Amprius Technologies, Inc.

Previous wording

Amprius Technologies, Inc. (hereafter referred to as the “Company,” “we,” “us,” or “our”) develops, manufactures and markets lithium-ion batteries for mobility applications, including the aviation, electric vehicle (“EV”) and light electric vehicle (“LEV”) industries. We have been in commercial battery production since 2018 and our disruptive silicon anode technology is intended to enable batteries with higher energy density, higher power density and fast charging capabilities over a wide range of operating temperatures. This results in our batteries providing superior performance and safety compared to conventional graphite lithium-ion batteries. Our silicon anodes are a direct drop-in replacement of the graphite anode in traditional lithium-ion batteries, and our manufacturing processes leverage the manufacturing processes for conventional lithium-ion batteries and the related supply chain.

Current wording

Amprius Technologies, Inc. (hereafter referred to as the “Company,” “we,” “us,” or “our”) develops, manufactures and markets lithium-ion batteries for mobility applications, including the aviation, electric vehicle (“EV”) and light electric vehicle (“LEV”) industries. We have been in commercial battery production since 2018 and our disruptive silicon anode technology is intended to enable batteries with high energy density, high power density and fast charging capabilities over a wide range of operating temperatures, and safety. This results in our batteries providing superior performance and safety compared to conventional graphite lithium-ion batteries. Our silicon anodes are a direct drop-in replacement of the graphite anode in traditional lithium-ion batteries, and our manufacturing processes leverage the manufacturing processes for conventional lithium-ion batteries and the related supply chain.

Previous wording

Currently, our batteries are primarily used for existing and emerging aviation applications, including unmanned aerial systems or UAS, such as drones and high altitude pseudo satellites or HAPS. We believe our proprietary technology has the potential for broad application in electric transportation. Our batteries and their performance specifications have been tested and validated for application by various customers, including our longtime partners such as AALTO Airbus, AeroVironment, BAE Systems, Kraus Hamdani Aerospace, Teledyne FLIR and the U.S. Army. Our total customer engagements since inception grew to over 360 with shipments to 93 customers during thethree months ended June 30, 2025, with 43 new customers. Our proprietary silicon anode structures, battery cell designs and manufacturing processes are protected by our portfolio of patents, trade secrets and know-how developed over 15 years of research and development.

Current wording

Currently, our batteries are primarily used for existing and emerging aviation applications, including unmanned aerial systems or UAS, such as drones and high altitude pseudo satellites or HAPS. We believe our proprietary technology has the potential for broad application in electric transportation. Our batteries and their performance specifications have been tested and validated for application by various customers, including our longtime partners such as AALTO Airbus, AeroVironment, BAE Systems, Kraus Hamdani Aerospace, Teledyne FLIR and the U.S. Army. Our total customer engagements since inception grew to over 400 with shipments to 159 end customers during the three months ended September 30, 2025, with 80 new customers. Our proprietary silicon anode structures, battery cell designs and manufacturing processes are protected by our portfolio of patents, trade secrets and know-how developed over 15 years of research and development.

Previous wording

Our SiCore batteries were developed in collaboration with Berzelius (Nanjing) Co., Ltd. (“Berzelius”), a former affiliated company. We began limited shipment of SiCore batteries in 2023, which generated a strong demand from our customers. In order to support such demand, we entered into a supply agreement with Berzelius in November 2023 (the “Exclusive Supply Agreement”), which gives us exclusive rights to purchase its proprietary silicon anode materials in the United States, Canada and Mexico. In January 2024, we announced the full commercial launch of our SiCore batteries and accelerated engagement with our addressable markets. We entered into manufacturing supply agreements with three global contract manufacturing companies, which provided us an opportunity to rapidly scale production and ship a large volume of SiCore batteries to our customers. As of June 30, 2025, we had access, through Berzelius and our manufacturing supply agreements with our global contract manufacturers, to annual production of up to 1.8 GWh of SiCore batteries in pouch, cylindrical and prismatic formats.

