TLDR
- Fermi posted a Q2 net loss of $25.8 million, or 4 cents per share, narrower than the 5-cent loss analysts expected.
- The company signed a 15-year lease with AI cloud provider TensorWave at its Project Matador campus, worth approximately $6.5 billion in revenue.
- FRMI surged 21% on the TensorWave announcement Monday, then rose another 6.7% Wednesday and 2.2% in premarket Thursday.
- Fermi named board member Lee McIntire as CEO, replacing Toby Neugebauer who was dismissed in April.
- The company raised over $431 million through convertible notes and has 1.5 GW of landed power assets on site.
Fermi (FRMI) stock was trading at $7.77 in premarket Thursday, up 2.2%, after closing Wednesday up 6.7%. The stock has gained 23% this week alone following a string of major announcements.
The earnings report itself was fairly straightforward. Fermi posted a Q2 net loss of $25.8 million, or 4 cents per share. That compares to a loss of 2 cents a share a year ago. The wider loss was driven largely by $26.8 million in general and administrative expenses. Against the Wall Street estimate of a 5-cent loss, the result came in slightly better than expected.
$FRMI Q2 2026 earnings: Fermi 2.0 Delivers: Anchor Tenant Signed, Balance Sheet Rescued
Fermi is a pre-revenue development company, meaning earnings are secondary to milestones. This quarter was a binary test of the new management's 90-day plan—and they delivered. They secured a… pic.twitter.com/d8qYqrXo2m
— Finsee (@Finsee_main) August 13, 2026
The company remains pre-revenue and in its development phase, so the earnings number was almost a footnote this week.
The real story dropped Monday. Fermi announced a 15-year turnkey binding lease agreement with TensorWave, an AI cloud provider, making it the first tenant at the Project Matador campus in Amarillo, Texas. Phase one covers 222 MW of total facility power, with total projected revenue of approximately $6.5 billion over the life of the contract. TensorWave also holds two expansion options that could triple its footprint on the site. FRMI jumped 21% on that news.
Finding a tenant had been a sticking point for Fermi. The difficulty in landing a lease partner contributed to friction with former CEO Toby Neugebauer, who was dismissed in April. The TensorWave deal closes that chapter.
New CEO Takes the Helm
On Wednesday, Fermi named Lee McIntire as its new chief executive officer. McIntire has served as an independent board director since September 2025 and brings more than 40 years of experience from Bechtel, CH2M Hill, and TerraPower. His background spans large-scale natural gas generation, nuclear programs, and civil mega-projects including the Panama Canal expansion.
Board Chairman Marius Haas said the company delivered on all five of the 90-day objectives it set out in May, which included signing the TensorWave deal, appointing a CEO, forming a strategic alliance with Hillcore Energy, and receiving three Siemens F-class turbines.
Power Infrastructure Progressing
The Hillcore alliance, announced August 11, adds approximately 2.6 GW of incremental power generation at Project Matador through a build-own-operate-transfer structure. Fermi commits no capital and issues no debt for the plant. Combined with its own program, that would bring total planned on-site generation to 4.8 GW within around 30 months.
Three Siemens SGT6-5000F turbines arrived at the Port of Houston in July, bringing Fermi’s total landed power assets to 1.5 GW. The site itself spans roughly 8,400 acres with more than $1.5 billion already invested in buildout.
On the balance sheet, Fermi raised over $431 million through convertible senior notes due 2031, with an initial conversion price of around $9.52 per share. Capped call transactions protect shareholders from dilution unless the stock more than doubles from its July 9 reference price.
Fermi had $91.7 million in total cash and restricted cash at the end of Q2, with $520.1 million in outstanding debt.
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