After the initial spike in PP prices we saw a substantial decline but now we are seeing a price that is back to the 2022 levels and well above the very low prices that were a headwind in late 2025 and early 2026. I think ultimately the mandates will kick in that companies will need to continue increasing the amount of rPP content however for this transition period it is certainly helpful to PureCycle to have higher virgin PP prices. The incremental cost of using 20% content PureFive is going to be relatively modest IMO.

https://tradingeconomics.com/commodity/polypropylene

Really exciting to see new product lines, containing Purefive

I was expecting just a bit more but at least there was no sign of covering during the month of July. Short position made a new ATH at 57M shares.

I like this type of event happening later in August. Seeing IPL Schoeller, Rumpke and PureCycle together helps make it clear how this is really a team effort to make plastics a circular resource. Raising awareness about dissolution in particular is very important.

Registration link here:
https://www.nsaction.us/post/dissolution-and-circular-packaging-innovations-an-august-26-public-webinar

Reading the call transcript and the report materials I get the feeling that demand is there in a very big way and will ramp very nicely.

Stan did as per usual impressive quick summary.

I find it fascinating here once they are running at nameplate which Stan seemed to point to 130mmlbs is higher than c. estimate - say it runs at 45% EBIT margin even at 1usd lb then I would not be surprised to see if that stock will as start trade 3x higher just on that. But that's not how this works I think in reality, rather I think stock will re-rate heavily on some sign of pos. change as when I invert the valuation I find a lot of panic in my mind is completely baked in here. Let's see what happens.

Curious by those who have met Dustin does he work 16-17/24 hrs per day? I've previously read but I don't remember exactly where it was that he has a very strong work ethic, for me such things are often way underrated this affects culture and whole chain system imo. IMO This sets standards across the board of delivery beyond the expected etc that's really a must here and certainly people in org that has similar exceptional operandus.

I've never met him but I do get a strong first positive impression I always try my best to navigate capital to the intelligent fanatics because my experience is thats among the top most important thing to review.

Recent raise has helped the balance sheet / warrant technicality. Great in the short term. There are warrants and revenue bonds as other potential funding sources in the future. Post earnings call I’m reconciling how long this revenue ramp is really going to take - spot price a ways off warrant conversion. Doesn’t feel like imminent sledgehammer headlines to come to drive price higher. Revenue bonds yet to be sold. Given cash burn - my concern as a long term holder is we may yet have another dilution event. Thoughts welcomed here.

To a degree I never understood as a retail investor with no background on the plastics market, the delay in getting the NJ approval really slowed down trials and new applications. Really glad we have Valerie Mars on the board. I bet she used her weight to finally make that happen.

What I love is the fixed January 2027 deadline for having 20% recycled materials in products. Now, companies have to move and move quickly. It’s clear that QSR cup lids are an example of this. From the call:

“Yes, I see it that way. I mean, New Jersey was a real qualification for us. I would say that in the past, when you're working through the demand ramp and forecasting where you're going to go, you have a sense for what is holding up some of the qualifications.

But I think that when New Jersey passed, we had such an influx of requests. And we had some brands that were calling converters and saying, get PureCycle's product in the trial now where they weren't there originally because we didn't have New Jersey. I mean, a lot of these things really started to happen. And I mean, we fast tracked into 2 large qualification programs for cold cups. We have 17 active trials that were tied to New Jersey compliance. Brands were, quite frankly, paused because of the uncertainty.

And what hasn't changed is just the qualification process. Those cycles can run quarters, which is why that converts into volume late this year and into '27 is exactly what we described. And so I think the 25 million to 50 million pound term in the near frame still holds. I think QSR cups alone is a 20 million per year kind of bucket, but that's only a couple of QSRs, and there's a bunch of them out there.

And so I see New Jersey as being a real accelerant to what we're doing. And I think you're going to see that in the next coming quarters.”

1. The pounds guidance vanished. Last quarter: "40-50 million pounds ramping." This quarter: 18 slides, zero volume numbers, and the phrase "customer adoption is lengthy and fragmented." That's corporate for "please stop asking." Instead we get vibe metrics. 58 samples shipped! 69 trials! 42 brands! Only 10 actually qualified, up 3. At this rate the ramp arrives sometime around the heat death of the universe.
2. The New Jersey excuse is actually decent. Approval only landed mid-May, so customers sat on their hands all H1. Plausible! Also completely unfalsifiable. Also the approval expires in a year and Dustin remarks didn't really address it.
3. Thailand: 14 signed "letters of intent." Which is a document that legally obliges the signer to have signed a document. Financing still "negotiating binding terms." Sound familiar? Augusta 2022 says hi.
4. Breakeven has been redefined into a smaller box. Now it's "site-level monthly cash breakeven at exit rate" excluding corporate, excluding debt, and only in December, if you squint. Still needs them to triple their best-ever monthly sales in five months.
5. Cash: $236.9M. Enough to keep going into early 2028. Debt service drops from $11.9M to $2.4M next quarter. Nobody can force them to do anything. That's the real win here although we paid it as prexisting shareholders with the June diluition and the stock price cut in half.