Current wording

Our SiCore batteries were developed in collaboration with Berzelius (Nanjing) Co., Ltd. (“Berzelius”), a former affiliated company. We began limited shipment of SiCore batteries in 2023, which generated a strong demand from our customers. In order to support such demand, we entered into a supply agreement with Berzelius in November 2023 (the “Exclusive Supply Agreement”), which gives us exclusive rights to purchase its proprietary silicon anode materials in the United States, Canada and Mexico. In January 2024, we announced the full commercial launch of our SiCore batteries and accelerated engagement with our addressable markets. We entered into manufacturing supply agreements with three global contract manufacturing companies, which provided us an opportunity to rapidly scale production and ship a large volume of SiCore batteries to our customers. As of September 30, 2025, we had access, through Berzelius and our manufacturing supply agreements with our global contract manufacturers including a battery manufacturer in South Korea, to annual production of over 1.8 GWh of SiCore batteries in pouch, cylindrical and prismatic formats.

Previous wording

In addition, we intend to continue to add to our manufacturing capacity in our Fremont, California facility with support from the U.S. Government Defense Innovation Unit through a $10.5 million contract awarded in July 2025.

Current wording

In addition, we intend to continue to add to our manufacturing capacity in our Fremont, California facility with support from the U.S. Government Defense Innovation Unit through a contract awarded in July 2025 consisting of a $10.5 million award as well as a $1.5 million additional award in August 2025.

Previous wording

Our SiMaxx batteries are currently manufactured at our Fremont, California facility. We have completed the retrofit of our anode fabrication machine and are optimizing our manufacturing protocol to maximize output of our SiMaxx 500 Wh/kg battery platform. This platform was validated by a third party and supports our key development agreements with long term customers.

Current wording

Our SiMaxx batteries are currently manufactured at our Fremont, California facility. We have completed the retrofit of our anode fabrication machine and are optimizing our manufacturing protocol to maximize output of our SiMaxx 500

Previous wording

On October 2, 2023, we entered into the Sales Agreement with B. Riley Securities, Inc., Cantor Fitzgerald & Co. and H.C. Wainwright & Co., LLC, as sales agents (collectively, the “Sales Agents”), pursuant to which we may offer and sell, from time to time, through or to any Sales Agent, shares of our common stock with an aggregate offering price of not more than $100.0 million, as described in the prospectus supplement dated October 10, 2023 filed with the Securities and Exchange Commission (the “SEC”). During the six months ended June 30, 2025 and from the date of the Sales Agreement through June 30, 2025, we sold shares of our common stock under the Sales Agreement resulting in aggregate gross proceeds of approximately $18.7 million and $53.3 million, offset by related commissions and transaction fees of approximately $0.5 million and $1.3 million, respectively.

Current wording

On October 2, 2023, we entered into the Sales Agreement with B. Riley Securities, Inc., Cantor Fitzgerald & Co. and H.C. Wainwright & Co., LLC, as sales agents (collectively, the “Sales Agents”), pursuant to which we may offer and sell, from time to time, through or to any Sales Agent, shares of our common stock with an aggregate offering price of not more than $100.0 million, as described in the prospectus supplement dated October 10, 2023 filed with the Securities and Exchange Commission (the “SEC”). During the nine months ended September 30, 2025 and from the date of the Sales Agreement through September 30, 2025, we sold shares of our common stock under the Sales Agreement resulting in aggregate gross proceeds of approximately $45.2 million and $79.9 million, offset by related commissions and transaction fees of approximately $1.2 million and $2.0 million, respectively.

