Financial Performance - As of September 30, 2025, the company has not generated any revenue from its operations[176] - The company reported a net loss of $4.01 million for Q3 2025, compared to a net income of $35.02 million in Q3 2024, a difference of $39.03 million[180] - Net cash used in operating activities for the nine months ended September 30, 2025 was $4.0 million, a significant improvement compared to $21.6 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 Q3 2025 were $2.96 million, up from $2.44 million in Q3 2024, reflecting a $0.52 million increase[181] - Research and development expenses for Q3 2025 were $(8,476), a decrease of $78,671 compared to $(87,147) in Q3 2024[180] - Research and development expenses for the nine months ended September 30, 2025 were $0.8 million, a decrease of $1.0 million compared to $1.8 million for the same period in 2024[185] - Sales and marketing expenses for the three months ended September 30, 2025 were $50,473, an increase of 113% compared to $23,639 for the same period in 2024[186] Capital and Financing - The company entered into an Equity Line Purchase Agreement allowing it to sell up to $30 million of newly issued shares over 36 months[174] - As of September 30, 2025, the company reported net proceeds of approximately $0.4 million from sales under the Equity Line Purchase Agreement[174] - Net cash provided by financing activities for the nine months ended September 30, 2025 was $14.8 million, primarily from the April 2025 PIPE Offering[209] Joint Ventures and Agreements - A joint venture agreement with CATL was established on October 27, 2021, forming CAMT, with both parties owning 50% of the shares and CAMT having exclusive rights to commercialize AirJoule technology in Europe and Asia[212] - As of September 29, 2023, Legacy Montana and CATL US agreed to contribute $6.0 million each to CAMT, totaling $12.0 million, with no funding or asset contributions made to date[213] - CAMT is managed by a four-member board, with specific voting rights and requirements for significant financial decisions, including unanimous votes for transactions exceeding $10.0 million[213] Market Potential - The total addressable market for the company's technology is estimated to be approximately $450 billion[170] - The company plans to manufacture AirJoule systems capable of producing over 250 liters of water per day by 2025 for customer demonstrations[169] Future Expectations - The company expects general and administrative expenses to increase in future periods due to business growth and public company status[181] - The company has a remaining commitment for capital contributions to the AirJoule JV of $82.3 million as of September 30, 2025[203] Other - The Company entered into a patent license agreement in October 2021, resulting in a reversal of $0.5 million in accrued royalties expense during Q3 2025 due to the elimination of minimum royalty amounts through 2029[211] - The Company is classified as an emerging growth company under the JOBS Act, allowing it to delay compliance with new accounting standards until certain conditions are met[218] - The Company will remain an emerging growth company until it meets specific revenue or securities thresholds, including total annual gross revenue of at least $1.235 billion[220]
Montana Technologies Corporation(AIRJ) - 2025 Q3 - Quarterly Report