Quick Facts / Company Snapshot
- Official Name: Centrus Energy Corp.
- Trading Symbol: LEU
- Exchange: NYSE American
- Incorporation State: Delaware
- Incorporation Date: 1998 (Privatization)
- IRS Employer Identification No.: 52-2107911
- Headquarters Address: 6901 Rockledge Drive, Suite 800, Bethesda, Maryland 20817
- Phone Number: (301) 564-3200
- Total Revenue (2024): $442.0 Million
- Net Income (2024): $73.2 Million
- Total Assets (2024): $1,093.4 Million
- Cash and Cash Equivalents (2024): $671.4 Million
- Order Backlog (2024): $3.7 Billion
- Key Subsidiary: United States Enrichment Corporation
- Key Subsidiary: American Centrifuge Operating, LLC
- Primary Industry: Nuclear Fuel Components and Services
- Auditor: Deloitte & Touche LLP
Company Overview
Centrus Energy Corp. is a diversified supplier of nuclear fuel components and services for the nuclear power industry. The company operates as a Delaware corporation and serves as a trusted partner in providing a reliable source of carbon-free energy. Originally incorporated in 1998 as part of the privatization of the U.S. government’s uranium enrichment enterprise, Centrus has evolved into a critical entity in the global nuclear fuel market.
The company’s operations are centered around two primary objectives: supplying low-enriched uranium (LEU) to commercial customers through a global network of suppliers, and developing advanced uranium enrichment technology for the U.S. government and other technical services. Centrus is committed to the restoration of America’s domestic uranium enrichment capabilities, particularly for High-Assay Low-Enriched Uranium (HALEU), to meet national and energy security requirements.
The corporate headquarters are located in Bethesda, Maryland, which also serves as a hub for its business segments. The company maintains significant physical operations in Oak Ridge, Tennessee, and Piketon, Ohio, supporting its manufacturing and technical solutions capabilities.
Business Segments
Centrus Energy Corp. organizes its operations into two distinct business segments.
1. Low-Enriched Uranium (LEU)
- Revenue (2024): $349.9 Million
- Percentage of Total Revenue: ~79.2%
- Operational Scope: This segment is responsible for the sale of the separative work unit (SWU) component of LEU, the natural uranium component of LEU, and natural uranium hexafluoride. The LEU segment supplies various components of nuclear fuel to commercial customers, primarily utilities that operate nuclear power plants.
- Business Model: Centrus sources LEU from a global network of suppliers rather than enriching the material internally for commercial sale at this time. The segment operates largely on medium and long-term fixed-commitment contracts. The backlog for this segment extends to 2040, valued at approximately $2.8 billion as of December 31, 2024.
2. Technical Solutions
- Revenue (2024): $92.1 Million
- Percentage of Total Revenue: ~20.8%
- Operational Scope: This segment offers technical, manufacturing, engineering, and operations services to public and private sector customers. A primary focus is the deployment of advanced uranium enrichment manufacturing capabilities, specifically for the production of HALEU.
- Business Model: The segment engages in engineering and testing activities, largely under contracts with the U.S. Department of Energy (DOE). This includes the HALEU Operation Contract, under which Centrus is compensated on a cost-plus-incentive-fee basis for producing HALEU from its demonstration cascade. The backlog for Technical Solutions was approximately $0.9 billion as of December 31, 2024.
History and Evolution
Centrus Energy Corp. traces its origins to the U.S. government’s uranium enrichment enterprise. The company was incorporated in 1998 to facilitate the privatization of these government operations. Historically, the company operated through its subsidiary, the United States Enrichment Corporation (Enrichment Corp.), which managed the Portsmouth Gaseous Diffusion Plant (Portsmouth GDP) and the Paducah Gaseous Diffusion Plant (Paducah GDP).
The Paducah GDP was the last domestic uranium enrichment facility suitable for national security requirements until it shut down in 2013. Following the cessation of gaseous diffusion operations, the company pivoted toward developing advanced gas centrifuge technology. This technology, known as American Centrifuge, is based on U.S. centrifuge technology originally developed by the DOE.
