Innventure (NASDAQ:INV) executives used the company’s fourth quarter 2025 earnings call to frame what they described as a transition from “potential to performance,” pointing to a sharp rise in commercial bookings at Accelsius, continued customer traction at AeroFlexx, and fast technology validation milestones at Refinity.
Lucas Harper, Innventure’s Chief Investment Officer, opened the call with standard reminders regarding non-GAAP measures and forward-looking statements before turning the discussion over to Chief Growth Officer Roland Austrup and CEO Bill Haskell for business updates, followed by CFO Dave Yablunosky’s review of results and liquidity.
Management highlights commercial “inflection” across operating companies
Austrup also said each operating company is increasingly raising capital directly, reducing reliance on Innventure’s balance sheet “exactly on schedule.” The company plans to host an April “Innventure CEO call” with leaders from Accelsius, AeroFlexx, and Refinity, according to Austrup.
Accelsius: contracted backlog, supply-chain constraints, and Series B valuation
Haskell said Accelsius is scaling into the market for direct-to-chip liquid cooling, which he characterized as increasingly necessary for AI data center infrastructure. He reported that Accelsius secured “over $50 million in contracted backlog” in the first quarter of 2026, tied to greenfield, next-generation data center developments and anchored by an initial order for a deployment by DarkNX, which Haskell described as a “vertically integrated and funded AI data center developer.”
At the same time, Haskell cautioned that global data center supply-chain constraints—including power distribution equipment, switchgear, memory, and modular mechanical systems—can affect delivery timing and revenue recognition. While the company expects to recognize most of the contracted backlog as revenue in 2026, he said the cadence is difficult to forecast and that revenue is expected to be “heavily back-end weighted” in 2026.
Yablunosky said Accelsius revenue rose to $1.6 million in 2025 from $0.3 million in 2024, driven by proof-of-concept deployments. He reiterated that the first-quarter 2026 contracted backlog consists of “production volume orders, not pilots, not trials,” and said it provides “strong visibility into meaningful revenue scaling in 2026.”
On profitability, Haskell said Accelsius is on a path to exit 2026 at cash flow breakeven (defined as cash from operations), implying “a December 2026 annual revenue run rate of approximately $100 million.” He also said Accelsius’s cash on hand is sufficient to reach that threshold.
Haskell highlighted industry M&A as evidence of a broader shift toward liquid cooling, citing acquisitions of CoolIT and Boyd at “roughly 8-9 times revenue and nearly 30 times forward EBITDA.” He emphasized Accelsius’s two-phase architecture compared to what he described as single-phase approaches used by those businesses today, arguing two-phase cooling offers an architectural advantage in heat removal and energy efficiency.
Haskell also pointed to third-party investor validation: in December 2025, Accelsius closed the second tranche of a $65 million Series B led by Johnson Controls and Legrand, valuing the company at approximately $665 million post-money.
In the Q&A, Haskell said Accelsius has “hundreds” of potential customers in its pipeline and has “delivered to dozens of customers to date.” He described a shift over the past year from smaller “one-off pilots” to larger commercial orders, noting that average proposals once near $200,000 are now commonly “7-, 8-, or even 9-figures,” with most in the eight-figure range. Asked about brownfield (retrofit) deployments, Haskell said the company is engaged with customers that operate both new and existing data centers, though he could not give a definitive timeline and suggested a blended mix could emerge “even later this year.” Austrup added that legacy data centers may wait for a more mature supply ecosystem before switching.
Addressing questions about cost of goods sold (COGS) trends, Haskell said some COGS timing reflects building inventory ahead of deliveries. Yablunosky added that COGS includes fixed elements such as amortization of intangible assets and also noted a product mix shift toward higher-capacity cooling units. He also said inventory declined quarter-over-quarter partly due to write-downs and some obsolescence, which management attributed to market demand moving from earlier 70-kilowatt rack expectations to higher-capacity solutions, including 150-kilowatt and 250-kilowatt products. Haskell also said Accelsius expanded manufacturing footprint with a new 25,000-square-foot facility in Austin.
On DarkNX, Austrup said he had met with the company and that it has represented it is funded, adding that Accelsius and Johnson Controls conducted formal qualification that included verifying funding, though he said he did not know the sources of DarkNX’s financing.
AeroFlexx: Aveda partnership and a “just under $30 million” pipeline
Haskell positioned AeroFlexx as an alternative to rigid plastic packaging that aims to provide sustainability and performance simultaneously. He said AeroFlexx’s package is curbside recyclable, uses “up to 85% less virgin plastic than rigid bottles,” and offers shipping efficiency benefits through a flat-pack format. He also said AeroFlexx has delivered “6 consecutive quarters of revenue” across multiple categories, including pet care, baby care, personal care, household products, and industrial applications.
In the first quarter of 2026, AeroFlexx announced a global partnership with Aveda, part of The Estée Lauder Companies, with select products expected to debut in early 2027. Haskell said Aveda is the first global prestige brand to adopt AeroFlexx’s refill packaging format, and he framed the win as validation given the performance and aesthetic standards in prestige beauty.
