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Dec 31, 2024
PureCycle Q4 2024 Earnings Report
PureCycle announced a corporate update for the fourth quarter and fiscal year ending December 31, 2024, highlighting progress in commercialization and operations.
Key Takeaways
PureCycle Technologies reported progress in Q4 2024, with improvements at the Ironton facility, the Denver, PA sorting facility coming online, and advancements in compounding. The company is engaged in over 20 trials for its PureFive™ resin and made its first major sale to Drake Extrusion Inc.
Ironton facility saw ongoing improvements, with onstream time reaching nearly 70% in December and a max feed rate of 12,500 pounds per hour in February.
First major sale was made to Drake Extrusion Inc., marking a substantial growth opportunity with PureFive™ resin used in continuous filament yarns.
Churchill Container's "Run It Back" line of cups and popcorn buckets will be made with up to 100% PureFive™ resin, generating interest from over ten sports teams.
Compounds developed with PureFive™ resin for P&G applications (Old Spice®, Febreze®, Tide®, Cascade®, and Metamucil®) are scheduled for industrial molding trials, with first application production expected in Q2 or Q3 2025.
PureCycle
PureCycle
Forward Guidance
PureCycle is focused on increasing production levels to match sales and continuing to test the upper limits of the Ironton Facility to further understand the impacts to reliability and quality.
Positive Outlook
- Improved maximum feed rate and reliability at the Ironton Facility.
- Onstream time was nearly 70% in December, a new high.
- Hit a max feed rate of 12,500 pounds per hour in February.
- The sorting facility in Denver, PA continues to create high-quality polypropylene bales.
- PureCycle's compounding operation has played a critical role in the commercialization of plastic-to-plastic recycling process.
Challenges Ahead
- Ability to obtain funding for its operations and future growth and to continue as a going concern
- Ability to meet, and to continue to meet, applicable regulatory requirements for the use of PCT’s PureFive™ resin in food grade applications
- Ability to comply on an ongoing basis with the numerous regulatory requirements applicable to the PureFive™ resin and PCT’s facilities
- Ability of PCT’s first commercial-scale recycling facility in Lawrence County, Ohio (the “Ironton Facility”) to be appropriately certified by Leidos, following certain performance and other tests, and commence full-scale commercial operations in a timely and cost-effective manner or at all
- Ability to complete the necessary funding with respect to, and complete the construction of, (i) its first U.S. multi-line facility, located in Augusta, Georgia, and (ii) its first commercial-scale European plant located in Antwerp, Belgium, in a timely and cost-effective manner