REC Silicon ASA

The company said EBITDA loss from continuing operations was $3.7 million in the quarter. Gas shipments were higher than Q3, but still remained in the 500 to 600 range, which management said has been the case for the past six quarters. Cash balance at year-end was $7.3 million, and the company borrowed $20 million in Q4; management also said interest was the largest outflow in the quarter. For Q1 2026, silicon gases shipment target is again expected to be in the same range as recently noted. No revenue figure, EPS figure, or gross margin figure was stated in the call.

Kurt Levens emphasized that REC Silicon is still operating in a difficult and unpredictable market, with regional demand shifts, oversupply, and project delays weighing on volumes and visibility. He said the company is focusing on defending market share, winning qualifications at new facilities, and reducing the cost of maintaining optionality at Moses Lake while high-grading the Butte portfolio. His tone was cautious and liquidity-focused, repeatedly stressing that ongoing operations need funding and that more financing support will be required.

No separate CFO remarks were provided in the transcript beyond the CEO’s financial review. The call did state that Moses Lake consumed approximately $3.9 million of negative cash in the quarter to sustain safe and reliable operations, and that labor, energy, and other input-contract costs are part of the ongoing optionality expense. Management also said nominal debt increased in the quarter, there are still many maturities to address this year, and the company is continuing talks on extensions or restructuring of 2026-due term loans.

Analysts asked about the activities at Moses Lake and why it is generating negative cash; management said the roughly $3.9 million outflow is the cost of maintaining safe, reliable operations and keeping the site recoverable for future use, including labor, energy, and contract inputs. Questions also focused on whether the rights issue is the only financing solution, and management said the board concluded it was the only executable option within the needed timeframe that preserves equal treatment of shareholders. On the question of whether the company will be fully funded after the rights issue, management said REC Silicon still does not have sufficient cash to meet debt service and operating cash needs without continued support from its major shareholder, Hemlock, or other capital sources.