American Fusion Reports $58,000 Revenue in Q2 2026, Faces $1.275 Million Net Loss

American Fusion, Inc. reported its financial results for the second quarter of 2026, revealing a revenue of $58,000, a significant increase from zero revenue in the same period last year. The company, which focuses on developing advanced fusion energy technologies, incurred a net loss of $1.275 million for the quarter, compared to a loss of $55,319 in the prior year. The increase in revenue is attributed to a sale to a new customer, while the cost of revenue was recorded at $50,000, resulting in a gross profit of $8,000.

In terms of operational changes, American Fusion completed a reverse recapitalization with Kepler Fusion Technologies on February 27, 2026, which has positioned Kepler as a wholly owned subsidiary. This strategic move is expected to enhance the company's capabilities in the fusion energy sector. The company also reported a substantial increase in operating expenses, totaling $1.253 million for the quarter, primarily due to consulting fees, professional fees, and increased research and development costs. Consulting fees alone accounted for $543,232, reflecting the company's investment in advisory services for key management positions.

As of June 30, 2026, American Fusion's total assets surged to $196,683, compared to just $2,525 at the end of 2025. This increase is largely due to the integration of Kepler's assets following the merger. However, the company also reported a working capital deficit of $1.708 million and total liabilities of $1.857 million, which includes litigation liabilities and convertible notes payable. The accumulated deficit stood at approximately $10.9 million, raising concerns about the company's ability to continue as a going concern without additional capital.

The company has been actively pursuing financing opportunities, including a planned $50 million capital raise to support ongoing operations and research activities. American Fusion's management believes that the merger with Kepler and the anticipated capital influx will provide the necessary resources for future growth. However, the company acknowledges the inherent risks and uncertainties associated with its business model, particularly in the early stages of commercialization of its fusion technology.

Looking ahead, American Fusion aims to advance its Texatron™ fusion reactor technology and has recently received a Certificate of Registration from the Texas Department of State Health Services, allowing it to conduct research and development activities involving registered industrial radiation machines. This milestone is expected to facilitate further engineering and prototype testing, although the company emphasizes that it does not constitute certification of its technology or commercial viability.