Fermi (FRMI) Q2 2026 earnings summary

Executive summary

• Delivered on 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 strategic alliances (notably with Hillcore), enhancing liquidity, and achieving major project milestones.

• Advanced Project Matador with significant infrastructure progress, targeting up to 17 GW of capacity, and received major turbine deliveries.

• Strategic alliance with Hillcore doubles planned power to 4.8 GW within 30 months, with Fermi as anchor offtaker and no upfront capital outlay.

• Strengthened leadership with CEO appointment and continued focus on institutional discipline and execution.

Financial highlights

• Raised $431M through 5% convertible senior notes due 2031, with net proceeds of $382M–$416.8M after capped call, enhancing liquidity and supporting project acceleration.

• Ended Q2 2026 with $91.7M–$92M in cash and restricted cash; $1.5B–$1.55B invested in property, plant, and equipment.

• Outstanding debt at June 30, 2026: $520.1M, primarily from equipment financings and convertible notes.

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

• General and administrative expenses for Q2: $26.8M.

Outlook and guidance

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

• Planned on-site generation to reach 4.8 GW within ~30 months, with potential to scale to 17 GW long-term, subject to customer agreements and regulatory approvals.

• Capital expenditures for Phase 0 and 1 expected to exceed $3B, with $2B anticipated in the next 12 months.

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