Third Quarter Revenues Increased to $0.8 Million Due to Higher Service Revenues and Expects 2025 Full Year Revenues of Approximately $4 Million
Fortified Balance Sheet Including $7.0 Million ATM Facility Extends Cash Runway into Q2 2026
Management to Host Webcast and Conference Call Today at 4:30 p.m. ET
DURHAM, N.C., Nov. 12, 2025 (GLOBE NEWSWIRE) -- 374Water Inc. $(SCWO)$ ("374Water" or the "Company"), a global leader in organic waste destruction technology and services for the industrial, municipal, and federal markets, today reported its financial and operational results for the third quarter ended September 30, 2025.
"The third quarter of 2025 was underscored by ongoing service deployments and the continued commercialization of our Super Critical Water Oxidation ("SCWO") technology," said Stephen J. Jones, Interim President and Chief Executive Officer of 374Water. "For example, we successfully completed a commercial-scale waste destruction service project at Clean Earth's Detroit, MI facility as part of a Department of Defense ("DoD") project. For six weeks we executed per- and polyfluoroalkyl ("PFAS") destruction of multiple concentrated waste streams at commercial Treatment, Storage, and Disposal Facilities ("TSDF") using our AirSCWO 6 System. We also successfully deployed our AirSCWO technology to a Colorado School of Mines and DoD Environmental Security Technology Certification Program project aimed at comparing technology solutions to destroy PFAS contaminated wastes. Both efforts demonstrated our ability to destroy PFAS-impacted waste streams as a treatment option for DoD installations impacted by PFAS.
"During the quarter we signed a waste destruction services ("WDS") collaboration agreement focused on PFAS destruction with Crystal Clean, a leading provider of environmental and waste management solutions. Crystal Clean is an ideal partner to enable our WDS business to scale rapidly and support growing demand across a wide array of market verticals and waste streams. We intend to grow the WDS business over the next several years, establishing multiple WDS operations at TSDF partner facilities across North America. WDS will generate recurring revenues with customers demanding total waste treatment with our AirSCWO technology.
"Most recently, we secured an order from the City of Olathe, KS ("Olathe") for the sale and deployment of an AirSCWO 6 system and a related pre-treatment and dewatering system. Olathe will utilize the AirSCWO process at its wastewater treatment facility to assess its potential as a sustainable alternative to traditional sludge management practices and disposal methods. We also recently began processing our award by the State of North Carolina for WDS to destroy AFFF utilizing AirSCWO technology. In the first phase of this waste destruction service project, we will treat 1,000 gallons of AFFF. If selected for the second phase, we could treat up to an additional 28,000 gallons of AFFF.
"On the financial front, we have strengthened our balance sheet, utilizing our at-the-market facility which generated proceeds of approximately $7.0 million, extending our anticipated cash runway into the second quarter of 2026.
"Looking ahead, we are focused on successful waste destruction of PFAS and other waste streams utilizing our AirSCWO system at current project deployments and accelerating the conversion of a growing pipeline of opportunities. With the recent announcements of revenue generating service and capital equipment sales, we are projecting 2026 revenue to be in the $6-8 million range. We look forward to additional milestones and announcements in the months ahead," concluded Jones.
Third Quarter 2025 Financial Summary
-- For the third quarter of 2025, revenue totaled $760,000 compared to
$81,000 in the prior year. The company's business has been focused on the
development and commercialization of its AirSCWO systems to fulfill
current projects and prepare for additional revenue growth. The
approximate $679,000 increase in revenues was primarily due to an
increase in our service revenues of approximately $643,000 from the
completion of waste destruction service projects, and $36,000 in capital
equipment sale revenues.
-- Total operating expenses increased 64% to $4.6 million for the three
months ended September 30, 2025, compared to $2.8 million in the prior
year period. The increase was primarily owed to expanded operations
including a $0.9 million increase in compensation and related expenses,
an increase of $0.3 million in research and development, and an increase
of $0.8 million in general and administrative expenses.
