LiqTech International, Inc. (LIQT): Business Model Canvas [Dec-2025 Updated]

You're looking to cut through the noise on LiqTech International, Inc. (LIQT) to see how their unique silicon carbide filtration tech actually makes money. Honestly, their model hinges on hitting quarterly revenue between $5.5 million and $6.0 million to finally reach adjusted EBITDA break-even, with a full-year 2025 guidance set between $18.0 million and $19.0 million. We've mapped out their entire strategy-from key partnerships in China to their extreme durability value prop-so you can see exactly where the near-term risks and revenue drivers lie. Check out the full Business Model Canvas below for the nine building blocks.

LiqTech International, Inc. (LIQT) - Canvas Business Model: Key Partnerships

You're looking at the critical external relationships LiqTech International, Inc. (LIQT) relies on to get its specialized filtration technology to market as of late 2025. These alliances are key because, honestly, a company with a market capitalization around $17.98 million and a Q3 2025 net loss of $(1.5) million can't scale alone.

Here's the quick math on the expected scale: Full year 2025 revenue guidance sits between $18.0 million and $19.0 million, which is a projected 23% to 30% increase from the full year 2024. That growth is heavily dependent on these partners delivering.

Joint Venture with JiTRI in China for Marine Water Treatment Systems

The joint venture, Nantong JiTRI LiqTech Green Energy Technology Co., Ltd., is a major strategic move. LiqTech International, Inc. is the majority owner, and the JV is establishing significant local infrastructure in Haimen, Nantong, with a new R&D test center and localization workshop, announced in November 2025. This localization effort directly addresses supply chain risk by establishing domestic component sourcing to reduce reliance on imported parts from Europe. The JV has already secured tangible results; two new marine scrubber orders, a direct result of the partnership, are scheduled for delivery in Q4 2025 and Q1 2026. The installed base for LiqTech's marine water treatment systems globally is over 170 units, and the company holds a market share greater than 20% for marine scrubbers, including hybrid and closed-loop systems. The JV's selling expenses were noted as a cost factor in Q3 2025 operating expenses, which were $2.1 million for the quarter.

Key details on the JiTRI relationship:

• Majority Ownership: LiqTech International, Inc. holds the majority stake.
• Localization Goal: Reduce reliance on European imports for system assembly.
• New Orders: Secured 2 marine scrubber orders for delivery in late 2025/early 2026.
• Facility Status (Nov 2025): Ground broken on R&D center; regional spare parts warehouse completed.

Distribution Partner Razorback Direct for North American Energy Sector Solutions

The agreement with Razorback Direct Oilfield Solutions and Services, based in Houston, is critical for North American energy sector penetration, specifically for produced water treatment for re-injection and reuse. This partnership covers key oil and gas states: Texas, Oklahoma, Louisiana, Ohio, and Pennsylvania. Razorback Direct received a containerized pilot system in February 2024 to demonstrate the technology. This effort paid off, as LiqTech shipped a record commercial order from Razorback Direct for its PureFlow™ mobile units during Q1 2025, which helped drive the 36% sequential revenue increase to $4.6 million for that quarter. Razorback Direct's focus on reducing client Operational Expenditure (OpEx) through efficient solutions complements LiqTech's technology well.

The performance of these North American energy solutions is summarized below:

Exclusive Distribution Agreements with Waterco for Pool Systems in Asia Pacific

LiqTech International, Inc. has an exclusive distribution agreement with Waterco Limited covering Australia, New Zealand, Papua New Guinea, and the Pacific Islands for the Aqua Solution® swimming pool water filtration systems. While the agreement extension was reported in late 2023, the underlying market segment remains a focus. The company's commercial pool systems are touted for significant efficiency gains, which is the value proposition delivered through this channel. These systems can result in water savings up to 60%, energy reduction by 60%, and chlorine dosing lowered by 30%. Although specific 2025 revenue from this segment isn't isolated, the Q2 2025 outlook anticipated growth in swimming pool revenue. If onboarding takes 14+ days, churn risk rises.