Previous wording

As of June 30, 2025, we produce SiCore batteries by leveraging Berzelius’ existing production line and through our manufacturing supply agreements that we entered into in 2024 with three global contract manufacturers. In order to meet the increased demand for our SiCore batteries, we plan to continue to expand our global network of contract manufacturing partnerships in the future. Some of the challenges that we may encounter when we enter into a manufacturing supply arrangement include, among others, the risk of losing control over the manufacturing process of our SiCore batteries, which could lead to quality control issues, delay in production, increase in production costs, and non-compliance with our established standards. In addition, we may encounter a risk of losing control of some of our intellectual property. While we plan to set up business processes, including adding oversight and quality control procedures, in order to manage our contract manufacturing supply arrangements, there can be no assurance that such processes will be effective. As of June 30, 2025, we had access, through our manufacturing supply agreements with our global contract manufacturers, to annual production of up to 1.8 GWh of SiCore batteries in pouch, cylindrical and prismatic formats. In addition, on May 27, 2025, we entered into a contract manufacturing agreement with a leading battery manufacturer in South Korea, which is expected to enhance our ability to deliver high-performance SiCore cells at scale. Initial production is expected to include a balanced SiCore cell engineered to deliver high-energy and high-power performance for an advanced drone. If we partner with other contract manufacturers in the future, we plan to select large, experienced and reputable contract manufacturing companies.

Current wording

As of September 30, 2025, we produce SiCore batteries by leveraging Berzelius’ existing production line and through our manufacturing supply agreements that we entered into in 2024 with three global contract manufacturers. In order to meet the increased demand for our SiCore batteries, we plan to continue to expand our global network of contract manufacturing partnerships in the future. Some of the challenges that we may encounter when we enter into a manufacturing supply arrangement include, among others, the risk of losing control over the manufacturing process of our SiCore batteries, which could lead to quality control issues, delay in production, increase in production costs, and non-compliance with our established standards. In addition, we may encounter a risk of losing control of some of our intellectual property. While we plan to set up business processes, including adding oversight and quality control procedures, in order to manage our contract manufacturing supply arrangements, there can be no assurance that such processes will be effective. As of September 30, 2025, we had access, through our manufacturing supply agreements with our global contract manufacturers, including a battery manufacturer in South Korea, to annual production of over 1.8 GWh of SiCore batteries in pouch, cylindrical and prismatic formats. If we partner with other contract manufacturers in the future, we plan to select large, experienced and reputable contract manufacturing companies.

Previous wording

Our competition includes both established manufacturers and new entrants that are developing new battery technologies and chemistries to address the growing market for electrified transportation solutions. We believe the manufacturers of these batteries will continue to invest funds, time and effort to improve the capabilities of their batteries with the recent developments of silicon anode batteries as a potential alternative to conventional graphite batteries. Currently, we believe that we are the only known manufacturer using a 100% silicon anode that is free of any inactive additives. In addition, we believe that we are the leading company in the market that has a high-performance battery that can meet the requirements of aviation and LEV applications. We are not currently producing batteries for EVs. The EV battery industry has a limited number of commercially available batteries that meet the minimum performance specifications. This creates a fast-growing and highly competitive industry for many battery manufacturers to claim market share for commercially acceptable batteries. We believe that there is significant room for improvement in the EV industry in driving range and fast charging capabilities that our silicon technology may address. To compete in the EV industry, we expect that we will need to significantly reduce our manufacturing costs, increase form factors and increase production quantity. One or more of our competitors and potential future entrants may be better capitalized to expand production capacities, have greater resources to commercialize and have greater access to customers in either or both the aviation and EV markets. As such, we may be at a competitive disadvantage and be unable to retain or grow our market share.

Current wording

Currently, we believe that we are the only known manufacturer using a 100% silicon anode that is free of any inactive additives. In addition, we believe that we are the leading company in the market that has a high-performance battery that can meet the requirements of aviation and LEV applications. We are not currently producing batteries for EVs. The EV battery industry has a limited number of commercially available batteries that meet the minimum performance specifications. This creates a fast-growing and highly competitive industry for many battery manufacturers to claim market share for commercially acceptable batteries. We believe that there is significant room for improvement in the EV industry in driving range and fast charging capabilities that our silicon technology may address. To compete in the EV industry, we expect that we will need to significantly reduce our manufacturing costs, increase form factors and increase production quantity. One or more of our competitors and potential future entrants may be better capitalized to expand production capacities, have greater resources to commercialize and have greater access to customers in either or both the aviation and EV markets. As such, we may be at a competitive disadvantage and be unable to retain or grow our market share.

