Centrus Energy Corp. (LEU) SEC Filings & Earnings Calls

Integration risk and execution of expansion plans.

“Acquisition integration and reliance on successful enrichment capacity build-out.”

Potential acquisition not yet definitive; may not close.

“There can be no assurance that a definitive agreement will be executed or that any transaction will be consummated.” · word for word

Dilution from equity offering and warrants.

“Offering includes 500,000 shares, pre-funded warrants for 2,005,513 shares, and common warrants for up to 6,992,382 shares.”

Execution risk on enrichment milestones; cost overruns could forfeit awards.

“Vesting condition requires actual related costs fall within a set range.”

Contract execution risk: deliveries not scheduled until 2030, subject to production and regulatory milestones.

“deliveries scheduled to begin in 2030” · word for word

DOE funding dependency

“DOE has communicated that it does not currently intend to exercise further options under the HALEU Operation Contract.” · word for word

Chinese enriched uranium imports

“Data from the International Trade Commission shows a significant increase in the importation of enriched uranium into the U.S. from China in 2023.” · word for word

Execution risk on expansion

“There is no assurance that the Company will successfully complete the announced expansion of its uranium enrichment capacity in Piketon, Ohio.” · word for word

Technical Solutions segment gross loss due to HALEU Operation Contract.

“Technical Solutions gross loss $1.7M vs profit $3.2M YoY; decrease of 153%.”

Dependence on DOE contracts and geopolitical risks (Russia LEU restrictions).

“Guidance assumes no significant change in restrictions on Russian LEU; war in Ukraine risks.”

Stock compensation expense volatility impacting net income.

“Increase in SG&A of $12.8M driven by $17.2M increase in stock-compensation expense related to non-employee tax withholdings of RSUs.”

Contract options exercisable at DOE's sole discretion; performance risk on milestone payments.

“first and second options, exercisable at the Department’s sole discretion”

Non-binding LOI; definitive agreement not yet executed, subject to negotiation and conditions.

“should a definitive agreement ultimately be executed”

DOE funding uncertainty

“The current fiscal year 2027 DOE budget proposal does not include funding for the operation of this cascade.” · word for word

Legal proceedings

“The Company is assessing DOE's assertions including whether all or a portion of any such potential liability had been previously settled.” · word for word

Task order negotiation risk

“The task order is subject to negotiation of a definitive agreement and there are no guarantees about whether or when funding by the DOE for such expansion would be awarded.” · word for word

LEU segment revenue decline due to volume decrease, partially offset by price increase; dependency on timing of multi-year contracts.

“LEU segment revenue down 13% due to 47% decrease in SWU volume sold, partially offset by 52% price increase.”

Geopolitical Risk (Ukraine War)

“We are closely monitoring the impacts the war in Ukraine, and reactions the international community, including the U.S., Russia and European countries, may have on the Company and the nuclear industry.” · word for word

NOL Limitation Risk

“if the Company experiences an “ownership change,” as defined in Section 382 of the Code, the Company’s ability to use its NOLs and other tax benefits will be substantially limited.” · word for word

Key Person Dependency

“Mr. Tinelli’s continued employment with the Company is contingent upon his obtaining by February 11, 2027, and maintaining, a U.S. Department of Energy “Q” security clearance.” · word for word

Time and materials pricing with capped total; scope subject to future task releases; termination for convenience rights.

“The Construction Contract provides for a time and materials pricing structure... the aggregate amount payable under the Construction Contract is capped at $900 million... ACO termination rights for cause and for convenience”

DOE funding dependency

“Our ability to deploy LEU and/or HALEU enrichment, and the timing, sequencing, and scale of those capabilities, is subject to our continued ability to obtain public and private funding.” · word for word

Execution risk on expansion

“These projects are complex, costly, and subject to significant uncertainties. Delays, cost overruns, or operational disruptions could materially impact our ability to achieve the anticipated benefits of these initiatives.” · word for word

Regulatory risk (NRC, DOE)

“Our operations are highly regulated by the U.S. government, including the NRC and the DOE as well as the States of Ohio and Tennessee and could be significantly impacted by changes in government policies and priorities.” · word for word

Nuclear liability risk

“Our operations involve the use, transportation and disposal of toxic, hazardous and/or radioactive materials and could result in liability without regard to fault or negligence.” · word for word

Debt and liquidity risk

“We have significant long-term liabilities, including the indebtedness under our 0% Convertible Notes and 2.25% Convertible Notes”

Execution risk on large-scale construction project; time-and-materials pricing may lead to cost overruns.

“Time and materials pricing structure; incremental funding authorization; termination fee if convenience termination within first 12 months.”

Technical Solutions segment gross profit declined 66% due to HALEU contract cost overruns and undefinitized phase.

“Gross profit for the Technical Solutions segment was $6.0 million and $17.6 million for the year ended December 31, 2025 and 2024, respectively, a decrease of $11.6 million (or 66%). Costs incurred subsequent to November 2024 have not yet been subject to a fee as this portion of Phase 2 remains undefinitized.” · word for word

Russian supply disruption

“Through 2027, well over one-half of the LEU that we expect to deliver to customers was sourced under the TENEX Supply Contract.” · word for word

Import Ban Act waiver uncertainty

“The U.S. ban on imports of Russian LEU, without the grant of additional timely waivers, would have a negative material impact on our business.” · word for word

Russian Decree export license risk

“Centrus has been informed that there is no certainty whether additional licenses will be issued by the Russian authorities and if issued, whether they will be issued in a timely manner and not rescinded prior to the shipment taking place.” · word for word

China import competition

“Recent data from the International Trade Commission shows a significant increase in the importation of enriched uranium into the U.S. from China beginning in 2023.” · word for word

Section 232 tariff risk

“The results of the investigation could result in an imposition of, or increase in tariffs, on these products or other trade restrictions from our international suppliers which could significantly increase our costs and have a material adverse effect on our financial position and results of operations.” · word for word

Potential dilution from equity issuance; ATM program allows sale of up to $1B in shares.

“May offer and sell shares having an aggregate offering price of up to $1,000,000,000.”

Dependence on government contracts and waivers for Russian deliveries; undefinitized Phase 2 HALEU contract may delay fee recognition.

“Because of the delay in completing Phase 2 of the HALEU Operation Contract, DOE extended the Phase 2 period of performance through October 31, 2025. Costs incurred subsequent to November 2024 have not yet been subject to a fee as this portion of Phase 2 remains undefinitized and is subject to negotiation.” · word for word

Contingent LEU sales commitments depend on securing substantial public and private investment; expansion risk.

“The contingent LEU sales commitments also depend on our ability to secure substantial public and private investment.” · word for word