Strategic Alliances for Pilot Programs in New Markets like Lithium Brine Production

Pilot programs are the crucial step before full commercialization in new, high-potential markets. LiqTech has multiple pilot units operational, including one in the U.S. for lithium brine production pretreatment. This pilot, which followed a commercial order from a leading technology company in late 2024, was extended with an expanded scope, contributing to expected Q2 2025 revenue growth. Another pilot unit is running with one of the world's leading integrated energy companies for oil and gas water treatment. These rental-based agreements are designed to collect performance data, which is essential for de-risking future large-scale sales. The ultrafiltration (UF) membrane technology is positioned as an excellent pre-treatment step to enhance downstream ion exchange processes in Direct Lithium Extraction (DLE).

Suppliers for Raw Materials and Components for Manufacturing

The supply chain strategy is clearly shifting toward localization, primarily driven by the China JV. The establishment of the localization workshop by Jitri LiqTech is intended to increase domestic component sourcing. This is a direct action to build resilience against potential disruptions to the European supply chain for raw materials and components. While specific tier-one suppliers for the core silicon carbide (SiC) membranes aren't detailed, the operational focus in late 2025 is on managing existing inventory write-offs linked to the slower sales of Diesel Particulate Filters (DPFs) and ceramic membranes, which impacted the Q3 2025 gross profit margin of 19.6%.

Finance: draft 13-week cash view by Friday.

LiqTech International, Inc. (LIQT) - Canvas Business Model: Key Activities

You're looking at the core engine of LiqTech International, Inc. (LIQT) right now, which is all about making and selling those specialized ceramic filtration components and the big systems they go into. It's a tight integration of manufacturing, engineering, and sales execution.

Manufacturing of proprietary ceramic silicon carbide (SiC) membranes and filters is foundational. This is where the proprietary technology lives. While the company is seeing a sequential rebound, the DPF (Diesel Particulate Filters) side is still working through cycle swings. For instance, in Q2 2025, DPF and ceramic membrane sales were $1.3 million, which was up sequentially from $1.0 million in Q1 2025, but still off the year-ago quarter. The company's plastics business, which is part of the manufacturing footprint, saw strong sequential growth of 31% combined with ceramics in Q2 2025.

The Design, engineering, and integration of turnkey liquid filtration systems is clearly the higher-margin focus right now, driving significant year-over-year growth. Look at the Q3 2025 numbers: total water system revenue hit $2.0 million, a massive 187% increase year-over-year. That growth was fueled by strong pool system deliveries, which alone brought in $1.0 million in Q3 2025, including one of their largest pool system orders to date, valued at over $500,000.

Here's the quick math on how the revenue streams broke down in Q3 2025, showing where the system integration value is landing:

The Research and development (R&D) to advance SiC nanotechnology remains an ongoing, albeit streamlined, activity. For the three months ended September 30, 2025, R&D expenses were $0.27 million. This compares to $0.2 million in Q2 2025 and $0.2 million in Q1 2025. The technology itself leverages proprietary silicon carbide (SiC) membranes for applications needing high chemical resistance and thermal stability.

Regarding Global sales and delivery of water systems and Diesel Particulate Filters (DPFs), the sales focus is clearly shifting. While DPF deliveries decreased, the company secured major system orders. They successfully delivered an advanced membrane-based filtration system to NorthStar BlueScope Steel in Q3 2025, and they received the first two commercial orders for marine dual-fuel engine water treatment systems, totaling three units. The full-year 2025 revenue guidance is set between $18.0 million and $19.0 million.

You can see the direct result of Streamlining and centralizing R&D functions to reduce costs in the expense reports. This action helped drive down operating expenses, which were $2.1 million in Q3 2025, a 12.6% decrease compared to the same period in 2024. Specifically concerning R&D:

• R&D expenses for Q2 2025 were $0.2 million, a 40% decrease from $0.4 million in Q2 2024.
• The decrease in R&D spending was attributed to a reduction in the average number of employees engaged in R&D activity.
• This streamlining helped contribute to the gross profit margin improvement, which hit 19.6% in Q3 2025, up from a negative (8.5)% in Q3 2024.

