Financial Data and Key Metrics Changes - In Q4 2025, the company recorded revenue of $700,000 from R&D services, a decrease from $1.5 million in Q4 2024, with a gross margin gain of $100,000 in the previous year [26] - Total operating expenses for Q4 2025 were $15 million, down from $17.2 million in Q4 2024, driven by lower R&D and SG&A costs [27] - The net loss for Q4 2025 was $13.2 million, an improvement from $14.4 million in Q4 2024 [27] - For the full year 2025, total revenue was $3.5 million, compared to $1.5 million in 2024, with a net loss of $57.2 million, up from $52 million in 2024 [28] Business Line Data and Key Metrics Changes - The company has made significant progress in UL certification for the KARNO Power Module, nearing completion of testing for the full module after successfully completing tests for the linear electric motor and battery pack [6][8] - The company achieved over 175 kW of power production in testing, with expectations to reach the full 200 kW design power rating by year-end [9][10] Market Data and Key Metrics Changes - The company has nearly 500 units under non-binding letters of intent, indicating strong demand across commercial, data center, and military markets [12] - The data center market is seeing particularly strong long-term interest, with a shift towards 800V DC architectures for next-generation AI facilities [13][14] Company Strategy and Development Direction - The company is focused on transitioning from development to real-world field deployments and commercialization, with plans to deploy approximately 10 early adopter units prior to commercialization [12][13] - A strategic partnership with ABM Industries aims to support the deployment of integrated distributed energy solutions, enhancing customer access across various applications [18][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving UL certification for early adopter units in Q2 2026, which will enable broader customer site deployments [21] - The company anticipates generating approximately $10 million in revenue during 2026 from a combination of commercial customer activity and R&D service contracts [32] Other Important Information - The company operates more than 30 additive manufacturing machines and plans to optimize printer throughput to meet production needs for 2026 and 2027 [19][20] - The company has made progress in mitigating supply chain risks related to magnet supply, improving confidence in supporting planned production [20] Q&A Session Summary Question: About commercialization and end markets for units - Management highlighted military applications as a major focus, with additional opportunities in prime power and data centers [37] Question: Manufacturing capacity and costs - Management indicated that improvements in printer speed and throughput are the current focus, with confidence in production capacity for 2026 and 2027 [39][40] Question: Potential military revenue opportunities - Management clarified that the $40 million-$50 million potential is focused on additional applications and unique development for the military [45] Question: Comparison of KARNO technology with competitors - Management provided insights on cost comparisons with internal combustion engines and fuel cells, emphasizing the efficiency and lower maintenance of the KARNO system [48][49] Question: ABM partnership details - Management described ABM's expertise in power generation and their role in site engineering and Energy-as-a-Service solutions [52][53]

