10-Q · May 11, 2026
American Battery Technology Company (ABAT) reported significant revenue growth for Q3 2026, achieving $7.8 million compared to $1.0 million in Q3 2025, marking a 697% year-over-year increase. Despite this top-line…
Earnings analysis · 10-K
ABAT earnings analysis
Filed September 14, 2026 · Our reading of the company's report
The latest report
ABAT achieved strong top-line and gross-margin improvement in FY2026 as recycling throughput increased, while ending the year with $49.5 million of cash and no debt. However, the company remains structurally…
Read full summary
ABAT achieved strong top-line and gross-margin improvement in FY2026 as recycling throughput increased, while ending the year with $49.5 million of cash and no debt. However, the company remains structurally unprofitable, consumed $24.2 million of operating cash, and relies heavily on equity financing and conditional government awards. The August 27, 2026 black-mass export directive is the most significant new risk because black mass represents the majority of revenue and most customers are overseas.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.58
- Gross margin
- -14.2%
- Operating margin
- -343.6%
- Segment
- Single operating segment: integrated critical-minerals business; FY2026 revenue was $21,741,726, generated from recycling products and byproducts. Substantially all long-lived assets were located in the United States.
What stood out
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Revenue scaled sharply
FY2026 revenue increased 407% to $21.7 million from $4.3 million in FY2025, driven by higher processed feedstock, production throughput, and market prices for recycled products and byproducts.
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Gross profitability inflected positive
Gross loss narrowed to $3.1 million from $10.6 million year over year; the fourth quarter generated $1.3 million of gross profit on $8.2 million of revenue versus a $2.6 million gross loss on $2.8 million in the prior-year quarter.
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Cash improved and debt was eliminated
The company ended FY2026 with $49.5 million of cash and cash equivalents, up from $7.5 million, and had no outstanding debt after converting $8.0 million of notes into common shares.
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Integrated critical-minerals strategy
ABTC is pursuing a three-part strategy spanning battery recycling, primary lithium extraction, and refining. Its first recycling facility has a design processing rate of approximately 20,000 tonnes per year, while the planned second facility targets 100,000 tonnes per year.
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Large domestic lithium project
The Tonopah Flats project PFS estimates 2.7 million tonnes of proven and probable LHM reserves and 21.3 million tonnes of total LHM resources; the project targets average production of 30,000 tonnes per year and has an estimated after-tax NPV of $2.57 billion at an 8% discount rate.
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Government-backed expansion pipeline
The company secured substantial government support, including a $143.6 million DOE award for a second recycling facility, a $57.7 million DOE refinery award, and up to $60.0 million of 48C tax credits; the refinery award was reinstated in January 2026 after review.
What to watch
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Black-mass export ban threatens revenue
A federal directive effective August 27, 2026, essentially prohibits U.S. black-mass exports for approximately one year unless BIS grants an exception. Black-mass sales represent the majority of revenue and substantially all current black-mass customers are outside the United States, creating a potentially immediate revenue and liquidity shock.
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Ongoing financing requirement
The company states it may require significant additional financing within the next 12 months. FY2026 operating cash usage was $24.2 million, accumulated deficit was $333.5 million, and management expects continued spending to ramp recycling operations and advance Tonopah Flats, creating dilution or execution risk if capital markets weaken.
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Customer concentration increased
Customer concentration increased materially: five customers represented 86% of FY2026 revenue versus three customers representing 74% in FY2025. Sales generally lack long-term fixed-volume commitments, so the loss or reduced purchasing of one major customer could materially reduce revenue.
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Grant execution and funding risk
Government funding remains conditional and reimbursement-based. As of June 30, 2026, ABTC had invoiced only 11% of the $57.7 million refinery award, 27% of the $10.0 million recycling-technology award, and 1% of the $143.6 million second-facility award; awards can be suspended, reduced, or terminated.
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Scale-up has not reached profitability
Despite revenue growth, the company remained deeply loss-making: FY2026 net loss was $73.4 million, total operating expenses rose 128% to $71.6 million, and operating margin was approximately negative 343.6%. The company also states its recycling process has not yet operated at full commercial scale consistently producing battery-grade materials.
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Material control weaknesses persist
Management concluded internal control over financial reporting was not effective as of June 30, 2026, citing insufficient technical accounting personnel and inadequate segregation of duties. FY2026 stock-based compensation was $46.5 million, including $36.0 million tied to executive performance-based awards, adding reporting and dilution concerns.
Management's outlook
No quantitative forward revenue or EPS guidance was provided in the 10-K; annual outlook appears deferred to the earnings press release or call.
Earlier filings 4
10-Q · February 5, 2026
American Battery Technology (ABAT) reported a strong top-line inflection in the quarter with revenue of $4,759,831 (vs. $332,440 a year earlier) and improved losses (net loss $9,280,971 vs. $13,400,506). The company…
10-Q · November 6, 2025
ABTC reported revenue of $937,589 for the quarter ended September 30, 2025, up from $201,960 in the prior-year quarter, driven by higher product sales. Despite revenue growth, the company posted a net loss of…
10-Q · February 14, 2025
American Battery Technology Company reported quarterly revenue of $332,440 and a net loss of $13.4 million (EPS $(0.18)) for the three months ended December 31, 2024, driving continued large negative gross and operating…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.