They are definitely making progress on operational efficiencies; the Q3 2025 net loss of $(1.5) million is a substantial improvement from the $(2.8) million loss in Q3 2024. Finance: draft 13-week cash view by Friday.

LiqTech International, Inc. (LIQT) - Canvas Business Model: Key Resources

You're looking at the core assets LiqTech International, Inc. relies on to deliver its value proposition in late 2025. These aren't just line items; they are the tangible and intangible foundations of their business.

Proprietary Technology and Intellectual Property

The bedrock of LiqTech International, Inc. is its technology. They develop products using their proprietary silicon carbide (SiC) technology, which is central to their microfiltration and ultrafiltration offerings. This technology is seen by management as a foundational element in tackling the planet's most urgent ecological issues. The intellectual property backing this is a mix of granted and pending applications.

• Two issued patents in Denmark.
• One issued European patent.
• One pending European and US patent application co-owned with a third party.
• Three patent applications submitted in 2023 to further strengthen SiC membrane IP.

Manufacturing Footprint and Strategic Alliances

LiqTech International, Inc. maintains its manufacturing base in Denmark, but critically, it has expanded its production reach through a joint venture in China. This JV, Nantong JiTRI LiqTech Green Energy Technology Co., Ltd., officially opened on April 14, 2025, with Jiangsu JiTRI Marine Equipment Co., Ltd. to focus on the marine ship water treatment system market there. The company utilizes its manufacturing capacity for membranes, which contributed to a gross profit margin improvement of +28.1 percentage points year-over-year in Q3 2025. Still, selling expenses showed a decrease of 12.6% in Q3 2025, partly due to costs associated with this new China-based JV.

Financial Position

As of the close of the third quarter, LiqTech International, Inc. held a specific amount of readily available capital. This cash position is vital for funding ongoing operations and strategic initiatives, especially while the company works toward its breakeven target of approximately $6,000,000 in quarterly revenue on an adjusted EBITDA basis. You should note the cash position has changed over the year.

System Design and Application Expertise

LiqTech International, Inc. uniquely possesses both the membrane technology and the filtration system design capability in-house. This allows them to offer unique, modular designed filtration solutions for the most difficult water purification applications. They have over 10 years experience in designing industrial systems, which are often remotely monitored and unmanned. This expertise drove strong performance in the Water Systems & Services segment, where revenue increased by 187% in Q3 2025, fueled by pool system deliveries and the delivery of a system for oily wastewater to NorthStar BlueScope Steel, a major U.S.-based steel producer. That's a defintely strong indicator of their capability.

Market Access and Regulatory Approvals

For specific market segments, regulatory clearance is a non-negotiable key resource. LiqTech International, Inc. secured this for the crucial U.S. pool filtration market. In August 2024, LiqTech announced it obtained NSF certification for its Aqua Solution® swimming pool water filtration systems. Before this, the company already had over 120 commercial pool system installations across Europe and Asia Pacific.

• NSF certification obtained for Aqua Solution® swimming pool water filtration systems.
• Certification enables marketing and sales of pool filtration systems in the U.S. market.

LiqTech International, Inc. (LIQT) - Canvas Business Model: Value Propositions

You're looking at the core reasons customers choose LiqTech International, Inc. over other options. It boils down to material science superiority and proven operational results, especially in tough environments.

Superior filtration for aggressive liquids (high solids, oil, heavy metals)

LiqTech International, Inc.'s ceramic silicon carbide (SiC) membranes are engineered to outperform both polymer and other ceramic membranes when dealing with aggressive liquids. This includes water containing high solid particles, heavy metals, oil, greasy substances, and bacteria. The material science is the differentiator here.