Financial Data and Key Metrics Changes - In Q4 2025, the company recorded revenue of $700,000 from R&D services, a decrease from $1.5 million in Q4 2024 [27] - Total operating expenses for Q4 2025 were $15 million, down from $17.2 million in Q4 2024, driven by lower R&D and SG&A costs [28] - The net loss for Q4 2025 was $13.2 million, an improvement from $14.4 million in Q4 2024 [28] - For the full year 2025, total revenue was $3.5 million, compared to $1.5 million in 2024, with a net loss of $57.2 million, up from $52 million in 2024 [29] Business Line Data and Key Metrics Changes - The company achieved over 150 kilowatts of power generation, later demonstrating 175 kilowatts, with expectations to reach 200 kilowatts by year-end 2026 [9][10] - Five KARNO units are currently at the facility, including two development units and three early adopter customer units [9] Market Data and Key Metrics Changes - The company has nearly 500 units under non-binding letters of intent, indicating strong demand across commercial, data center, and military markets [12] - The data center market shows particularly strong long-term interest, especially with the shift towards 800V DC architectures for next-generation AI facilities [13] Company Strategy and Development Direction - The company is focused on transitioning from development to real-world field deployments and commercialization in 2026 [12][25] - A strategic partnership with ABM Industries aims to support the deployment of integrated distributed energy solutions, enhancing customer access across various applications [18][19] - The company plans to demonstrate its 800V DC capability in live environments in 2026, aligning with industry trends [14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving UL certification for early adopter units in Q2 2026, which is crucial for customer deployments [21] - The company anticipates generating approximately $10 million in revenue in 2026 from a mix of R&D services and commercial customers [31] - Management highlighted the importance of execution in 2026 as the company transitions to scaled operations and seeks opportunities in data center infrastructure and military applications [34] Other Important Information - The company has made progress in mitigating supply chain risks related to magnet supply, improving confidence in supporting planned production [20] - The company plans to slow capital spending in 2026 while optimizing the output of existing printers [31] Q&A Session Summary Question: About commercialization and end markets for units - Management indicated that military applications are a major focus, with other applications including prime power and data centers [38] Question: Manufacturing capacity and costs - Management did not provide specific capacity numbers but emphasized improving printer speed and throughput as a priority for 2026 [40][41] Question: Potential military revenue - The $40 million-$50 million potential from military contracts is focused on additional applications and unique developments, not just standard purchase orders [46] Question: Comparison of KARNO module with competitors - The company highlighted its competitive positioning in terms of cost and efficiency compared to internal combustion engines and fuel cells [50] Question: ABM partnership details - ABM has extensive experience in power generation and offers Energy-as-a-Service solutions, enhancing deployment capabilities for the company [56]

Financial Data and Key Metrics Changes - In Q4 2025, the company recorded revenue of $700,000 from R&D services, a decrease from $1.5 million in Q4 2024 [26] - Total operating expenses for Q4 2025 were $15 million, down from $17.2 million in Q4 2024, driven by lower R&D and SG&A costs [27] - The net loss for Q4 2025 was $13.2 million, an improvement from $14.4 million in Q4 2024 [27] - For the full year 2025, total revenue was $3.5 million, compared to $1.5 million in 2024, with a net loss of $57.2 million, up from $52 million in 2024 [28] Business Line Data and Key Metrics Changes - The company achieved over 175 kilowatts of power production in testing, up from 150 kilowatts previously, and expects to reach the full 200 kilowatt design power rating by year-end 2026 [9][20] - The company has five KARNO units at its facility, including two development units and three early adopter customer units [8] Market Data and Key Metrics Changes - The company is seeing strong demand across commercial, data center, and military markets, with nearly 500 units under non-binding letters of intent [12] - The data center market is particularly promising, with a shift towards 800V DC architectures for next-generation AI facilities [13] Company Strategy and Development Direction - The company is focused on transitioning from development to real-world field deployments and commercialization in 2026 [12][24] - A strategic partnership with ABM Industries aims to support the deployment of integrated distributed energy solutions [17] - The company plans to demonstrate its 800V DC capability in live environments in 2026 [14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving UL certification for early adopter units in Q2 2026, which is crucial for customer deployments [20] - The company anticipates generating approximately $10 million in revenue in 2026 from a mix of R&D services and commercial customers [30] - Management highlighted the importance of military applications and the potential for $40 million-$50 million in new revenue opportunities from military contracts [15][46] Other Important Information - The company is working to optimize its additive manufacturing capabilities and plans to slow capital spending in 2026 [30][31] - The company has made progress in mitigating supply chain risks related to magnet supply [19] Q&A Session Summary Question: What are the end markets for the units going to the U.S. Navy? - Management indicated a focus on military applications, including unmanned autonomous ships, prime power for facilities, and data centers [37] Question: What is the manufacturing capacity expected as the year ends? - Management did not provide specific numbers but emphasized improving printer throughput as a priority for 2026 [40] Question: Can you elaborate on the $40 million-$50 million potential from military contracts? - Management clarified that this potential is focused on additional applications and unique development for the military, not just standard purchase orders [46] Question: How does the new 800 kilowatt module compare to existing solutions? - Management noted that the KARNO system is positioned between traditional internal combustion engines and fuel cells in terms of cost and efficiency [48] Question: What is the status of the control systems development? - Management confirmed that all software is developed in-house, which is seen as a key part of their solution [90]

4q25 AND full year Earnings call KARNOTM PRODUCT DEVELOPMENT Power System & Performance UL Certification February 25, 2026 DISCLAIMER The information in this presentation includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of present or historical fact included in this presentation, regarding Hyliion and its future financial and operational ...