Previous wording

We face risks related to significant changes in the United States’ trade policy, such as the imposition or plan to impose significant tariffs on certain product categories imported from China and other countries. These countries have taken or plan to take retaliatory actions, including imposing additional tariffs on the importation of a wide range of products from the United States, which could potentially lead to adverse impacts on global trade. In addition, such events could cause inflation or general economic and geopolitical uncertainty, including the recent economic uncertainty, any of which could negatively impact our operations, or those of our customers, suppliers and manufacturers.

Current wording

We face risks related to significant changes in the United States’ trade policy, such as the imposition or plan to impose significant tariffs on certain product categories imported from China and other countries. These countries have taken or plan to take retaliatory actions, including imposing additional tariffs on the importation of a wide range of products from the United States, which could potentially lead to adverse impacts on global trade. Additionally, we face risks related to changes in regulations in the countries in which we or our partners and suppliers operate. Such events could also cause inflation or general economic and geopolitical uncertainty, including the recent economic uncertainty, any of which could negatively impact our operations, or those of our customers, suppliers and manufacturers.

Previous wording

We generate revenue from the (i) sale of finished battery products and (ii) arrangements for customization design services. The customization design services generally include designing and developing custom batteries by applying our existing technology into a customer’s required specifications and delivery of prototype batteries. We recognize revenue at the point in time when control is transferred to the customers, which is generally (i) upon shipment, in the case of sale of finished battery products, and (ii) upon completion and/or delivery of prototype batteries, in the case of customization design services. We also receive government grants and related arrangements from time to time, which we present as a component of revenue. We recognize and measure government grants at fair value when there is a reasonable assurance that we will comply with the conditions of the grants and we will receive the grants. We recognize government grants on a systematic basis over the periods in which we recognize as expenses the related costs for which the grants are intended to compensate.

Current wording

We generate revenue from the (i) sale of finished battery products and (ii) arrangements for customization design services. The customization design services generally include designing and developing custom batteries by applying our existing technology into a customer’s required specifications and delivery of prototype batteries. We recognize revenue at the point in time when control is transferred to the customers, which is generally (i) upon shipment, in the case of sale of finished battery products, and (ii) upon completion and/or delivery of prototype batteries, in the case of customization design services. We also receive government grants and related arrangements from time to time, which are presented as either a component of revenue or other income depending on the nature of the grant agreement. We recognize and measure government grants at fair value when there is a reasonable assurance that we will comply with the conditions of the grants and we will receive the grants. We recognize government grants on a systematic basis over the periods in which we recognize as expenses the related costs for which the grants are intended to compensate.

Previous wording

Other income, net consists mainly of interest income.

Current wording

Other income, net consists primarily of interest income and government grant income.

Previous wording

Comparison of the Three and Six Months Ended June 30, 2025 to the Three and Six Months Ended June 30, 2024

Current wording

Comparison of the Three and Nine Months Ended September 30, 2025 to the Three and Nine Months Ended September 30, 2024

Previous wording

The following table summarizes our results of operations during the three and six months ended June 30, 2025 and 2024 (in thousands, except percentage data):

Current wording

The following table summarizes our results of operations during the three and nine months ended September 30, 2025 and 2024 (in thousands, except percentage data):

Previous wording

Revenue increased by $11.7 million, or 350%, to $15.1 million during the three months ended June 30, 2025 from $3.3 million during the same period last year primarily due to a $11.2 million increase in sales of batteries, driven by sales of our SiCore batteries, and the increase in new customers as well as the overall increase in volume of orders from new and existing customers, a $0.3 million increase in customization design services, and a $0.2 million increase in government grants.

Current wording

Revenue increased by $13.6 million, or 173%, to $21.4 million during the three months ended September 30, 2025 from $7.9 million during the same period last year primarily due to a $15.0 million increase in sales of batteries, driven by sales of our SiCore batteries, and the increase in new customers as well as the overall increase in volume of orders from new and existing customers. Non-product revenue was lower due to a $1.5 million decrease in customization design services, partially offset by a $0.1 million increase in government grants.

