Executive Summary

Q4 2024 reporting was bundled into Li-Cycle’s full-year 2024 release; discrete Q4 metrics and an 8‑K 2.02 were not published. FY 2024 revenue rose 53% to $28.0M, but net loss was $137.7M and adjusted EBITDA loss was $90.5M .
Liquidity tightened through 2H24: cash fell from $57.0M (Q2) to $32.2M (Q3) to $22.6M (year‑end), as operations and investing outflows continued despite cost preservation initiatives .
Strategic catalysts: DOE ATVM loan facility of up to $475M (closed in Nov-2024) supports the Rochester Hub, while a Special Committee evaluates strategic alternatives; Glencore expressed interest in a potential transaction (Mar 14, 2025 letter) .
Management emphasized Spoke optimization (full pack EV processing) and cash preservation; however, going‑concern risk was reiterated in filings and press releases, keeping the equity narrative highly event‑driven into early 2025 .

What Went Well and What Went Wrong

What Went Well

Record commercialization of recycling services drove FY revenue growth: total revenue increased 53% to $28.0M; service revenue more than doubled to $11.9M YoY .
DOE loan facility (up to $475M) closed to underpin Rochester Hub; management: “In 2024, we advanced key priorities… closing our $475 million loan facility… and advancing optimization initiatives at our Spoke business.” — Ajay Kochhar (CEO) .
Spoke optimization momentum: Q2 EV battery packs were ~40% of global feedstock; widened EU footprint and added Daimler Truck NA recycling partnership .

What Went Wrong

Persistent losses despite cost cuts: FY net loss ~$137.7M and adjusted EBITDA loss ~$90.5M; cost of sales still $76.6M vs $28.0M revenue .
Liquidity erosion in 2H24; year-end cash $22.6M, down from $57.0M (Q2) and $32.2M (Q3), as operations/investing cash use continued .
Going‑concern risk: management and filings warned of substantial doubt absent additional financing/strategic transaction; Special Committee evaluating alternatives including Glencore interest .

Financial Results

Note: Company did not publish a discrete Q4 2024 8‑K 2.02 or separate quarter tables; FY metrics and select quarterly data are shown where available from company press releases.

Metric	Q2 2024	Q3 2024	Q4 2024	FY 2024
Total Revenue ($USD Millions)	$8.4	$8.4	N/A (not disclosed)	$28.0
Cost of Sales ($USD Millions)	$(19.4)	$(20.0)	N/A	$(76.6)
SG&A ($USD Millions)	$(15.3)	$(12.9)	N/A	$(75.3)
Net Loss ($USD Millions)	N/A	N/A	N/A	$(137.7)
Adjusted EBITDA (Loss) ($USD Millions)	N/A	N/A	N/A	$(90.5)
Cash & Cash Equivalents ($USD Millions)	$57.0 (as of 6/30/24)	$32.2 (as of 9/30/24)	$22.6 (as of 12/31/24)

KPIs

KPI	Q2 2024	Q3 2024	Q4 2024
EV Battery Packs as % of Global Feedstock	~40%	Not disclosed	Not disclosed
Recycling Service Revenue ($USD Millions)	$3.2	$4.0	Not disclosed

Segment breakdown: Not applicable; Li-Cycle reports by consolidated operations and highlights Spoke/Hub activities rather than formal revenue segments .

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Quantitative financial guidance	FY/Q4 2024	None provided	None provided	Maintained at “no formal guidance”

Narrative guidance: Management focused on (1) securing financing to restart Rochester Hub and draw DOE loan, and (2) Spoke optimization; no explicit ranges for revenue/margins/tax provided in Q4/FY communications .

Earnings Call Themes & Trends

Note: A discrete Q4 2024 earnings call transcript was not published; themes below track Q2–Q3 and current FY commentary.

Topic	Previous Mentions (Q-2 and Q-1)	Current Period (Q4/FY 2024)	Trend
DOE ATVM loan progress	Q2: final step before closing; technical/financial/legal workstreams progressing	DOE loan facility closed (up to $475M) in Nov-2024; focus on meeting draw conditions	From pursuit to execution; now liquidity and drawdown conditions are risks
Spoke optimization (EV full-pack processing)	Q2: ~40% feedstock from EV packs; EU/NA partnerships expanding	Continued emphasis on optimization and cash accretive Spoke operations	Sustained focus; operational progress, but financial constraints persist
Strategic alternatives	Q1: Glencore convertible note; liquidity enhancement	Special Committee evaluating alternatives; Glencore interest in potential transaction	Intensifying strategic optionality
Liquidity and going-concern	Q1: Cash $109.1M; still losses and high cash use	Cash fell to $22.6M; explicit going-concern risk reiterated	Deteriorating liquidity; heightened risk

Management Commentary

“In 2024, we advanced key priorities for the Company, including closing our $475 million loan facility with the U.S. Department of Energy to help finance our Rochester Hub project and advancing optimization initiatives at our Spoke business.” — Ajay Kochhar, President & CEO .
“Our two main goals… securing a full financing package to underpin the restart of construction of the Rochester Hub… [and] implementing initiatives to enhance Spoke performance and improve cash flow to establish a self‑sufficient Spoke business.” — Company statement (Jan 10, 2025) .

Q&A Highlights

DOE loan closing and draw conditions: management in Q2 described the final ATVM steps and workstreams, noting conservative DOE assumptions on metal pricing and a focus on technical validation and financing structure .
Spoke/HUB economics sensitivity: comments acknowledged soft nickel/cobalt/lithium pricing but emphasized diversified metal basket and confidence in Rochester Hub viability under DOE’s case .
2H24 priorities: finalize DOE documentation, bolster liquidity, complete Hub comprehensive review, and maximize spoke network value .

Estimates Context

Wall Street consensus estimates (S&P Global) were not available via our data tool for LICYF at the time of analysis due to missing mapping. As a result, a formal beat/miss comparison versus S&P Global consensus cannot be presented. If coverage resumes, we expect estimates to adjust for negative cash flow, liquidity constraints, and the timing/conditions to draw the DOE loan facility.

Key Takeaways for Investors

Liquidity is the fulcrum: cash declined to $22.6M by year‑end with going‑concern language; near-term equity performance hinges on securing financing or a strategic transaction to stabilize operations .
DOE facility closed but not drawn: conditions to access funds require additional financing/equity contributions; watch milestones tied to restart of Rochester Hub .
Operations show commercial traction (service revenue, EV packs processing, EU/NA partnerships), but unit economics remain challenged; sustained cost discipline and spoke optimization are critical .
Event risk is high: Special Committee process and Glencore interest introduce binary outcomes; potential transaction could reset capital structure and operations, but timing/terms remain uncertain .
Trading stance: short‑term moves likely catalyzed by financing/strategic updates (DOE draw readiness, partner commitments, asset sale outcomes); medium‑term thesis depends on restarting Rochester Hub and proving sustainable Spoke‑Hub cash generation .

Footnotes:

Discrete Q4 2024 8‑K 2.02 and Q4 call transcript were not found; company consolidated Q4 into FY release and subsequent January 2025 operational update .
S&P Global consensus was unavailable via tool at the time of analysis due to missing mapping; estimate comparisons could not be performed.

Li-Cycle Holdings Corp. (LICYF)·Q4 2024 Earnings Summary