American Battery Technology Company — Q4 FY2026 Earnings Summary

Financial Performance

• Reported Q4 FY2026 revenue of $8.2 million, a 5.1% increase from the previous quarter ($7.8 million).
• Cost of goods sold decreased 2.8% quarter-over-quarter to $6.9 million (from $7.1 million).
• Achieved record quarterly gross profit of $1.3 million, an 86% increase from the previous quarter ($0.7 million).
• Generated $0.3 million in interest income for the quarter.
• Ended the quarter with $50.3 million in cash, a 31% increase from the previous quarter ($38.3 million), including $49.5 million unrestricted and $0.8 million restricted cash.
• Held zero debt at the end of the quarter.
• Financial results are unaudited preliminary estimates; full audited financials for FY2026 are expected within 90 days of June 30, 2026.

Guidance and Future Outlook

• Plans to host an earnings webcast following the release of full fiscal year 2026 financial results.
• Tonopah Flats Lithium Project (TFLP) Definitive Feasibility Study is initiated, following a Pre-Feasibility Study published in October 2025.
• PFS outlines a 45-year life-of-mine with designed production of 30,000 tonnes per year of lithium hydroxide monohydrate (LHM).
• TFLP economics show an after-tax NPV at 8% of $2.57 billion and an IRR of 21.8%.
• Production cost for TFLP is $4,307 per tonne, a 9.2% reduction from the April 2024 Initial Assessment.
• Developing a second critical mineral recycling facility in the Southeast U.S. with plans to substantially scale capacity compared to the Nevada plant.

Business Segments and Product Lines

• Critical Mineral Recycling:
  • Scaled operations at the Nevada facility, increasing throughput and operational effectiveness.
  • Processes high-value recycled products from Battery Energy Storage Systems (BESS) supporting datacenters and AI facilities, end-of-life electric/hybrid vehicles, and consumer electronics.
  • Facility is one of the few in the Western U.S. permitted to handle CERCLA-classified waste.
  • Established new supply chain partnerships with leading BESS facilities and automotive OEMs.
• Primary Lithium (Tonopah Flats Lithium Project):
  • Successfully appealed the termination of a $57 million U.S. Department of Energy grant, which was reinstated to support the $115 million construction of the first processing train.
  • Completed and submitted all baseline studies for the National Environmental Policy Act (NEPA) review process.
  • TFLP resources increased approximately 11% to 21.3 million tonnes LHM (measured, indicated, and inferred).
  • Established 2.73 million tonnes of proven (0.98) and probable (1.75) reserves.
  • Designated as a Fast-41 Transparency Covered Project to accelerate federal permitting.

Market and Competitive Landscape

• Positioned as one of the dominant critical mineral recyclers in the U.S.
• TFLP is designated as a cornerstone of the domestic critical mineral supply chain to support demand.
• Sales of black mass represent the majority of total revenue, with substantially all current customers located outside the U.S. in OECD countries.

Risks and Challenges

• Regulatory Export Restrictions: A federal directive effective August 27, 2026, prohibits the export of black mass from U.S. companies unless an exception is obtained from the Department of Commerce.
• Revenue Impact Risk: If the company cannot obtain an exception to the export ban, it may be unable to sell black mass to foreign customers, potentially causing a material adverse effect on revenue, results of operations, and ability to fund operations.

Exception Uncertainty: There is no assurance that a request for an exception will be granted, granted on commercially favorable terms, or granted within a timeframe that avoids material disruption.

• Domestic Market Transition: Developing domestic customers for black mass may take considerable time, and domestic sales terms may be significantly less favorable than existing international arrangements.
• Financial Statement Risk: Preliminary financial data may differ materially from actual results once audited; KPMG LLP has not audited or reviewed the preliminary data.
• Forward-Looking Risks: Includes risks related to going concern status, geological interpretations, permitting delays, economic conditions, commodity price fluctuations, and ability to secure financing.

Management Commentary and Tone

• CEO Ryan Melsert expressed excitement regarding the scale-up at the Nevada recycling facility and the impact of operational efficiencies.
• Management highlighted the competitiveness of their technology and market position.
• CEO noted pride in the long-standing partnership with the U.S. Department of Energy, emphasizing that very few recently terminated grants have been successfully appealed and reinstated.

Other Key Points

• Grant Reinstatement: The $57 million DOE grant reinstatement supports the construction of the first processing train at the TFLP.
• Regulatory Engagement: The company has submitted a request to the Bureau of Industry and Security (BIS) for an exception to the black mass export directive and is engaging with Congressional representatives and government affairs advisors.
• Public Comment Period: The public comment period for the Directive remains open until November 4, 2026.
• NEPA Milestone: The TFLP baseline studies involved over 40 regulatory agencies and stakeholders across 21 study areas.
• Media Contact: Tiffiany Moehring (tmoehring@batterymetals.com, 720-254-1556).