FREYR Battery (FREY) Q1 2026 Earnings Report

FREYR Battery delivered a mixed but strategically meaningful start to 2026. The quarter featured a notable improvement in gross margins driven by a shift in product mix toward cost-plus and fixed-margin offtake contracts, as management described during the earnings call. Specifically, Q1 2026 gross margins reached 17% on a run-rate basis, supported by a 2.7 GW run-rate and a favorable contract mix, although reported revenue appears anomalous relative to gross profit (revenue shown as US$241 thousand vs. gross profit of US$29.084 million). Management reaffirmed a disciplined capital plan, including advancing G2_Austin Phase 1 financing in 2Q 2026 to fund approximately US$225 million of remaining CapEx, while also pursuing a primarily debt-based financing solution and leveraging equity-linked proceeds from a convertible offering of US$176 million. In parallel, G1_Dallas demonstrated operational leverage with a record quarterly adjusted EBITDA of US$9.1 million, underscoring improving profitability at the existing asset as FREYR scales. Looking ahead, FREYR remains focused on accelerating the US polysilicon solar supply chain via Hemlock, preparing for potential Section 232 developments, and monetizing 45X/48E incentives through domestic content strategies. The primary near-term catalysts are: (1) securing a comprehensive G2 financing package in 2Q 2026, (2) achieving meaningful advancement of G2 Austin construction toward first-cell production in Q4 2026, and (3) navigating 232 policy timing and IEEPA tax refund outcomes, which collectively will dictate 2026 production and margin trajectory and investor visibility.