New Era Energy & Digital — Q3 2026 Earnings Summary

Financial Performance:

• Completed a $64 million PIPE transaction to repay Macquarie borrowings used for Phase 1 PPA cash collateral and to support TCDC leasing and development.
• As of October 31, 2026, total cash holdings were $187 million, consisting of $49 million in unrestricted cash and $138 million in restricted cash (including collateral for the PPA letter of credit).
• Outstanding debt stood at $20 million as of October 31, 2026, which was fully cash collateralized.
• The company retained an option for up to $200 million of post-lease financing under the Macquarie facility, subject to applicable financing conditions.
• No specific revenue, earnings, profit margins, or cash flow figures for the quarter ended September 30, 2026, were disclosed in the release.

Guidance and Future Outlook:

• Power availability for TCDC Phase 1 is expected in the third quarter of 2027, with an initial ready-for-service target set for the fourth quarter of 2027.
• The company is in advanced negotiations regarding Phase 1 lease documentation under a non-binding Letter of Intent (LOI) covering both TCDC Phases 1 and 2.
• Phase 2 plans include approximately 550 MW of new behind-the-meter generation in partnership with Thunderhead Energy Solutions, with the air permit application already filed.
• Phase 3 remains in the design phase.
• The company aims to scale the flagship Texas Critical Data Centers project to over 1GW capacity over time.

Business Segments and Product Lines:

• Executed a 20-year Power Purchase Agreement (PPA) with Luminant/ET Services Company, LLC (an affiliate of Vistra Corp) for a minimum of 200 MW and up to 207 MW of firm power.
• Site preparation is underway, and the company has contracted an additional 99 acres, bringing the total land under contract to 592 acres (493 acres owned plus 99 acres contracted).
• Phase 1 utilizes an existing registered, behind-the-meter private use network outside the ERCOT Batch Zero process to avoid passing transmission costs to ratepayers; Phase 2 plans involve new on-site generation to serve additional demand directly.
• The company is evaluating the reuse of water produced by Permian Basin oil and gas operations for cooling to reduce freshwater demand and disposal well volumes.
• The company is engaging directly with local officials, businesses, and community organizations in Odessa and Ector County to support local employment and utilize local suppliers and contractors.

Market and Competitive Landscape:

• The company positions itself as a developer of large-scale data centers in energy-rich U.S. markets specifically to support AI training and inference workloads.
• The business strategy combines large-acreage sites with flexible power solutions, including behind-the-meter power, to minimize community impact and accelerate time-to-power.
• The company utilizes a modular, phased data center deployment model targeting hyperscale, enterprise, and edge operators.

Risks and Challenges:

• Forward-looking statements highlight risks including the ability to construct, develop, lease, and maintain the flagship project.
• Risks include the ability to realize benefits of the PPA, access adequate project financing, and obtain credit support on commercially reasonable terms.
• Potential challenges include supply chain disruptions, labor availability, raw material costs, and manufacturing/transportation issues.
• The company faces risks related to environmental history, remediation, and associated liabilities.
• Risks include the ability to obtain and renew leases on favorable terms, respond to price fluctuations and rapidly changing technology, and manage geopolitical or political instability.
• Specific risks include failure to generate sufficient cash flows to service indebtedness, cybersecurity attacks, and the inability to obtain necessary government consents or permits.

Management Commentary and Tone:

• Charlie Nelson, Chairman and CEO, stated the company has strengthened its balance sheet and is focused on advanced lease negotiations and securing financing and delivery arrangements.
• Management emphasized a "responsible development" approach, prioritizing designs that avoid additional transmission costs for ratepayers, responsible water usage, and community engagement.
• The tone reflects a focus on ensuring local residents and businesses share in the opportunities created by the TCDC project.

Other Key Points:

• The press release serves as a business update for the quarter ended September 30, 2026, rather than a traditional earnings report with financial statements.
• A business update call was scheduled for 8:00 a.m. Eastern Time on November 12, 2026, featuring a live webcast and phone dial-in with Q&A.
• The company operates under the Nasdaq ticker symbol NUAI.