NuScale's Q4 2024: Key Contradictions on Uprate Progress, Revenue Recognition, and Data Center Agreements

These are the key contradictions discussed in NuScale Power Corporation's latest 2024Q4 earnings call, specifically including: Uprate Progress and Customer Interest, Revenue Recognition Details, Bottlenecks in signing agreements with data center companies and the role of ENTRA1, and the timing of the Romania Phase 2 FEED process:



Financial Strengthening and Liquidity:
- NuScale Power Corporation reported a substantial increase in its cash position, reaching $446.7 million by the end of Q4 2024, compared to $125.4 million at the end of 2023.
- The improvement in liquidity was driven by the issuance of mandatory warrant redemptions, generating $205.3 million in proceeds, and the company's strategic focus on commercialization activities.

Revenue Growth and Diversification:
- NuScale's Q4 2024 revenue was $34.2 million, an increase from the previous year's $4.6 million.
- Revenue growth was primarily driven by payments for RoPower's development and the company's expansion into new technologies, including hydrogen fuel production.

Manufacturing Progress and Supply Chain Development:
- NuScale advanced the production of six NuScale power modules, with Doosan Interability as a strategic partner and supplier.
- Manufacturing progress is supported by strategic partnerships with global manufacturers like Alleima and is critical for meeting increasing demand for clean energy.

Energy Demand and Market Opportunities:
- NuScale highlighted the significant increase in energy demand, especially from data centers, which are expected to triple their energy use in the next three years.
- The company sees massive opportunity in providing baseload clean energy, particularly for data centers, where existing utilities face challenges in diverting load from existing customers.

Regulatory and Policy Support:
- NuScale emphasized the bipartisan support and enthusiasm for new nuclear projects, with the new administration's commitment to making it easier to build small modular reactors.
- This support, along with the National Energy Dominance Council's establishment, positions NuScale to secure its energy future and meet the growing demands of AI on the grid.