# EDGAR Filing Document

**Accession Number:** 0001307579
**File Stem:** 0001437749-26-016536
**Filing Date:** 2026-5
**Character Count:** 90393
**Document Hash:** a9394aaf051a3afb617b821aa86d69e0
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001437749-26-016536.hdr.sgml**: 20260513

**ACCESSION NUMBER**: 0001437749-26-016536

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 69

**CONFORMED PERIOD OF REPORT**: 20260331

**FILED AS OF DATE**: 20260513

**DATE AS OF CHANGE**: 20260513

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** LIQTECH INTERNATIONAL INC
- **CENTRAL INDEX KEY:** 0001307579
- **STANDARD INDUSTRIAL CLASSIFICATION:** MISC INDUSTRIAL & COMMERCIAL MACHINERY & EQUIPMENT [3590]
- **ORGANIZATION NAME:** 06 Technology
- **EIN:** 201431677
- **STATE OF INCORPORATION:** NV
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-36210
- **FILM NUMBER:** 26970990

**BUSINESS ADDRESS:**
- **STREET 1:** INDUSTRIPARKEN 22C
- **CITY:** BALLERUP
- **STATE:** G7
- **ZIP:** DK-2750
- **BUSINESS PHONE:** 01145 2390 4545

**MAIL ADDRESS:**
- **STREET 1:** INDUSTRIPARKEN 22C
- **CITY:** BALLERUP
- **STATE:** G7
- **ZIP:** DK-2750

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Blue Moose Media Inc
- **DATE OF NAME CHANGE:** 20041101

?xml version='1.0' encoding='ASCII'? liqt20260331_10q.htm

**UNITED STATES**

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.20549

**FORM 10-Q**

(Mark One)

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

For the quarterly period ended March 31, 2026

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: **<u>001-36210</u>**

**<u>LiqTech International, Inc.</u>**

(Exact name of registrant as specified in its charter)

---

| | |
|:---|:---|
| **Nevada** | **20-1431677** |
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
| **Industriparken 22C, DK 2750 Ballerup, Denmark** |  |
| (Address of principal executive offices) | (Zip Code) |

---

Registrant's telephone number, including area code: **+45 3131 5941**

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

---

| | | |
|:---|:---|:---|
| Title of each class | Trading symbol(s) | Name of each exchange on which<br> registered |
| **Common Stock, $0.001 par value** | **LIQT** | **The Nasdaq Stock Market LLC** |

---

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, 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 (Check one):

---

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

---

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 is a shell company (as defined in Rule 12b-2 of the Exchange Act): Yes ☐ No ☒

As of May 12, 2026, there were 9,947,841 shares of Common Stock, $0.001 par value per share, outstanding.

------

LIQTECH INTERNATIONAL, INC. AND SUBSIDIARIES

Quarterly Report on Form 10-Q

For the Period Ended March 31, 2026

**TABLE OF CONTENTS**

---

| | |
|:---|:---|
|  | Page |
| [<u>PART I. FINANCIAL INFORMATION</u>](#p1) | <u>[5](#p1)</u> |
| [<u>Item 1. Financial Statements</u>](#item1) | <u>[5](#item1)</u> |
| [<u>Condensed Consolidated Balance Sheets as of March 31, 2026 (unaudited) and December 31, 2025</u>](#bs) | <u>[5](#bs)</u> |
| [<u>Condensed Consolidated Statements of Operations for the Three Months Ended March 31, 2026 and March 31, 2025 (unaudited)</u>](#ops) | <u>[7](#ops)</u> |
| [<u>Condensed Consolidated Statements of Comprehensive Loss for the Three Months Ended March 31, 2026 and March 31, 2025 (unaudited)</u>](#comploss) | <u>[8](#comploss)</u> |
| [<u>Condensed Consolidated Statements of Stockholders</u><u>'</u> <u>Equity for the Three Months ended March 31, 2026 and March 31, 2025 (unaudited)</u>](#eq) | <u>[9](#eq)</u> |
| [<u>Condensed Consolidated Statements of Cash Flows for the Three Months Ended March 31, 2026 and March 31, 2025 (unaudited)</u>](#cf) | <u>[11](#cf)</u> |
| [<u>Notes to Condensed Consolidated Financial Statements (unaudited)</u>](#notes) | <u>[13](#notes)</u> |
| [<u>Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations</u>](#item2) | <u>[23](#item2)</u> |
| [<u>Item 3. Quantitative and Qualitative Disclosures About Market Risk</u>](#item3) | <u>[27](#item3)</u> |
| [<u>Item 4. Controls and Procedures</u>](#item4) | <u>[28](#item4)</u> |
| [<u>PART II. OTHER INFORMATION</u>](#part2) | <u>[29](#part2)</u> |
| [<u>Item 1. Legal Proceedings</u>](#legal) | <u>[29](#legal)</u> |
| [<u>Item 1A. Risk Factors</u>](#risk) | <u>[29](#risk)</u> |
| [<u>Item 2. Unregistered Sales of Equity Securities and Use of Proceeds</u>](#unreg) | <u>[29](#unreg)</u> |
| [<u>Item 3. Defaults Upon Senior Securities</u>](#defaults) | <u>[29](#defaults)</u> |
| [<u>Item 4. Mine Safety Disclosures</u>](#mine) | <u>[29](#mine)</u> |
| [<u>Item 5. Other Information</u>](#other) | <u>[29](#other)</u> |
| [<u>Item 6. Exhibits</u>](#exhibits) | <u>[30](#exhibits)</u> |
| [<u>SIGNATURES</u>](#sigs) | <u>[32](#sigs)</u> |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 2

------

FORWARD-LOOKING STATEMENTS

Certain statements made in this Quarterly Report on Form 10-Q are "forward-looking statements" regarding the plans and objectives of management for future operations and market trends and expectations. Such statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.

The forward-looking statements included herein are based on current expectations that involve numerous risks and uncertainties. Our plans and objectives are based, in part, on assumptions involving the continued expansion of our business. Assumptions relating to the foregoing involve judgments with respect to, among other things, future political, legislative, economic, competitive and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond our control. This is especially underlined by the potential impacts from the prevailing macro-economic uncertainty on the Company, including the related effects to our business operations, results of operations, cash flows, and financial position. Although we believe that our assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove inaccurate and, therefore, there can be no assurance that the forward-looking statements included in this Quarterly Report on Form 10-Q will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by us or any other person that our objectives and plans will be achieved. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.

Forward-looking statements include, but are not limited to, statements concerning:

● Our expectations regarding our liquidity, cash flows and uses of cash and ability to continue as a going concern;

● The potential adverse effects on our operations and financial performance from armed conflicts or geopolitical tensions;

● The potential adverse impact of global trade restrictions, tariffs and geopolitical tensions on our business and supply chain;

● The potential negative impact of prolonged energy market volatility and supply disruptions on our business;

● The potential adverse impact of health crises, pandemics, and public health emergencies on our business, financial condition, and operations;

● Our dependence on a few major customers and the ability to maintain future relationships with one or more of these major customers;

● Our ability to operate with financial stability and secure access to external financing and adequate liquidity;

● Our ability to secure and source supplies of raw materials and key components in due time and at competitive prices;

● Our ability to achieve revenue growth and penetrate new markets;

● Our dependence on the expertise and experience of our management team and the retention of key employees;

● Our reliance and access to qualified personnel to expand our business;

● Our ability to adapt to potentially adverse changes in legislative, regulatory and political frameworks;

● Changes in interest rates or tightening of debt capital markets;

● Changes in emissions and environmental regulations, and potential further tightening of emission standards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 3

------

● The exposure to potentially adverse tax consequences;

● Our ability to compete under changing governmental standards by which our products are evaluated;

● The financial impact from the fluctuation and volatility of foreign currencies;

● The potential monetary costs of defending our intellectual property rights;

● Our ability to successfully protect our intellectual property rights and manufacturing know-how;

● The possibility of a dispute over intellectual property developed in conjunction with third parties with whom we have contractual relationships;

● The possibility that we could become subject to litigation that could be costly, limit or cancel our intellectual property rights or divert time and efforts away from our business operations;

● The potential negative impact to the sale of our products caused by technological advances of our competitors;

● The potential liability for environmental harm or damages resulting from technical faults or failures of our products;

● The possibility that an investor located within the United States may not be able to, or find it difficult to, enforce any judgments obtained in United States courts because a significant portion of our assets and some of our officers and directors may be located outside of the United States;

● The possibility that we may not be able to develop and maintain an effective system of internal control over financial reporting, leading to inaccurate reports of our financial results;

● The possibility of breaches in the security of our information technology systems;

● The liability risk of our compliance to environmental laws and regulations; and

● The potential negative impact of more stringent environmental laws and regulations as governmental agencies seek to improve minimum standards.

