Inflection Point Acquisition Corp. II

Q2 revenue was approximately $6 million, derived from LCM metal and alloy making sales to third parties. Net loss attributable to common stockholders was $10.3 million, or $0.05 per share; adjusted net loss was $33.5 million, or $0.15 per share, after a noncash fair value adjustment of approximately $22.4 million related to warrant and earn-out liabilities. Operating expenses were approximately $45 million, and capex was $66 million. The company ended the quarter with approximately $1.5 billion in cash and cash equivalents. Management said gross margins were hurt by higher raw material input costs tied to supply challenges, and it has already raised prices on some products, expecting that to show up in upcoming quarters. Forward-looking, USA Rare Earth said it expects first magnet sales by the end of the year, Stillwater to reach 600 metric tons of run-rate capacity by year-end and 1,200 metric tons in Q1 next year, Round Top commercial operations in late 2028, and 10,000 tons of metal, alloy and magnet manufacturing capacity in the U.S. by 2029.

Barbara Humpton framed the quarter as the point where the company’s integrated rare earth architecture “snapped together,” emphasizing that USA Rare Earth is building a non-China supply chain from mine to magnet across three continents. Her tone was highly confident and mission-driven, repeatedly stressing scarcity, strategic urgency, and the company’s role in securing allied supply chains. She also highlighted the talent the company has attracted and said Thras Moraitis will take over as CEO on October 1, calling this her last quarterly call as CEO.

Rob Steele focused on execution, financial flexibility, and early commercial traction. He cited approximately $6 million of revenue, $45 million of operating expenses, a $10.3 million net loss, a $33.5 million adjusted net loss, $66 million of capex, and $1.5 billion in cash, saying that balance sheet strength gives the company flexibility to accelerate its mine-to-magnet strategy. He also said the Department of Commerce financing is a milestone-based CapEx reimbursement program, with the first reimbursement application expected in the coming months.

Analysts pressed on the 2,500 metric tons of purchase/purchase-order demand, how quickly it could expand, and whether the company is seeing real pricing power; management said that figure represents annual demand, it expects to build beyond it, and that it has already moved to higher prices that should show up in upcoming quarters. Questions also focused on Serra Verde closing conditions, bottlenecks from raw material shortages, and the pace of magnet qualification; management said the August 28 shareholder vote is the last hurdle for Serra Verde, there are no more regulatory hurdles, and qualification timing varies by customer and application, but production purchase orders already exist. Another area of focus was the labor pool and recycling; Barbara Humpton said the company is attracting strong talent and partnering with institutions, while management said swarf recycling could ultimately supply as much as 20% to 30% of finished magnet feedstock.