Core Viewpoint - LiqTech International, Inc. reported strong financial results for Q1 2025, with a significant sequential revenue growth driven by a record commercial order in the oil and gas sector and ongoing projects in various markets, including a joint venture in China [4][5][6]. Recent Financial Highlights - Q1 2025 revenue was $4.6 million, a 36% increase from $3.4 million in Q4 2024 and a 9% increase from $4.2 million in Q1 2024 [5][7]. - The company expects Q2 2025 revenue to be between $4.8 million and $5.2 million, representing a 4% to 13% sequential increase and a 7% to 16% year-over-year improvement from Q2 2024 [2]. Recent Operational Highlights - A record commercial order for PureFlow™ Mobile Units was delivered to the oil and gas industry, contributing to a 36% sequential revenue growth [4]. - The company has multiple pilot and commercial projects underway, including lithium brine production and oil and gas water treatment [4][6]. - A joint venture with Jiangsu JiTRI Marine Equipment Co., Ltd. was established, leading to two marine scrubber orders and a new framework agreement for aftersales support [4][6]. Management Commentary - The CEO highlighted the successful delivery of a record order and the positive outlook for Q2 2025 based on good sales development across various products [4]. - The company is seeing a ramp-up in DPF order intakes, swimming pool systems orders, and growth in plastics, which are expected to drive further revenue growth [4]. Financial Results Overview - Gross profit for Q1 2025 was $0.1 million, with a gross profit margin of 2.7%, down from $0.3 million and 6.4% in Q1 2024, primarily due to low margins on the full-scale liquid filtration system [8]. - Total operating expenses for Q1 2025 were $2.3 million, consistent with the same period in 2024 [9]. - The net loss for Q1 2025 was $(2.4) million, unchanged from Q1 2024 [13]. Balance Sheet Highlights - As of March 31, 2025, the company had a cash balance of $10.4 million and total assets of $32.57 million [21][24]. - Total liabilities were $17.5 million, with stockholders' equity at $15.06 million [23][24].

Core Insights - LiqTech International, Inc. has entered into a distribution and partnership agreement with NAF Aquatics LLC to target the U.S. commercial swimming pool market, marking a significant step in its U.S. expansion strategy [1] - The U.S. swimming pool construction market was valued at approximately $1.41 billion in 2023 and is projected to grow to $2.69 billion by 2032, with a CAGR of 7.5% [2] - LiqTech's PurePool™ filtration system offers substantial benefits over traditional systems, including an 80% reduction in water consumption, 60% lower energy costs, and 30% less chlorine usage [3] Company Overview - LiqTech International, Inc. specializes in advanced ceramic silicon carbide filtration technologies for gas and liquid purification, utilizing nanotechnology for product development [5] - The company aims to accelerate revenue growth through its entry into the U.S. market and expand recurring revenue opportunities via long-term system installations [7] Partnership Details - NAF Aquatics LLC, based in New Jersey, specializes in the design, construction, and maintenance of commercial aquatic facilities and holds NSF/ANSI 50 certification [2] - The partnership is expected to leverage NAF Aquatics' strong market position and local expertise to facilitate LiqTech's international expansion [3] Product Advantages - LiqTech's PurePool™ system requires only one-third of the space of conventional filtration systems, making it suitable for retrofitting without major structural changes [3] - The Aqua Solution® ceramic membrane technology enhances water purification efficiency, offering finer filtration and lower energy consumption compared to traditional sand filters [4]

Group 1 - LiqTech International, Inc. will report its first quarter 2025 financial results on May 14, 2025, before the market opens [1] - A conference call to review the results is scheduled for the same day at 9:00 a.m. Eastern time [1][2] - The conference call can be accessed via phone or a live webcast on the company's website [2] Group 2 - LiqTech International, Inc. specializes in high-tech filtration products and systems, particularly ceramic silicon carbide filtration technologies for gas and liquid purification [4] - The company's silicon carbide membranes are designed for challenging purification applications, including controlling diesel exhaust soot emissions [4] - LiqTech utilizes nanotechnology to develop a range of filtration products, offering unique turnkey solutions for water purification [4]

Core Viewpoint - LiqTech International, Inc. (LIQT) has received a Zacks Rank 2 (Buy) upgrade due to an upward trend in earnings estimates, indicating a positive outlook for the company's stock price [1][3]. Earnings Estimates and Stock Price Correlation - The Zacks rating system emphasizes the importance of changing earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Institutional investors utilize earnings estimates to determine the fair value of stocks, influencing their buying and selling decisions, which in turn affects stock prices [4]. Recent Performance and Future Expectations - For the fiscal year ending December 2025, LiqTech International is expected to earn -$0.60 per share, reflecting a 63.4% change from the previous year's reported number [8]. - Over the past three months, the Zacks Consensus Estimate for LiqTech International has increased by 40%, indicating a positive trend in earnings expectations [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with only the top 20% receiving a 'Strong Buy' or 'Buy' rating, suggesting superior earnings estimate revisions [9][10]. - The upgrade of LiqTech International to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating potential for market-beating returns in the near term [10].

