BALLERUP, Denmark, Aug. 12, 2026 (GLOBE NEWSWIRE) -- LiqTech International, Inc. (NASDAQ:LIQT) ("LiqTech"), a clean technology company that manufactures and markets highly specialized filtration technologies, today announced its financial results for the second quarter of 2026.

Recent Financial Highlights

Q2 2026 revenue was $4.4 million, compared to $5.0 million in Q2 2025.
Q2 2026 net loss was $(3.1) million, compared to $(2.2) million in Q2 2025.
Q2 2026 Adjusted EBITDA was $(1.6) million, compared to $(1.3) million in Q2 2025
Following the successful completion of the Company’s recent capital raise, cash and cash equivalents were $15.7 million as of June 30, 2026, significantly strengthening the Company’s liquidity position. The Company is now substantially debt-free, providing a stronger balance sheet to support its strategic priorities and growth initiatives.

Outlook

The Company is revising its FY 2026 revenue guidance to $20 million to $23 million, representing year-over-year growth of approximately 21% to 39% compared to FY 2025. The revised guidance primarily reflects delays in the timing of a Water for Energy project that was previously expected to be delivered during 2026 but is now anticipated beyond the current fiscal year.

Recent Operational Highlights

Commercial Pool revenue reached a record $1.5 million in Q2 2026, compared to $0.8 million in both Q2 2025 and Q1 2026. During the quarter, LiqTech completed assembly of the Plumpton Aquatic and Leisure Centre project in Australia and its first U.S. commercial pool installation in Worland, Wyoming. The large QlariFlow™ system in Den Helder, announced in April, is now operating successfully
Marine revenue totaled $0.7 million in Q2 2026, compared to $0.4 million in Q2 2025 and $0.8 million in Q1 2026. During the quarter, the Company achieved Factory Acceptance Test (FAT) approval for the first two iCER dual-fuel water treatment units. LiqTech expects to deliver one additional iCER dual-fuel water treatment unit and two marine scrubber water treatment systems in Q3 2026. The Company also secured a commercial order for four water treatment systems for EGR-equipped vessels in China, further expanding the application of its marine filtration technology across next-generation engine platforms. Delivery of the first EGR system is expected in Q4 2026.
Within the Water for Industry (WFI) business, the Company is seeing improved near-term opportunity visibility, particularly in the steel industry and other industrial water treatment applications. Following Q2 2026, LiqTech secured a $2.1 million follow-on order from a U.S.-based steel manufacturer for four additional QureFlow™ industrial wastewater filtration systems, with approximately 75% of the order expected to be delivered by the end of 2026. The order builds directly on the successful deployment of the customer's initial system in 2025 and expands the relationship from a single installation to a broader five-system deployment. During the third quarter, LiqTech also secured a U.S. order for a wastewater reuse system treating wastewater generated from industrial equipment-cleaning operations, reflecting continued commercial traction in this market. Together, these orders provide additional commercial validation for LiqTech's QureFlow™ platform and support the Company's strategic focus on selected WFI applications that offer more repeatable demand and stronger near-term visibility.
Within the Water for Energy (WFE) business, a larger project was delayed due to extended customer decision-making and approval processes. While this delay reduces expected revenue for 2026, the Company continues to work closely with this customer and believes the project remains an active opportunity.
Diesel particulate filter (DPF) and membrane revenue totaled $1.0 million in Q2 2026, compared to $1.3 million in Q2 2025 and Q1 2026. The decrease was primarily attributable to temporary production delays resulting from constrained availability of a critical raw material.
Plastics revenue totaled $920,000 in Q2 2026, compared to $1.2 million in Q2 2025 and $1.0 million in Q1 2026. The decrease primarily reflected slower customer purchasing decisions amid continued volatility in raw material prices and broader market uncertainty.

Management Commentary

"Our second quarter results reflected continued progress in our strategic focus growth markets, highlighted by record Commercial Pool revenue and solid execution in our Marine business," commented Fei Chen, CEO of LiqTech. "Since quarter-end, the $2.1 million follow-on order from a U.S.-based steel manufacturer has further reinforced the opportunity we see in selected Water for Industry applications. At the same time, our financial performance was impacted by a delay in a larger Water for Energy project, resulting from extended customer decision-making processes. This delay has reduced our near-term revenue visibility and led us to revise our full-year revenue guidance."

