Financial Data and Key Metrics Changes - Third quarter revenue increased by 15% year-over-year, driven by a 21% increase in LNG gallons sold and higher average commodity prices, partially offset by a less favorable customer mix and lower rental and service revenues [9] - Adjusted EBITDA was $2.9 million during the quarter, compared to $2.6 million last year, with an adjusted EBITDA margin of 14.3%, down from 14.6% in the same quarter last year [10] - Cash from operations totaled $2.4 million for the quarter, with liquidity at quarter-end of $15.5 million, consisting of $10.3 million in cash and approximately $5.2 million available under credit facilities [10][11] Business Line Data and Key Metrics Changes - Aerospace revenues increased by more than 88% compared to the same quarter last year, while power generation and marine revenues increased by 31% and 32%, respectively [9] - Approximately 73% of total revenue was derived from aerospace, marine, and power generation customers, up from 60% in the prior year quarter, reflecting continued strength and diversification of demand across these high-growth markets [10] Market Data and Key Metrics Changes - The company capitalized on continued demand for integrated last-mile LNG solutions across markets, with third quarter volume increasing by more than 20% year-over-year [4] - Strong demand trends were noted in marine, aerospace, and power generation sectors, supported by increased commercial space flight activity and robust throughput from cruise activity [4] Company Strategy and Development Direction - The company secured the largest customer contract in its history, a 10-year marine bunkering contract for LNG produced at a proposed facility in Galveston, Texas, with plans to break ground in early 2026 [5][6] - The company aims to construct a Jones Act-compliant LNG bunkering vessel to serve customers in the Port of Galveston and surrounding areas, focusing on building a vertically integrated marine bunkering solution [5] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth opportunities in aerospace and power generation, citing increased demand for distributed power solutions due to domestic investment in new data center capacity [4][17] - The company is focused on executing day-to-day operations to deliver profitable growth while expanding commercial contracts across vertical markets [8] Other Important Information - Capital expenditures totaled $3.9 million, primarily related to early engineering and design work for the Galveston LNG facility and related bunkering vessel [11] - The company is evaluating various financing options for the Galveston project, intending to prioritize a structure that maximizes value creation for shareholders [7] Q&A Session Summary Question: Are there any key permits to watch for regarding the Galveston project? - The company is tracking several permits, including the Texas Railroad Commission and Coast Guard permits, and does not anticipate changes to the timeline [13][14] Question: Can you discuss the end-market demand and capacity expansion for aerospace and power generation? - Management noted strong demand in aerospace due to increased rocket launches and in power generation due to distributed power needs for data centers [15][16] Question: What industry is the late-stage customer in for the marine facility? - The prospective customer is in the cruise industry [19] Question: How does the remaining 15% capacity commitment look? - The remaining capacity could come from multiple customers, including those related to cruise and container ships [20] Question: Was the growth in marine, aerospace, and power generation due to new contracts? - The growth was attributed to a combination of new contracts and existing demand, with expectations for repeatable growth in aerospace [25][26] Question: Is there a strategy change to use more third-party gas? - The company has always utilized third-party supply to build demand and optimize operations, with high utilization of company-owned facilities this quarter [27][28] Question: Will the Galveston project initiate a secondary offering? - Management indicated that while they can fund the project without significant dilution, they may explore capital structure options post-FID [32][35] Question: Is the demand from data centers included in power generation? - Yes, the increased demand from data centers is part of the distributed power solutions being offered [39]