-- Net loss for the three months ended September 30, 2025, was $4.3 million,
as compared to$2.7 million in the prior year. Net loss increased due to
continued investment in commercialization and increased operational
costs.
-- Revenue for 2025 calendar year is projected to be approximately $4
million based upon current expectation of deliverables for the fourth
quarter.
-- Cash and cash equivalents as of September 30, 2025, was $0.9 million, as
compared to $10.7 million as of December 31, 2024. As of September 30,
2025, working capital was $1.9 million, compared to $4.5 million as of
September 30, 2024.
-- Based upon our current cash position, including the $7.0 million raised
from the at-the-market facility, and expected billings and related
collections, we project to have adequate cash to support our business
plans into Q2 2026.
Third Quarter 2025 Results Conference Call
374Water Interim President and Chief Executive Officer Stephen J. Jones and CFO Russell Kline will host the conference call, followed by a question-and-answer period. The conference call will be accompanied by a presentation, which can be viewed during the webcast or accessed following the call via the investor relations section of the Company's website here.
To access the call, please use the following information:
Date: Wednesday, November 12, 2025 Time: 4:30 p.m. Eastern time (1:30 p.m. Pacific time) Dial-in: 1-877-423-9813 International Dial-in: 1-201-689-8573 Conference Code: 13756490 Webcast: SCWO Q3 2025 Financial Results Conference Call
A telephone replay will be available approximately three hours after the call and will run through November 26, 2025, by dialing 1-844-512-2921 from the U.S., or 1-412-317-6671 from international locations, and entering replay pin number: 13756490. The replay can also be viewed through the webcast link above and the presentation utilized during the call will be available in the Company's investor relations section here.
About 374Water
374Water Inc. (NASDAQ: SCWO) is a global industrial technology and services company providing innovative solutions addressing wastewater treatment and waste management issues within the industrial, municipal, and federal markets. 374Water's AirSCWO technology is designed to efficiently destroy and mineralize a broad spectrum of non-hazardous and hazardous organic wastes, producing safe dischargeable water streams, safe mineral effluent, safe vent gas, and recoverable heat energy. 374Water's AirSCWO technology has the potential to assist its customers to meet discharge requirements, reduce or eliminate disposal costs, remove bottlenecks, and reduce litigation and other risks. 374Water continues to be a leader in innovative waste treatment solutions, dedicated to creating a greener future and eradicating harmful pollutants. Learn more by visiting www.374water.com and follow us on LinkedIn.
Cautionary Language on Forward-Looking Statements
Certain statements in this communication are "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, as amended. Words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "plan," "predict," "project," "potential," or other comparable terminology are intended to identify forward-looking statements. These statements include those related to 374Water's revenue guidance and cash runway, 374Water's ability to scale its operations, including its WDS operations by expanding WDS operations to TSDFs and being awarded additional AFFF to process from the State of North Carolina or others, whether 374Water will be successful in obtaining federal, municipal and industrial waste destruction contracts, demand for 374Water's solutions, and 374Water's ability to destroy PFAS at scale, and 374Water's future prospects and involve known and unknown risks, uncertainties, and other factors that may cause 374Water's actual results, levels of activity, performance, or 374Water's achievements or those of its industry to be materially different from those expressed or implied by any forward-looking statements. 374Water has based these forward-looking statements on its current expectations, assumptions, estimates, beliefs, and projections. While 374Water believes these expectations, assumptions, estimates, and projections are reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which involve factors or circumstances that are beyond the 374Water's control. These forward-looking statements are subject to risks and uncertainties, including those discussed under "Risk Factors" in 374Water's Form 10-Q for the quarter ended September 30, 2025, and in 374Water's subsequent filings and reports with the SEC. The forward-looking statements herein are made only as of the date they were first issued, and unless otherwise required by laws, 374Water disclaims any intention or obligation to update or revise any forward-looking statements, whether
as a result of new information, future events, or otherwise.
