Loop Industries reports progress on global expansion, reduces Q2 loss

Loop Industries, a clean technology company focused on accelerating a circular economy for polyester, reported its consolidated financial results for the second quarter of fiscal year 2026, highlighting significant progress on its global expansion projects.

Loop's financial results for the quarter reflect focused cost management, with cash operating expenses decreasing by 1.74 million dollars year-over-year to 2.43 million dollars. The net loss for the quarter narrowed to 3.20 million dollars, down from 4.84 million dollars in the same period last year, primarily due to decreases in research and development and general and administrative expenses. The company ended the quarter with total available liquidity of 9.86 million dollars.

CEO Daniel Solomita commented on the milestones, saying, “This was a landmark quarter for the Infinite Loop India project. With the strategic site now secured in the Gujarat Province, we have achieved several milestones necessary to advance the facility to the construction phase. On the commercial front, we secured our foundational anchor customer through a major off-take agreement with a world-leading sports apparel company... The European project is also progressing well, and we are now in the final stages of site selection.”

The company successfully executed key agreements for its Infinite Loop India project, including securing approximately 93 acres of strategic land in Gujarat for 10.5 million dollars—a 5 million dollars reduction from the initial project cost estimate. Commercially, Loop secured a multi-year offtake agreement for its Twist polyester with a leading global branded sports apparel company and another with Italy-based Taro Plast S.p.A. for the sale of Loop DMT. The company's India JV, ELITe, is now engaging KPMG to manage the debt syndication process for project financing.

Loop also announced two major strategic alliances: one with Shinkong Synthetic Fibers Corporation of Taiwan and another with Hyosung TNC, the world's largest spandex manufacturer. These partnerships are designed to combine Loop's branded textile-to-textile Twist polyester with its partners' expertise and customer networks to support the shift towards circular polyester. In Europe, the partnership with Reed Societe Generale Group is in the final stages of site selection for the first Infinite Loop facility, which is anticipated to generate new engineering revenues for Loop in 2026.