Core Viewpoint - Perma-Fix Environmental Services, Inc. is advancing its patent-pending Perma-FAS® process for the destruction of PFAS, with a new commercial unit expected to be operational by Q4 2024 [1][2]. Company Update - The company has selected ProcessBarron for the fabrication and assembly of its new Perma-FAS commercial unit, which is a 1,000-gallon system designed to accept and destroy PFAS waste [1][2]. - The unit is anticipated to achieve a destruction level of 99.9999%, making it the first known sealed chemical destruction unit operating in a fixed facility in the U.S. [2][3]. Technology and Process - The Perma-FAS system utilizes a proprietary hydrolytic destruction process that operates at temperatures between 100-150 degrees Celsius, effectively breaking down PFAS compounds into non-hazardous byproducts [2][3]. - The process results in the production of calcium fluoride, water, and other non-hazardous organic materials that can be recovered and reused or resold [2]. Market Context - Recent regulatory measures by the U.S. Environmental Protection Agency (EPA) have increased urgency among waste generators to address PFAS contamination, creating a favorable market environment for the company's new technology [2][3]. - The company is in communication with the EPA regarding the commercial operation of its treatment technology, aligning with the agency's goals to eliminate hazardous PFAS chemicals [2][3]. Company Background - Perma-Fix Environmental Services is a leading provider of nuclear and mixed waste management services, operating four nuclear waste treatment facilities and serving various federal agencies [4].

Core Viewpoint - Perma-Fix Environmental Services, Inc. has announced a definitive agreement to issue and sell 2,051,282 shares of common stock at an offering price of $9.75 per share, aiming to raise approximately $20 million in gross proceeds [1][2]. Group 1: Offering Details - The gross proceeds from the offering are expected to be around $20 million before deducting fees and expenses [2]. - The offering is set to close on or about May 24, 2024, pending customary closing conditions [3]. Group 2: Use of Proceeds - The net proceeds from the offering will be utilized for continued R&D and business development related to a patent-pending process for PFAS destruction, installation of a commercial treatment unit, ongoing facility capital expenditures, maintenance costs, and general corporate working capital [2]. Group 3: Company Overview - Perma-Fix Environmental Services is a leading provider of nuclear and mixed waste management services, including management and treatment of radioactive waste for various federal agencies and the commercial nuclear industry [6]. - The company operates four nuclear waste treatment facilities and offers a range of services including project management, environmental restoration, and radiological protection [6].

Core Viewpoint - Perma-Fix Environmental Services, Inc. has announced a definitive agreement to issue and sell 2,051,282 shares of common stock at an offering price of $9.75 per share, aiming to raise approximately $20 million in gross proceeds [1][2]. Group 1: Offering Details - The gross proceeds from the offering are expected to be around $20 million before deducting fees and expenses [2]. - The offering is set to close on or about May 24, 2024, pending customary closing conditions [3]. Group 2: Use of Proceeds - The net proceeds from the offering will be utilized for continued R&D and business development related to a patent-pending process for PFAS destruction, installation of a commercial treatment unit, ongoing facility capital expenditures, maintenance costs, and general corporate working capital [2]. Group 3: Company Overview - Perma-Fix Environmental Services is a leading provider of nuclear and mixed waste management services, including management and treatment of radioactive waste for various federal agencies and the commercial nuclear industry [6]. - The company operates four nuclear waste treatment facilities and offers services such as project management, environmental restoration, and decontamination [6].