Any forward-looking statement made by us herein speaks only as of the date on which such statement is made, and the Company undertakes no obligation to update any forward-looking statement or statements to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of unanticipated events. New factors emerge from time to time, and it is not possible for management to predict all such factors, nor can we assess the impact of each such factor on the business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 4

------

**PART I - FINANCIAL INFORMATION**

**ITEM 1. FINANCIAL STATEMENTS**

**LIQTECH INTERNATIONAL, INC.** 

**CONDENSED CONSOLIDATED BALANCE SHEETS**

---

| | | |
|:---|:---|:---|
|  | ***March 31,*** | ***December 31,*** |
|  | ***2026*** | ***2025*** |
| **Assets** |  |  |
| **Current Assets:** |  |  |
| Cash and restricted cash | $2732739 | $5070385 |
| Accounts receivable, net | 3664250 | 3429992 |
| Inventories, net | 6478114 | 6479321 |
| Contract assets | 634154 | 733851 |
| Prepaid expenses and other current assets | 636047 | 245702 |
| Total Current Assets | 14145304 | 15959251 |
| **Non-Current Assets:** |  |  |
| Property and equipment, net | 5624902 | 5845323 |
| Operating lease right-of-use assets | 4369053 | 4643680 |
| Deposits and other assets | 534502 | 545573 |
| Intangible assets, net | 33320 | 36125 |
| Goodwill | 242544 | 248145 |
| Total Non-Current Assets | 10804321 | 11318846 |
| **Total Assets** | $**24949625** | $**27278097** |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 5

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**LIQTECH INTERNATIONAL, INC.** 

**CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED)**

---

| | | |
|:---|:---|:---|
|  | ***March 31,*** | ***December 31,*** |
|  | ***2026*** | ***2025*** |
| **Liabilities and Stockholders' Equity** |  |  |
| **Current Liabilities:** |  |  |
| Accounts payable | $2036019 | $1552890 |
| Accrued expenses | 2227908 | 1795382 |
| Current portion of finance lease liabilities | 504799 | 517759 |
| Current portion of operating lease liabilities | 711295 | 714446 |
| Contract liabilities | 181553 | 140986 |
| Total Current Liabilities | 5661574 | 4721463 |
| **Non-Current Liabilities:** |  |  |
| Deferred tax liability | 61847 | 63654 |
| Finance lease liabilities, net of current portion | 1260692 | 1415908 |
| Operating lease liabilities, net of current portion | 3657758 | 3929234 |
| Loan from related party | 1159369 | 1265057 |
| Notes payable, net of debt discounts | 5598049 | 5510545 |
| Total Non-Current Liabilities | 11737715 | 12184398 |
| **Total Liabilities** | 17399289 | 16905861 |
| **Stockholders' Equity:** |  |  |
| Preferred stock; par value $0.001, 2,500,000 shares authorized, 0 shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively |  |  |
| Common stock; par value $0.001, 50,000,000 shares authorized and 9,947,841 and 9,627,064 shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively | 9948 | 9627 |
| Additional paid-in capital | 110463498 | 110427993 |
| Accumulated deficit | (97505233) | (94795121) |
| Accumulated other comprehensive loss | (5341800) | (5209173) |
| Total Stockholders' Equity | 7626413 | 10433326 |
| Noncontrolling Interest | (76077) | (61090) |
| Total Equity | 7550336 | 10372236 |
| **Total Liabilities and Equity** | $**24949625** | $**27278097** |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 6

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**LIQTECH INTERNATIONAL, INC.** 

**CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)**

---

| | | |
|:---|:---|:---|
|  | ***For The Three Months Ended*** | ***For The Three Months Ended*** |
|  | ***March 31,*** | ***March 31,*** |
|  | ***2026*** | ***2025*** |
| **Revenue** | $4136320 | $4617541 |
| **Cost of goods sold** | 3742576 | 4492485 |
| **Gross Profit** | 393744 | 125056 |
| **Operating Expenses:** |  |  |
| Selling expenses | 980674 | 718016 |
| General and administrative expenses | 1414145 | 1362246 |
| Research and development expenses | 276134 | 230123 |
| Total Operating Expenses | 2670953 | 2310385 |
| **Loss from Operations** | (2277209) | (2185329) |
| **Other Income (Expense):** |  |  |
| Interest and other income | 16857 | 68751 |
| Interest and other expense | (209064) | (48283) |
| Amortization of debt discount | (87504) | (168030) |
| Gain (loss) on foreign currency transactions | (168556) | 35516 |
| Gain (loss) on disposal of property and equipment |  | (61306) |
| Total Other Expense | (448267) | (173352) |
| **Loss Before Income Taxes** | (2725476) | (2358681) |
| **Income tax benefit** | (377) | (339) |
| **Net Loss** | $(2725099) | $(2358342) |
| Net Loss attributable to noncontrolling interest | (14987) | (6950) |
| Net Loss attributable to LiqTech International, Inc. | (2710112) | (2351392) |
| **Loss Per Common Share – Basic and Diluted** | $(0.28) | $(0.25) |
| **Weighted-Average Common Shares Outstanding – Basic and Diluted** | 9847218 | 9602354 |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 7

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**LIQTECH INTERNATIONAL, INC.** 

**CONDENSED CONSOLIDATED STATEMENTS OF** 

**COMPREHENSIVE LOSS (UNAUDITED)**

---

| | | |
|:---|:---|:---|
|  | ***For the Three Months Ended*** | ***For the Three Months Ended*** |
|  | ***March 31,*** | ***March 31,*** |
|  | ***2026*** | ***2025*** |
| **Net Loss** | (2725099) | (2358342) |
| Loss on foreign currency translation adjustments | (132627) | 348346 |
| **Total Other Comprehensive Loss** | $(2857726) | $(2009996) |
| Net loss attributable to non-controlling interests | 14987 | 6950 |
| **Total Other Comprehensive Loss Attributable to LiqTech International, Inc.** | $(2842739) | $(2003046) |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 8

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**LIQTECH INTERNATIONAL, INC.** 

**CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS**' **EQUITY (UNAUDITED)**

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  |  |  |  |  | ***Accumulated*** |  | ***Non-*** |  |
|  |  |  | ***Additional*** |  | ***Other*** | ***Total*** | ***controlled*** |  |
|  | ***Common Stock*** | ***Common Stock*** | ***Paid-in*** | ***Accumulated*** | ***Comprehensive*** | ***Stockholders'*** | ***Interest in*** | ***Total*** |
|  | ***Shares*** | ***Amount*** | ***Capital*** | ***Deficit*** | ***Income (Loss)*** | ***Equity*** | ***Subsidiaries*** | ***Equity*** |
| **Balance at December 31, 2025** | **9627064** | **9627** | **110427993** | **(94795121)** | **(5209173)** | **10433326** | **(61090)** | **10372236** |
| Common stock issued in settlement of RSUs | 394226 | 394 | (394) | *-* | *-* | *-* | *-* | *-* |
| Tax withholdings paid related to stock-based compensation | (73449) | (73) | (182426) | *-* | *-* | (182499) | *-* | (182499) |
| Stock-based compensation | *-* |  | 218325 |  |  | 218325 |  | 218325 |
| Currency translation, net | *-* |  |  |  | (132627) | (132627) |  | (132627) |
| Net loss | *-* |  |  | (2710112) |  | (2710112) |  | (2710112) |
| Net loss attributable to noncontrolling interest | *-* |  |  |  |  |  | (14987) | (14987) |
| **Balance at March 31, 2026** | **9947841** | **9948** | **110463498** | **(97505233)** | **(5341800)** | **7626413** | **(76077)** | **7550336** |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 9

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**LIQTECH INTERNATIONAL, INC.** 

**CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS**' **EQUITY (UNAUDITED)**

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  |  |  |  |  | ***Accumulated*** |  | ***Non-*** |  |
|  |  |  | ***Additional*** |  | ***Other*** | ***Total*** | ***controlled*** |  |
|  | ***Common Stock*** | ***Common Stock*** | ***Paid-in*** | ***Accumulated*** | ***Comprehensive*** | ***Stockholders'*** | ***Interest in*** | ***Total*** |
|  | ***Shares*** | ***Amount*** | ***Capital*** | ***Deficit*** | ***Income (Loss)*** | ***Equity*** | ***Subsidiaries*** | ***Equity*** |
| **Balance at December 31, 2024** | **9475443** | **9475** | **109274166** | **(86267438)** | **(6362111)** | **16654092** | **-** | **16654092** |
| Common Stock issued in settlement of RSUs | 158975 | 159 | (159) |  |  |  |  |  |
| Tax withholdings paid related to stock-based compensation | (28394) | (28) | (53065) |  |  | (53093) |  | (53093) |
| Warrants issued in connection with Senior Promissory Notes | *-* |  | 220000 |  |  | 220000 |  | 220000 |
| Stock-based compensation | *-* |  | 241245 |  |  | 241245 |  | 241245 |
| Currency translation, net | *-* |  |  |  | 348346 | 348346 |  | 348346 |
| Net loss | *-* |  |  | (2351392) |  | (2351392) |  | (2351392) |
| Capital contribution from noncontrolling interest | *-* |  |  |  |  |  | 13788 | 13788 |
| Net loss attributable to noncontrolling interest | *-* |  |  |  |  |  | (6950) | (6950) |
| **Balance at March 31, 2025** | **9606024** | **9606** | **109682187** | **(88618830)** | **(6013765)** | **15059198** | **6838** | **15066036** |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 10

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**LIQTECH INTERNATIONAL, INC.** 

**CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)**

---

| | | |
|:---|:---|:---|
|  | ***For the Three Months Ended*** | ***For the Three Months Ended*** |
|  | ***March 31,*** | ***March 31,*** |
|  | ***2026*** | ***2025*** |
| **Cash Flows from Operating Activities:** |  |  |
| Net loss | $(2725099) | $(2358342) |
| Adjustments to reconcile net loss to net cash used in operations: |  |  |
| Depreciation and amortization | 356894 | 442002 |
| Amortization of debt discount and accrued interest | 87504 | 168030 |
| Stock-based compensation | 218325 | 241245 |
| Amortization of right-of-use assets | 172864 | 134824 |
| Deferred taxes | (377) | (339) |
| Loss on disposal of property and equipment |  | 61306 |
| Changes in assets and liabilities: |  |  |
| Accounts receivable | (317277) | (933161) |
| Inventories | (173049) | 21532 |
| Contract assets | 84627 | 850839 |
| Prepaid expenses and other current assets | (399522) | (334468) |
| Accounts payable | 526117 | 405038 |
| Accrued expenses | 355850 | 114203 |
| Operating lease liabilities | (172864) | (134824) |
| Contract liabilities | 44536 | 24929 |
| **Net Cash used in Operating Activities** | **(1941471)** | **(1297186)** |
| **Cash Flows from Investing Activities:** |  |  |
| Purchase of property and equipment | (269724) | (163465) |
| Proceeds from the disposal of property and equipment |  | 52605 |
| **Net Cash used in Investing Activities** | **(269724)** | **(110860)** |
| **Cash Flows from Financing Activities:** |  |  |
| Repayments of finance lease liabilities | (126767) | (113637) |
| Proceeds from related party loan |  | 1089571 |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition of common stock for tax withholding obligations | (182499) |  |
| Capital contribution from noncontrolling interest |  | 13788 |
| **Net Cash provided by (used in) Financing Activities** | **(309266**) | **989722** |
| Effect of exchange rate changes on cash, cash equivalents and restricted cash | 182815 | (2973) |
| **Net Change in Cash, Cash Equivalents, and Restricted Cash** | **(2337646)** | **(421297)** |
| Cash, Cash Equivalents, and Restricted Cash at Beginning of Period | 5070385 | 10868729 |
| **Cash, Cash Equivalents, and Restricted Cash at End of Period** | $**2732739** | $**10447432** |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 11

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**LIQTECH INTERNATIONAL, INC.** 

**CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)**

---

| | | |
|:---|:---|:---|
|  | ***For the Three Months Ended*** | ***For the Three Months Ended*** |
|  | ***March 31,*** | ***March 31,*** |
|  | ***2026*** | ***2025*** |
| **Supplemental Disclosures of Cash Flow Information:** |  |  |
| Cash paid for interest | $25005 | $46593 |
| **Non-Cash Investing and Financing Activities** |  |  |
| Financed purchases of property and equipment | $- | $137691 |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 12

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**LIQTECH INTERNATIONAL, INC.** 

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(UNAUDITED)**

**NOTE *1*** – **BASIS OF PRESENTATION AND OTHER INFORMATION**

The accompanying unaudited condensed consolidated financial statements of LiqTech International, Inc. (the "Company") have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and with the instructions to Form *10*-Q of Regulation S-*X.* They do *not* include all the information and footnotes required by GAAP for complete financial statements.

The *December 31, 2025* consolidated balance sheet data were derived from audited financial statements but does *not* include all disclosures required by GAAP. However, except as disclosed herein, there has been *no* material change in the information disclosed in the notes to the consolidated financial statements for the year ended *December 31, 2025* included in the Company's Annual Report on Form *10*-K, as filed with the Securities and Exchange Commission on *February 27, 2026.* The interim unaudited condensed consolidated financial statements should be read in conjunction with those consolidated financial statements included in the

Company's Annual Report on Form *10*-K.

In the opinion of management, all adjustments considered necessary for a fair presentation of the financial statements, consisting solely of normal recurring adjustments, have been made. Operating results for the *three* months ended *March 31, 2026* are *not* necessarily indicative of the results that *may* be expected for the year ending *December 31, 2026*.

***Recently Adopted Accounting Pronouncements***

In *December 2023,* the FASB issued ASU *2023*-*09,* "*Income Taxes (Topic *740*): Improvements to Income Tax Disclosures*," which enhances the transparency and decision usefulness of income tax disclosures by requiring; (*1*) consistent categories and greater disaggregation of information in the rate reconciliation and (*2*) income taxes paid disaggregated by jurisdiction. It also includes certain other amendments to improve the effectiveness of income tax disclosures. ASU *2023*-*09* is effective for fiscal years beginning after *December 15, 2025,* with early adoption permitted. These amendments are to be applied prospectively, with retrospective application permitted. The Company has adopted this standard.

In *July 2025,* the FASB issued ASU 2025-05, Financial Instruments—Credit Losses (Topic 326). This guidance contains amendments that provide decision-useful information to investors and other financial statement users while reducing the time and effort necessary to analyze and estimate credit losses for current accounts receivable and current contract assets. The amendments will be effective for annual reporting periods beginning after *December 15, 2025,* and interim reporting periods within those annual reporting periods. Early adoption is permitted in both interim and annual reporting periods in which financial statements have not yet been issued or made available for issuance. The Company has adopted this standard.

***Recently Issued Accounting Pronouncements Not Yet Adopted***

In *November 2024,* the FASB issued ASU *2024*-*03,* "*Income Statement* – *Reporting Comprehensive Income* – *Expense Disaggregation Disclosures (Subtopic *220*-*40*): Disaggregation of Income Statement Expenses*," which requires the disaggregated disclosure of specific expense categories, including purchases of inventory, employee compensation, depreciation, and amortization included in each relevant expense caption presented on the statement of operations. The standard also requires disclosure of qualitative description of the amounts remaining in relevant expense captions that are *not* separately disaggregated quantitatively, as well as the total amount of selling expenses and an entity's definition of selling expenses. ASU *2024*-*03* is effective for annual periods beginning after *December 15, 2026,* and interim periods beginning after *December 15, 2027.* The Company is currently evaluating the impact this standard will have on its condensed consolidated financial statements.

The Company currently believes there are *no* other issued and *not* yet effective accounting standards that are materially relevant to its condensed consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *13*

------

**NOTE *2*** – **LIQUIDITY AND GOING CONCERN ASSESSMENT**

The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplate continuation of the Company as a going concern. The Company has incurred recent operating losses and used cash in its operations, which raises substantial doubt about its ability to continue as a going concern for the *twelve* months following the issuance of these financial statements. The consolidated financial statements do *not* include any adjustments that might result from the outcome of this uncertainty.

Management continues to implement cost optimization and operational initiatives intended to improve liquidity and support a sustainable path toward profitability. The Company is actively evaluating financing alternatives, including potential debt or equity financing and other strategic arrangements, to strengthen its capital position. While there can be *no* assurance that such funding will be obtained on acceptable terms, Management's plans are intended to improve liquidity and support the Company's ability to continue operations; however, there can be *no* assurance these plans will be successful.

As of *March 31, 2026,* the Company had cash and cash equivalents of $2,732,739, net working capital of $8,483,730, an accumulated deficit of $97,505,233 and total assets and liabilities of $24,949,625 and $17,399,289, respectively.

**NOTE *3***– **NONCONTROLLING INTEREST AND LOANS FROM RELATED PARTIES**

In *January 2025,* the Company established a joint venture Nantong JiTRI LiqTech Green Energy Technology Co., Ltd (the "JV") in which it holds a 90% ownership interest. The remaining 10% is owned by an unrelated *third* party. The primary focus of the JV is to develop and commercialize systems for the marine water treatment market in China. The JV is fully consolidated in the Company's condensed financial statements, and the *10%* noncontrolling interest is presented separately in the consolidated balance sheet within equity and in the consolidated statement of operations as a component of net income (loss).

