HCM II Acquisition Corp.

08/11/2026 | Press release | Distributed by Public on 08/11/2026 06:01

Terrestrial Energy Reports Second Quarter 2026 Results (Form 8-K)

Terrestrial Energy Reports Second Quarter 2026 Results

~ NRC Approves PIE Methodology Topical Report, Advancing the IMSR Licensing Basis ~

~ Texas A&M Agreements Signed Covering Development Activities and Ground Leases Providing Site Control for Completion of-Characterization Work at RELLIS ~

~ Updates to Estimated Unit-Economics Raises Lifetime Revenue Per Plant to $2.7 Billion from $2.1 Billion with Blended Gross Margin Raised to 33% ~

~ Expands Serviceable Addressable Market Estimate to $2.3 Trillion by 2050 ~

CHARLOTTE, N.C. - August 11, 2026 - Terrestrial Energy Inc. (NASDAQ: IMSR) ("Terrestrial Energy" or "the Company"), a developer of small modular nuclear plants using its Generation IV Integral Molten Salt Reactor (IMSR), today announced its financial results for the second quarter ended June 30, 2026.

"This quarter we reported developments across all three pillars of our business plan. We secured site control at the Texas A&M-RELLIS site, advanced projects TETRA and TEFLA, and received NRC approval of our Postulated Initiating Events methodology," said Simon Irish, Chief Executive Officer of Terrestrial Energy. "Engineering progress has allowed us to re-estimate our unit economics, particularly for our two principal businesses of IMSR Core-unit and Fuel Salt supply. We now estimate $2.7 billion of cumulative lifetime revenue per IMSR Plant, up from $2.1 billion, with a blended gross margin of 33%. This lifts our serviceable addressable market to $2.3 trillion by 2050. These economics achieved with a capital-light business model, illustrate the value of IMSR Core-unit and Fuel Salt supply."

Engineering and Regulatory Highlights:

● U.S. Nuclear Regulatory Commission (NRC) approved the Company's Postulated Initiating Events (PIE) methodology Topical Report, following its earlier approval of the IMSR Principal Design Criteria (PDC) Topical Report. Together these Topical Reports establish foundational elements of the IMSR licensing basis and can be referenced in future applications without re-evaluation.
● Continued to advance Project TETRA, the Company's test reactor pilot project, and Project TEFLA, its fuel line pilot project, both partnership projects with the U.S. Department of Energy.
● Added irradiation cycles to the Company's graphite testing and qualification program at NRG Petten, supporting materials' qualification, licensing readiness and supplier down-selection.

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● Appointed Kathy McCarthy to the Board of Directors, who has a career in nuclear technology and major project development at leading national laboratories. Concurrently, Pamela Cowan joined as EVP of Engineering, with more than 35 years of nuclear industry engineering experience, including senior leadership roles at Westinghouse and Holtec.

Supply Chain Developments:

● Continued Westinghouse engagement for the supply of uranium tetrafluoride (UF4) at standard enrichment, a key component in IMSR Fuel Salt supply.
● Signed an engineering service agreement with Zachry Nuclear to support site characterization and data-collection at the Texas A&M-RELLIS site.

Commercial Pipeline of IMSR Plant Projects:

● Signed ground lease and research agreements with Texas A&M University System for use of 77 acres at the Texas A&M-RELLIS site, securing site control and the path to complete site characterization work and environmental evaluation work for the IMSR Plant and other facilities.
● Executed a Memorandum of Understanding with Riot Platforms, Inc. (NASDAQ: RIOT) to co-locate IMSR Plants with Riot data centers. The parties are evaluating a natural gas fuel bridge for early electricity supply and added resiliency during full plant operation.

Unit Economics Update:

● Estimate of cumulative lifetime revenue per IMSR Plant increased to $2.7 billion from $2.1 billion on a blended gross margin of 33%. 79% of lifetime revenues occurs after construction of the IMSR Plant from Core-unit and Fuel Salt supply under long term contract. Gross margins for the Core-unit and Fuel Salt supply businesses estimated to be 33% and 40%, respectively.
● Updated 2050 serviceable addressable market to $2.3 trillion.

Performance, Liquidity and Capital Structure:

● Reported a net loss of $9.4 million for second quarter, compared to a net loss of $10.5 million for first quarter. This change was primarily driven by:
◦ $1.1 million decrease in R&D, reflecting timing and scope variances on key tests, including additional graphite irradiation cycles at NRG Petten.
◦ $0.7 million increase in G&A due to increased personnel-related expenses and stock-based compensation.
◦ $0.9 million increase in Other Income (Expense) due to decreased Interest Expense and an increase in Interest and Dividend Income.

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• Ended second quarter with $283.4 million in cash, cash equivalents and investments.
• Reported cash burn of $6.4 million, a decrease of $1.5 million compared to first quarter. The decrease largely from a shift in the timing of certain testing activities.
• Ended second quarter with 105.9 million shares issued and outstanding and unchanged from first quarter end, consisting of 82.7 million common shares and 23.2 million exchangeable shares.

Conference Call and Webcast

Terrestrial Energy will host a conference call today at 8:30 a.m. Eastern Time to discuss the Company's financial results. The live webcast of the conference call and accompanying presentation materials can be accessed through Terrestrial Energy's website at ir.terrestrialenergy.com. For those unable to access the webcast, the conference call can be accessed by dialing (877) 407-4019 (domestic) or +1 (201) 689-8337 (international) and requesting the Terrestrial Energy Second-Quarter 2026 Earnings Conference Call. For those unable to listen to the live conference call, a replay will be available after the call through the archived webcast in the Events section of Terrestrial Energy's investor relations website or by dialing (877) 660-6853 or (201) 612-7415. The access code for the replay is 13761804. The replay will be available until 11:59 PM ET on August 25, 2026.

About Terrestrial Energy

Terrestrial Energy is a developer of Generation IV nuclear plants that use its proprietary Integral Molten Salt Reactor (IMSR). The IMSR captures the transformative operating benefits of molten salt reactor technology in a plant design that represents true innovation in capital efficiency, cost reduction, versatility and functionality of nuclear energy supply. IMSR plants are designed to be small and modular for distributed supply of low-cost, reliable, dispatchable, clean, high-temperature industrial heat and electricity, and to be customized for a dual-use energy role relevant to many industrial applications, such as petrochemical and chemical synthesis, and data center operation. In so doing, IMSR plants extend the application of nuclear energy far beyond electric power markets. Their deployment will support the rapid growth of clean firm heat and power, delivering energy self-reliance, grid reliability and economic growth. Terrestrial Energy uses an innovative plant design together with proven and demonstrated molten salt reactor technology and readily-available and inexpensive standard-assay low-enriched uranium in its fuel for a nuclear plant with a unique set of operating characteristics and compelling transformative commercial potential. Terrestrial Energy is engaged with regulators, suppliers, industrial partners and energy end-users to build, license and commission the first IMSR plants in the early 2030s.

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