Liqtech 2025 Q2 Earnings Net Loss Widens Despite Revenue Growth

Liqtech (LIQT) reported its fiscal 2025 Q2 earnings on August 13, 2025. The results showed modest revenue growth but continued financial challenges. Despite beating expectations in revenue, the company's net loss worsened slightly and the post-earnings stock performance strategy underperformed significantly. Management highlighted key orders and market expansion optimism.

Liqtech’s Q2 2025 revenue rose 10.5% to $4.96 million, exceeding expectations, driven by strong contributions across its key business units. The Water segment led with $2.44 million in revenue, supported by growing traction in industrial water treatment. The Ceramics division contributed $1.30 million, while the Plastics segment added $1.22 million, rounding out the total revenue. This marks the company's highest revenue in four years and reflects momentum in core markets.

Liqtech narrowed its per-share loss to $0.22 in Q2 2025, a 38.9% improvement from the $0.36 per share loss in the prior-year period. However, the company’s net loss widened slightly to $-2.16 million, up 2.3% from $-2.11 million in Q2 2024. The improvement in per-share metrics contrasts with the broader financial picture, indicating continued pressure on overall profitability.

The stock price of Liqtech edged up 0.52% during the latest trading day but declined 9.81% over the past week, while climbing 4.04% month-to-date.

The strategy of buying Liqtech shares following a revenue increase quarter-over-quarter and holding for 30 days has historically underperformed. Over the past three years, the approach delivered a return of -50.89%, far below the benchmark's 46.32%. With an excess return of -97.21% and a CAGR of -21.76%, the strategy has resulted in substantial losses. Additionally, the strategy experienced a maximum drawdown of 0.00%, indicating no capital appreciation during this period.

Fei Chen, CEO, emphasized strong second-quarter performance across swimming pool systems, ceramics, plastics, and water treatment, driven by key orders from a U.S. steel producer and a new pilot with Razorback Direct. He noted the significance of pilot programs as gateways to commercial success, especially in the U.S. oil and gas sector, and expressed optimism about expanding into new markets through strategic partnerships. The company plans to leverage its growing traction in industrial water treatment and focus on operational efficiency and sustainability to meet evolving customer needs.

LiqTech provided full-year 2025 revenue guidance of $19 million to $20 million, a 30% to 37% increase from 2024. Q3 revenue is expected to range between $3.8 million and $4.2 million, reflecting a 52% to 68% year-over-year growth. The company aims to achieve EBITDA positivity in Q4, depending on revenue mix and volume, with a breakeven target at $5.5 million to $6 million in quarterly revenue.

Additional News
Recent news from Nigeria includes the Nigerian government approving nine new private universities, sparking discussions on higher education expansion. The fuel distribution controversy saw Dangote restore marketers amid mounting pressure from stakeholders. Meanwhile, the federal government has been urged to adopt Ghana’s customs funding model to improve financial sustainability in the sector. Other key developments include a federal court remanding a Lagos woman for false foreign currency declarations and the ongoing political debate over Nigeria’s 2025 budget and fund allocation.