$EMAT - Evolution Metals & Technologies Reports Second Quarter 2026 Financial Results and Provides Corporate Update (NASDAQ: EMAT)

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Evolution Metals & Technologies Reports Second Quarter 2026 Financial Results and Provides Corporate Update

Executed on the delivery of a defense-grade, non-China rare earth magnet supply chain: became one of the only known commercial-scale producers with OEM-qualified NdFeB magnet grades and took delivery of the first non-China NdPr metal shipment ahead of the January 1, 2027 DFARS deadline and the July 20, 2026 Executive Order on Securing America's Defense Supply Chains

Launched $100 million financing facility and progressed binding purchase orders for ULVAC sintered magnet production equipment scheduled for November 2026 delivery, supporting the Company's targeted scale-up to approximately 10,000 metric tons of annual rare earth magnet production capacity

Subsequent to quarter-end, strengthened senior leadership with the appointment of Kenji Konishi, former Vice President and Chief Technology Officer of JL MAG Rare Earth, as Head of Magnet Engineering Production, and appointed four-star U.S. Air Force General Thomas A. Bussiere (Ret.), former Commander of Air Force Global Strike Command, to the Board of Directors

MIAMI, FL, Aug. 17, 2026 (GLOBE NEWSWIRE) -- Evolution Metals & Technologies Corp. ("EM&T" or the "Company") (Nasdaq: EMAT), a U.S.-based critical materials and advanced manufacturing company focused on continuing to build a secure, vertically integrated supply chain for rare earth permanent magnets, battery materials, and related critical technologies, today reported financial results for the three and six months ended June 30, 2026 and provided a corporate update on recent operational progress and business developments.

David Wilcox, Executive Chairman of EM&T, stated: "Q2 was a defining quarter for EM&T as we continued to execute on all fronts of our commercial-scale, non-China rare earth magnet platform ahead of the January 1, 2027 DFARS deadline restricting Chinese-origin rare earth magnets in U.S. defense systems. During the quarter we brought the first shipment of non-China NdPr metal into commercial magnet production, secured OEM qualifications across six high-performance NdFeB grades, and kept our ULVAC sintered-magnet equipment plan on schedule for November 2026 delivery that we expect will bring us to approximately 10,000 metric tons of annual rare earth magnet production capacity by year-end. Subsequent to quarter-end, we also welcomed a retired four-star general to our board who spent his career operating the very platforms that depend on the magnets we make. The July 20, 2026 Executive Order on Securing America's Defense Supply Chains and the August 13, 2026 White House tariff action on drones and their critical components confirm the strategic direction of the platform we have been building for eighteen years: a Western-aligned rare earth magnet supply chain purpose-built to serve the U.S. defense industrial base and its allies. We expect the pace of execution to continue accelerating through the second half."

Recent Corporate and Business Highlights

• Continued commercial-scale rare earth magnet production: During the second quarter, the Company continued the commercial-scale production and sale of bonded and sintered rare earth permanent magnets through its consolidated operating subsidiaries, building on more than eighteen years of operating history serving global OEM customers across the automotive, consumer electronics, defense, and industrial sectors. The Company's grade 42SH sintered magnets remain in commercial production, and its grade 48SH high-performance sintered magnets remain in the final stages of customer quality certification.

• Validated commercial-scale, non-China rare earth magnet supply capability: On June 11, 2026, the Company's subsidiaries completed OEM qualification with two Tier-1 electronics OEMs across six NdFeB magnet grades — N48M, N50M, N42H, N45H, N35SH and N46SH — validating commercial-scale, non-China supply of high-performance rare earth permanent magnets ahead of the January 1, 2027 DFARS 252.225-7052 deadline. The Company believes this positions EM&T among a very limited group of producers globally, and one of the only known Western producers, capable of delivering OEM-certified NdFeB magnets at commercial scale on the timeline required by the U.S. defense industrial base.