Financial Data and Key Metrics Changes - Revenue for Q4 2024 was $3.4 million, a 37% sequential increase from Q3 2024, but down from $3.9 million in Q4 2023 [9][42] - The net loss for Q4 was $3.0 million, compared to $3.2 million for the same period in 2023 [47] - Cash at the end of the quarter was $10.9 million, with underlying cash decreasing by approximately $2.4 million compared to the end of Q3 2024 [48] Business Line Data and Key Metrics Changes - Water treatment systems revenue was up nearly $750,000 or 108% sequentially, totaling $1.4 million in Q4 2024 [10][42] - Ceramic membrane sales were $1.1 million, flat compared to Q3 2024 and down from $1.4 million in Q4 2023 [42] - Simplastics revenue was $0.9 million, up 13% year-over-year and up 34% sequentially [33][42] Market Data and Key Metrics Changes - The company has ongoing pilot programs in various markets, including lithium brine production and microplastics removal, which are critical for long-term adoption [10][20] - The Middle East market has been slow in adoption, with a shift in focus towards the US market [22][24] Company Strategy and Development Direction - The company aims to lower its breakeven target to approximately $5.5 million to $6.0 million per quarter through cost reduction strategies [12][47] - A distribution agreement was established with Razorback Direct to commercialize water treatment solutions in the oil and gas sector [16] - The company is focusing on expanding its presence in the marine market through a joint venture in China [27][29] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, particularly in the oil and gas industry, citing a record commercial order as a validation of their systems [12][19] - The CEO highlighted the importance of pilot programs as a pathway to larger commercial orders [51] - Management is aware of the need to preserve cash and drive the business towards achieving positive cash flows [52] Other Important Information - The company appointed David Kowalczuk as the new Chief Financial and Operating Officer, effective March 1, 2025 [34] - The company has implemented a comprehensive cost reduction strategy, including a 10% reduction in headcount and salaries for senior management [47] Q&A Session Summary Question: Q4 revenues were towards the lower end of expectations. Was there a deterioration since the last call? - Management clarified that timing differences on key projects affected the revenue, but they remained within guidance [56] Question: How will the large order in Q1 affect subsequent quarters? - Management expects contributions from other market segments in Q2, aiming for continued growth each quarter [58] Question: What is needed for a real take-off in revenues? - Management emphasized the importance of building a strong sales pipeline through distribution agreements and ongoing pilot programs [60] Question: Why would customers choose the company's oil and gas treatment technology over competitors? - The company offers stable treatment and high-quality water reinjection and reuse, which competitors cannot provide [67] Question: What is the status of pool sales and the marine market? - Management acknowledged disappointing pool sales due to a weak pipeline in 2023 but is optimistic about future growth [78] - The company is conducting pilot testing in China, with expectations for commercial sales by the end of Q2 [82]

Financial Data and Key Metrics Changes - Revenue for Q4 2024 was $3.4 million, a 37% sequential increase from Q3 2024, but down from $3.9 million in Q4 2023 [9][42] - The net loss for Q4 2024 was $3.0 million, compared to $3.2 million for the same period in 2023 [47] - Cash at the end of Q4 2024 was $10.9 million, with underlying cash decreasing by approximately $2.4 million compared to the end of Q3 2024 [48] Business Line Data and Key Metrics Changes - Water treatment systems revenue was up nearly $750,000 or 108% sequentially, totaling $1.4 million in Q4 2024 [10][42] - Ceramic membrane sales were $1.1 million, flat compared to Q3 2024 and down from $1.4 million in Q4 2023 [42] - Simplastics revenue was $0.9 million, up 13% year-over-year and up 34% sequentially [33][42] Market Data and Key Metrics Changes - The company has ongoing pilot programs in various markets, including lithium brine production and petrochemical microplastics removal, which are critical for future growth [10][20] - The Middle East market has been slow in adoption, while the focus is increasingly directed towards the US market [22][23] Company Strategy and Development Direction - The company aims to lower its breakeven target to approximately $5.5 million to $6.0 million per quarter through cost reduction strategies [12][47] - A significant commercial order from Razorback Direct for PureFlow mobile units is expected to drive revenue growth in Q1 2025 [11][50] - The establishment of a joint venture in China aims to expand the company's focus within the marine market [27][29] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, particularly in the oil and gas industry, citing the successful execution of pilot programs leading to commercial orders [19][50] - The company is focused on building a strong sales pipeline in swimming pool systems and marine systems to drive revenue growth [60][61] Other Important Information - The company has implemented a cost reduction strategy, including a 10% reduction in headcount and senior management salaries [12][47] - The appointment of David Kowalczuk as the new Chief Financial and Operating Officer is expected to enhance the company's growth and profitability [34][36] Q&A Session Summary Question: Q4 revenues were towards the lower end of expectations. Was there a deterioration since the last call? - Management clarified that timing differences on key projects led to being on the lower end of guidance, but they remained within the expected range [56] Question: How will the new oil and gas PureFlow systems affect subsequent quarters? - Management indicated that while Q1 will see significant revenue from the PureFlow system, they expect contributions from other market segments in Q2 [58] Question: What is needed for a real take-off in revenues for LiqTech? - Management emphasized the importance of building a strong sales pipeline through distribution agreements and pilot programs [60] Question: Why would a customer choose LiqTech's oil and gas treatment technology over competitors? - Management highlighted that LiqTech's technology offers stable treatment and the ability for water reinjection and reuse, which competitors cannot provide [66][67] Question: What is the opportunity in the marine market following the supply approval from WinGD? - Management stated that pilot testing is underway, and they expect to recognize revenue from commercial sales by the end of Q2 [82][84]