As part of the JV agreement, the Company has agreed to make our technology utilization available to the JV and to transfer the utilization rights necessary for operations in the marine water treatment market in China. In *February 2025,* the JV received R&D funding of RMB 8,000,000 (approximately USD 1.2 million) from the JV partner to support capability development and system construction. The funding is classified as a long-term loan in the financial statements and *may* be increased to up to RMB 10,000,000 within *12* months if certain technical and commercial milestones are achieved.

The loan bears a fixed annual interest rate of 12% per annum and has *no* set maturity date. At the sole discretion of LiqTech, the loan *may* be either converted into equity of the JV in connection with future capital increases or equity injections, or it *may* be repaid in full with accrued interest. There is *no* separate default rate beyond the stated contractual interest, and *no* mandatory repayment terms exist unless elected by the Company.

As of *March 31, 2026*, the noncontrolling interest in the JV amounted to $(76,077) and reflects the *third* party's share of the JV's net assets and net loss for the period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 14

------

**NOTE *4***– **DISAGGREGATION OF REVENUES AND SEGMENT REPORTING**

The Company operates through three reportable segments: Systems and Aftermarket, Filters and Membranes, and Components. Each segment comprises multiple sub-segments that leverage a shared production infrastructure and centralized supporting functions. The Company's Chief Operating Decision-Maker ("CODM") is Executive Management, consisting of the Chief Executive Officer, and Chief Financial & Operating Officer. Revenue information at both the segment and sub-segment levels is reviewed regularly as part of daily operational management. Profitability and asset information is available and evaluated at the segment level on a monthly basis. Resource allocation decisions are made at the segment level and are assessed on a quarterly basis.

The Company sells products throughout the world, and sales by geographical region are as follows for the *three* months ended *March 31, 2026* and *2025*:

---

| | | |
|:---|:---|:---|
|  | ***For the Three Months*** | ***For the Three Months*** |
|  | ***Ended March 31,*** | ***Ended March 31,*** |
| **Revenues** | ***2026*** | ***2025*** |
| Americas | $250802 | $2233901 |
| Asia-Pacific | 625553 | 134455 |
| Europe | 3259965 | 2249185 |
| Total revenue | $4136320 | $4617541 |

---

The Company's reportable segment information for the *three* months ended *March 31, 2026* and *2025* were as follows:

---

| | | |
|:---|:---|:---|
|  | **For the Three Months** | **For the Three Months** |
|  | **Ended March 31,** | **Ended March 31,** |
| **Revenues** | **2026** | **2025** |
| Systems and Aftermarket | $1789295 | $2693722 |
| Filters and Membranes | 1306999 | 953846 |
| Components | 1040026 | 969973 |
| Total revenues | $4136320 | $4617541 |

---

---

| | | |
|:---|:---|:---|
|  | ***For the Three Months*** | ***For the Three Months*** |
|  | ***Ended March 31,*** | ***Ended March 31,*** |
| **Cost of goods sold** | ***2026*** | ***2025*** |
| Systems and Aftermarket | $1289213 | $2159127 |
| Filters and Membranes | 1521774 | 1501070 |
| Components | 931589 | 830385 |
| Corporate |  | 1903 |
| Total cost of goods sold | 3742576 | 4492485 |

---

---

| | | |
|:---|:---|:---|
|  | ***For the Three Months*** | ***For the Three Months*** |
|  | ***Ended March 31,*** | ***Ended March 31,*** |
| **Operating expenses** | ***2026*** | ***2025*** |
| Systems and Aftermarket | $783635 | $611487 |
| Filters and Membranes | 447813 | 366360 |
| Components | 373107 | 254157 |
| Corporate | 1066398 | 1078381 |
| Total operating expenses | 2670953 | 2310385 |

---

---

| | | |
|:---|:---|:---|
|  | ***For the Three Months*** | ***For the Three Months*** |
|  | ***Ended March 31,*** | ***Ended March 31,*** |
| **Other Expenses** | ***2026*** | ***2025*** |
| Systems and Aftermarket | $22774 | $65951 |
| Filters and Membranes | 22362 | 89977 |
| Components | 2312 | 3250 |
| Corporate | 400819 | 14174 |
| Total other expenses | 448267 | 173352 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *15*

------

---

| | | |
|:---|:---|:---|
|  | ***For the Three Months*** | ***For the Three Months*** |
|  | ***Ended March 31,*** | ***Ended March 31,*** |
| **Net loss** | ***2026*** | ***2025*** |
| Systems and Aftermarket | $(306327) | $(142843) |
| Filters and Membranes | (684950) | (1003561) |
| Components | (266982) | (117480) |
| Corporate | (1466840) | (1094458) |
| Total net loss | (2725099) | (2358342) |

---

---

| | | |
|:---|:---|:---|
|  | ***As of*** | ***As of*** |
|  | ***March 31,*** | ***December 31,*** |
| **Total assets** | ***2026*** | ***2025*** |
| Systems and Aftermarket | $9219737 | $10210357 |
| Filters and Membranes | 9670372 | 10139656 |
| Components | 2222604 | 1942818 |
| Corporate | 3836912 | 4985266 |
| Total assets | $24949625 | $27278097 |

---

**NOTE *5***– **ACCOUNTS RECEIVABLE**

Accounts receivable consisted of the following on *March 31, 2026*, and *December 31, 2025*:

---

| | | |
|:---|:---|:---|
|  | ***March 31,*** | ***December 31,*** |
|  | ***2026*** | ***2025*** |
| Trade accounts receivable | $3764447 | $3567961 |
| Allowance for current expected credit losses | (100197) | (137969) |
| Total accounts receivable, net | $3664250 | $3429992 |

---

The roll-forward of the allowance for doubtful accounts for the periods ended *March 31, 2026* and *December 31, 2025* is as follows:

---

| | | |
|:---|:---|:---|
|  | ***March 31,*** | ***December 31,*** |
|  | ***2026*** | ***2025*** |
| Allowance for current expected credit losses at the beginning of the period | $137969 | $637556 |
| Bad debt expense | (34658) | 29439 |
| Receivables written off during the period |  | (608331) |
| Effect of exchange rate changes | (3114) | 79305 |
| Allowance for current expected credit losses at the end of the period | $100197 | $137969 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *16*

------

**NOTE *6***– **INVENTORIES**

Inventories consisted of the following on *March 31, 2026*, and *December 31, 2025*:

---

| | | |
|:---|:---|:---|
|  | ***March 31,*** | ***December 31,*** |
|  | ***2026*** | ***2025*** |
| Raw materials | $3671510 | $3282184 |
| Work in process | 2267951 | 2402158 |
| Finished goods and filtration systems | 1438643 | 1755674 |
| Reserve for obsolescence | (899990) | (960695) |
| Total inventories, net | $6478114 | $6479321 |

---

Inventory valuation adjustments for excess and obsolete inventory are calculated based on current inventory levels, movements, expected useful lives, and estimated future demand for the products.

**NOTE *7***– **CONTRACT ASSETS AND CONTRACT LIABILITIES**

The roll-forward of Contract assets and Contract liabilities for the periods ended *March 31, 2026* and *December 31, 2025* is as follows:

---

| | | |
|:---|:---|:---|
|  | ***March 31,*** | ***December 31,*** |
|  | ***2026*** | ***2025*** |
| Cost incurred | $1641546 | $1750757 |
| VAT | 150717 | 234984 |
| Other receivables | 76106 | 10826 |
| Prepayments | (1415768) | (1403702) |
|  | $452601 | $592865 |
| Distributed as follows: |  |  |
| Contract assets | $634154 | $733851 |
| Contract liabilities | (181553) | (140986) |
|  | $452601 | $592865 |

---

**NOTE *8***– **LEASES**

The Company leases certain vehicles, real property, production equipment and office equipment under lease agreements. The Company evaluates each lease to determine its appropriate classification as an operating lease or finance lease for financial reporting purposes. The majority of our operating leases are non-cancelable leases for production and office space in Hobro and Copenhagen, Denmark.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *17*

------

During the *three* months ended *March 31, 2026*, cash paid for amounts included for the measurement of finance lease liabilities was $126,768 and the Company recorded finance lease expenses in other income (expenses) of $29,657.

During the *three* months ended *March 31, 2026*, cash paid for amounts included for the measurement of operating lease liabilities was $248,767 and the Company recorded operating lease expense of $249,384.

