California Nanotechnologies Corp. (TSXV: CNO) (OTCID: CANOF) reported higher fiscal second-quarter revenue as the advanced-materials company expanded its work in nuclear energy, aerospace and technology manufacturing.
Revenue for the quarter ended August 31, 2026, increased 23% to US$956,794 from US$779,916 one year earlier, according to the company’s fiscal Q2 2027 results.
Revenue for the first six months of the fiscal year reached US$1.87 million, representing growth of 25% from US$1.50 million during the comparable 2025 period.
However, quarterly cost of goods sold increased 59% to US$472,774. Gross profit remained approximately unchanged at US$484,050, causing gross margin to decline to 51% from 62%.
Cal Nano said the revenue increase primarily resulted from a US$314,500 equipment sale. The company expects margins to fluctuate depending on the mix of equipment deliveries, research projects and commercial manufacturing work.
The quarterly net loss reached US$359,148, compared with net income of US$292,423 one year earlier. The prior-year result benefited from a US$175,072 unrealized gain on share-purchase warrants, while the latest quarter included increased expenses related to the company’s manufacturing scale-up.
Adjusted EBITDA remained negative but improved to a US$36,786 loss from an US$80,909 loss. Adjusted EBITDA excludes items including depreciation, amortization, share-based compensation and warrant-related gains or losses and is not an IFRS financial measure.
“We saw improvements to our top line and Adjusted EBITDA generation,” CEO Eric Eyerman said.
Cal Nano processes metallic and ceramic powders using technologies including cryogenic milling and spark plasma sintering. Its work involves developing and manufacturing specialized components for nuclear energy, aerospace, defense, electronics and semiconductor customers.
In September, the company received its largest purchase order to date from an existing U.S. advanced-nuclear customer. The order covers boron-carbide control components intended for a small modular reactor program. Cal Nano did not disclose the order’s value but expects to complete delivery by the end of its current fiscal year.
The company also signed a development agreement and received initial purchase orders from an unnamed Fortune 100 technology company. The work focuses on glass and ceramic materials and bonding ceramics to metals.
Separately, Cal Nano received US$147,000 in production orders for components used in commercial satellite systems.
Cal Nano reported approximately US$1 million in cash as of October 27. It also expects to receive a US$314,500 accounts-receivable payment by the end of October.
Upcoming Catalysts
Cal Nano’s expanded Santa Ana facility is scheduled to become available November 1. The additional 15,500 square feet increases its manufacturing footprint by approximately 80% but adds roughly US$22,500 in monthly lease costs.
Other developments to monitor include delivery of the SMR component order, additional work under the Fortune 100 development agreement and continued satellite-component orders. Future satellite volumes, customer forecasts and potential follow-on orders have not been guaranteed.
Upcoming financial reports will show whether the company’s larger manufacturing footprint and recent orders produce sustained revenue growth while improving gross margin and reducing operating losses.
Sources
- California Nanotechnologies fiscal Q2 2027 results
- Large-scale SMR component production order
- Fortune 100 development agreement and initial orders
- Commercial satellite component orders
- Santa Ana manufacturing expansion
Editorial Disclosure
This article is based entirely on publicly available company announcements and financial disclosures. Next Gen Tech Stocks was not compensated by California Nanotechnologies Corp. for this article, and the author holds no position in the securities mentioned. Company-reported financial figures, contract information and technical claims have not been independently verified. Adjusted EBITDA is a non-IFRS measure. Cal Nano did not disclose the value of its SMR order or identify its Fortune 100 customer, while potential future satellite volumes depend on customer demand and additional purchase orders. The company remains exposed to operating-loss, customer-concentration, manufacturing-scale-up, financing, technology and execution risks. Information is current as of October 27, 2026. This article is for informational purposes only and does not constitute financial advice or a recommendation to buy or sell any security. Read the full disclaimer.
