- Fully funded the upgrade of SRC's Rare Earth Processing Facility, targeting approximately 525 tonnes of NdPr metal, 30 tonnes of dysprosium oxide and 15 tonnes of terbium oxide of annual capacity
- Advanced the fully funded Heavy Rare Earth Metallization Facility, targeting commissioning in the first quarter of 2028 with approximately 50 tonnes of annual dysprosium and terbium oxide capacity
- Closed a
$100.0 million private placement of common stock inJune 2026 , ending the quarter with$122.4 million in cash - Selected by the
U.S. Army for exclusive negotiations toward a long-term Enhanced Use Lease at Tooele Army Depot,Utah , to develop heavy rare earth processing facilities
“This quarter we fully funded the upgrade of the SRC Rare Earth Processing Facility and our planned Pilot and Commercial Metallization Facility, advanced our selection by the
"Rare earth magnets are foundational to the defense platforms, systems and advanced technologies that underpin the security of
Second Quarter Financial Highlights
- The Company’s cash balance as of
June 30, 2026 was approximately$122.4 million - Maintained a strong, virtually debt-free balance sheet, against
$209.8 million of assets
Revenue growth was driven by PMTCM's sales of rare earth metals and materials from the Euclid facility, including under a
For the six months ended
Strategic Projects Update and Outlook
SRC Rare Earth Processing Facility Upgrade — Fully Funded. REalloys has fully funded, with committed capital, the planned upgrade of the SRC’s Rare Earth Processing Facility. SRC is expected to commence upgrade activity in the third quarter of 2026, targeting increased annual production capacity of approximately 525 tonnes of NdPr metal, 30 tonnes of dysprosium oxide and 15 tonnes of terbium oxide. REalloys has secured supply rights to approximately 80% of the expanded facility's output. Together with SRC, the Company plans to advance separation trials using recycled mixed rare earth oxide feedstock in the second half of 2026, targeting separated material for potential customer qualification as early as the fourth quarter of 2026, with commercial intake of NdPr metal and dysprosium/terbium oxides from SRC expected to commence in the third quarter of 2027.
Heavy Rare Earth Metallization Facility — Fully Funded. The Company is advancing engineering and equipment procurement for its planned Heavy Rare Earth Metallization Facility, which is targeted for commissioning in the first quarter of 2028 and initial operations in the first half of 2028, with a targeted annual capacity of approximately 50 tonnes of combined dysprosium and terbium oxide feedstock.
Capital Resources and Liquidity. REalloys has committed approximately
Diversifying North American Feedstock Network. During the quarter, the Company entered non-binding arrangements to explore feedstock supply with
Recent Developments
Leadership Appointments. Effective
Effective
Dr.
About REalloys Inc.
REalloys Inc. (NASDAQ: ALOY) is a U.S.-based rare earth materials company executing a mine-to-magnet strategy across upstream feedstock, midstream separation and metallization, and downstream magnet manufacturing. REalloys is focused on delivering qualified, allied-nation rare earth metals and alloys including dysprosium, terbium, and neodymium to the U.S. Department of Defense, the U.S. Department of Energy, NASA, the U.S. Defense Industrial Base, and the broader U.S. Organic Industrial Base.
For more information, please visit www.REalloys.com or email InvestInAmerica@REalloys.com.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements include, but are not limited to, statements regarding: the Company’s expectations regarding the SRC Rare Earth Processing Facility upgrade and commissioning timeline; the planned Heavy Rare Earth Metallization Facility and its targeted capacity, commissioning, and initial operations; anticipated commercial intake of rare earth materials from SRC; the U.S. Army Enhanced Use Lease negotiations at Tooele Army Depot; the sufficiency of the Company’s capital resources to fund its strategic projects; feedstock sourcing arrangements; the Company’s expectation regarding future capital needs; and the anticipated leadership transitions and their expected impact on the Company’s operations. These forward-looking statements are based on the Company’s current expectations and involve significant risks and uncertainties that could cause actual results to differ materially, including those described under “Risk Factors” in the Company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2026, filed with the SEC. The Company undertakes no obligation to update these statements except as required by law.