Core Insights - Hyliion Holdings Corp. reported financial results for Q4 and the full year 2025, highlighting advancements in the KARNO generator platform and its commercialization plans for 2026 [1][2]. Key Business Highlights - The company achieved significant milestones in product development, particularly with the KARNO Power Module, which is now meeting the power requirements of early adopter customers, including the U.S. Navy [2][3]. - Hyliion is on track to deliver approximately 10 early adopter units in 2026, with strong demand across military and data center markets, evidenced by nearly 500 non-binding letters of intent for KARNO Cores [6][12]. Product Performance and Readiness - The KARNO Power Module demonstrated 175 kW of power generation during testing, with a full design power rating of 200 kW expected by commercialization [5][10]. - The system has successfully completed UL certification testing for key components, with final certification anticipated in Q2 2026, enabling broader deployments [4][6]. Financial Performance - For Q4 2025, Hyliion recorded revenue of $0.7 million, down from $1.5 million in Q4 2024, with a full-year revenue of $3.5 million [14][16]. - The company reported a net loss of $13.2 million for Q4 2025, an improvement from a loss of $14.4 million in the same period of 2024, and a full-year net loss of $57.2 million compared to $52.0 million in 2024 [15][16]. Cash Position and Guidance - Hyliion ended 2025 with $152 million in cash and investments, expecting to reduce cash burn to approximately $50 million in 2026, with a projected year-end balance of around $100 million [17][18]. - The company anticipates revenue of approximately $10 million in 2026 from R&D services and initial sales of generators following the commercialization of the KARNO Power Module [18]. Strategic Partnerships - Hyliion entered a strategic partnership with ABM Industries to deliver integrated distributed energy solutions, enhancing deployment efficiency for commercial and industrial customers [9].

Core Insights - Hyliion Holdings Corp. successfully demonstrated dynamic fuel switching in its KARNO Power Module, showcasing the system's capability to transition between natural gas and propane while maintaining continuous power generation without interruption [1] Company Summary - The KARNO Power Module is designed to adapt to new fuel sources in real time, highlighting the flexibility and innovation in Hyliion's modular power plant technology [1]

Financial Data and Key Metrics Changes - In Q3 2025, the company recorded revenue of $800,000 from R&D services, compared to no revenue in Q3 2024, reflecting a significant increase in activity [18] - Operating expenses for Q3 2025 were $15.3 million, up from $14.2 million in Q3 2024, primarily due to higher R&D costs [19] - The net loss for Q3 2025 was $13.3 million, an increase from $11.2 million in Q3 2024, but flat compared to Q2 2025 [20] Business Line Data and Key Metrics Changes - The KARNO Power Module has achieved over 200 kilowatts of mechanical power and more than 150 kilowatts of electrical power generation, meeting the needs of initial customers [5][6] - The company has confirmed that the KARNO Power Module meets stringent air quality standards, achieving NOx levels below 2.5 parts per million [6][7] - The UL certification process for the KARNO Power Module is progressing well, with testing requirements for the linear electric motor passed on the first attempt [9] Market Data and Key Metrics Changes - Customer interest in the KARNO Power Module remains strong, with nearly 500 units under non-binding letters of intent [12] - The company is deepening engagement with the U.S. military for energy security applications, with plans to deliver additional KARNO Power Modules for specialized testing in 2026 [13] - The data center market is increasingly adopting 800-volt DC architectures, aligning with the KARNO Power Module's native output [15][46] Company Strategy and Development Direction - The company is focused on transitioning from R&D to commercialization of the KARNO Power Module, with full commercialization expected in 2026 [12][22] - Strategic decisions were made to implement design improvements before UL certification to avoid future recertification [42] - The company is exploring partnerships in the nuclear sector to enhance the efficiency of next-generation nuclear systems [14][44] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the performance of the KARNO Power Module and its alignment with market needs, particularly in data centers and military applications [24] - The company anticipates being supply-constrained due to strong demand for the KARNO system across multiple sectors [12][35] - Management highlighted the importance of optimizing existing manufacturing capabilities while planning for future expansions [40] Other Important Information - The company expects total cash expenditures of $65 million for 2025, with a year-end cash and investment balance projected at approximately $155 million [21][23] - A 30% tax credit for the KARNO Power Module is expected to accelerate adoption and support commercial ramp-up [18] Q&A Session Summary Question: What vertical is the customer that shifted its acceptance of the initial KARNO units from 2025 into 2026? - The customer is the Navy, with the unmanned ship scheduled to have KARNO units installed in 2026 [25][26] Question: When will all the UL testing be completed? - The completion of UL testing is expected in the next couple of months, with multiple phases of certification [30] Question: Can you provide context around the 500 units in LOI? - The 500 units represent dozens of customers, with a strong demand for the product and ongoing discussions with new potential customers [33][35] Question: How is the company addressing manufacturing scale-up challenges? - The company has brought production in-house and is focused on optimizing existing manufacturing processes while planning for future expansions [39][40]

