Terrestrial Energy Q3 net loss widens to $11M
Terrestrial Energy was selected as an advanced nuclear technology supplier for an Ameresco project at the U.S. Army’s Aberdeen Proving Ground.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Filing Summary
Terrestrial Energy Inc. (IMSR) reported a third-quarter net loss of $11.027 million, compared with $9.279 million in the year-earlier quarter. Operating expenses were $13.062 million versus $8.398 million, while loss per common share, basic and diluted, was $0.10 versus $0.14. For the nine months ended September 30, 2026, net loss was $30.929 million, compared with $21.780 million a year earlier.
At September 30, 2026, cash and cash equivalents were $94.787 million and short-term investments were $181.547 million. Total assets were $282.874 million and total liabilities were $8.614 million. Net cash used in operating activities for the nine months was $22.229 million, versus $10.828 million in the corresponding 2025 period.
Terrestrial Energy said it was selected as an advanced nuclear technology supplier for an Ameresco project at the U.S. Army’s Aberdeen Proving Ground. It also submitted two topical reports to the NRC, completing its guidance of at least three NRC submissions in 2026.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- None.
Negative
- Moderate pointQuarterly net loss was $11.027 million, versus $9.279 million a year earlier.
- Moderate pointNine-month operating cash use was $22.229 million, versus $10.828 million.
Filing Explained
At
8-K Event Classification
Key Figures
Key Terms
Integral Molten Salt Reactor (IMSR) technical
Topical Reports regulatory
standard-assay low-enriched uranium technical
serviceable addressable market financial
Earnings Snapshot
At least three submissions to the NRC in 2026; two topical reports were submitted, completing 2026 guidance.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What was IMSR’s third-quarter 2026 net loss?
How much cash and short-term investments did IMSR report?
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
(Exact name of registrant as specified in its charter)
| | |||
(State or other jurisdiction | (Commission File Number) | (IRS Employer |
(Address of principal executive offices, including zip code)
Registrant’s telephone number, including area code: (
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act
Title of each class | | Trading | | Name of each exchange |
|
| The | ||
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|
| The |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
Item 2.02. Results of Operations and Financial Condition.
On November 10, 2026, Terrestrial Energy Inc. announced its financial and operating results for the quarter ended September 30, 2026. A copy of the press release is furnished herewith as Exhibit 99.1 and incorporated herein by reference.
The information set forth under this Item 2.02, including Exhibit 99.1, is intended to be furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such filing.
Item 9.01. Financial Statements and Exhibits.
Exhibit | | Description |
99.1 | Press Release issued by Terrestrial Energy Inc., dated November 10, 2026 | |
104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date: November 10, 2026 | TERRESTRIAL ENERGY INC. | |
|
| |
| By: | /s/ Brian Thrasher |
| Name: | Brian Thrasher |
| Title: | Chief Financial Officer |
Exhibit 99.1
Terrestrial Energy Reports Third Quarter 2026 Results
~ Selected as Advanced Nuclear Technology Supplier for Ameresco Project at U.S. Army’s Aberdeen Proving Ground, Extending Pipeline into Federal Government and Defense ~
~ Submits Two Topical Reports to NRC, Completing 2026 Guidance ~
CHARLOTTE, N.C. — November 10, 2026 — Terrestrial Energy Inc. (NASDAQ: IMSR) (“Terrestrial Energy” or “the Company”), a leader in Generation IV molten salt nuclear plants supplying electricity and high-temperature industrial heat, today announced its financial results for the third quarter ended September 30, 2026.
“Our selection for Ameresco’s project with the U.S. Army extends our commercial pipeline into the federal government and defense, and with our Thermal and Electric Facility Topical Report, we delivered on our guidance of at least three submissions to the NRC this year,” said Simon Irish, Chief Executive Officer of Terrestrial Energy. “We are focused on the race to fleet deployment, and on delivering nuclear power at fleet scale. The world needs innovative nuclear plants for new sources of clean, firm, affordable energy, and those fundamentals continue to strengthen supporting our business plan.”
