Centrus Reports Second Quarter 2025 Results

Core Viewpoint - Centrus Energy Corp. reported strong operational performance in Q2 2025, achieving a net income of $28.9 million despite a decrease in total revenue compared to the previous year, highlighting the company's successful execution of contracts and strategic initiatives in the nuclear energy sector [1][11]. Financial Results - The company generated total revenue of $154.5 million for Q2 2025, down from $189.0 million in Q2 2024, representing an 18% decrease [3]. - Revenue from the LEU segment was $125.7 million, a decrease of 26% from $169.6 million in the same quarter last year, primarily due to reduced uranium sales volume [4]. - The Technical Solutions segment saw revenue increase to $28.8 million, up 48% from $19.4 million, driven by the HALEU production contract with the Department of Energy [5]. Cost and Profitability - Cost of sales for the LEU segment decreased to $75.0 million, down 45% from $136.6 million, attributed to lower sales volume and reduced average unit costs [6]. - The company recognized a gross profit of $53.9 million, an increase of 48% from $36.5 million in Q2 2024, with the LEU segment gross profit rising by 54% [7][8]. Operational Milestones - Centrus successfully delivered 900 kilograms of HALEU to the Department of Energy, achieving a key operational milestone and confirming the effectiveness of its technology [2][11]. - The Department of Energy exercised an option to extend the HALEU Operation Contract, valued at approximately $110.0 million through June 30, 2026, indicating strong government support for the company's initiatives [11][12]. Backlog and Future Commitments - The company's backlog stands at $3.6 billion as of June 30, 2025, with the LEU segment backlog approximately $2.7 billion, reflecting strong future revenue potential [14]. - An additional $0.1 billion LEU contingent sales commitment was secured in July 2025, further supporting potential construction at the Piketon, Ohio facility [15]. Balance Sheet Strength - Centrus raised approximately $114.0 million in net proceeds from an equity offering, enhancing its balance sheet for general corporate purposes [10]. - As of June 30, 2025, the consolidated cash balance was $833.0 million, up from $671.4 million at the end of 2024, indicating improved liquidity [25].