Oklo (OKLO) Q2 FY26 earnings call: guidance and Q&A

Oklo is actively participating in the DOE's Genesis mission, an $800M initiative leveraging national labs, AI, and advanced computing to accelerate nuclear deployment. Oklo's Prometheus project received a $60M Phase I award over three years. Additionally, Oklo is engaging with five states selected as potential hosts for DOE's Nuclear Life Cycle Innovation Campuses, which aim to integrate fuel fabrication, enrichment, recycling, and reactor development, offering significant economic potential by tapping into vast energy reserves from used fuel.

Oklo emphasizes its strategy of building a single integrated nuclear technology platform across power, fuel, and isotopes, rather than three isolated businesses. This vertical integration, encompassing fuel sourcing, fabrication, and recycling, aims to capture value across the entire nuclear asset life cycle. This model is designed to improve capital efficiency, expand financing options, and support faster, more scalable deployment by reducing direct capital investment per megawatt while preserving recurring revenue opportunities.

The Groves isotope facility achieved first criticality in under 11 months from groundbreaking, a record pace for a privately funded, greenfield reactor. This milestone validated not only the reactor but also Oklo's in-house execution engine, including construction, authorization, commissioning, and operations. The experience gained, from site design and permitting to operator training and federal safety reviews, provides a repeatable blueprint and significantly reduces execution uncertainty for future nuclear assets across the platform.

Oklo is advancing its Aurora-INL project, with DOE approval of the preliminary documented safety analysis (PDSA) and site excavation nearing completion. The company is applying lessons learned from Groves to manage construction, supplier coordination, and regulatory reviews. For the larger Aurora, Ohio, 1.2 GW clean energy campus, Oklo entered an MOU with Kiewit for EPC planning, aiming to establish repeatable approaches for fleet deployment and integrating PJM interconnection applications.

During the quarter, Oklo acquired ARMEC and Creative Engineers, Inc. (CEI) to strengthen its internal manufacturing, engineering, and specialized systems capabilities. ARMEC contributes to Aurora-INL's engineering and procurement, leveraging its manufacturing capabilities and talent access in Oak Ridge. CEI brings 30 years of experience in sodium systems, supporting both reactor and recycling organizations. These acquisitions shorten feedback loops between design, manufacturing, and deployment, enhancing execution across all business lines.

Oklo is building a diversified domestic fuel supply across sourcing, fabrication, and recycling to ensure long-term fuel availability for its Aurora deployments. This includes a Letter of Intent with Centrus for commercial HALEU supply (up to 5 powerhouses, deliveries starting 2029), advanced negotiations with DOE for surplus plutonium as a bridge fuel, and the development of its Aurora Fuel Fabrication Facility (A3F) for EBR-II used fuel and an Advanced Fuel Center in Tennessee for recycling.

Oklo is leveraging artificial intelligence through collaborations with NVIDIA and Los Alamos National Laboratory. This work focuses on developing physics and chemistry-based AI models, digital twins, and simulation tools to accelerate fuel validation, improve reactor design workflows, and optimize operations. AI is expected to significantly reduce design and analysis timelines from months to hours, leading to higher-performing designs and lower costs per extracted power.