LiqTech International (LIQT) investor relations material

Executive summary

• Q1 2026 revenue was $4.1 million (DKK 4.1 million), down 10.4% year-over-year due to a non-recurring Water for Energy delivery in 2025, but underlying business activity in commercial pool, marine, DPF, and membrane segments was strong.

• Gross profit improved to $0.4 million (9.5% margin) from $0.1 million (2.7% margin) year-over-year, driven by better sales mix, manufacturing utilization, procurement savings, and lower depreciation.

• Net loss widened to $2.7 million from $2.4 million in Q1 2025, mainly due to higher operating and other expenses, including foreign currency losses and higher interest expense.

• Management continues cost optimization and operational initiatives to improve liquidity and profitability, but substantial doubt remains about the ability to continue as a going concern without additional funding.

• Strategic focus remains on scalable, repeatable platforms, geographic expansion, and service capabilities.

Financial highlights

• Q1 2026 revenue was $4.1 million (DKK 4.1 million), down from $4.6 million (DKK 4.6 million) in Q1 2025.

• Gross profit increased to $0.4 million (9.5% margin) from $0.1 million (2.7%) year-over-year.

• Net loss widened to $2.7 million from $2.4 million, mainly due to higher operating and other expenses.

• Adjusted EBITDA was $(1.5) million, nearly flat year-over-year.

• Cash on hand, including restricted cash, was $2.7 million as of March 31, 2026.

Outlook and guidance

• Full-year 2026 revenue guidance reiterated at $23–27 million (DKK 23–27 million), representing 39%–64% growth over 2025.

• Growth expected from commercial pool, marine, DPF/membrane, and plastic components, with upside potential from water for energy and industry.

• Q2 2026 projected to be a record quarter for commercial pool revenue based on strong order book.

• Revenue expected to ramp gradually through 2026, with sequential improvement each quarter.

• Management is actively evaluating financing alternatives, including debt, equity, and strategic arrangements.