What NuScale Power (SMR) Said on Its Q3 Earnings Call

Key Points

• NuScale is moving toward manufacturing, agreeing with Doosan Enerbility to produce components for its first NuScale Power Module. The company says the work could reduce deployment lead times and surface production issues ahead of larger-scale manufacturing.
• A potential ENTRA1–TVA power purchase agreement remains a priority, but NuScale gave no timeline and clarified that the agreement would not itself constitute a module sale. NuScale is preparing to support a possible licensing application and is also pursuing utility, industrial, and other customers.
• Q3 revenue fell to $0.3 million from $8.2 million as RoPower engineering work wound down, while operating expenses declined to $65 million from $549 million. NuScale ended the quarter with about $1.9 billion in liquidity.

NuScale Power NYSE: SMR said it has entered an agreement with Doosan Enerbility to manufacture components for its first NuScale Power Module as the small modular reactor developer prepares for potential customer orders.

The manufacturing move comes as NuScale’s commercialization partner, ENTRA1 Energy, works to finalize project development arrangements. NuScale reported a sharp decline in third-quarter 2026 revenue after engineering work for Romania’s RoPower project wound down.

“We are no longer simply designing and planning, we are manufacturing,” President and CEO John Hopkins said on the earnings call. He described the Doosan agreement as a step toward reducing deployment lead times and identifying production issues before series manufacturing.

TVA agreement remains a next step

Hopkins said supporting a potential power purchase agreement between ENTRA1 and the Tennessee Valley Authority remains an immediate priority. Asked when a commercial agreement might be reached, he did not provide a timeline, saying the process continues and that NuScale is focused on work within its control.

CFO Ramsey Hamady clarified that a power purchase agreement between ENTRA1 and TVA would not itself constitute a module sale. NuScale expects engineering, licensing and other services could follow such an agreement, with module sales governed by a separate original equipment manufacturer agreement between NuScale and ENTRA1.

NuScale is preparing to support a combined construction and operating license application for a potential TVA project. Hopkins estimated that 50% to 60% of the application work performed for the Carbon Free Power Project could be transferred to another customer, potentially reducing the time and cost of a future application.

Beyond TVA, Hopkins said NuScale is in discussions with utilities, hyperscalers and industrial customers. Asked how a slowdown in hyperscaler spending could affect demand, he said it was too early to tell but that NuScale was not reliant on data centers. The company is also pursuing customers interested in process and district heat, he said.

Revenue falls as project work winds down

Third-quarter revenue fell to $0.3 million from $8.2 million a year earlier. Hamady said the prior-year quarter included front-end engineering and design work for RoPower, with no comparable work in the latest quarter.

Operating expenses were $65 million, down from $549 million in the same period a year earlier. NuScale ended the quarter with approximately $1.9 billion in liquidity, compared with approximately $916 million at the end of the third quarter of 2025.

Hamady said NuScale does not routinely provide guidance, but he expects operating expenses to remain fairly constant. Spending could increase as the company engages on projects, he said, with some costs appearing in operating expenses and others in cost of goods sold.

He added that NuScale retained some employees after RoPower work wound down, shifting their costs from project-related cost of goods sold to operating expenses.

Supply chain investment and Romania

NuScale expects spending on Doosan fabrication to accumulate as work-in-progress inventory on its balance sheet, Hamady said. Those costs would move through cost of goods sold when the assets are sold under an OEM agreement. The company expects to recover component costs through future contractual payments, Hopkins said.

NuScale has relationships with more than 60 specialized suppliers, according to Hopkins. He said Framatome is completing the company’s fuel design, while Paragon has a contract to finish development of safety instrumentation and control systems. NuScale also reached a fabrication milestone with MillenniTEK for the passive emergency core cooling system.

On Romania, Hopkins said NuScale remains in discussions with RoPower and Nuclearelectrica following a change in government. He said he had requested a meeting with the new administration to better understand its plans, but did not provide a timetable for the project.

Asked about other significant investments beyond Doosan, Hamady said the company had none to communicate publicly at this time.

About NuScale Power (NYSE:SMR)

NuScale Power Corporation develops small modular reactor (SMR) technology for producing electricity and other forms of low-carbon energy. The company's core product is the NuScale Power Module, a compact pressurized-water reactor designed to be manufactured in a factory, transported to a site and deployed in scalable configurations.

NuScale markets its technology through the VOYGR power plant platform, which can combine multiple reactor modules to meet the needs of utilities, industrial users and other customers.

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