Company: BCHT
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001477932-25-005905
Chunk: 61

Company: Birchtech Corp.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 61
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 six months of 2025, along with greater stock-based compensation in the first six months of 2024 compared to the comparable period in 2025. The decrease in professional fees was primarily due to lower legal fees in the first six months of 2025 in connection with the Company’s patent litigation compared to the prior year period which had greater legal fees due to trial preparation and the jury trial in the U.S. District Court for the District of Delaware.

 30Table of Content

Total R&D expenses were approximately $455,000 and $0 for the three months ended June 30, 2025 and 2024, respectively, and $862,000 and $0 for the six months ended June 30, 2025 and 2024, respectively. R&D expenses relate to research conducted to develop water treatment products utilizing new sorbent technologies, and increased in the first six months of 2025 compared to the prior year period as the Company had not incurred any research related costs during the first six months of 2024. The Company began incurring research and development costs when the lab equipment at the Company’s labs was placed into service.

Operating Loss

Operating loss decreased significantly in 2025 compared to 2024. Our operating loss was approximately $1,185,000 and $3,574,000 for the three months ended June 30, 2025 and 2024, respectively, and approximately $2,528,000 and $5,972,000 for the six months ended June 30, 2025 and 2024, respectively.  Such decrease in operating loss was primarily due to our increased license fee revenue in 2025 compared to 2024 coupled with a decrease in total operating expenses during the first six months of 2025 as discussed above.  

Other Income (Expense)

Interest expense related to the financing of capital was approximately $0 and $6,000 for the three months ended June 30, 2025 and 2024, respectively, and $54 and $252,000 for the six months ended June 30, 2025 and 2024, respectively.  The approximate breakdown of interest expense for the three and six months ended June 30, 2025 and 2024 is as follows:

  Three Months Ended  Six Months Ended   June 30,  June 30,   2025  2024  2025  2024   (In