"Over the past year, we have refined our strategy based on our market experience. We are reducing our reliance on large, project-driven opportunities and increasing our focus on markets that offer more repeatable demand, shorter sales cycles and greater scalability. The progression from a successful initial installation to a four-system follow-on order with the U.S.-based steel manufacturer is an important example of this model. Accordingly, we are reallocating resources toward Commercial Pool, Marine and selected Water for Industry applications, where customer engagement and revenue visibility are stronger, while pursuing Water for Energy opportunities more selectively through strategic partnerships."

"The record Commercial Pool performance in the second quarter, continued Marine order execution and two recent U.S.-based Water for Industry orders demonstrate that this strategy is gaining momentum. Our priority remains to improve the predictability and quality of our revenue while driving operational improvements and positioning LiqTech for sustainable, profitable growth."

Q2 2026 Financial Results

Revenue for the three months ended June 30, 2026 was $4,363,752 compared to $4,957,489 for the same period in 2025, representing a decrease of $593,737, or 12.0%. The decrease was solely attributable to a reduction in system sales, reflecting a significant Water for Energy delivery in 2025 that did not recur in 2026. Within the Systems segment, sales to both the Pool and Marine segments increased significantly. Furthermore, deliveries of Filters were on par with last year, while Components declined during the period.

Gross profit for the three months ended June 30, 2026 was $365,539 (representing a gross profit margin of 8.4%) compared to a gross profit of $484,578 (representing a gross profit margin of 9.8%) for the same period in 2025, marking a decline of $119,039, or 24.6%. This decline was driven by mix towards, less high value system sales, lower utilization of our manufacturing capacity to preserve costs partly offset by procurement effects. Included in the gross profit was depreciation of $274,530 and $412,291 for the three months ended June 30, 2026, and 2025, respectively.

Total operating expenses for the three months ended June 30, 2026 were $2,697,356, representing an increase of $102,909, or 4.0%, compared to $2,594,447 for the same period in 2025. Approximately 60% of the increase continue to be related to foreign exchange rate developments, as the average USD/DKK exchange rate for the three months ended June 30th, was 6.43 in 2026 and 6.58 in 2025.

Selling expenses for the three months ended June 30, 2026 were $835,836 compared to $812,568 for the same period in 2025, representing an increase of $23,268, or 2.9%. Excluding the impact of foreign exchange rate developments, costs increased primarily due to the full-year effect of hires within the joint venture in China, Nantong JiTRI LiqTech Green Energy Technology Co., Ltd. (the "JV"), as well as continued investments in the sales organization across the U.S. and Europe, and annualization of the Service Center cost in the U.S.

General and administrative expenses for the three months ended June 30, 2026 were $1,589,775 compared to $1,539,323 for the same period in 2025, representing an increase of $50,452, or 3.3%. Adjusting for foreign exchange rate developments, expenses remained stable and below general inflation, as filing of open positions were covered by savings on other overhead expenses. Included in general and administrative expenses were non-cash compensation of $218,252 and $230,552 for the three months ended June 30, 2026, and 2025, respectively.

Research and development expenses for the three months ended June 30, 2026 were $271,745 compared to $242,556 for the same period in 2025, representing an increase of $29,189, or 12.0%. The increase was primarily attributed to membrane development costs and cost related to development of Marine systems and new generation of Pool systems.

Other expenses for the three months ended June 30, 2026 were $720,248 compared to other expenses of $51,277 for the comparable period in 2025, representing an increase of $668,971, or 1304.6%. The change was primarily attributable to amortization of debt discount, paid interests on the senior promissory notes and losses on foreign currency transactions for the three months ended June 30, 2026.

Net loss for the three months ended June 30, 2026 was $(3.1) million compared to $(2.2) million for the comparable period in 2025.

Adjusted EBITDA (see Table included) for the three months ended June 30, 2026 was $(1.6) million compared to $(1.3) million for the comparable period in 2025.

As a result of the capital raise, concluded June 8^th, cash on hand (including restricted cash) on June 30, 2026, was $15.7 million. As part of the raise a senior note of $6.0 was repaid, resulting in the company being close to debt free.

