# EDGAR Filing Document

**Accession Number:** 0001145986
**File Stem:** 0001193125-26-119892
**Filing Date:** 2026-3
**Character Count:** 170001
**Document Hash:** 2e73eae09c8e14eabe49aad2583ff9d7
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001193125-26-119892.hdr.sgml**: 20260323

**ACCESSION NUMBER**: 0001193125-26-119892

**CONFORMED SUBMISSION TYPE**: 10-K/A

**PUBLIC DOCUMENT COUNT**: 95

**CONFORMED PERIOD OF REPORT**: 20251231

**FILED AS OF DATE**: 20260323

**DATE AS OF CHANGE**: 20260323

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** ASPEN AEROGELS INC
- **CENTRAL INDEX KEY:** 0001145986
- **STANDARD INDUSTRIAL CLASSIFICATION:** WHOLESALE-LUMBER & OTHER CONSTRUCTION MATERIALS [5030]
- **ORGANIZATION NAME:** 07 Trade & Services
- **EIN:** 043559972
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-K/A
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-36481
- **FILM NUMBER:** 26783009

**BUSINESS ADDRESS:**
- **STREET 1:** 30 FORBES ROAD
- **STREET 2:** BUILDING B
- **CITY:** NORTHBOROUGH
- **STATE:** MA
- **ZIP:** 01532
- **BUSINESS PHONE:** 5086911111

**MAIL ADDRESS:**
- **STREET 1:** 30 FORBES ROAD
- **STREET 2:** BUILDING B
- **CITY:** NORTHBOROUGH
- **STATE:** MA
- **ZIP:** 01532

?xml version='1.0' encoding='ASCII'? 10-K/A

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

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**FORM** 10-K/A

**(Amendment no. 1)**

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**(Mark One)**

☒ **ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the fiscal year ended** December 31**,** 2025

**OR**

☐ **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the transition period from to**

**Commission file number:** 001-36481

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ASPEN AEROGELS, INC.

**(Exact name of registrant as specified in its charter)**

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---

| | |
|:---|:---|
| Delaware | 04-3559972 |
| **(State or other jurisdiction of<br>incorporation or organization)** | **(I.R.S. Employer<br>Identification No.)** |
| 30 Forbes Road**,** Building B<br>Northborough**,** Massachusetts | 01532 |
| **(Address of principal executive offices)** | **(Zip Code)** |

---

**Registrant's telephone number, including area code (**508**)** 691-1111

**Securities registered pursuant to Section 12(b) of the Exchange Act:**

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| | | |
|:---|:---|:---|
| **Title of each class** | **Trading Symbol** | **Name of exchange on which registered** |
| Common Stock, par value $0.00001 per share | ASPN | New York Stock Exchange |

---

**Securities registered pursuant to Section 12(g) of the Exchange Act: None** 

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Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ☐ No ☒

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes ☐ No ☒

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer", "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

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| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | ☐ | Accelerated filer | ☒ |
| Non-accelerated filer | ☐  | Smaller reporting company | ☐ |
|  |  | Emerging growth company | ☐ |

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If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. ☒

If securities are registered pursuant to Section 12(b) of the Act, indicated by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. ☐

Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant's executive officers during the relevant recovery period pursuant to §240.10D-1(b). ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes ☐ No ☒

The aggregate market value of the registrant's common stock held by non-affiliates of the registrant (without admitting that any person whose shares are not included in such calculation is an affiliate) computed by reference to the price at which the common stock was last sold as of the last business day of the registrant's most recently completed second fiscal quarter was approximately $480.0 million.

As of March 10, 2026, the registrant had 82,825,603 shares of common stock outstanding.

**DOCUMENTS INCORPORATED BY REFERENCE**

Portions of the registrant's definitive Proxy Statement for its Annual Meeting of Stockholders to be held on May 13, 2026 are incorporated by reference into Part III of this Annual Report on Form 10-K to the extent stated herein.

Auditor Firm Id: 185 Auditor Name: KPMG LLP Auditor Location: Boston, MA, United States of America

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EXPLANATORY NOTE

Aspen Aerogels, Inc. (the "Company") is filing this Amendment No. 1 on Form 10-K/A (this "Amendment No. 1") to amend the Company's Annual Report on Form 10-K for the year ended December 31, 2025 (the "Original Form 10-K"), which was initially filed with the U.S. Securities and Exchange Commission (the "SEC") on March 13, 2026. The purpose of this Amendment No. 1 is solely to correct a scrivener's error in the attestation reports on the Company's financial statements and internal control over financial reporting of KPMG LLP (the "Audit Report"). Specifically, in the Audit Report in the Original Form 10-K an inventories balance of $47.6 million as of December 31, 2025 was reported under the section "*Critical Audit Matters – Net realizable value of certain inventories*", which was the inventories balance as of December 31, 2024, instead of an inventories balance of $38.2 million, as reflected in the Audit Report in this Amendment No. 1. No other changes were made to the Original Form 10-K.

In addition, as required by Rule 12b-15 under the Securities Exchange Act of 1934, as amended (the "Exchange Act"), currently dated certifications from the Company's principal executive officer and principal financial officer are filed herewith as exhibits to this Amendment No. 1 pursuant to Rule 13a-14(a) or 15d-14(a) of the Exchange Act and pursuant to Section 906 of the Sarbanes-Oxley Act.

Except as described above, this Amendment No. 1 does not amend, modify, or otherwise update any other information in the Original Form 10-K and does not reflect events occurring after the filing of the Original Form 10-K. Accordingly, this Amendment No. 1 should be read in conjunction with the Original Form 10-K and the Company's other filings with the SEC.

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**TABLE OF CONTENTS**

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;ITEM 8. | [<u>FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA</u>](#item_8_financial_statements_supplementar) | 4 |
| &nbsp;&nbsp;&nbsp;&nbsp;ITEM 15. | [<u>EXHIBITS, FINANCIAL STATEMENT SCHEDULES</u>](#item_15_exhibits_financial_statement_sch) | 39 |
|  | [<u>SIGNATURES</u>](#signatures) | 44 |

---

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**Item 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA**

**Report of Independent Registered Public Accounting Firm**

To the Stockholders and the Board of Directors

Aspen Aerogels, Inc.:

*Opinions on the Consolidated Financial Statements and Internal Control Over Financial Reporting*

We have audited the accompanying consolidated balance sheets of Aspen Aerogels, Inc. and subsidiaries (the Company) as of December 31, 2025 and 2024, the related consolidated statements of operations, stockholders' equity, and cash flows for each of the years in the three-year period ended December 31, 2025, and the related notes and financial statement schedule II (collectively, the consolidated financial statements). We also have audited the Company's internal control over financial reporting as of December 31, 2025, based on criteria established in *Internal Control – Integrated Framework (2013)* issued by the Committee of Sponsoring Organizations of the Treadway Commission.

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of the Company as of December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the years in the three-year period ended December 31, 2025, in conformity with U.S. generally accepted accounting principles. Also in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2025 based on criteria established in *Internal Control – Integrated Framework (2013)* issued by the Committee of Sponsoring Organizations of the Treadway Commission.

*Basis for Opinions*

The Company's management is responsible for these consolidated financial statements, for maintaining effective internal control over financial reporting, and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying Management's Report on Internal Control over Financial Reporting. Our responsibility is to express an opinion on the Company's consolidated financial statements and an opinion on the Company's internal control over financial reporting based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement, whether due to error or fraud, and whether effective internal control over financial reporting was maintained in all material respects.

Our audits of the consolidated financial statements included performing procedures to assess the risks of material misstatement of the consolidated financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements. Our audit of internal control over financial reporting included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. Our audits also included performing such other procedures as we considered necessary in the circumstances. We believe that our audits provide a reasonable basis for our opinions.

*Definition and Limitations of Internal Control Over Financial Reporting*

A company's internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in

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accordance with generally accepted accounting principles. A company's internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company's assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

*Critical Audit Matters*

The critical audit matters communicated below are matters arising from the current period audit of the consolidated financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the consolidated financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matters below, providing separate opinions on the critical audit matters or on the accounts or disclosures to which they relate.

*Impairment of the Statesboro Plant*

As discussed in Note 2 to the consolidated financial statements, long-lived assets are reviewed for impairment when events or changes in circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. If the carrying amount of an asset or asset group exceeds its estimated undiscounted future cash flows, an impairment charge is recognized for the amount by which the carrying amount of the asset or asset group exceeds the fair value of the asset or asset group. As described in Notes 5 and 19 to the consolidated financial statements, in February 2025 the Company decided to cease construction at its previously planned Statesboro Plant and demobilize the site. As a result, the Company recorded impairment charges of $286.6 million during the year and the Statesboro Plant assets were classified as held for sale as of December 31, 2025.

We identified the evaluation of the impairment assessment of the Statesboro Plant as a critical audit matter. The carrying value of the Statesboro Plant exceeded its estimated fair value, which was calculated based on certain assumptions that were determined to involve a high degree of judgment and estimation by the Company. We performed a sensitivity analysis as a risk assessment procedure over the assumptions used to estimate the fair value of the Statesboro Plant and determined that market rent, discount rate, terminal capitalization rate and remaining construction costs represented the significant assumptions. These assumptions were challenging to test as they represented subjective determinations of future market, economic conditions and remaining construction activity that were sensitive to variation. Minor changes to those assumptions could have had a significant effect on the estimated fair value of the Statesboro Plant. Additionally, the audit effort associated with this estimate required specialized skills and knowledge.

The following are the primary procedures we performed to address this critical audit matter. We evaluated the design and tested the operating effectiveness of certain internal controls related to the Company's impairment assessment of long-lived assets, including controls related to determining the significant assumptions used to estimate the fair value of the Statesboro Plant. We evaluated the reasonableness of the remaining construction costs by comparing them to executed agreements and assessing the remaining construction costs estimated by the Company to bring the property to a condition suitable for general use based on actual costs incurred. In addition, we involved valuation professionals with specialized skills and knowledge, who assisted in:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•evaluating the market rent used by the Company by comparing it against a market rent range that was independently developed using publicly available signed lease data for comparable properties

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•evaluating the discount rate used by the Company by comparing it against a market-oriented discount rate range that was independently developed using published investor surveys specific to development property types

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;•evaluating the terminal capitalization rate used by the Company by comparing it to a terminal capitalization rate range that was independently developed using sales of comparable investment grade real estate assets.

*Net realizable value of certain inventories*

As discussed in Note 2 to the consolidated financial statements, inventories are stated at the lower of cost and net realizable value. As of December 31, 2025, the Company held inventories of $38.2 million. The excess, obsolete or damaged goods provision recorded for inventories is equal to the difference between the cost of inventory and the estimated net realizable value, which is based upon assumptions about future demand, selling prices, and market conditions.

We identified the evaluation of the estimated net realizable value of certain inventories as a critical audit matter. A high degree of auditor judgment was required to evaluate the Company's assumption of future demand through future consumption, including whether past consumption is indicative of future consumption and the related effect on the net realizable value of certain inventories.

The following are the primary procedures we performed to address this critical audit matter. We evaluated the design and tested the operating effectiveness of certain internal controls related to the Company's inventory process. This included a control related to the Company's process to estimate future consumption. We assessed the Company's assumption related to future consumption and its correlation to past consumption by inquiring of relevant Company personnel regarding the impact of relevant changes to the overall business environment, including key customers and product lines. We compared the actual quantities of inventory on hand to actual consumption during the current year and subsequent to year-end to evaluate whether the historic and subsequent period consumption supported the Company's assumption related to future consumption. We recalculated the Company's estimate of the inventory provision based on the actual quantities of inventory on hand compared to the estimate of future consumption.

/s/ KPMG LLP

We have served as the Company's auditor since 2002.

Boston, Massachusetts

March 13, 2026

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**ASPEN AEROGELS, INC.**

**Consolidated Balance Sheets**

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| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
|  | **(In thousands, except<br>share and per share data)** | **(In thousands, except<br>share and per share data)** |
| **Assets** |  |  |
| Current assets: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | $156857 | $220882 |
| &nbsp;&nbsp;&nbsp;&nbsp;Restricted cash | 1713 | 394 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable, net of allowances of $4,172 and $1,265 | 35270 | 109104 |
| &nbsp;&nbsp;&nbsp;&nbsp;Inventories | 38249 | 47551 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other current assets | 9964 | 31517 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current assets | 242053 | 409448 |
| Property, plant and equipment, net | 98400 | 459276 |
| Assets held for sale | 32712 |  |
| Operating lease right-of-use assets | 18014 | 20854 |
| Finance lease right-of-use assets | 6131 |  |
| Other long-term assets | 9369 | 5566 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets | $406679 | $895144 |
| **Liabilities and Stockholders' Equity** |  |  |
| Current liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | $13243 | $44361 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses | 12952 | 36495 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | 1259 | 2199 |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance obligation for sale and leaseback transactions | 4443 | 4028 |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating lease liabilities | 3245 | 3279 |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance lease liabilities | 1768 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Long term debt - current portion | 25115 | 19750 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current liabilities | 62025 | 110112 |
| Revolving line of credit | 14346 | 42131 |
| Long term debt | 65455 | 94961 |
| Finance obligation for sale and leaseback transactions long-term | 4953 | 10087 |
| Operating lease liabilities long-term | 21138 | 23148 |
| Finance lease liabilities long-term | 3244 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities | 171161 | 280439 |
| Commitments and contingencies (Note 12) |  |  |
| Stockholders' equity: |  |  |
| Preferred stock, $0.00001 par value; 5,000,000 shares authorized, no shares issued or<br> outstanding at December 31, 2025 and 2024 |  |  |
| Common stock, $0.00001 par value; 250,000,000 shares authorized, 82,711,351 and<br> 82,040,468 shares issued and outstanding at December 31, 2025 and December 31,<br> 2024, respectively |  |  |
| Additional paid-in capital | 1285297 | 1274932 |
| Accumulated deficit | (1049779) | (660227) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total stockholders' equity | 235518 | 614705 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total liabilities and stockholders' equity | $406679 | $895144 |

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See accompanying notes to consolidated financial statements.

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**ASPEN AEROGELS, INC.**

**Consolidated Statements of Operations**

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| | | | |
|:---|:---|:---|:---|
|  | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
|  | **2025** | **2024** | **2023** |
|  | **(In thousands, except<br>share and per share data)** | **(In thousands, except<br>share and per share data)** | **(In thousands, except<br>share and per share data)** |
| Revenue | $271103 | $452699 | $238718 |
| Cost of revenue | 225105 | 269802 | 181797 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross profit | 45998 | 182897 | 56921 |
| Operating expenses |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and development | 13416 | 18050 | 16356 |
| &nbsp;&nbsp;&nbsp;&nbsp;Sales and marketing | 28200 | 35677 | 33008 |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 55774 | 71125 | 56760 |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and demobilization costs | 17510 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on disposal of property, plant and equipment | 18162 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Impairment of property, plant and equipment | 291164 | 3510 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | 424226 | 128362 | 106124 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income (loss) from operations | (378228) | 54535 | (49203) |
| Other income (expense) |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest expense, convertible note - related party |  | (7550) | (5328) |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest income (expense), net | (10716) | (4409) | 6534 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income from Employee Retention Credits |  |  | 2186 |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on extinguishment of debt |  | (27487) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Other income | 1786 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total other income (expense) | (8930) | (39446) | 3392 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income (loss) before income tax expense | (387158) | 15089 | (45811) |
| Income tax expense | (2394) | (1714) |  |
| Net income (loss) | $(389552) | $13375 | $(45811) |
| Net income (loss) per share: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Basic | $(4.73) | $0.17 | $(0.66) |
| &nbsp;&nbsp;&nbsp;&nbsp;Diluted | $(4.73) | $0.17 | $(0.66) |
| Weighted-average common shares outstanding: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Basic | 82328484 | 77535121 | 69439034 |
| &nbsp;&nbsp;&nbsp;&nbsp;Diluted | 82328484 | 80306690 | 69439034 |

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See accompanying notes to consolidated financial statements.

