Financial Data and Key Metrics Changes - Revenue for the year increased to slightly above $16.5 million, up from $14.6 million a year ago, representing a 13% growth [5][16] - Gross margins improved to 7.6% from 1.7% in the previous year, driven by higher overall revenue and increased system deliveries [18] - Adjusted EBITDA was negative $5 million, an improvement from negative $6.1 million in the prior year [21] Business Line Data and Key Metrics Changes - Systems and aftermarket sales reached $8.2 million, compared to $5.5 million in the prior year, driven by increased deliveries in pool filtration and industry systems [16][17] - Pool system revenue totaled $2.6 million for the year, with a record sale of 34 pool systems [7][16] - Marine revenue, including service sales, was approximately $1.5 million in 2025, with a target of $4 million in 2026 [13][16] Market Data and Key Metrics Changes - The company expects water for energy and water for industry-related revenue to be between $5 million and $8 million in 2026, compared to $4.1 million in 2025 [12][22] - The marine segment is building momentum, with three marine orders for eight commercial vessels in backlog scheduled for delivery throughout 2026 [13] Company Strategy and Development Direction - The company is focusing on building a diversified systems portfolio with stronger visibility and improved margin profiles, particularly in swimming pools and industrial applications [6][10] - Strategic focus remains on scaling standardized, higher-margin system platforms while maintaining disciplined cost control [15][25] - Investments in marine-focused R&D and localization in China aim to enhance supply chain resilience and cost competitiveness [13] Management's Comments on Operating Environment and Future Outlook - Management acknowledged delays in a large oil and gas order affecting revenue guidance but remains optimistic about future growth in more predictable segments [5][9] - The company is prioritizing growth in attractive verticals, including food, industry applications, and marine, while aiming for profitability [24][25] - Revenue guidance for 2026 is projected to be in the range of $23 million to $27 million, driven by continued expansion in pool systems and industry applications [22][15] Other Important Information - The company ended the year with $5.1 million in cash, indicating a stable cash position [22] - The legacy DPF and membrane business remains a stable contributor, with expected revenue slightly increasing to $9 million in 2026 [14][22] Q&A Session Summary Question: When can we expect revenue from the large oil and gas order push-out to be booked? - Management expects the oil and gas project to materialize in 2026, ideally by Q2 [27] Question: Do tariffs affect your U.S. oil and gas business? Are your products competitively priced? - Management is actively managing tariff impacts and focusing on cost reduction and standardization to maintain competitiveness [29] Question: What are the drivers of your 2026 revenue outlook of $23 million-$27 million? - Growth is expected from diversified verticals, with specific contributions from pool systems, marine, and water for energy and industry segments [32][33]

LiqTech International (NasdaqCM:LIQT) Q4 2025 Earnings call February 27, 2026 09:00 AM ET Speaker2Morning, and welcome to the LiqTech International reports fourth quarter and fiscal year 2025 financial results conference call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing Star then zero on your telephone keypad. Please note, this event is being recorded. I would now like to turn the conference over to Robert Blum with Lytham. Plea ...