Engineering and Regulatory Highlights:
| ● | Submitted its Graphite Topical Report to the U.S. Nuclear Regulatory Commission (NRC), seeking approval of the Company’s methodology to qualify graphite for the IMSR Core-unit. |
| ● | Submitted the Thermal and Electric Facility (TEF) Topical Report after quarter end, seeking NRC confirmation that the TEF is a non-nuclear part of the IMSR Plant that can be constructed and operated without NRC permits or licenses. The submission completes the Company’s 2026 guidance of at least three Topical Reports. |
Supply Chain Developments:
| ● | Commenced engineering work with Zachry Nuclear under the Engineering Services Agreement, supporting site characterization and NRC Construction Permit application work at the Texas A&M-RELLIS site. |
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| ● | Developed fuel, component and services supply for Projects TETRA and TEFLA. |
Commercial Pipeline of IMSR Plant Projects:
| ● | Selected as the advanced nuclear technology supplier for Ameresco, Inc.’s (NYSE: AMRC) power project at the U.S. Army’s Aberdeen Proving Ground in Maryland, the second IMSR Plant project the Company has disclosed this year. This is in line with guidance provided at the beginning of the year, to announce details on one to three additional projects. The Army selected Ameresco through a competitive process under its Strategic Capital Initiatives, a program for partnering with private capital to modernize military installations. The selection builds on the parties’ June 2025 Memorandum of Understanding. |
| ● | Appointed David Williams as Chief Commercial Officer after quarter end, effective October 19, 2026, bringing four decades of power sector experience including senior roles at Kiewit Nuclear Solutions and Fluor. |
Performance, Liquidity and Capital Structure:
| ● | Reported a net loss of $11.0 million, compared to a net loss of $9.4 million for the second quarter 2026. This change was primarily driven by: |
| ◦ | $0.9 million increase in R&D, including fuel testing and lease costs related to RELLIS. |
| ◦ | $0.5 million increase in G&A due to stock-based compensation, driven by awards to new hires as the Company grows its management resources and headcount. |
| ● | Ended third quarter with $276.3 million in Cash and Cash Equivalents and Short-term Investments, compared to $283.4 million at second quarter end, with total liabilities of $8.6 million and no debt. |
| ● | Reported cash burn of $7.1 million, an increase of $0.7 million compared to second quarter. The increase largely reflects higher R&D activity associated with fuel development and testing. The Company expects cash burn to increase as it ramps projects in future quarters, including TETRA and TEFLA. |
| ● | Ended third quarter with 105.9 million shares issued and outstanding, unchanged from second quarter end, consisting of 82.7 million common shares and 23.2 million exchangeable shares. |
| ● | Authorized a share repurchase program of up to $25 million of the Company’s common stock, funded with existing cash on hand, subsequent to quarter end. |
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
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(international) and requesting the Terrestrial Energy Third-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 13763207. The replay will be available until 11:59 PM ET on November 24, 2026.
About Terrestrial Energy
Terrestrial Energy is a developer of Generation IV nuclear plants powered by its Integral Molten Salt Reactor (IMSR) technology, delivering innovation in efficiency, cost, versatility and functionality. The IMSR Plant is small, modular and designed to supply low-cost, reliable, high-temperature heat and electricity for industrial applications, including data centers and petrochemical synthesis. By extending nuclear energy beyond power markets, the IMSR Plant supports clean firm heat and power, self-reliance, grid reliability and economic growth. Using proven molten salt technology and inexpensive standard-assay low-enriched uranium fuel, Terrestrial Energy is working with regulators, suppliers and partners toward fleet deployment of IMSR Plants across multiple sites in the U.S. in the 2030s. Learn more: terrestrialenergy.com.
Forward-Looking Statements
This press release includes "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended. Statements that refer to expectations, milestones, projections, forecasts, beliefs, intentions and strategies are forward-looking statements. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “will,” “would” and similar expressions identify forward-looking statements.
These forward-looking statements are based on our current expectations and beliefs concerning future developments and their potential effects on the Company. These forward-looking statements involve a number of risks and uncertainties that may cause actual results or performance to differ materially from those expressed or implied, including risks related to (i) the development, manufacture and construction of IMSR Plants and key components, including delays, cost overruns and contractor performance issues; (ii) our ability to obtain regulatory approvals and licenses on a timely basis or at all; (iii) the accuracy of our estimates regarding lifetime revenue and gross margin of IMSR Plants and our serviceable addressable market; (iv) the ability of management to manage growth; (v) the possibility that we may be adversely affected by other economic, business, and competitive factors (including from alternative energy technologies, energy price volatility, and competition from other advanced reactor developers); (vi) potential supply chain constraints and cost inflation for specialized nuclear-grade materials and components; (vii) failure to comply with laws and regulations governing the use, transportation, and disposal of toxic, hazardous and radioactive materials; (viii) changes in domestic and foreign business, financial and political conditions and in applicable laws and regulations (including tariffs); (ix) our ability to raise additional funding in the future; (x) the outcome of any legal proceedings; and (xi) other risks and uncertainties described in documents we file with the Securities and Exchange Commission, including the risks and uncertainties described in our most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q.