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**ASPEN AEROGELS, INC.**

**Consolidated Statements of Stockholders' Equity** 

**(In thousands, except share and per share data)**

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Preferred Stock** | **Preferred Stock** | **Common Stock** | **Common Stock** | **Additional<br>Paid-in<br>Capital** | **Accumulated<br>Deficit** | **Total<br>Stockholders'<br>Equity** |
|  | **Shares** | **Value** | **Shares** | **Value** |  |  |  |
| **Balance at December 31, 2022** |  | $— | 69994963 | $— | $1075226 | $(627791) | $447435 |
| Net loss |  |  |  |  |  | (45811) | (45811) |
| Stock-based compensation expense |  |  |  |  | 10954 |  | 10954 |
| Issuance of restricted stock |  |  | 44928 |  |  |  |  |
| Vesting of restricted stock units |  |  | 79151 |  | (420) |  | (420) |
| Proceeds from employee stock option exercises |  |  | 323502 |  | 1659 |  | 1659 |
| Proceeds from registered direct offering of common stock, net of fees and issuance costs of $623 |  |  | 6060607 |  | 74377 |  | 74377 |
| Issuance costs from underwritten public offering |  |  |  |  | (139) |  | (139) |
| **Balance at December 31, 2023** |  | $— | 76503151 | $— | $1161657 | $(673602) | $488055 |
| Net income |  |  |  |  |  | 13375 | 13375 |
| Stock-based compensation expense |  |  |  |  | 10681 |  | 10681 |
| Issuance of restricted stock |  |  | 13264 |  |  |  |  |
| Vesting of restricted stock units |  |  | 137240 |  | (1289) |  | (1289) |
| Proceeds from employee stock option exercises |  |  | 1254994 |  | 10364 |  | 10364 |
| Proceeds from registered direct offering of common stock, net of fees and issuance costs of $686 |  |  | 4887500 |  | 93154 |  | 93154 |
| Cancellation of restricted stock |  |  | (679796) |  | 2174 |  | 2174 |
| Employee restricted stock awards withheld for tax |  |  | (75885) |  | (1809) |  | (1809) |
| **Balance at December 31, 2024** |  | $— | 82040468 | $— | $1274932 | $(660227) | $614705 |
| Net loss |  |  |  |  |  | (389552) | (389552) |
| Stock-based compensation expense |  |  |  |  | 8628 |  | 8628 |
| Vesting of restricted stock units |  |  | 199297 |  | (765) |  | (765) |
| Proceeds from employee stock option exercises |  |  | 407316 |  | 1718 |  | 1718 |
| Issuance costs from offering of common stock |  |  |  |  | 205 |  | 205 |
| Acquisition of variable interest entity |  |  |  |  | 403 |  | 403 |
| Proceeds from employee stock purchase plan |  |  | 64270 |  | 176 |  | 176 |
| **Balance at December 31, 2025** |  | $— | 82711351 | $— | $1285297 | $(1049779) | $235518 |

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See accompanying notes to consolidated financial statements.

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**ASPEN AEROGELS, INC.**

**Consolidated Statements of Cash Flows**

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| | | | |
|:---|:---|:---|:---|
|  | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
|  | **2025** | **2024** | **2023** |
|  | **(In thousands)** | **(In thousands)** | **(In thousands)** |
| Cash flows from operating activities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net income (loss) | $(389552) | $13375 | $(45811) |
| &nbsp;&nbsp;&nbsp;&nbsp;Adjustments to reconcile net loss to net cash used in operating activities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation | 45157 | 22526 | 15318 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accretion of interest on convertible note - related party |  | 7083 | 4403 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of convertible note issuance costs |  | 24 | 37 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of debt issuance costs | 3637 | 1139 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of debt discount due to modification of convertible note – related party |  | 443 | 888 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss on extinguishment of debt |  | 27487 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred financing costs written off |  | 1829 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provision for bad debt | 3538 | 247 | (93) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation expense | 8628 | 12855 | 10954 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Impairment of property, plant and equipment | 291626 | 7613 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loss on disposal of property, plant and equipment | 18162 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred taxes | (416) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reduction in the carrying amount of operating lease right-of-use assets | 3534 | 1886 | 2859 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Changes in operating assets and liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable | 70296 | (39356) | (12552) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Inventories | 9302 | (8362) | (16651) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses and other assets | 18172 | (19835) | (7401) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | (19453) | 7341 | 4583 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses | (23310) | 11855 | 6808 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue | (940) | (117) | (3530) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating lease and other liabilities | (5509) | (2484) | (2424) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by (used in) operating activities | 32872 | 45549 | (42612) |
| Cash flows from investing activities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Capital expenditures | (37449) | (86262) | (175455) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash used in investing activities | (37449) | (86262) | (175455) |
| Cash flows from financing activities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from employee stock option exercises | 1718 | 10364 | 1659 |
| &nbsp;&nbsp;&nbsp;&nbsp;Payments made for employee restricted stock tax withholdings | (765) | (1289) | (420) |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from registered direct offering of common stock |  | 93840 | 75000 |
| &nbsp;&nbsp;&nbsp;&nbsp;Fees and issuance costs from registered direct offering of common stock | (28) | (686) | (623) |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from employee stock purchase plan | 176 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Fees and issuance costs from private placement of common stock |  |  | (139) |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayment of convertible note |  | (150029) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayment of term loan | (26000) | (6500) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from term loan |  | 125000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Issuance costs from term loan and revolving line of credit |  | (5797) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from revolving line of credit |  | 43000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayment of revolving line of credit | (28000) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from sale and leaseback transactions |  | 14983 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayment of lease and other finance obligations | (5230) | (868) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash (used in) provided by financing activities | (58129) | 122018 | 75477 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net (decrease) increase in cash, cash equivalents and restricted cash | (62706) | 81305 | (142590) |
| Cash, cash equivalents and restricted cash at beginning of period | 221276 | 139971 | 282561 |
| Cash, cash equivalents and restricted cash at end of period | $158570 | $221276 | $139971 |
| Supplemental disclosures of cash flow information: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest paid | $12220 | $7007 | $1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income taxes paid | $4134 | $— | $— |
| Supplemental disclosures of non-cash activities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Right-of-use assets obtained in exchange for new operating lease liabilities | $24 | $5131 | $10380 |
| &nbsp;&nbsp;&nbsp;&nbsp;Capitalized Interest | $— | $— | $6084 |
| &nbsp;&nbsp;&nbsp;&nbsp;Changes in accrued capital expenditures | $(11665) | $(14074) | $(8217) |

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See accompanying notes to consolidated financial statements.

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**ASPEN AEROGELS, INC.**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS**

**(1) Description of Business**

***Nature of Business***

Aspen Aerogels, Inc. (the Company) is an aerogel technology company that designs, develops and manufactures innovative, high-performance aerogel materials used primarily in the energy industrial, sustainable insulation materials, and electric vehicle (EV) markets. The Company has provided high-performance aerogel insulation to the energy industrial and sustainable insulation markets for nearly two decades. The Company has developed and commercialized its proprietary line of PyroThin<sup>®</sup> aerogel thermal barriers for use in battery packs in EVs. The Company's core business is organized into two reportable segments: Thermal Barrier and Energy Industrial.

The Company maintains its corporate offices in Northborough, Massachusetts. The Company has five wholly owned subsidiaries: Aspen Aerogels Rhode Island, LLC (Aspen RI), Aspen Aerogels Germany, GmbH, Aspen Aerogels Georgia, LLC (Aspen Georgia), Aspen Aerogels Mexico Holdings, LLC (Aspen Mexico), and OPE Manufacturer Mexico S de RL de CV (OPE), a maquiladora located in Mexico. OPE was established under an agreement between the Company and Prodensa Servicios de Consultora (Prodensa) during 2022 to assemble thermal barrier PyroThin products and operate an automated fabrication facility for PyroThin. Pursuant to the agreement, Prodensa owned OPE and charged a management fee, and the Company had an option to purchase OPE from Prodensa after a period of 18 months. The Company subsequently purchased OPE for a nominal value in accordance with the terms of the agreement. During the period between inception and the exercise of the option to purchase OPE, OPE operations were consolidated within the Company financial statements as OPE was a variable interest entity (VIE) with the Company as the primary beneficiary. The purchase of OPE was accounted for as an equity transaction.

***Liquidity***

During the year ended December 31, 2025, the Company incurred a net loss of $389.6 million, generated $32.9 million of cash from operations and used $37.4 million of cash for capital expenditures. The Company had unrestricted cash and cash equivalents of $156.9 million as of December 31, 2025.

In January 2024 and September 2024, the Company entered into sale and leaseback arrangements, pursuant to which the Company sold certain equipment to an equipment leasing company for one-time cash payments of $5.0 million and $10.0 million, respectively, and leased back such equipment from the leasing company. The associated monthly lease rents will be paid over the lease term of three years.

On August 19, 2024, the Company and Aspen RI (each, a Borrower and collectively, the Borrowers) entered into a Credit, Security and Guaranty Agreement (the Credit Agreement and the facilities provided thereunder, collectively, the MidCap Loan Facility) with MidCap Funding IV Trust, as agent (the Agent), MidCap Financial Trust, as term loan servicer (the Term Loan Servicer), and the financial institutions or other entities from time to time party thereto as lenders (the Lenders), with respect to the MidCap Loan Facility, which is comprised of (i) the Term Loan Facility in an aggregate principal amount of $125.0 million (the Term Loan Facility) and (ii) the Revolving Facility in an aggregate principal amount not to exceed the lesser of $100.0 million and the value of the borrowing base (defined as the sum of (x) 85% of certain eligible accounts of the Borrowers and (y) the lesser of 85% of the NOLV (as defined in the Credit Agreement) or 85% of the cost of certain eligible inventory of the Borrowers (the Borrowing Base) (the Revolving Facility). At closing of the transactions contemplated by the Credit Agreement, the Company drew $125.0 million from the Term Loan Facility and $43.0 million from the Revolving Facility. The proceeds of the borrowings at closing, net of fees and costs, were used to repurchase the 2022 Convertible Note (as defined below) for $150.0 million and for general corporate purposes. The amount available to the Company at December 31, 2025 under the Revolving Facility was $9.5 million.

On May 6, 2025, the Credit Agreement was amended to add Aspen Georgia as a Borrower and to amend the minimum Liquidity, the minimum EBITDA and the Liquidity amount trigger for a Cash Dominion Event (each as defined in the Amended MidCap Loan Facility (as defined in Note (7))).

On December 16, 2025, the Credit Agreement was further amended to change the applicable minimum Liquidity threshold and to entirely remove the minimum EBITDA financial maintenance covenant.

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As of December 31, 2025, the Company is in compliance with the financial covenants set forth in the Amended MidCap Loan Facility. See Note (7) for further details.

In October 2024, the Company entered into an underwriting agreement with Goldman Sachs & Co. LLC and Morgan Stanley & Co. LLC (collectively, the Underwriters), pursuant to which the Company issued and sold an aggregate of 4,887,500 shares of the Company's common stock, which included 637,500 shares pursuant to the Underwriters' option to purchase additional shares of common stock of the Company, to the Underwriters in a registered underwritten offering (the Offering). The price to the public in the Offering was $20.00 per share. The net proceeds to the Company from the Offering were approximately $93.2 million, after deducting underwriting discounts and commissions and estimated offering expenses payable by the Company.

In November 2022, the Company entered into a loan agreement (the GM Loan Agreement) with General Motors Holdings LLC (GM), an entity affiliated with General Motors LLC, which provided for a multi-draw senior secured term loan (the GM Loan) in an aggregate principal amount of up to $100.0 million, available to the Company on a delayed draw basis beginning January 1, 2023 to September 30, 2023, subject to certain conditions precedent to funding. In September 2023, the Company amended the GM Loan Agreement to (i) extend the draw period for the GM Loan to a period beginning on the date that is 12 months prior to the date agreed upon by the Company and GM for the start of production at an aerogel manufacturing facility in Statesboro, Georgia (the Statesboro Plant), which construction has since been terminated, and ending on March 31, 2024 (or any later date approved in writing by GM at its sole discretion); (ii) extend the maturity date of the GM Loan from March 31, 2025 to September 30, 2025; and (iii) add financial covenants measured starting from the fiscal quarter ending December 31, 2024 and at the end of each fiscal quarter thereafter. The Company has not drawn, and no longer has the ability to draw on the GM Loan. The associated unamortized deferred financing costs of $1.7 million were written off to interest expense during the year ended December 31, 2024, upon the expiration of the draw period. On August 16, 2024, the Company and GM entered into the a termination letter to terminate and pay off in full all obligations outstanding under the GM Loan Agreement.

The Company expects its existing cash balance will be sufficient to support current operating requirements and capital expenditures required to support the Company's existing business in the EV and energy industrial markets for at least 12 months from the date of this Annual Report on Form 10-K. However, the Company expects that it will need to supplement its cash balance with anticipated cash flow from operations, as well as potential equity financings, debt financings, equipment leasing, sale-leaseback transactions, customer prepayments, or government grant and loan programs to provide the additional capital necessary to support the Company's long-term growth strategy.

**(2) Summary of Basis of Presentation and Significant Accounting Policies**

***Principles of Consolidation***

The accompanying consolidated financial statements of the Company include the accounts of all its subsidiaries which are majority-owned, controlled by the Company or a VIE where the Company is the primary beneficiary. All significant intercompany accounts and transactions have been eliminated in consolidation.

A VIE is an entity that lacks one or more of the characteristics of a voting interest entity. A VIE is defined as an entity in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support from other parties. The Company consolidates a VIE in accordance with ASC 810, Consolidation when it is the primary beneficiary of such VIE. As primary beneficiary, the Company has both the power to direct the activities that most significantly impact the economic performance of the VIE and a right to receive benefits or absorb losses of the entity that could be potentially significant to the VIE. The Company is required to reconsider its evaluation of whether to consolidate a VIE each reporting period, based upon changes in the facts and circumstances pertaining to the VIE.

The Company evaluates the initial consolidation of each consolidated VIE, which includes a determination of whether the VIE constitutes the definition of a business in accordance with ASC 805, Business Combinations, by considering if substantially all of the fair value of the gross assets within the VIE are concentrated in either a single identifiable asset or group of single identifiable assets. Upon consolidation, the Company recognizes the assets acquired, the liabilities assumed, and any third-party ownership of membership interests as non-controlling interest as of the consolidation or acquisition date, measured at their relative fair values.

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***Use of Estimates***

The preparation of the consolidated financial statements requires the Company to make a number of estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Significant items subject to such estimates and assumptions include allowances for doubtful accounts, sales returns and allowances, assets held for sale, product warranty costs, inventory valuation, the carrying amount of property and equipment, right-of-use assets, lease liabilities, stock-based compensation, and deferred income taxes. The Company evaluates its estimates and assumptions on an on-going basis using historical experience and other factors, including current economic conditions, which are believed to be reasonable under the circumstances. Management adjusts such estimates and assumptions when facts and circumstances warrant. Illiquid credit markets, volatile equity markets, and declines in business investment can increase the uncertainty inherent in such estimates and assumptions. As future events and their effects cannot be determined with precision, actual results could differ significantly from these estimates. Changes in these estimates resulting from continuing changes in the economic environment will be reflected in the financial statements in future periods.

***Cash and Cash Equivalents***

Cash equivalents include short-term, highly liquid instruments, which consist of money market accounts and high-quality debt securities issued by the U.S. government via cash sweep accounts. All cash and cash equivalents are maintained with major financial institutions in North America. Deposits with these financial institutions may exceed the amount of insurance provided on such deposits; however, these deposits typically may be redeemed upon demand and, therefore, bear minimal risk.

***Restricted Cash***

As of December 31, 2025, the Company had $1.7 million of restricted cash to support its outstanding letters of credit.

