Aspen Aerogels Inc. reported fourth‑quarter 2025 revenue of $41.3 million, a 66% decline from $123.1 million in the same period a year earlier. Net loss for the quarter was $72.9 million, largely driven by a $291.2 million impairment charge related to the planned Statesboro plant, restructuring and demobilization costs, and accelerated depreciation. After excluding these one‑time items, the adjusted net loss was $27.7 million.
Segment revenue in Q4 reflected a sharp contraction in the company’s thermal‑barrier business, which generated $16.1 million, down from $70.0 million a year earlier. The Energy Industrial segment produced $25.3 million, a decline from $145.9 million year‑over‑year. The thermal‑barrier decline is attributed to a reset in the North American electric‑vehicle market, reduced incentive programs, and tighter regulatory requirements that have dampened demand for high‑temperature insulation. In contrast, the Energy Industrial segment remains more resilient, supported by subsea, LNG, and maintenance work that is expected to grow in 2026.
Full‑year 2025 revenue fell to $271.1 million from $452.7 million in 2024, while net loss widened to $389.6 million. The $291.2 million impairment charge was the largest component of the loss, reflecting the cancellation of the Statesboro facility. Gross margin for the year was 17%, a decline from prior periods, and operating costs were elevated to 48% of revenue due to lower production volumes and one‑time restructuring charges.
Management guided for Q1 2026 revenue of $35 million to $40 million and non‑GAAP EPS of –$0.280 to –$0.240, both below consensus estimates. The company is conducting a strategic review with Piper Sandler & Co. to evaluate commercial growth plans and optimize its capital structure, with the goal of monetizing Statesboro assets and strengthening liquidity. The review signals management’s intent to address the current market softness and to reposition the company for longer‑term profitability.
Investors reacted negatively to the earnings miss, citing the sharp revenue decline, the large impairment charge, and the cautious guidance for the first quarter of 2026. Management emphasized that the company is focused on cost optimization, disciplined cash management, and leveraging its European market opportunities while navigating the reset in the North American EV market. The guidance and strategic review suggest a cautious outlook, with the company prioritizing balance‑sheet strength and operational efficiency as it adapts to evolving market conditions.
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