Conference Call Details

Date and Time: Wednesday, August 12, 2026, at 9:00 a.m. Eastern time

Webcast: Interested parties can access the conference call via a live webcast, which is available in the Investor Relations section of the Company's website at https://www.liqtech.com/investor-relations/ or at https://app.webinar.net/dP6qnar1gkL.

Replay: A webcast replay will be available at https://app.webinar.net/dP6qnar1gkL.

About LiqTech International Inc.

LiqTech International, Inc., a Nevada corporation, is a high-tech filtration technology company that provides state-of-the-art ceramic silicon carbide filtration technologies for gas and liquid purification. LiqTech's silicon carbide membranes are designed to be used in the most challenging purification applications, and its silicon carbide filters are used to control diesel exhaust soot emissions. Using nanotechnology, LiqTech develops products using its proprietary silicon carbide technology, resulting in a wide range of component membranes, membrane systems, and filters for both microfiltration and ultrafiltration applications. By incorporating LiqTech's SiC liquid membrane technology with the Company´s extensive systems design experience and capabilities, LiqTech offers unique, modular designed filtration solutions for the most difficult water purification applications.

For more information, please visit www.liqtech.com

Follow LiqTech on Linkedln: http://www.linkedin.com/company/liqtech-international

Follow LiqTech on Twitter: https://twitter.com/LiqTech

Forward–Looking Statement

This press release contains "forward-looking statements." Although the forward-looking statements in this release reflect the good faith judgment of management, forward-looking statements are inherently subject to known and unknown risks and uncertainties that may cause actual results to be materially different from those discussed in these forward-looking statements. Readers are urged to carefully review and consider the various disclosures made by us in the reports filed with the Securities and Exchange Commission, including the risk factors that attempt to advise interested parties of the risks that may affect our business, financial condition, results of operation, and cash flows. If one or more of these risks or uncertainties materialize, or if the underlying assumptions prove incorrect, our actual results may vary materially from those expected or projected. Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this release.

We assume no obligation to update any forward-looking statements to reflect any event or circumstance that may arise after the date of this release.

LiqTech Company Contact

Susan Keegan Elleskov

Head of Marketing

LiqTech International, Inc.

Phone: +45 31315941

www.liqtech.com

LiqTech Investor Contact

Robert Blum

Lytham Partners, LLC

Phone: 602-889-9700

liqt@lythampartners.com


LIQTECH INTERNATIONAL, INC. CONDENSED CONSOLIDATED BALANCE SHEETS

	June 30,		December 31,
	2026		2025

Assets

Current Assets:
Cash and restricted cash	$	15,655,731	$	5,070,385
Accounts receivable, net		5,230,837		3,429,992
Inventories, net		5,956,679		6,479,321
Contract assets		340,260		733,851
Prepaid expenses and other current assets		526,348		245,702

Total Current Assets		27,709,855		15,959,251

Non-Current Assets:
Property and equipment, net		5,284,603		5,845,323
Operating lease right-of-use assets		4,157,532		4,643,680
Deposits and other assets		529,036		545,573
Intangible assets, net		25,759		36,125
Goodwill		240,307		248,145

Total Non-Current Assets		10,237,237		11,318,846

Total Assets	$	37,947,092	$	27,278,097

LIQTECH INTERNATIONAL, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED)

	June 30,			December 31,
	2026			2025

Liabilities and Stockholders’ Equity

Current Liabilities:
Accounts payable	$	1,403,902		$	1,552,890
Accrued expenses		2,485,634			1,795,382
Notes payable		1,050,000			-
Line of credit		88,428			-
Current portion of finance lease liabilities		496,797			517,759
Current portion of operating lease liabilities		717,820			714,446
Contract liabilities		98,300			140,986

Total Current Liabilities		6,340,881			4,721,463

Non-Current Liabilities:
Deferred tax liability		60,914			63,654
Finance lease liabilities, net of current portion		1,127,729			1,415,908
Operating lease liabilities, net of current portion		3,439,712			3,929,234
Loan from related party		1,179,042			1,265,057
Notes payable, net of debt discounts		-			5,510,545