***Concentration of Credit Risk***

Financial instruments, which potentially expose the Company to concentrations of credit risk, consist principally of accounts receivable. The Company's customers are primarily insulation distributors, insulation contractors, insulation fabricators and select energy and automotive end-users located throughout the world. The Company performs ongoing credit evaluations of its customers' financial condition and generally requires no collateral to secure accounts receivable. The Company maintains an allowance for doubtful accounts based on its assessment of the collectability of accounts receivable. The Company reviews the allowance for doubtful accounts quarterly. During the years ended December 31, 2025, 2024, and 2023, the Company recorded a charge for estimated customer uncollectible accounts receivable of $3.5 million, $0.2 million, and $0.1 million, respectively. Allowance for doubtful accounts was $4.2 million and $1.3 million at December 31, 2025 and 2024, respectively. The Company does not have any off-balance-sheet credit exposure related to its customers.

For the year ended December 31, 2025, two customers represented 59% and 9% of total revenue, respectively. For the year ended December 31, 2024, two customers represented 64% and 6% of total revenue, respectively. For the year ended December 31, 2023, two customers represented 41% and 14% of total revenue, respectively.

At December 31, 2025, the Company had two customers which accounted for 41% and 13% of accounts receivable, respectively. At December 31, 2024, the Company had two customers which accounted for 80% and 5% of accounts receivable, respectively.

***Inventories***

Inventory consists of finished products, work-in-process, and raw materials. Inventories are carried at lower of cost and net realizable value. The Company utilizes a standard costing system including materials, labor, and manufacturing overhead, capitalizing variances between estimated and actual production costs during periods of normal production. Manufacturing overhead is allocated to the costs of conversion based on normal capacity of the Company's production facility. Abnormal freight, handling costs and material waste are expensed in the period it occurs.

The Company periodically reviews its inventories and makes provisions as necessary for estimated excess, obsolete or damaged goods to ensure values approximate the lower of cost and net realizable value. The amount of any such provision is equal to the difference between the cost of inventory and the estimated net realizable value based upon assumptions about future demand, selling prices and market conditions.

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***Prepaid expenses and other current assets***

Prepaid expenses and other current assets primarily include value added tax and income tax receivables, prepayments of future services, and payments for pre-billed inventories.

***Property, Plant and Equipment, Net***

Property, plant and equipment are stated at cost. Expenditures for maintenance and repairs are charged to expense as incurred. Expenditures for major betterments are capitalized as additions to property, plant and equipment.

Depreciation on plant and equipment is calculated on the straight-line method over the estimated useful lives of the assets. Assets related to leasehold improvements are amortized on a straight-line basis over the shorter of the lease term or estimated useful life of the asset.

Assets utilized in the Company's operations that are taken out of service with no future use are charged to cost of revenue or operating expenses, depending on the department in which the asset was utilized. Impairments of construction in progress are charged to operating expenses upon the determination of no future use.

***Impairment of Long-Lived Assets***

Long-lived assets are reviewed for impairment when events or changes in circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. Recognition and measurement of a potential impairment is performed on assets grouped with other assets and liabilities at the lowest level where identifiable cash flows are largely independent of the cash flows of other assets and liabilities. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset or asset group to future undiscounted net cash flows expected to be generated by the asset or asset group. If the carrying amount of an asset or asset group exceeds its estimated undiscounted future cash flows, an impairment charge is recognized for the amount by which the carrying amount of the asset or asset group exceeds the fair value of the asset or asset group. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary.

***Assets held for sale***

A disposal group is reported as held for sale when management has approved or received approval to sell and is committed to a formal plan, the disposal group is available for immediate sale, the disposal group is being actively marketed, the sale is anticipated to occur during the next 12 months and certain other specified criteria are met. A disposal group classified as held for sale is recorded at the lower of its carrying amount or estimated fair value less cost to sell.

***Other Assets***

Other assets primarily include long-term deposits and cloud computing costs.

***Revenue Recognition***

The Company recognizes revenue in accordance with Accounting Standards Codification 606, Revenue from Contracts with Customers (ASC 606). See Note (3) for further details.

***Warranty***

The Company provides warranties for its products and records the estimated cost within cost of revenue in the period that the related revenue is recorded. The Company's standard warranty period extends to one year from the date of shipment. This standard warranty provides that the Company's products will be free from defects in material and workmanship, and will, under normal use, conform to the specifications for the product.

The Company's products may be utilized in systems that involve new technical demands and new configurations. Accordingly, the Company regularly reviews and assesses whether warranty reserves should be recorded in the period the related revenue is recorded. For an initial shipment of product for use in a system with new technical demands or new configurations and where the

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Company is unsure of meeting the customer's specifications, the Company will defer the recognition of product revenue and related costs until written customer acceptance is obtained.

***Shipping and Handling Costs***

Shipping and handling costs are classified as a component of cost of revenue. Customer payments of shipping and handling costs are recorded as product revenue.

***Stock-based Compensation*** 

The Company grants share-based awards to its employees and non-employee directors. All share-based awards granted, including grants of stock options, restricted stock and restricted stock units (RSUs), are recognized in the statement of operations based on their fair value as of the date of grant. Expense is recognized on a straight-line basis over the requisite service period for all awards with service conditions. For performance-based awards, the grant date fair value is recognized as expense when the condition is probable of being achieved, and then on a graded basis over the requisite service period.

The Company uses the Black-Scholes option-pricing model to determine the fair value of service-based option awards. The Black-Scholes model requires the use of a number of complex and subjective assumptions including fair value of the underlying security, the expected volatility of the underlying security, a risk-free interest rate and the expected term of the option.

The fair value of restricted stock and RSUs is determined using the closing price of the Company's common stock on the date of grant. All shares of restricted stock are not transferable until vested. Restricted stock, or RSUs, issued to non-employee directors typically vests over a one-year period from the date of issuance. RSUs are issued to employees and typically vest over a three-year period from the date of issuance. The fair value of restricted stock and RSUs upon which vesting is solely service-based is expensed ratably over the vesting period. If the service condition for shares of restricted stock is not met for any reason, the shares of unvested restricted stock will be forfeited and returned to the Company.

For stock awards that contain a market condition, the Company uses the Monte-Carlo simulation model to determine the fair value of the awards. In addition to the input assumptions used in the Black-Scholes model, the Monte-Carlo simulation model factors the probability that the specific market condition may or may not be satisfied into the valuation. Stock-based compensation expense for awards with a market condition is recognized on a straight-line basis over the requisite service period for each such award.

***Research and Development***

Costs incurred in the Company's research and development activities include compensation and related costs, services provided by third-party contractors, materials and supplies and are classified as research and development expenses as incurred.

***Earnings per Share***

The Company calculates net income (loss) per common share based on the weighted-average number of common shares outstanding during each period. Potential common stock equivalents are determined using the treasury stock method. The weighted-average number of common shares included in the computation of diluted net income (loss) gives effect to all potentially dilutive common equivalent shares, including outstanding stock options and RSUs. Common equivalent shares are excluded from the computation of diluted net loss per share if their effect is antidilutive.

***Income Taxes***

Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date.

The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. The Company accounts for uncertain tax positions using a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Differences between tax positions taken in

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a tax return and amounts recognized in the financial statements are recorded as adjustments to income taxes payable or receivable, or adjustments to deferred taxes, or both. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company recognizes penalties and interest related to uncertain tax positions, if any, as a component of income tax expense.

***Segments***

Operating segments are identified as components of an enterprise about which separate, discrete financial information is available for evaluation by the chief operating decision maker in making decisions on how to allocate resources and assess performance. The Company's chief operating decision maker is the Chief Executive Officer. The Company's chief operating decision maker reviews consolidated operating results to make decisions about allocating resources and assessing performance for the entire Company. The Company presently views its operations and manages its business as two operating segments.

***Leases***

The Company accounts for leases in accordance with FASB ASC Topic 842, Leases. The Company determines whether an arrangement is a lease at inception. For leases where the Company is the lessee, a lease liability and a right-of-use (ROU) asset is recognized for all leases, with the exception of short-term leases with terms of 12 months or less. ROU assets represent the Company's right to use an underlying asset for the lease term and lease liabilities represent the Company's payment obligations under the lease.

Operating lease ROU assets and liabilities are recognized based on the present value of lease payments over the lease term. For finance leases, the lease liability is initially measured in the same manner and date as for operating leases and is subsequently presented at amortized cost using the effective interest method. To measure its lease liabilities, the Company uses its incremental borrowing rate or the rate implicit in the lease, if available. The Company calculates its incremental borrowing rate using a synthetic credit rating analysis based on Moody's Building Materials Industry Rating Methodology. ROU assets also include any direct costs and prepaid lease payments but exclude any lease incentives received. The Company's lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option.

Finance lease ROU assets are generally amortized on a straight-line basis over the lease term with the interest expense on the lease liability recorded using the interest method. The amortization and interest expense are recorded separately in the Consolidated Statement of Operations. For operating leases, the amortization of the ROU asset and the interest expense on the lease liability are not separately recorded; rather, the lease cost is recognized on a straight-line basis over the lease term as a single-line item in the Consolidated Statement of Operations.

The Company elected the short-term lease recognition exemption for all leases that qualify. For leases that qualify for this exemption, the Company does not recognize ROU assets or lease liabilities. For lease agreements with lease and non-lease components, the Company accounts for each component separately. However, in the case of equipment leases, the Company accounts for lease and non-lease components as a single component. See Note (11) for further details.

***Sale and Leaseback Accounting***

The Company has entered into sale and leaseback transactions for certain equipment within its plants. Due to the Company not meeting criteria to account for the transfer of the assets as a sale, sale accounting is precluded. Accordingly, the Company uses the financing method to account for these transactions.

Under the financing method of accounting for a sale and leaseback, the Company does not derecognize the assets and does not recognize as revenue any of the sale proceeds received from the lessor that contractually constitutes payment to acquire the assets subject to these arrangements. Instead, the sale proceeds received are accounted for as finance obligations and leaseback payments made by the Company are allocated between interest expense and a reduction to the finance obligation. Interest on the finance obligation is calculated using the Company's incremental borrowing rate at the inception of the arrangement on the outstanding finance obligation.

***Foreign Currency Transactions***

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The Company converts foreign currency transactions recognized in the Consolidated Statements of Operations to U.S. dollars by applying the exchange rate prevailing on the date of the transaction. Gains and losses arising from foreign currency transactions and the effects of remeasuring monetary assets and liabilities are recorded in general and administrative expenses, net in the Consolidated Statements of Operations. The Company had foreign exchange losses of $0.5 million and $2.8 million for the fiscal years ended December 31, 2025 and 2024, respectively. For the fiscal year ended December 31, 2023, the Company had foreign exchange gains of $0.5 million.

***Recently Issued Accounting Standards***

From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (FASB) or other standard setting bodies. Recently issued standards typically do not require adoption until a future effective date. Prior to their effective date, the Company evaluates the pronouncements to determine the potential effects of adoption to its consolidated financial statements.

***Standards Implemented Since December 31, 2024***

In December 2023, the FASB issued ASU 2023-09 Income Taxes (Topic 740) Improvements to Income Tax Disclosures (ASU 2023-09) that requires disclosure of disaggregated income taxes paid, prescribes standard categories for the components of the effective tax rate reconciliation, and modifies other income tax-related disclosures including additional information about income taxes paid. Effective January 1, 2025, the Company adopted ASU 2023-09 on a prospective basis. See Note (17) for more information.

***Standards to be Implemented After December 31, 2025***

Although there are several other new accounting pronouncements issued by the FASB, the Company does not believe any of these accounting pronouncements had or will have a material impact on its Consolidated Financial Statements.

The Company believes that the impact of recently issued accounting standards that are not yet effective will not have a material impact on its consolidated financial statements.

**(3) Revenue from Contracts with Customers**

***Revenue Recognition***

Revenue is recognized when a customer obtains control of promised goods or services in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements within the scope of ASC 606, the Company performs the following five steps: (i) identification of the contract with a customer; (ii) identification of the performance obligations in the contract; (iii) determination of the transaction price; (iv) allocation of the transaction price to the separate performance obligations in the contract; and (v) recognition of the revenue associated with performance obligations as they are satisfied. The Company applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. At contract inception, once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within each contract and determines those that are performance obligations and assesses whether each promised good or service is distinct. If the contract contains a single performance obligation, the entire transaction price is allocated to the single performance obligation. Contracts that contain multiple performance obligations require an allocation of the transaction price based on the estimated relative standalone-selling prices of the promised products or services underlying each performance obligation. The Company determines standalone-selling prices based on the price at which the performance obligation is sold separately. If the standalone-selling price is not observable through past transactions, the Company estimates the standalone-selling price considering available information such as market conditions and internally approved pricing guidelines related to the performance obligations. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied.

When determining the transaction price of a contract, an adjustment is made if payment from a customer occurs either significantly before or significantly after performance, resulting in a significant financing component. Applying the practical expedient in paragraph ASC 606-10-32-18, the Company does not assess whether a significant financing component exists if the period between when the Company performs its obligations under the contract and when the customer pays is one year or less. The Company did not have any contracts outstanding at either December 31, 2025 or December 31, 2024 and did not enter into any contracts during each of the years ended December 31, 2025 and 2024 that contained a significant financing component.

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The Company records deferred revenue for product sales when (i) the Company has delivered products, but other revenue recognition criteria have not been satisfied, or (ii) payments have been received in advance of the completion of required performance obligations.

***Thermal Barriers*** 

The Company supplies fabricated, multi-part thermal barriers for use in battery packs in the EV market. These thermal barriers are customized to meet customer specifications. Although thermal barrier products are customized with no alternative use to the Company, the Company does not always have an enforceable right to payment. Under the provisions of ASC 606, the Company recognizes revenue at a point in time when transfer of the control of the products is passed to the customer according to the terms of the contract, including under bill and hold arrangements. The timing of revenue recognition is assessed on a contract-by-contract basis.

***Energy Industrial***

The Company generally enters into contracts containing one type of performance obligation. For a majority of the contracts, the Company recognizes revenue at a point in time when transfer of control of the products is passed to the customer, which is generally upon delivery according to contractual shipping terms within customer purchase orders. For a limited number of customer arrangements for customized products with no alternative use to the Company and an enforceable right to payment for progress completed to date, the Company recognizes revenue over time using units of production to measure progress toward satisfying the performance obligations. Units of production represent work performed as we do not generate significant work in process and thereby best depicts the transfer of control to the customer. Customer invoicing terms for contracts for which revenue is recognized under the over time methodology are typically based on certain milestones within the production and delivery schedule. The timing of revenue recognition is assessed on a contract-by-contract basis.

The Company also enters into rebate agreements with certain customers. These agreements may be considered an additional performance obligation of the Company or variable consideration within a contract. Rebates are recorded as a reduction of revenue in the period the related revenue is recognized. A corresponding liability is recorded as a component of deferred revenue on the consolidated balance sheets. These arrangements are primarily based on the customer attaining contractually specified sales volumes.

The Company estimates the amount of its sales that may be returned by its customers and records this estimate as a reduction of revenue in the period the related revenue is recognized. The Company currently estimates return liabilities using historical rates of return, current quarter credit sales, and specific items of exposure on a contract-by-contract basis. Sales return reserves were approximately $0.3 million at both December 31, 2025 and December 31, 2024.

***Shipping and Handling Costs***

Shipping and handling costs associated with outbound freight after control over a product has transferred to a customer are accounted for as fulfillment costs and are included in the cost of product revenue. The associated amount of revenue recognized includes the consideration to which the Company expects to be entitled to receive in exchange for incurring these shipping and handling costs.

