Core Points - Cadiz, Inc. has declared a cash dividend of $550.00 per whole share for its 8.875% Series A Cumulative Perpetual Preferred Stock [2] - Holders of depositary shares will receive a cash dividend of $0.55 per depositary share, with the payment scheduled for October 15, 2025 [2] - The record date for the dividend payment is set for October 4, 2025 [2] Company Overview - Cadiz, Inc. is a California-based water solutions company founded in 1983, focusing on providing access to clean, reliable, and affordable water [3] - The company manages 45,000 acres of land in California and has a water supply capacity of 2.5 million acre-feet, along with 220 miles of pipeline assets [3] - Cadiz employs cost-effective water treatment filtration technology to address the impacts of climate change on clean water access [3]

Core Viewpoint - Cadiz Inc. has entered into a partnership with San Bernardino Valley Municipal Water District and Fontana Water Company to address perchlorate contamination in the Rialto-Colton Groundwater Basin, supporting the Cactus Basins Recharge Program aimed at enhancing water supply reliability and quality in San Bernardino County [2][4]. Group 1: Partnership Details - The agreement involves Cadiz providing specialized water filtration systems to Fontana Water Company for perchlorate treatment at their facilities [3]. - This initiative is part of a larger 200,000 acre-foot water supply agreement signed in 2024 between Fontana Water Company and Cadiz [3]. Group 2: Program Objectives - The Cactus Basins Recharge Program is designed to improve water supply reliability and address legacy perchlorate contamination while enhancing groundwater supply benefits for local communities [4]. - The program will utilize imported State Water Project water for recharge, although planning has faced delays due to contamination concerns [6]. Group 3: Regional Water Security Challenges - San Bernardino County is facing threats to long-term water security due to climate-related risks and variability in State Water Project deliveries, necessitating a coordinated approach to water infrastructure investment [4]. - The county aims to maximize local water reuse, recharge groundwater basins, and reduce reliance on imported water [4]. Group 4: Company Background - Cadiz, Inc. is a California water solutions company focused on providing access to clean and reliable water through various supply, storage, pipeline, and treatment solutions [9]. - The company operates the Mojave Groundwater Bank project, which is a significant groundwater storage and supply initiative in the eastern Mojave Desert [9].

Core Insights - Cadiz Inc. is featured in a segment on the public television series Empowered, highlighting the impacts of climate change on water access and the need for infrastructure modernization [1][2][3] - The segment includes insights from Cadiz's CEO Susan Kennedy, emphasizing that access to water will be a significant climate challenge in the next decade [3] - Cadiz aims to provide clean, reliable, and affordable water through innovative solutions, including repurposing idle oil and gas pipelines for water conveyance [1][4] Company Overview - Cadiz, Inc. was founded in 1983 and is dedicated to providing water solutions in California, with 45,000 acres of land and a water supply of 2.5 million acre-feet [4] - The company has 220 miles of pipeline assets and offers cost-effective water treatment filtration technology [4] - Cadiz's mission is to address the impacts of climate change on clean water access through a combination of supply, storage, pipeline, and treatment solutions [4] Media Engagement - The Empowered segment featuring Cadiz will air nationwide starting September 8, 2025, with promotional content also airing on CNBC [1][3] - A full-length version of the segment will be available on Cadiz's website and social media channels, including additional interviews and local footage [3]

Group 1 - Cadiz reported a quarterly loss of $0.11 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.09, representing an earnings surprise of -22.22% [1] - The company posted revenues of $4.13 million for the quarter ended June 2025, missing the Zacks Consensus Estimate by 1.17%, compared to revenues of $0.51 million a year ago [2] - Cadiz shares have declined approximately 31.7% since the beginning of the year, contrasting with the S&P 500's gain of 9.6% [3] Group 2 - The earnings outlook for Cadiz is uncertain, and future stock performance will depend on management's commentary during the earnings call [4] - The estimate revisions trend for Cadiz was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] - The current consensus EPS estimate for the upcoming quarter is -$0.09 on revenues of $3.91 million, and -$0.07 on revenues of $15.89 million for the current fiscal year [7] Group 3 - The Agriculture - Operations industry, to which Cadiz belongs, is currently ranked in the bottom 22% of over 250 Zacks industries, which may negatively impact stock performance [8]

