Montana Technologies Corporation(AIRJ) - 2025 Q2 - Quarterly Results

Company Overview AirJoule Technologies Corporation (NASDAQ: AIRJ) is a leading technology platform dedicated to extracting water from the air, as highlighted in its Q2 2025 results Introduction AirJoule Technologies Corporation (NASDAQ: AIRJ) reported its second-quarter 2025 results, affirming its position as a leading water-from-air technology platform - AirJoule Technologies Corporation (NASDAQ: AIRJ) announced its second-quarter 2025 results[1][2] - The company is positioned as a leading technology platform dedicated to extracting water resources from the air[2] About AirJoule Technologies Corporation AirJoule Technologies aims to free the world from water and energy constraints through its breakthrough adsorption technology, in collaboration with GE Vernova and Carrier Global Corporation - AirJoule Technologies aims to free the world from water and energy constraints by leveraging breakthrough adsorption technology through its joint venture with GE Vernova and collaboration with Carrier Global Corporation[13] Second Quarter 2025 & Recent Highlights The company achieved significant milestones in product expansion, strategic collaborations, and operational enhancements during Q2 2025 and recently A250 TM Product Expands AirJoule ® Technology Platform AirJoule introduced the A250™ system for industrial dehumidification, offering significant energy savings, and is commercializing the A1000™ water generator for industrial-scale distilled water production - The A250™ system will be commercialized for the industrial dehumidification market, offering up to 80% energy savings and 60% reduction in total cost of ownership compared to existing systems[7] - The company is also commercializing the A1000™ water generator, designed to produce industrial-scale distilled water on-site using low-grade waste heat with unprecedented efficiency[7] Strategic Collaborations to Advance AirJoule ® Commercialization AirJoule advanced commercialization through partnerships with data center developers, GE Vernova, the City of Hubbard, and ASU, alongside ongoing field deployments in Dubai - Signed an MOU with a hyperscale data center developer to collaborate on generating pure distilled water from ambient air using low-grade waste heat from data center operations[7] - Initiated a strategic project with GE Vernova to explore integrating AirJoule® technology into GE Vernova products, focusing on water production from low-grade waste heat[7] - Announced collaboration with the City of Hubbard, Texas, to recover heat from geothermal wells and use it to produce pure distilled water from the air, with A250™ system deployment anticipated in Q4 2025[7] - Anticipated delivery of an A250™ system to Arizona State University (ASU) in Fall 2025 for research and evaluation purposes[7] - Ongoing field deployment of the AirJoule® platform at a government research institution in Dubai, showcasing its capabilities to potential public and private sector clients in the Middle East[7] Appointed Two Board Directors with Expertise in Data Centers and Financial Oversight The company strengthened governance by appointing two new board directors with expertise in data centers and financial oversight, and expanded its manufacturing facility to enhance production capabilities - Appointed Denise Sterling to the Board of Directors, bringing CFO experience in data center development and operations, and consumer credit financial services[7] - Appointed Thomas Murphy to the Board of Directors, who will serve as Chair of the company's Audit Committee, with leadership experience in audit and consulting practices[7] - Expanded the manufacturing facility in Newark, Delaware, to enhance manufacturing and environmental testing capabilities for AirJoule® systems, with a ribbon-cutting ceremony held on July 30, 2025[7] Balance Sheet and Liquidity AirJoule strengthened its financial position through a private placement financing and maintained a strong cash balance to support operations through commercialization Private Placement Financing The company completed a $15 million private placement financing led by GE Vernova in April 2025, with net proceeds allocated to accelerate the commercialization of A250™ and A1000™ systems - The company completed a $15 million private placement financing (PIPE) led by GE Vernova on April 25, 2025, with net proceeds designated to accelerate the commercialization of AirJoule® A250™ and A1000™ systems[8] Strong Cash Position AirJoule reported $30.5 million in cash and cash equivalents at quarter-end, providing sufficient liquidity to support operations through commercialization Cash and Cash Equivalents | Metric | June 30, 2025 (USD) | December 31, 2024 (USD) | | :--- | :--- | :--- | | Cash, cash equivalents, and restricted cash | $30,502,711 | $28,021,748 | - The company held $30.5 million in cash and cash equivalents at quarter-end, providing sufficient liquidity to support operations through commercialization[9] Executive Commentary CEO Matt Jore highlighted significant progress in demonstrating the AirJoule® platform's capabilities and expressed confidence in the team, technology, and capitalization for a successful 2026 commercial launch Executive Commentary CEO Matt Jore emphasized the company's progress in leveraging low-grade waste heat for pure distilled water production and readiness of its manufacturing facility for industrial dehumidification equipment assembly - CEO Matt Jore stated that the company made meaningful progress in Q2 demonstrating the AirJoule® platform's ability to produce pure distilled water from low-grade waste heat, which is expected to be a significant driver of future commercial sales[10] - The company held a ribbon-cutting ceremony for its state-of-the-art manufacturing facility, which is ready to begin assembling equipment for the industrial dehumidification market[10] - The company possesses the