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In addition, there may be other risks that we are not currently aware of, or that we currently believe are immaterial, that could also cause actual results to differ from those described herein. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. We undertake no obligation to update any forward-looking statements except as may be required under applicable securities laws.
Terrestrial Energy Investor Center:
https://www.terrestrialenergy.com/investors
Terrestrial Energy Media & Contact:
investor@terrestrialenergy.com
media@terrestrialenergy.com
4
Terrestrial Energy Inc.
Condensed Consolidated Balance Sheets
(in thousands, except share data)
(Unaudited)
| | September 30, | | December 31, | | ||
| | 2026 | | 2025 | | ||
ASSETS |
| | |
| | |
|
Current assets |
| | |
| | |
|
Cash and cash equivalents | | $ | 94,787 | | $ | 97,164 | |
Short-term investments | | | 181,547 | | | 200,626 | |
Prepaid expenses and other current assets | |
| 1,647 | |
| 1,769 | |
Total current assets | |
| 277,981 | |
| 299,559 | |
| | | | | | | |
Property and equipment, net | |
| 920 | |
| 835 | |
Intangible assets, net | |
| 678 | |
| 708 | |
Operating lease right-of-use assets | |
| 3,182 | |
| 1,732 | |
Finance lease right-of-use assets | |
| 57 | |
| 82 | |
Other assets | |
| 56 | |
| 64 | |
Total Assets | | $ | 282,874 | | $ | 302,980 | |
| | | | | | | |
LIABILITIES AND STOCKHOLDERS’ EQUITY | |
| | |
| | |
Current liabilities | |
| | |
| | |
Accounts payable and accrued expenses | | $ | 5,309 | | $ | 5,501 | |
Operating lease liabilities, current | |
| 1,608 | |
| 383 | |
Finance lease liabilities, current | |
| 34 | |
| 33 | |
Total current liabilities | |
| 6,951 | |
| 5,917 | |
| | | | | | | |
Operating lease liabilities, noncurrent | |
| 1,635 | |
| 1,601 | |
Finance lease liabilities, noncurrent | |
| 28 | |
| 56 | |
Total liabilities | |
| 8,614 | |
| 7,574 | |
| | | | | | | |
Commitments and Contingencies (Note 11) | |
| | |
| | |
| | | | | | | |
Stockholders’ Equity | |
| | |
| | |
Common shares, $0.0001 par value; 500,000,000 authorized shares; 82,718,567 and 81,771,422 shares issued and outstanding as of September 30, 2026 and December 31, 2025, respectively | |
| 8 | |
| 8 | |
Exchangeable shares, $0.0001 par value; 23,216,687 and 24,011,017 shares issued and outstanding as of September 30, 2026 and December 31, 2025, respectively | | | 2 | | | 2 | |
Additional paid-in-capital | |
| 427,646 | |
| 418,815 | |
Accumulated deficit | |
| (155,554) | |
| (124,625) | |
Accumulated other comprehensive income | |
| 2,158 | |
| 1,206 | |
Total stockholders’ equity | |
| 274,260 | |
| 295,406 | |
Total liabilities and stockholders’ equity | | $ | 282,874 | | $ | 302,980 | |
The accompanying notes are an integral part of these condensed consolidated financial statements.
5
Terrestrial Energy Inc.
