standpoint and just the quantum of the financial risk involved in bringing these projects to fruition. There are a lot of things that I think will move potential customers to our Xe-100 product. I mean, that's certainly what we're seeing. But if a few AP1000s get built, I think the country is better off for it. Operator: Our next question comes from Julien Dumoulin-Smith with Jefferies. Julien Dumoulin-Smith: Maybe to just pick it up real quickly. Can you add a little bit more color on the fuel supply agreements here, nicely done on that front? You said it's sufficient to meet the announced project needs. Can you quantify whether that's in kilograms or gigawatt terms or what have you, of what capacity and what it suffices to meet? And within that, are both of these agreements binding? And what are the financial commitments on your side at this point, especially in terms of liquidity in the next few years? J. Sell: Yes. Julien, the agreements are binding. These are real agreements. We have contractually agreed with our counterparties not to disclose further details about timing, quantity and price. And so I'm not going to be in position today to be fully responsive. But I will tell you, it has given us great confidence that we have contractually retired the HALEU risk, as it relates to the first HALEU core loads on our announced projects and beyond. That's what I'm prepared to say today, and more details will be provided at the appropriate time. From a contractual obligation standpoint, Julien, let me just kind of go back and tell you big picture. In our normal application of our business model in a fully up and running market, fuel would be procured by our customers, the uranium, the enrichment services, deconversion, et cetera. That would be an obligation of our customers. They would buy it, they would hold the inventory. So that begs the question, why is X-Energy doing that now? And the answer is because we are at the start up of the creation of a full, diverse, functioning and well-supplied HALEU market. And we want to be part of creating that. We want to secure capacity that will serve as a competitive moat for our customers, and we fully intend to transfer those obligations to our customers at the appropriate time in the state of the project. So the benefit of us allocating some of our capital to this effort now and securing these contracts is we secure capacity, we help accelerate the investment that we require from Centrus, General Matter and others to build out these HALEU cascades and we can do that in a manner, quite frankly, before our customers are prepared to enter into those contracts, but with the full intention that we will assign those contracts to them and they will take them over on a go-forward basis and have that real supply. Does that make sense? Julien Dumoulin-Smith: Yes. No, thank you for disclosing as much as you can. I appreciate that. In fact -- let me, actually -- look, an interesting follow-up related to this is you guys announced this incremental 70 acres, right, for fuel fab adjacent to, I think, TX-1. Can you talk about what you're contemplating for this TX-2 here just to kind of keep going on this fuel line of questioning and the timing on that just given the activity there? I mean, obviously, you talked about scaling this up. J. Sell: Yes. So just to scene set, TX-1 basically provides enough throughput capacity for 11 Xe-100s. And we have in active development far more than that. And so we estimate at some point in the early 2030s, we will need to bring TX-2 online. What we are doing right now is completing the design, completing the cost estimates and beginning the early phases of our financing business plan to bring TX-2 to fruition. But that's what we're doing now. We have no further announcements as it relates to the initiation of construction or the final securing of financing for TX-2. Julien Dumoulin-Smith: Awesome. And just to nitpick a little bit on the last question there. As it pertains to the imminent announcement, that is with a utility or just what kind of counterparty, if I can? I know what you said a second ago. I appreciate it. And that's the last one. J. Sell: I'll just repeat what I said in my prepared remarks, major investor-owned utility. Julien, who knows them better than you. Operator: [Operator Instructions] Our next question comes from David Arcaro with Morgan Stanley. David Arcaro: Let's see, great progress on the supply chain efforts this quarter on graphite and HALEU. I was wondering, is there an area that you would be focused on next in terms of derisking further long lead materials or equipment in your supply chain? J. Sell: Well, you've seen us -- David, thanks for the question. We've been pretty active across a number of fronts. And I think what we've communicated in the past is we're focused on the large steel components in our -- inside our nuclear steam supply system. Those are primarily produced by Doosan. And you've seen us enter into similar long-term supply agreements with Doosan. We have entered into -- we announced our agreement on steam generator tubes. We have some other agreements in the works. We've talked about HALEU. We've talked about graphite. What else? I think there are other types of graphite that we use inside the reactor that we're also focused on. But we have a fairly disciplined approach that is run by our outstanding supply chain team about where we need to invest early, and quite frankly, where we can secure advantage with some early capacity securing agreements. And as we enter into those, we'll continue to make those announcements to the public. David Arcaro: Yes. Got it. Understood. And then, I understand we'll have to wait a little bit longer for that 1 gigawatt -- the details around the gigawatt announcement here. But could you give just any color around conversations with other customers, other projects and just advancing other conversations in the -- or other opportunities in the pipeline? How are they going? And what's the level of interest and activity? J. Sell: Yes. We have a robust level of discussions across the full range of target customers, IPPs, investor-owned utilities, industrial customers, hyperscalers, foreign utilities, et cetera. For some of those, we are in the further phases of discussion and site feasibility and review. And so we -- I think we have a very, very robust set of conversations. It just takes -- it takes time, and it takes a lot of work to get a real project to the start line. And I remain confident that we have a very robust set of opportunities and multiple shots on goal for the remainder of the year. Operator: I'm showing no further questions at this time. I would now like to turn it back to Clay Sell, Chief Executive Officer, for closing remarks. J. Sell: Well, thank you, everyone. I appreciate you joining us today. I'm a little bit disappointed that the great and eloquent Daniel Gross did not receive any follow-up questions, so we'll shoot for that in the next quarter. We do look forward to sharing additional updates, as we continue to execute against our near-term milestones and show you how we are positioning this company, X-Energy, to be the leader in the nuclear industry. Really appreciate your time, and we look forward to seeing you on the road and in our next conference call. Thank you. Operator: This concludes today's conference call. Thank you for participating. You may now disconnect. Before you buy stock in X-Energy, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and X-Energy wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $432,621!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,335,314!* Now, it’s worth noting Stock Advisor’s total average return is 976% — a market-crushing outperformance compared to 214% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of August 20, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. X-Energy (XE) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

This article first appeared on GuruFocus. Total Revenues and Grant Income: $54.6 million in Q2 2026, up 154% year-over-year. Services Revenue: $50.1 million, primarily from XE-100 design work under the Advanced Reactor Demonstration Program (ARDP). Grant Income: $4.5 million, mainly tied to the Dow demonstration reactor. Total Operating Expenses: $164.6 million in Q2 2026, up 156% year-over-year. Direct Costs: $86.7 million. SG&A: $77.7 million, including $33.5 million in non-cash equity-based compensation. Interest Income: $11 million on investment portfolio. Other Income/Expense: Net positive $4.7 million, including a $5.6 million non-cash mark-to-market loss on a warrant. Operating Cash Flow: Used $97.3 million in Q2 2026, up from $20 million in Q2 2025. Investing Activities: Used $73.6 million in Q2, including $63.3 million in capital expenditures for construction projects. Cash and Investments: $1.9 billion at end of Q2, including $1.1 billion in cash and cash equivalents, $490 million in short-term investments, and $265 million in long-term investments. Debt: Zero debt outstanding at end of Q2. DOE Reimbursements: $547 million reimbursed under ARDP as of June 30, 2026. Share Count: Non-GAAP total fully diluted share count of 414 million shares (280 million Class A + 119 million Class B + 15 million options/RSAs/RSUs). Warning! GuruFocus has detected 4 Warning Signs with XE. Is XE fairly valued? Test your thesis with our free DCF calculator. Release Date: August 13, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. X-Energy Inc (NASDAQ:XE) received an additional $1 billion in DOE funding under the ARDP, increasing total cost-share support to $2.115 billion for the Dow project. The company secured long-term HALEU enrichment agreements with Centrus Energy and General Matter, significantly reducing fuel supply risk for its commercial pipeline. X-Energy Inc (NASDAQ:XE) is progressing on its TX-1 fuel facility, with vertical construction 80% complete and on track for Q3 milestones, supported by a 50/50 DOE cost share and $148 million in tax credits. The company is expanding its fuel fabrication campus with a 70-acre land acquisition and a $11 million Tennessee grant, positioning for TX-2 to support up to 55 XE-100 reactors. X-Energy Inc (NASDAQ:XE) is nearing finalization of a 1-gigawatt project agreement with a major investor-owned utility, expected to be announced soon. The company reported strong revenue growth of 154% year-over-year in Q2 2026, driven by increased ARDP engineering work. X-Energy Inc (NASDAQ:XE) maintains a strong balance sheet with $1.9 billion in cash and investments and zero debt, providing ample liquidity for project development. The company is leveraging AI through Project Prometheus and its internal Apex platform to reduce design, licensing, and manufacturing