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***Disaggregation of Revenue***

In the following tables, revenue is disaggregated by primary geographical region and source of revenue:

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| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **U.S.** | **International** | **Total** |
|  | **(In thousands)** | **(In thousands)** | **(In thousands)** |
| Geographical region |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Asia | $— | $31129 | $31129 |
| &nbsp;&nbsp;&nbsp;&nbsp;Canada |  | 2466 | 2466 |
| &nbsp;&nbsp;&nbsp;&nbsp;Europe |  | 17870 | 17870 |
| &nbsp;&nbsp;&nbsp;&nbsp;Latin America |  | 47556 | 47556 |
| &nbsp;&nbsp;&nbsp;&nbsp;United States | 172082 |  | 172082 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $172082 | $99021 | $271103 |
| Source of revenue |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Energy industrial | $54637 | $47561 | $102198 |
| &nbsp;&nbsp;&nbsp;&nbsp;Thermal barrier | 117445 | 51460 | 168905 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $172082 | $99021 | $271103 |

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| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **U.S.** | **International** | **Total** |
|  | **(In thousands)** | **(In thousands)** | **(In thousands)** |
| Geographical region |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Asia | $— | $29321 | $29321 |
| &nbsp;&nbsp;&nbsp;&nbsp;Canada |  | 19265 | 19265 |
| &nbsp;&nbsp;&nbsp;&nbsp;Europe |  | 45027 | 45027 |
| &nbsp;&nbsp;&nbsp;&nbsp;Latin America |  | 100568 | 100568 |
| &nbsp;&nbsp;&nbsp;&nbsp;United States | 258518 |  | 258518 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $258518 | $194181 | $452699 |
| Source of revenue |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Energy industrial | $63761 | $82106 | $145867 |
| &nbsp;&nbsp;&nbsp;&nbsp;Thermal barrier | 194757 | 112075 | 306832 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $258518 | $194181 | $452699 |

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| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** |
|  | **U.S.** | **International** | **Total** |
|  | **(In thousands)** | **(In thousands)** | **(In thousands)** |
| Geographical region |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Asia | $— | $35698 | $35698 |
| &nbsp;&nbsp;&nbsp;&nbsp;Canada |  | 2033 | 2033 |
| &nbsp;&nbsp;&nbsp;&nbsp;Europe |  | 42731 | 42731 |
| &nbsp;&nbsp;&nbsp;&nbsp;Latin America |  | 7219 | 7219 |
| &nbsp;&nbsp;&nbsp;&nbsp;United States | 151037 |  | 151037 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $151037 | $87681 | $238718 |
| Source of revenue |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Energy industrial | $52838 | $75801 | $128639 |
| &nbsp;&nbsp;&nbsp;&nbsp;Thermal barrier | 98199 | 11880 | 110079 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $151037 | $87681 | $238718 |

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***Contract Balances***

The following table presents changes in the Company's contract liabilities during the year ended December 31, 2025:

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Balance at<br>December 31,<br>2024** | **Additions** | **Deductions** | **Balance at <br>December 31, <br>2025** |
|  | **(In thousands)** | **(In thousands)** | **(In thousands)** | **(In thousands)** |
| &nbsp;&nbsp;&nbsp;&nbsp;Contract liabilities |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred revenue |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Energy industrial | $2199 | $1942 | $(2882) | $1259 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total contract liabilities | $2199 | $1942 | $(2882) | $1259 |

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During the year ended December 31, 2025, the Company recognized $2.2 million of revenue that was included in deferred revenue at December 31, 2024.

A contract asset is recorded when the Company satisfies a performance obligation by transferring a promised good or service and has earned the right to consideration from its customer. When there is a conditional right to consideration, these items are included within other assets on the consolidated balance sheets. When there is an unconditional right to consideration, these items are included within accounts receivable on the consolidated balance sheets.

A contract liability is recorded when consideration is received, or such consideration is unconditionally due, from a customer prior to transferring goods or services under the terms of the contract. Contract liabilities are recognized as revenue after control of the products or services is transferred to the customer and all revenue recognition criteria have been met.

**(4) Inventories**

Inventories consist of the following:

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| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
|  | **(In thousands)** | **(In thousands)** |
| Raw material | $8179 | $13671 |
| Work in process | 5522 | 9664 |
| Finished goods | 24548 | 24216 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total | $38249 | $47551 |

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**(5) Property, Plant and Equipment, Net**

Property, plant and equipment consist of the following:

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| | | | |
|:---|:---|:---|:---|
|  | **December 31,** | **December 31,** |  |
|  | **2025** | **2024** | **Useful life** |
|  | **(In thousands)** | **(In thousands)** |  |
| Construction in progress | $9258 | $352567 |  |
| Buildings | 27045 | 27032 | 30 years |
| Machinery and equipment | 224619 | 201789 | 3 — 10 years |
| Computer equipment and software | 7760 | 9794 | 3 years |
| Leasehold improvements | 25561 | 24843 | Shorter of useful life or lease term |
| &nbsp;&nbsp;&nbsp;&nbsp;Total | 294243 | 616025 |  |
| Accumulated depreciation and amortization | (195843) | (156749) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Property, plant and equipment, net | $98400 | $459276 |  |

---

Depreciation expense was $45.2 million, $22.5 million and $15.3 million for the years ended December 31, 2025, 2024 and 2023, respectively.

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In February 2025, as part of a restructuring plan, the Company decided to cease construction at its previously planned Statesboro Plant and demobilize the site. In connection with the same, the Company adjusted the construction in progress balance to its fair value and recorded impairment charges of $286.6 million during the three months ended March 31, 2025. The Company plans to divest the assets of the Statesboro Plant through broker-assisted sales. At June 30, 2025, certain of the assets of the Statesboro Plant met the criteria to be classified as held for sale and are separately classified on the balance sheet. At December 31, 2025, the remaining assets of the Statesboro Plant met the criteria to be classified as held for sale. At December 31, 2025, the carrying value of assets classified as held for sale is $32.7 million and a loss of $18.2 million was recorded to reflect the remeasured fair value and cost to sell, which is included in loss on disposal of property, plant and equipment in the consolidated statement of operations. The construction in progress balance at December 31, 2025 and December 31, 2024 included $0.0 million and $323.6 million, respectively, for the Statesboro Plant.

During the second quarter of fiscal year 2025, the Company implemented additional actions under the restructuring plan, which included headcount reduction and rationalizing research and development programs. As a result of the restructuring plan, the Company recorded impairment charges of $1.0 million during the year ended December 31, 2025, which are included in impairment of property, plant and equipment in the consolidated statement of operations.

During the fourth quarter of fiscal year 2025, a large Thermal Barrier customer notified the Company of its lower forecasted long-term demand requirements and requested the Company submit a claim for certain losses incurred. Further, EV adoption rates are expected to be lower following the termination in the United States of certain consumer tax incentives for EV purchases. These developments have caused the Company to reassess its capacity requirements. In connection with the same, the Company revised the useful lives of certain assets to align utilization with the revised expected demand and recognized accelerated depreciation of $22.2 million. Additionally, the Company recognized $3.6 million of impairment related to construction in progress assets that are no longer needed due to the lower forecasted demand. The Company submitted the claim with the Thermal Barrier customer in November 2025. See Note (20) for further details.

The Company recorded impairment charges of approximately $7.6 million during the year ended December 31, 2024, for equipment that will no longer be needed in manufacturing following customer directed engineering changes to a part it manufactures and for other property, plant and equipment that have become obsolete following development of new and more efficient equipment. The impairment charges of $7.6 million during the year ended December 31, 2024 consist of $4.1 million impairment included in cost of revenue and $3.5 million included in impairment of equipment under development on the Company's consolidated statement of operations. The Company received reimbursement for the losses incurred in connection with the customer-directed engineering changes which was recorded as an offset to the impairment loss recognized in cost of revenue.

Fair value of long-lived assets is determined primarily using the anticipated cash flows discounted at a rate commensurate with the risk involved and a review of appraisals or other market indicators and management estimates. As such, the Company has determined that the fair value measurements of long-lived assets principally fall in Level 3 of the fair value hierarchy.

**(6) Accrued Expenses**

Accrued expenses consist of the following:

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| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
|  | **(In thousands)** | **(In thousands)** |
| Employee compensation | $2929 | $19371 |
| Other accrued expenses | 10023 | 17124 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total | $12952 | $36495 |

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**(7) Debt**

On August 19, 2024, the Borrowers entered into the Credit Agreement, by and among the Borrowers, the Agent, the Lenders and the other parties party thereto as additional guarantors and/or borrowers from time to time. Loans borrowed under the MidCap Loan Facility mature on August 19, 2029.

The MidCap Loan Facility is comprised of (i) the Term Loan Facility in an aggregate principal amount of $125 million and (ii)

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the Revolving Facility in an aggregate principal amount not to exceed the lesser of (A) $100 million and (B) the value of the Borrowing Base.

Loans borrowed under the Term Loan Facility bear interest rate equal to Term SOFR (as defined in the Credit Agreement) for a one-month interest period plus 4.50% per year, subject to a Term SOFR floor of 4.50% and a Term SOFR cap of 7.50%. The Term Loan Facility is subject to amortization of principal, payable quarterly on the last day of each quarter, commencing September 30, 2024, in an amount as set forth in the Credit Agreement with the remaining aggregate principal amount payable on the maturity date. The Borrowers are required to pay the Lenders an exit fee of $2.5 million on the maturity date. Additionally, the Borrowers are required to pay an origination fee of $1.3 million annually on the anniversary of the closing date.

Loans borrowed under the Revolving Facility bear an interest rate equal to Term SOFR plus 4.60% per year, subject to a Term SOFR floor of 2.50%. The Revolving Facility has a required minimum balance set at 30% of the average Borrowing Base during the immediate preceding month. The Borrowers are required to pay the Lenders under the Revolving Facility an unused line fee of 0.30% of the average unused availability under the Revolving Facility, subject to the aforementioned minimum balance.

The MidCap Loan Facility is guaranteed by Aspen Mexico and is secured by a lien on substantially all existing and after-acquired assets of the Loan Parties, including the equity interest in Aspen RI, Aspen Mexico and Aspen Georgia owned by the Company, in each case, subject to customary exceptions. At the entrance into the Credit Agreement in August 2024, Aspen Georgia was not a guarantor (and thus not a Loan Party) and its assets were excluded from the collateral under the MidCap Loan Facility. However, as further described below, on May 6, 2025, Aspen Georgia became a Loan Party under the MidCap Loan Facility.

The Credit Agreement includes representations and warranties, affirmative covenants (including reporting obligations), negative covenants and events of default that are usual and customary for facilities of this type, in each case, subject to certain permitted exceptions as set forth therein. The Credit Agreement includes financial covenants for the benefit of the Lenders, including (i) a covenant to maintain Liquidity (as defined therein) equal to or greater than $75.0 million at all times and (ii) a covenant to maintain EBITDA (as defined therein) equal to or greater than the specified applicable amount set forth in the Credit Agreement, tested quarterly with the first test set at $45.0 million commencing with the fiscal quarter ended September 30, 2024.

The Borrowers have the right to prepay the loans outstanding under the MidCap Loan Facility (or, with respect to the Revolving Facility, terminate the commitments thereunder), subject to a premium equal to 3.0% of the amount prepaid or terminated, as applicable, during the first year after the closing date, which premium will be decreased to 2.0% during the second year after the closing date and to 1.0% thereafter. The Borrowers are required to mandatorily prepay the loans outstanding under the Term Loan Facility with, among other things, certain casualty insurance proceeds or proceeds from non-ordinary course assets sales (which will also be subject to the aforementioned premium). The Borrowers are required to mandatorily prepay the balance outstanding under the Revolving Facility (i) if the outstandings exceed the Borrowing Base in an aggregate amount equal to that excess or (ii) upon a cash dominion event of all the funds deposited in the lockbox account during the cash dominion period. A cash dominion event is triggered (x) upon the occurrence of any Specified Event of Default (as defined in the Credit Agreement to include payment default, failure to deliver monthly or annual financials, financial covenant breach or bankruptcy) or any event of default arising from the failure to comply with the requirement to deliver a monthly Borrowing Base certificate, in each case, after any applicable grace period set forth in the Credit Agreement and/or cure rights applicable thereto or (y) if the Liquidity is less than $100 million.

***First Amendment to MidCap Loan Facility***

On May 6, 2025, the Company, Aspen RI, Aspen Mexico and Aspen Georgia entered into that certain Amendment No. 1 and Joinder to Credit, Security and Guaranty Agreement (Amendment No. 1), by and among the Company, Aspen RI, Aspen Mexico, Aspen Georgia, the Agent, the Term Loan Servicer, and the Lenders party thereto, amending the MidCap Loan Facility.

Under Amendment No. 1, Aspen Georgia became a borrower under the Amended MidCap Loan Facility and has (a) guaranteed the obligations of the Credit Parties (as defined in the Amended MidCap Loan Facility (defined below)) and (b) granted Agent for the benefits of the Lenders a lien on substantially all of its existing and after-acquired assets, in each case, subject to customary exceptions.

As a result of Amendment No. 1, the applicable margin under the MidCap Loan Facility was amended such that upon the effectiveness of Amendment No. 1, (a) (i) Loans borrowed under the Term Loan Facility will bear an interest rate equal to Term SOFR for one-month interest period plus 5.00% per year, subject to a Term SOFR floor of 4.50% and a Term SOFR cap of 7.50% and (ii) Loans borrowed under the Revolving Facility will bear an interest rate equal to Term SOFR for one-month interest period plus 5.10% per year, subject to a Term SOFR floor of 2.50%, in each case of (i) and (ii), until the first Pricing Date (as defined in the

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Amended MidCap Loan Facility as the date five business days after the delivery of a compliance certificate to the Agent for the most recently ended fiscal quarter) after December 31, 2025 and (b) on such first Pricing Date and as thereafter adjusted on each Pricing Date (i) Loans borrowed under the Term Loan Facility will bear interest equal to Term SOFR for one-month interest period plus a margin equal to (x) if the recently reported EBITDA (as defined in the Amended MidCap Loan Facility) is equal to or above $50 million, 4.50% or (y) if the recently reported EBITDA is below $50 million, 5.00%, in each case of (x) and (y), subject to a Term SOFR floor of 4.50% and a Term SOFR cap of 7.50%, and (ii) Loans borrowed under the Revolving Facility will bear an interest rate equal to Term SOFR for one-month interest period plus a margin equal to (x) if the recently reported EBITDA is equal to or above $50 million, 4.60% or (y) if the recently reported EBITDA is below $50 million, 5.10%, in each case of (x) and (y), subject to a Term SOFR floor of 2.50%. The schedule for amortization of principal of the Term Loan Facility (which remains payable on the last day of each fiscal quarter with remaining principal amount payable on the maturity date) was also updated with new amounts as set forth in the Amended MidCap Loan Facility.

Pursuant to Amendment No. 1, the financial covenants under the MidCap Loan Facility were amended such that (a) the minimum Liquidity which must be maintained at all times has changed from $75 million to an amount equal to the greater of (i) $50 million and (ii) 85% of the then aggregate outstanding principal amount of the Term Loan Facility and (b) the minimum EBITDA level to be tested quarterly was changed to reflect a new range from $15 million to $50 million, with the next test set at $15 million with respect to the fiscal quarter ended March 31, 2026 and a $50 million level applicable commencing with the fiscal quarter ended December 31, 2027 and thereafter. The Liquidity amount trigger of a cash dominion event was also reduced from $100 million to an amount equal to the greater of (i) $50 million and (ii) 85% of the then aggregate outstanding principal amount of the Term Loan Facility.

***Second Amendment to MidCap Loan Facility***

On December 16, 2025, the Company, Aspen RI, Aspen Mexico and Aspen Georgia (together with the Company, Aspen RI and Aspen Mexico, collectively, the Credit Parties) entered into that certain Amendment No. 2 to Credit, Security and Guaranty Agreement (Amendment No. 2), by and among the Credit Parties, the Agent, the Term Loan Servicer, and the Lenders party thereto, which amends the Credit Agreement and the facilities provided thereunder, (the MidCap Loan Facility, as amended by Amendment No. 1 and Amendment No. 2, the Amended MidCap Loan Facility), by and among the Credit Parties, the Agent, the Term Loan Servicer, the Lenders, and the other parties party thereto as additional guarantors and/or borrowers from time to time.

Pursuant to Amendment No. 2, the financial covenants under the MidCap Loan Facility have been amended such that (a) the applicable minimum liquidity threshold (both for (i) the minimum liquidity financial covenant, which must be maintained by the Company at all times and (ii) the "Cash Dominion Event" definition for purposes of triggering cash dominion) has changed from (i) an amount equal to the greater of (x) $50 million and (y) 85% of the then aggregate outstanding principal amount of the Term Loan (as defined in the Amended MidCap Loan Facility) to (ii) an amount equal to the greater of (x) $50 million and (y) 100% of the then aggregate outstanding principal amount of the Term Loan and (b) the minimum EBITDA (as defined in the Amended MidCap Loan Facility) financial maintenance covenant has been removed entirely.