Total Non-Current Liabilities		5,807,397			12,184,398

Total Liabilities		12,148,278			16,905,861


Stockholders' Equity:
Preferred stock; par value $0.001, 2,500,000 shares authorized, 0 shares issued and outstanding at June 30, 2026 and December 31, 2025, respectively		-			-
Common stock; par value $0.001, 50,000,000 shares authorized and 32,947,841 and 9,627,064 shares issued and outstanding at June 30, 2026 and December 31, 2025, respectively		32,948			9,627
Additional paid-in capital		131,755,874			110,427,993
Accumulated deficit		(100,521,598	)		(94,795,121	)
Accumulated other comprehensive loss		(5,357,003	)		(5,209,173	)

Total Stockholders' Equity		25,910,221			10,433,326

Noncontrolling Interest		(111,407	)		(61,090	)

Total Equity		25,798,814			10,372,236

Total Liabilities and Equity	$	37,947,092		$	27,278,097

LIQTECH INTERNATIONAL, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

	For The Three Months Ended						For the Six Months Ended
	June 30,						June 30,
	2026			2025			2026			2025
Revenue	$	4,363,752		$	4,957,489		$	8,500,072		$	9,575,030
Cost of goods sold		3,998,213			4,472,911			7,740,789			8,965,396

Gross Profit		365,539			484,578			759,283			609,634

Operating Expenses:
Selling expenses		835,836			812,568			1,816,510			1,530,584
General and administrative expenses		1,589,775			1,539,323			3,003,920			2,901,569
Research and development expenses		271,745			242,556			547,879			472,679

Total Operating Expenses		2,697,356			2,594,447			5,368,309			4,904,832

Loss from Operations		(2,331,817	)		(2,109,869	)		(4,609,026	)		(4,295,198	)

Other Income (Expense):
Interest and other income		22,378			64,605			39,235			133,356
Interest and other expense		(231,160	)		(63,466	)		(440,224	)		(111,749	)
Amortization of debt discount		(401,951	)		(84,318	)		(489,455	)		(252,348	)
Gain (loss) on foreign currency transactions		(94,457	)		34,060			(263,013	)		69,576
Gain (loss) on disposal of property and equipment		(15,058	)		(2,158	)		(15,058	)		(63,464	)

Total Other Expense		(720,248	)		(51,277	)		(1,168,515	)		(224,629	)

Loss Before Income Taxes		(3,052,065	)		(2,161,146	)		(5,777,541	)		(4,519,827	)

Income tax benefit		(370	)		(360	)		(747	)		(699	)

Net Loss	$	(3,051,695	)	$	(2,160,786	)	$	(5,776,794	)	$	(4,519,128	)

Net Loss attributable to noncontrolling interest		(35,330	)		(8,901	)		(50,317	)		(15,851	)
Net Loss attributable to LiqTech International, Inc.		(3,016,365	)		(2,151,885	)		(5,726,477	)		(4,503,277	)

Loss Per Common Share – Basic and Diluted	$	(0.14	)	$	(0.14	)	$	(0.32	)	$	(0.30	)

Weighted-Average Common Shares Outstanding – Basic and Diluted		20,808,160			14,906,781			18,033,180			14,906,781

Use of Non-GAAP Financial Measures

In order to provide greater transparency regarding our operating performance, the financial results in this press release refer to a non-GAAP financial measure that involves adjustments to GAAP results. Non-GAAP financial measures exclude certain income and/or expense items that management deems are not directly attributable to the Company's core operating results and/or certain items that are inconsistent in amounts and frequency, making it difficult to perform a meaningful evaluation of our current or past operating performance.

Adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA") is defined by LiqTech as net (loss) or income adjusted for (i) taxes, (ii) [other expenses], (iii) depreciation and amortization, (iv) amortization of right-to-use assets, and (v) stock based compensation.

Management believes that the presentation of operating results using this non-GAAP financial measure provides useful supplemental information for investors by providing them with the non-GAAP financial measure used by management for financial and operational decision making, planning and forecasting and in managing the business. This non-GAAP financial measure does not replace the presentation of financial information in accordance with U.S. GAAP. These non-GAAP financial results should not be considered a measure of liquidity and is unlikely to be comparable to non-GAAP financial measures provided by other companies.