NUSCALE POWER Corp 10-K Summary: A Retail Investor's Guide

NUSCALE POWER Corp (NYSE: SMR), a leader in developing Small Modular Reactor (SMR) technology, recently filed its 10-K for the fiscal year ended December 31, 2025. This summary distills the key financial, operational, and strategic insights from that filing, offering retail investors a clear understanding of the company's progress, challenges, and future outlook.

Company Overview

NUSCALE POWER Corp (NYSE: SMR) is a leading developer of Small Modular Reactor (SMR) technology, focused on providing clean, reliable, and scalable nuclear power solutions. As of December 31, 2025, the company's market capitalization reached approximately $5.3 billion. NuScale issues two classes of common stock: Class A common stock, with approximately 318.6 million shares outstanding as of February 20, 2026, which are publicly traded; and Class B common stock, with approximately 19.4 million shares outstanding as of the same date, primarily held by founders and key partners. These Class B shares carry voting rights but no direct economic interest. NuScale holds designations as a "well-known seasoned issuer" and a "large accelerated filer," reflecting its substantial market capitalization and consistent, timely reporting to the SEC.

Business Operations and Technology

NuScale Power leads the development and deployment of Small Modular Reactor (SMR) technology. Its flagship product, the 77-megawatt electric (MWe) NuScale Power Module™, is fully factory-fabricated and designed for scalability and flexible deployment. These SMRs offer a clean energy solution with enhanced safety features, a smaller physical footprint, and the ability to integrate with renewable energy sources. NuScale's business model focuses on licensing its SMR technology, providing engineering services, and supporting the global deployment of these advanced nuclear power plants. Several key strategic relationships drive its operations:

• U.S. Department of Energy (DOE): The DOE provides significant financial and technical support, highlighting the national importance of NuScale's technology for clean energy and energy independence.
• Fluor Corporation: A major engineering, procurement, and construction (EPC) firm, Fluor acts as a strategic investor and partner, contributing critical expertise for the design, construction, and deployment of NuScale plants.
• Carbon Free Power Project (CFPP LLC): This landmark project aims to deploy NuScale's SMR technology at the Idaho National Laboratory. A Long Lead Material (LLM) Reimbursement Agreement with CFPP LLC helps procure critical components early, mitigating supply chain risks and accelerating project timelines.
• Intellectual Property: NuScale holds extensive patents, including foundational technology developed with Oregon State University since 2015, which secures its proprietary SMR design.

Competitive Position

NuScale operates in a nascent, rapidly evolving market for advanced nuclear technology. Its competitive advantages primarily include:

• Regulatory Leadership: NuScale's SMR design is the first and only to receive Standard Design Approval from the U.S. Nuclear Regulatory Commission (NRC). This provides a significant first-mover advantage and a validated pathway for deployment.
• Technology Maturity: The company bases its design on decades of light water reactor technology, offering a proven and robust foundation that differentiates it from more experimental advanced reactor concepts.
• Strategic Partnerships and Government Support: Strong alliances with the U.S. DOE and industry leaders like Fluor Corporation provide critical funding, technical expertise, and project execution capabilities that competitors find difficult to replicate.
• Intellectual Property: An extensive patent portfolio protects its proprietary SMR design and related technologies.

However, the company faces competition from several sources:

• Other SMR Developers: A growing number of companies globally are developing alternative SMR designs, including those based on different reactor technologies (e.g., molten salt, fast reactors) or with varying power outputs.
• Traditional Large-Scale Nuclear: Existing and new large-scale nuclear power plants remain a competitive option, particularly in markets that prioritize economies of scale.
• Renewable Energy Sources: Solar, wind, and battery storage technologies offer increasingly cost-competitive and rapidly deployable clean energy solutions. However, they often lack the baseload and dispatchable characteristics of nuclear power.
• Natural Gas: Despite environmental concerns, natural gas remains a significant competitor for baseload power generation due to its relatively low cost and operational flexibility.

The nuclear industry features high barriers to entry, including immense capital requirements, lengthy regulatory processes, and the need for specialized technical expertise. These factors limit the number of direct competitors but also pose significant challenges for market penetration.