Revenue Performance - Revenue for Q1 2024 decreased by approximately $6,490,000 or 32.3% to $13,617,000 compared to $20,107,000 in Q1 2023[105] - Services Segment revenue fell by $5,605,000 or 53.3% to $4,908,000 from $10,513,000, while Treatment Segment revenue decreased by $885,000 or 9.2% to $8,709,000 from $9,594,000[105][112] - Revenue from government clients in the Treatment Segment decreased primarily due to lower waste volumes and delays in waste shipments attributed to poor weather and federal budget issues[112] - Revenue from government clients represented approximately $10,143,000 or 74.5% of total revenue for the three months ended March 31, 2024, compared to $17,247,000 or 85.8% in the same period of 2023[138] Financial Losses - Gross loss for Q1 2024 was approximately $620,000, a decrease of $3,629,000 or 120.6% compared to a gross profit of $3,009,000 in Q1 2023[105] - The company incurred a loss from continuing operations of $3,458,000 in Q1 2024, compared to a loss of $318,000 in Q1 2023[110] Expenses and Costs - SG&A expenses increased by $58,000 or 1.7% for Q1 2024 compared to Q1 2023, reflecting ongoing operational costs[105] - Cost of goods sold decreased by $2,861,000 or 16.7% for the quarter ended March 31, 2024, compared to the same quarter in 2023, with total revenue of $14,237,000 in 2024 versus $17,098,000 in 2023[113] - Gross profit decreased by $3,629,000 for the quarter ended March 31, 2024, resulting in a gross margin of (0.6)% compared to 13.0% in 2023, primarily due to lower revenue and the completion of high-margin projects[114] - SG&A expenses increased by $58,000 to $3,544,000 for the three months ended March 31, 2024, driven by higher administrative and Treatment Segment expenses[115] - R&D expenses rose by approximately $197,000 in Q1 2024, mainly due to costs associated with PFAS technology development[116] Cash Flow and Working Capital - Cash used in operating activities totaled $4,432,000 for continuing operations in Q1 2024, with cash on hand of approximately $2,374,000[122] - Working capital decreased to $255,000 as of March 31, 2024, from $4,613,000 at the end of 2023, primarily due to reduced cash and revenue declines[125] Investments and Future Expectations - Accelerated investments in R&D for new PFAS treatment technology impacted financial performance, with expectations for positive effects beginning in the second half of 2024[102][104] - The company expects to generate increased revenue under a multi-year contract valued at approximately EUR 50 million starting in 2026, related to radioactive waste treatment in Italy[104] - The company is positioned for large procurements from the U.S. Department of Energy and U.S. Navy, with plans for broader waste treatment capabilities[104] - The company expects to install additional units for PFAS treatment at each existing treatment plant in 2025 following the first operational unit[140] Regulatory and Environmental Liabilities - The company is subject to rigorous federal, state, and local regulations, which may result in fines or remediation costs[141] - Total accrued environmental remediation liabilities as of March 31, 2024, were $800,000, a decrease of approximately $45,000 from the previous balance[144] - As of March 31, 2024, $16,000 of the total accrued environmental liabilities was recorded as current[144] Debt and Interest - Interest income increased by approximately $47,000 in Q1 2024, attributed to higher interest from a sinking fund and a money market account[118] - Interest expense increased by approximately $63,000 in Q1 2024, primarily due to interest on a $2,500,000 term loan[119] - The company is required to maintain a daily minimum borrowing availability of $2,250,000 under the revolving credit through June 29, 2024, increasing to $3,000,000 starting June 30, 2024[136] Backlog and Receivables - Waste treatment backlog increased to approximately $10,580,000 as of March 31, 2024, up by approximately $1,878,000 from $8,702,000 on December 31, 2023[103] - As of March 31, 2024, PF Canada had approximately $1,612,000 in outstanding receivables due from CNL, expected to be settled by the end of 2024[139] Operational Impact - The company performed services related to waste generated by government clients, which could have a material adverse impact on operations if contracts are terminated or funding is reduced[138] - The company has successfully completed pilot plant testing on a new process for the destruction of PFAS, with plans to be operational by the end of 2024[140]

Perma-Fix Environmental Services, Inc. (NASDAQ:PESI) Q4 2023 Earnings Conference Call March 13, 2024 11:00 AM ET Company Participants David Waldman - IR, Crescendo Communications Mark Duff - CEO Ben Naccarato - EVP & CFO Louis Centofanti - EVP, Strategic Initiatives Conference Call Participants Howard Brous - Wellington Shields & Co. Walter Schenker - MAZ Capital Advisors Brian Russo - Sidoti & Company Ross Taylor - ARS Investment Partners Operator Greetings. Welcome to the Perma-Fix Q4 and Fiscal 2023 Year ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____ to _____ Commission File No. 1-11596 PERMA-FIX ENVIRONMENTAL SERVICES, INC. (Exact name of registrant as specified in its charter) Delaware 58-1954497 State or other ...

