Lightbridge(US:LTBR)2025-08-13 00:26PART I - FINANCIAL INFORMATION Condensed Consolidated Financial Statements This section presents the unaudited condensed consolidated financial statements for the periods ended June 30, 2025 Balance Sheets Total assets and stockholders' equity significantly increased due to a substantial rise in cash from financing activities Condensed Consolidated Balance Sheet Highlights | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Assets | | | | Cash and cash equivalents | $97,901,357 | $39,990,827 | | Total Current Assets | $98,362,270 | $40,315,205 | | Total Assets | $98,968,970 | $40,952,875 | | Liabilities & Equity | | | | Total Current Liabilities | $1,194,377 | $424,585 | | Total Stockholders' Equity | $97,774,593 | $40,528,290 | Statements of Operations Net losses widened for the three and six-month periods due to higher General & Administrative and R&D expenses Condensed Consolidated Statements of Operations Highlights | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | :--- | :--- | | General and administrative | $2,502,637 | $1,792,613 | $5,982,647 | $3,950,358 | | Research and development | $1,639,864 | $909,612 | $3,305,777 | $1,933,435 | | Operating Loss | $(4,142,501) | $(2,702,225) | $(9,288,424) | $(5,883,793) | | Net Loss | $(3,520,434) | $(2,374,634) | $(8,291,446) | $(5,194,218) | | Net Loss Per Share (Basic and diluted) | $(0.16) | $(0.17) | $(0.40) | $(0.38) | Statements of Changes in Stockholders' Equity Stockholders' equity more than doubled, driven by significant net proceeds from the issuance of common stock - Total stockholders' equity grew from $40.5 million on December 31, 2024, to $97.8 million on June 30, 202516 - The primary driver for the equity increase was the issuance of 6,242,266 shares from registered offerings, yielding net proceeds of $63.1 million in the first six months of 202516 Statements of Cash Flows A substantial cash inflow from financing activities offset increased cash usage in operations, boosting total cash reserves Cash Flow Summary (Six Months Ended June 30) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Net Cash Used in Operating Activities | $(5,605,030) | $(3,725,447) | | Net Cash Provided by Financing Activities | $63,521,676 | $2,194,041 | | Net Increase in Cash and Cash Equivalents | $57,910,530 | $(1,531,406) | | Cash and Cash Equivalents, End of Period | $97,901,357 | $27,067,039 | Notes to Financial Statements The notes detail the company's single business segment, R&D commitments, recent equity offerings, and stock compensation - The company operates as a single business segment focused on the development and commercialization of its nuclear fuel2491 - R&D expenses associated with the Idaho National Laboratory (INL) project totaled $1.6 million for the six months ended June 30, 2025, a significant increase from $0.7 million in the same period of 202447 - The company raised net proceeds of $63.1 million from At-the-Market (ATM) offerings by selling 6,242,266 shares during the first six months of 202562 - On May 8, 2025, stockholders approved an increase in authorized common shares from 25,000,000 to 100,000,00053 Management's Discussion and Analysis (MD&A) Management discusses financial results, fuel development progress, and liquidity, highlighting increased spending and successful capital raises Business Overview and Fuel Development The company is advancing its next-generation metallic nuclear fuel through key collaborations and positive feasibility studies - The company is developing next-generation metallic nuclear fuel to improve the economics and safety of existing and new nuclear power plants, including for emerging uses like powering data centers108109110 - Collaboration with Idaho National Laboratory (INL) is central to R&D, with total estimated cash payments under current CRADA and SPPA agreements at approximately $6.8 million122 - A feasibility study with RATEN ICN in Romania indicated that Lightbridge Fuel™ can double the discharged burnup in a CANDU reactor126 - The company signed a memorandum of understanding (MOU) with Oklo, Inc in January 2025 to explore co-locating a fuel fabrication facility and collaborating on recycling spent uranium-zirconium fuel115 Operations Review Operating expenses and net loss increased significantly in Q2 and the first half of 2025, driven by intensified R&D and higher G&A costs Comparison of Operating Results (Three Months Ended June 30) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | G&A Expenses | $2.5M | $1.8M | +$0.7M | +39% | | R&D Expenses | $1.6M | $0.9M | +$0.7M | +78% | | Net Loss | $(3.5)M | $(2.4)M | +$1.1M | +46% | Comparison of Operating Results (Six Months Ended June 30) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | G&A Expenses | $6.0M | $4.0M | +$2.0M | +50% | | R&D Expenses | $3.3M | $1.9M | +$1.4M | +74% | | Net Loss | $(8.3)M | $(5.2)M | +$3.1M | +60% | - The increase in R&D for Q2 2025 was primarily due to a $0.5 million increase in INL project labor costs143 - The increase in G&A for the first six months of 2025 was driven by higher professional fees ($0.7M) and stock-based compensation ($0.9M), including a $0.5M charge for accelerated vesting for a former employee149 Liquidity and Capital Resources The company's cash position strengthened significantly through equity offerings, ensuring sufficient funding for near-term operations - Cash and cash equivalents stood at $97.9 million as of June 30, 2025157 - Management believes it has sufficient liquidity for at least the next 12 months, with estimated cash requirements of $39.0 million for that period156158 - Long-term capital requirements for development and commercialization are estimated to be in the range of $200 million to $300 million over the next 10 to 15 years160 - The primary source of liquidity is the At-the-Market (ATM) equity offering, which raised $63.1 million in the first half of 2025157162 Market Risk Disclosures As a smaller reporting company, the company is not required to provide disclosures about market risk - As a "smaller reporting company," Lightbridge is exempt from this disclosure requirement174 Controls and Procedures Management concluded that disclosure controls and internal controls over financial reporting were effective as of June 30, 2025 - The CEO and CFO concluded that disclosure controls and procedures were effective as of June 30, 2025176 - No material changes were made to internal control over financial reporting during the quarter177 PART II - OTHER INFORMATION Legal Proceedings The company is not aware of any material legal proceedings against it - The company reports no material legal proceedings178 Risk Factors A new risk factor related to the use of Artificial Intelligence has been added since the last annual report - A new risk factor was added concerning the challenges and risks associated with the use of AI, including flawed algorithms, data quality issues, and cybersecurity threats180 Other Information This section discloses recent bylaw amendments, an expanded R&D agreement, and the adoption of trading plans by directors - The company amended its bylaws on August 11, 2025, to update nomination and proposal procedures183 - A modification to the Strategic Partnership Project Agreement (SPPA) with Battelle Energy Alliance (BEA) was executed on August 1, 2025, to expand the R&D scope185 - Two directors, Jesse Funches and Sweta Chakraborty, adopted Rule 10b5-1 stock trading plans in May 2025186190 Exhibits This section lists key agreements and corporate documents filed with the report - Key exhibits filed include the Open Market Sales Agreement with Jefferies LLC, amended corporate bylaws, and a modification to the SPPA with Battelle Energy Alliance, LLC189