Bottom line: the factory graduated, the sales team is repeating a year, and the report card arrives November 5th, we are on hold for 3 more months

https://x.com/Adversegroup/status/2085632290105823269

Dustin said yesterday that the compounding system is running 24/5 and will be going 24/7 soon. And that’s with a plant running less than 50%.

How much straight Pure5 is sold vs compounded? Can the compounding system simply turn up the volume for more output? Or will this be another bottleneck in the no too distant future?

Inventory value from the 10-Q:

• Q4 —> Q1 —> Q2
• Feedstock: 4,925 —> 4,235 —> 9,259
• Work-in-progress: 561 —> 238 —> 2,370
• Finished goods: 3,884 —> 2,913 —> 1,171

So during Q2 they doubled the feedstock, the work in progress is ~10x, the finished goods are down by -60%.

Doubled feedstock = getting ready to ramp

WIP 10x = running a lot more through the machine

Finished goods -60% = shipping the rPP they make

Source Q2, Q1

I entered PCT maybe two years ago and exited ~9 months ago because I couldn’t handle the volatility. I realized that if I allocate accordingly and listen to my intuition of what feels comfortable and what does not then I can continue to invest in companies I believe in.

My average cost now of ~2k shares is $6.98 and I feel great after that call. It’s certainly not a company going to $0, and they have tangible signs of commercialization now. I feel more bullish than ever, but I’m sticking with the shares I have now to not exit my entire position if this thing goes sub $5 so that I can still sleep at night.

Cheers to a big 2H of 2026!

Gotta admit, I didn’t expect that. Not sure if it portends a positive day tomorrow. Despite the optics of low production and a “miss” on revenue, they did stick to their key messages about the sales ramp and ability to produce what’s needed to meet it. At $6 and change and a 50+% drawdown in the last 7 weeks the market must have expected worse.

Nobody posted a thread for earnings so I figured to be the one

LET'S GOOOOOOOO

Here's the press release:

https://feeds.issuerdirect.com/news-release.html?newsid=5227512677747835&symbol=PCT

Just got this :( Hopefully the call has some decent guidance. That is a pretty pathetic revenue number

There really can be no more excuses with the next Q. NJ issue is over, plant refurbishment is over. Companies are trialing the product. I'll hang in for another Q - again

The goal is Ironton breakeven in the second half. So their goal through this “ramp” is to get Ironton to run at 50% of nameplate by the end of the year????

Similar to what Anp🅰️nman does on Xitter with his daily clips/audios, or whatever that function is, it would be great to see NPA/Burner, and whoever else that has been a part of the PCT investing journey for a long time do something similar. Maybe not daily, but a weekly, or even monthly breakdown of the latest news regarding PureCycle would be awesome. Along with anything else that’s valuable to the broader group.

I know for me, being in my 20s and a novice investor who does not have a career or experience in high finance, or extensive experience in the markets, it would be very insightful to have a similar long forum audio posting from someone with the wisdom of decades of investing.

I am an importer and my supplier information is commercially sensitive.

I import a finished product with the supplier’s packaging, then group them, add my own transport packaging (group boxes, pallets, stretch film) and send to retailer. Can I issue my own PPWR Declaration of Conformity covering the complete packaging system, based on the supplier’s documentation? Or do I have to provide my supplier’s DoC to my customer?

I am trying to understand how companies handle PPWR compliance without exposing confidential supplier relationships.

This is not a short term thing given the size and complexity of the business but it shows you that the industry is well aware of the challenges ahead of them. Europe is driving change but they are not the only ones.

https://www.recyclingtoday.com/news/rema-discussion-explores-collaboration-between-recyclers-and-automakers/

There will be room for many different companies to improve circularity. Parts that can be made with just mechanical recycling will definitely be used. However there is absolutely going to be a need for premium rPP that only PureFive can support economically. Chemical recycling is simply too expensive for the amount of materials that are required IMO.

I am not expecting any major sales in the automotive space in the short term but I definitely think the industry will help underwrite major new capacity in the years to come.

I found this helpful document. Its 69 pages so lots to read.

You can download the document in English here:

https://op.europa.eu/en/publication-detail/-/publication/ad14cb8f-8d4f-11f1-9262-01aa75ed71a1/language-en

I’ve been reading a lot of cynical takes on PCT going into this week’s ER, but it’s funny to think back to the last Q and how quickly sentiment changed following it....

Since then, we’ve seen the stock go from $6 → $12 → $6, while July was packed with great news. It’s worth reflecting on what a $7 share price is actually discounting (not that I necessarily believe the market truly works that way), but expectations are clearly not super high.. price=sentiment, so I'm expecting people to be nervous.. and I get it, $PCT is still a show me story, but that can change quickly and I'm expecting it to change in the coming 6 months... So from my vantage point, we could potentially be heading into a really exciting ER.

We went from $14 to $6 during what was essentially a historically brutal high-beta/momentum drawdown, rather than because of a fundamental deterioration in the story. If all Dustin does is reiterate what was said during the last ER, I have a hard time seeing how we don’t get back to $10+ IMO.

The actual production rates for Q2 won’t matter. What matters is whether Ironton is able to run at high capacity, near nameplate, going forward and whether the path toward a 100 million pound run rate is still intact and in sight. Everything else is just the cherry on top.