Highlights

  • Second quarter 2026 revenue rose 14% to $176.1 million, while net income fell 42% to $16.8 million.
  • Backlog reached $4.5 billion at June 30, 2026, including $3.7 billion in the LEU segment, partly contingent.
  • Centrus signed its $900 million Department of Energy task order for commercial-scale HALEU production in Piketon, Ohio, on July 1.
  • DOE has said it does not currently intend to exercise further options under the existing HALEU Operation Contract.

Centrus Energy Corp. (NYSE:LEU) shares were trading near their 52-week low at USD 109.11 on October 21, 2026, down 0.71%. The nuclear fuel supplier reported second quarter 2026 results in its quarterly report filed August 6, signed a Department of Energy task order contract for commercial HALEU production on July 1 and received a contract amendment.

Based in Bethesda, Maryland, Centrus is a Delaware corporation that supplies nuclear fuel components and enrichment and technical services to commercial and government customers. It reports two segments. The LEU segment sells enriched uranium and its separative work unit (SWU) enrichment component, mainly to utilities that operate nuclear plants. The Technical Solutions segment provides advanced enrichment for the industry and the U.S. government, including the HALEU cascade in Piketon, Ohio. Its fiscal year ends December 31.

Revenue Higher, Net Income Lower

Revenue for the quarter ended June 30, 2026 was $176.1 million, up from $154.5 million a year earlier. LEU segment revenue rose 22% to $153.4 million because of $53.4 million of uranium sales, while SWU revenue fell 20% to $100.0 million on a 23% drop in SWU volume, partly offset by a 3% higher average price. Technical Solutions revenue declined 21% to $22.7 million and posted a gross loss of $1.7 million, against a $3.2 million gross profit.

Operating income dropped to $10.4 million from $33.5 million. Advanced technology costs rose to $10.8 million from $3.3 million, tied to the Oak Ridge and Piketon expansion projects. Selling, general and administrative expense nearly doubled to $26.2 million and included a $17.2 million non-cash charge from reclassifying certain Board restricted stock units from equity to liability.

Net income was $16.8 million, or $0.77 per diluted share, compared with $28.9 million, or $1.59. For the six months, net income was $26.8 million versus $56.1 million.

HALEU Contracts, Backlog and Expansion

Backlog stood at $4.5 billion at June 30, 2026, up from $3.8 billion at year-end 2025, extending to 2040. The LEU segment accounted for about $3.7 billion and Technical Solutions about $0.8 billion.

On July 1, 2026, a Centrus subsidiary signed the contract for a $900 million DOE task order to expand the Piketon facility to commercial-scale HALEU production, with DOE options for up to $170 million more. The company notes there are no guarantees about whether or when DOE funding for the expansion will be awarded. It was not selected for a task order under the LEU Production Contract in January.

The existing HALEU Operation Contract is a more mixed picture. On June 30, DOE extended the period of performance to September 30, 2026 and exercised a three-month option for cascade maintenance and HALEU storage, with no production, for a fixed $15.0 million. The proposed DOE fiscal 2027 budget does not include funding to operate the cascade, DOE has said it does not currently intend to exercise further options, and Centrus is working with DOE on agreements that would let it operate the cascade privately, with no assurance of success.

Cash, Financing and Outlook

Cash and cash equivalents were $1.9 billion at June 30, 2026, and management expects adequate liquidity for at least 12 months. Operating activities used $16.7 million in the six months, and capital expenditures were $94.8 million. The company has $402.5 million of 2.25% convertible notes due 2030 and $805.0 million of 0% convertible notes due 2032. In the second quarter it sold 278,114 Class A shares through its at-the-market program for $55.0 million, and the program allows sales of up to $1.0 billion. The filing notes that future sales under it, or additional debt, could dilute stockholders.

Centrus expects to raise capital spending by several hundred million dollars as it advances its manufacturing readiness plan and Ohio expansion. It plans to invest more than $560 million over several years in high-rate centrifuge manufacturing at Oak Ridge, Tennessee, with the first new centrifuges expected online in Ohio in 2029. Management notes that Russian LEU import and export restrictions affecting its TENEX supply contract are a significant risk.