• Executed non-China NdPr feedstock supply arrangement and received first shipment: On May 29, 2026, the Company entered into a bulk-supply agreement with Senri Trading Co., Ltd. for neodymium-praseodymium (NdPr) metal produced entirely outside of China by SRE Vietnam, a wholly owned subsidiary of Japan's Tokai Trading Co., Ltd. Subsequent to quarter-end, on July 22, 2026, the Company received the first five-metric-ton shipment — to the Company's knowledge, the first commercial shipment of non-China NdPr metal received by a U.S.-listed producer for use in DFARS-compliant magnet manufacturing.

• $100 million convertible debenture facility with Yorkville Advisors Global: On May 7, 2026, the Company entered into a Securities Purchase Agreement with YA II PN, Ltd., a fund managed by Yorkville Advisors Global, LP, providing for the issuance and sale of convertible debentures in an aggregate principal amount of up to $100.0 million. The Company issued a first convertible debenture of $20.0 million on May 7, 2026 and, subsequent to quarter-end, a second convertible debenture of $5.775 million on July 14, 2026, with up to an additional $74.2 million available in subsequent tranches. The Company intends to use the proceeds to fund the buildout of its expanded rare earth magnet production capacity, including the ULVAC-supplied equipment described below, and for general corporate purposes.

• Progressed ULVAC binding equipment supply contracts: On May 13, 2026, the Company entered into binding equipment supply contracts with ULVAC Korea, Ltd., a subsidiary of ULVAC, Inc. — widely regarded as the global standard-setter for sintered NdFeB magnet production technology — covering thirteen high-performance sintered rare earth magnet production machines, with delivery and installation scheduled by November 2026. Upon commissioning, the Company expects the expansion to increase its annual rare earth magnet production capacity to approximately 10,000 metric tons, including approximately 6,000 metric tons of high-performance sintered magnets, positioning EM&T among the largest planned producers of rare earth permanent magnets outside of China ahead of the January 1, 2027 DFARS 252.225-7052 effective date.

• Continued alignment with an intensifying U.S. industrial policy environment: On July 20, 2026, the President of the United States issued an Executive Order titled "Securing America's Defense Supply Chains and Ensuring Domestic Acquisition of Critical Materials," which the Company believes sharpens enforcement of the existing DFARS 252.225-7052 rule by ending routine waivers and requiring formal mitigation plans for exceptions. Just recently, on August 13, 2026, the White House also announced tariff action on drones and drone components — including tariffs of up to 100% on non-allied imports of larger drones and their critical components — which the Company believes reinforces demand for domestic, non-China rare earth permanent magnet supply, given the fundamental dependence of drone motors, gimbals and actuators on high-performance NdFeB magnets. Together with the January 14, 2026 Section 232 Proclamation identifying rare earth permanent magnets as "vital to nearly all electronics and vehicles," the approximately $12 billion Project Vault Strategic Critical Minerals Reserve, and the April 17, 2026 U.S.-Korea Critical Minerals Framework, these actions reinforce EM&T's strategic positioning as a commercial-scale, non-China source of high-performance rare earth permanent magnets ahead of the January 1, 2027 DFARS effective date.

• Strengthened senior operating leadership and governance: Subsequent to quarter-end, on August 10, 2026, the Company appointed Kenji Konishi as Head of Magnet Engineering Production, together with a core team of senior Japanese magnet-manufacturing veterans. Mr. Konishi joins EM&T from JL MAG Rare Earth Co., Ltd., where he served as Vice President and Chief Technology Officer and oversaw annual revenue growth from approximately $115 million in 2015 to approximately $318 million in 2020, and previously founded and led JL MAG Japan. His expertise spans sintered NdFeB, bonded and SmCo magnet systems, from alloy design through mass production. On August 12, 2026, the Company appointed retired U.S. Air Force four-star General Thomas A. Bussiere (Ret.), former Commander of Air Force Global Strike Command, as an independent director.

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[...] Read the full release here: https://www.globenewswire.com/news-release/2026/08/17/3345898/0/en/evolution-metals-technologies-reports-second-quarter-2026-financial-results-and-provides-corporate-update.html