costs. X-Energy Inc (NASDAQ:XE) has secured a graphite supply agreement with SGL Carbon, doubling capacity for reactor core materials by 2030. The company's TRISO-X fuel business achieved a first-pass process yield of over 95% in pilot operations, indicating cost-efficient commercial production. X-Energy Inc (NASDAQ:XE) reported a net loss for Q2 2026, with operating expenses up 156% year-over-year, driven by increased ARDP work and non-cash equity compensation. The company's operating cash flow used $97.3 million in Q2 2026, a significant increase from $20 million in Q2 2025, reflecting higher costs and vendor prepayments. X-Energy Inc (NASDAQ:XE) faces ongoing uncertainty regarding the total cost of the Dow project and the need for additional DOE funding to meet the 50/50 cost-share requirement. The company's HALEU supply agreements are subject to contractual confidentiality, limiting transparency on quantities, timing, and pricing, which may concern investors. X-Energy Inc (NASDAQ:XE) is still in early stages of development, with no revenue from reactor sales yet, and relies heavily on government grants and IPO proceeds for funding. The company's TX-2 fuel facility is only in the design phase, with no construction timeline or financing secured, indicating long lead times for capacity expansion. X-Energy Inc (NASDAQ:XE) faces potential delays in NRC construction permit issuance for the Dow project, with final approval expected only by Q1 2027. The company's participation in Project Prometheus requires a $10 million capital commitment, which may not yield immediate returns. X-Energy Inc (NASDAQ:XE) is exposed to market risks from its investment portfolio, though it maintains a conservative approach, and recorded a $5.6 million non-cash mark-to-market loss on a warrant. The company's business model relies on transferring supply chain obligations to customers, which may not materialize as planned, potentially increasing financial burden. Q: How much more funding is needed to reach the 50% cost share for the Dow project under the ARDP, and is the total share amount finalized? A: CEO Clay Sell stated that the full cost of the program has not been disclosed, but the 50/50 cost share covers three major scopes: the XE-100 reference plant design, the TX-1 fuel plant, and the total project cost of the Dow deployment in Seadrift, Texas. He expressed confidence that the Department of Energy and Congress will remain committed to providing additional funds if needed, citing the strong return on investment demonstrated by partnerships with Amazon and Centrica. Q: Can you clarify the initial fuel load configuration and whether the new HALEU supply agreements change the plan to start with LEU? A: CEO Clay Sell confirmed that the standard startup configuration for every XE-100 plant begins with LEU pebbles, followed by HALEU for the second and subsequent cores. This is a neutronics and reactivity requirement, not a fuel supply issue. He noted that the new contracts with Centrus and General Matter secure sufficient HALEU for the first HALEU core loads of announced projects and beyond, though specific quantities and pricing are contractually confidential. Q: Are the new fuel supply agreements with Centrus and General Matter binding, and what are the financial commitments and liquidity implications? A: CEO Clay Sell confirmed the agreements are binding but declined to disclose specific timing, quantities, or pricing due to contractual confidentiality. He explained that X-Energy is securing capacity early to help create a functioning HALEU market and accelerate supplier investment. The company intends to transfer these contractual obligations to customers at the appropriate project stage, meaning the financial commitments are expected to be assumed by customers on a go-forward basis. Q: Regarding the imminent 1-gigawatt project announcement with a major investor-owned utility, do they have a hyperscaler lined up or is it for rate base? A: CEO Clay Sell declined to provide additional details, stating that real projects require appropriate early community engagement, and communities deserve to hear first before the investor community. He indicated that full details on the "when, where, who, and other details" will be announced in the near future, emphasizing that the announcement is imminent. Q: What is the timeline and plan for the TX-2 fuel facility, given the recent land acquisition and design phase progress? A: CEO Clay Sell stated that TX-1 provides enough throughput capacity for approximately 11 XE-100 reactors. TX-2, which is expected to have four times the capacity of TX-1, is needed in the early 2030s. The company is currently completing design work, cost estimates, and the early phases of a financing business plan for TX-2, but no announcements have been made regarding construction initiation or final financing. Q: What areas of the supply chain will X-Energy focus on next to further de-risk long lead materials and equipment? A: CEO Clay Sell highlighted ongoing efforts on large steel components in the nuclear steam supply system, primarily produced by Doosan, and mentioned agreements on steam generator tubes. He noted a disciplined approach by the supply chain team to identify areas where early capacity securing agreements can provide a competitive advantage, with further announcements expected as agreements are finalized. Q: Can you provide color on the level of activity and conversations with other potential customers beyond the imminent 1-gigawatt announcement? A: CEO Clay Sell indicated a robust level of discussions across the full range of target customers, including IPPs, investor-owned utilities, industrial customers, hyperscalers, and foreign utilities. Some discussions are in advanced phases involving site feasibility and review. He expressed confidence in a robust set of opportunities and "multiple shots on goal" for the remainder of the year. Q: Is X-Energy actively pursuing the DOD's Project Janus opportunity, and could there be an announcement later this year? A: CEO Clay Sell redirected focus to the core business opportunity of deploying XE-100s and manufacturing TRISO-X fuel, which he described as the primary economic opportunity and total addressable market of $2.3 trillion. He stated that no specific announcements regarding the Janus program have been made, and the company's focus remains on the XE-100. Q: Are there any differences in pebble manufacturing or materials handling between LEU and HALEU fuel? A: CEO Clay Sell confirmed that the same TX-1 facility will be used for both LEU and HALEU production. While there are different considerations based largely on criticality factors between the two fuel types, the facility is designed to produce both cores. Q: Are there any additional DOE funding opportunities outside of ARDP, such as loans, that X-Energy is pursuing? A: CEO Clay Sell noted ongoing dialogues with the full suite of U.S. government financing entities, including the Energy Dominance Financing Group, the Strategic Capital Office, Exim Bank, and DFC. He expects to access these debt financing entities for projects and indicated that announcements will be made as discussions progress. He also commented that while AP1000s may make sense in some locations, SMRs offer advantages in functionality, safety, geographic siting, and financial risk. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in X-Energy, Inc.? Here are five stocks we like better. Revenue and grant income surged 154% year over year to $54.6 million in Q2 2026, driven by increased engineering work under the DOE’s ARDP program. The DOE notified X-Energy that its contribution could increase by up to $1 billion, reaching as much as $2.115 billion subject to cost-sharing requirements. X-Energy advanced its supply chain and fuel strategy by signing binding HALEU enrichment agreements with Centrus Energy and General Atomics, while planning up to $8 million in investments to double SGL Carbon’s nuclear graphite capacity by 2030. The company said TX-1 fuel-facility construction was about 80% complete and on schedule, with final NRC review of the Dow project expected in late 2026 and permit issuance targeted for Q1 2027. X-Energy ended the quarter with $1.9 billion in cash and investments and no debt, though operating and capital expenditures remained substantial. The Ugliest Stocks in the Market Just Got a Very Expensive Vote of Confidence X-Energy (NASDAQ:XE) reported second-quarter 2026 revenue and grant income of $54.6 million, up 154% from a year earlier, as engineering activity increased under the U.S. Department of Energy’s Advanced Reactor Demonstration Program, or ARDP. CEO Clay Sell also said the Department of Energy formally notified the company that its ARDP cooperative agreement could receive up to an additional $1 billion, subject to the program’s 50/50 public-private cost-sharing requirements. The potential increase would bring the DOE’s contribution to as much as $2.115 billion. → AST SpaceMobile Earnings Just Reminded Investors How Risky Space Can Be MarketBeat Week in Review – 06/29 - 07/03 The ARDP program supports development of X-Energy’s Xe-100 reactor design, its TX-1 fuel facility and the company’s planned first commercial deployment with Dow at Seadrift, Texas. Sell said the Dow project is expected to provide both electricity and high-temperature industrial steam, and is intended to be the first grid-scale advanced reactor serving an industrial site in North America. During the quarter, X-Energy signed long-term agreements with Centrus Energy and General Atomics for high-assay low-enriched uranium, or HALEU, enrichment services. Sell said the arrangements, combined with approximately 7.6 metric tons of material secured from the Department of Energy for Dow’s first core loads, provide firm supply support for initial and replacement core loads at the company’s announced Xe-100 projects and beyond. → Nebius’ Q2 Beat Shows the AI Bottleneck Is Capacity, Not Demand Xcel Energy Stock Offers Stability as Electricity Demand Builds The company did not disclose contract pricing, delivery timing, quantities or financial commitments. Sell said the agreements are binding and that X-Energy expects to ultimately transfer the fuel-procurement obligations to customers as projects mature. Sell clarified that the Dow plant will begin with low-enriched uranium fuel as part of the reactor’s planned startup sequence, rather than because of HALEU availability. Subsequent core loads are expected to use HALEU fuel. → On Holding's Price Stumble May Be an Opening for a Company Built to Run X-Energy also announced an agreement with SGL Carbon to expand medium-grain nuclear graphite capacity at SGL’s facility in Chedde, France. X-Energy plans to invest up to $8 