Company: LEU
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001065059-25-000058
Chunk: 26

Company: CENTRUS ENERGY CORP
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 2
Chunk 26
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 10-K for the year ended December 31, 2024.

52

Net Income and Comprehensive Income

Net income was $56.1 million and $24.5 million in the six months ended June 30, 2025 and 2024, respectively, an increase of $31.6 million (or 129%). The increase was primarily attributable to an increase of $46.0 million in gross profit, as discussed above, a gain of $11.8 million on the extinguishment of long-term debt, and an increase of $10.1 million in investment income. This was partially offset by an increase of $18.1 million in nonoperating components of net periodic benefit expense, an increase of $9.9 million in income tax expense, and an increase of $5.8 million in interest expense.

53

Liquidity and Capital Resources

As of June 30, 2025, the Company had a consolidated cash and cash equivalents balance of $833.0 million. In addition, the Company had $11.2 million of restricted cash related to one of three initial inventory loans, which required a cash deposit into an escrow fund. In May 2025, $18.6 million of the restricted cash was released from escrow, following the repayment of two of the three inventory loans in March 2025. In July 2025, the remaining $11.2 million of the restricted cash was released from escrow, following the repayment of the last of the three inventory loans in June 2025. See Note 3, Cash, Cash Equivalents, and Restricted Cash of the Consolidated Financial Statements. The Company anticipates having adequate liquidity to support our business operations for at least the next 12 months from the date of this Quarterly Report on Form 10-Q. Our view of liquidity is dependent on, among other things, conditions affecting our operations, including market, international trade restrictions, sanctions and other conditions, the impact of the May 2024 enactment of the Import Ban Act and our ability to obtain additional waivers thereunder, the impact of the November 2024 Russian Decree and the ability of TENEX to secure export licenses thereunder, the level of expenditures and government funding for our services contracts, and the timing of customer payments. Liquidity requirements for our existing operations are affected primarily by the timing and amount of customer sales and our inventory purchases. 

Cash resources and net sales proceeds from our LEU segment fund technology costs that are outside of our