PART I – FINANCIAL INFORMATION [Financial Statements](index=3&type=section&id=ITEM%201.%20Financial%20Statements) This section presents Cadiz Inc.'s unaudited condensed consolidated financial statements for Q2 and H1 2025, reporting a net loss of **$7.7 million** for Q2 and **$17.3 million** for H1, with notes on accounting policies and financial matters [Condensed Consolidated Statements of Operations and Comprehensive Loss](index=4&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Loss) Cadiz Inc. reported **Q2 2025 revenues of $4.1 million** (up from **$0.5 million**) with a net loss of **$7.7 million**, while **H1 2025 revenues grew to $7.1 million** (from **$1.6 million**) with a net loss widening to **$17.3 million** | Metric ($ in thousands) | Q2 2025 | Q2 2024 | YoY Change | | :--- | :--- | :--- | :--- | | **Total revenues** | $4,126 | $513 | +704.3% | | Operating loss | $(5,777) | $(6,949) | +16.9% | | Net loss | $(7,730) | $(8,872) | +12.9% | | Net loss per common share | $(0.11) | $(0.15) | +26.7% | | Metric ($ in thousands) | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | **Total revenues** | $7,080 | $1,634 | +333.3% | | Operating loss | $(13,310) | $(11,857) | -12.3% | | Net loss | $(17,323) | $(15,722) | -10.2% | | Net loss per common share | $(0.25) | $(0.27) | +7.4% | [Condensed Consolidated Balance Sheets](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets increased to **$136.4 million** from **$134.5 million** at year-end 2024, with cash decreasing to **$13.2 million** and stockholders' equity rising to **$35.6 million** due to capital raising | Balance Sheet Item ($ in thousands) | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $13,205 | $17,292 | | Total current assets | $21,039 | $25,786 | | Total assets | $136,379 | $134,494 | | Long-term debt, net | $58,751 | $56,708 | | Total liabilities | $100,813 | $100,533 | | Total stockholders' equity | $35,566 | $33,961 | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Cash%20Flows) Net cash used in operating activities significantly decreased to **$5.0 million** in H1 2025 from **$9.9 million** in H1 2024, while investing activities used **$10.8 million** and financing provided **$14.3 million** from stock issuance | Cash Flow Activity ($ in thousands) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | $(5,000) | $(9,936) | | Net cash used in investing activities | $(10,800) | $(467) | | Net cash provided by financing activities | $14,338 | $16,003 | | Net (decrease) increase in cash | $(1,462) | $5,600 | [Condensed Consolidated Statement of Stockholders' Equity](index=8&type=section&id=Unaudited%20Condensed%20Consolidated%20Statement%20of%20Stockholders%27%20Equity) Stockholders' equity increased from **$34.0 million** to **$35.6 million** in H1 2025, driven by **$18.3 million** from a direct offering and stock-based compensation, offset by a **$17.3 million** net loss and **$2.6 million** in preferred dividends - In the first half of 2025, the company issued **5,715,000 shares** through a direct offering, resulting in net proceeds of **$18.3 million**[14](index=14&type=chunk) - The accumulated deficit increased from **$(676.1) million** at the end of 2024 to **$(675.4) million** as of June 30, 2025, after accounting for a net loss of **$17.3 million**, preferred dividends, and a reclassification of prior dividends from accumulated deficit to additional paid-in capital[14](index=14&type=chunk) [Notes to the Condensed Consolidated Financial Statements](index=10&type=section&id=Unaudited%20Notes%20to%20the%20Condensed%20Consolidated%20Financial%20Statements) The notes detail accounting policies, liquidity, segment performance, debt, and stock compensation, highlighting the company's two segments and recent equity offerings to fund operations and development projects - The company incurred a net loss of **$17.3 million** for the six months ended June 30, 2025, and had working capital of **$9.4 million**; management believes it can continue as a going concern through potential equity placements, asset sales, or cost reductions[20](index=20&type=chunk)[27](index=27&type=chunk)[29](index=29&type=chunk) - In March 2025, the company raised approximately **$18.3 million** in net proceeds from a registered direct offering of **5,715,000 shares** of common stock[26](index=26&type=chunk) - The company operates in two reportable segments: Land and Water Resources, which is in a pre-revenue development phase, and Water Filtration Technology (ATEC), which provides the majority of current revenues[37](index=37&type=chunk) - In March 2024, the company entered into a Third Amended Credit Agreement with Heerema, providing a new **$20 million** senior secured convertible term loan and extending existing debt maturity to June 30, 2027[24](index=24&type=chunk)[48](index=48&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=25&type=section&id=ITEM%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's water solutions business, highlighting significant revenue growth in the ATEC segment, which drove overall revenue increases despite a widening operating loss due to increased development costs and stock-based compensation, with ongoing reliance on debt and equity financing [Business Overview](index=25&type=section&id=Business%20Overview) Cadiz Inc. is a water solutions provider with substantial Southern California assets, focusing on developing its Mojave Groundwater Bank, securing **85%** of Northern Pipeline capacity, and establishing MWI to fund **$800 million** in construction costs with **$425 million** in potential equity - The company's asset portfolio includes **2.5 million acre-feet** of water supply, **1 million acre-feet** of groundwater storage, **220 miles** of existing pipeline, and rights for a new **43-mile** pipeline[100](index=100&type=chunk)[102](index=102&type=chunk)[103](index=103&type=chunk) - In 2024, the company entered into agreements with water providers for the purchase of **21,275 AFY** of annual water supply, representing **85%** of the Northern Pipeline's full capacity[108](index=108&type=chunk) - The