Investor Relations and Media Contact
Jim Siccardi
Senior Vice President
Direct: 984-374-1222
Jim.Siccardi@374water.com
www.374Water.com
Chris Tyson
Executive Vice President
MZ North America
Direct: 949-491-8235
SCWO@mzgroup.us
www.mzgroup.us
374Water Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
September 30, 2025 (Unaudited) and December 31, 2024
----------------------------------------------------------------------
September 30, December 31,
2025 2024
------------- ------------------
Assets
Current Assets:
Cash $ 933,328 $ 10,651,644
Accounts receivable, net of credit
allowance 643,585 269,733
Unbilled accounts receivable 2,155,622 1,653,007
Stock subscription receivables 5,041 -
Other receivables 11,851 43,886
Inventory, net 1,897,544 1,701,474
Contract assets 151,493 136,651
Prepaid expenses 439,324 431,412
----------- -----------
Total Current Assets 6,237,788 14,887,807
Property and equipment, net 3,483,957 2,567,571
Intangible asset, net 961,566 1,016,594
Right-of-use asset, net 602,713 691,014
Other assets 76,149 20,847
----------- -----------
Total Long-Term Assets 5,124,385 4,296,026
----------- -----------
Total Assets $ 11,362,173 $ 19,183,833
=========== ===========
Liabilities and Stockholders'
Equity
Current Liabilities:
Accounts payable and accrued
expenses $ 1,241,839 $ 906,394
Accrued bonuses 270,000 570,000
Accrued contract loss provision 1,230,000 1,000,000
Accrued legal settlement 66,175 335,000
Unearned revenue 360,463 197,683
Note payable 7,347 -
Secured promissory note 600,000 -
Financing liability 171,173 -
Operating lease liability 114,866 101,320
Other liabilities 271,666 17,279
----------- -----------
Total Current Liabilities 4,333,529 3,127,676
----------- -----------
Unearned revenue, less current
portion 30,000 30,000
Note payable, less current portion 37,735 -
Operating lease liability, less
current portion 463,848 551,376
----------- -----------
Total Long-Term Liabilities 531,583 581,376
----------- -----------
Total Liabilities 4,865,112 3,709,052
----------- -----------
Stockholders' Equity
Preferred stock: 50,000,000 shares
authorized, par value $0.0001 per
share, nil issued and outstanding
at September 30, 2025 and December
31, 2024. - -
Common stock: 1,000,000,000 common
shares authorized, par value
$0.0001 per share, 154,261,131 and
144,301,977 shares outstanding at
September 30, 2025 and December
31, 2024, respectively 15,424 14,429
Additional paid-in capital 47,494,670 43,845,499
Accumulated deficit (41,015,504) (28,387,618)
Accumulated other comprehensive
income 2,471 2,471
----------- -----------
Total Stockholders' Equity 6,497,061 15,474,781
----------- -----------
Total Liabilities & Stockholders'
Equity $ 11,362,173 $ 19,183,833
=========== ===========
374Water Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
For the Three and Nine Months Ended September 30,
2025 and 2024
(Unaudited)
-------------------------------------------------------------
Three Months Ended Nine Months Ended
September 30, 2025 September 30, 2025
--------------------- ---------------------
2025 2024 2025 2024
---------- -------- ---------- --------
Revenues $ 760,417 $ 81,490 $ 1,898,484 $ 433,589
Cost of
revenues 547,785 42,404 1,823,935 703,245
---------- -------- ---------- --------
Gross margin
(deficit) 212,632 39,086 74,549 (269,656)
---------- -------- ---------- --------
Operating expenses
Research and
development 755,944 424,579 1,820,701 1,526,294
Compensation and
related expenses 2,097,580 1,212,602 5,769,832 3,010,273
Professional fees 257,228 499,010 1,678,467 1,367,702
General and
administrative 1,462,625 644,634 3,589,754 1,788,117
----------- ----------- ----------- -----------
Total operating
expenses 4,573,377 2,780,825 12,858,754 7,692,386
----------- ----------- ----------- -----------
Loss from operations (4,360,745) (2,741,739) (12,784,205) (7,962,042)