Previous wording

Revenue increased by $20.7 million, or 364%, to $26.4 million during the six months ended June 30, 2025 from $5.7 million during the same period last year primarily due to a $19.9 million increase in sales of batteries, driven by sales of our SiCore batteries, and the increase in new customers as well as the overall increase in volume of orders from new and existing customers, a $0.3 million increase in customization design services, and a $0.5 million increase in government grants.

Current wording

Revenue increased by $34.2 million, or 253%, to $47.8 million during the nine months ended September 30, 2025 from $13.5 million during the same period last year primarily due to a $34.8 million increase in sales of batteries, driven by sales of our SiCore batteries, and the increase in new customers as well as the overall increase in volume of orders from new and existing customers. Non-product revenue was lower due to a $1.2 million decrease in customization design services, partially offset by a $0.6 million increase in government grants.

Previous wording

Cost of revenue increased by $3.9 million, or 39%, to $13.7 million and by $10.7 million, or 64%, to $27.4 million during the three and six months ended June 30, 2025, respectively, compared to the same periods last year. These increases were primarily due to purchases of SiCore batteries to support the increase in sales discussed above as well as the increase in costs to produce batteries including increases in personnel-related costs, shipping and handling costs, and other overhead-related costs, primarily shared-facility costs.

Current wording

Cost of revenue increased by $5.2 million, or 40%, to $18.1 million and by $15.9 million, or 54%, to $45.5 million during the three and nine months ended September 30, 2025, respectively, compared to the same periods last year. These increases were primarily due to purchases of SiCore batteries to support the increase in sales discussed above as well as the increase in costs to produce batteries including increases in personnel-related costs, shipping and handling costs, and other overhead-related costs, primarily shared-facility costs.

Previous wording

Gross profit increased by $7.9 million, or 121%, to $1.3 million, and by $10.0 million, or 91%, to $(1.0) million during the three and six months ended June 30, 2025, respectively, compared to the same periods last year primarily due to higher sales volume of both SiCore and SiMaxx batteries, as well as product mix.

Current wording

Gross profit increased by $8.4 million, or 165%, to $3.3 million, and by $18.4 million, or 114%, to $2.3 million during the three and nine months ended September 30, 2025, respectively, compared to the same periods last year primarily due to higher sales volume of both SiCore and SiMaxx batteries, as well as product mix.

Previous wording

Research and development expense increased by $0.5 million, or 30%, to $2.2 million, and by $0.9 million, or 28%, to $4.2 million during the three and six months ended June 30, 2025, respectively, compared to the same periods last year primarily due to increases in personnel-related costs, including stock-based compensation expense, from the increase in R&D headcount.

Current wording

Research and development expense increased by $0.7 million, or 38%, to $2.5 million, and by $1.6 million, or 32%, to $6.7 million during the three and nine months ended September 30, 2025, respectively, compared to the same periods last year primarily due to increases in personnel-related costs, including stock-based compensation expense, from the increase in R&D headcount.

Previous wording

Selling, general and administrative expense increased by $1.3 million, or 26%, to $6.0 million during the three months ended June 30, 2025 from $4.7 million during the same period last year primarily due to a $0.4 million increase in personnel-related costs including stock-based compensation expense due to the hiring of additional personnel, as well as a $0.9 million increase in professional fees and other administrative costs.

Current wording

Selling, general and administrative expense increased by $1.2 million, or 27%, to $5.5 million during the three months ended September 30, 2025 from $4.3 million during the same period last year primarily due to a $0.9 million increase in personnel-related costs including stock-based compensation expense related to the hiring of additional personnel, as well as a $0.3 million increase in professional fees and other administrative costs.

Previous wording

Selling, general and administrative expense increased by $2.3 million, or 25%, to $11.3 million during the six months ended June 30, 2025 from $9.0 million during the same period last year primarily due to a $1.1 million increase in personnel-related costs including stock-based compensation expense due to the hiring of additional personnel, as well as a $1.2 million increase in professional fees and other administrative costs.