Condensed Consolidated Statements of Operations and Comprehensive Loss
(in thousands, except share data)
(Unaudited)
| | Three months ended | | Nine months ended | | ||||||||
| | September 30, | | September 30, | | ||||||||
| | 2026 | | 2025 | | 2026 | | 2025 | | ||||
| | | | | | | | | | | | | |
OPERATING EXPENSES | |
| | |
| | |
| | |
| | |
Research and development costs | | $ | 4,391 | | $ | 3,362 | | $ | 12,455 | | $ | 6,211 | |
General and administrative | |
| 8,538 | |
| 4,749 | |
| 23,871 | |
| 11,569 | |
Depreciation and amortization | |
| 133 | |
| 287 | |
| 339 | |
| 666 | |
Total Operating Expenses | |
| 13,062 | |
| 8,398 | |
| 36,665 | |
| 18,446 | |
OPERATING LOSS | |
| (13,062) | |
| (8,398) | |
| (36,665) | |
| (18,446) | |
| | | | | | | | | | | | | |
OTHER INCOME (EXPENSE) | |
| | |
| | |
| | |
| | |
Government grants | |
| 168 | |
| 268 | |
| 256 | |
| 436 | |
Interest expense | |
| (2) | |
| (1,248) | |
| (4) | |
| (3,785) | |
Interest expense – related party | |
| — | |
| (92) | |
| — | |
| (254) | |
Interest and dividend income | |
| 1,940 | |
| 158 | |
| 5,874 | |
| 169 | |
Foreign exchange gain (loss) | |
| (8) | |
| 33 | |
| (212) | |
| 100 | |
OTHER INCOME (EXPENSE) | |
| 2,098 | |
| (881) | |
| 5,914 | |
| (3,334) | |
| | | | | | | | | | | | | |
Net loss before income tax | |
| (10,964) | |
| (9,279) | |
| (30,751) | |
| (21,780) | |
Income tax expense | |
| (63) | |
| — | |
| (178) | |
| — | |
Net loss | |
| (11,027) | |
| (9,279) | |
| (30,929) | |
| (21,780) | |
| | | | | | | | | | | | | |
Loss per common share, basic and diluted | | $ | (0.10) | | $ | (0.14) | | $ | (0.29) | | $ | (0.34) | |
Weighted-Average Shares of Common Shares Outstanding, Basic and diluted | |
| 105,935,254 | |
| 65,983,627 | |
| 105,911,671 | |
| 64,118,791 | |
| | | | | | | | | | | | | |
Net loss | | $ | (11,027) | | $ | (9,279) | | $ | (30,929) | | $ | (21,780) | |
Other comprehensive income (loss) net of tax: | |
| | |
| | |
| | |
| | |
Foreign currency translation adjustments | |
| 317 | |
| 28 | |
| (36) | |
| (237) | |
Change in net unrealized gains on short-term and long-term investments | |
| 290 | |
| — | |
| 988 | |
| — | |
Comprehensive loss | | $ | (10,420) | | $ | (9,251) | | $ | (29,977) | | $ | (22,017) | |
| |
| | |
| | |
| | | | | |
The accompanying notes are an integral part of these condensed consolidated financial statements.
6
Terrestrial Energy Inc.
Condensed Consolidated Statements of Changes in Stockholders’ Equity (Deficit)
(in thousands, except share data)
(Unaudited)
| | | | | | | | | | |
| | |
| Accumulated |
| | | | | | |
| | | | | | | |
| Additional |
| Other | | | | | Total | ||||||
| | Common Shares | | Exchangeable Shares | | Paid-In- |
| Comprehensive | | Accumulated | | Stockholders' | ||||||||||
| | Shares | | Amount | | Shares | | Amount | | Capital |
| Income | | Deficit | | Equity | ||||||
Balance as of January 1, 2026 |
| 81,771,422 | | $ | 8 |
| 24,011,017 | | $ | 2 | | $ | 418,815 | | $ | 1,206 | | $ | (124,625) |
| $ | 295,406 |
Stock-based compensation |
| — | |
| — |
| — | |
| — | |
| 2,761 | |
| — | |
| — |
| | 2,761 |
Shares issued upon exercise of options |
| 140,815 | |
| — |
| — | |
| — | |
| 158 | |
| — | |
| — |
| | 158 |
Conversion of exchangeable shares to common shares |
| 318,197 | |
| — |
| (318,197) | |
| — | |
| — | |
| — | |
| — |
| | — |
Issuance of shares for private placement | | 12,000 | | | — | | — | | | — | | | — | | | — | | | — | | | — |
Currency translation adjustments |
| — | |
| — |
| — | |
| — | |
| — | |
| (64) | |
| — |
| | (64) |
Change in unrealized gains on short-term and long-term investments |
| — | |
| — |
| — | |
| — | |
| — | |
| 838 | |
| — |
| | 838 |
Net loss |
| — | |
| — |
| — | |
| — | |