company is forming Mojave Water Infrastructure Company, LLC (MWI) to fund the approximately **$800 million** construction cost of the Mojave Groundwater Bank and has non-binding letters of intent for up to **$425 million** in equity capital[112](index=112&type=chunk) [Results of Operations](index=27&type=section&id=Results%20of%20Operations) Q2 2025 revenues rose to **$4.1 million** (from **$0.5 million**) with a narrowed operating loss of **$5.8 million**, while H1 2025 revenues grew to **$7.1 million** (from **$1.6 million**), but operating loss increased to **$13.3 million** due to higher development and compensation costs | Segment Performance (in thousands) | Q2 2025 Revenue | Q2 2024 Revenue | Q2 2025 Operating (Loss)/Income | Q2 2024 Operating Loss | | :--- | :--- | :--- | :--- | :--- | | Land and Water Resources | $431 | $350 | $(6,227) | $(6,538) | | Water Filtration Technology | $3,695 | $163 | $450 | $(411) | | Segment Performance (in thousands) | H1 2025 Revenue | H1 2024 Revenue | H1 2025 Operating (Loss)/Income | H1 2024 Operating Loss | | :--- | :--- | :--- | :--- | :--- | | Land and Water Resources | $996 | $986 | $(13,853) | $(11,324) | | Water Filtration Technology | $6,084 | $648 | $543 | $(533) | - The increase in ATEC sales in H1 2025 is attributed to the shipment of **195 filters** compared to **37 filters** in H1 2024[126](index=126&type=chunk) - General and administrative expenses for H1 2025, excluding stock-based compensation, increased to **$11.7 million** from **$8.7 million** in H1 2024, due to higher legal, consulting, and marketing costs[128](index=128&type=chunk) [Liquidity and Capital Resources](index=32&type=section&id=Liquidity%20and%20Capital%20Resources) The company relies on debt and equity financing, raising **$40.4 million** from two direct offerings for the Mojave Groundwater Bank, with cash used in operations decreasing to **$5.0 million** in H1 2025, while investing activities increased to **$10.8 million** - Completed a registered direct offering in November 2024 for net proceeds of approximately **$22.1 million**[132](index=132&type=chunk) - Completed a registered direct offering in March 2025 for net proceeds of approximately **$18.3 million**[133](index=133&type=chunk) - In March 2024, the company amended its credit agreement, securing a new **$20 million** convertible term loan and extending the maturity of existing debt to June 30, 2027[139](index=139&type=chunk) - Cash used in operating activities decreased to **$5.0 million** in H1 2025 from **$9.9 million** in H1 2024, driven by lower working capital needs at ATEC[144](index=144&type=chunk) [Outlook](index=34&type=section&id=Outlook) The company has sufficient short-term working capital from recent equity offerings and cash on hand, but requires additional long-term capital for the Mojave Groundwater Bank and other projects, potentially through equity, debt, or asset dispositions - The company has sufficient funds for short-term working capital needs following the March 2025 Direct Offering[147](index=147&type=chunk) - Long-term capital will be needed to finance the Mojave Groundwater Bank, with the timing dependent on MWI funding and reimbursement of development costs[148](index=148&type=chunk) [Quantitative and Qualitative Disclosures about Market Risk](index=35&type=section&id=ITEM%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) As a smaller reporting company, Cadiz Inc. is not required to provide quantitative and qualitative disclosures about market risk - As a smaller reporting company, the registrant is not required to provide quantitative and qualitative disclosures about market risk[152](index=152&type=chunk) [Controls and Procedures](index=35&type=section&id=ITEM%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that disclosure controls and procedures were effective as of June 30, 2025, with no material changes to internal control over financial reporting during the last fiscal quarter - The Principal Executive Officer and Principal Financial Officer concluded that the company's disclosure controls and procedures were effective as of June 30, 2025[153](index=153&type=chunk) - No material changes to the company's internal control over financial reporting were identified during the last fiscal quarter[154](index=154&type=chunk) PART II – OTHER INFORMATION [Legal Proceedings](index=37&type=section&id=ITEM%201.%20Legal%20Proceedings) No material changes to legal proceedings have occurred since the Annual Report on Form 10-K for the year ended December 31, 2024 - No material changes to legal proceedings have occurred since the last annual report[157](index=157&type=chunk) [Risk Factors](index=37&type=section&id=ITEM%201A.%20Risk%20Factors) No material changes to risk factors have occurred since the Annual Report on Form 10-K for the year ended December 31, 2024 - No material changes to risk factors have occurred since the last annual report[158](index=158&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=37&type=section&id=ITEM%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This item is not applicable for the current reporting period - Not applicable[159](index=159&type=chunk) [Other Information](index=37&type=section&id=ITEM%205.%20Other%20Information) The company reported no Form 8-K information or nomination process modifications, and no director or officer adopted or terminated a Rule 10b5-1 trading arrangement during H1 2025 - During the six months ended June 30, 2025, no director or officer adopted or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement[162](index=162&type=chunk) [Exhibits](index=38&type=section&id=ITEM%206.%20Exhibits) This section lists exhibits filed with the Quarterly Report on Form 10-Q, including CEO and CFO certifications under Sarbanes-Oxley and Inline XBRL financial data files - The report includes certifications from the CEO and CFO as required by Sections 302 and 906 of the Sarbanes-Oxley Act[166](index=166&type=chunk) - Inline XBRL documents are filed concurrently with the report[164](index=164&type=chunk)

