ARQ Arq, Inc.

Overview and Growth

Fiscal 2025 results for Arq, Inc. combined $120.34M of revenue with net loss of $52.61M and an operating cash outflow of $2.73M. At $120.34M, the top line establishes the operating scale supporting the company’s profit and cash-flow profile. The top line expanded 10.4% from $108.96M in fiscal 2024, increasing the company’s operating scale. The company reported diluted EPS of -$1.27, adding a shareholder-level measure to the absolute income figures considered below. At period end, total assets were $230.58M, framing the scale of the company’s operating and financing commitments. The revenue-to-assets relationship was 0.52x, showing the sales generated relative to the resources carried on the balance sheet.

Profitability

The first profit layer was $33.53M of gross profit, the amount available after reported direct revenue costs to absorb operating expenses. Gross margin was 27.9%, so that share of each revenue unit remained after the cost of revenue reported for the period. The company recorded an operating loss of $52.96M after the reported operating expense base. The operating loss equaled 44.0% of revenue, showing the scale of the operating deficit relative to sales. After all below-operating-line items, the company recorded a net loss of $52.61M for the fiscal year. Net margin was -43.7%, reflecting a loss equal to 43.7% of reported revenue. Before income taxes, the company recorded a loss of $52.60M, bridging the operating result to the final net loss. Measured against revenue, the pretax deficit represented 43.7%. The company recognized $12.00K of income tax for the period, completing the transition from pretax income to net income. The net loss equaled 31.3% of period-end equity, showing the deficit relative to book capital. The net loss equaled 22.8% of period-end assets, showing the deficit relative to the asset base.

Liquidity and Capital Structure

Total assets were $230.58M, supported by $62.62M of liabilities and $167.96M of shareholder equity. Current assets were $43.85M against $42.30M of current liabilities, framing the resources and obligations classified within the near-term balance-sheet horizon. At 1.04x, the current ratio shows that short-term assets were greater than short-term liabilities at period end. Cash and equivalents totaled $6.57M, identifying the most liquid reported component available within the broader current-asset balance. Cash and equivalents represented 15.5% of current liabilities, showing the portion of near-term obligations matched by reported cash alone. Borrowings totaled $28.46M, adding a fixed financing obligation alongside the company’s equity capital. The debt-to-equity relationship was 0.17x, showing how much debt the company carried for each unit of book equity. Relative to total assets, debt measured 12.3%, showing how much of the asset base was matched by borrowing. Liabilities represented 27.2% of total assets, quantifying the liability-funded share of the company’s resource base. Measured against total assets, cash and equivalents represented 2.9%, a balance-sheet composition measure rather than a liquidity forecast. The asset base changed 18.9% from $284.37M in fiscal 2024, leaving current total assets lower year over year. Book equity was 22.7% lower than fiscal 2024 equity of $217.28M, showing how shareholder capital changed year over year. Compared with $13.52M in fiscal 2024, the current cash balance moved 51.4% and finished lower.

Cash Flow and Earnings Quality

Operating activities used $2.73M of cash, resulting in an operating cash outflow for the year. Capital spending of $8.58M added to the period’s operating cash use, reinforcing the overall cash deficit after investment for the year. The company recorded a $11.31M cash deficit after capital spending for the period. Free-cash-flow margin was -9.4%, reflecting a cash deficit equal to 9.4% of revenue after capital spending. Relative to total assets, the post-investment cash deficit measured 4.9%.

Based on the annual report for the fiscal year ending Dec 31, 2025. Analysis generated Oct 21, 2026.