| — | |
| — | |
| (10,503) |
| | (10,503) |
Balance, March 31, 2026 |
| 82,242,434 | | $ | 8 |
| 23,692,820 | | $ | 2 | | $ | 421,734 | | $ | 1,980 | | $ | (135,128) |
| $ | 288,596 |
Stock-based compensation |
| — | |
| — |
| — | |
| — | |
| 2,886 | |
| — | |
| — |
| | 2,886 |
Conversion of exchangeable shares to common shares |
| 476,133 | |
| — |
| (476,133) | |
| — | |
| — | |
| — | |
| — |
| | — |
Currency translation adjustments |
| — | |
| — |
| — | |
| — | |
| — | |
| (289) | |
| — |
| | (289) |
Change in unrealized gains on short-term and long-term investments |
| — | |
| — |
| — | |
| — | |
| — | |
| (140) | |
| — |
| | (140) |
Net loss |
| — | |
| — |
| — | |
| — | |
| — | |
| — | |
| (9,399) |
| | (9,399) |
Balance, June 30, 2026 |
| 82,718,567 | | $ | 8 |
| 23,216,687 | | $ | 2 | | $ | 424,620 | | $ | 1,551 | | $ | (144,527) |
| $ | 281,654 |
Stock-based compensation |
| — | |
| — |
| — | |
| — | |
| 3,026 | |
| — | |
| — |
| | 3,026 |
Currency translation adjustments |
| — | |
| — |
| — | |
| — | |
| — | |
| 317 | |
| — |
| | 317 |
Change in unrealized gains on short-term and long-term investments |
| — | |
| — |
| — | |
| — | |
| — | |
| 290 | |
| — |
| | 290 |
Net loss |
| — | |
| — |
| — | |
| — | |
| — | |
| — | |
| (11,027) |
| | (11,027) |
Balance, September 30, 2026 |
| 82,718,567 | | $ | 8 |
| 23,216,687 | | $ | 2 | | $ | 427,646 | | $ | 2,158 | | $ | (155,554) |
| $ | 274,260 |
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| | | | | | | | | | | | | | | | Accumulated | | | | | | | |
| | | | | | | | | | Additional | | Other | | | | | Total | ||||||
| | | Common Shares | | Exchangeable Shares | | Paid-In- | | Comprehensive | | Accumulated | | Stockholders' | ||||||||||
| | | Shares* | | Amount | | Shares* | | Amount | | Capital | | Income (Loss) | | Deficit | | Deficit | ||||||
Balance as of January 1, 2025, as recast |
|
| 39,159,901 | | $ | 4 |
| 24,011,017 | | $ | 2 | | $ | 82,774 | | $ | 337 | | $ | (96,608) | | $ | (13,491) |
Stock-based compensation |
|
| — | |
| — |
| — | |
| — | |
| 180 | |
| — | |
| — | |
| 180 |
Issuance of warrants in connection with convertible notes, net of tax | | | — | | | — | | — | | | — | | | 2,595 | | | — | | | — | | | 2,595 |
Currency translation adjustments |
|
| — | |
| — |
| — | |
| — | |
| — | |
| (827) | |
| — | |
| (827) |
Net loss |
|
| — | |
| — |
| — | |
| — | |
| — | |
| — | |
| (6,252) | |
| (6,252) |
Balance, March 31, 2025 |
|
| 39,159,901 | | $ | 4 |
| 24,011,017 | | $ | 2 | | $ | 85,549 | | $ | (490) | | $ | (102,860) | | $ | (17,795) |
Stock-based compensation |
|
| — | |
| — |
| — | |
| — | |
| 214 | |
| — | |
| — | |
| 214 |
Currency translation adjustments |
|
| — | |
| — |
| — | |
| — | |
| — | |
| 562 | |
| — | |
| 562 |
Net loss |
|
| — | |
| — |
| — | |
| — | |
| — | |
| — | |
| (6,249) | |
| (6,249) |
Balance, June 30, 2025 |
|
| 39,159,901 | | $ | 4 |
| 24,011,017 | | $ | 2 | | $ | 85,763 | | $ | 72 | | $ | (109,109) | | $ | (23,268) |
Stock-based compensation |
|
| — | |
| — |
| — | |
| — | |
| 363 | |
| — | |
| — | |
| 363 |
Issuance of Series A-1 preferred shares for cash |
|
| 2,812,708 | |
| — |
| — | |
| — | |
| 25,797 | |
| — | |
| — | |
| 25,797 |
Currency translation adjustments |
|
| — | |
| — |
| — | |
| — | |
| — | |
| 28 | |
| — | |
| 28 |
Net loss |
|
| — | |
| — |
| — | |
| — | |
| — | |
| — | |
| (9,279) | |
| (9,279) |
Balance, September 30, 2025 |
|
| 41,972,609 | | $ | 4 |
| 24,011,017 | | $ | 2 | | $ | 111,923 | | $ | 100 | | $ | (118,388) | | $ | (6,359) |
* The shares of the Company’s common stock prior to the Recapitalization have been retrospectively recast to reflect the change in the capital structure as a result of the Recapitalization as described in Note 1.
