enCore Energy Swings to Profit, Eyes Growth in Hot Uranium Market

DALLAS, TX – May 14, 2026 – enCore Energy Corp. (NASDAQ: EU) announced a significant financial turnaround in the first quarter of 2026, swinging to a net profit and boosting uranium extraction as it positions itself to capitalize on the resurgent global demand for nuclear fuel. The U.S.-based producer also unveiled a new strategic plan under recently appointed CEO Richard Little, signaling a focus on cost discipline and potential industry consolidation.

The results paint a picture of a company gaining operational momentum. The report comes at a pivotal time for the energy sector, as nations increasingly turn to nuclear power for carbon-free, reliable electricity, tightening the supply-demand balance for uranium and putting a spotlight on domestic producers like enCore.

A Return to Profitability

enCore reported a net income of $0.03 per share for the quarter ending March 31, 2026. This marks a stark reversal from the same period last year, which saw a net loss of $(0.13) per share. The company attributed this positive shift to improved operational performance and the financial impact of selling its New Mexico assets to Verdera Energy in a strategic transaction completed in 2025.

Operationally, the company demonstrated notable progress. Uranium (U3O8) extraction surged by approximately 22%, rising to 90,000 pounds in the first quarter from 73,711 pounds in Q1 2025. This increased production underscores the company's efforts to ramp up its output from its In-Situ Recovery (ISR) operations in South Texas.

"enCore's first quarter results reflect year-over-year improvements in uranium extraction with only a slight increase in our cost per pound," stated William M. Sheriff, Executive Chairman of enCore Energy, in the company's announcement. The company's liquidity remains robust, standing at $84.7 million as of May 8, 2026, including cash and marketable securities.

Navigating a Challenging Cost Environment

While production is up, the financial data reveals the tight margins facing miners in the current environment. enCore delivered 270,000 pounds of U3O8 into sales contracts at an average price of $67.78 per pound. However, the weighted average cost of those delivered pounds was slightly higher, at $68.02 per pound. This figure includes both lower-cost extracted uranium and higher-cost purchased uranium used to fulfill contracts.

A closer look shows the company's direct extraction costs were $46.43 per pound, a modest increase from $45.62 in the prior year, highlighting the inflationary pressures affecting the industry. The slim margin on total sales underscores the critical importance of both rising market prices for uranium and the company's new strategic focus on aggressive cost management to ensure sustained profitability. The global uranium market, buoyed by renewed interest in nuclear energy and supply disruptions, provides a favorable backdrop for enCore's efforts to improve its cost structure.

New Leadership, Decisive Action

The Q1 report provided the first public glimpse into the strategic direction under new CEO Richard Little. Sheriff expressed excitement about the company's prospects under Little's leadership, outlining a "decisive action plan" designed to fortify the company's financial health and competitive position. The plan is built on four key pillars:

• Cutting costs across the entire organization to improve operational efficiency and widen profit margins.
• Increasing and accelerating shareholder communication to enhance transparency and investor engagement.
• Focusing on more timely permit approvals for its pipeline of development projects, a crucial step to unlocking future production.
• Actively evaluating potential industry consolidation opportunities, signaling a readiness to pursue strategic mergers or acquisitions.

This proactive strategy suggests enCore is shifting from a pure production ramp-up to a more mature phase of operational optimization and strategic growth, aiming to become a more dominant force in the U.S. uranium sector.

Fueling America's Nuclear Renaissance

enCore brands itself as "America's Clean Energy Company™," a claim rooted in its dual focus on domestic production and environmentally sensitive extraction methods. The company exclusively uses In-Situ Recovery (ISR) technology, which avoids large open-pit mines and extensive surface disruption. ISR involves injecting a solution underground to dissolve uranium directly from the ore body, which is then pumped to the surface for processing. This method is widely regarded as having a smaller environmental footprint and being more cost-effective for suitable geological formations.

The company's project pipeline is central to its long-term strategy of supplying the U.S. nuclear industry. Future growth is expected from projects including the expansion of its Alta Mesa property in Texas, the Dewey-Burdock project in South Dakota, and the Gas Hills project in Wyoming. Accelerating the complex and often lengthy permitting process for these sites is a primary objective of the new leadership team, as bringing these assets online is key to meeting the anticipated growth in domestic uranium demand.

Strategic Consolidation on the Horizon

Perhaps the most forward-looking element of enCore's new strategy is its explicit interest in M&A. The uranium market is ripe for consolidation as companies look to achieve economies of scale, combine complementary assets, and solidify their positions to serve a growing number of nuclear utilities seeking secure, long-term fuel supplies.

By actively evaluating consolidation opportunities, enCore is positioning itself not just as a producer but as a potential architect of the future U.S. uranium landscape. A successful acquisition could rapidly expand its resource base, add new production capacity, and enhance its market influence. This ambition, combined with its strengthening operational performance and healthy liquidity, signals that enCore is preparing for a new chapter of strategic expansion in a sector that is once again critical to the global energy conversation.