million through milestone-based payments for new facilities and equipment upgrades. If fully implemented, the initiative is expected to double SGL’s medium-grain graphite manufacturing capacity by 2030 and support graphite billets for as many as eight new Xe-100 reactors annually. The company said these arrangements are part of a strategy to use a portion of its initial public offering proceeds to secure supply-chain capacity, reduce schedule risk and support early investments by suppliers. Sell added that X-Energy is also focused on large steel components, other graphite products and additional long-lead equipment. X-Energy’s TRISO-X fuel unit is constructing its first commercial fuel fabrication facility, TX-1, in Oak Ridge, Tennessee. The facility received a Nuclear Regulatory Commission Part 70 commercial license in February, which Sell described as the first such license issued for a new commercial fuel fabrication facility in more than 50 years. Vertical construction of TX-1’s shell was about 80% complete and remained on schedule, according to Sell. The company expects to complete vertical construction and begin interior work during the third quarter, including construction of a graphite matrix powder building, utility installation and equipment installation. The company said TX-1 is designed to support fuel production for approximately 11 Xe-100 reactors. Its proposed TX-2 facility, which remains in the design phase, is anticipated to have four times TX-1’s capacity. Sell said X-Energy expects it will need to bring TX-2 online sometime in the early 2030s, but has not announced construction or financing plans. X-Energy acquired 70 adjacent acres in July, expanding its Oak Ridge campus to approximately 180 acres. The company also cited an $11 million Tennessee economic development grant for TX-2 and its planned TXL research and development center, as well as an extension of its research agreement with Oak Ridge National Laboratory. On licensing, X-Energy expects NRC staff to close all safety questions related to the Dow construction permit by the end of August. It continues to expect final NRC review in late 2026 and permit issuance in the first quarter of 2027. Energy Northwest, which is developing a Washington State project associated with Amazon’s planned 5 gigawatts of new power projects, is targeting a construction-permit submission in the first half of 2027. Sell said the company is in the final stages of an agreement with a major investor-owned utility for its next 1-gigawatt project. He declined to provide further details, saying an announcement would come after appropriate engagement with local communities. CFO Daniel Gross said second-quarter services revenue was $50.1 million, primarily from Xe-100 design work under ARDP, while grant income was $4.5 million, mainly tied to the Dow demonstration reactor. As of June 30, DOE had reimbursed X-Energy $547 million under the ARDP program. Total operating expenses were $164.6 million, including $86.7 million of direct costs and $77.7 million of selling, general and administrative expense. SG&A included $33.5 million of non-cash equity-based compensation, largely related to options granted at the IPO. Operating activities used $97.3 million of cash during the quarter, reflecting increased ARDP work, staffing, contractors and vendor prepayments for long-lead materials. Capital expenditures totaled $63.3 million, including TX-1 construction. ARDP reimbursed $23.5 million in cash for capital expenditures during the quarter. X-Energy ended June with $1.9 billion in cash and investments, including $1.1 billion of cash and cash equivalents, $490 million of short-term investments and $265 million of long-term investments. Gross said liquidity roughly doubled from three months earlier following $1.1 billion in net IPO proceeds. The company had no debt outstanding at quarter-end. Gross noted that X-Energy’s reported market capitalization on some financial websites may exclude Class B shares under its Up-C corporate structure. The company cited a non-GAAP fully diluted share count of 414 million shares, consisting of Class A and Class B shares as well as outstanding options, restricted stock awards and restricted stock units. X-Energy (NASDAQ: XE) is a U.S.-based advanced nuclear technology company focused on the development and commercialization of small modular reactors (SMRs) and advanced nuclear fuel. Its flagship reactor design, the Xe-100, is a high-temperature gas-cooled reactor intended to provide low-carbon electricity and process heat for industrial applications. X-Energy's technology centers on TRISO fuel, a robust, particle-based fuel form that the company promotes for enhanced safety and high-temperature operation. The company's activities include reactor design and engineering, fuel development and manufacturing, regulatory engagement, and project delivery support for utility and industrial customers. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "X-Energy Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Revenues and grant income of $54.6 million, compared to revenues and grant income of $21.5 million in 2Q 2025 Entered long-term agreements for high-assay low-enriched uranium (“HALEU”) enrichment services with Centrus Energy Corp. and General Matter Announced agreement with SGL Carbon to expand manufacturing capacity for nuclear-grade graphite Received continuation application approval from the U.S. Department of Energy's (“DOE”) Advanced Reactor Demonstration Program (“ARDP”), which extends its budget period through March 2027 Received $11 million economic development grant from the State of Tennessee to support TRISO-X fuel fabrication campus in Oak Ridge, Tennessee Acquired ~70 acres of land adjacent to its commercial nuclear fuel fabrication campus in Oak Ridge, Tennessee Founding member of initiative to accelerate advanced nuclear deployment through the use of artificial intelligence with Idaho National Laboratory (“INL”), NVIDIA, AWS and other partners Extended advanced nuclear fuel research partnership to continue optimizing fuel fabrication with Oak Ridge National Laboratory (“ORNL”) ROCKVILLE, Md., Aug. 13, 2026 (GLOBE NEWSWIRE) -- X-Energy, Inc. (Nasdaq: XE) (“X-energy” or the “Company”), a leading designer of advanced nuclear reactor technology and manufacturer of nuclear fuels, today announced second quarter 2026 financial results and operational highlights. “Our progress in the second quarter reflects our continued focus on execution across every part of our business,” said J. Clay Sell, CEO of X-energy. “We are investing in capabilities that better position the company for commercial execution and scale. Our HALEU enrichment service agreements meaningfully de-risk a substantial portion of the deployment of our reactors, and the agreement with SGL secures our access to critical graphite components, enabling our strategy to build reactors at scale. Through our ongoing partnerships with ORNL and the State of Tennessee, as well as our recent partnership with Project Prometheus, Idaho National Lab, NVIDIA, and AWS, we are working to further lead nuclear innovation through the best tools and resources available." “Overall, we believe this momentum only reinforces our ability to deliver for our customers and continues to build a moat between us and our competitors. We remain focused on building the technology delivery platform to help meet the demands for clean, reliable nuclear energy,” concluded Sell. Operational Highlights Secures Strategic HALEU Enrichment Services: Executed commercial order for HALEU enrichment services, entering into long-term supply agreements with Centrus Energy Corp. and General Matter to support the deployment of its commercial pipeline of Xe-100 SMRs. Expands Joint Supply Chain for Key Reactor Material: Announced agreement to double SGL Carbon’s European production capacity for medium-grain isotropic graphite (“NBG-18”), a specialized material central to X-energy’s Xe-100 high-temperature gas-cooled reactor (“HTGR”). Under the agreement, among other terms, X-energy will invest up to $8 million in milestone-based payments to support new molding facilities and furnace upgrades at SGL’s facility in Chedde, France. Full execution would double European manufacturing capacity for NBG-18 by 2030, enabling the facility to produce graphite billets for up to 8 new Xe-100 reactors per year. Received Continuation Application Approval from the DOE: X-energy has received formal approval of its ARDP continuation application for a budget period extension through March 2027. The ARDP provides X-energy with a 50/50 cost share to continue work toward design, licensing, commercialization, and construction of its first-of-a-kind commercial advanced nuclear plant in collaboration with Dow in Seadrift, Texas, and TX-1, its first commercial TRISO-X fuel fabrication facility. TX-1 Vertical Construction Nears Completion: Vertical construction for the shell of the Company's TX-1 fuel facility in Oak Ridge, Tennessee is progressing on schedule. The Company is on track to meet its near-term milestones for vertical construction completion and the commencement of support building and interior build-out, scheduled to begin in the third quarter of 2026 as planned. TRISO-X Fuel and TX-1/TX-2 Continues to Accelerate: TRISO-X, a leading manufacturer of advanced nuclear fuels and wholly-owned subsidiary of X-energy, was awarded an $11 million economic development grant from the State of Tennessee. The funding will support the continued development of the Company’s fuel fabrication campus in Oak Ridge, Tennessee, including an expected second commercial fuel facility, TX-2, and a dedicated research and development center. The award demonstrates Tennessee's continued support for TRISO-X’s efforts to build one of the world's largest TRISO fuel facility campuses.In July, TRISO-X extended its relationship with the DOE's Oak Ridge National Laboratory through entry into a cooperative research and development agreement. This agreement expands upon a strategic collaboration that has played a central role in advancing commercial-scale TRISO fuel development and manufacturing since 2016. The 30-month agreement builds on nearly a decade of joint research, technology transfer, and process development that has enabled TRISO-X to transition to advance fuel manufacturing processes readiness to manufacture at commercial scale. Also in July, the Company acquired approximately 70 acres of land adjacent to its commercial nuclear fuel campus in Oak Ridge, Tennessee. This expansion supports the continued development of the Company’s fuel fabrication campus, increasing TRISO-X's footprint to approximately 180 acres and is covered under the NRC's Part 70 fuel fabrication license. Founding