Extreme durability: chemically inert and thermally resistant

The proprietary SiC technology delivers outstanding durability. The membranes can stand for a wide pH range and high temperatures, making them suitable for applications where other materials fail. This resilience translates directly into longer service intervals and lower maintenance for the end-user.

Environmental benefits: water and energy reduction in pool systems

The company's ClariFlow filtration system is gaining traction in the commercial swimming pool vertical, which achieved its highest quarterly revenue to date in Q3 2025. This success is fueled by the system offering a compelling alternative to traditional media filtration. While the exact percentage savings are application-specific, the market interest is strong, evidenced by pool system revenue reaching $1.0 million in Q3 2025, including one order valued at over $500,000.

Turnkey system solutions integrating membrane and system design for optimal performance

LiqTech International, Inc. doesn't just sell components; they offer unique, modular designed filtration solutions. They combine their SiC liquid membrane technology with extensive systems design experience to offer complete systems that guarantee regulatory adherence and streamline operations. This integrated approach is driving significant financial momentum.

Here's a quick look at the financial context supporting the market adoption of these solutions as of late 2025:

High-efficiency control of diesel exhaust soot emissions via DPFs

For emission control, LiqTech International, Inc. utilizes its silicon carbide Diesel Particulate Filters (DPFs) with a proprietary nano wash coat. This technology is especially effective for vehicles producing a high soot load. The optimized coatability aids continuous soot combustion, which helps maintain low back pressure by reducing emissions by up to 99.96%. This technology has a proven track record, having been used to retrofit more than 2,000,000 large vehicles globally.

The value proposition for DPFs is clear:

• Reduces emissions by up to 99.96%.
• SiC DPF filters handle higher soot loads than non-SiC filters.
• Filter life should last as long as the vehicle's engine if maintained correctly.
• Over 2,000,000 large vehicles retrofitted with DPFs.

Finance: draft 13-week cash view by Friday.

LiqTech International, Inc. (LIQT) - Canvas Business Model: Customer Relationships

You're looking at how LiqTech International, Inc. (LIQT) structures its interactions with customers as of late 2025, which clearly splits between high-touch system sales and more standardized product transactions.

Dedicated sales and engineering teams for direct customer engagement

For complex, large-scale system sales, particularly in the critical marine sector in China, LiqTech International, Inc. has established direct, specialized support. Following the official opening of the joint venture with Jiangsu JiTRI Marine Equipment Co., Ltd. in April 2025, the company immediately deployed resources. Specifically, as of the April 2025 fireside chat, LiqTech International, Inc. already had a dedicated sales and engineering team in China actively working on the marine water treatment area.

Long-term pilot programs and rental-based agreements for industrial customers

The approach for large industrial clients involves proving the technology through extended trials, which often convert into recurring revenue streams. For example, in Q1 2025, multiple pilot units were operational, including one with a leading integrated energy company for oil and gas water treatment. These rental-based agreements were extended with expanded scopes, directly contributing to expected revenue growth in Q2 2025. Furthermore, the pilot unit at that influential energy company successfully completed its testing, leading to approval for commercial application of their ultrafiltration solution, a key conversion metric.

The engagement model is clearly phased, moving from testing to deployment. For instance, a pilot unit was delivered to Razorback Direct during Q2 2025 for customer testing outside the traditional oil and gas sector.

Aftersales support and framework agreements, especially for the marine sector

Securing long-term support structures is vital for maintaining system uptime and securing recurring revenue, especially in regulated sectors like marine. LiqTech International, Inc. enhanced this area significantly in 2025. In Q1 2025, a new China-based framework agreement was entered into for aftersales support. This directly impacted performance, as Q3 2025 reported that aftermarket marine sales performance improved, driven by this new agreement. Further cementing this commitment, in November 2025, LiqTech International, Inc. announced the completion of a Regional Spare Parts Warehouse in China, alongside breaking ground on a Marine-focused R&D Test Center and Localization Facility.