team, technology, and capitalization to achieve a successful commercial launch in 2026[10] Condensed Consolidated Financial Statements This section presents the condensed consolidated balance sheets, statements of operations, and cash flows, highlighting key financial performance and position changes CONDENSED CONSOLIDATED BALANCE SHEETS Total assets increased to $376.1 million as of June 30, 2025, driven by higher cash and investment in AirJoule, LLC, while total liabilities significantly decreased due to reduced Earnout and Subject Vesting Shares liabilities Condensed Consolidated Balance Sheet Highlights | Metric | June 30, 2025 (USD) | December 31, 2024 (USD) | Change (USD) | | :--- | :--- | :--- | :--- | | Total assets | $376,084,893 | $369,852,120 | +$6,232,773 | | Cash, cash equivalents, and restricted cash | $30,502,711 | $28,021,748 | +$2,480,963 | | Investment in AirJoule, LLC | $343,858,688 | $338,178,633 | +$5,680,055 | | Total liabilities | $87,515,300 | $117,741,796 | -$30,226,496 | | Earnout Shares liability | $5,416,000 | $24,524,000 | -$19,108,000 | | Subject Vesting Shares liability | $1,411,000 | $7,819,000 | -$6,408,000 | | Total stockholders' equity | $288,569,593 | $252,110,324 | +$36,459,269 | CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) Net income for the three months ended June 30, 2025, decreased to $2.5 million from $13.4 million year-over-year, primarily due to changes in fair value of liabilities and equity loss from investment Condensed Consolidated Statements of Operations Highlights (Three Months Ended June 30) | Metric | 2025 (USD) | 2024 (USD) | Change (USD) | | :--- | :--- | :--- | :--- | | Operating loss | $(4,162,917) | $(4,338,066) | +$175,149 | | Other income, net | $5,117,248 | $16,530,137 | -$11,412,889 | | Net income | $2,513,213 | $13,429,895 | -$10,916,682 | | Net income per share, Class A common stock - basic | $0.04 | $0.25 | -$0.21 | | Net income per share, Class A common stock - diluted | $0.04 | $0.24 | -$0.20 | Condensed Consolidated Statements of Operations Highlights (Six Months Ended June 30) | Metric | 2025 (USD) | 2024 (USD) | Change (USD) | | :--- | :--- | :--- | :--- | | Operating loss | $(7,353,117) | $(60,729,375) | +$53,376,258 | | Other income, net | $21,543,449 | $340,201,901 | -$318,658,452 | | Net income | $17,391,871 | $194,985,187 | -$177,593,316 | | Net income per share, Class A common stock - basic | $0.30 | $4.05 | -$3.75 | | Net income per share, Class A common stock - diluted | $0.30 | $3.92 | -$3.62 | - The significant decrease in net income for the first half of 2025 was primarily due to the $333.5 million "Contribution to AirJoule, LLC" gain recognized in 2024, which did not recur in 2025[19] CONDESNED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) Cash used in operating activities decreased to $2.2 million for the six months ended June 30, 2025, while financing activities provided $14.7 million, primarily from a PIPE issuance Condensed Consolidated Statements of Cash Flows Highlights (Six Months Ended June 30) | Metric | 2025 (USD) | 2024 (USD) | Change (USD) | | :--- | :--- | :--- | :--- | | Net cash used in operating activities | $(2,163,485) | $(17,576,561) | +$15,413,076 | | Net cash used in investing activities | $(10,011,376) | $(10,006,554) | -$4,822 | | Net cash provided by financing activities | $14,655,824 | $61,855,930 | -$47,200,106 | | Net increase in cash, cash equivalents, and restricted cash | $2,480,963 | $34,272,815 | -$31,791,852 | | Cash, cash equivalents, and restricted cash at end of period | $30,502,711 | $34,648,611 | -$4,145,900 | - Net cash provided by financing activities in 2025 primarily stemmed from a $14.5 million PIPE issuance, whereas 2024 included $61.75 million from the issuance of common stock under subscription agreements[20] Additional Information This section provides details on the upcoming quarterly report, earnings call, forward-looking statements, and investor contacts Quarterly Report on Form 10-Q AirJoule Technologies anticipates filing its Q2 2025 Form 10-Q with the SEC on August 14, 2025, and will host an earnings call on the same day to discuss results - AirJoule Technologies anticipates filing its Quarterly Report on Form 10-Q for the period ended June 30, 2025, with the U.S. Securities and Exchange Commission (SEC) on August 14, 2025[11] - The company will host a conference call to discuss its second-quarter 2025 results on Thursday, August 14, 2025, at 8:30 a.m. Eastern Time[12] Forward-Looking Statements This press release contains forward-looking statements regarding AirJoule Technologies' future performance and strategy, subject to risks including early-stage operations, product reliance, and deployment challenges - This press release contains "forward-looking statements" regarding AirJoule Technologies' future financial and operating performance, strategy, future operations, anticipated financial position, anticipated revenues and losses, projected costs, prospects, plans, and management objectives[14] - These forward-looking statements are based on management's current expectations and assumptions about future events and are based on currently available information as to the outcome and timing of future events[14] - These forward-looking statements are subject to numerous risks and uncertainties, many of which are difficult to predict and many of which are beyond AirJoule Technologies' control, including the company's limited operating history as an early-stage company, initial reliance on a single product for revenue, significant barriers to deploying its technology, and commercialization strategy's reliance on relationships with BASF, Carrier, GE Vernova, and other third parties[15] Contacts For investor relations and media inquiries, contact Tom Divine, Vice President of Investor Relations and Finance - Investor Relations and Media Contact: Tom Divine – Vice President, Investor Relations and Finance, Email: investors@airjouletech.com[21]