X-energy, Inc. (NASDAQ:XE) shares gained 2% following its second-quarter earnings report after the advanced nuclear technology company delivered a sharp increase in revenue as development work on its Xe-100 reactor accelerated. Quarterly revenue climbed 154% year over year, although the company continued to report a loss as investment and project activity expanded.
Second-quarter revenue more than doubles
X-energy reported second-quarter revenue of $54.6 million, up 154% from $21.5 million in the same period last year.
The company recorded an adjusted loss of -$0.15 per share for the quarter.
Total revenue and grant income included $50.1 million from services and a further $4.5 million in grant income.
The substantial year-over-year increase was primarily driven by an additional $31.9 million of revenue and grant income related to X-energy’s Advanced Reactor Demonstration Program Agreement with the U.S. Department of Energy.
Higher contributions from the programme reflected increased project execution as the company continued advancing development of its Xe-100 reactor technology.
“Our progress in the second quarter reflects our continued focus on execution across every part of our business,” said J. Clay Sell, CEO of X-energy. “We are investing in capabilities that better position the company for commercial execution and scale.”
Operating expenses climb as investment accelerates
X-energy’s rapid expansion also resulted in a substantial increase in costs during the quarter.
Total operating expenses rose 156% year over year to $164.6 million from $64.3 million.
Much of the increase was linked to expanded activity under the Advanced Reactor Demonstration Program Agreement. Direct costs increased by $50.5 million, while selling, general and administrative expenses rose by $50.4 million.
The higher spending reflects X-energy’s investment in developing its technology, expanding operational capabilities and preparing its nuclear platform for eventual commercial deployment.
X-energy secures long-term nuclear fuel agreements
The company continued strengthening its nuclear fuel supply chain during the quarter by entering long-term agreements covering high-assay low-enriched uranium enrichment services.
X-energy signed agreements with Centrus Energy Corp. and General Matter as it works to secure access to the HALEU fuel required for advanced reactor technologies.
The company also announced an agreement with SGL Carbon aimed at expanding manufacturing capacity for nuclear-grade graphite.
Under the arrangement, X-energy plans to invest up to $8 million to help double European production capacity for medium-grain isotropic graphite by 2030.
The agreements are designed to strengthen access to critical materials as X-energy prepares for larger-scale production and deployment of its reactor technology.
DOE extends reactor development programme
X-energy also received approval from the U.S. Department of Energy for its continuation application under the Advanced Reactor Demonstration Program.
The approval extends the company’s current budget period through March 2027, providing additional support as work on the Xe-100 programme progresses.
Separately, Tennessee awarded X-energy an $11 million economic development grant to support its TRISO-X nuclear fuel fabrication campus in Oak Ridge.
The facility is intended to play an important role in supplying fuel for the company’s advanced reactor platform as X-energy moves towards commercial-scale deployment.
Liquidity reaches $1.9 billion following IPO
X-energy ended the second quarter with substantial financial resources to support its development plans.
Total liquidity stood at $1.9 billion as of June 30, 2026, including $1.1 billion in cash and cash equivalents.
The company’s financial position was strengthened considerably by its April initial public offering, which generated approximately $1.1 billion in net proceeds.
While operating expenses are rising rapidly as X-energy increases investment in reactor development and manufacturing capacity, the 154% increase in quarterly revenue, continued government support and sizeable liquidity position provide the company with resources to advance the Xe-100 towards commercial deployment.
X-energy stock price