Financial Performance - Hyliion reported $0.8 million in R&D service revenue for Q3 2025, compared to $0.0 in Q3 2024[15] - Cost of sales for Q3 2025 was $(0.8) million, compared to $0.0 in Q3 2024[15] - Net loss for Q3 2025 was $(13.3) million, compared to $(11.2) million in Q3 2024[15] - Year-to-date R&D service revenue reached $2.8 million in 2025, up from $0.0 in 2024[15] - Year-to-date net loss was $(44.0) million in 2025, compared to $(37.7) million in 2024[15] - The company ended Q3 with $164.7 million in cash and investments[22] KARNO Power Module and Customer Deployments - Nearly 500 KARNO cores are under non-binding Letters of Intent (LOIs)[12] - Multiple customer units are currently operating at Hyliion's facility[7] - Additional early customer units are slated for completion in 2025 and early 2026[7] - A multi-megawatt navy vessel will be outfitted with initial KARNO units in 2026[10] Outlook - Product commercialization remains on track for 2026[7] - Total cash use for 2025 is estimated at $65 million[22]

Core Viewpoint - Hyliion Holdings Corp. has appointed Darrell Preble as Vice President of Operations to enhance its manufacturing capabilities for the KARNO™ Power Modules [1] Company Summary - Darrell Preble will be responsible for scaling Hyliion's manufacturing infrastructure to efficiently and cost-effectively bring the KARNO™ Power Modules to market [1] - Preble has extensive experience in the energy industry and a proven track record in building manufacturing operations [1]

Production Updates & Roadmap - Hyliion delivered the second early adopter unit to the U S Navy[10] - The company is nearing completion of two more KARNO Power Modules, one for UL Certification and the other for a commercial customer[10] - Hyliion plans to deliver 10 early adopter customer units in 2025, with full product commercialization shifting into 2026[14] - The company continues to build an inventory of printed components for KARNO Power Modules[14] Financial Performance & Outlook - In Q2 2025, Hyliion reported $1.5 million in R&D service revenue and a gross margin of $0.1 million[19, 22] - The net loss for Q2 2025 was $13.4 million[19] - Year-to-date R&D service revenue reached $2.0 million, with a gross margin of $0.1 million[19] - The net loss year-to-date was $30.7 million[19] - Hyliion anticipates total cash use of approximately $65 million for the full year 2025[26, 28] Strategic Initiatives - A 30% Investment Tax Credit has been established for businesses deploying linear electric motors or fuel cells[5] - Hyliion sees up to a $1 billion KARNO Power Modules opportunity in Saudi Arabia[17]