In 2014, the company underwent a reorganization and application of fresh start accounting, emerging with new intangible assets related to its sales backlog and customer relationships. Since then, Centrus has focused on re-establishing domestic enrichment capacity. A significant milestone was achieved with the signing of the HALEU Demonstration Contract in 2019, leading to the construction of a cascade of 16 AC100M centrifuges in Piketon, Ohio. Operations began under a new HALEU Operation Contract in late 2022, and Centrus successfully delivered its first HALEU to the DOE in November 2023.
Products and Services
1. Separative Work Units (SWU)
- Revenue (2024): $246.8 Million
- Percentage of Total Revenue: ~55.8%
- Profile: SWU is the standard unit of measurement representing the effort required to separate natural uranium into enriched uranium (higher U235 concentration) and depleted uranium. Centrus sells the SWU component of LEU to utilities worldwide.
2. Uranium
- Revenue (2024): $103.1 Million
- Percentage of Total Revenue: ~23.3%
- Profile: This product line includes the sale of natural uranium hexafluoride (UF6) and uranium concentrates (U3O8). While primarily sold as a component of LEU, Centrus also engages in standalone uranium sales to utilities and other nuclear fuel-related companies.
3. Technical Solutions Services
- Revenue (2024): $92.1 Million
- Percentage of Total Revenue: ~20.8%
- Profile: This service category encompasses advanced manufacturing, engineering, and operations services. Key activities include the operation of the HALEU cascade, decontamination and decommissioning (D&D) support, and engineering services for advanced nuclear fuel facilities like the TRISO fuel fabrication facility.
Brand Portfolio
1. LEU (Low-Enriched Uranium)
- Profile: “LEU” serves as both a business segment and a primary trade identifier for the company’s commercial nuclear fuel supply business. It supplies fuel components for commercial nuclear power reactors.
2. American Centrifuge
- Profile: This brand represents the company’s proprietary advanced uranium enrichment gas centrifuge technology. It utilizes the AC100M centrifuge machine and is the cornerstone of Centrus’ efforts to restore domestic enrichment capability.
Geographical Presence
Centrus Energy Corp. serves a global customer base, with revenue categorized by the billing address of the customer.
1. United States
- Revenue (2024): $253.4 Million
- Percentage of Total Revenue: ~57.3%
- Profile: The U.S. remains the company’s largest market. Centrus maintains its corporate headquarters in Bethesda, Maryland, and operates major industrial facilities in Oak Ridge, Tennessee, and Piketon, Ohio. The U.S. government is a significant customer within this region.
2. Japan
- Revenue (2024): $117.2 Million
- Percentage of Total Revenue: ~26.5%
- Profile: Japan is a critical international market for Centrus. The company supplies utilities in Japan as the country continues to restart reactors following the Fukushima incident.
3. Netherlands
- Revenue (2024): $42.4 Million
- Percentage of Total Revenue: ~9.6%
- Profile: Sales to customers in the Netherlands represent a significant portion of international revenue, reflecting the company’s global reach in the nuclear fuel market.
4. Other Foreign Countries
- Revenue (2024): $29.0 Million
- Percentage of Total Revenue: ~6.6%
- Profile: This category includes sales to various other international jurisdictions. Belgium was previously a major market in 2022 but recorded no revenue in 2024.
Financial Performance Analysis
Centrus Energy Corp. demonstrated strong revenue growth in 2024, driven by increased sales in both the LEU and Technical Solutions segments.
