KITTW

• John Gibson noted Q3 marked a turning point for Nauticus with progress into scalable commercial deployment. - Dr. Yamokoski emphasized commitment to government contracts, strategic partnerships, and the shift towards coordinated unmanned systems. - Jimena Begaries discussed Q3 financials, including revenue, operating expenses, net loss, and cash position. - Daniel Dehart highlighted strategic deferral of near-term revenue for long-term contracts, deepest subsea test to 2,300 meters, and lake testing for cost reduction. - Steve Walsh reported growing customer base, positive feedback on ROV systems, and filling 2026 pipeline. - Jason Close detailed Nauticus ToolKITT progress, software improvements, and milestone of demonstrating it on a third-party ROV. - Ameen Albadri mentioned deep dive milestone of Aquanaut and progress on manipulator system design with supply chain mitigation efforts.

• Announced a $250 million equity facility to pursue emerging opportunities like deep sea mining. - Plans for Investor Day in early 2026 in Stuart, Florida, to showcase technology. - Expectations of strong 2026 with maturing technology and growing customer confidence. - Focus on software sales and commercial adoption as key growth areas.

Revenue for the third quarter was $1.9 million, down $0.1 million sequentially but up $1.6 million from Q3 2024. Operating expenses were $7.8 million, up $1.9 million from Q3 2024 but down $0.6 million sequentially. Net loss for the quarter was $6.6 million. Cash at the end of Q3 2025 was $5.5 million. No distinct product segments with revenue contribution % discussed as the focus is on overall company performance.

• Supply chain risks, especially for long lead items in international suppliers. - NASDAQ compliance risks related to market cap and shareholder equity. - Potential dilution concerns due to share conversions and equity facility usage. - Uncertainties in executing acquisitions and integrating new systems without unexpected bottlenecks.

Q: How should we think about the enhanced margin potential for ToolKITT retrofits compared to full stack newbuild vehicle sales?

A: Gross margins on ToolKITT software are in the 80-plus percent range, making it a key area for cash flow breakeven. There's a market of 300+ ROVs that can benefit from the software.

Q: Would the company accelerate scaling by acquiring existing vehicles?

A: Yes, considering acquiring untethered vehicles to scale quickly instead of waiting for new Aquanauts, as demand for autonomous ROVs is high.

Q: What's the current state of supply chain and tariff risks?

A: Supply chain management is tough with international suppliers, but parts are on order and the company has taken an active approach to secure spares.

Q: Any unexpected bottlenecks in SeaTrepid acquisition integration?

A: Not enough equipment, but focus is on autonomy and tetherless systems, with plans to expand the fleet using acquired ROVs.

Q: How to think about customer type for deepsea rare earth exploration?

A: Focus on inspection and observation, investigating how to use software and expand hardware to explore depths required by exploration companies.

Q: What are the milestones or triggers for drawing down the $250 million equity line?

A: Only consider using the line if it's immediately accretive and cash flow generating for the business.

Q: Plan to cure NASDAQ compliance issue related to market cap?

A: Focus on shareholder equity improvements through debt conversions, and the market cap issue is partially due to share count and macro environment.

Q: Concerns about stock price and dilution?

A: Focus on creating shareholder wealth, using the equity facility discretely, and aligning with investors to increase share price through execution in 2026.