Novonix (NVX) investor relations material

Executive summary

• Achieved first mass production, commercial-grade synthetic graphite sample for industrial applications, marking a North American milestone.

• Completed installation and commissioning of all mass production equipment for Panasonic Energy, with mass production of battery-grade anode material expected to begin in H2 2027.

• Entered a binding term sheet for the sale of the Battery Technology Solutions (BTS) business, aligning strategic focus on synthetic graphite supply chain in North America.

• Raised $100 million through convertible debentures, $20.1 million via a share purchase plan, and $5 million from Phillips 66 to support expansion.

• Net loss for the year was $92.7 million, with revenue of $5.6 million, and cash and cash equivalents of $79.9 million at year-end.

Financial highlights

• Revenue decreased to $5.6 million in 2025 from $5.9 million in 2024, mainly due to softer consulting demand.

• Net loss widened to $92.7 million from $74.8 million year-over-year, driven by higher operating and borrowing costs, and a $32.9 million loss on extinguishment of convertible notes.

• Cash and cash equivalents increased to $79.9 million from $42.6 million, supported by financing activities.

• Product manufacturing and operating costs rose to $2.5 million, and administrative expenses increased to $22.2 million.

• Employee benefits expense was $24.0 million, up slightly from $23.6 million.

• Share-based compensation reversed to a gain of $1.1 million due to departures of key management.

• Impairment of property, plant, and equipment of $7.3 million related to the BTS business sale.

Outlook and guidance

• Mass production of battery-grade anode material for Panasonic is expected to commence in H2 2027.

• Plans to expand total synthetic graphite production capacity in Chattanooga to over 50,000 tpa with the new Enterprise South facility.

• Focused on securing additional funding and government support to meet expansion and production targets.

• Strategic shift to a vertically integrated synthetic graphite supply chain following the BTS divestiture.