Member of DOE's AI Initiative: The Company recently joined the DOE's Project Prometheus as a founding member, collaborating with organizations including Idaho National Laboratory, Nvidia, and Amazon Web Services to accelerate advanced nuclear deployment through the use of artificial intelligence. The Company committed $10 million in private capital, along with the use of its Xe-100 HTGR design and fuel fabrication data. This data will serve as a technical platform for a three-year research campaign, leveraging the DOE’s test reactors and supercomputing capabilities to integrate frontier-class AI models into reactor design, licensing, manufacturing, construction, and semi-autonomous operation workflows, as well as fuel. Strengthened Balance Sheet with Initial Public Offering (“IPO”) Net Proceeds: On April 24, 2026, the Company began trading on Nasdaq under the ticker “XE” and on April 27, 2026, the Company closed its IPO, raising approximately $1.1 billion in net proceeds. Financial Results Total revenues and grant income in the three months ended June 30, 2026 were $54.6 million, including $50.1 million of services revenue and $4.5 million of grant income. Total revenues and grant income in the six months ended June 30, 2026 were $98.0 million, including $90.0 million of services revenue and $8.0 million of grant income. Total revenues and grant income increased 154% and 132% for the three and six months ended June 30, 2026, respectively, compared to the comparable prior-year period. This was primarily due to increases of $31.9 million and $56.0 million in revenue and grant income from the ARDP Agreement with the DOE for the three and six months ended June 30, 2026, respectively. This was driven by an increase in project execution activities under the ARDP Agreement as the Company continued to advance the development and finalization of the Xe-100 reactor design. The increase reflected higher spending on materials, subcontractor services, and payroll to support the expanded scope of work. Total operating expenses in the three months ended June 30, 2026 were $164.6 million, including $86.7 million of Direct costs. Total operating expenses in the six months ended June 30, 2026 were $274.2 million, including $152.0 million of Direct costs. Total operating expenses increased 156% and 146% for the three and six months ended June 30, 2026, respectively, compared to the comparable prior-year periods. This was primarily due to increases of $50.5 million and $87.2 million in Direct costs and increases of $50.4 million and $76.5 million in Selling, general, and administrative expenses for the three and six months ended June 30, 2026, respectively, compared to the comparable prior-year periods. The increase in Direct costs was primarily driven by expanded activity under the ARDP Agreement. Subcontracting costs increased by $23.5 million and $32.0 million for the three and six months ended June 30, 2026, respectively. Direct materials costs increased $3.5 million and $17.7 million for the three and six months ended June 30, 2026, respectively. Additionally, direct labor costs increased by $21.7 million and $34.2 million for the three and six months ended June 30, 2026, respectively, including $16.5 million and $27.6 million from higher employee headcount to support the expanded activity under the ARDP Agreement, and $5.2 million and $6.6 million from increased non-cash equity-based and unit-based compensation expense for the three and six months ended June 30, 2026 due to equity grants to certain holders of Profits Interest Units (“PIUs”) in April. The increase in Selling, general, and administrative expenses was driven by an increase in non-cash equity-based and unit-based compensation expense of $28.1 million and $30.9 million for the three and six months ended June 30, 2026, respectively, due to the equity grant to certain PIU holders discussed above. Compensation costs increased $10.5 million and $20.3 million for the three and six months ended June 30, 2026, respectively, primarily due to higher employee headcount. Additionally, infrastructure and professional service costs increased by $6.9 million and $14.1 million for the three and six months ended June 30, 2026, respectively. Net cash used in operating activities in the six months ended June 30, 2026 was $164.6 million of net cash compared to $61.8 million for the six months ended June 30, 2025. The increase in cash used in operating activities is primarily driven by an increase in activity on the ARDP Agreement, including deposits to vendors for long-lead materials, as well as increases in corporate headcount and corporate contractors during the six months ended June 30, 2026 compared to the six months ended June 30, 2025. Net cash used in investing activities in the six months ended June 30, 2026 was $239.6 million of net cash compared to $18.7 million for the six months ended June 30, 2025. The increase in net cash used in investing activities was primarily attributable to an increase in purchases of fixed-income securities of $316.5 million, and a $70.7 million increase in capital expenditures related to the construction of facilities during the six months ended June 30, 2026. These increases in cash outflows were partially offset by an increase in proceeds from investment maturities of $130.9 million and a $35.3 million increase in reimbursements received during the period for capital expenditures qualifying under government grant programs. Net cash provided by financing activities in the six months ended June 30, 2026 was $1.1 billion of net cash compared to $50.4 million for the six months ended June 30, 2025. The net cash provided by financing activities during the six months ended June 30, 2026 was primarily due to $1.1 billion of net proceeds from X-energy’s initial public offering. The net cash provided by financing activities during the six months ended June 30, 2025 was primarily due to the January 2025 issuance of Series C-1 preferred units of $53.4 million, offset by $2.5 million of cash paid for associated issuance costs. Liquidity Cash and cash equivalents totaled $1.1 billion as of June 30, 2026. Short-term investments totaled $489.8 million and Long-term investments totaled $264.6 million, for total liquidity of $1,899.8 million as of June 30, 2026. The Company had no debt outstanding as of June 30, 2026 and December 31, 2025. Project Pipeline The Company’s project pipeline consists of 144 reactors across the U.S. and U.K. for approximately 11.5 gigawatts electric, assuming each customer exercises its contingent rights in full. X-energy’s three high-quality customers, Dow, Amazon, and Centrica, are expected to underpin the deployment of the initial fleets of Xe-100 reactors. Participation in Upcoming Investor Conferences X-energy is scheduled to participate in the following events in September and October 2026: Wolfe Research Utilities, Midstream & Clean Energy Conference, September 30, New York, NY Investing in Advanced Nuclear Energy, October 1, New York, NY TD Cowen 11th Annual Nuclear Roundtable, October 8, virtual Conference Call X-energy will host a conference call today at 8:00 a.m. ET to discuss these results. A live audio webcast of the conference call can be accessed on the “Events & Presentations” section of the Investor Relations page of the Company's website by visiting https://investors.x-energy.com, along with the Company's presentation materials. A replay of the webcast will be available on the website for one year following the event. About X-energy X-energy is a leading designer of advanced small modular nuclear reactors (“SMR”) and fuel technology developed to establish a new standard in clean, safe, reliable energy. X-energy's intrinsically safe Xe-100 high-temperature gas-cooled reactor and TRISO-X particle fuel expand applications for nuclear technology, with commercial projects across grid, industrial, and AI. Together, X-energy's technology drives enhanced safety, lower cost, faster construction timelines, and scalable deployment when compared with other SMRs and conventional nuclear. For more information, visit X-energy.com or connect with us on X or LinkedIn. Contacts Investor RelationsPatricia Gil+1 [email protected] MediaRobert McEntyre+1 [email protected] Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. X-energy intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements can be identified by the fact they do not relate strictly to historical or current facts. Words such as “assume,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “future,” “will,” “seek,” “foreseeable,” the negative version of these words, or similar terms and phrases may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. These forward-looking statements include, but are not limited to, statements relating to the Company’s strategic and operational plans, including plans with respect to construction and expansion of its fuel fabrication campus, expectations with respect to changes in ARDP, the Company’s ability to receive regulatory approvals and on accelerated timeframes, expected project deployment timelines, the Company’s ability to continue to execute its business plan, its ability to continue to reduce the risk of X-energy’s supply chain, expectations regarding future supply of graphite and HALEU from its suppliers, the success of the Company’s supply chain partnerships, future growth, and  business outlook. These forward-looking statements are neither promises nor guarantees and are subject to a number of risks, uncertainties, and assumptions. Actual results may differ materially as a result of a number of factors, including, without limitation, the Company’s ability to achieve final investment decisions from its customers; ability to realize its plans to deliver a commercial Xe-100; the Company’s projects may be subject to delays or setbacks; its liquidity and ability to raise capital; changes or delays in support from the U.S. government, including ARDP; changes, delays, or an inability to receive licenses or other governmental approvals necessary for X-energy’s reactors and fuel facilities; uncertainty and changes in expected costs, schedules and unit economics due to inflation; supply chain constraints (including access to HALEU, graphite and certain other materials), labor availability, site-specific factors and first-of-a-kind risks; suppliers inability to expand or develop capacity to supply X-energy or its customers; X-energy’s limited operating experience at intended scale and the possibility that latent design or operational issues may emerge; reliance on a limited number of specialized suppliers and exposure to supply disruptions, quality issues, and trade policy changes; safety, security, and cybersecurity incidents; the nascent and uncertain market adoption of SMRs and the possibility that demand may grow more slowly than expected or customers may defer or cancel projects; competition from competitors with potentially greater resources or lower costs; reliance on key partners and customers and the risk that changes in partner or customer priorities or timelines could materially affect commercialization; customer contractual terms that may constrain capacity allocation and compress margins; fuel business dependence on a limited number of suppliers for key materials; licensing and scaling X-energy’s fuel fabrication campus and the risk of delays in licensing or facility construction; changes in laws, regulations, incentives, energy market rules, export controls, or government policies; shifts in public perception and political support for nuclear energy or customers; dependence on key personnel and ability to hire and retain talent; and ability to obtain, maintain, or enforce IP rights. The foregoing list of factors is not exhaustive. Additional information concerning these and other factors can be found in the section entitled “Risk Factors” in X-energy’s most recent Form 10-Q filed with Securities and Exchange Commission ("SEC"), and in subsequent filings made with the SEC. Caution must be exercised in relying on these and other forward-looking statements. Due to known and unknown risks, X-energy’s results may differ materially from its expectations and projections.  