Arq reports Q4 EPS (3c), consensus (2c)

Reports Q4 revenue $27.0M, consensus $28.34M. “These results reinforce the durability of our transformation within the foundational PAC business,” said Bob Rasmus, CEO. “Our 2024 results show a business which has been successfully turned around into a cash flow contributor. The annualized performance of the business has materially improved and is more profitable. With our third consecutive quarter of positive Adjusted EBITDA, the direction of travel is extremely positive. I also believe this is a business which can still be enhanced further. The capex overrun we experienced in Q4 was extremely frustrating, and while we actively look for ways to mitigate this increase, we remain confident that its impact on our long-term profitability and returns profile should be negligible. The imminent start of GAC production is of course a major milestone for us and will represent a huge achievement for the whole team. While we want to remain cautious on the duration of our ramp-up to nameplate capacity, there should be no doubt we will be trying to get there as quickly as possible. By H2 2025 we believe we will have a solid, sustainably profitable PAC business being complimented by a high growth GAC business, representing our springboard to future growth.”