Company Performance - LiqTech International, Inc. reported a quarterly loss of $0.39 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.37, but an improvement from a loss of $0.56 per share a year ago [1] - The company posted revenues of $3.41 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 10.37% and down from $3.93 million in the same quarter last year [2] - Over the last four quarters, the company has consistently failed to surpass consensus EPS and revenue estimates [2] Stock Performance - LiqTech International shares have declined approximately 17.1% since the beginning of the year, compared to a decline of 3.2% for the S&P 500 [3] - The current consensus EPS estimate for the upcoming quarter is -$0.30 on revenues of $4.5 million, and for the current fiscal year, it is -$1 on revenues of $19.1 million [7] Industry Outlook - The Pollution Control industry, to which LiqTech International belongs, is currently ranked in the bottom 25% of over 250 Zacks industries, indicating a challenging environment [8] - The performance of LiqTech International's stock may be influenced by the overall outlook for the industry, as research shows that the top 50% of Zacks-ranked industries outperform the bottom 50% by more than 2 to 1 [8]

Core Viewpoint - LiqTech International, Inc. reported a sequential revenue growth of 37% in Q4 2024, driven by an increase in pilot systems and improvements in the swimming pool business, despite an overall revenue decline for the fiscal year 2024 compared to 2023 [3][4]. Recent Financial Highlights - FY 2024 revenue was $14.6 million, down 18.9% from $18.0 million in FY 2023, primarily due to reduced deliveries in various product lines [4][5]. - Q4 2024 revenue was $3.4 million, a 37% increase from Q3 2024 but a 13% decrease from Q4 2023 [5]. - The company reported a net loss of $(10.3) million for FY 2024, compared to $(8.6) million in FY 2023 [9]. Outlook - The company expects Q1 2025 revenue to be between $4.3 million and $4.7 million, indicating a sequential increase of 26% to 38% from Q4 2024 [10]. Recent Operational Highlights - A record commercial order for PureFlow Mobile Units was received from Razorback Direct for the North American energy sector, expected to contribute to revenue growth in Q1 2025 [5][6]. - The company has implemented a cost reduction strategy aimed at lowering the break-even target to approximately $5.5 to $6.0 million in quarterly revenue [3][5]. - LiqTech is expanding its presence in the swimming pool market and has entered a joint venture to develop water treatment systems for marine ships in China [5][6]. Management Commentary - The CEO highlighted the importance of the recent commercial order as a validation of LiqTech's solutions in the energy industry and expressed optimism about future growth opportunities [3][5]. - The company is focused on achieving profitability in 2025 through revenue growth and cost-saving initiatives [3].

Core Points - LiqTech International, Inc. will report its financial results for Q4 and fiscal year 2024 on March 28, 2025, before market opens [1] - A conference call to discuss the results is scheduled for the same day at 9:00 a.m. ET [2] Company Overview - LiqTech International, Inc. is a clean technology company specializing in ceramic silicon carbide filtration technologies for gas and liquid purification [4] - The company develops products using proprietary silicon carbide technology, offering solutions for microfiltration and ultrafiltration applications [4] - LiqTech's products are designed for challenging purification applications, including controlling diesel exhaust soot emissions [4]

Core Viewpoint - LiqTech International, Inc. has received supplier approval for its Water Treatment System (WTS) for WinGD 2-stroke dual-fuel engines, marking a significant step in advancing the decarbonization of marine transportation [1][4]. Company Overview - LiqTech International, Inc. is a clean technology company specializing in advanced filtration products and systems, particularly using silicon carbide (SiC) ceramic membranes for gas and liquid purification [6]. - The company holds a market share greater than 20% in the marine scrubber market, which includes hybrid and closed-loop systems [5]. Technology and Innovation - LiqTech's membrane technology allows for efficient filtration, enabling the reuse of 80-95% of feed water, which is crucial for sustainable shipping [3]. - The company's systems have been installed in over 170 marine water treatment systems worldwide, showcasing their extensive experience in the filtration industry [3]. Industry Context - The marine shipping industry is transitioning towards cleaner fuel applications, with a notable increase in new vessels equipped with dual-fuel engines that require reliable water treatment for exhaust gas recirculation (EGR) systems [4]. - Approximately 400 new vessels are on order with EGR solutions planned between 2024 and 2027, indicating a growing demand for effective water treatment solutions [4]. Strategic Partnerships - The approval from WinGD allows LiqTech to deliver its systems to WinGD, its licensees, and authorized service partners, enhancing collaboration in the marine engine sector [4].