Any forward-looking statements made herein speak only as of the date of this press release, and you should not rely on forward-looking statements as predictions of future events. Although X-energy believes that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee that the future results, performance or achievements reflected in the forward-looking statements will be achieved or will occur. Except as required by law, X-energy does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. Non-GAAP Financial Measures This press release presents information about certain non-GAAP financial measures. The non-GAAP financial measures are supplemental measures, are not defined by or presented in accordance with GAAP, have limitations as analytical tools, and should not be considered in isolation or as a substitute for analysis of X-energy’s financial results as reported under GAAP. A potential limitation of these non-GAAP financial measures is that other companies may report similar non-GAAP metrics, but calculate them differently, which reduces the usefulness of these non-GAAP metrics as a comparative measure. Because of this and other limitations, you should not consider the non-GAAP financial measures as a substitute for GAAP-based financial performance measures. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are provided herein. Adjusted EBITDA Earnings Before Interest, Income Taxes, Depreciation and Amortization (“EBITDA”) adjusts Net loss attributable to X-Energy, Inc. by (i) including net loss attributable to XERC prior to the IPO, (ii) including net loss attributable to non-controlling interests subsequent to the IPO, and then adjusting for (iii) interest expense, (iv) interest income and (v) depreciation and amortization expense. EBITDA is used by management to evaluate the Company’s operating performance by excluding the effects of financing decisions, income taxes, and non-cash depreciation and amortization, which can vary significantly between companies due to differences in capital structure, tax positions and asset bases. EBITDA is useful to investors because it allows investors insight into the Company’s core operating performance and facilitates comparisons across reporting periods. Adjusted EBITDA is EBITDA excluding (i) equity-based and unit-based compensation and (ii) mark-to-market loss on warrant liabilities and C-2 Notes. Adjusted EBITDA is used by management to assess the Company’s operating performance. Management believes these adjustments exclude variables unrelated to the Company’s core operations and allow for meaningful comparisons between the Company’s operating results from period to period.

X-Energy, Inc. XE is expected to report second-quarter 2026 results on Aug. 13, before market open. The Zacks Consensus Estimate for earnings is pegged at a loss of 9 cents per share. The Zacks Consensus Estimate for revenues is pinned at $50.6 million. Image Source: Zacks Investment Research Our proven model does not predict an earnings beat for X-Energy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here as you will see below.Earnings ESP: The company’s Earnings ESP is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.Zacks Rank: Currently, the company carries a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here. Some stocks in the same sector that have the combination of factors indicating an earnings beat are FuelCell Energy FCEL and YPF Sociedad Anonima YPF. FuelCell Energy and YPF Sociedad Anonima have an Earnings ESP of +17.95% and +14.83%, respectively. FCEL has a Zacks Rank #2 and YPF carries a Zacks Rank #3 at present. Strong balance sheet following the IPO must have been the biggest positive for the second quarter. X-Energy raised approximately $1.1 billion in net IPO proceeds in April, significantly strengthening its ability to fund reactor development, TX-1 construction, supply-chain commitments and engineering work. As of March 31, the company had $944 million in liquidity and no outstanding debt. Including the IPO proceeds, liquidity increased to approximately $2 billion, according to management. This gives X-energy substantially more financial flexibility as it moves into the next stage of development.Demand from AI data centers and industrial customers is also supportive. X-Energy's Xe-100 is designed to provide both electricity and high-temperature steam, making it applicable to data centers as well as industrial facilities. The company specifically identified AI-driven electricity demand and industrial electrification as important markets for its technology. Its discussions span hyperscalers, independent power producers, utilities and industrial customers, providing several potential routes for future project development.The biggest negative remains the company's high cash-burn profile. X-Energy is entering a period of accelerated construction and development, while also adding engineering personnel and increasing spending on its projects. As the company moves deeper into the construction of TX-1 and advances its reactor development and commercialization activities, expenses and cash requirements could have remained elevated in the second quarter and beyond. This might have laid pressure on its cash resources despite the significant capital raised through the IPO. In the past three months, the stock has lost 35.1% compared with the industry’s decline of 14.8%. Image Source: Zacks Investment Research X-Energy is currently trading at a premium compared to its industry on a forward 12-month P/S basis. Image Source: Zacks Investment Research FuelCell Energy and YPF Sociedad Anonima are trading at a discount compared to X-Energy on a forward 12-month P/S basis. X-Energy made strong regulatory progress, receiving NRC environmental approval for the Dow Seadrift project and a commercial fuel-fabrication license. The next key milestone is the Advanced Safety Evaluation Report expected in August 2026.However, execution and first-of-a-kind risks remain significant. X-Energy is developing technologies and facilities that have limited operating experience at the intended commercial scale. Its own filings identify first-of-a-kind construction risks, potential design or operational problems, supply-chain constraints, labor availability and specialized-supplier dependence. These risks could increase costs or push back project schedules. The company specifically warns that actual results could differ materially from its projected commercialization timelines and unit economics. X-Energy's stronger financial position and growing demand from AI data centers and industrial customers support the expansion of its reactor projects. Accelerating construction and development activities could keep cash burn elevated and put pressure on its financial resources.Current investors may stay invested, given its financial position and expanding demand. However, new investors may wait and look for a better entry point, considering the stock’s premium valuation. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report X-Energy, Inc. (XE) : Free Stock Analysis Report YPF Sociedad Anonima (YPF) : Free Stock Analysis Report FuelCell Energy, Inc. (FCEL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. Release Date: August 06, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Centrus Energy Corp (NYSE:LEU) reported strong Q2 2026 results with revenue of $176.1 million, a 14% increase year-over-year, and adjusted net income of $38.7 million. The company's backlog grew to $4.5 billion, extending through 2040, driven by a $600 million increase in LEU and HALEU enrichment sales. Centrus Energy Corp (NYSE:LEU) signed a $900 million task order with the DOE, unlocking substantial non-dilutive, non-debt funding to de-risk its commercial centrifuge build-out. The company secured new HALEU off-take agreements with Oklo and X-Energy, validating its first-mover advantage in the HALEU market and including prepayments as a source of non-dilutive capital. Centrus Energy Corp (NYSE:LEU) met all financial contingencies for its $3 billion in customer contracts, and expects to complete its first centrifuge at Oak Ridge in 2026, a key manufacturing milestone. The company is seeing strong demand tailwinds across all markets (commercial LEU, national security, and HALEU), supported by rising LEU prices and a constructive pricing environment. Centrus Energy Corp (NYSE:LEU) experienced a decrease in SWU revenue by $25.7 million due to a 23% decrease in volume sold, partially offset by a 3% price increase. Technical Solutions segment revenue decreased by 21% year-over-year, primarily due to a $5.9 million decrease in revenue from the HALEU Operations contract. Net income decreased to $16.8 million in Q2 2026 from $28.9 million in Q2 2025, impacted by a $12.8 million increase in SG&A costs and a $7.5 million increase in advanced technology costs. The company faces ongoing cost pressures, with SWU costs increasing 13% and uranium costs rising due to higher sales volumes, impacting gross profit margins. Centrus Energy Corp (NYSE:LEU) continues to incur significant non-capitalized advanced technology costs related to manufacturing readiness and security training, which are expected to flow through the income statement in the near term. The company is unable to provide specific details on delivery timelines and