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Desert Control (DSRT) investor relations material

Desert Control Q2 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 2025 earnings summary15 Aug, 2025

Executive summary

  • Expanded commercial activities in the US and Middle East, including first commercial project in Saudi Arabia, pilots in California and Dubai, and focus on permanent crops, golf, and landscaping.

  • Technology advancements improved yield and water efficiency, with new production systems set for launch in late 2025.

  • Organizational realignment and process improvements addressed operational challenges and support scale-up.

  • Strategic focus on scaling deployments in high-value agriculture and turf, leveraging partnerships and recurring revenue models.

  • Customer engagement remains strong, with new pilots and research projects underway in both core and adjacent markets.

Financial highlights

  • Q2 2025 revenue was NOK 0.13 million, down from NOK 0.51 million in Q2 2024, due to PACE/PAYS contract structure and timing.

  • EBITDA for Q2 2025 was negative NOK 15.88 million, broadly stable year-over-year.

  • Net loss for Q2 2025 was NOK 19.28 million, an improvement from NOK 22.31 million in Q2 2024.

  • Cash and cash equivalents at June 30, 2025, were NOK 24.84 million, down from NOK 90.89 million a year earlier.

  • Equity at June 30, 2025, was NOK 43.7M (EUR 43.7M), with an equity ratio of 89.4%.

Outlook and guidance

  • Revenue expected to increase in H2 2025 as contract milestones are met and new projects commence.

  • Initial 2026 guidance targets revenue above $3M, with 50-60% from the US and the rest from Middle East licensing and hardware sales.

  • Targeting 10x revenue growth from 2025 to 2027, driven by scalable commercialization and new production units.

  • Strategic priorities include expanding recurring revenue in US golf/turf, scaling agriculture deployments, and commercializing next-gen technology.

  • Financial runway extends into Q4 2025 due to disciplined cost management; additional capital required for long-term growth.

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Frequently asked questions

Desert Control AS is a Norwegian company focused on climate-smart agricultural technology (Agri-tech) solutions to combat desertification, soil degradation, and water scarcity. The company’s core innovation is its Liquid Natural Clay (LNC) product, which enhances soil health by enabling it to retain water and nutrients. This technology helps turn arid lands into fertile areas, supporting agricultural, forestry, and landscaping efforts. Desert Control operates with a service-based model, offering tailored soil treatments that are produced on-site using mobile units. The company is headquartered in Sandnes, Norway, and its shares are listed on the Oslo Stock Exchange.

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