Non-GAAP Financial Measures
This press release includes “Adjusted General and Administrative Expense,” which excludes non-cash stock-based compensation expense from GAAP general and administrative expense. The Company presents this measure because management believes it provides useful information about the Company’s cash-based operating cost structure, particularly given the significant non-cash stock-based compensation charges recognized in connection with the Company’s February 2026 reverse recapitalization and public listing. This non-GAAP measure should not be considered in isolation or as a substitute for the most directly comparable GAAP measure and should be read in conjunction with the Company’s condensed consolidated financial statements prepared in accordance with GAAP. The following reconciles GAAP general and administrative expense to Adjusted General and Administrative Expense for the three months ended June 30, 2026 (in thousands): General and administrative expense (GAAP): $36,031; Less: Non-cash stock-based compensation: ($32,131); Adjusted General and Administrative Expense (non-GAAP): $3,900.
Contacts
Investor and Media Relations – InvestorRelations@REalloys.com
Financial Statements
Condensed Consolidated Statements of Operations (Unaudited)
(In thousands, except share and per share data)
| Three Months Ended | Three Months Ended | Six Months Ended | Six Months Ended | |||||||||
| Net revenues | $ | 804 | $ | 440 | $ | 1,510 | $ | 440 | ||||
| Cost of sales | 329 | 219 | 628 | 219 | ||||||||
| Software development costs | 34 | – | 68 | – | ||||||||
| General and administrative | 36,031 | 1,056 | 121,432 | 1,924 | ||||||||
| Advertising and marketing | 1,310 | – | 3,851 | – | ||||||||
| Depreciation and amortization | (96 | ) | 67 | (8 | ) | 67 | ||||||
| Total operating expenses | 37,608 | 1,342 | 125,971 | 2,210 | ||||||||
| Loss from operations | (36,804 | ) | (902 | ) | (124,461 | ) | (1,770 | ) | ||||
| Interest expense | 14 | 94 | 22 | 185 | ||||||||
| Change in fair value of contingent consideration | – | (2,096 | ) | 3,439 | (1,312 | ) | ||||||
| Deferred cash consideration late payment penalties | – | 3,300 | – | 3,300 | ||||||||
| Impairment expense | – | – | 6,394 | – | ||||||||
| Accretion of discount on issuance of Series C Preferred Stock | – | – | 9,220 | – | ||||||||
| Total other expense | 14 | 1,298 | 19,075 | 2,173 | ||||||||
| Net loss | $ | (36,818 | ) | $ | (2,200 | ) | $ | (143,536 | ) | $ | (3,943 | ) |
| Basic and diluted net loss per share | $ | (0.59 | ) | $ | (0.05 | ) | $ | (2.49 | ) | $ | (0.11 | ) |
| Weighted-average shares outstanding, basic and diluted | 62,142,617 | 41,290,000 | 57,704,321 | 36,965,956 | ||||||||
Condensed Consolidated Balance Sheets (Selected Data)
(In thousands)
| Cash | $ | 122,357 | $ | 2,824 | ||
| Total current assets | 154,095 | 38,541 | ||||
| Total assets | 209,772 | 93,389 | ||||
| Total current liabilities | 5,023 | 7,154 | ||||
| Total liabilities | 19,168 | 56,049 | ||||
| Total stockholders' equity | 190,604 | 35,834 | ||||
| Working capital | 149,072 | 31,387 | ||||
| Accumulated deficit | (224,661 | ) | (81,125 | ) | ||
Condensed Consolidated Statements of Cash Flows (Selected Data)
(In thousands, unaudited)
| Six Months Ended | Six Months Ended | |||||
| Net cash used in operating activities | $ | (17,720 | ) | $ | (702 | ) |
| Net cash used in investing activities | (8,064 | ) | (10 | ) | ||
| Net cash provided by financing activities | 145,317 | 1,077 | ||||
| Net change in cash and cash equivalents | $ | 119,533 | $ | 365 | ||