pricing for its new HALEU contracts, limiting visibility for investors. Warning! GuruFocus has detected 8 Warning Signs with LEU. Is LEU fairly valued? Test your thesis with our free DCF calculator. Q: Given that we're less than 18 months from the Russian import ban going into effect, have you seen any changes in buyer behavior? How should we think about potential changes in financials, including inventory or working capital, assuming customers prefer to pre-buy?A: Amir Vexler (CEO): We are seeing strong momentum in customer interest in buying SWU and specifically turning to Centrus as the new entrant into the market. The LEU pricing has had a very strong run-up, which is helpful to our business. We see tightness on the supply side toward the end of the decade, and with strong demand-side additions and not much added to supply in the next year or two, the momentum is playing in favor of sellers. Q: On the X-Energy partnership, could you give us a sense of the cadence of deliveries you expect to make? Do you expect any of those volumes to come from the demonstration cascade that you're converting to commercial offtake?A: Amir Vexler (CEO): We announced a very exciting definitive agreement with X-Energy this morning, which is another data point showing Centrus is becoming the go-to for HALEU. These agreements include prepayments, which are significantly helpful to us. Unfortunately, I cannot provide too many details around deliveries and other specific terms under the contract due to confidentiality, but it is definitive and we look forward to fulfilling it. Q: Can you highlight anything where the two HALEU contracts you recently signed with Oklo and X-Energy may be the same or differ in size, timing, or contract structure? Is one further along or more definitive?A: Amir Vexler (CEO): There are a lot of similarities. We are seeing a much greater ability from our customer base to commit to legally binding definitive agreements, as seen with X-Energy, and we are marching toward that with Oklo as well. The LOI with Oklo is a step that precedes a definitive contract. We are seeing the SMR market mature, and we are leading the pack as the HALEU supplier. The third similarity is prepayments, which add significantly to our non-dilutive capital. Q: On the cost savings front, the partnership with Palantir has proven valuable. What does the picture for further cost savings look like throughout the expansion project, and are there specific cost areas you're focusing on?A: Amir Vexler (CEO): Cost savings is at the top of our priority list. We are unlocking efficiencies with Palantir and our EPC partners. Locking in larger order books and having more clarity into the customer base allows us to make more leveraged buys and realize savings on the supply side. We are also launching internal efforts to ensure manufacturing facilities use lean processes to maximize efficiencies. We cannot provide specific numerical targets, but long-term agreements and large orders result in significant cost savings. Q: Can you talk about the SWU price dynamics? Prices went up 3% during the quarter, whereas costs went up 30%. What are the drivers for the costs going up?A: Amir Vexler (CEO) & Todd Sinelli (CFO): SWU prices are escalating due to demand outstripping supply. No new capacity has been added, and we continue to hear of more reactors coming online, all requiring fuel. The cost increase relates to the contractual mix of SWU and uranium costs and how we account for inventory on the books. Our margins are coming in line with expectations, and we continue to see market demand that will maintain SWU prices. Q: As you transition the HALEU cascade from cost-reimbursable DOE work to commercial operations, what does the fully ramped earnings power of the combined LEU and HALEU business look like? What needs to go right over the next 18 to 24 months?A: Todd Sinelli (CFO) & Amir Vexler (CEO): We don't provide additional guidance on that. The transition of the demo cascades to commercial demonstrates our ability to operate these cascades and produce HALEU for the market. These require LEU feedstock and will develop over time. The intent of the demo cascade was to de-risk the technology, and transitioning this equipment into commercial operations is a great story that demonstrates our technology's capability and high expectations. Q: Is it still the expectation that commercial production would commence around late 2029 at Piketon, or is that timeline potentially moving forward?A: Amir Vexler (CEO): I would remove the adjective "late" and just say in 2029, that is our goal. We are exploring opportunities and working hard to ensure we can potentially compress timelines, but there is nothing to announce and no commitments at this point. Q: Can you give an update on how discussions are going with utilities for LEU on potential long-term contracts now that you've met financial contingencies? Are you seeing more urgency from traditional utility customers?A: Amir Vexler (CEO) & Todd Sinelli (CFO): The LEU market provides a strong foundation for our off-take backlog. Having no required contingencies makes us a much lower-risk enricher, giving us more play with utilities. We are seeing more interest from utilities in the few enrichment providers in the market, and being the new entrant gives us advantages. Discussions are lumpy and take time, but we continue to make existing reactor LEU needs a priority. The market anticipated the Russian ban, and utilities have secured near-term positions, so discussions are for future periods when we plan to have capacity online. Q: On the hiring front, you're accelerating hiring goals at Piketon. Can you touch on the potential de-risking or acceleration of timelines to first cascade given the hiring acceleration?A: Amir Vexler (CEO) & Todd Sinelli (CFO): Improving lead times is a tangible benefit to the company in terms of getting to market quicker. The acceleration in adding workforce is directly related to going faster and taking costs out. We are setting up a first-of-a-kind manufacturing facility in Oak Ridge to produce centrifuges, which are then shipped to Piketon for installation. All these items are connected, and the quicker we stand up manufacturing, the quicker we can begin enrichment. We invite you to attend the Investor Day in December to see the facility in detail. Q: Can you talk about pricing structures in your offtake agreements? Are you using fixed price structures or indexing to some type of pricing? How much offtake do you want decided today?A: Todd Sinelli (CFO): We can't comment on the specific For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in X-Energy, Inc.? Here are five stocks we like better. X-Energy reported its first quarter as a public company with revenue and grant income of $43.4 million, up 109% year over year, while also saying its IPO brought in about $1.1 billion in net proceeds and boosted liquidity to roughly $2 billion after the offering. The company said regulatory progress continues on its Dow project in Texas, with the NRC completing the environmental assessment ahead of schedule and the final construction permit review expected in Q4 2026, with issuance anticipated by Q1 2027. X-Energy also highlighted construction progress on its TX-1 fuel facility, now about 56% complete, and said its commercial pipeline exceeds 11 gigawatts, with management expecting to announce another 1-gigawatt project in 2026. 3 Utility Stocks With Strong Dividends and Room to Run Higher X-Energy (NASDAQ:XE) used its first earnings call as a public company to outline progress on its advanced nuclear reactor and fuel businesses, while reporting higher first-quarter revenue and grant income tied to its federal cost-share program. The company began trading on the Nasdaq on April 24 and closed its initial public offering on April 27. CEO Clay Sell said the IPO generated approximately $1.1 billion in net proceeds, strengthening the company’s liquidity as it works to commercialize its Xe-100 small modular reactor and TRISO-X nuclear fuel. → Palantir’s Drone Tailwind Puts Its Defense AI Story Back in Focus for Investors GE Vernova Rallies on the AI Grid Supercycle: Turbines, Transformers, and Cash Returns “This marked an exciting milestone on our journey to commercialize advanced nuclear technology at scale,” Sell said. He said the company’s technology is aimed at meeting rising electricity demand from artificial intelligence, industrial electrification, industrial process heat and broader power growth. CFO Daniel Gross said first-quarter total revenues and grant income were $43.4 million, up 109% from the prior-year period. That included $39.9 million of services revenue, primarily related to Xe-100 design activities under the U.S. Department of Energy’s Advanced Reactor Demonstration Program, and $3.5 million of grant income associated with Dow’s demonstration reactor project under the same program. → Will the SpaceX IPO Put These 5 Public Space Stocks Into a Higher Orbit? 3 Utilities Plays You Can Lean on During Volatility X-Energy was awarded $1.2 billion in 2021 under the ARDP, which provides a 50/50 public-private cost-sharing framework for finalizing and licensing the Xe-100 design, building the TX-1 fuel fabrication facility in Oak Ridge, Tennessee, and executing the company’s first project with Dow in Seadrift, Texas. Gross said X-Energy had been reimbursed $508 million in federal cost share as of March 31, 2026. Total operating expenses in the quarter were $109.5 million, up 133% year over year. Gross attributed the increase mainly to higher ARDP activity, employee headcount growth, contractor costs and professional fees. The quarter also included a $100.8 million non-cash mark-to-market loss related to the exercise of a warrant issued in 2024 to an investor. → Alphabet's $80 Billion Offering: Worrisome Dilution or AI Confidence? Net cash used in operating activities was $67.3 million, up 61% from the prior year. Gross said investors should not simply annualize first-quarter cash use because the company is accelerating construction activity and adding engineering headcount, though he did not provide forward-looking expense guidance. As of March 31, X-Energy had total liquidity of $944 million, consisting of $224 million in cash and cash equivalents, $450 million of short-term investments and $270 million of long-term investments. Gross said the company had no debt outstanding at the end of the quarter. Adjusted for IPO proceeds, total liquidity was approximately $2 billion. Sell said X-Energy is advancing the first deployment of the Xe-100 reactor at Dow’s Seadrift manufacturing site in Texas. The project is expected to provide both electricity and high-temperature industrial steam to Dow’s operations. The Nuclear