UAMY: The Shipment Was the Story, Even If Accounting Made It Bumpy
Antimony prices cratered, but U.S. Antimony's first DLA ingot deliveries and a 114% jump in zeolite volumes point to a volume-led inflection.
UAMY · Earnings Call · 2026-08-11
A Bumpy Quarter, a Bigger Story
United States Antimony's second-quarter report looks like a step backward on the surface: revenue fell 25% year over year to $7.9 million, and gross margin compressed to just 7% from 27% a year ago. But that headline obscures what the company itself keeps emphasizing — volume is growing even as prices fall. Antimony pounds sold rose 26% year over year, and zeolite tons surged 114%, pushing that segment's revenue up 110%. The culprit for the top-line decline is the antimony price, which averaged $13.70 per pound in Q2 versus $28.32 a year earlier. Management acknowledged the price is "undoubtedly manipulated by China" and expects it to stay around $10 for the rest of 2026 — still double the historical average, but far from the peaks.
We lowered our guidance in this financial statement, today. To 60 to $75 million and that really has all to do with pricing. Has nothing to do with delivery times.
That guidance cut from $125 million is dramatic, but it's a price story, not a demand story. The company's real growth engine is the DLA contract — a $245 million sole-source agreement to supply antimony ingots to the U.S. government. In June, UAMY delivered its first two truckloads of military-spec antimony, about 82,000 pounds, but the DLA didn't approve them until July, so revenue recognition was pushed to Q3 — a classic timing issue that management calls "bumpy."
The Government as Customer and Partner
The DLA program is the centerpiece of an increasingly intertwined relationship with Washington. Cumulative orders under the contract now total $57.3 million, and the company expects to finish its first delivery order of $9.9 million nearly a year early. The third and fourth truckloads are scheduled for next week, with antimony ingots representing another $2.6 million in Q3 revenue. Beyond the contract, UAMY is pursuing $275 million in grants from the Department of Energy and Defense for antimony, tungsten, and its hydrometallurgical process. Management also signals the administration is shifting from grants toward equity stakes, and Gary Evans is open to that if it's accretive: "If we do an equity deal, it will have to be done in a manner that is accretive to our shareholders."
This government-facing strategy extends to procurement — not just from state sources but from Bolivia, Mexico, and other international suppliers while domestic mining ramps. The company is also building a domestic supply chain through its high grade ore projects in Montana and Alaska. At the Montana Stibnite Hill mine, mining resumed in late July, and an additional 25 truckloads of ore have been shipped to the Radersburg mill. In Alaska, the company is preparing to develop the Nolan Creek property, which hosts an inferred reserve grading 28% antimony and 0.4 ounces of gold per ton.
Volume Is the Victory
Beyond antimony, zeolite has quietly become a standout. Tonnage increased 114% year over year, driven by cattle nutrition sales, and gross profit for the segment more than doubled to about $1.1 million. This diversification matters because it provides a second volume story outside the government contract. Meanwhile, institutional ownership has jumped to 57% from 42% at the end of Q1, with State Street and BlackRock adding large positions — a signal of growing credibility.
The financials are stretching to fund this expansion. Capital expenditure reached $13 million in Q2, up over 1,300% from a year ago, funded largely by an April equity raise at $11.56 per share. The balance sheet is strong — cash plus treasuries total $62.2 million, and debt is de minimis. But the company is still losing money on an operating basis, with a $7 million operating loss in Q2, driven partly by $2.9 million in non-cash stock-based compensation. The Larvotto investment, meanwhile, provided a $6.8 million unrealized gain, and management now says they are "about to give up" on a takeover and may sell the stake.
Prior quarters show how much has changed. In May, Evans was still confident of hitting $125 million: "I'm still confident that we can deliver, as I said earlier, $75 million to $95 million of antimony ingots to the federal government." That confidence has now been sharply curtailed. And on Larvotto, he had said: "We have gotten absolutely nowhere with the management team, which seems in our minds to be entrenched." That frustration has now reached a decision point.
In the end, UAMY's quarter is best read as a temporary distortion. The company is delivering more product, not less. The DLA shipments are real, the zeolite growth is real, and the domestic mining story is moving from promise to production. The double-digit revenue guidance cut is disappointing, but if antimony prices stabilize at $10 and volumes keep rising, the inflection could still be ahead. As Gary Evans put it, "Again, these quarterly financials will be bumpy. That is the nature of our business. Look at the year in total. That will tell you what we are doing."