enCore Posts Gross Loss as Purchased Uranium Raises Costs

The Tip Desk · November 12, 2026 · 3 min read

Third-quarter revenue reached $16.7 million on 200,000 pounds of U3O8, while a $33.9 million net loss included a $17.0 million realized loss on marketable securities.

enCore Energy Corp. (EU), an in-situ recovery uranium producer, reported third-quarter revenue of $16.7 million, up 88% from $8.9 million a year earlier, after delivering 200,000 pounds of U3O8 versus 130,000 pounds in the third quarter of 2025 and realizing about $83.46 a pound against $68.28.

The mix of what it sold flipped the profit line. Cost of sales rose to $17.4 million from $5.0 million, and weighted average cost of uranium sold reached $87.22 a pound versus $38.35, which the company said primarily reflected a higher proportion of purchased uranium. Gross margin swung to a $0.8 million loss from a $3.9 million profit a year earlier.

Net loss attributable to enCore widened to $33.9 million, or $0.17 a share, from $4.8 million, or $0.03 a share. Results included a $17.0 million realized loss and a $5.7 million unrealized gain on marketable securities. During the quarter the company distributed Verdera Energy Corp. shares with a fair value of $8.4 million and recorded a $17.2 million realized loss on the distribution. Conversion rates and capped-call strike and cap prices on its 5.50% convertible senior notes due 2030 were adjusted.

Chief Executive Officer Rich Little said 2026 had been a challenging year and that the company reduced costs and focused capital where it mattered most, optimizing spending to permitting timelines while continuing to build wellfields and infrastructure.

In response to permitting delays in South Texas that reduced estimated 2026 extraction volumes, enCore executed a July 2026 reduction in force of about 20% of headcount and cut rig activity. The Alta Mesa wellfield 3 Extension and the first phase of the Upper Spring Creek satellite facility and wellfield are complete and awaiting final TCEQ approvals. The company expects to begin extraction at Alta Mesa 3 Extension before the end of 2026 and to commence Upper Spring Creek operations before year-end. Alta Mesa wellfield 8 drilling continues, with extraction expected in early 2027.

Dewey Burdock received EPA Class III and V underground injection control permits in October 2025 and Bureau of Land Management approval of the Plan of Operations on June 15, 2026. Preliminary engineering is ongoing for the plant site and evaporation ponds, and state permitting continues.

Unrestricted cash and cash equivalents were $5.1 million as of September 30, 2026, with marketable securities of $33.6 million, inventory of $6.4 million, and working capital of $47.3 million. The company said marketable securities and inventory are not equivalent to unrestricted cash. U3O8 inventory on hand fell to 116,631 pounds at $6.4 million, or $54.87 a pound, from 132,013 pounds at $5.3 million, or $40.28 a pound, at year-end 2025. Purchased inventory of 40,000 pounds at $74.08 a pound appeared, leaving 76,631 pounds of extracted uranium at $44.85 a pound.

For the nine months ended September 30, 2026, revenue increased to $50.7 million from $30.8 million, with deliveries of 685,000 pounds versus 480,000 pounds and an average realized price of about $74.00 a pound versus $64.13. Cost of sales rose to $54.1 million from $25.8 million, with weighted average cost per pound sold of $78.95 versus $53.71. Of the 685,000 pounds sold, 560,000 were purchased uranium at $83.01 a pound and 125,000 were extracted at $60.74 a pound, compared with 225,000 purchased pounds at $68.59 and 255,000 extracted pounds at $40.58 a year earlier.

Net cash used in operating activities was $47.4 million for the nine months ended September 30, 2026, compared with $37.9 million in the corresponding prior-year period. Nine-month net loss attributable to enCore was $70.0 million, or $0.36 a share, compared with $35.3 million, or $0.19 a share.