Technology Minerals FY25: Revenue Jump, Bigger Losses, and Real Momentum at Recyclus
Technology Minerals Plc has published full year results for the 12 months to 30 June 2025 and set out a busier post year end. The headline mix is familiar for an early-stage circular-economy play: revenues are growing, losses are still heavy, cash is tight, and the financing to tidy up legacy convertibles is in motion. The bright spot is Recyclus, which continues to stake a lead in UK lithium‑ion battery recycling with real contracts, cash generation in July 2025, and a broadened client list.
Key numbers you should know
| Metric | FY25 | FY24 (restated) |
|---|---|---|
| Revenue | £1.499 million | £0.547 million |
| Gross profit | £1.141 million | £0.305 million |
| Administrative expenses | £5.0 million | £5.1 million |
| Operating loss | £5.1 million | £6.2 million |
| Loss before tax | £13.6 million | £7.5 million |
| Cash at year end | £0.1 million | £0.02 million |
| Total borrowings (current) | £6.237 million | £3.896 million |
| Group net assets/(liabilities) | £(0.4) million | £11.9 million |
| EPS | (0.61)p | (0.41)p |
| Ownership in Recyclus | 48.35% | 48.35% |
Note the £7.0 million loss on selling down the Idaho project, partly offset by a £0.4 million gain on the Irish lithium sale.
Recyclus: contracts, cash flow, and a bigger UK footprint
Recyclus, the Group’s battery recycling arm, is doing the heavy lifting on the operational side. The Wolverhampton plant, billed as the UK’s first industrial‑scale Li‑ion battery recycler, ramped throughput and secured a string of commercial wins.
- Black mass offtake with Glencore signed in December 2024. Deliveries into Europe started March 2025 and are surpassing the contracted 20 tonnes per month.
- A 12‑month agreement worth up to £2 million with a global industrial group.
- Recycling partnerships with Ocado and Halfords.
- First MoD order for UN‑certified LiBox containers for safe battery storage and transport.
- Specialist projects completed, including fire‑damaged EV batteries and 4,000 battery modules for a leading engineering firm.
- New Discharge and Dismantle Unit now operational, cutting third‑party costs.
- Positive cash flow achieved in July 2025 and record revenues in December 2025.
- £1.1 million loan from Close Brothers (August 2025), allowing Recyclus to operate without additional funding from Technology Minerals.
- Joined Project COMET with JLR, Mint Innovation and WMG, backed by £8.1 million of funding, 50% from the Department for Business and Trade.
- £50,000 grant to develop a recycling process for lithium thionyl chloride batteries, matched by Recyclus.
Why it matters: Recyclus now has paying customers, offtake, and a path to scaling. Black mass sales and gate fees are the revenue engine. The Close Brothers facility and first positive cash flow month reduce near‑term funding drag on the parent.
Financing and balance sheet: cleaning up the capital stack
The Group has been carrying costly convertible loan notes (CLNs) and accrued penalty interest. During FY25 there was also a covenant‑related default trigger on the Atlas facility when market cap fell below £5 million, but the Company has since agreed settlements in principle:
- Jonathan Swann: £3.3 million to be settled by £0.5 million in cash, up to £2.5 million in shares (capped at 24.99%), and the balance as a 24‑month secured term loan at 8% with no conversion rights.
- Atlas Special Opportunities II: £1.7 million to be settled by £1.5 million in cash and £0.2 million in shares under the proposed placing.
Conditions apply: placing letters by 20 March 2026 and admission of placing shares by 30 April 2026. In January 2026, the Company raised £350,000 at £0.001 per share with 60‑month warrants and is targeting a minimum £3 million raise (target £4 million) via a prospectus‑backed placing.
Separately, Technology Minerals agreed new terms on its inter‑company loan to Recyclus: a seven‑year, second‑ranking secured loan with a stepped interest rate and a £0.5 million early repayment discount if cleared within three years. TM1 also gains the right to appoint a Recyclus board director.
Reality check: auditors included a material uncertainty relating to going concern. Execution of the planned placing and completion of the CLN settlements are key near‑term catalysts.
Exploration portfolio: more focus, lower spend, selective exits
- Leinster Lithium sold to European Lithium, consideration settled in Critical Metals Corp shares. TM1 has since sold most of its holding; at 30 June 2025 it held 72,585 CRML shares valued at £189,000.
- Cameroon: 14 new high‑priority targets identified across 2,456 km², including rare earths, uranium, gold, copper, lithium, niobium, tantalum and rutile. Field programmes are being advanced to define drill‑ready targets.
- Spain (Asturmet): historical high‑grade copper, cobalt and nickel sampling underpins the case for drilling.
- USA (Idaho): 70% sell‑down during the year led to the £7.0 million loss; post year end the partner, Bluebird Metals LLC, increased its interest to 90%.
Opinion: the portfolio strategy is consistent with an incubator model – progress early, sell or partner, and recycle capital. The Irish exit shows it can be done, albeit Idaho was value destructive this year.
Accounting changes and listing status
Following a limited scope review by the FRC’s Corporate Reporting Review Team, TM1 has restated prior years and now consolidates Recyclus as a subsidiary, despite holding 48.35%. That changes presentation, not ownership, and brings Recyclus’ results and debt into Group numbers.
The Company’s listing was temporarily suspended pending publication of the Annual Report and Accounts. With the report now out, once tagged to the National Storage Mechanism, TM1 will apply for restoration of trading.
Board and strategy additions
TM1 plans to appoint Nick Bridle and Mick Cataldo as non‑executive directors (subject to due diligence). Both bring defence and national security experience, dovetailing with the Company’s push into circular‑economy solutions for strategic resilience.
What to watch next
- Readmission of the shares following filing to the National Storage Mechanism.
- Completion of the prospectus placing and the Swann/Atlas settlements.
- Recyclus throughput and margin progression, including sustained shipments above the 20 tpm black mass threshold.
- Any installation of additional plant at Wolverhampton to enhance aluminium and copper separation.
- Further LiBox orders and scale‑up of the lithium thionyl chloride recycling process.
- On‑ground work in Cameroon and a drilling decision in Spain.
My take: promise building at Recyclus, funding still the swing factor
This is a classic two‑track story. The recycling arm is increasingly commercial, signed to Glencore for offtake, winning brand‑name customers, and it posted its first month of positive cash flow. That is the operational momentum investors wanted to see.
On the other track, the Group’s balance sheet needs the planned placing and CLN settlements to land cleanly. Cash at year end was £0.1 million, borrowings are short‑dated, and auditors flagged going concern. Dilution risk remains, but so does the chance to simplify the capital structure and let Recyclus scale with less friction.
Net‑net: if the financing completes and Recyclus keeps compounding volumes and contracts, the equity case improves. Miss the funding milestones, and the pressure ratchets up. For now, I’d keep eyes on readmission, the placing timetable, and monthly throughput updates from Wolverhampton.