Profit and Loss Analysis
The following table outlines the company’s operational performance for the fiscal year ended December 31, 2024.
| Metric | Amount (in Millions) |
| Total Revenue | $442.0 |
| Cost of Sales | $330.5 |
| Gross Profit | $111.5 |
| Advanced Technology Costs | $17.2 |
| Selling, General and Administrative | $36.2 |
| Amortization of Intangible Assets | $9.8 |
| Special Charges for Workforce Reductions | $0.3 |
| Operating Income | **$48.0** |
| Nonoperating Components of Net Periodic Benefit Income | $(14.7) |
| Interest Expense | $2.7 |
| Investment Income | $(12.9) |
| Other Income, Net | $(0.1) |
| Income Before Income Taxes | $73.0 |
| Income Tax Expense (Benefit) | $(0.2) |
| Net Income | **$73.2** |
Balance Sheet Analysis
The company’s financial position as of December 31, 2024, reflects a substantial increase in cash reserves and total assets.
| Metric | Amount (in Millions) |
| Total Current Assets | $1,015.2 |
| Cash and Cash Equivalents | $671.4 |
| Inventories | $161.6 |
| Accounts Receivable | $80.0 |
| Non-Current Assets | |
| Property, Plant and Equipment, Net | $9.4 |
| Intangible Assets, Net | $29.6 |
| Deferred Tax Assets, Net | $29.3 |
| Total Assets | $1,093.4 |
| Total Current Liabilities | $346.8 |
| Deferred Revenue (Current) | $216.4 |
| Payables under Inventory Purchase Agreements | $29.5 |
| Long-Term Liabilities | |
| Long-Term Debt | $472.5 |
| Postretirement Obligations | $74.6 |
| Pension Benefit Liabilities | $29.7 |
| Stockholders’ Equity | **$161.4** |
Cash Flow Analysis
Cash flow movements for the year ended December 31, 2024, highlight strong operating generation and significant financing activity.
| Metric | Amount (in Millions) |
| Net Cash Provided by Operating Activities | $37.0 |
| Net Cash Used in Investing Activities | $(3.1) |
| Capital Expenditures | $(3.1) |
| Net Cash Provided by Financing Activities | **$436.3** |
| Proceeds from Issuance of Long-Term Debt | $402.5 |
| Proceeds from Issuance of Common Stock | $55.2 |
| Net Increase in Cash, Cash Equivalents and Restricted Cash | $470.2 |
Board of Directors and Leadership Team
The company is led by a team of experienced executives and governed by a Board of Directors.
Executive Officers
- Amir V. Vexler: President and Chief Executive Officer (Age 52). Mr. Vexler joined Centrus in December 2023 and assumed the CEO role on January 1, 2024. He brings extensive nuclear fuel industry experience, having previously served as CEO of Orano USA. His background includes leadership roles at General Electric and a strong focus on manufacturing, engineering, and commercial operations.
- Kevin J. Harrill: Senior Vice President, Chief Financial Officer, and Treasurer (Age 48).
- Shahram Ghasemian: Senior Vice President, General Counsel, Chief Compliance Officer, and Corporate Secretary (Age 58).
- Larry B. Cutlip: Senior Vice President, Field Operations (Age 65).
- John M.A. Donelson: Senior Vice President and Chief Marketing Officer (Age 60). Mr. Donelson has served in this role since October 2019 and has been with the company in various sales and marketing leadership capacities since 1999. His prior experience includes roles at Duke Energy and Newport News Shipbuilding.
- Neal K. Nagarajan: Senior Vice President, Head of Investor Relations (Age 39). He joined in November 2024, bringing experience from Sloane & Company and Sard Verbinnen & Co.
Board of Directors
- Mikel H. Williams: Chairman of the Board and Director.
- Kirkland H. Donald: Director.
- Tetsuo Iguchi: Director.
- Tina W. Jonas: Director.
- William J. Madia: Director.
- Stephanie L. O’Sullivan: Director.
- Ray A. Rothrock: Director.
- Bradley J. Sawhney: Director.
Subsidiaries, Associates, and Joint Ventures
Centrus Energy Corp. operates through a streamlined corporate structure to manage its regulated and commercial activities.
- United States Enrichment Corporation: A wholly-owned subsidiary incorporated in Delaware. This entity was formerly a government corporation prior to privatization. It is a principal operating subsidiary for the company.
- American Centrifuge Holdings, LLC: A wholly-owned subsidiary incorporated in Delaware. It serves as a holding entity within the corporate structure.
