Sky Quarry (SKYQ) Q4 2025 earnings summary

Executive summary

• Net sales declined 47% year-over-year to $12.5M due to refinery shutdowns and lower product pricing.

• Net loss improved to $12.2M from $14.7M in 2024, driven by reduced interest expense and lower operating costs.

• The company operates a regional refinery and is developing a facility for recycling waste asphalt shingles using proprietary ECOSolv technology.

• Significant maintenance outages at the Eagle Springs Refinery negatively impacted results in late 2025 and early 2026.

• A 1-for-8 reverse stock split was completed in March 2026 to regain Nasdaq compliance.

Financial highlights

• Net sales: $12.5M in 2025, down from $23.4M in 2024.

• Gross loss: $(3.1)M in 2025, compared to $(1.4)M in 2024.

• Operating loss: $(9.2)M in 2025, compared to $(7.5)M in 2024.

• Net loss: $(12.2)M in 2025, improved from $(14.7)M in 2024.

• Cash on hand at year-end: $35K; negative operating cash flow of $3.3M in 2025.

• Accumulated deficit: $36.2M as of December 31, 2025.

Outlook and guidance

• Management expects profitability improvements from increased crude purchases and higher refinery production volumes.

• PR Spring facility retrofit requires $3.5M–$4M in capital and is expected to be completed within 12 months of funding.

• Ongoing efforts to refinance debt, raise capital, and reduce operating expenses.