Direct service for system commissioning and operational optimization

For major system installations, direct involvement in setup and optimization is a core customer relationship activity. This is evident in the delivery of complex systems. In Q3 2025, the company completed the successful delivery and commissioning of an advanced membrane-based filtration system to treat oily wastewater for NorthStar BlueScope Steel, a major U.S.-based steel producer. This service component is bundled with the system sale.

Transactional sales for standardized products like DPFs and plastics

A significant portion of LiqTech International, Inc.'s revenue comes from more straightforward, transactional sales of standardized components and products. The company expects full year 2025 revenue to be between $18.0 million and $19.0 million. The Q3 2025 revenue breakdown clearly shows the mix between systems and transactional components:

The plastics segment showed strong growth, with Q3 2025 plastics revenue at $1.0 million, up 54% year-over-year. The swimming pool segment, which involves system sales, also saw a major transactional win in Q3 2025 with one order valued at over $500,000, following the delivery of 6 systems in Q2 2025 totaling nearly $800,000 in revenue.

The relationship structure supports different revenue types:

• Direct sales/engineering for large, customized systems.
• Extended rental/pilot agreements for industrial validation.
• Framework agreements for reliable aftermarket marine support.
• Direct commissioning service for complex water treatment plants.
• Transactional sales for high-volume, standardized DPFs and plastics.

The company's ending cash balance on September 30, 2025, was $7.3 million, which reflects the ongoing investment required to support these varied customer engagement models.

LiqTech International, Inc. (LIQT) - Canvas Business Model: Channels

You're looking at how LiqTech International, Inc. gets its specialized filtration technology into the hands of customers as of late 2025. The channel strategy mixes direct, high-value sales with structured partnerships for broader market access. For context, the full-year 2025 revenue projection sits between $18,000,000 and $19,000,000, with the breakeven target on an adjusted EBITDA basis being quarterly revenue of approximately $6,000,000.

Direct Sales Force for Large Industrial and Energy System Orders

The direct sales force targets the largest system orders, often in industrial and energy verticals. This channel delivered significant results in Q3 2025, where total water system revenue hit $2.0 million, representing a massive 187% year-over-year increase. This revenue stream was fueled by multiple swimming pool orders and the delivery of a system for oily wastewater treatment to NorthStar BlueScope Steel, a major U.S.-based steel producer. One of the largest pool system orders to date was valued at over $500,000. Furthermore, pilot programs are running, including agreements for lithium brine production pretreatment in the U.S. and oil/gas water treatment with a leading integrated energy company, both of which were recently extended with expanded scopes contributing to expected Q2 2025 revenue growth.

Joint Venture (JV) Structure for Market Penetration in China (e.g., Marine)

Market penetration in China, particularly for marine applications, relies heavily on the Joint Venture structure. The JV, Nantong JiTRI LiqTech Green Energy Technology Co., Ltd., officially opened its doors on April 14, 2025, with Jiangsu JiTRI Marine Equipment Co., Ltd.. The primary focus is developing and commercializing systems for the marine water treatment market in China. This channel secured its first commercial wins in Q3 2025, receiving the first two orders for marine dual-fuel engine water treatment systems, totaling three units. Strategically, the JV is also localizing production to reduce dependency on European imports and has established a regional warehouse for spare parts. Costs associated with this new JV partially offset a decrease in selling expenses, which were down 12.6% in Q3 2025 compared to the prior year.

Regional Distributors for Specific Markets

Regional distributors handle specific market segments, providing localized reach. A key example is the North American energy sector, where LiqTech International, Inc. shipped a record commercial order from Razorback Direct in Q1 2025 for its PureFlow™ mobile units. The Q1 2025 revenue of $4.6 million was partly attributable to this order. The company is also focused on aftersales support through partnerships, such as the one with Dan Marine Group (DMG) to service existing marine installations in China with fast spare parts delivery.