Supplemental balance sheet information related to leases as of *March 31, 2026* and *December 31, 2025* was as follows:

---

| | | |
|:---|:---|:---|
|  | ***March 31,*** | ***December 31,*** |
|  | ***2026*** | ***2025*** |
| **Operating leases:** |  |  |
| Operating lease right-of-use assets | $4369053 | $4643680 |
| Operating lease liabilities – current | $711295 | $714446 |
| Operating lease liabilities – long-term | $3657758 | 3929234 |
| Total operating lease liabilities | $4369053 | $4643680 |
| **Finance leases:** |  |  |
| Property and equipment, at cost | $4487105 | $4590723 |
| Accumulated depreciation | (1756803) | (1703252) |
| Property and equipment, net | $2730302 | $2887471 |
| Finance lease liabilities – current | $504799 | $517759 |
| Finance lease liabilities – long-term | 1260692 | 1415908 |
| Total finance lease liabilities | $1765491 | $1933667 |
| Weighted average remaining lease term: |  |  |
| Operating leases | 4.9 | 6.0 |
| Finance leases | 2.3 | 2.5 |
| Weighted average discount rate: |  |  |
| Operating leases | 6.6% | 6.7% |
| Finance leases | 5.3% | 5.3% |

---

Maturities of lease liabilities at *March 31, 2026* were as follows:

---

| | | |
|:---|:---|:---|
|  | ***Operating*** | ***Finance*** |
|  | ***Leases*** | ***Leases*** |
| 2026 | $733928 | $452306 |
| 2027 | 980729 | 1147506 |
| 2028 | 830319 | 122303 |
| 2029 | 526183 | 172711 |
| 2030 | 524039 | 27222 |
| Thereafter | 1845313 | 16885 |
| Total payment under lease agreements | 5440511 | 1938933 |
| Less imputed interest | (1071458) | (173442) |
| Total lease liabilities | $4369053 | $1765491 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *18*

------

**NOTE *9*** – **LONG-TERM DEBT**

The components of notes payable are as follows:

---

| | | |
|:---|:---|:---|
|  | ***March 31,*** | ***December 31,*** |
|  | ***2026*** | ***2025*** |
| Senior promissory notes | $6000000 | $6000000 |
| Less: unamortized debt discount | (401951) | (489455) |
| Total senior promissory notes payable, net | $5598049 | $5510545 |
| Senior promissory notes payable, less current portion | 5598049 | 5510545 |
| Total senior promissory notes payable, net | $5598049 | $5510545 |

---

For the *three* months ended *March 31, 2026,* and *2025*, the Company recognized amortization of debt discount of $87,504 and $168,030, respectively. During the three months ended *March 31, 2026* accrued interests of $147,945 was recognized. This amount is *March 31, 2026* included in Accrued Expenses.

**NOTE *10*** – **AGREEMENTS AND COMMITMENTS**

**Contingencies** – From time to time, we *may* be involved in litigation relating to claims arising out of our operations in the normal course of business.

**Product Warranties** – The Company provides a standard warranty for its systems, generally for a period of one to three years after customer acceptance. The Company estimates the costs that *may* be incurred under its standard warranty programs and records a liability for such costs at the time product revenue is recognized.

In addition, the Company sells an extended warranty for certain systems, which generally provides a warranty for up to four years from the date of commissioning. The specific terms and conditions of the warranties vary depending upon the product sold and the country in which the installation occurred. Revenue received for the sale of extended warranty contracts is deferred and recognized in the same manner as the costs incurred to perform under the warranty contracts.

The Company periodically assesses the adequacy of its recorded warranty liabilities and adjusts the amounts as necessary. Factors that affect the warranty liability include the number of units sold, historical and anticipated rates of warranty claims, and the cost per claim.

Changes in the Company's current and long-term warranty obligations included in accrued expenses on the balance sheet, as of *March 31, 2026* and *December 31, 2025*, were as follows:

---

| | | |
|:---|:---|:---|
|  | ***March 31,*** | ***December 31,*** |
|  | ***2026*** | ***2025*** |
| Balance at January 1 | $524828 | $621031 |
| Warranty costs charged to cost of goods sold | (53342) | (87466) |
| Utilization charges against reserve |  | (78958) |
| Foreign currency effect | (10905) | 70221 |
| Balance at the end of the period | $460581 | $524828 |

---

**NOTE *11*** – **STOCKHOLDERS**' **EQUITY**

***Common Stock*** – The Company has 50,000,000 authorized shares of Common Stock, $0.001 par value. As of *March 31, 2026* and *December 31, 2025*, there were 9,947,841 and 9,627,064 shares of Common Stock issued and outstanding, respectively.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *19*

------

**Stock Issuances** 

During the *three* months ended *March 31, 2026*, the Company has made the following issuances of Common Stock:

On *January 26, 2026,* the Company issued 136,998 shares of Common Stock to settle RSUs. The RSUs were valued at $271,256 for services provided by the Company's board of directors (the "Board of Directors") in *2025*. The Company recognized the stock-based compensation of the award over the requisite service period during the year ended *December 31, 2025*.

On *January 27, 2026,* the Company issued 63,149 shares of Common Stock to settle RSUs. The RSUs were valued at $137,549 for services provided by the Company's Senior Leadership Team (the "SLT") in *2025*. The Company recognized the stock-based compensation of the award over the requisite service period during the year ended *December 31, 2025*.

On *January 27, 2026,* the Company issued 87,374 shares of Common Stock to settle RSUs. The RSUs were valued at $230,741 for services provided by management in *2025*. The Company recognized the stock-based compensation of the award over the requisite service period during the year ended *December 31, 2025*. In connection with the issuance, 67,840 shares of Common Stock, with a total value of $172,198, were withheld from vesting to settle tax withholdings associated with stock-based compensation.

On *February 12, 2026,* the Company issued 7,389 shares of Common Stock to settle RSUs. The RSUs were valued at $14,630 for services provided by the Company's Senior Leadership Team (the "SLT") in *2025*. The Company recognized the stock-based compensation of the award over the requisite service period during the year ended *December 31, 2025*.

On *February 12, 2026,* the Company issued 25,867 shares of Common Stock to settle RSUs. The RSUs were valued at $47,337 for services provided by management in *2025*. The Company recognized the stock-based compensation of the award over the requisite service period during the year ended *December 31, 2025*. In connection with the issuance, 5,589 shares of Common Stock, with a total value of $10,228, were withheld from vesting to settle tax withholdings associated with stock-based compensation.

**Warrants** 

On *March 26, 2025,* the Company entered into a Second Amendment to the Note and Warrant Purchase Agreement (the "Second Amendment") originally dated *June 22, 2022,* with the holders of the Company's senior promissory notes. In connection with the Second Amendment, the parties executed Allonge *No. 2* (the "Allonges") to each of the existing amended notes, resulting in an extension of the maturity date from *January 1, 2026* to *May 1, 2027.*

Additionally, pursuant to the Allonges, beginning on *January 1, 2026,* the notes will bear interest at a rate of 10% per annum, payable semiannually. In the event of a default or if the notes are *not* repaid on or before the new maturity date, the interest rate increases to 13% per annum, with a monthly 1% step-up up to a cap of 16% per annum, payable monthly. Accrued interest (excluding default interest) *may* be paid in cash or in shares of common stock, at the Company's election, subject to certain limitations.

As part of the transaction, the Company and the noteholders also agreed to amend and restate the related warrants, reducing the exercise price from $5.20 to $2.00 per share and extending the expiration date to *December 31, 2029.* The repricing resulted in an incremental change in warrant value of $220,000.

The following is a summary of the periodic changes in warrants outstanding for the *three* months ended *March 31, 2026,* and *2025*:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | ***2026*** | ***2026*** | ***2025*** | ***2025*** |
| Outstanding, December 31 |  | 11391225 |  | 11391225 |
| Warrants issued in connection with public offering and private placement |  |  |  |  |
| Outstanding, March 31 |  | 11391225 |  | 11391225 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *20*

------

**Stock-based Compensation** 

Directors of the Company receive share compensation consisting of annual grants of $36,750 ($73,500 for the Chairman of the Board) in RSUs per annum with *one*-year vesting.

In *2022,* the Company's Board of Directors adopted an Equity Incentive Plan (the *"2022* Incentive Plan"). Under the terms and conditions of the *2022* Incentive Plan, the Board of Directors is empowered to grant stock awards, including RSUs, to officers and directors of the Company. At *March 31, 2026*, 309,527 RSUs were granted and outstanding under the *2022* Incentive Plan.

The Company recognizes compensation costs for RSU grants to Directors and management based on the stock price on the date of the grant.

The Company recognized stock-based compensation expense related to RSU grants of $218,252 and $241,245 for the *three*-month periods ended *March 31, 2026,* and *2025*, respectively. On *March 31, 2026*, the Company had $1,427,071 of unrecognized compensation cost related to non-vested stock grants.