- American Centrifuge Operating, LLC (ACO): An indirect wholly-owned subsidiary incorporated in Delaware. ACO is the contracting entity for major DOE contracts, including the HALEU Operation Contract and HALEU Production Contract.
Physical Properties
Centrus maintains a footprint of leased and owned facilities critical to its manufacturing and administrative functions.
- Bethesda, Maryland: The corporate headquarters occupies 24,000 square feet of leased office space. This location supports both the LEU and Technical Solutions segments.
- Oak Ridge, Tennessee: The company owns a 440,000 square foot manufacturing facility situated on 72 acres. This site serves as the Technology and Manufacturing Center, supporting the Technical Solutions segment.
- Piketon, Ohio: Centrus leases industrial buildings and 110,000 square feet of supporting office space from the DOE. The industrial facilities cover more than 14 acres under roof and are designed to house uranium enrichment operations using American Centrifuge technology.
Segment-wise Performance
The company’s segments showed distinct performance trends in 2024.
LEU Segment
- Revenue: Increased by 30% to $349.9 million in 2024 from $269.0 million in 2023.
- Cost of Sales: Increased by 56% to $256.0 million, primarily due to a 67% increase in the average unit cost of SWU sold.
- Gross Profit: Decreased by 11% to $93.9 million from $105.1 million in 2023.
Technical Solutions Segment
- Revenue: Increased significantly by 80% to $92.1 million in 2024 from $51.2 million in 2023.
- Cost of Sales: Increased by 69% to $74.5 million.
- Gross Profit: Increased by 151% to $17.6 million from $7.0 million in 2023.
Founders
Centrus Energy Corp. was formed as part of the privatization of the U.S. government’s uranium enrichment enterprise. The predecessor entity, the United States Enrichment Corporation (USEC), was originally a wholly-owned government corporation before its privatization in July 1998. The privatization process was authorized under the Energy Policy Act of 1992 and aimed to transition the government’s enrichment operations into a competitive private business. While there are no individual “founders” in the startup sense, the creation of the company was a legislative and governmental act designed to secure the nation’s nuclear fuel supply.
Shareholding Pattern
As of January 31, 2025, Centrus Energy Corp. had the following share structure:
- Class A Common Stock: 16,045,916 shares outstanding.
- Class B Common Stock: 719,200 shares outstanding.
- Holders: The Class B stock is held by Toshiba America Nuclear Energy Corporation and Babcock & Wilcox Investment Company.
- Rights: Class B stockholders are entitled to elect, in the aggregate, one member of the Board of Directors.
The company has a “Section 382 Rights Agreement” in place to protect shareholder value regarding Net Operating Loss (NOL) carryforwards.
Parent Company
Centrus Energy Corp. does not have a parent company. It is a publicly traded independent entity. Its predecessor was the United States Enrichment Corporation, a government corporation, but since privatization in 1998, it has operated independently.
Investments and Capital Expenditure Plans
Centrus is actively investing in the restoration of domestic uranium enrichment capacity.
- HALEU Production: The company is investing in the HALEU Operation Contract, which included a cost-share contribution of approximately $30.0 million for Phase 1 construction.
- Technology Deployment: In December 2024, the DOE’s NNSA released a request for information regarding an AC100 deployment demonstration. This effort aligns with Centrus’ investment in the AC100 centrifuge technology.
- Capital Allocation: The proceeds from the issuance of $402.5 million in 2.25% Convertible Notes are intended for general working capital, potentially including investment in technology development or deployment, capital expenditures, and potential acquisitions.
Future Strategy
Centrus’ strategic focus is on leading the deployment of High-Assay Low-Enriched Uranium (HALEU) production and expanding its LEU capabilities.
- Domestic Enrichment Restoration: The company is committed to restoring America’s domestic uranium enrichment capabilities to meet national security and energy security requirements.
- Contract Expansion: Centrus aims to secure task orders under the newly awarded HALEU Production Contract (maximum value $2.7 billion) and LEU Production Contract (maximum value $3.4 billion) from the DOE.
- Commercial Scale-Up: The goal is to modularly scale up the Piketon facility to match production capacity with demand as it grows in the commercial and government sectors.