Core Insights - Cadiz, Inc. will participate in the 15th Annual ROTH London Conference on June 25-26, 2025, at the Four Seasons Hotel London [1] - The company's Chairman and CEO, Susan Kennedy, will engage in one-on-one meetings with institutional investors during the conference [2] - Cadiz, Inc. is focused on providing clean, reliable, and affordable water solutions, leveraging its extensive resources including 45,000 acres of land and 2.5 million acre-feet of water supply [3] Company Overview - Founded in 1983, Cadiz, Inc. specializes in water supply, storage, pipeline, and treatment solutions [3] - The company possesses 220 miles of pipeline assets and utilizes advanced water treatment filtration technology [3] - Cadiz aims to address the challenges posed by climate change on clean water access through its comprehensive solutions [3]

Core Viewpoint - Cadiz, Inc. has declared a cash dividend on its 8.875% Series A Cumulative Perpetual Preferred Stock, reflecting the company's commitment to returning value to its shareholders [1][2]. Company Overview - Cadiz, Inc. is a California-based water solutions company founded in 1983, focused on providing access to clean, reliable, and affordable water through a combination of water supply, storage, pipeline, and treatment solutions [3]. - The company manages 45,000 acres of land in California and has a water supply capacity of 2.5 million acre-feet, along with 220 miles of pipeline assets [3]. - Cadiz utilizes cost-effective water treatment filtration technology, positioning itself to address the impacts of climate change on clean water access [3]. Dividend Details - Holders of Series A Preferred Stock will receive a cash dividend of $560.00 per whole share, while holders of depositary shares will receive $0.56 per depositary share [2]. - The dividend payment is scheduled for July 15, 2025, to shareholders on record as of July 3, 2025 [2].

