Arq, Inc. (ARQ) FY2025 10-K Annual Report

Filed: Mar 10, 2026
Health Care
Miscellaneous Chemical ProductsSEC EDGAR

Arq, Inc. (ARQ) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Mar 10, 2026. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

Arq, Inc. FY2025 10-K Analysis

Business Overview

  • Core business model: Manufacture and supply consumables and products to reduce mercury emissions and pollutants linked to coal-based power generation
  • New emphasis on addressing operational delays and ramp-up issues at GAC Facility leading to idling of Corbin Facility from January 1, 2026
  • Strategic risk from EPA's repeal of 2024 MATS amendment on mercury emission limits, potentially decreasing demand for mercury removal products
  • Revenue concentration: Top five customers accounted for approx. 50% of total revenue in 2025, top three for 42%
  • Noteworthy risks in 2026 filing include intensified regulatory uncertainty, supply chain disruptions, and increased geopolitical tensions affecting raw material costs and transport logistics

Management Discussion & Analysis

  • No revenue or profitability figures disclosed in the Surety Bonds or Long Term Requirements sections
  • Contractual obligations total $22.3 million with $5.2 million due within 1 year, $6.3 million in 1-3 years
  • Asset retirement obligations liability $4.9 million for Five Forks Mine reclamation recorded on balance sheet
  • Revolving Credit Facility borrowings $19.0 million as of December 31, 2025 with uncertain repayment timing
  • No forward-looking guidance, management outlook, or risk disclosures provided in this excerpt

Risk Factors

  • Regulatory risk: Ongoing compliance with environmental and operational licenses required for GAC Facility expansion at Red River Plant
  • Macroeconomic/supply chain risk: Supply chain constraints for bituminous coal feedstock essential for GAC production transition
  • Operational risk: Design flaws at GAC Facility caused production pause and idling of Corbin Facility since Dec 2025
  • Financial risk: $19.0M debt outstanding with $1.4M revolving credit availability, plus $8.4M term loan owed on Corbin Facility as of Dec 31, 2025
  • Competitive/market risk: Potential delays and cost overruns at GAC Facility may hinder Arq's ability to compete in GAC product market segment

Arq, Inc. FY2025 Key Financial Metrics
XBRL

Revenue

$120M

+10.4% YoY

Net Income

-$53M

-929.8% YoY

Operating Margin

-44.0%

-4221bp YoY

Net Margin

-43.7%

-3903bp YoY

ROE

-31.3%

-2897bp YoY

Total Assets

$231M

-18.9% YoY

EPS (Diluted)

$-1.27

-807.1% YoY

Operating Cash Flow

-$3M

-126.1% YoY

Source: XBRL data from Arq, Inc. FY2025 10-K filing on SEC EDGAR. All figures in USD.

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