Current wording

Selling, general and administrative expense increased by $3.4 million, or 26%, to $16.8 million during the nine months ended September 30, 2025 from $13.4 million during the same period last year primarily due to a $1.9 million increase in personnel-related costs including stock-based compensation expense related to the hiring of additional personnel, as well as a $1.5 million increase in professional fees and other administrative costs.

Previous wording

Other income, net, which consisted primarily of interest income, increased by $28.0 thousand and decreased by $0.1 million during the three and six months ended June 30, 2025 compared to the same periods last year primarily due to timing of funds received under the Sales Agreement and the utilization of our interest-bearing funds for operations.

Current wording

Other income, net, which consisted primarily of interest income and government grant income, increased by $0.4 million and by $0.3 million during the three and nine months ended September 30, 2025, respectively, compared to the same periods last year primarily due to $0.4 million in government grant income in the current period with none in the prior year period; as well as timing of funds received under the Sales Agreement and the utilization of our interest-bearing funds for operations.

Previous wording

During the three and six months ended June 30, 2025 and 2024, we have financed our operations primarily through revenue generated from operations and proceeds from the issuance of shares of our common stock. We expect to rely on our cash and cash equivalents, which was$54.2 million as of June 30, 2025, and revenue that we expect to generate from operations to meet our working capital and capital expenditure requirements for a period of at least twelve months from the date our financial statements included in this Quarterly Report on Form 10-Q are issued.

Current wording

During the three and nine months ended September 30, 2025 and 2024, we have financed our operations primarily through revenue generated from operations and proceeds from the issuance of shares of our common stock. We expect to rely on our cash and cash equivalents, which was$73.2 million as of September 30, 2025, and revenue that we expect to generate from operations to meet our working capital and capital expenditure requirements for a period of at least twelve months from the date our financial statements included in this Quarterly Report on Form 10-Q are issued.

Previous wording

Under the Sales Agreement, we may receive additional cash from the offering and sale of our shares of our common stock with an aggregate offering price of not more than $100.0 million. From the date of the Sales Agreement, the cumulative gross proceeds from the sales of shares of our common stock under the Sales Agreement totaled approximately $53.3 million, offset by related commissions and transaction fees of approximately $1.3 million. As of June 30, 2025, the remaining cash that we could potentially raise under the Sales Agreement was approximately $46.7 million. However, future sales, if any, of shares of common stock under the Sales Agreement will depend on a variety of factors to be determined by us from time to time, including, among other things, market conditions, the trading price of our common stock and determinations by us as to appropriate sources of funding for our business and operations. We cannot guarantee the extent to which we may be able to raise funds through the Sales Agreement.

Current wording

Under the Sales Agreement, we may receive additional cash from the offering and sale of our shares of our common stock with an aggregate offering price of not more than $100.0 million. From the date of the Sales Agreement, the cumulative gross proceeds from the sales of shares of our common stock under the Sales Agreement totaled approximately $79.9 million, offset by related commissions and transaction fees of approximately $2.0 million. As of September 30, 2025, the remaining cash that we could potentially raise under the Sales Agreement was approximately $20.1 million. However, future sales, if any, of shares of common stock under the Sales Agreement will depend on a variety of factors to be determined by us from time to time, including, among other things, market conditions, the trading price of our common stock and determinations by us as to appropriate sources of funding for our business and operations. We cannot guarantee the extent to which we may be able to raise funds through the Sales Agreement.

Previous wording

We may also receive additional funds from our outstanding stock warrants if those stock warrants are exercised for cash. During the year ended December 31, 2024, we offered the holders of the public and private warrants the opportunity to exercise, for cash, their warrants at a temporarily reduced exercise price of $1.10 per warrant, and we also made a separate tender offer to the holders of private warrants to exchange their warrants, on a cashless basis, for shares of our common stock. The net proceeds from our cash tender offer, which expired on June 11, 2024, totaled $13.6 million. As of June 30, 2025, we had a total of 16,692,572 public warrants, 300,000 private warrants and 2,052,500 PIPE warrants outstanding. The exercise price of our public warrants and private warrants is $11.50 per warrant, and the exercise price of the PIPE warrants is $12.50 per warrant, although we have, and, in certain cases, together with the warrant agent have, the ability to amend the applicable warrant agreement to reduce the exercise price, including to a price that is below the trading price of our common stock at that time. We believe that the likelihood that warrant holders will exercise the warrants and any cash proceeds that we would receive is dependent upon market conditions.