The accompanying notes are an integral part of these condensed consolidated financial statements.
8
Terrestrial Energy Inc.
Condensed Consolidated Statements of Cash Flows
(in thousands)
(Unaudited)
| | Nine months ended | | ||||
| | September 30, | | ||||
| | 2026 | | 2025 | | ||
Cash flows from operating activities |
| | |
| | |
|
Net loss | | $ | (30,929) | | $ | (21,780) | |
Adjustments to reconcile net loss to net cash used in operating activities: | |
| | |
| | |
Depreciation and amortization | |
| 339 | |
| 666 | |
Amortization of debt discount | |
| — | |
| 1,923 | |
Interest income and accretion of discount on investments, net | | | (55) | | | — | |
Stock-based compensation | |
| 8,673 | |
| 757 | |
Unrealized foreign currency transaction gains | |
| (157) | |
| (311) | |
Noncash lease expense | |
| 661 | |
| 263 | |
Changes in operating assets and liabilities | |
| | |
| | |
Prepaid expenses and other current assets | |
| 178 | |
| (494) | |
Accounts payable and accrued expenses | |
| (374) | |
| 6,229 | |
Accrued interest | | | — | | | 1,641 | |
Accrued interest - related party | | | — | | | 326 | |
Operating lease payments | |
| (565) | |
| (48) | |
Net cash used in operating activities | |
| (22,229) | |
| (10,828) | |
| | | | | | | |
Cash flows from investing activities | |
| | |
| | |
Purchases of intangible assets | |
| (22) | |
| (35) | |
Purchases of property and equipment | |
| (388) | |
| (994) | |
Purchase of investments | |
| (155,240) | |
| — | |
Proceeds from redemptions of investments | |
| 175,307 | |
| — | |
Net cash provided by (used in) investing activities | |
| 19,657 | |
| (1,029) | |
| | | | | | | |
Cash flows from financing activities | |
| | |
| | |
Proceeds from issuance of convertible notes | |
| — | |
| 9,335 | |
Proceeds from issuance of convertible notes – related parties | |
| — | |
| 1,650 | |
Proceeds from Series A-1 preferred shares issuance | |
| — | |
| 25,797 | |
Proceeds from the exercise of stock options for common shares | | | 158 | | | — | |
Repayment of finance lease liabilities | |
| (27) | |
| (113) | |
Net cash provided by financing activities | |
| 131 | |
| 36,669 | |
| | | | | | | |
Effect of exchange rate changes on cash and cash equivalents | |
| 64 | |
| (94) | |
| | | | | | | |
(Decrease) increase in cash and cash equivalents during the period | |
| (2,377) | |
| 24,718 | |
Cash and cash equivalents, beginning of period | |
| 97,164 | |
| 3,022 | |
Cash and cash equivalents, end of period | | $ | 94,787 | | $ | 27,740 | |
| | | | | | | |
Supplemental noncash investing and financing activities | |
| | |
| | |
Recognition of warrants in connection with convertible notes, net of tax | | $ | — | | $ | 2,595 | |
Operating lease liabilities obtained in exchange for operating lease assets | | $ | 2,137 | | $ | — | |
Finance lease liabilities obtained in exchange for finance lease assets | | $ | — | | $ | 43 | |
The accompanying notes are an integral part of these condensed consolidated financial statements.