In addition, the mandatory prepayment provisions were revised to make clear that any mandatory prepayment of the loans under the Amended MidCap Loan Facility made with proceeds of an asset sale will be used to reduce the Company's required amortization payments in direct order of maturity, and the basket for making permitted acquisitions under the Amended MidCap Loan Facility was reduced.

MidCap term loan consists of the following:

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| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
|  | **(In thousands)** | **(In thousands)** |
| Term loan | 92500 | 118500 |
| Exit fee | 1152 | 264 |
| Term loan issuance costs | (3082) | (4053) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total debt | 90570 | 114711 |
| Current portion | 25115 | 19750 |
| Long term portion | 65455 | 94961 |

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MidCap revolving line of credit consists of the following:

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| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
|  | **(In thousands)** | **(In thousands)** |
| Revolving line of credit | 15000 | 43000 |
| Exit fee | 45 | - |
| Revolving line of credit issuance costs | (699) | (869) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total debt | 14346 | 42131 |

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During the year ended December 31, 2025, the Company repaid $28.0 million of the revolving line of credit. The amount available to the Company at December 31, 2025 under the Revolving Facility was $9.5 million.

**(8) Convertible Note - Related Party**

***2022 Convertible Note***

On February 15, 2022, the Company entered into a note purchase agreement (the Note Purchase Agreement) with Wood River Capital LLC (Wood River), an entity affiliated with Koch Strategic Platforms, LLC (Koch), relating to the issuance and sale to Wood River of convertible note (the 2022 Convertible Note) in the aggregate principal amount of $100.0 million. The transactions contemplated by the Note Purchase Agreement closed on February 18, 2022. The maturity date of the 2022 Convertible Note was February 18, 2027, subject to earlier conversion, redemption, or repurchase.

The 2022 Convertible Note was a senior unsecured obligation of the Company and ranked equal in right of payment to all senior unsecured indebtedness of the Company and would rank senior in right of payment to any indebtedness that was contractually subordinated to the 2022 Convertible Note.

On August 19, 2024, the Company entered into a note purchase and sale agreement with Wood River (the Note Repurchase Agreement), pursuant to which the Company repurchased from Wood River $123.9 million in aggregate capitalized principal amount (inclusive of PIK interest paid through June 30, 2024) of the 2022 Convertible Note, such aggregate amount being the entire outstanding amount of the 2022 Convertible Note, for a total purchase price of $150.0 million in cash, which amount equals to the Redemption Price (as defined in the 2022 Convertible Note). Pursuant to the Note Repurchase Agreement, all rights and obligations, covenants and agreements under the 2022 Convertible Note and the Note Purchase Agreement were satisfied and discharged. The Redemption Price less capitalized principal amount and accrued interest to redemption date, of $24.6 million along with unamortized deferred issuance costs was classified in the income statement as Loss on Extinguishment of Debt.

**(9) Related Party Transactions**

***2022 Convertible Note***

During the year ended December 31, 2022, the Company issued the 2022 Convertible Note to Wood River, an entity affiliated with Koch. The Company repurchased the 2022 Convertible Note on August 19, 2024. See Note (8) for additional details. For the years ended December 31, 2024 and 2023 interest expense on the related party convertible note was $7.5 million and $5.3 million, respectively.

***Other***

The Company had $2.8 million in accounts payable as of December 31, 2023, due to Wood River for project management service. On March 27, 2024, the Company entered into a Settlement and Release Agreement with Wood River to settle the accounts payable for $1.2 million, which was paid during the three months ended June 30, 2024.

**(10) Other Income (Expense)**

***Interest income (expense), net***

For the years ended December 31, 2025, 2024, and 2023 interest income (expense), net, included interest income of $7.5 million, $5.7 million, and $8.7 million, respectively, primarily related to interest earned on unrestricted cash and cash equivalents.

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For the years ended December 31, 2025 and 2024, interest income (expense), net included interest expense related to the Amended MidCap Loan Facility of $15.9 million and $6.9 million, respectively.

***Employee Retention Credits***

In March 2020, the Coronavirus Aid, Relief, and Economic Security Act (the CARES Act) was signed into law, providing numerous tax provisions and other stimulus measures, including the Employee Retention Credit: a refundable tax credit against certain employment taxes. The Taxpayer Certainty and Disaster Tax Relief Act of 2020 and the American Rescue Plan Act of 2021 extended and expanded the availability of the Employee Retention Credits. The CARES Act provides an employee retention credit (CARES Employee Retention Credit), which is a refundable tax credit against certain employment taxes of up to $5,000 per employee for eligible employers. The tax credit is equal to 50% of qualified wages paid to employees during a quarter, capped at $10,000 of qualified wages per employee through December 31, 2020. Additional relief provisions were passed by the United States government, which extend and slightly expand the qualified wage caps on these credits through December 31, 2021. Based on these additional provisions, the tax credit is now equal to 70% of qualified wages paid to employees during a quarter, and the limit on qualified wages per employee has been increased to $10,000 of qualified wages per quarter. The Company qualified for the tax credit under the CARES Act for qualified wages for the years ended December 31, 2020 and 2021. In September 2023, the Company submitted filings for CARES Employee Retention Credits totaling $2.2 million that are reported in the accompanying condensed consolidated balance sheet within prepaid expenses and other current assets as of December 31, 2023 and 2024, and in the accompanying statement of operations for the year ended December 31, 2023, which amounts were collected during the year ended December 31, 2025.

**(11) Leases & Sale and Leaseback**

The Company leases office, laboratory, warehouse and fabrication space in Massachusetts, Rhode Island and Monterrey, Mexico under operating leases. Under these agreements, the Company is obligated to pay annual rent, real estate taxes, and certain other operating expenses. The Company also leases equipment under operating and finance leases. The Company's leases expire at various dates through 2034.

Maturities of operating lease liabilities at December 31, 2025 are as follows:

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| | | |
|:---|:---|:---|
| **Year** | **Operating Leases** | **Finance Leases** |
|  | **(In thousands)** | **(In thousands)** |
| 2026 | 5912 | 2177 |
| 2027 | 5071 | 2881 |
| 2028 | 4984 | 370 |
| 2029 | 4540 | 152 |
| 2030 | 4486 | 105 |
| Thereafter | 11108 | - |
| &nbsp;&nbsp;&nbsp;&nbsp;Total lease payments | 36101 | 5685 |
| Less imputed interest | (11718) | (673) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total lease liabilities | $24383 | $5012 |

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The Company incurred operating lease costs of $6.4 million and $5.9 million during the years ended December 31, 2025 and 2024, respectively. Cash payments related to operating lease liabilities were $6.2 million and $5.6 million during the years ended December 31, 2025 and 2024, respectively. At December 31, 2025, the weighted average remaining lease term for operating leases was 6.9 years. At December 31, 2025, the weighted average discount rate for operating leases was 12.1%.

The Company incurred finance lease costs of $1.1 million during the year ended December 31, 2025. Cash payments related to finance lease liabilities were $2.0 million during the year ended December 31, 2025. The Company did not incur any finance lease costs or make any cash payments during the comparable 2024 period. As of December 31, 2025, the weighted average remaining lease term for finance leases was 2.5 years and the weighted average discount rate for finance leases was 10.1%.

***Sale and leaseback transaction***

In January and September 2024, the Company entered into sale and leaseback arrangements, pursuant to which the Company sold certain equipment to an equipment leasing company for one-time cash payments of $5.0 million and $10.0 million, respectively, leased back such equipment from the leasing company. The transactions were considered as failed sale and leaseback transactions and

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accordingly, were accounted as financing transactions. The sale proceeds received were accounted for as finance obligations. The monthly lease rents will be paid over the term of three years and will be allocated between interest expense and principal repayment of the financial liability.

The outstanding finance obligation balance as of December 31, 2025 was $9.4 million. Maturities of finance obligations for sale and leaseback at December 31, 2025 are as follows:

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| | |
|:---|:---|
| **Year** | **Finance Obligation** |
|  | **(In thousands)** |
| 2026 | 5601 |
| 2027 | 5279 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total lease payments | 10880 |
| Less imputed interest | (1484) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total lease liabilities | $9396 |

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**(12) Commitments and Contingencies**

***Cloud Computing Agreement***

The Company is party to multiple cloud computing agreements that are service contracts for enterprise resource planning (ERP) software programs and payroll services. The amortization period of the cloud computing agreement for the existing ERP software program was adjusted during the year ended December 31, 2024, to align with implementation of a new ERP software and is now fully amortized. During the year ended December 31, 2025, the Company updated the implementation date of the new ERP software to January 2026, which will begin to amortize thereafter.

The amortization associated with the payroll services agreement began during the year ended December 31, 2024 and is being amortized over a period of five years.

The capitalized implementation costs are classified on the consolidated balance sheets as follows:

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| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
|  | **(In thousands)** | **(In thousands)** |
| Cloud computing costs included in other current assets | $37 | $637 |
| Cloud computing costs included in other assets | 8709 | 4299 |
| Amortization of cloud computing costs | (1621) | (1053) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total capitalized cloud computing costs | $7125 | $3883 |

---

***Thermal Barrier Contract***

The Company is party to production contracts with GM to supply fabricated, multi-part thermal barriers (Barriers) for use in the battery system of its current and next-generation EVs (Contracts). Pursuant to the Contracts, the Company is obligated to supply Barriers at fixed periodic prices and at volumes to be specified by the OEM up to a daily maximum quantity through the respective terms of the agreements, which expire at various times from 2030 through 2034 and, in certain cases, may be extended by GM. While the OEM has agreed to purchase its requirement for Barriers from the Company for locations to be designated from time to time by the OEM, it has no obligation to purchase any minimum quantity of Barriers under the Contracts. In addition, the OEM may terminate the Contracts any time and for any or no reason. All other terms of the Contracts are generally consistent with the OEM's standard purchase terms, including quality and warranty provisions that are customary in the automotive industry.

***Charges for Engineering Change***

In January 2024, the Company was notified by a customer of an engineering change to one of the parts the Company manufactures for that customer to enable incremental productivity and support a set of broader system level changes that could drive higher demand for its parts. The Company submitted claims to the customer for reimbursement for estimated inventory and equipment losses incurred by the Company and its vendors due to potential obsolescence. In connection with the same, during the three months

------

ended March 31, 2024, the Company recognized a charge of $6.8 million, net of contractual recoverable of $1.9 million, in cost of revenues for inventory obsolescence and impairment of equipment. The claims were fully approved and recovered by December 31, 2024, and the reimbursements were recognized as an offset to the charge the Company recognized in cost of revenues.

***Letters of Credit***

The Company has provided certain customers with letters of credit securing obligations under commercial contracts. As of December 31, 2025, the Company had $1.7 million of restricted cash to support our outstanding letters of credit. The Company had letters of credit outstanding of $0.4 million at December 31, 2024 and these letters of credit were secured by the Company's restricted cash.

***Federal, State and Local Environmental Regulations***

The Company is subject to federal, state and local environmental laws and regulations. These laws generally provide for control of pollutants released into the environment and require responsible parties to undertake remediation. Penalties may be imposed for noncompliance.

***Litigation*** 

The Company is, from time to time, a party to litigation that arises in the normal course of its business operations. See Part I, Item 3 ("Legal Proceedings") of this Annual Report on Form 10-K for a description of certain of the Company's current legal proceedings. The Company is not presently a party to any litigation for which it believes a loss is probable requiring an amount to be accrued or a possible loss contingency requiring disclosure.

***Purchase Commitments***

As of December 31, 2025, the Company had purchase commitments of approximately $36.2 million, which included capital commitments of $12.3 million. Purchase commitments related to capital expenditures are anticipated to be spent over the next three years, while the Company's remaining purchase commitments are anticipated to be spent throughout 2026.

Purchase obligations relate primarily to open purchase orders for capital expenditures, inventories, and goods and services. Purchase obligations are entered into with various vendors in the normal course of business and are consistent with the Company's expected requirements.

***Warranty***

The Company offers warranties to its customers depending upon the specific product.

The Company's standard warranty period for energy industrial products extends to one year from the date of shipment. This standard warranty provides that the Company's products will be free from defects in material and workmanship, and will, under normal use, conform to the specifications for the product.

The Company's thermal barrier products provide quality and warranty provisions customary in the automotive industry.

The Company recorded warranty expense of $0.8 million, $1.4 million, and $0.5 million during the years ended December 31, 2025, 2024, and 2023, respectively.

**(13) Stockholders' Equity**

At December 31, 2025 and 2024, the Company was authorized to issue 255,000,000 shares of stock, of which 250,000,000 shares were designated as common stock and 5,000,000 shares were designated as preferred stock.

**(14) Employee Benefit Plan**

The Company sponsors the Aspen Aerogels, Inc. 401(k) Plan. Under the terms of the plan, the Company's employees may contribute a percentage of their pretax earnings. During the years ended December 31, 2025, 2024, and 2023, the Company provided matching contributions of $1.4 million, $1.6 million, and $1.5 million, respectively.

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**(15) Stock Based Compensation**

Effective June 12, 2014, the Company adopted the 2014 Employee, Director and Consultant Equity Incentive Plan (the 2014 Equity Plan). Under the 2014 Equity Plan, the Company was authorized to grant incentive stock options (ISOs), non-qualified stock options (NSOs), restricted stock, RSUs and other stock-based awards. Stock options under the 2014 Equity Plan were granted with an exercise price not less than the fair market value of the Company's common stock at the date of grant.

The Aspen Aerogels 2023 Equity Incentive Plan (the 2023 Equity Plan) was approved by stockholders at the Company's annual meeting of stockholders held on June 1, 2023 as the successor to the 2014 Equity Plan, and no further awards may be made under the 2014 Equity Plan after that date. Under the 2023 Equity Plan, the Company may grant ISOs, NSOs, restricted stock, RSUs and other stock-based awards. Stock options under the 2023 Equity Plan are to be granted with an exercise price not less than the fair market value of the Company's common stock at the date of grant. Equity awards granted to employees generally vest over a service period of three to four years. Restricted stock, RSUs and stock options granted to nonemployee directors generally vest over a one-year service period.

The Company's stockholders approved the Aspen Aerogels Amended and Restated 2023 Equity Incentive Plan (the Restated 2023 Equity Plan) at the Company's annual meeting of stockholders held on April 30, 2025 (the 2025 Annual Meeting). The Restated 2023 Equity Plan was previously approved by the Company's Board of Directors (the Board). As amended and restated, the number of shares of the Company's common stock reserved for issuance under the Restated 2023 Equity Plan has been increased by 3,850,000 shares to 16,971,994 shares and the term of the 2023 Restated Equity Plan has been extended until April 29, 2035. As of December 31, 2025, 4,356,250 shares of common stock were reserved for issuance upon the exercise or vesting of outstanding stock-based awards granted under the Company's equity incentive plans. Any cancellations or forfeitures of awards outstanding under the Restated 2023 Equity Plan, the 2014 Equity Plan or the 2001 Equity Incentive Plan, as amended, will result in the shares reserved for issuance pursuant to such awards becoming available for grant under the Restated 2023 Equity Plan. As of December 31, 2025, the Company has either reserved in connection with statutory tax withholdings or issued a total of 6,689,149 shares under the Company's equity incentive plans. As of December 31, 2025, there were 5,926,595 shares of common stock available for future grant under the Restated 2023 Equity Plan.

At the 2025 Annual Meeting, the Company's stockholders also approved the Aspen Aerogels Employee Stock Purchase Plan (the ESPP). The ESPP was previously approved by the Board. The objective of the ESPP is to offer eligible employees of the Company and its designated subsidiaries the ability to purchase shares of the Company's common stock at a 15% discount from the fair market value of the stock as determined on specific dates at six-month intervals, subject to various limitations under the ESPP. 4,000,000 shares of the Company's common stock are authorized for issuance under the ESPP. The offering periods for the ESPP generally start on the first trading day on or after June 1st and December 1st of each year. The first offering period for the ESPP commenced on the first trading day after June 1, 2025 and ended on November 30, 2025, with the second offering period commencing on the first trading day after December 1, 2025 and ending on May 31, 2026. During the year ended December 31, 2025, $0.1 million of stock-based compensation was recognized for the ESPP.