A summary of the status of the RSUs as of *March 31, 2026* and changes during the period are presented below:

---

| | | | |
|:---|:---|:---|:---|
|  | ***March 31, 2026*** | ***March 31, 2026*** | ***March 31, 2026*** |
|  |  | ***Weighted*** |  |
|  |  | ***Average*** | ***Aggregated*** |
|  | ***Number of*** | ***Grant-Date*** | ***Intrinsic*** |
|  | ***units*** | ***Fair value*** | ***Value*** |
| Outstanding, December 31, 2025 | 703753 | $2.21 | $- |
| Vested and settled with share issuance | (320777) | 2.19 | *-* |
| Forfeited | (73449) | 2.48 | *-* |
| Outstanding, March 31, 2026 | 309527 | $2.17 | $- |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *21*

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**NOTE *12*** – **LOSS PER SHARE**

Basic and diluted net income (loss) per common share is determined by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the period. For the periods where there is a net loss, stock options, warrants, and RSUs have been excluded from the calculation of diluted net loss per common share because their effect would be anti-dilutive. Consequently, the weighted average number of shares of Common Stock used to calculate both basic and diluted net loss per common share is the same for the reported periods.

As of *March 31, 2026*, the Company had 309,527 RSUs, 5,299,879 prefunded warrants, and 6,091,346 warrants, all exercisable for shares of Common Stock.

As of *March 31, 2025*, the Company had 554,571 RSUs, 5,299,879 prefunded warrants, and 6,091,346 warrants, all exercisable for shares of Common Stock.

**NOTE *13*** – **SIGNIFICANT CUSTOMERS AND CONCENTRATIONS**

The following table presents customers accounting for *10%* or more of the Company's revenue:

---

| | | |
|:---|:---|:---|
|  | **For the Three Months** | **For the Three Months** |
|  | **Ended March 31,** | **Ended March 31,** |
|  | **2026** | **2025** |
| Customer A | 12% | *\**% |
| Customer B | 11 | *\** |
| Customer C | *\**% | 40% |

---

\* Zero or less than *10%*

The following table presents customers accounting for *10%* or more of the Company's Accounts receivable:

---

| | | |
|:---|:---|:---|
|  | ***March 31,*** | ***December 31,*** |
|  | ***2026*** | ***2025*** |
| Customer A | 13% | *\**% |
| Customer B | 11 | 10 |
| Customer C | *\** | 12 |
| Customer D | *\** | 20 |
| Customer E | *\**% | 16% |

---

\* Zero or less than *10%*

As of *March 31, 2026*, approximately 95% of the Company's assets were located in Denmark, 3% were located in China, and 2% were located in the U.S. As of *December 31, 2025*, approximately 97% of the Company's assets were located in Denmark, 3% were located in China, and 0% were located in the U.S.

**NOTE *14*** – **SUBSEQUENT EVENTS**

*None.*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *22*

------

**ITEM 2. MANAGEMENT**'**S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS**

*The following discussion should be read in conjunction with our unaudited condensed consolidated financial statements and the related notes included elsewhere in this quarterly report. In addition, the following discussion should be read in conjunction with our annual report on Form 10-K filed with the U.S. Securities and Exchange Commission on February 27, 2026 and the financial statements and notes thereto. We undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements. Given these risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements.*

**Overview**

LiqTech International, Inc. is a clean technology company that provides state-of-the-art gas and liquid purification products by manufacturing ceramic silicon carbide filters and membranes as well as developing industry-leading and fully automated filtration solutions and systems. For more than two decades, we have developed and manufactured products of re-crystallized silicon carbide. We specialize in three business areas: ceramic membranes and membrane incorporated liquid filtration systems, ceramic diesel particulate filters (DPFs) to control soot exhaust particles and black carbon emission from diesel engines, and plastic components for usage across various industries. Using nanotechnology, we develop proprietary products using patented silicon carbide technology. Our products are based on innovative silicon carbide membranes that facilitate new applications and improve existing technologies. We market our products from our offices in Denmark and through local representatives and distributors. The products are shipped directly to customers from our production facilities in Denmark.

The terms "LiqTech", "we", "our", "us", the "Company" or any derivative thereof, as used herein, refer to LiqTech International, Inc., a Nevada corporation, together with its direct and indirect wholly-owned subsidiaries, which we collectively refer to herein as our "Subsidiaries".

At present, we conduct our operations in the Kingdom of Denmark, the U.S. and China, with locations in the Copenhagen area, Hobro, Fort Worth and Nantong.

**Our Strategy**

Our strategy is to leverage our core competencies in material science, advanced filtration, systems integration, and application knowledge, creating differentiated products with compelling value propositions to penetrate attractive end markets with customer needs and regulatory tailwind. Essential imperatives associated with our strategy include the following:

● **Develop and reinforce new products and applications to provide clean water and reduce pollution.** We currently provide water filtration systems for commercial pool owners, dual fuel marine vessels, shipowners, and ship operators as well as tailored filtration systems for oil & gas operators, industrial operators and services companies. We are expanding our range of products to better leverage existing customer relationships and develop new relationships within the oil & gas, marine, chemical, and other industries.

● **Better penetration of existing end markets where our value proposition is strong.** We have successfully sold products and installed systems into several end market segments--including automotive/transportation, clean water and pool filtration, marine, industrial wastewater, chemical/petrochemical, and oil & gas applications. We are focused on targeting and developing new customers in these end markets while working with distributors, agents, and partners to access other important geographic markets.

● **Develop new end markets for our core products and applications**. Our existing products and systems are relevant for and valuable to other end markets, and we regularly evaluate opportunities to develop strategic partners to perfect new applications and validate associated value propositions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 23

------

**Results of Operations**

The financial information below is derived from our unaudited condensed consolidated financial statements included elsewhere in this report.

**Comparison of the Three Months Ended March 31, 2026, and March 31, 2025**

The following table sets forth our revenues, expenses, and net loss for the three months ended March 31, 2026, and 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
|  |  |  |  |  | **Period to Period Change** | **Period to Period Change** |
|  |  | **As a %** |  | **As a %** |  | **Percent** |
|  | **2026** | **of Sales** | **2025** | **of Sales** | **Variance** | **%** |
| **Revenue** | $4136320 | 100.0% | $4617541 | 100.0% | $(481221) | (10.4)% |
| Cost of goods sold | 3742576 | 90.5 | 4492485 | 97.3 | (749909) | (16.7) |
| **Gross Profit (Loss)** | 393744 | 9.5 | 125056 | 2.7 | 268688 | 214.9 |
| **Operating Expenses** |  |  |  |  |  |  |
| Selling expenses | 980674 | 23.7 | 718016 | 15.5 | 262658 | 36.6 |
| General and administrative expenses | 1414145 | 34.2 | 1362246 | 29.5 | 51899 | 3.8 |
| Research and development expenses | 276134 | 6.7 | 230123 | 5.0 | 46011 | 20.0 |
| Total Operating Expenses | 2670953 | 64.6 | 2310385 | 50.0 | 360568 | 15.6 |
| **Loss from Operation** | (2277209) | (55.1) | (2185329) | (47.3) | (91880) | 4.2 |
| **Other Income (Expense)** |  |  |  |  |  |  |
| Interest and other income | 16857 | 0.4 | 68751 | 1.5 | (51894) | (75.5) |
| Interest expense | (209064) | (5.1) | (48283) | (1.0) | (160781) | 333.0 |
| Amortization of debt discount | (87504) | (2.1) | (168030) | (3.6) | 80526 | (47.9) |
| Gain (loss) on foreign currency transactions | (168556) | (4.1) | 35516 | 0.8 | (204072) | (574.6) |
| Gain (loss) on disposal of property and equipment |  |  | (61306) | (1.3) | 61306 | (100.0) |
| Total Other Income (Expense) | (448267) | (10.8) | (173352) | (3.8) | (274915) | 158.6 |
| **Loss Before Income Taxes** | (2725476) | (65.9) | (2358681) | (51.1) | (366795) | 15.6 |
| Income tax benefit | (377) | (0.0) | (339) | (0.0) | (38) | 11.2 |
| **Net Loss** | $(2725099) | (65.9)% | $(2358342) | (51.1)% | $(366757) | 15.6% |
| Net Loss attributable to Noncontrolling Interest | (14987) | (0.4) | (6950) | (0.2) | (8037) | 115.6 |
| Net Loss attributable to LiqTech International, Inc. | (2710112) | (65.5) | (2351392) | (50.9) | (358720) | 15.3 |

---

***Revenues***

Revenue for the three months ended March 31, 2026 was $4,136,320 compared to $4,617,541 for the same period in 2025, representing a decrease of $481,221, or 10.4%. The decrease was solely attributable to a reduction in system sales, reflecting a significant Water for Energy delivery in 2025 that did not recur in 2026. Within the Systems segment, sales to both the Pool and Marine segments increased significantly. Furthermore, deliveries of Filters, Membranes, and Components increased during the period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 24

------

***Gross Profit (Loss)***

Gross profit for the three months ended March 31, 2026 was $393,744 (representing a gross profit margin of 9.5%) compared to a gross profit of $125,056 (representing a gross profit margin of 2.7%) for the same period in 2025, marking an increase of $268,688, or 214.9%. This increase was primarily driven by mix towards higher value system sales, better utilization of our manufacturing capacity, procurement effects on prices, and low depreciation expenses. Included in the gross profit was depreciation of $330,006 and $392,292 for the three months ended March 31, 2026, and 2025, respectively.