Management said AeroFlexx has four “anchor customer relationships,” including Aveda and three others described as: a multinational CPG company with a signed multi-brand, multi-million unit agreement; a major producer of industrial fluids and packaging services with commercialization advancing through equipment and pack sales (and a first purchase order received with production beginning “next month”); and a large beverage and food service partnership that could expand AeroFlexx into food and beverage. Haskell said AeroFlexx’s near-term commercial pipeline stands at “just under $30 million,” with about one-third in final negotiations, and said the company’s assumptions include AeroFlexx reaching cash flow positivity in 2028.
In Q&A, Haskell said he did not have a ballpark estimate for Aveda’s annual volume at launch, and said he expected to learn more over the next six months. Austrup added that available estimates suggest Aveda could be “in the tens of millions of packages a year,” and he characterized the initiative as “a global commercial launch” targeted for 2027 rather than a pilot.
Haskell said AeroFlexx is preparing a direct capital raise at the operating company level aimed at strategic investors who can also serve as commercial partners.
Refinity: rapid validation and roadmap to demonstration scale
Haskell described Refinity as a plastics-to-chemicals business targeting mixed plastic waste streams with limited recycling pathways, converting them into ethylene and propylene for petrochemical customers. He said Refinity’s commercialization strategy centers on co-locating plants at petrochemical sites to reduce transportation costs, feed directly into existing infrastructure, and potentially lower capital needs.
Haskell said Refinity was formed in December 2024 and produced its first metric ton of circular product in less than a year, with yields “typically above 60%-70% with minimal char,” which he compared to “about 25% conversion for competing technologies.” He also said Refinity has filed multiple patents for its DuoZone reactor design, licensed additional intellectual property from a U.S. university and a national lab, and is advancing engineering toward a 10 kiloton per year demonstration plant targeted for completion in 2028. A commercial-scale plant of around 150 kilotons per year is planned for “early next decade,” he said.
Haskell also said Refinity recently licensed national lab technology for catalytic conversion of mixed ethylene and propylene products to sustainable aviation fuel (SAF) and related precursor liquids, with plans to demonstrate that conversion later in 2026. He cited management’s view of strong SAF demand growth and the potential size of the SAF market, while emphasizing that Refinity’s core approach is tied to substituting circular inputs for fossil feedstocks.
Financial results: revenue growth, G&A reductions, and liquidity actions
Yablunosky said Innventure’s consolidated revenue was $2.1 million in 2025, up from $1.2 million in 2024. He said fees from management of the Innventure ESG fund, along with intercompany eliminations, were $0.5 million in 2025 compared with $0.9 million in 2024.
He highlighted significant cost reductions, saying consolidated general and administrative expense declined from $29.7 million in the fourth quarter of 2024 to $11.5 million in the fourth quarter of 2025, a 61% reduction, with sequential declines each quarter since the company went public. Professional services fees were $3.5 million in the fourth quarter of 2025, down 42% from a peak of $6.1 million in the first quarter of 2025, which management attributed to bringing key functions in-house. At the parent level, Innventure’s fourth-quarter 2025 cash G&A was $5.7 million, down more than 55% from $12.9 million a year earlier. Looking ahead, Yablunosky said Innventure expects topco G&A in 2026 to follow a trend similar to the last three quarters of 2025, though he did not provide specific guidance.
Excluding a $347 million non-cash goodwill adjustment and other minor non-cash items, Yablunosky said adjusted EBITDA for 2025 was a loss of $78.8 million. He said management expects “substantial improvement” in adjusted EBITDA in 2026 as Accelsius backlog converts to revenue.
On liquidity, Yablunosky said the company ended 2025 with $65.4 million of cash, restricted cash, and cash equivalents, up from $11.1 million at the end of 2024. He added that in January 2026 Innventure completed a $40 million registered direct offering after becoming shelf-eligible and repaid the remaining $5.6 million balance on its convertible debentures.
Yablunosky said Innventure expects its cost of capital to improve due to Accelsius being “effectively fully funded,” the lower G&A cost structure, and shelf eligibility. He also said 2026 capital needs at the Innventure level are expected to be “materially less” as operating companies increasingly fund their own growth. On the balance sheet, he said $28.7 million in investments includes a $19.5 million equity method investment in AeroFlexx and $9.2 million in AeroFlexx debt securities, and that after earlier goodwill write-downs, $323 million of goodwill remains.
In Q&A, Haskell addressed investor questions about operating company fundraising and potential dilution, describing a trade-off between dilution at the operating company level versus “permanent dilution at the Innventure level” before the parent becomes cash generative. He said the company’s intent is to fund more from the topco balance sheet once Innventure is cash-generative, which management projects in 2028.
Separately, Haskell said the company is targeting a shift in board composition to increase independent director representation. He said Innventure currently has five independent directors and four executive directors, with a goal of moving to seven independent directors and two executive directors, potentially around the annual general meeting in June.
About Innventure (NASDAQ:INV)
Innventure Inc founds, funds and operates companies with a focus on transformative, sustainable technology solutions acquired or licensed from multinational corporations. Innventure Inc, formerly known as Learn CW Investment Corporation, is based in ORLANDO, Fla.