Financial Data and Key Metrics Changes - Total revenue from continuing operations for Q3 2023 was $21.9 million, an increase of $3.4 million or 18.4% compared to $18.5 million in Q3 2022 [19][24] - Gross profit increased by 48.2%, with gross margin rising from 16.6% to 20.8% [24] - Net income for the quarter was $341,000, down from $664,000 in the previous year, which included employee retention credits [51] - Adjusted EBITDA from continuing operations was $1.2 million compared to a loss of $374,000 in the previous year [53] Business Segment Data and Key Metrics Changes - Treatment segment revenue improved by $1.9 million, while services segment revenue increased by $1.5 million due to improved productivity and new project starts [19][46] - Year-to-date revenue through September 30 was up $13.2 million or 24.5%, with treatment segment revenue increasing by $8.5 million and services segment revenue up $4.7 million [47] Market Data and Key Metrics Changes - Waste backlog and unearned revenue as of September 30 was $12.1 million, significantly improved from $9.2 million at year-end and $7.1 million in September 2022 [34] - The company anticipates sustained receipts from European expansion, estimating combined annual revenues in the $10 million to $20 million range starting in late 2024 [11] Company Strategy and Development Direction - The company continues to implement its growth strategy, focusing on new opportunities that could significantly enhance revenues and long-term backlog [8] - The startup of the DFLAW facility is critical, expected to provide vitrification services for about 40% of the tank waste volume on site [31] - The company is optimistic about the near-term market outlook based on a growing backlog and several important contracts expected to be awarded over the next few quarters [33] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for continued growth in both segments, despite temporary customer delays impacting Q3 results [18][26] - The company is focused on increasing productivity and reducing costs to maximize margins [18] - Management remains confident in maintaining a sustainable revenue foundation in the $90 million to $100 million range annually [66] Other Important Information - The company has several large potential strategic awards from the DOE, which could represent significant increases in sustainable revenue [9] - The TBI initiative is progressing, with expectations for waste extraction and treatment to begin in the second half of 2024 [15] Q&A Session Summary Question: What does the contract in Croatia and Italy mean for Perma-Fix? - Management indicated that these contracts could significantly increase revenue and position the company for larger contracts in the future [40] Question: What is the status of the DFLAW facility? - Management confirmed that the DFLAW facility is on track for a late 2024 startup, with no announced delays [43][72] Question: What is the expected revenue from transuranic waste? - Management estimated that the transuranic waste program could represent a sustainable backlog, with potential revenues in the $50 million to $200 million range [76] Question: What is the services backlog as of September? - The services backlog was reported to be in the $22 million range [105] Question: How does the company plan to achieve its revenue targets? - Management expressed confidence in upcoming projects and bids, indicating a strong pipeline for future revenue growth [111]

PART I - FINANCIAL INFORMATION [Item 1. Condensed Consolidated Financial Statements](index=4&type=section&id=Item%201.%20Condensed%20Consolidated%20Financial%20Statements) The condensed consolidated financial statements detail the company's financial position and performance, highlighting asset growth, a return to profitability, and improved cash flow from operations [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheets reflect an increase in total assets driven by receivables, alongside a rise in liabilities and a modest increase in stockholders' equity Balance Sheet Highlights (In Thousands) | Balance Sheet Highlights (In Thousands) | Sep 30, 2023 (Unaudited) | Dec 31, 2022 | | :--- | :--- | :--- | | **Total Current Assets** | $32,217 | $23,526 | | Accounts receivable, net | $15,342 | $9,364 | | Unbilled receivables | $9,336 | $6,062 | | **Total Assets** | **$79,504** | **$70,898** | | **Total Current Liabilities** | $27,469 | $22,708 | | Deferred revenue | $7,765 | $4,813 | | **Total Liabilities** | **$40,673** | **$33,365** | | **Total Stockholders' Equity** | **$38,831** | **$37,533** | [Condensed Consolidated Statements of Operations](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) The