Here's a look at how the revenue streams broke down in Q3 2025, which reflects the output from these various channels:

Aftermarket Sales Channel for Replacement Membranes and Parts

The aftermarket channel supports existing installations, providing recurring revenue from consumables and service. This channel saw activity in Q3 2025, as the revenue increase was explicitly attributed to an increase in aftermarket sales, alongside pool system deliveries. In Q1 2025, aftermarket sales were reported as being 'on par' with the prior year. The strategic establishment of a regional spare parts warehouse by the China JV also signals an effort to bolster this channel for the marine segment in that region.

Webcast and Investor Relations for Financial Communication

For financial communication, LiqTech International, Inc. utilizes public webcasts and its Investor Relations portal. The Q3 2025 Financial Results Conference Call was held on November 13, 2025. The company provided guidance for Q4 2025 revenue to be between $4.6 million and $5.6 million. You can find official disclosures and past webcasts on the company's website.

Key investor communication touchpoints include:

• Investor Relations Website: https://www.liqtech.com/investor-relations/
• Q1 2025 Webcast Access Point: https://app.webinar.net/roA9QlO420D
• Q3 2025 Net Loss: $(1.5) million, an improvement from $(2.8) million in Q3 2024
• Cash on Hand (Sep 30, 2025): $7.3 million

Finance: review the impact of the two delayed system orders (shifted from Q4 2025 to Q1 2026) on the Q4 2025 revenue projection by Wednesday.

LiqTech International, Inc. (LIQT) - Canvas Business Model: Customer Segments

You're looking at the specific groups LiqTech International, Inc. (LIQT) targets with its specialized filtration technologies as of late 2025. The focus is clearly on high-value, regulation-driven industrial and commercial water treatment applications.

The overall financial context for these segments is LiqTech International, Inc.'s full-year 2025 revenue guidance, which is set between $18.0 million and $19.0 million, representing a 23% to 30% increase from the full year 2024. The water systems business, which serves most of these segments, was strong in Q3 2025, contributing $2.0 million of the total $3.8 million revenue for that quarter.

Energy and Petrochemical Industry (produced water, oily wastewater treatment)

This segment targets the need for water treatment and beneficial reuse in energy production. LiqTech International, Inc. has secured specific projects here.

• A pilot unit for oil and gas water treatment with a leading integrated energy company had its rental agreement extended with an expanded scope in Q1 2025.
• The company delivered an advanced membrane-based filtration system to treat oily wastewater in Q3 2025.
• LiqTech International, Inc. expanded its U.S. presence with a Texas Service Center in August 2025 specifically to support produced water and industrial filtration solutions.

Commercial and Municipal Swimming Pools and Spas

This area is a significant revenue driver, especially for system sales, and LiqTech International, Inc. has been actively expanding its distribution here.

Here's a look at the recent performance in this segment:

The company signed a distribution and partnership agreement with NAF Aquatics for the U.S. commercial swimming pool market in May 2025. Also, LiqTech International, Inc. secured NSF approval in the U.S., which management believes will push growth in this sector through 2025 and beyond.

Marine Industry (scrubber wash water, dual-fuel engine water treatment)

The focus here is addressing environmental regulations, particularly in China through a joint venture (JV) established in late 2024.

• LiqTech International, Inc. received the first two commercial orders for marine dual-fuel engine water treatment systems, totaling three units, during Q3 2025.
• The JV with Jiangsu JiTRI Marine Equipment Co., Ltd. officially opened its R&D test center and localization facility in China.
• The JV received RMB 8.0 million (approximately $1.1 million) in R&D funding structured as a long-term loan.

Heavy Industry and Steel Producers (e.g., NorthStar BlueScope Steel)

This segment involves providing specific, high-specification filtration for industrial processes. NorthStar BlueScope Steel is a confirmed customer.

The engagement with NorthStar BlueScope Steel involved the successful delivery and commissioning of an advanced membrane-based filtration system to treat oily wastewater during Q3 2025. A portion of this order was recognized in Q2 2025, with the remainder in Q3 2025. One report noted a specific order from NorthStar BlueScope Steel recognizing $200k in Q2 2025 revenue.