Current wording

We may also receive additional funds from our outstanding stock warrants if those stock warrants are exercised for cash. During the year ended December 31, 2024, we offered the holders of the public and private warrants the opportunity to exercise, for cash, their warrants at a temporarily reduced exercise price of $1.10 per warrant, and we also made a separate tender offer to the holders of private warrants to exchange their warrants, on a cashless basis, for shares of our common stock. The net proceeds from our cash tender offer, which expired on June 11, 2024, totaled $13.6 million. As of September 30, 2025, we had a total of 16,692,472 public warrants, 300,000 private warrants and 2,052,500 PIPE warrants outstanding. The exercise price of our public warrants and private warrants is $11.50 per warrant, and the exercise price of the PIPE warrants is $12.50 per warrant, although we have, and, in certain cases, together with the warrant agent have, the ability to amend the applicable warrant agreement to reduce the exercise price, including to a price that is below the trading price of our common stock at that time. We believe that the likelihood that warrant holders will exercise the warrants and any cash proceeds that we would receive is dependent upon market conditions.

Previous wording

We have incurred net losses to date. We expect our working capital requirements may increase in the near future as we scale our business, which could result in additional net losses. During the three and six months ended June 30, 2025, our net loss was $6.4 million and $15.7 million, respectively. We expect that the additional net losses in the future could be attributed to an increase in our operating expenses as we increase our headcount and incur costs to continue developing new products and other R&D initiatives.

Current wording

We have incurred net losses to date. We expect our working capital requirements may increase in the near future as we scale our business, which could result in additional net losses. During the three and nine months ended September 30, 2025, our net loss was $3.9 million and $19.6 million, respectively. We expect that the additional net losses in the future could be attributed to an increase in our operating expenses as we increase our headcount and incur costs to continue developing new products and other R&D initiatives.

Previous wording

At present, we do not expect that our capital expenditure requirements will increase materially. In July 2025, we announced the delivery of our SiCore battery cells that were manufactured at our facility in Fremont, California, as a result of our recent manufacturing expansion activities, to multiple advanced drone and UAV customers. These deliveries include 450 Wh/kg high-energy cells delivered to AALTO Airbus and balanced energy-and-power cells to drone manufacturers supporting tactical and commercial missions.

Current wording

In July 2025, we announced the delivery of our SiCore battery cells that were manufactured at our facility in Fremont, California, as a result of our recent manufacturing expansion activities, to multiple advanced drone and UAV customers. These deliveries include 450 Wh/kg high-energy cells delivered to AALTO Airbus and balanced energy-and-power cells to drone manufacturers supporting tactical and commercial missions.

Previous wording

In addition, we intend to continue to invest in expanding our manufacturing capabilities and capacity in our Fremont, California facility to include electrode manufacturing with support from the U.S. Government Defense Innovation Unit through a $10.5 million contract awarded in July 2025.

Current wording

In addition, we intend to continue to invest in expanding our manufacturing capabilities and capacity in our Fremont, California facility to include electrode manufacturing with support from the U.S. Government Defense Innovation Unit through a $12.0 million contract awarded in the third quarter of 2025.

Previous wording

As of June 30, 2025, our contractual obligations consisted primarily of our non-cancellable operating lease agreements for our corporate headquarters and manufacturing facilities in Fremont, California and in Brighton, Colorado. As of June 30, 2025, the total future minimum lease payable, net of tenant improvement allowance, over the remaining weighted-average lease term of 13.0 years was approximately $68.3 million. Approximately $4.1 million of which is payable over the next twelve months. Please refer to Note 9 to our condensed consolidated financial statements included elsewhere in this Quarterly Report on Form 10-Q for additional information about our leases.