Other
income(expense)
Interest income 11,088 36,626 147,153 215,438
Other income
(expense) 633 3,296 9,166 88,002
----------- ----------- ----------- -----------
Total other
income, net 11,721 39,922 156,319 303,440
----------- ----------- ----------- -----------
Net loss before
income taxes (4,349,024) (2,701,817) (12,627,886) (7,658,602)
Provision for Income
Taxes - - - -
----------- ----------- ----------- -----------
Net loss $ (4,349,024) $ (2,701,817) $(12,627,886) $ (7,658,602)
=========== =========== =========== ===========
Net loss per share
(basic and
diluted) $ (0.03) $ (0.02) $ (0.09) $ (0.06)
=========== =========== =========== ===========
Weighted average
common shares
outstanding-basic
and diluted 151,471,944 132,997,135 147,044,195 133,307,818
=========== =========== =========== ===========
374Water Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
For the Three and Nine Months Ended September 30,
2025 and 2024
(Unaudited)
-------------------------------------------------------------------
CASH FLOWS FROM OPERATING ACTIVITIES 2025 2024
----------- ----------
Net loss $(12,627,886) $(7,658,602)
Adjustments to reconcile net loss to
net cash used in operating activities:
Depreciation and amortization 545,627 79,040
Non-cash lease expense 88,301 -
Issuance of common stock for services 287,450 373,231
Stock-based compensation - options
and restricted stock 2,072,559 878,993
Gain on legal settlement - (22,303)
Increase in inventory reserve - 50,000
Changes in operating assets and
liabilities:
Accounts receivable (373,852) (223,985)
Unbilled accounts receivable (502,615) (226,594)
Other receivables 32,035 29,657
Inventory (196,070) (936,934)
Contract assets (14,842) (99,245)
Prepaid expenses 199,619 (73,768)
Other assets (55,302) (22,792)
Accounts payable and accrued expenses 335,445 197,158
Accrued bonus (300,000) -
Accrued contract loss provision 230,000 100,000
Accrued legal settlement (268,825) -
Unearned revenue 162,780 72,768
Other liabilities 254,387 (14,358)
Operating lease liability (73,982) -
----------- ----------
Net cash used in operating activities (10,205,171) (7,497,734)
----------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property and equipment (769,801) (75,000)
Purchases of equipment-in-process (588,993) (838,410)
Increase in intangible assets - (85,797)
----------- ----------
Net cash used in investing activities (1,358,794) (999,207)
----------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES
Repayments on note payable (3,109) -
Repayments on financing liability (36,358) -
Proceeds from the exercise of options 24,000 -
Proceeds from secured promissory note 600,000 -
Proceeds from the sale of common
stock , net of issuance costs 1,911,096 11,912
Warrant repurchase (649,980) -
----------- ----------
Net cash provided by financing
activities 1,845,649 11,912
----------- ----------
Net decrease in cash (9,718,316) (8,485,029)
Cash, beginning of period 10,651,644 10,445,404
----------- ----------
Cash, end of period $ 933,328 $ 1,960,375
=========== ==========
Supplemental cash flow disclosures
Cash paid for interest $ 5,362 $ -
=========== ==========
Cash paid for taxes $ - $ -
=========== ==========
Supplemental disclosure investing
activities
Reclassification of inventory to
equipment-in-process $ - $ 1,819,284
=========== ==========
Issuance of restricted common stock to
executives $ 114 $ -
=========== ==========
Equipment financed with a note payable $ 48,191 $ -
=========== ==========
Cashless stock option exercise $ - $ 18
=========== ==========
Common stock sold with subscription
receivable $ 5,041
=========== ==============
Prepaid insurance financed $ 207,531 $ -
=========== ==========
(END) Dow Jones Newswires
November 12, 2025 16:01 ET (21:01 GMT)
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