Stock-based compensation is included in cost of sales or operating expenses, as applicable, and consists of the following:

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| | | | |
|:---|:---|:---|:---|
|  | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
|  | **2025** | **2024** | **2023** |
|  | **(In thousands)** | **(In thousands)** | **(In thousands)** |
| Cost of product revenue | $451 | $773 | $583 |
| Research and development expenses | 269 | 1140 | 799 |
| Sales and marketing expenses | 1545 | 1692 | 1484 |
| General and administrative expenses | 6908 | 9250 | 8088 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total stock-based compensation | $9173 | $12855 | $10954 |

---

The Company recognizes forfeitures on stock-based payments as they occur. During the years ended December 31, 2025, 2024 and 2023, stock-based compensation includes $(3.8) million, $(0.1) million and $(0.2) million, respectively, for forfeitures recorded during the period.

***Stock Options Valuation and Amortization Method***

During the year ended December 31, 2025, the Company granted NSOs to purchase 461,154 shares of common stock with a grant date fair value of $2.5 million to its employees and granted NSOs to purchase 45,525 shares of common stock with a grant date

------

fair value of $0.2 million to its non-employee directors under the Restated 2023 Equity Plan. The NSOs granted to employees will vest over a three-year period from the applicable vesting commencement date and is amortized on a straight-line basis over the requisite service period of the options. The NSOs granted to non-employee directors vest upon the earlier of the date that is the one-year anniversary of the grant date or the day prior to the Company's annual meeting of stockholders to be held in 2026.

The fair value of each stock option is estimated as of the date of grant using the Black-Scholes option-pricing model. Key inputs into this formula included expected term, expected volatility, expected dividend yield and the risk-free rate. Each assumption is set forth and discussed below.

***Expected Term***

The expected term represents the period that the Company's stock-based awards are expected to be outstanding. The Company does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term. Accordingly, the Company uses the simplified method to calculate the expected term for options granted.

***Expected Volatility***

In 2025, 2024 and 2023, the Company used its historical volatility as a basis to estimate expected volatility in the valuation of stock options.

***Expected Dividend***

The Company uses an expected dividend yield of zero. The Company does not intend to pay cash dividends on its common stock in the foreseeable future, nor has it paid dividends on its common stock in the past.

***Risk-free Interest Rate***

The Company uses a risk-free interest rate based on U.S. Treasury zero-coupon issues with a remaining term equal to the expected life assumed at the date of grant.

***Estimated Forfeitures***

Estimated forfeitures are excluded from the calculation of fair value of stock options as the Company records the impact of forfeitures of service-based awards under the provisions of ASU 2016-09 at the time an award is forfeited.

***Assumptions Utilized***

The following information relates to the fair value of the option awards estimated by use of the Black-Scholes option-pricing model:

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| | | | |
|:---|:---|:---|:---|
|  | **Year Ended December 31,** | **Year Ended December 31,** | **Year Ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Weighted average assumptions: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Expected term (in years) | 5.95 | 5.99 | 6.12 |
| &nbsp;&nbsp;&nbsp;&nbsp;Expected volatility | 79.77% | 75.04% | 70.04% |
| &nbsp;&nbsp;&nbsp;&nbsp;Risk free interest rate | 4.03% | 4.11% | 4.08% |
| &nbsp;&nbsp;&nbsp;&nbsp;Expected dividend yield | 0.00% | 0.00% | 0.00% |
| Weighted average fair value: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Grant-date fair value of options granted | $5.36 | $11.36 | $4.91 |
| &nbsp;&nbsp;&nbsp;&nbsp;Grant-date fair value of options vested | $7.75 | $7.59 | $9.63 |
| &nbsp;&nbsp;&nbsp;&nbsp;Aggregate intrinsic value of options exercised | $1270187 | $22805464 | $1652567 |

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***Outstanding Options***

The following table summarizes information about stock options outstanding:

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Number of<br>Shares** | **Weighted<br>Average<br>Grant Date<br>Fair Value<br>Per Share** | **Weighted<br>Average<br>Exercise<br>Price<br>Per Share** | **Weighted<br>Average<br>Remaining<br>Contractual<br>Term<br>(Years)** | **Aggregate<br>Intrinsic<br>Value** |
|  | **($ in thousands, except share and per share data)** | **($ in thousands, except share and per share data)** | **($ in thousands, except share and per share data)** | **($ in thousands, except share and per share data)** | **($ in thousands, except share and per share data)** |
| Options outstanding at December 31, 2024 | 4394619 | $6.00 | $9.88 | 6.56 | $18259582 |
| &nbsp;&nbsp;&nbsp;&nbsp;Granted | 506679 | $5.36 | $7.58 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Forfeited | (672414) | $6.28 | $9.23 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Expired | (228202) | $6.92 | $11.94 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Exercised | (407316) | $2.15 | $4.22 |  | $1270187 |
| Options outstanding at December 31, 2025 | 3593366 | $6.22 | $10.17 | 4.96 | $— |
| Exercisable at December 31, 2025 | 2543973 | $6.24 | $10.63 | 3.62 | $— |
| Expected to vest after December 31, 2025 | 1049393 | $6.17 | $9.06 | 8.17 | $— |

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As of December 31, 2025, total unrecognized compensation cost related to non-vested service-based options granted under the Company's equity incentive plans was $3.2 million. The unrecognized compensation cost for the service-based options is expected to be recognized over a weighted average period of 1.07 years.

***Restricted Stock Awards and Restricted Stock Units***

During the year ended December 31, 2025, the Company granted 327,104 RSUs with a grant date fair value of $2.5 million to its employees and granted 51,850 shares of restricted common stock with a grant date fair value of $0.3 million to its non-employee directors under the Restated 2023 Equity Plan. The RSUs granted to employees will vest over a three-year period from the applicable vesting commencement date. The restricted common stock granted to non-employee directors vest upon the earlier of the date that is the one-year anniversary of the grant date or the day prior to the Company's annual meeting of stockholders to be held in 2026.

The Company values restricted stock awards and RSUs based on the closing price of its common stock on the date of grant.

The following table provides detail of grants, vesting, and forfeitures of RSUs during 2025:

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| | | |
|:---|:---|:---|
|  | **Restricted<br>Stock<br>Units** | **Weighted<br>Average<br>Grant Date<br>Fair Value** |
| Balance at December 31, 2024 | 560630 | $12.95 |
| &nbsp;&nbsp;&nbsp;&nbsp;Granted | 378954 | 7.46 |
| &nbsp;&nbsp;&nbsp;&nbsp;Vested | (299918) | 12.23 |
| &nbsp;&nbsp;&nbsp;&nbsp;Forfeited | (228070) | 10.62 |
| Balance at December 31, 2025 | 411596 | $9.72 |

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Restricted stock awards granted during 2025 are considered issued and outstanding common stock and are excluded from the table above.

The total intrinsic value of restricted stock and RSUs that vested in 2025 and 2024 was $2.3 million and $3.7 million, respectively. As of December 31, 2025, 411,596 of the total shares of RSUs outstanding will vest upon the fulfillment of service conditions.

As of December 31, 2025, total unrecognized compensation cost related to RSUs of $2.3 million is expected to be recognized over a weighted average period of 1.72 years.

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***Performance Stock Units***

During the year ended December 31, 2025, the Company issued an aggregate of 654,217 performance share units (the PSU Awards) to certain employees. Each PSU Award provides the grantee with the opportunity to earn between 0% and 200% of the target number of performance share units, based on the Company's total stockholder return for a three-year performance period (January 1, 2025 through December 31, 2027) relative to the total stockholder return of the components of the Russell 2000 Index. Vesting of any performance share units so earned generally is also contingent upon the grantee's continued employment (or other service) with the Company through the third anniversary of the date of grant, and any vested performance share units will be settled in shares of the Company's common stock at (or shortly after) vesting. The PSU Awards had a total aggregate fair value of $7.4 million at the time of grant.

The Company uses the Monte-Carlo simulation model to determine the grant date fair value of the PSU Awards. In addition to the input assumptions used in the Black-Scholes model, the Monte-Carlo simulation model factors into the valuation the probability that the specific market condition may or may not be satisfied. Stock-based compensation expense for awards with a market condition is recognized on a straight-line basis over the requisite service period for each such award.

The following table provides detail of grants, vesting, and forfeitures of PSUs during 2025:

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| | | |
|:---|:---|:---|
|  | **Performance<br>Stock<br>Units** | **Weighted<br>Average<br>Grant Date<br>Fair Value** |
| Balance at December 31, 2024 |  | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;Granted | 654217 | 11.31 |
| &nbsp;&nbsp;&nbsp;&nbsp;Vested |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Forfeited | (302929) | 11.49 |
| Balance at December 31, 2025 | 351288 | $11.15 |

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As of December 31, 2025, total unrecognized compensation cost related to PSUs of $2.9 million is expected to be recognized over a weighted average period of 2.18 years.

On March 5, 2024, the Compensation and Leadership Development Committee of the Board (the Committee) approved the cancellation of the outstanding, unearned portion of the performance-based restricted shares granted to certain employees pursuant to the 2014 Equity Plan on June 29, 2021 (to Chief Executive Officer) and June 2, 2022 (to certain other employees). The Committee determined that based on current market conditions, the likelihood of achievement of any of the remaining performance hurdles applicable to the unearned restricted shares is remote, and that the unearned restricted shares therefore had ceased to have incentive value for the grantees. On March 6, 2024, the Company entered into cancellation agreements, pursuant to which the applicable employees agreed to such cancellation.

The cancelled unearned restricted shares were added to the number of shares available for awards under the Restated 2023 Equity Plan. For financial accounting purposes, the cancellation of the unearned restricted shares resulted in the immediate charge of approximately $2.2 million of unamortized stock compensation costs of which $2.0 million is included in the general and administrative expenses and $0.2 million is included in research and development expenses in the accompanying consolidated statement of operations.

***Cash-settled Awards***

During the year ended December 31, 2025, the Company granted RSUs that vest over a period of three years which are settled in cash. The Company has accounted for these as liability-classified awards and accordingly changes in the market value of the instruments will be recorded to costs of revenue or operating expense, as applicable, over the vesting period of the award. The fair value of a liability-classified award is determined on a quarterly basis beginning at the grant date until final vesting. These awards will be settled on the vesting dates and the maximum liability is capped at 200% of the fair value of the award at the grant date. At December 31, 2025, the fair value of these awards were $0.5 million.

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**(16) Net Income (Loss) Per Share**

The computation of basic and diluted net income (loss) per share consists of the following:

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| | | | |
|:---|:---|:---|:---|
|  | **Year ended December 31,** | **Year ended December 31,** | **Year ended December 31,** |
|  | **2025** | **2024** | **2023** |
|  | **(In thousands, except share and per share data)** | **(In thousands, except share and per share data)** | **(In thousands, except share and per share data)** |
| Numerator: |  |  |  |
| Net income (loss) | $(389552) | $13375 | $(45811) |
| Denominator: |  |  |  |
| Weighted average shares outstanding, basic | 82328484 | 77535121 | 69439034 |
| Weighted average shares outstanding, diluted | 82328484 | 80306690 | 69439034 |
| Net income (loss) per share, basic | $(4.73) | $0.17 | $(0.66) |
| Net income (loss) per share, diluted | $(4.73) | $0.17 | $(0.66) |

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Potentially dilutive common shares that were excluded from the computation of diluted net income (loss) per share because they were anti-dilutive consist of the following:

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| | | | |
|:---|:---|:---|:---|
|  | **Year ended December 31,** | **Year ended December 31,** | **Year ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Common stock options | 3593366 | 141134 | 5234194 |
| Restricted common stock units | 411596 | 2979 | 574247 |
| Restricted common stock awards |  | 218 | 881674 |
| Convertible note, if converted |  |  | 3951833 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total | 4004962 | 144331 | 10641948 |

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The potential dilutive shares from common stock options, restricted common stock units, restricted common stock awards, and the 2022 Convertible Note were excluded from the calculation of diluted net income (loss) per share because their effect would have been anti-dilutive for the periods presented. The Company excludes the shares issued in connection with restricted stock awards from the calculation of basic weighted average common shares outstanding until the restrictions lapse.

For each of the years ended December 31, 2025 and 2023, there was no dilutive impact of the common stock options, RSUs, or restricted stock awards.

**(17) Income Taxes**

The Company incurred net operating losses for the years ended December 31, 2025 and 2023, and net operating income for the year ended December 31, 2024. The Company incurred net operating losses and recorded a full valuation allowance against net deferred tax assets for all prior periods. Accordingly, the Company has not recorded a provision for federal income taxes for the years ended December 31, 2025 or 2024.

The following table summarizes the (loss) income before the (benefit) provision:

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| | |
|:---|:---|
|  | **Year Ended December 31,** |
|  | **2025** |
| U.S. | $(389309) |
| Foreign | 2151 |
| Loss before income tax expense | $(387158) |

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The Company has recorded a provision for state income taxes of $0.3 million during the year ended December 31, 2025. The Company has incurred $2.1 million and $1.7 million of income tax expense related to its foreign operations, primarily its Mexican maquiladora operations for the years ended December 31, 2025 and 2024, respectively. There was no respective income tax for the year ended December 31, 2023.

Income taxes included in the Consolidated Statement of Operations are as follows:

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| | |
|:---|:---|
|  | **Year ended December 31,** |
|  | **2025** |
|  | **(In thousands)** |
| Current income tax expense |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Federal | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;State | 323 |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign | 2487 |
| Deferred income tax (benefit) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Federal |  |
| &nbsp;&nbsp;&nbsp;&nbsp;State |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign | (416) |
| Total income tax (benefit) | $2394 |

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The table below represents cash paid (refunds received) for income taxes.

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| | |
|:---|:---|
|  | **For the Year Ended December 31,** |
|  | **2025** |
|  | **(In thousands)** |
| Federal | $— |
| Aggregated state and local jurisdictions | 391 |
| Foreign |  |
| &nbsp;&nbsp;Other | 139 |
| &nbsp;&nbsp;Mexico | 3604 |
| Net cash paid (refunds received) for income taxes | $4134 |

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The tables below represent a reconciliation of the U.S. federal statutory income tax rate to effective tax rate. The Company has adopted the guidance in ASU 2023-09 on a prospective basis. The following table reflects the reconciliation rate for 2025 under the new guidance.

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| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2025** |
|  | **Tax Expense** | **Effective Rate** |
|  | **(In thousands)** |  |
| U.S. federal income tax at statutory rate | $(81303) | 21.00% |
| State and local income taxes, net of federal income tax effect | 251 | (0.06)% |
| Foreign tax effects |  |  |
| &nbsp;&nbsp;Other | 58 | (0.01)% |
| &nbsp;&nbsp;Mexico |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | (31) | 0.01% |
| &nbsp;&nbsp;&nbsp;&nbsp;Safe Harbor | 1874 | (0.48)% |
| Tax credits | 935 | (0.24)% |
| Changes in valuation allowances | 78726 | (20.33)% |
| Nontaxable or nondeductible items |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | 73 | (0.02)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 2672 | (0.69)% |
| Other reconciling items | (861) | 0.22% |
| Effective income tax rate | $2394 | (0.62)% |

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The table below represents a reconciliation of the U.S. federal statutory tax rate to effective tax rate for the years ended December 31, 2024 and 2023 under the disclosure requirements prior to the adoption of ASU 2023-09.

