Bimergen Energy (NYSEAMERICAN:BESS) reported its first revenue-producing quarter, posting $7.9 million in second-quarter revenue, $3.9 million in EBITDA and $1.6 million in net income, according to Director, CFO and Co-CEO Robert J. Brilon during a RedChip investor presentation.
Brilon said the company’s quarter benefited from project transactions rather than recurring operating revenue from energy storage assets. He said Bimergen expects development-related transaction revenue to remain a primary contributor during 2026, with a mix of transaction and operating revenue anticipated in 2027 as projects enter service.
Texas-Focused Battery Storage Pipeline
Bimergen develops battery energy storage system, or BESS, projects, with the majority of its portfolio located in Texas. Brilon said the company acquired 23 development-stage projects from Co-CEO Cole Johnson and his group in April 2024. Management described the portfolio as representing roughly 2 gigawatts of capacity.
According to Brilon, 11 of the company’s 23 projects are in Texas and are in various stages of the interconnection process, including projects in or through the interconnection queue and approaching financing. He said nearly 20 projects, including smaller acquired projects, are located in the ERCOT market.
The company expects to develop its existing project portfolio over four to five years, at an average pace of four to five projects annually. Brilon said the company may add projects as other developers approach Bimergen with potential opportunities.
Management characterized the business model as energy arbitrage: charging batteries when electricity prices are low and discharging energy back to the grid during periods of higher demand. Brilon said a 100-megawatt project could generate approximately $20 million in annual arbitrage revenue, though he noted the company’s future results depend on project execution and operating conditions.
Project-Level Financing Strategy
Brilon said Bimergen intends to finance its projects primarily through project-level debt and partnerships rather than common-equity funding. A typical 100-megawatt project costs approximately $125 million, he said, with about $85 million associated with batteries and other equipment.
“Each project is financed on its own assets and operations,” Brilon said, describing the financing as non-recourse to Bimergen. He said the company has structured relationships with junior mezzanine debt providers, long-term lenders, battery suppliers, engineering, procurement and construction providers, and energy offtake counterparties.
RelyEZ has committed $50 million in junior mezzanine debt, according to Brilon. He said RelyEZ’s funding is intended to support construction, earning approximately 12% during that period, before being repaid through a tax-equity event tied to investment tax credits. Bimergen expects to retain 100% ownership of projects developed under that structure after the buyout of RelyEZ’s interest, Brilon said.
The company also cited a prospective $200 million arrangement with Cox that remains in the definitive-agreement process. Brilon said Bimergen expects to announce additional long-term debt providers, offtake agreements and construction partners by year-end.
Frontier, Cerberus and Eos Transaction
Bimergen previously sold three projects to a platform involving Frontier Power USA and Cerberus, with Eos Energy Enterprises supplying zinc-bromine battery technology. Brilon said Bimergen retained a 7.5% ownership interest in those projects while receiving development fees upfront.
The projects were suited to longer-duration storage because of their location near Houston, Brilon said. He added that Bimergen has a joint development agreement in place that could support additional transactions with the counterparties rather than making the initial sale a one-time arrangement.
The company provisionally carried its retained interest in the three projects at $500,000, Brilon said. An independent third party is expected to determine the ultimate valuation using projected cash flows and other factors, with management planning to review the value during the third quarter.
Capital Structure and Outlook
Brilon said Bimergen had 7.1 million common shares outstanding and 300,000 prepaid warrants. He estimated the fully diluted share count at about 13 million shares, including 3.6 million warrants exercisable at $5 for five years and certain management options.
Management said it does not currently expect to raise additional capital for operating needs. Brilon said a future equity raise could be considered if Bimergen elected to provide more of its own project-level financing, but he said such a move would not currently make economic sense given the company’s market capitalization.
Looking ahead, Brilon said the company has cited a potential path to approximately $400 million in annual revenue once its roughly 2-gigawatt portfolio is fully built. That calculation is based on management’s estimate of about $20 million in annual energy-arbitrage revenue per 100 megawatts of capacity. He said the target depends on advancing the projects through development, financing, construction and operations.
About Bimergen Energy (NYSEAMERICAN:BESS)
Spine Injury Solutions, Inc provides a suite of revolutionary electrical power generation technologies. The company intends to offer Evirontek Integrated Platform to the cryptocurrency mining industry to reduce the exorbitant high cost of electricity. It also provides spine injury diagnostic services; and owns, develops, and leases the Quad Video Halo video recording system used to record medical procedures. The company is based in Costa Mesa, California.