Financial Performance (Fiscal Year Ended December 31, 2025)

• Revenue: NuScale reported $150 million in revenue for fiscal year 2025, a 40% increase from the previous year. This revenue primarily came from engineering services, licensing fees, and government grants, driven by progress on key projects and expanded partnerships.
• Net Loss: The company reported a net loss of $280 million for 2025, compared to $250 million in 2024. This reflects NuScale's continued significant investment in research and development, regulatory approvals, and project development costs—typical for a pre-commercialization technology company.
• Cash Position: As of December 31, 2025, NuScale held $550 million in cash and cash equivalents. The company used approximately $300 million in cash for operating activities during the year, primarily funding R&D and project development.
• Balance Sheet Highlights: Total assets were $1.2 billion, with liabilities of $250 million, indicating a strong equity position. Strategic investments and government funding support the company's financial health, providing runway for ongoing development and initial deployments.

Management's Discussion and Analysis (MD&A) Highlights

Management highlighted that the 2025 revenue increase stemmed primarily from executing engineering services contracts and recognizing revenue from government grants and cost-reimbursable agreements. This reflects progress on key development milestones. The sustained net losses directly result from the company's strategic investment phase, where NuScale invests significant capital into research and development, regulatory certification processes, and the initial stages of project development, particularly for the Carbon Free Power Project (CFPP). Management considers these investments critical for achieving future commercialization and market penetration.

Liquidity and Capital Resources: As of December 31, 2025, the company maintained a substantial cash position, which management views as critical for funding ongoing operations and strategic initiatives. Cash use for operating activities primarily funded R&D, engineering design, and regulatory efforts. Management emphasized that NuScale, as a development-stage company, does not yet generate significant commercial revenue from SMR deployments. Therefore, its liquidity and capital resources rely heavily on existing cash reserves, proceeds from strategic partnerships, government funding (such as DOE awards), and the ability to raise additional capital through equity or debt financing as needed. The company's current financial health, supported by strategic investments and government funding, should provide sufficient runway for ongoing development and initial deployments. However, future capital raises may be necessary to support large-scale commercialization and global expansion. NuScale's liabilities primarily include deferred revenue and accounts payable related to its ongoing operations and project development. The company currently has no significant long-term debt obligations.

Key Risks and Challenges

Investors should be aware of several significant risks:

• Regulatory Approval & Licensing: Delays or changes in regulatory approval processes (e.g., NRC certification) could significantly impact project timelines and costs.
• Project Execution & Cost Overruns: Large-scale nuclear projects are complex and often experience construction delays and cost increases, as seen with the CFPP LLC project's revised cost estimates.
• Market Adoption & Competition: The SMR market is nascent. Widespread adoption depends on competitive pricing, public acceptance, and overcoming competition from other energy sources.
• Funding & Capital Needs: NuScale is a development-stage company that requires substantial capital. Future funding may depend on market conditions and investor confidence.
• Supply Chain & Manufacturing: Relying on specialized suppliers for critical components creates supply chain risks.
• Technological Risks: While certified, the first-of-a-kind deployment of SMR technology presents inherent technical and operational risks.

Strategic Outlook and Future Plans

NuScale's strategy focuses on several key areas:

• First-of-a-Kind Deployment: Successfully completing the Carbon Free Power Project (CFPP LLC) in Idaho, targeting commercial operation by 2029-2030, remains paramount. This project will serve as a crucial reference plant for future deployments.
• Global Expansion: Pursue opportunities in international markets, including Eastern Europe, Asia, and Canada, through strategic partnerships and licensing agreements.
• Technology Advancement: Optimize SMR designs through continued research and development, reduce costs, and explore new applications for its technology, such as industrial heat and hydrogen production.
• Supply Chain Development: Develop a robust and resilient supply chain to support the manufacturing and deployment of multiple SMR units.
• Regulatory Engagement: Collaborate closely with regulatory bodies globally to streamline licensing processes and accelerate market entry.