Core Insights - Cadiz Inc. has entered into a Memorandum of Understanding (MOU) with Hoku Energy Limited to develop a major clean energy campus at Cadiz Ranch in California's Mojave Desert, which aligns with the company's commitment to sustainable development [2][5] - The MOU grants Hoku Energy a three-year exclusive option to develop over 10,000 acres for various clean energy projects, including green hydrogen production and large-scale renewable energy generation [3][4] - The projects are expected to generate annual lease revenue and water supply sales of $7 to $10 million, supporting sustainable water and farming operations [1] Company Overview - Cadiz Inc. is a California water solutions company with 45,000 acres of land, 2.5 million acre-feet of water supply, and 220 miles of pipeline assets, focusing on providing clean and reliable water [7] - The company is also developing the Mojave Groundwater Bank and has previously partnered with RIC Energy for green hydrogen production on up to 3,000 acres [5] Project Details - The Hoku Energy project may include facilities for green hydrogen production, renewable power generation, battery storage, and integrated digital infrastructure such as data centers [3][4] - The agreement allows for continued commercial development at Cadiz, including agricultural operations and reserves 400 acres for additional commercial development, with Hoku having the right of first refusal to supply power to any developed data center [4][5] Strategic Importance - The collaboration with Hoku Energy is seen as a key component of Cadiz's long-term land use strategy, enhancing the potential for large-scale renewable energy and data center development [5] - The combined efforts with Hoku and RIC Energy are expected to position Cadiz Ranch as a significant clean energy campus and green hydrogen production hub in North America [5]

Company Overview - Cadiz, Inc. is a California water solutions company founded in 1983, focused on providing access to clean, reliable, and affordable water through a combination of water supply, storage, pipeline, and treatment solutions [3] - The company manages 45,000 acres of land in California and has a water supply capacity of 2.5 million acre-feet, along with 220 miles of pipeline assets [3] - Cadiz utilizes the most cost-effective water treatment filtration technology in the industry to address the impacts of climate change on clean water access [3] Recent Events - Cadiz, Inc. will participate in the B. Riley Securities 25th Annual Investor Conference on May 21-22, 2025, at the Ritz-Carlton, Marina Del Rey, California [1] - Management will engage in one-on-one meetings with investors throughout the day on May 21 [1] - An updated investor presentation will be available on the company's investor website following the conference [2]

Group 1 - Cadiz reported a quarterly loss of $0.14 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.11, and compared to a loss of $0.12 per share a year ago, indicating an earnings surprise of -27.27% [1] - The company posted revenues of $2.95 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 34.14%, and this represents an increase from year-ago revenues of $1.12 million [2] - Cadiz shares have declined approximately 39% since the beginning of the year, contrasting with the S&P 500's gain of 0.1% [3] Group 2 - The earnings outlook for Cadiz is currently unfavorable, with a Zacks Rank of 4 (Sell), suggesting that the shares are expected to underperform the market in the near future [6] - The current consensus EPS estimate for the upcoming quarter is -$0.09 on revenues of $4.18 million, and for the current fiscal year, it is -$0.05 on revenues of $16.49 million [7] - The Agriculture - Operations industry, to which Cadiz belongs, is currently ranked in the bottom 38% of over 250 Zacks industries, indicating a challenging environment for stock performance [8]