***Expenses***

Total operating expenses for the three months ended March 31, 2026 were $2,670,953, representing an increase of $360,568, or 15.6%, compared to $2,310,385 for the same period in 2025. Approximately 60% of the increase relates to foreign exchange rate developments, as the average USD/DKK exchange rate for the three months ended March 31st, was 6.385 in 2026 and 7.092 in 2025.

Selling expenses for the three months ended March 31, 2026 were $980,674 compared to $718,016 for the same period in 2025, representing an increase of $262,658, or 36.6%. Excluding the impact of foreign exchange rate developments, costs increased primarily due to the full-year effect of hires within the joint venture in China, Nantong JiTRI LiqTech Green Energy Technology Co., Ltd. (the "JV"), as well as continued investments in the sales organization across the U.S. and Europe, and annualization of the Service Center cost in the U.S.

General and administrative expenses for the three months ended March 31, 2026 were $1,414,145 compared to $1,362,246 for the same period in 2025, representing an increase of $51,899, or 3.8%. Adjusting for foreign exchange rate developments, expenses remained stable and below general inflation, as filing of open positions were covered by savings on other overhead expenses. Included in general and administrative expenses were non-cash compensation of $218,252 and $241,245 for the three months ended March 31, 2026, and 2025, respectively.

Research and development expenses for the three months ended March 31, 2026 were $276,134 compared to $230,123 for the same period in 2025, representing an increase of $46,011, or 20.0%. The increase was primarily attributed to membrane development costs and cost related to development of Marine systems.

***Other Income (Expenses)***

Other expenses for the three months ended March 31, 2026 were $448,267 compared to other expenses of $173,352 for the comparable period in 2025, representing an increase of $274,915, or 158.6%. The change was primarily attributable to losses on foreign currency transactions, lower interest income, and accrued interests on the senior promissory notes, partly balanced by lower amortization of debt discount, and a decrease of net interest expenses for the three months ended March 31, 2026

***Net Loss***

As a result of the cumulative effect of the factors described above, we reported a net loss for the three months ended March 31, 2026 of $2,725,099 compared to $2,358,342 for the comparable period in 2025, representing an increase in net loss of $366,757, or 15.6%.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 25

------

**Liquidity and Capital Resources**

The Company has historically financed operations through offerings of equity or debt instruments, internally generated cash from operations, and our available lines of credit. On March 31, 2026, we had cash of $2,732,739 and net working capital of $8,483,730, and on December 31, 2025, we had cash of $5,070,385 and net working capital of $11,237,788. On March 31, 2026, our net working capital had decreased by $2,754,058 compared to December 31, 2025, mainly as a result of a reduction in cash and cash equivalents used to fund operating losses

The Company has experienced operating losses and cash outflows from continuing operations and will require additional funding to support operations for the twelve months following the issuance of these financial statements. These conditions raise substantial doubt about our ability to continue as a going concern. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

Management has implemented cost optimization operational initiatives and working capital control designed to improve liquidity and support a sustainable path toward profitability, supported by an updated strategic focus and strengthened leadership. The Company continues to evaluate financing alternatives and strategic opportunities to enhance its capital position. While there can be no assurance that additional funding will be obtained on favorable terms, management believes its ongoing initiatives position the Company to support operations and advance its strategic objectives.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 26

------

**Cash Flows** 

***Three months ended March 31, 2026 compared to three months ended March 31, 2025***

Cash flows used in operating activities for the three months ended March 31, 2026 were $1,941,544 representing an increase of $644,358 compared to cash flows used in operating activities of $1,297,186 for the three months ended March 31, 2025. The cash flows used in operating activities for the period consists mainly of the net loss of $2,725,099, adjusted for depreciation and other non-cash-related items of $835,210, an increase in accounts receivables of $317,277, prepaid expenses and other current assets of $399,522, and partially offset by an increase in accounts payable of $526,117.

Cash flows used in investing activities were $269,724 for the three months ended March 31, 2026 as compared to cash flows used in investing activities of $110,860 for the three months ended March 31, 2025, representing a change of $158,864. The investing activities include general purchases of production equipment to continue optimizing production throughput and the internal production of rental assets. For the three months ended March 31, 2026, the main additions were investments in assembly equipment in our JV in China and in the U.S. Service Center.

Cash flows provided from financing activities were $(311,911) for the three months ended March 31, 2026 compared to cash flows used by financing activities of $989,722 for the three months ended March 31, 2025, representing a change of $1,301,633. Financing activities primarily consisted of repayments of lease obligations and the acquisition of common stock to satisfy tax withholding obligations. Additionally, in the prior-year period, the Company received proceeds from a long-term loan as well as a capital contribution from the noncontrolling interest in the joint venture.

**Off Balance Sheet Arrangements**

As of March 31, 2026, we had no off-balance sheet arrangements. We are not aware of any material transactions that are not disclosed in our consolidated financial statements.

**Significant Accounting Policies and Critical Accounting Estimates**

The methods, estimates, and judgments that we use in applying our accounting policies have a significant impact on the results that we report in our consolidated financial statements. Some of our accounting policies require us to make difficult and subjective judgments, often as a result of the need to make estimates regarding matters that are inherently uncertain. Our most critical accounting estimates include:

● The assessment of revenue recognition, which impacts revenue and cost of sales;

● the assessment of allowance for product warranties, which impacts gross profit;

● the assessment of collectability of accounts receivable, which impacts operating expenses if and when we record bad debt or adjust the allowance for doubtful accounts;

● the assessment of recoverability of long-lived assets, which impacts gross profit or operating expenses if and when we record asset impairments or accelerate their depreciation;

● the recognition and measurement of current and deferred income taxes (including the measurement of uncertain tax positions), which impact our provision for taxes;

● the valuation of inventory, which impacts gross profit; and

● the recognition and measurement of loss contingencies, which impact gross profit or operating expenses when we recognize a loss contingency, revise the estimate for a loss contingency, or record an asset impairment.

**Recently Enacted Accounting Standards**

For a description of accounting changes and recent accounting standards, including the expected dates of adoption and estimated effects, if any, on our consolidated financial statements, see "Note 1: Basis of Presentation and Other Information" in the accompanying financial statements.

**ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK**

We are not required to provide quantitative and qualitative disclosures about market risk because we are a smaller reporting company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 27

------

**ITEM 4. CONTROLS AND PROCEDURES**

*<u>Evaluation of Disclosure Controls and Procedures</u>*

Management, with the participation of our Chief Executive Officer and our Chief Financial Officer, evaluated the design and effectiveness of our internal controls over financial reporting and disclosure controls and procedures (pursuant to Rule 13a-15(b) and (c) under the Exchange Act) as of the end of the period covered by this Quarterly Report. A material weakness is a control deficiency, or combination of control deficiencies, in internal control over financial reporting such that there is a reasonable possibility that a misstatement of the registrant's financial statements will not be prevented or detected on a timely basis.

There are inherent limitations to the effectiveness of any system of disclosure controls and procedures, including the possibility of human error and the circumvention or overriding of the controls and procedures. Accordingly, even effective disclosure controls and procedures can only provide reasonable assurance of achieving their control objectives.

Based upon that evaluation, our Chief Executive Officer and our Chief Financial Officer concluded that our disclosure controls and procedures as of March 31, 2026 were not effective as of the period covered by this Quarterly Report due to material weaknesses in internal controls over financial reporting. For more information on material weaknesses identified by management, please refer to our Form 10-K filed on February 27, 2026 for the year ended December 31, 2025.

*<u>Changes in Internal Control over Financial Reporting</u>*

There was no change in our internal control over financial reporting during the period covered by this report that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

*<u>Management's Remediation Initiatives</u>*

In response to the identified material weaknesses, our management, with oversight from the Company's Audit Committee, has been and will continue to dedicate necessary resources to enhance the Company's internal control over financial reporting and remediate the identified material weaknesses. As an example of such remediation, the Company in 2025 hired additional employees into the finance department, and we plan to continue to work on remediating the material weaknesses during 2026 by improving competencies and processes. Further, the Company is evaluating an ERP reimplementation along with other IT programs to help reinforce its controls and processes, and these investments are an important step in the remediation of the material weaknesses. During 2022, the Company introduced an updated Delegation of Authority, with the overall purpose to provide clarity for all employees on the extent to which they can commit the Company and at the same time provide the Company with assurance that decisions about agreements are made by the appropriate functions and employees. Lastly, the Company has started the process of redesigning and ensuring documentation of all processes and procedures related to the financial reporting process to ensure the effective design and operation of process-level controls.

While management believes that the steps that we have taken and plan to take will improve the overall system of internal control over financial reporting and will remediate identified material weaknesses, the material weaknesses cannot be considered remediated until the applicable relevant controls operate for a sufficient period of time.

*<u>Limitations on the Effectiveness of Internal Controls</u>*

An internal control system, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within the Company have been detected. These inherent limitations include the realities that judgments in decision-making can be faulty and that breakdowns can occur because of simple error or mistake. Additionally, controls can be circumvented by the individual acts of some persons, by collusion of two or more people, or by management override of the control. The design of any system of controls also is based in part upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions. Over time, a control may become inadequate because of changes in conditions, or the degree of compliance with the policies or procedures may deteriorate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 28

------

**PART II - OTHER INFORMATION**

**ITEM 1. LEGAL PROCEEDINGS**

From time to time, we may be involved in litigation relating to claims arising out of our operations in the normal course of business. For a description of contingencies, see "Note 9 – Agreements And Commitments".

**ITEM 1A. RISK FACTORS**

There have been no material changes to the risk factors discussed in "Risk Factors" in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 31, 2025, filed with the SEC on February 27, 2026.

We will require substantial capital investment in the future, and our inability to raise adequate capital could affect our ability to continue as a going concern.

We will require significant funding to continue our operations and advance our development of new products. Our ability to raise additional capital, on timely and favorable terms or at all, will depend on various factors, including macroeconomic conditions, future commodity prices, our exploration success, and market conditions. If these factors deteriorate, our ability to raise capital to fund ongoing operations and business activities could be significantly impacted. If we cannot obtain adequate additional financing, we may have to substantially curtail our exploration and development activities or sell assets, which could materially and adversely affect our business plan. Inadequate financial resources could also raise substantial doubt about our ability to continue as a going concern.

**ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS**

We did not sell any equity securities during the quarter ended March 31, 2026 in transactions that were not registered under the Securities Act other than as previously disclosed in our other filings with the SEC.

**ITEM 3. DEFAULTS UPON SENIOR SECURITIES**

None.

**ITEM 4. MINE SAFETY DISCLOSURES**

None.

**ITEM *5.* OTHER INFORMATION**

(c) *<u>Insider Trading Plans</u>*

During the quarter ended *March 31, 2026*, *no* director or Section *16* officer adopted, modified, or terminated any "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement" (in each case, as defined in Item *408*(a) of Regulation S-K).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *29*

------

**ITEM 6.**&nbsp;&nbsp;&nbsp;&nbsp;**EXHIBITS**<br>

---

| | | |
|:---|:---|:---|
| 3.1 | [Articles of Incorporation, as amended as of November 13, 2023](http://www.sec.gov/Archives/edgar/data/1307579/000143774924009045/ex_642524.htm) | Incorporated by reference to Exhibit 3.1 to the Company's Annual Report on Form 10-K as filed with the SEC on March 22, 2024 (File No. 001-36210) |
| 3.2 | [Amended and Restated Bylaws](http://www.sec.gov/Archives/edgar/data/1307579/000143774925016825/ex_817582.htm) | Incorporated by reference to Exhibit 3.2 to the Company's Annual Report on Form 10-Q as filed with the SEC on May 14, 2025 (File No. 001-36210) |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 30

------

---

| | | |
|:---|:---|:---|
| 31.1 | [Certifications of the Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002](ex_936702.htm) | Filed herewith |
| 31.2 | [Certifications of the Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002](ex_936703.htm) | Filed herewith |
| 32.1 | [Certification Pursuant To 18 U.S.C. Section 1350, As Adopted Pursuant To Section 906 of the Sarbanes-Oxley Act Of 2002](ex_936704.htm) | Furnished herewith |
| 32.2 | [Certification Pursuant To 18 U.S.C. Section 1350, As Adopted Pursuant To Section 906 of the Sarbanes-Oxley Act Of 2002](ex_936705.htm) | Furnished herewith |
| 101. INS | Inline 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) | Provided herewith |
| 101. CAL | Inline XBRL Taxonomy Extension Calculation Link base Document | Provided herewith |
| 101. DEF | Inline XBRL Taxonomy Extension Definition Link base Document | Provided herewith |
| 101. LAB | Inline XBRL Taxonomy Label Link base Document | Provided herewith |
| 101. PRE | Inline XBRL Extension Presentation Link base Document | Provided herewith |
| 101. SCH | Inline XBRL Taxonomy Extension Scheme Document | Provided herewith |
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101). | Provided herewith |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 31

------

**SIGNATURES**

Pursuant to the requirements 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.

---

| | |
|:---|:---|
|  | LiqTech International, Inc. |
| Dated: May 13, 2026 | */s/ Fei Chen*  |
|  | Fei Chen, Chief Executive Officer |
|  | (Principal Executive Officer) |
| Dated: May 13, 2026 | */s/ David Noerby Foss Kowalczyk* |
|  | David Noerby Foss Kowalczyk, Chief Financial and Operating Officer |
|  | (Principal Financial, and Accounting) |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 32

## Exhibit 31.1

**Exhibit 31.1**

**OFFICER**'**S CERTIFICATE**

**PURSUANT TO SECTION 302**

I, Fei Chen, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q for the period ended March 31, 2026 of LiqTech International, Inc.;

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;

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;

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;&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;&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;&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;&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

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;&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;&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.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; Date: May 13, 2026 | By: | */s/ Fei Chen* |
|  | Name: | Fei Chen |
|  | Title: | President and Chief Executive Officer and<br> Principal Executive Officer |

---

## Exhibit 31.2

**Exhibit 31.2**

**OFFICER**'**S CERTIFICATE**

**PURSUANT TO SECTION 302**

I, David Noerby Foss Kowalczyk, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q for the period ended March 31, 2026 of LiqTech International, Inc.;

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;

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;

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;&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;&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;&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;&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

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;&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;&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: May 13, 2026 | By: | */s/ David Noerby Foss Kowalczyk* |
|  | Name: | David Noerby Foss Kowalczyk |
|  | Title: | Chief Financial and Operating Officer<br> (Principal Financial, and Accounting Officer) |

---

## Exhibit 32.1

**Exhibit 32.1**

**CERTIFICATION PURSUANT TO**

**18 U.S.C. SECTION 1350**

**AS ADOPTED PURSUANT TO**

**SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002**

In connection with the Quarterly Report of LiqTech International, Inc. (the "<u>Company</u>") on Form 10-Q for the period ended March 31, 2026 as filed with the U.S. Securities and Exchange Commission on the date hereof (the "<u>Report</u>"), the undersigned hereby certifies pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to her knowledge:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operation of the Company.

---

| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; Date: May 13, 2026 | By: | */s/ Fei Chen* |
|  | Name: | Fei Chen |
|  | Title: | President & Chief Executive Officer and Principal<br> Executive Officer |

---

A signed original of this written statement required by Section 906, or other document authentications, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to the Company and will be retained by the Company and furnished to the U.S. Securities and Exchange Commission or its staff upon request.

## Exhibit 32.2

**Exhibit 32.2**

**CERTIFICATION PURSUANT TO**

**18 U.S.C. SECTION 1350**

**AS ADOPTED PURSUANT TO**

**SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002**

In connection with the Quarterly Report of LiqTech International, Inc. (the "<u>Company</u>") on Form 10-Q for the period ended March 31, 2026 as filed with the U.S. Securities and Exchange Commission on the date hereof (the "<u>Report</u>"), the undersigned hereby certifies pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to his knowledge:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operation of the Company.

Date: May 13, 2026 By: <u> /*s/ David Noerby Foss Kowalczyk* </u> <br> Name: David Noerby Foss Kowalczyk <br> Title: Chief Financial and Operating Officer (Principal Financial, and Accounting Officer)

A signed original of this written statement required by Section 906, or other document authentications, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to the Company and will be retained by the Company and furnished to the U.S. Securities and Exchange Commission or its staff upon request.