Regulatory Commission has completed the environmental assessment for the Dow construction permit application ahead of schedule, concluding with a finding of no significant impact. Sell said the NRC has also completed its draft safety evaluation report, with the next safety review milestone expected by August. X-Energy expects final review of the Dow construction permit to be complete in the fourth quarter of 2026, with issuance anticipated by the first quarter of 2027. Sell said the project is expected to be among the first grid-scale advanced nuclear power plants in North America and the first to provide industrial steam. Sell highlighted progress on the company’s TX-1 fuel fabrication facility in Oak Ridge, which he said is expected to be North America’s first purpose-built commercial advanced nuclear fuel fabrication facility. Full vertical construction began last September and is approximately 56% complete, with interior buildout expected to begin in the third quarter of 2026. X-Energy anticipates operations commencing in the first half of 2028. The NRC granted X-Energy a Part 70 commercial fuel fabrication license under an initial 40-year license. Sell said that establishes TX-1 and the planned TX-2 facility as the first new commercial fuel fabrication facilities licensed by the NRC in more than 50 years. In response to an analyst question, Sell said TX-1 is expected to support 11 reactors at steady state. He said TX-2, planned for the same Oak Ridge site, would have four times the capacity of TX-1 and could bring total steady-state support to 55 reactors after full buildout. Sell also said X-Energy has secured the first core of fuel material for the Dow project through a Department of Energy commitment for 7.6 tons of HALEU material. He said the company is engaged with enrichers in the U.K. and U.S. and expressed confidence that future enrichment supplies would be available in the early 2030s for subsequent cores and new projects. Sell said X-Energy’s existing commercial pipeline exceeds 11 gigawatts, including projects with Dow, Amazon and Centrica. The company also recently agreed to explore deployment of the Xe-100 with subsidiaries of PPL Corporation in Kentucky and with Talen Energy in the PJM market. During the Q&A portion of the call, Sell said X-Energy expects to announce its next 1-gigawatt project sometime in 2026 once a site is identified and a development agreement is in place with a customer. He said the company has multiple conversations underway and is not relying on a single potential project. Sell said customer discussions include hyperscalers, independent power producers supporting Amazon or other users, utilities and industrial heat customers. He said the company is initially focused on the U.S., Canada and the U.K. On the Energy Northwest project, which Sell described as X-Energy’s “fast follower” project, he said the construction permit application is now expected in the first half of 2027. He said that timing is controlled by the customer and that regulatory review is not on the critical path for the overall project schedule. X-Energy also submitted an application to enter the United Kingdom’s Generic Design Assessment process for the Xe-100 power plant as part of its commercial partnership with Centrica. Sell said the first phase of the process is expected to be completed by the end of the year. Sell said X-Energy and Centrica submitted a proposal in March under the U.K. government’s alternative route to market process, which was announced in February. He said the companies have received support from the U.K. government and are in discussions about potential support before final investment decision and construction financing. Gross said X-Energy’s business model is structured so customers take on the balance sheet risk associated with constructing power plants using X-Energy technology. He said the company’s balance sheet exposure is limited to its fuel manufacturing facilities and testing facilities needed before the first Seadrift reactor enters service. X-Energy (NASDAQ: XE) is a U.S.-based advanced nuclear technology company focused on the development and commercialization of small modular reactors (SMRs) and advanced nuclear fuel. Its flagship reactor design, the Xe-100, is a high-temperature gas-cooled reactor intended to provide low-carbon electricity and process heat for industrial applications. X-Energy's technology centers on TRISO fuel, a robust, particle-based fuel form that the company promotes for enhanced safety and high-temperature operation. The company's activities include reactor design and engineering, fuel development and manufacturing, regulatory engagement, and project delivery support for utility and industrial customers. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "X-Energy Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for June 2026.

Revenues and grant income of $43 million, compared to revenues and grant income of $21 million in 1Q 2025 Raised approximately $1.1 billion in net proceeds through initial public offering (“IPO”) and began trading on the Nasdaq Global Select Market (“Nasdaq”) under the ticker “XE” Submitted application to enter the United Kingdom's Generic Design Assessment (“GDA”) process for its Xe-100 High Temperature Gas-cooled Reactor (“HTGR”) Received U.S. Nuclear Regulatory Commission (“NRC”) Environmental Assessment for Dow’s advanced nuclear project in Seadrift, Texas in May, with a Finding of No Significant Impact (“FONSI”) Received Part 70 fuel fabrication license from the NRC, enabling commercial manufacturing for TRISO-X fuel Signed key supply agreement with SGL Carbon for graphite supply and MOU with IHI Corporation for critical HTGR components Exploring deployment of Xe-100 small modular reactors (“SMRs”) with Louisville Gas and Electric Company (“LG&E”) and Kentucky Utilities Company (“KU”), subsidiaries of PPL Corporation, in Kentucky, and with Talen Energy in Pennsylvania and across the PJM Interconnection Regional Transmission Organization (“PJM”) ROCKVILLE, Md., June 04, 2026 (GLOBE NEWSWIRE) -- X-Energy, Inc. (NASDAQ: XE) (“X-energy” or the “Company”), a leading designer of advanced nuclear reactor technology and manufacturer of nuclear fuels, today announced first quarter 2026 financial results for X-Energy Reactor Company, LLC, the predecessor company to X-Energy, Inc., and operational highlights. “Our first earnings announcement as a public company marks an important moment for X-energy and reflects the progress we are making to commercialize advanced nuclear technology at scale,” said J. Clay Sell, CEO of X-energy. “During the first quarter of 2026, we remained focused on advancing the development of the Xe-100 and TRISO-X fuel, while continuing to strengthen the regulatory and commercial foundation needed to support long-term deployment.” “This quarter’s regulatory achievements reflect the strength of X-energy’s long-term approach to licensing and regulatory engagement,” Sell continued. “As the industry works to bring advanced nuclear technologies to market, we believe our ability to achieve first-of-their-kind regulatory approvals helps to establish a stronger foundation for the future commercialization and deployment of advanced nuclear at scale. At the same time, we continued strengthening the commercial foundation of the business through strategic supply chain partnerships, preliminary agreements with domestic utilities, and continued construction of our TX-1 fuel facility in Tennessee.” Daniel Gross, CFO of X-energy added, “Our recent IPO enhanced X-energy’s liquidity profile, providing approximately $1.1 billion dollars in net proceeds of additional capital as we work on bringing advanced nuclear technologies to market. Supported by our industry-leading customer base, our IPO further bolsters our leadership in SMR deployment and commercialization.” Operational Highlights Project Milestones: In May, the NRC completed its Environmental Assessment as part of Dow’s Construction Permit Application for the proposed advanced nuclear project in Seadrift, Texas. The NRC’s review was completed ahead of schedule following a comprehensive independent analysis, concluding with a FONSI. The project is being partially funded under the U.S. Department of Energy's Advanced Reactor Demonstration Program (“ARDP”) and would provide both electricity and high-temperature industrial steam to Dow’s UCC Seadrift Operations. Development efforts are also currently underway for the first Amazon-backed project with Energy Northwest. TRISO-X Fuel and TX-1/TX-2: Received a Special Nuclear Material License under Part 70 from the NRC, enabling TRISO-X to commercially manufacture fuel using high-assay low-enriched uranium (“HALEU”) at its first two commercial facilities (“TX-1” and “TX-2”) under an initial 40-year license. Vertical construction for TX-1 in Oak Ridge, Tennessee is underway and the facility remains on schedule for completion by the first half of 2028. In addition, irradiation testing for the TRISO-X pebble fuel is in progress at Idaho National Laboratory in collaboration with the NRC. Strategic Partners: Entered into a 10-year graphite supply agreement for reactor components of the Company’s Xe-100 SMR, which supports its first commercial deployment for Dow’s Seadrift project under ARDP and is expected to provide a foundation of supply for future projects. Additionally, the Company signed a Memorandum of Understanding with IHI Corporation, a leading nuclear-grade supplier for critical components used in X-energy’s HTGR, to explore opportunities for commercial-grade manufacturing of nuclear-grade components. Business Development: Announced a collaboration with LG&E and KU, subsidiaries of PPL Corporation, to explore deploying Xe-100 SMRs in Kentucky to meet growing energy demand across the Commonwealth, and large load customers, including data centers. Early project feasibility activities have begun and could potentially be supported by the state’s Nuclear Reactor Site Readiness Pilot Program, which includes a $75 million grant initiative to support nuclear site feasibility studies, applications for early site and construction permitting, and licensing. Three projects are expected to be selected to receive up to $25 million each. The Company also recently signed a Letter of Intent with Talen Energy to assess deploying three or more four-unit Xe-100 plants in Pennsylvania and across the PJM market to add clean baseload capacity to help support reliability and meet growing energy demand from onshoring of manufacturing, data centers, and electrification. Under the agreement, X-energy and Talen plan to conduct early-stage project development activities, including feasibility studies, site evaluations, and a project execution framework. Regulatory: Submitted an application to enter the U.K.'s GDA process for its Xe-100 HTGR to advance the Company's commercial partnership with Centrica. Subject to acceptance, this is the established regulatory pathway for licensing new nuclear technologies, evaluating safety, security, safeguards, and environmental impact independent of site-specific applications in the U.K.Coordination with the NRC for review of a construction permit application for a proposed advanced nuclear project at The Dow Chemical Company’s UCC Seadrift, Texas site is ongoing. Dow and X-energy’s Construction Permit Application for the proposed advanced nuclear project in Seadrift, Texas, achieved a historic milestone as the first commercial reactor to receive environmental clearance through an Environmental Assessment instead of a years-long Environmental Impact Statement. Following a comprehensive independent analysis, the NRC completed its assessment ahead of schedule and issued a FONSI. Corporate: On April 24, 2026, the Company began trading on Nasdaq under the ticker “XE” and on April 27, 2026, the Company closed its IPO, raising approximately $1.1 billion in net proceeds. The use of proceeds is intended for working capital and other general corporate purposes, which may include research and development and sales and marketing activities, general and administrative matters, and capital expenditures, including spending necessary for supply chain and procurement activities, in addition to potentially funding future growth projects. 