u/Low_Astronomer_9601

There is no sugar coating this…Q2 was clearly disappointing:
Revenue: $7.9M
Gross margin: 7%
Operating loss: $7.0M
2026 guidance cut from $125M to $60–75M
The guidance cut is the biggest issue and management has some credibility to rebuild.
That said, the DLA story is finally becoming real. The first ~$2.6M of shipments were accepted in July and will hit Q3, with roughly $9.17M of delivered/in-transit/awaiting-inspection shipments identified. Management also expects at least $9-10M of additional government sales in Q3 and still has $57.3M of DLA orders on the books.

If revenue accelerates, margins recover, and DLA shipments convert as promised, the thesis survives. If we get another quarter of delays and weak margins, execution becomes the real problem.

Does the World Need Chinese Rare Earths? Not Necessarily, Say These Companies

Does the World Need Chinese Rare Earths? Not Necessarily, Say These Companies