- Next-Generation Fuels: Centrus plans to deliver major components of next-generation nuclear fuels to power the future of nuclear energy globally.
Key Strengths
- Unique Technology: Centrus possesses the American Centrifuge technology, which is the only deployment-ready U.S. centrifuge technology suitable for national security requirements.
- Strategic Backlog: The company holds a robust order backlog of $3.7 billion extending to 2040, providing long-term revenue visibility.
- Regulatory Status: Centrus is the only company with a license from the Nuclear Regulatory Commission (NRC) to enrich uranium up to 20% U235 assay (HALEU).
- Government Partnership: The company has secured multiple critical IDIQ contracts with the DOE for HALEU production, LEU production, and HALEU deconversion.
Key Challenges and Risks
- Russian Supply Dependence: Centrus relies significantly on the TENEX Supply Contract for its LEU supply. The “Prohibiting Russian Uranium Imports Act” (Import Ban Act) and the Russian Decree restricting exports pose material risks to this supply chain.
- Waiver Uncertainty: The ability to import Russian LEU depends on obtaining waivers from the DOE. While waivers for 2024 and 2025 have been granted, waivers for 2026 and 2027 are pending, creating uncertainty.
- Funding and Contract Awards: The company’s expansion plans depend on winning task orders and receiving adequate government funding. There is no assurance that task orders will be issued or that funding will be sufficient.
- Market Competition: The nuclear fuel market is competitive, and Centrus faces competition from major LEU producers who may be less cost-sensitive or government-owned.
- Cybersecurity: The company faces risks related to cybersecurity threats, including potential attacks from advanced and persistent adversaries, which could impact operations and sensitive information.
Conclusion and Strategic Outlook
Centrus Energy Corp. stands at a pivotal juncture in the nuclear industry. As the only U.S. company with the technology and licensing to produce HALEU, it is uniquely positioned to support the next generation of nuclear reactors and enhance U.S. energy security. The recent awards of multi-billion dollar IDIQ contracts by the DOE underscore the strategic importance of Centrus’ capabilities. However, the company must navigate significant geopolitical headwinds, particularly regarding its supply chain reliance on Russia. Success in the coming years will hinge on its ability to effectively scale domestic production, manage complex supply chain dynamics, and convert government contract awards into operational revenue.
Official Site: www.centrusenergy.com
Frequently Asked Questions (FAQ)
1. What is the primary business of Centrus Energy Corp?
Centrus Energy Corp. supplies nuclear fuel components, specifically low-enriched uranium (LEU), to commercial nuclear power plants. It also provides technical and engineering services, focusing on the development of advanced uranium enrichment technology for the production of High-Assay Low-Enriched Uranium (HALEU).
2. What is the American Centrifuge technology?
American Centrifuge is Centrus’ proprietary advanced uranium enrichment gas centrifuge technology. It uses the AC100M centrifuge machine, which was developed based on technology from the U.S. Department of Energy, to enrich uranium for nuclear fuel.
3. Does Centrus Energy produce its own uranium for commercial sale?
Currently, Centrus sources the LEU it sells to commercial customers from a global network of suppliers rather than enriching it internally. However, the company is actively working to restore domestic enrichment capacity at its facility in Piketon, Ohio, particularly for HALEU production.
4. What are Centrus Energy’s key facilities?
Centrus operates a corporate headquarters in Bethesda, Maryland. Its primary industrial facilities include a Technology and Manufacturing Center in Oak Ridge, Tennessee, and a uranium enrichment facility in Piketon, Ohio, leased from the Department of Energy.
5. How is Centrus Energy involved with the U.S. government?
Centrus acts as a strategic partner to the U.S. government, holding major contracts with the Department of Energy. These include contracts for HALEU operation, production, and deconversion, aimed at restoring domestic nuclear fuel capabilities for national security and clean energy needs.
Source: Content on FirmsWorld.com is based on publicly available corporate filings, regulatory disclosures, annual reports, SEC 10-K filings, investor relations materials, and, where applicable, direct communications with the company.