statements of operations show significant revenue growth for both the quarter and nine-month period, leading to a return to profitability from prior-year losses Key Metrics (In Thousands) | Key Metrics (In Thousands) | Q3 2023 | Q3 2022 | Nine Months 2023 | Nine Months 2022 | | :--- | :--- | :--- | :--- | :--- | | **Net Revenues** | $21,877 | $18,472 | $67,016 | $53,842 | | **Gross Profit** | $4,549 | $3,070 | $12,074 | $7,590 | | **Income (loss) from operations** | $496 | $(928) | $765 | $(3,691) | | **Net Income (loss)** | $341 | $664 | $404 | $(2,124) | | **Basic EPS** | $0.03 | $0.05 | $0.03 | $(0.16) | [Condensed Consolidated Statements of Cash Flows](index=10&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) The cash flow statements indicate improved operating cash flow, continued investment in property and equipment, and significant cash generation from financing activities Cash Flow Summary (In Thousands) | Cash Flow Summary (In Thousands) | Nine Months Ended Sep 30, 2023 | Nine Months Ended Sep 30, 2022 | | :--- | :--- | :--- | | Cash used in operating activities | $(26) | $(893) | | Cash used in investing activities | $(1,386) | $(922) | | Cash provided by (used in) financing activities | $1,890 | $(694) | | **Increase (decrease) in cash** | **$478** | **$(2,513)** | [Notes to Condensed Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes detail accounting policies, revenue disaggregation, debt agreement amendments, significant receivable settlements, and the recognition of an Employee Retention Credit - Revenue is primarily recognized over time and is disaggregated by contract type (Fixed price, Time and materials) and generator (Government, Commercial). For the nine months ended Sep 30, 2023, total revenue was **$67.0 million**, with **$53.8 million** from domestic government sources[28](index=28&type=chunk)[30](index=30&type=chunk)[31](index=31&type=chunk) - The company amended its loan agreement with PNC Bank on July 31, 2023, extending the maturity to May 15, 2027, and obtaining an additional term loan of **$2.5 million**[57](index=57&type=chunk)[60](index=60&type=chunk)[66](index=66&type=chunk) - Perma-Fix Canada Inc. (PF Canada) has reached an agreement in principle with Canadian Nuclear Laboratories (CNL) to settle and receive payment for approximately **$2.3 million** in unpaid receivables and **$1.1 million** in contractual holdbacks[71](index=71&type=chunk) - The company determined it was eligible for the Employee Retention Credit (ERC) and claimed a refund of approximately **$1,975,000**, which was recognized as other income in Q3 2022 and received in cash in March 2023[93](index=93&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=28&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management's discussion highlights significant revenue and gross profit growth driven by segment performance, improved liquidity from a credit facility amendment, and ongoing uncertainties including government reliance and macroeconomic factors [Results of Operations](index=31&type=section&id=Results%20of%20Operations) Results of operations show strong consolidated revenue and gross profit growth for both the quarter and nine-month period, driven by segment-specific performance, while SG&A expenses remained stable Revenue Change by Segment (In thousands) | Revenue Change by Segment (In thousands) | Q3 2023 vs Q3 2022 | Nine Months 2023 vs 2022 | | :--- | :--- | :--- | | Treatment Segment | +$1,918 (+21.6%) | +$8,474 (+34.2%) | | Services Segment | +$1,487 (+15.5%) | +$4,700 (+16.2%) | | **Total** | **+$3,405 (+18.4%)** | **+$13,174 (+24.5%)** | Gross Profit Change by Segment (In thousands) | Gross Profit Change by Segment (In thousands) | Q3 2023 vs Q3 2022 | Nine Months 2023 vs 2022 | | :--- | :--- | :--- | | Treatment Segment | -$473 (-24.0%) | +$1,069 (+25.6%) | | Services Segment | +$1,952 (+177.0%) | +$3,415 (+99.8%) | | **Total** | **+$1,479 (+48.2%)** | **+$4,484 (+59.1%)** | - SG&A expenses remained flat, increasing by only **$4,000** in Q3 2023 and decreasing by **$66,000** for the nine-month period compared to the prior year[115](index=115&type=chunk)[116](index=116&type=chunk) [Liquidity and Capital Resources](index=36&type=section&id=Liquidity%20and%20Capital%20Resources) The company's liquidity is strong, supported by increased working capital and an amended credit facility that extends maturity and provides additional borrowing capacity, deemed sufficient for the next twelve months - At September 30, 2023, borrowing availability under the revolving credit facility was approximately **$10,378,000**, which included cash and was