Diesel Engine Manufacturers and Operators (for DPFs)

This segment relates to Diesel Particulate Filters (DPFs). Unlike the water systems, this area saw a relative decline in the latest reported quarter.

• Deliveries of DPFs decreased in Q3 2025 compared to Q3 2024.
• Q2 2025 revenue was also negatively impacted by a decrease in DPF deliveries.
• The company stated that margin contraction in the first half of 2025 was partly driven by underutilized manufacturing capacity following a decline in DPF sales.

LiqTech International, Inc. (LIQT) - Canvas Business Model: Cost Structure

You're looking at the core expenses driving LiqTech International, Inc.'s operations as of late 2025, based on the Q3 2025 results. Understanding where the money goes helps map the path to that adjusted EBITDA breakeven target of approximately $6 million in quarterly revenue.

The Cost of Goods Sold (COGS) for the three months ended September 30, 2025, totaled $3,059,396. This figure is directly tied to manufacturing output. To be fair, the gross profit margin of 19.6% in Q3 2025 shows improvement, but management noted that because the company is still operating below its optimal revenue level, fixed production costs aren't being fully absorbed. This underutilization of manufacturing capacity for membranes, despite strong system sales utilization, is a key cost dynamic impacting COGS absorption.

Total Operating Expenses (OpEx) for the quarter ended September 30, 2025, were $2.1 million. This represented a reduction of $0.3 million, or 12.6%, compared to the same period in 2024, highlighting a focus on operational efficiencies.

Here's the quick math on how those operating expenses broke down for Q3 2025:

Research and Development (R&D) expenses were $0.27 million for the three months ended September 30, 2025. This was a slight decrease from the prior year, mainly due to one-time exit costs related to an external development project and a reduction in R&D personnel as the function was streamlined.

Breaking down the Selling and General & Administrative (G&A) components further reveals specific cost drivers:

• Selling expenses were $0.5 million in Q3 2025, down from $0.6 million in Q3 2024.
• This decrease was partially offset by costs associated with the newly formed joint venture in China, Nantong JiTRI LiqTech Green Energy Technology Co., Ltd. (the 'JV').
• General and administrative expenses were $1.3 million, down from $1.5 million in Q3 2024.
• G&A included non-cash compensation costs of $0.3 million for the quarter.

Depreciation expenses on manufacturing assets are embedded within the cost calculations. Specifically, depreciation included in the gross profit calculation for the three months ended September 30, 2025, was $371,654. This was lower than the $478,902 reported in the same period of 2024, contributing positively to the gross profit margin improvement.

LiqTech International, Inc. (LIQT) - Canvas Business Model: Revenue Streams

You're looking at how LiqTech International, Inc. actually brings in the money, which is defintely key for any investment thesis. The revenue streams are built around their specialized filtration technology across a few distinct product lines. We've got concrete numbers from the third quarter of 2025 to map this out for you.

The primary ways LiqTech International, Inc. generates top-line revenue include:

• Sales of Liquid Filtration Systems, covering both pool systems and industrial applications.
• Sales of Ceramic Membranes and Diesel Particulate Filters (DPFs).
• Revenue generated from plastics products.
• Revenue from aftermarket sales and associated support services.
• Rental income derived from pilot units and any extended service agreements.

Here's the quick math on how the revenue broke down for the third quarter of 2025, which ended September 30, 2025. This gives you a very clear picture of the current mix:

The growth in liquid filtration systems revenue, which totaled $2.0 million in Q3 2025, was specifically attributed to strong pool system deliveries and aftermarket sales, so that service component is definitely material. What this estimate hides is the exact dollar contribution from aftermarket sales alone, as it was bundled with the system sales increase.

Looking forward, LiqTech International, Inc. expects its full-year 2025 revenue guidance to be between $18.0 million and $19.0 million. Finance: draft 13-week cash view by Friday.