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| | | |
|:---|:---|:---|
|  | **Year Ended December 31,** | **Year Ended December 31,** |
|  | **2024** | **2023** |
| U.S. federal income tax statutory rate | 21% | 21% |
| Permanent differences | 12% |  |
| State tax, net of federal benefit | 3% | 7% |
| Changes in valuation allowance for deferred tax assets | 9% | (17)% |
| Stock-based compensation | (29)% | (7)% |
| Research credits | (8)% | —% |
| Other | (5)% | 2% |
| State rate change | (3)% | (6)% |
| Foreign | 11% | —% |
| Effective tax rate | 11% |  |

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The tax effects of temporary differences between financial statement and tax accounting that gave rise to significant portions of the Company's deferred tax assets and deferred tax liabilities at December 31, 2025 and 2024 are presented below:

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| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
|  | **(In thousands)** | **(In thousands)** |
| Deferred tax assets: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net operating loss carryforwards | $81875 | $71026 |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 3072 | 4197 |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating lease liabilities | 5696 | 6732 |
| &nbsp;&nbsp;&nbsp;&nbsp;Capitalized research and development | 9152 | 12250 |
| &nbsp;&nbsp;&nbsp;&nbsp;Tax credit carryforwards | 4717 | 6358 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation | 76569 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Reserves and accruals | 4273 | 7491 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest expense limitation | 8311 | 6354 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total gross deferred tax assets | 193665 | 114408 |
| Deferred tax liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation |  | (2715) |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating lease right-of-use assets | (4209) | (5061) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total deferred tax liabilities | (4209) | (7776) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total deferred tax assets and liabilities | 189456 | 106632 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Valuation allowance | (188637) | (106632) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net deferred tax asset | $819 | $— |

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The net change in the valuation allowance for the year ended December 31, 2025, was an increase of $82.0 million. The Company has recorded a full valuation allowance against its federal and state net deferred tax assets due to the uncertainty associated with the utilization of the net operating loss carryforwards and other future deductible items. In assessing the realizability of deferred tax assets, the Company considers all available evidence, historical and prospective, with greater weight given to historical evidence, in determining whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of the Company's deferred tax assets generally is dependent upon generation of future taxable income.

At December 31, 2025, the Company had $372.3 million of net operating losses available to offset future federal income, if any, of which $145.0 million expire on various dates through December 31, 2037. Net operating losses of $227.3 million generated from 2018 through 2025 have an unlimited carryforward.

At December 31, 2025, the Company had $258.0 million of apportioned net operating losses available to offset future state taxable income, if any, and which begin to expire at various dates between 2026 and 2044.

For each of the years ended December 31, 2025, 2024 and 2023, the Company did not have any material unrecognized tax benefits and thus no interest and penalties related to unrecognized tax benefits were recorded.

------

The Company files a federal income tax return in the United States and income tax returns in various state and foreign jurisdictions. All tax years are open for examination by the taxing authorities for both federal and state purposes.

The Tax Cuts and Jobs Act requires taxpayers to capitalize and amortize research and development (R&D) expenditures under Section 174 of the Internal Revenue Code for tax years beginning after December 31, 2021. R&D costs performed in the United States are amortized over 5 years and over 15 years for R&D performed outside the United States. This rule became effective for the Company during 2022 and resulted in the net capitalization of R&D expenses of $51.4 million as of December 31, 2024. All costs were incurred in the United States.

On July 4, 2025, the One Big Beautiful Bill Act ("OBBBA") was enacted, which allows for immediate deduction of R&D costs performed in the United States. Expenses related to R&D performed outside the United States will continue to be capitalized and amortized over 15 years. This is applicable for tax years beginning after December 31, 2024. OBBBA also provides certain eligible taxpayers with the option to accelerate the deduction of the remaining unamortized domestic R&D costs incurred during taxable years ending after December 31, 2021 and before January 1, 2025 over one or two years or continue to amortize the remaining unamortized cost over the remaining 5 year lives. The Company intends to continue amortizing the domestic R&D costs over the remaining 5 year lives. Previously unamortized Capitalized R&D costs is $37.4 million as of December 31, 2025.

**(18) Segment Information**

Operating segments are identified as components of an enterprise about which separate, discrete financial information is available for evaluation by the chief operating decision maker in making decisions on how to allocate resources and assess performance. The Company's chief operating decision maker is the Chief Executive Officer. The Company's chief operating decision maker reviews consolidated operating results to make decisions about allocating resources and assessing performance for the entire Company. The Company reports two segments: Thermal Barrier and Energy Industrial. The Company evaluates segment performance based on the segment profit (loss) before corporate expenses.

Summarized below are the Revenue, Cost of Goods Sold, and Segment Operating Profit for each reporting segment:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Year Ended** | **Year Ended** | **Year Ended** | **Year Ended** | **Year Ended** | **Year Ended** |
|  | **Revenue** | **Revenue** | **Revenue** | **Cost of Goods Sold** | **Cost of Goods Sold** | **Cost of Goods Sold** |
|  | **December 31** | **December 31** | **December 31** | **December 31** | **December 31** | **December 31** |
|  | **2025** | **2024** | **2023** | **2025** | **2024** | **2023** |
|  | **(In thousands)** | **(In thousands)** | **(In thousands)** | **(In thousands)** | **(In thousands)** | **(In thousands)** |
| Energy industrial | $102198 | $145867 | $128639 | $64992 | $87425 | $94477 |
| Thermal barrier | 168905 | 306832 | 110079 | 160113 | 182377 | 87320 |
| Total | $271103 | $452699 | $238718 | $225105 | $269802 | $181797 |

---

------

---

| | | | |
|:---|:---|:---|:---|
|  | **Year Ended** | **Year Ended** | **Year Ended** |
|  | **Segment Operating Profit (Loss)** | **Segment Operating Profit (Loss)** | **Segment Operating Profit (Loss)** |
|  | **December 31** | **December 31** | **December 31** |
|  | **2025** | **2024** | **2023** |
|  | **(In thousands)** | **(In thousands)** | **(In thousands)** |
| Energy industrial | $37206 | $58442 | $34162 |
| Thermal barrier | 8792 | 124455 | 22759 |
| Total gross profit | $45998 | $182897 | $56921 |
| Corporate expenses | 97390 | 128362 | 106124 |
| Restructuring and demobilization costs | 17510 |  |  |
| Loss on disposal of property, plant and equipment | 18162 |  |  |
| Impairment of property, plant and equipment | 291164 |  |  |
| Operating profit (loss) | (378228) | 54535 | (49203) |
| Other (expense) income, net | (8930) | (39446) | 3392 |
| Income tax expense | (2394) | (1714) |  |
| Net income (loss) | $(389552) | $13375 | $(45811) |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **Year Ended** | **Year Ended** | **Year Ended** |
|  | **Depreciation Expense** | **Depreciation Expense** | **Depreciation Expense** |
|  | **December 31,** | **December 31,** | **December 31,** |
|  | **2025** | **2024** | **2023** |
|  | **(In thousands)** | **(In thousands)** | **(In thousands)** |
| Energy industrial | $10633 | $11685 | $10720 |
| Thermal barrier | 34524 | 10841 | 4598 |
| Consolidated depreciation expense | $45157 | $22526 | $15318 |

---

---

| | | |
|:---|:---|:---|
|  | **Total Assets** | **Total Assets** |
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
|  | **(In thousands)** | **(In thousands)** |
| Energy industrial | $93111 | $103453 |
| Thermal barrier | 69550 | 159934 |
| Total assets of reportable segments | 162661 | 263387 |
| Construction in progress and held for sale | 41970 | 352567 |
| All other corporate assets | 202048 | 279190 |
|  | $406679 | $895144 |

---

Information about the Company's total revenues, based on shipment destination or services location, is presented in the following table:

---

| | | | |
|:---|:---|:---|:---|
|  | **Year Ended** | **Year Ended** | **Year Ended** |
|  | **December 31,** | **December 31,** | **December 31,** |
|  | **2025** | **2024** | **2023** |
|  | **($ in thousands)** | **($ in thousands)** | **($ in thousands)** |
| Revenue: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;U.S. | $172082 | $258518 | $151037 |
| &nbsp;&nbsp;&nbsp;&nbsp;International | 99021 | 194181 | 87681 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total | $271103 | $452699 | $238718 |

---

**(19) Restructuring and Demobilization Costs**

In February 2025, the Company announced and began implementing a restructuring plan to realign the Company's operational focus to improve costs and align capital expenditure to anticipated long-term demand. The plan included reducing the Company's

------

headcount and ceasing construction of the Company's previously planned Statesboro Plant. In connection with the demobilization, the Company is no longer pursuing its application for a loan from the Department of Energy's Loan Programs Office and has withdrawn from the loan application process.

During each of the three months ended June 30, 2025, September 30, 2025 and December 31, 2025, the Company announced further headcount reductions to realign the Company's operation and to improve costs.

As a result of the restructurings and the demobilization, the Company incurred the charges shown in the following table. Property, plant and equipment write-downs are included within impairment expenses in the consolidated statements of operations.

---

| | |
|:---|:---|
|  | **Year Ended** |
|  | **December 31, 2025** |
|  | **(In thousands)** |
| Severance and other personnel costs | $8270 |
| Demobilization costs | 3067 |
| Deferred financing costs write-off | 6173 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total | $17510 |

---

**(20) Subsequent Events**

The Company has evaluated subsequent events through March 13, 2026, the date of issuance of the consolidated financial statements for the year ended December 31, 2025.

As discussed in Note (5), during the fourth quarter of 2025, a large Thermal Barrier customer notified the Company of its lower forecasted long-term demand requirements and requested the Company submit a claim for certain losses incurred. The Company submitted the claim with the customer in November 2025. On January 27, 2026, the Company accepted a settlement of $37.6 million to cover the Company's claims and expects to receive the funds later in the first quarter of 2026.

------

**Schedule II**

**VALUATION AND QUALIFYING ACCOUNTS**

**(in thousands)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Description** | **Balance<br>at<br>Beginning<br>of Year** | **Charges<br>to<br>Costs<br>and<br>Expenses (a)** | **Recoveries<br>of<br>Costs<br>and<br>Expenses (b)** | **Deductions to<br>Allowances<br>for<br>Uncollectible<br>Accounts (c)** | **Charges to<br>(Deductions<br>from)<br>Other<br>Accounts (d)** | **Balance<br>at<br>End of<br>Year** |
| **Year Ended December 31, 2025:** |  |  |  |  |  |  |
| Allowances for uncollectible accounts and sales returns and allowances | $1265 | 3538.00 |  |  | (631) | $4172 |
| **Year Ended December 31, 2024:** |  |  |  |  |  |  |
| Allowances for uncollectible accounts and sales returns and allowances | $230 | 247 |  |  | 788 | $1265 |
| **Year Ended December 31, 2023:** |  |  |  |  |  |  |
| Allowances for uncollectible accounts and sales returns and allowances | $255 | (93) |  |  | 68 | $230 |

---

(a)Represents allowances for uncollectible accounts established through general and administrative expenses.

(b)Represents recoveries of allowances for uncollectible accounts established through general and administrative expenses.

(c)Represents actual write-offs of uncollectible accounts.

(d)Represents net change in allowances for sales returns, recorded as contra-revenue.

------

**PART IV**

**Item 15. EXHIBITS, FINANCIAL STATEMENT SCHEDULES**

**Item 15(a).** The following documents are filed as part of this Annual Report on Form 10-K:

**Item 15(a)(1).** The following consolidated financial statements of the Company are included in Part II, Item 8 of this Annual Report on Form 10-K:

Report of Independent Registered Public Accounting Firm

Consolidated Balance Sheets as of December 31, 2025 and 2024

Consolidated Statements of Operations for the Years Ended December 31, 2025, 2024, and 2023

Consolidated Statements of Stockholders' Equity for the Years Ended December 31, 2025, 2024 and 2023

Consolidated Statements of Cash Flows for the Years Ended December 31, 2025, 2024 and 2023

Notes to Consolidated Financial Statements

**Item 15(a)(2).** The following financial statements schedule is included in Part II, Item 8:

Schedule II – Valuation and Qualifying Accounts

All other financial statement schedules have not been included because they are not applicable or the information is included in the financial statements or notes thereto.

**Item 15(a)(3).** Exhibits:

The following is a list of exhibits filed as part of this Annual Report on Form 10-K.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| Exhibit<br>Number | Exhibit Description | Filed<br>with this<br>Report | Incorporated by<br>Reference<br>herein from<br>Form or<br>Schedule | Filing Date | SEC File/Reg.<br>Number |
| 3.1 | [<u>Restated Certificate of Incorporation of the Registrant, as filed with the Secretary of State of the State of Delaware on June 18, 2014.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312514241484/d744800dex32.htm) |  | Form 8-K<br>(Exhibit 3.2) | 6/19/14 | 001-36481<br>|
| 3.1.1 | [<u>Certificate of Amendment to Restated Certificate of Incorporation of Aspen Aerogels, Inc., dated June 1, 2023.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017023025706/aspn-ex3_1.htm) |  | Form 8-K<br>(Exhibit 3.1) | 6/1/23 | 001-36481 |
| 3.2 | [<u>Amended and Restated Bylaws of Aspen Aerogels, Inc.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017024028127/aspn-ex3_2.htm) |  | Form 10-K<br>(Exhibit 3.2) | 3/7/24 | 001-36481 |
| 4.1 | [<u>Form of Common Stock Certificate.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312514199213/d627478dex41.htm) |  | Amendment No. 1 to Form S-1<br>(Exhibit 4.1) | 5/14/14 | 333-195523<br>|
| 4.2 | [<u>Description of Securities.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000156459020009181/aspn-ex43_89.htm) |  | Form 10-K<br>(Exhibit 4.3) | 3/6/20 | 001-36481 |
| 10.1+ | [<u>2014 Employee, Director and Consultant Equity Incentive Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312514308611/d773688dex9910.htm) |  | Form S-8<br>(Exhibit 99.10) | 8/13/14 | 333-198124 |
| 10.1.1+ | [<u>Form of Stock Option Agreement Granted under 2014 Employee, Director and Consultant Equity Incentive Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312514199213/d627478dex1022.htm) |  | Amendment No. 1 to Form S-1<br>(Exhibit 10.2.2) | 5/14/14 | 333-195523 |
| 10.1.2+ | [<u>Form of Restricted Stock Unit Agreement for Executive Officers under 2014 Employee, Director and Consultant Equity Incentive Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312514403308/d794011dex103.htm) |  | Form 10-Q<br>(Exhibit 10.3) | 11/7/14 | 001-36481 |