net of **$3.2 million** in standby letters of credit and a **$750,000** availability reduction[121](index=121&type=chunk) - The company amended its credit facility on July 31, 2023, extending the maturity to May 15, 2027, adding a new **$2.5 million** term loan, and removing the Tangible Adjusted Net Worth covenant[128](index=128&type=chunk)[131](index=131&type=chunk) - The company met all its loan covenant requirements in Q2 and Q3 2023 and expects to continue to do so for the next twelve months[136](index=136&type=chunk) [Known Trends and Uncertainties](index=40&type=section&id=Known%20Trends%20and%20Uncertainties) Key trends and uncertainties include heavy reliance on government contracts, potential impacts from government shutdowns, progress on international agreements, and ongoing macroeconomic pressures like inflation - The company is heavily dependent on government contracts, which accounted for **74.2%** of revenue in Q3 2023 and **82.6%** YTD[141](index=141&type=chunk) - A potential U.S. government shutdown could negatively impact financial results through delays in procurement, waste shipments, and new projects[142](index=142&type=chunk) - An agreement in principle has been reached with CNL for the payment of approximately **$2.3 million** in receivables and **$1.1 million** in holdbacks to the company's Canadian subsidiary, PF Canada[144](index=144&type=chunk) - Macroeconomic factors, including inflation, supply chain issues, and higher interest rates, continue to negatively impact financial results and may inhibit the company's ability to raise prices[146](index=146&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=41&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section is not required for smaller reporting companies, thus no disclosure is provided - Disclosure is not required for smaller reporting companies[150](index=150&type=chunk) [Item 4. Controls and Procedures](index=41&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were effective as of September 30, 2023, with no material changes in internal control over financial reporting during the quarter - The Principal Executive Officer and Principal Financial Officer concluded that the company's disclosure controls and procedures were effective as of September 30, 2023[151](index=151&type=chunk) - No changes in internal control over financial reporting occurred during the quarter that materially affected, or are reasonably likely to materially affect, internal controls[152](index=152&type=chunk) PART II - OTHER INFORMATION [Item 1. Legal Proceedings](index=42&type=section&id=Item%201.%20Legal%20Proceedings) No new material legal proceedings are pending against the company or its subsidiaries, nor have there been material changes to previously disclosed proceedings - There are no material legal proceedings pending against the company or its subsidiaries that have not been previously reported in the Form 10-K for the year ended December 31, 2022[154](index=154&type=chunk) [Item 1A. Risk Factors](index=42&type=section&id=Item%201A.%20Risk%20Factors) No material changes have occurred in the risk factors previously disclosed in the 2022 Form 10-K and Q1 2023 Form 10-Q - No material changes have occurred in the risk factors previously disclosed in the 2022 Form 10-K and Q1 2023 Form 10-Q[155](index=155&type=chunk) [Item 6. Exhibits](index=42&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the report, including credit agreement amendments, officer certifications, and Interactive Data Files (XBRL) - Exhibits filed include the Seventh Amendment to the Credit Agreement, CEO and CFO certifications pursuant to Rule 13a-14(a) and Section 1350, and various Inline XBRL documents[158](index=158&type=chunk)

Perma-Fix Environmental Services, Inc. (NASDAQ:PESI) Q2 2023 Earnings Conference Call August 3, 2023 11:00 AM ET Company Participants David Waldman - Investor Relations Mark Duff - President & Chief Executive Officer Ben Naccarato - Executive Vice President & Chief Financial Officer Conference Call Participants Brian Russo - Sidoti Ross Taylor - ARS Investment Partners Aaron Warwick - Breakout Investors Stephen Fein - Sofein LLC Operator Greetings. Welcome to the Perma-Fix Second Quarter 2023 Earnings Confe ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION For the quarterly period ended June 30, 2023 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______________to_________________ Commission File No. 001-11596 PERMA-FIX ENVIRONMENTAL SERVICES, INC. (Exact name of registrant as specified in its charter) Delaware 58-1954497 WASHINGTON, D.C. 20549 Form 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT ...