Birchtech (BCHT) investor relations material

Business overview and market position

• Specializes in activated carbon technologies for mercury and PFAS removal in air and water, leveraging patented SEA® technology used at 80% of U.S. coal-fired plants with sorbent systems.

• Generated $188M in revenues to date and expects significant growth from new water treatment offerings targeting a $1.5B annual PFAS compliance market.

• Holds a strong IP portfolio, securing $37M from license agreements and legal claims since 2020, with a $78.4M final judgment award in 2025 for patent infringement.

• Regulatory changes, including EPA MATS and PFAS rules, provide long-term growth tailwinds for both air and water businesses.

• Q4 2025 revenue was $3.8M with a 31% gross margin; market cap as of April 2026 is $50.7M.

Technology and solutions

• Offers customized activated carbon solutions for mercury emissions and PFAS removal, tailored to specific utility and regional needs.

• SEA® technology provides a two-part system for mercury capture, outperforming competitors in cost and effectiveness.

• Water business structured in three tiers: design centers for analytics, integrated treatment solutions, and carbon rejuvenation services to reduce lifecycle costs.

• New design centers and rejuvenation facilities are being developed to support nationwide water utility compliance and sustainability.

Revenue model and financial performance

• Recurring revenues from product sales, consulting, and licensing agreements, with average annual revenue per utility customer at $2M.

• Air business maintains over 30% gross margins; water business targets ~50% gross margins.

• Achieved $19.4M in trailing twelve-month revenues from air business customers, excluding legal settlements.

• No debt outstanding as of end 2025, with $13.1M repaid in 2024.

• Strong cash management and significant cash inflows expected from legal awards and new water business sales.