---

------

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| Exhibit<br>Number | Exhibit Description | Filed<br>with this<br>Report | Incorporated by<br>Reference<br>herein from<br>Form or<br>Schedule | Filing Date | SEC File/Reg.<br>Number |
| 10.1.3+ | [<u>Form of Restricted Stock Agreement for Directors under 2014 Employee, Director and Consultant Equity Incentive Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312514199213/d627478dex1023.htm) |  | Amendment No. 1 to Form S-1<br>(Exhibit 10.2.3) | 5/14/14 | 333-195523 |
| 10.1.4+ | [<u>Form of Performance-Based Restricted Stock Agreement for Certain Employees under 2014 Employee, Director and Consultant Equity Incentive Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000156459022028016/aspn-ex102_434.htm) |  | Form 10-Q<br>(Exhibit 10.2) | 8/4/22 | 001-36481 |
| 10.2+ | [<u>Aspen Aerogels 2023 Equity Incentive Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017025061852/aspn-ex10_1.htm) |  | Form 8-K<br>(Exhibit 10.1) | 5/1/25 | 001-36481 |
| 10.2.1+ | [<u>Form of Stock Option Agreement under the Aspen Aerogels 2023 Equity Incentive Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017023025706/aspn-ex10_2.htm) |  | Form 8-K<br>(Exhibit 10.2) | 6/1/23 | 001-36481 |
| 10.2.2+ | [<u>Form of Restricted Stock Unit Agreement for Executive Officers under the Aspen Aerogels 2023 Equity Incentive Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017023025706/aspn-ex10_3.htm) |  | Form 8-K<br>(Exhibit 10.3) | 6/1/23 | 001-36481 |
| 10.2.3+ | [<u>Form of Restricted Stock Agreement for Directors under the Aspen Aerogels 2023 Equity Incentive Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017023025706/aspn-ex10_4.htm) |  | Form 8-K<br>(Exhibit 10.4) | 6/1/23 | 001-36481 |
| 10.2.4+ | [<u>Form of Director Stock Option Agreement under the Aspen Aerogels 2023 Equity Incentive Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017023025706/aspn-ex10_5.htm) |  | Form 8-K<br>(Exhibit 10.5) | 6/1/23 | 001-36481 |
| 10.2.5+ | [<u>Form of Performance Share Unit Agreement under the Aspen Aerogels 2023 Equity Incentive Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017025035506/aspn-ex10_1.htm) |  | Form 8-K<br>(Exhibit 10.1) | 3/7/25 | 001-36481 |
| 10.2.6+ | [<u>Aspen Aerogels Employee Stock Purchase Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017025061852/aspn-ex10_2.htm) |  | Form 8-K<br>(Exhibit 10.2) | 5/1/25 | 001-36481<br>|
| 10.3 | [<u>Multi-Tenant Industrial Net Lease, dated August 20, 2001, by and between the Registrant and Cabot II — MA1M03, LLC (as successor landlord to TMT290 Industrial Park, Inc.), as amended.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312514163033/d627478dex103.htm) |  | Form S-1<br>(Exhibit 10.3) | 4/28/14 | 333-195523 |
| 10.3.1 | [<u>First Amendment to Lease, dated December 22, 2021, by and between the Registrant and G&I IX Forbes Whitney, LLC.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000156459022007814/aspn-ex10141_46.htm) |  | Form 10-K<br>(Exhibit 10.14.1) | 3/1/22 | 001-36481 |
| 10.4 | [<u>Loan Agreement, dated November 28, 2022, by and between the Registrant, Aspen Aerogels Georgia LLC, Aspen Aerogels Rhode Island, LLC and General Motors Holdings LLC.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312522294312/d407335dex101.htm) |  | Form 8-K<br>(Exhibit 10.1) | 11/29/22 | 001-36481 |
| 10.4.1 | [<u>First Amendment, dated September 28, 2023, to the Loan Agreement, dated November 28, 2022, by and among the Company, Aspen Aerogels Georgia, LLC, Aspen Aerogels Rhode Island, LLC and General Motors Holdings LLC.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017023058227/aspn-ex10_2.htm) |  | Form 10-Q<br>(Exhibit 10.2) | 11/2/23 | 001-36481 |
| 10.5+ | [<u>Amended and Restated Executive Employment Agreement, dated November 4, 2025, by and between the Company and Gregg Landes.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312526106453/aspn-ex10_5.htm) |  | Form 10-K<br>(Exhibit 10.5) | 3/13/26 | 001-36481 |
| 10.5.1+ | [<u>Executive Employment Agreement, dated January 1, 2023, by and between the Company and Keith Schilling.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017023008476/aspn-ex10_187.htm) |  | Form 10-K<br>(Exhibit 10.18(7)) | 3/16/23 | 001-36481 |
| 10.5.2+ | [<u>Amended and Restated Executive Employment Agreement, dated November 4, 2025, by and between the Company and Corby Whitaker.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312526106453/aspn-ex10_5-2.htm) |  | Form 10-K<br>(Exhibit 10.5.1) | 3/13/26 | 001-36481 |

---

------

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| Exhibit<br>Number | Exhibit Description | Filed<br>with this<br>Report | Incorporated by<br>Reference<br>herein from<br>Form or<br>Schedule | Filing Date | SEC File/Reg.<br>Number |
| 10.5.3+ | [<u>Executive Employment Agreement, dated September 14, 2023, by and between the Company and Santhosh Daniel.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017023058227/aspn-ex10_1.htm) |  | Form 10-Q<br>(Exhibit 10.1) | 11/2/23 | 001-36481 |
| 10.5.4+ | [<u>Executive Employment Agreement, effective as of October 1, 2025, by and between the Company and Grant Thoele.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312525201332/aspn-ex10_1.htm) |  | Form 8-K<br>(Exhibit 10.1) | 9/11/25 | 001-36481 |
| 10.5.5+ | [<u>Executive Employment Agreement, effective as of September 22, 2025, by and between the Company and Glenn Deegan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312525270038/aspn-ex10_2.htm) |  | Form 10-Q<br>(Exhibit 10.2) | 11/6/25 | 001-36481 |
| 10.5.6+ | [<u>Amended and Restated Executive Employment Agreement, dated as of August 30, 2024, by and between the Company and Donald R. Young.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017024102825/aspn-ex10_1.htm) |  | Form 8-K<br>(Exhibit 10.1) | 9/3/24 | 001-36481 |
| 10.5.7+ | [<u>Confidential Separation and Release Agreement, dated October 1, 2025, by and between the Company and Stephanie Pittman.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312525270038/aspn-ex10_3.htm) |  | Form 10-Q<br>(Exhibit 10.3) | 11/6/25 | 001-36481 |
| 10.6+ | [<u>Aspen Aerogels, Inc. Bonus Plan (Amended and Restated Effective as of January 1, 2024).</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017023058227/aspn-ex10_3.htm) |  | Form 10-Q<br>(Exhibit 10.3) | 11/2/23 | 001-36481 |
| 10.7+ | [<u>Form of Participation Letter of Executive Officers under Aspen Aerogels, Inc. Bonus Plan.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000156459017003151/aspn-ex1023_799.htm) |  | Form 10-K<br>(Exhibit 10.23) | 3/2/17 | 001-36481 |
| 10.8+ | [<u>Non-Employee Director Compensation Policy.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017024094005/aspn-ex10_1.htm) |  | Form 10-Q<br>(Exhibit 10.1) | 8/8/24 | 001-36481 |
| 10.9\* | [<u>Cross License Agreement, dated as of April 1, 2006, by and between Cabot Corporation and the Company, as amended.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312514163033/d627478dex10171.htm) |  | Form S-1<br>(Exhibit 10.17) | 4/28/14 | 333-195523 |
| 10.10+ | [<u>Form of Indemnification Agreement with Directors and Certain Officers.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312514199213/d627478dex1018.htm) |  | Amendment No. 1 to Form S-1<br>(Exhibit 10.18) | 5/14/14 | 333-195523 |
| 10.11 | [<u>Inducement Agreement, dated as of February 17, 2022, by and among Aspen Aerogels Georgia, LLC, the Development Authority of Bulloch County, the City of Statesboro, and Bulloch County, Georgia.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000156459022019330/aspn-ex101_188.htm) |  | Form 10-Q<br>(Exhibit 10.1) | 5/10/22 | 001-36481 |
| 10.12 | [<u>PILOT Agreement, dated as of February 17, 2022, by and among Aspen Aerogels Georgia, LLC and the Development Authority of Bulloch County.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000156459022019330/aspn-ex103_233.htm) |  | Form 10-Q<br>(Exhibit 10.3) | 5/10/22 | 001-36481 |
| 10.13 | [<u>Performance and Accountability Agreement, dated as of February 17, 2022, by and among Aspen Aerogels Georgia, LLC, the Development Authority of Bulloch County, and the Georgia Department of Community Affairs.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000156459022019330/aspn-ex104_234.htm) |  | Form 10-Q<br>(Exhibit 10.4) | 5/10/22 | 001-36481 |
| 10.14 | [<u>Memorandum of Understanding, dated as of February 17, 2022, by and between Aspen Aerogels Georgia, LLC, the Development Authority of Bulloch County and the Georgia Department of Economic Development.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000156459022019330/aspn-ex102_232.htm) |  | Form 10-Q<br>(Exhibit 10.2) | 5/10/22 | 001-36481 |

---

------

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| Exhibit<br>Number | Exhibit Description | Filed<br>with this<br>Report | Incorporated by<br>Reference<br>herein from<br>Form or<br>Schedule | Filing Date | SEC File/Reg.<br>Number |
| 10.15+ | [<u>SEIG Award Cancellation Agreement, dated March 6, 2024 (Donald R. Young)</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017024027965/aspn-ex10_1.htm) |  | Form 8-K<br>(Exhibit 10.1+) | 3/7/24 | 001-36481 |
| 10.16 | [<u>Form of SEIG Award Cancellation Agreement, dated March 6, 2024 (Other Employees)</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017024027965/aspn-ex10_2.htm) |  | Form 8-K<br>(Exhibit 10.2+) | 3/7/24 | 001-36481 |
| 10.17\*\* | [<u>Supply Agreement, dated February 3, 2021, by and between the registrant and Silbond Corporation.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000156459021023405/aspn-ex101_107.htm) |  | Form 10-Q<br>(Exhibit 10.1)<br>| 5/4/21 | 001-36481 |
| 10.18+ | [<u>Performance-Based Restricted Stock Agreement, dated as of June 29, 2021, by and between the Registrant and Donald R. Young.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000156459021040911/aspn-ex103_95.htm) |  | Form 10-Q<br>(Exhibit 10.3) | 8/4/21 | 001-36481 |
| 10.19† | [<u>Credit, Security and Guaranty Agreement, dated as of August 19, 2024, by and among Aspen Aerogels, Inc., Aspen Aerogels Rhode Island, LLC, MidCap Fund IV Trust and MidCap Financial Trust.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312524202897/d887175dex102.htm) |  | Form 8-K<br>(Exhibit 10.2) | 8/19/24 | 001-36481 |
| 10.19.1† | [<u>Amendment No. 1 and Joinder, dated May 6, 2025, to the Credit, Security and Guaranty Agreement, dated August 19, 2024, by and among Aspen Aerogels, Inc., Aspen Aerogels Rhode Island, LLC, Aspen Aerogels Georgia, LLC, Aspen Aerogels Mexico Holdings, LLC, MidCap Fund IV Trust and MidCap Financial Trust.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017025066992/aspn-ex10_2.htm) |  | Form 10-Q<br>(Exhibit 10.2) | 5/8/25 | 001-36481 |
| 10.19.2† | [<u>Amendment No. 2, dated December 16, 2025, to the Credit, Security and Guaranty Agreement, dated August 19, 2024, by and among Aspen Aerogels, Inc., Aspen Aerogels Rhode Island, LLC, Aspen Aerogels Mexico Holdings, LLC, Aspen Aerogels Georgia, LLC, MidCap Funding IV Trust and MidCap Financial Trust.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000117184325007988/exh_101.htm) |  | Form 8-K<br>(Exhibit 10.1) | 12/18/25 | 001-36481 |
| 14.1 | [<u>Code of Business Conduct and Ethics.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017025029252/aspn-ex14_1.htm) |  | Form 10-K<br>(Exhibit 14.1)<br>| 2/27/25 | 001-36481<br>|
| 19.1 | [<u>Insider Trading Policy of Aspen Aerogels, Inc.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017025029252/aspn-ex19_1.htm) |  | Form 10-K<br>(Exhibit 19.1) | 2/27/25<br>| 001-36481<br>|
| 21.1 | [<u>Subsidiaries of the Registrant.</u>](https://www.sec.gov/Archives/edgar/data/1145986/000119312526106453/aspn-ex21_1.htm) |  | Form 10-K<br>(Exhibit 21.1) | 3/13/26 | 001-36481 |
| 23.1 | [<u>Consent of KPMG LLP.</u>](aspn-ex23_1.htm) | X |  |  |  |
| 31.1 | [<u>Certification of principal executive officer under Section 302(a) of the Sarbanes-Oxley Act of 2002.</u>](aspn-ex31_1.htm) | X |  |  |  |
| 31.2 | [<u>Certification of principal financial officer under Section 302(a) of the Sarbanes-Oxley Act of 2002.</u>](aspn-ex31_2.htm) | X |  |  |  |
| 32# | [<u>Certifications of the principal executive officer and the principal financial officer under Section 906 of the Sarbanes-Oxley Act of 2002.</u>](aspn-ex32.htm) | X |  |  |  |
| 97 | [<u>Compensation Recoupment Policy (Amended and Restated Effective June 1, 2023).</u>](https://www.sec.gov/Archives/edgar/data/1145986/000095017024028127/aspn-ex97.htm) |  | Form 10-K<br>(Exhibit 97) | 3/7/24 | 001-36481 |

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| Exhibit<br>Number | Exhibit Description | Filed<br>with this<br>Report | Incorporated by<br>Reference<br>herein from<br>Form or<br>Schedule | Filing Date | SEC File/Reg.<br>Number |
| 101.INS | XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | X |  |  |  |
| 101.SCH | Inline XBRL Taxonomy Extension Schema Document. | X |  |  |  |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). | X |  |  |  |

---

+ Management contract or compensatory plan or arrangement.

\* Confidential treatment has been granted with respect to certain portions of this Exhibit, which portions have been omitted and filed separately with the Securities and Exchange Commission as part of an application for confidential treatment pursuant to the Securities Act of 1933, as amended.

\*\* Certain confidential portions of this Exhibit were omitted by means of marking such portions with brackets ("[\*\*\*]") because the identified confidential portions (i) are not material and (ii) would be competitively harmful if publicly disclosed.

† Certain exhibits and schedules have been omitted in accordance with Item 601(a)(5) of Regulation S-K. The registrant agrees to furnish supplementally a copy of any omitted exhibit or schedule to the Securities and Exchange Commission upon its request.

# The certification attached as Exhibit 32 that accompanies this Annual Report on Form 10-K is not deemed filed with the SEC and is not to be incorporated by reference into any filing of the Company under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, whether made before or after the date of this Annual Report on Form 10-K, irrespective of any general incorporation language contained in such filing.

------

**SIGNATURES**

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

---

| | | |
|:---|:---|:---|
|  | ASPEN AEROGELS, INC. | ASPEN AEROGELS, INC. |
| Date: March 23, 2026 | By: | /s/ Donald R. Young |
|  |  | Donald R. Young |
|  |  | President and Chief Executive Officer |
|  |  | (principal executive officer) |

---

------

## Exhibit 23.1

**Exhibit 23.1**

**Consent of Independent Registered Public Accounting Firm**

We consent to the incorporation by reference in the registration statements (Nos. 333-221403, 333-259449, 333-264672, 333-279072, and 333-282751) on Form S-3 and registration statements (Nos. 333-287098, 333-287096, 333-272346, 333-270615, 333-263124, 333-254247, 333-236955, 333-230165, 333-223380, 333-216434, 333-209995, and 333-198124) on Form S-8 of our report dated March 13, 2026, with respect to the consolidated financial statements of Aspen Aerogels, Inc. and the effectiveness of internal control over financial reporting.

/s/ KPMG LLP

Boston, Massachusetts<br>March 23, 2026

------

## Exhibit 31.1

**Exhibit 31.1**

**CERTIFICATIONS UNDER SECTION 302**

I, Donald R. Young, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this annual report on Form 10-K/A of Aspen Aerogels, Inc.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: March 23, 2026 | /s/ Donald R. Young |
|  | Donald R. Young |
|  | President and Chief Executive Officer |
|  | (principal executive officer) |

---

------

## Exhibit 31.2

**Exhibit 31.2**

**CERTIFICATIONS UNDER SECTION 302**

I, Grant Thoele, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this annual report on Form 10-K/A of Aspen Aerogels, Inc.;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: March 23, 2026 | /s/ Grant Thoele |
|  | Grant Thoele |
|  | Chief Financial Officer and Treasurer |
|  | (principal financial officer) |

---

------

## Ex-32

**Exhibit 32**

**CERTIFICATIONS UNDER SECTION 906**

Pursuant to section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of section 1350, chapter 63 of title 18, United States Code), each of the undersigned officers of Aspen Aerogels, Inc., a Delaware corporation (the "Company"), does hereby certify, to such officer's knowledge, that:

The Amendment no.1 to Annual Report for the year ended December 31, 2025 (the "Form 10-K") of the Company fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, and the information contained in the Form 10-K fairly presents, in all material respects, the financial condition and results of operations of the Company.

---

| | |
|:---|:---|
| Dated: March 23, 2026 | /s/ Donald R. Young |
|  | Donald R. Young |
|  | President and Chief Executive Officer |
|  | (principal executive officer) |
| Dated: March 23, 2026 | /s/ Grant Thoele |
|  | Grant Thoele |
|  | Chief Financial Officer and Treasurer |
|  | (principal financial officer) |

---

------