Financial Performance - As of June 30, 2025, the company reported no revenue from operations, with a significant focus on future sales from AirJoule systems[175]. - Operating loss for Q2 2025 was $4.16 million, a slight improvement from a loss of $4.34 million in Q2 2024[179]. - The company recorded a net income of $2.51 million for Q2 2025, compared to $13.43 million in Q2 2024, indicating a decrease of $10.92 million[179]. - Net cash used in operating activities was $2.2 million for the six months ended June 30, 2025, a significant improvement from $17.6 million for the same period in 2024[206]. - The company expects future operating losses and negative operating cash flows may increase due to additional costs related to technology development and market relationships[202]. Expenses - General and administrative expenses for Q2 2025 were $3.75 million, up from $3.21 million in Q2 2024, reflecting a $0.54 million increase primarily due to higher share-based compensation and professional services[179][180]. - Research and development expenses decreased to $401,623 in Q2 2025 from $1,050,804 in Q2 2024, reflecting a reduction of $649,181[179]. - Research and development expenses decreased by $1.1 million to $0.8 million for the six months ended June 30, 2025, compared to $1.9 million for the same period in 2024[184]. - Sales and marketing expenses for the six months ended June 30, 2025, were $22,003, a significant decrease from $112,566 for the same period in 2024[185]. Capital and Funding - The company entered into a PIPE agreement on April 23, 2025, to issue 3,775,126 shares at $3.98 per share, raising capital for future operations[172]. - The company has a committed equity facility allowing it to sell up to $30 million in common stock over 36 months, subject to certain conditions[173]. - The company contributed an additional $10 million in capital contributions to the AirJoule joint venture during the six months ended June 30, 2025[200]. - The company has a remaining commitment for capital contributions to the AirJoule joint venture of $85 million as of June 30, 2025[203]. - Legacy Montana and CATL US each agreed to contribute $6.0 million to CAMT, totaling $12.0 million for the joint venture[213]. Market and Product Development - The company anticipates a total addressable market of approximately $450 billion, targeting industries with high demand for water and energy solutions[169]. - The company plans to manufacture AirJoule systems capable of producing over 1,000 liters of water per day by 2025, with commercial sales expected to scale in 2026[168]. - CAMT has the exclusive right to commercialize AirJoule technology in Asia and Europe, with CATL US managing day-to-day operations[214]. - As of June 30, 2025, no funding or asset contributions have been made to the joint venture[213]. Investments and Equity - The equity loss from the investment in AirJoule, LLC was $4.3 million for the six months ended June 30, 2025, compared to $0.6 million for the same period in 2024[192]. - The company recognized a gain of $333.5 million on the contribution to AirJoule, LLC during the three and six months ended June 30, 2024[189]. Compliance and Classification - The company is classified as an emerging growth company under the JOBS Act, allowing for an extended transition period for compliance with new accounting standards[218]. - The company will remain an emerging growth company until certain revenue or market capitalization thresholds are met, including total annual gross revenue of at least $1.235 billion[220]. - The company has not had any off-balance sheet arrangements as of June 30, 2025[217]. Cash and Working Capital - As of June 30, 2025, the company had $29.5 million in working capital, including $30.5 million in cash, cash equivalents, and restricted cash[201]. - Interest income increased to $526,758 for the six months ended June 30, 2025, compared to $242,626 for the same period in 2024, primarily due to an increase in cash balance[188].
Power & Digital Infrastructure Acquisition II (XPDB) - 2025 Q2 - Quarterly Report