1Q 2026 Financial Results Total Revenues and Grant Income in the three months ended March 31, 2026 were $43.4 million, including $39.9 million of Services Revenue and $3.5 million of Grant Income. Total Revenues and Grant Income increased 109% compared to the three months ended March 31, 2025 primarily due to a $21.6 million increase in revenue and grant income from the ARDP Agreement with the Department of Energy (“DOE”). This was driven by an increase in activities and nature of services performed. Total Operating Expenses in the three months ended March 31, 2026 were $109.5 million, including $65.4 million of Direct Costs. Total Operating Expenses increased 133% compared to the three months ended March 31, 2025 primarily due to an increase of $36.6 million in Direct Costs and an increase of $26.1 million in Selling, General, and Administrative expenses. The increase in Direct Costs was driven by increases of $12.0 million and $11.7 million in subcontracting costs and direct materials, respectively, which were driven by an increase in activity related to the ARDP Agreement, and an increase of $11.4 million in direct labor costs which was driven by an increase in employee headcount to support activity under the ARDP Agreement. The increase in Selling, General, and Administrative expenses was primarily due to an $8.7 million increase in payroll-related costs due primarily to increases in employee headcount and a $3.1 million increase in unit-based compensation expense due to new grants made during the year ended December 31, 2025. Selling, General and Administrative expenses further increased by $6.1 million due to contractor costs related to corporate projects and a $5.2 million increase in professional fees and enterprise software costs for general corporate use. Net Cash Used in Operating Activities in the three months ended March 31, 2026 was $67.3 million, a 61% increase compared to the three months ended March 31, 2025, primarily due to an increase in activity on the ARDP Agreement, an increase in corporate headcount, and an increase in enterprise software costs and corporate contractors. Net Cash Used in Investing Activities in the three months ended March 31, 2026 was $166.0 million, reflecting $43.0 million of capital expenditures and $28.8 million of reimbursements for capital expenditures received from the DOE under the ARDP. The increase in Net Cash Used in Investing Activities compared to the three months ended March 31, 2025 was primarily due to purchases of investments of $189.9 million, and a $31.7 million increase in capital expenditures related to the construction of facilities, including TX-1. These increases in cash outflows were partially offset by a $38.1 million increase in proceeds from investment maturities and a $19.3 million increase in reimbursements received during the period for capital expenditures qualifying under government grant programs compared to the three months ended March 31, 2025. 1Q 2026 Liquidity Cash and Cash Equivalents totaled $224.1 million as of March 31, 2026. Short-term investments totaled $449.5 million and Long-term investments totaled $270.4 million, for total liquidity of $944.0 million as of March 31, 2026. The Company had no debt outstanding as of March 31, 2026 and December 31, 2025. Additionally, on April 24, 2026, the Company began trading on Nasdaq under the ticker “XE” and on April 27, 2026, the Company settled its IPO, raising approximately $1.1 billion in net proceeds. Project Pipeline As of March 31, 2026, the Company’s project pipeline consisted of 144 reactors across the U.S. and U.K. for approximately 11.5 gigawatts electric, assuming each customer exercises its contingent rights in full. X-energy’s three high-quality customers, Dow, Amazon, and Centrica, are expected to underpin the deployment of the initial fleets of Xe-100 reactors. Conference Call X-energy will host a conference call today at 8:00 a.m. ET to discuss the results. A live audio webcast of the conference call can be accessed on the Investor Relations page of the Company's website by visiting https://investors.x-energy.com, along with the Company's presentation materials. A replay of the webcast will be available on the website for at least 30 days following the event. About X-energy X-energy is a leading designer of advanced small modular nuclear reactors (“SMR”) and fuel technology developed to establish a new standard in clean, safe, reliable energy. X-energy's intrinsically safe Xe-100 high-temperature gas-cooled reactor and TRISO-X particle fuel expand applications for nuclear technology, with commercial projects across grid, industrial, and AI. Together, X-energy's technology drives enhanced safety, lower cost, faster construction timelines, and scalable deployment when compared with other SMRs and conventional nuclear. For more information, visit X-energy.com or connect with us on X or LinkedIn. Contacts Investor RelationsPatricia Gil+1 [email protected] MediaRobert McEntyre+1 [email protected] Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements can be identified by the fact they do not relate strictly to historical or current facts. Words such as “assume,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “future,” “will,” “seek,” “foreseeable,” the negative version of these words, or similar terms and phrases may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. These forward-looking statements include, but are not limited to, statements relating to our strategic and operational plans, including completion of construction for our initial fuel fabrication facility, our ability to receive regulatory approvals and on accelerated timeframes, expected project deployment timeline, the ability of our initial collaborations to turn into customers, expected use of IPO proceeds, the success of our supply chain partnerships, future growth, and the outlook of our business. These forward-looking statements are neither promises nor guarantees and are subject to a number of risks, uncertainties, and assumptions. Actual results may differ materially as a result of a number of factors, including, without limitation, our ability to achieve final investment decisions from our customers; our ability to realize our plans to deliver a commercial Xe-100; our projects may be subject to delays or setbacks; our liquidity and ability to raise capital; changes or delays in support from the U.S. government, including ARDP; changes, delays, or an inability to receive licenses or other governmental approvals necessary for our reactors and fuel facilities; uncertainty and changes in our expected costs, schedules and unit economics due to inflation, supply chain constraints (including our customers' access to HALEU and certain other materials), labor availability, site-specific factors and first-of-a-kind risks; our limited operating experience at intended scale and the possibility that latent design or operational issues may emerge; our reliance on a limited number of specialized suppliers and exposure to supply disruptions, quality issues, and trade policy changes; safety, security, and cybersecurity incidents; the nascent and uncertain market adoption of SMRs and the possibility that demand may grow more slowly than expected or customers may defer or cancel projects; competition from competitors with potentially greater resources or lower costs; our reliance on key partners and customers and the risk that changes in partner priorities or timelines could materially affect commercialization; customer contractual terms that may constrain capacity allocation and compress margins; our fuel business dependence on licensing and scaling fuel fabrication facilities and the risk of delays in NRC licensing or facility construction; changes in laws, regulations, incentives, energy market rules, export controls, or government policies; shifts in public perception and political support for nuclear energy; our dependence on key personnel and ability to hire and retain talent; and our ability to obtain, maintain, or enforce IP rights. The foregoing list of factors is not exhaustive. Additional information concerning these and other factors can be found in the section entitled “Risk Factors” in our prospectus dated April 23, 2026, filed with Securities and Exchange Commission ("SEC") on April 27, 2026, and in subsequent filings we make with the SEC. Additional information will also be set forth in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2026. Caution must be exercised in relying on these and other forward-looking statements. Due to known and unknown risks, our results may differ materially from our expectations and projections. Any forward-looking statements made herein speak only as of the date of this press release, and you should not rely on forward-looking statements as predictions of future events. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that the future results, performance or achievements reflected in the forward-looking statements will be achieved or will occur. Except as required by law, X-energy does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. __________(1)    Includes related party revenue of $1.9 million and $2.7 million for the three months ended March 31, 2026 and 2025, respectively.