Current wording

As of September 30, 2025, our contractual obligations consisted primarily of our non-cancellable operating lease agreements for our corporate headquarters and manufacturing facilities in Fremont, California and in Brighton, Colorado. As of September 30, 2025, the total future minimum lease payable, net of tenant improvement allowance, over the remaining weighted-average lease term of 12.8 years was approximately $67.4 million. Approximately $4.5 million of which is payable over the next twelve months. Please refer to Note 9 to our condensed consolidated financial statements included elsewhere in this Quarterly Report on Form 10-Q for additional information about our leases.

Previous wording

Net cash used in operating activities increased to $18.4 million during the six months ended June 30, 2025 from $17.7 million during the same period last year primarily due to the timing of cash received from our customers for the sale of SiCore batteries and paying our suppliers and other creditors, an increase in lease payments, as well as the increase due to higher personnel-related costs related to newly hired employees. This increase was partially offset by reduced inventory levels by selling finished goods within the period.

Current wording

Net cash used in operating activities increased to $27.6 million during the nine months ended September 30, 2025 from $27.3 million during the same period last year primarily due to the timing of cash received from our customers for the sale of SiCore batteries and paying our suppliers and other creditors, an increase in lease payments, as well as the increase due to higher personnel-related costs related to newly hired employees. This increase was partially offset by reduced inventory levels by selling finished goods within the period.

Previous wording

Net cash used in investing activities decreased to $1.6 million during the six months ended June 30, 2025 from $5.5 million during the same period last year primarily due to the timing of the construction of leasehold improvements in our manufacturing facilities and the timing of purchases of other production equipment in connection with our Fremont expansion.

Current wording

Net cash used in investing activities decreased to $2.0 million during the nine months ended September 30, 2025 from $6.8 million during the same period last year primarily due to the timing of the construction of leasehold improvements in our manufacturing facilities and the timing of purchases of other production equipment in connection with our Fremont expansion.

Previous wording

Net cash provided by financing activities decreased to $19.3 million during the six months ended June 30, 2025 from $25.1 million during the same period last year, primarily due to the cash received upon exercise of our public and private warrants in the prior year period. Our primary sources of cash from financing activities during the six months ended June 30, 2025 were the net proceeds from the issuance of common stock under the Sales Agreement and from the exercise of stock options.

Current wording

Net cash provided by financing activities increased to $48.0 million during the nine months ended September 30, 2025 from $24.6 million during the same period last year, primarily due to higher net proceeds from the issuance of common stock under the Sales Agreement and from the exercise of stock options, partially offset by cash received upon exercise of our public and private warrants in the prior year period. Our primary sources of cash from financing activities during the nine months ended September 30, 2025 were the net proceeds from the issuance of common stock under the Sales Agreement and from the exercise of stock options.

Previous wording

We are also a “smaller reporting company” as defined in Item 10(f)(1) of Regulation S-K. Smaller reporting companies may take advantage of certain reduced disclosure obligations, including, among other things, providing only two years of audited financial statements. We will remain a smaller reporting company until the last day of the fiscal year in which (i) the market value of our common stock held by non-affiliates exceeds $250.0 million as of the prior June 30 or

Current wording

We are also a “smaller reporting company” as defined in Item 10(f)(1) of Regulation S-K. Smaller reporting companies may take advantage of certain reduced disclosure obligations, including, among other things, providing only two years of audited financial statements. We will remain a smaller reporting company until the last day of the fiscal year in which (i) the market value of our common stock held by non-affiliates exceeds $250.0 million as of the prior June 30 or (ii) our annual revenue exceeds $100.0 million during such completed fiscal year and the market value of our common stock held by non-affiliates exceeds $700.0 million as of the prior June 30.

Previous wording

There have been no changes to our critical accounting estimates during the six months ended June 30, 2025.

Current wording

There have been no changes to our critical accounting estimates during the nine months ended September 30, 2025.