Company: LEU
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001065059-25-000024
Chunk: 142

Company: CENTRUS ENERGY CORP
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 8
Chunk 142
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 expense, net0.1 0.1 — — %Income (loss) before income taxes35.2 (8.4)43.6 519 %Income tax benefit8.0 (2.3)10.3 448 %Net income (loss) and comprehensive income (loss)$27.2 $(6.1)$33.3 546 %

Advanced Technology Costs

Advanced technology costs were $3.0 million and $5.7 million for the three months ended March 31, 2025 and 2024, respectively, a decrease of $2.7 million (or 47%). Advanced technology costs consist of American Centrifuge work and related expenses that are outside of our customer contracts in the Technical Solutions segment, including bid and proposal activities and work to improve our centrifuge manufacturing capability.

46

Interest Expense

Interest expense was $3.4 million and $0.4 million for the three months ended March 31, 2025 and 2024, respectively, an increase of $3.0 million (or 750%). This increase was due primarily to interest incurred on the 2.25% Convertible Notes issued in November 2024.

Investment Income

Investment income was $7.3 million and $2.8 million for the three months ended March 31, 2025 and 2024, respectively, an increase of $4.5 million (or 161%). The Company’s investment income represents interest earned on operating cash, which is primarily held in money market accounts. The increase was due primarily to a higher cash balance driven by the proceeds from the issuance of the 2.25% Convertible Notes issued in November 2024.

Extinguishment of Long-Term Debt

Pursuant to the a redemption notice, on March 26, 2025, the Company redeemed all 8.25% Notes at a redemption price equal to 100% of the principal amount, together with any accrued and unpaid interest. The Company recorded a gain of $11.8 million related to the extinguishment of the 8.25% Notes in the three months ended March 31, 2025.

Income Tax Expense (Benefit)

Income tax expense (benefit) was $8.0 million and ($2.3) million for the three months ended March 31, 2025 and 2024, respectively, a change of $10.3 million (or