Fermi (FRMI) Q2 2026 earnings summary

Executive summary

• Achieved all five 90-day objectives, including signing a $6.5B, 15-year anchor agreement with TensorWave for 222 MW (expandable to 650 MW), appointing Lee McIntire as CEO, forming a strategic alliance with Hillcore to double power to 4.8 GW, receiving major turbine deliveries, and raising over $431 million in capital.

• Project Matador targets up to 17 GW of capacity, with significant infrastructure progress and strategic partnerships.

• Raised $431 million through a 5% convertible senior notes offering, with capped call transactions to limit dilution and net proceeds of $416.8 million.

• Appointed Lee McIntire as CEO to lead the transition from development to construction and first power, leveraging extensive industry experience.

• Advanced site development with key equipment arrivals, including Siemens and GE turbines, and partnerships with top EPC contractors.

Financial highlights

• Ended Q2 2026 with $91.7 million in total cash and restricted cash; $1.55 billion in property, plant, and equipment; and $520.1 million in outstanding debt.

• Net loss of $25.8 million ($0.04 per share) for Q2 2026; $214.5 million net loss for H1 2026.

• General and administrative expenses were $26.8 million for Q2 2026.

• Cash used in operating activities: $49–56 million for the quarter.

• No operating revenue recognized as of June 30, 2026; all expenses relate to pre-revenue development.

Outlook and guidance

• Initial commercial power delivery of about 200 MW targeted in the next six months, with phased delivery to TensorWave beginning late 2027.

• Project Matador expected to ramp to 4.8 GW within 30 months (with Hillcore alliance) and up to 17 GW long-term, subject to customer agreements and regulatory approvals.

• Capital expenditures for initial phases expected to exceed $3 billion, with $2 billion anticipated in the next 12 months.

• Total capital needs for all phases estimated at $70–90 billion, dependent on tenant mix, equipment, and regulatory factors.

• Liquidity plan includes additional equipment/project financing, tenant prepayments, strategic equity, and government incentives.