Loop Industries (LOOP) Q2 2027 earnings summary

Executive summary

• India facility rescaled from 70,000 to 45,000 metric tons per year to reduce capital needs and accelerate development; commercial rollout depends on financing.

• Pre-commercialization technology converts low-value PET and polyester waste into monomers for virgin-quality recycled resin; Terrebonne has operated for over five years, while India and Europe projects advance.

Financial highlights

• Q2 FY2027 revenue was $117K, entirely from India JV engineering services, versus nil a year earlier; H1 revenue was $296K versus $252K.

• Q2 net loss narrowed to $2.988M from $3.204M; H1 net loss narrowed to $6.372M from $6.651M, mainly reflecting lower R&D and G&A costs.

• Q2 cash operating expenses were $1.6M, down $800K YoY; cash and cash equivalents were $836K at Aug. 31, while reported available liquidity was $1.9M.

• H1 operating cash use was $2.394M, investing cash use $819K and financing cash inflow $1.731M; cash declined by $1.520M.

Outlook and guidance

• If financing is secured, construction is targeted to start in Q1 2027; completion is targeted by end-2028, with startup and commissioning in 2029.

• Toyo Engineering is completing a revised project cost estimate; management expects it to be significantly below the original 70,000-ton facility cost.

• A second India facility could reach 125,000 metric tons, subject to feedstock availability, and would follow successful startup of the first.

• The planned BASF Industriepark Lausitz facility is designed for 70,000 metric tons per year and expected to be operational by 2030; engineering and permitting are next.

• A June 2026 LOI with a major apparel company targets up to 15,000 metric tons per year of PET fiber-grade resin.