Star Metro - Brenmiller Energy CEO Avi Brenmiller Issues Year-End Letter to Shareholders

ROSH HA'AYIN, ISRAEL / ACCESS Newswire / December 22, 2025 / Brenmiller Energy Ltd. ("Brenmiller", "Brenmiller Energy" or the "Company") (Nasdaq:BNRG), a leading global provider of Thermal Energy Storage ("TES") solutions for industrial and utility customers, today issued a letter from its Chief Executive Officer, Avi Brenmiller.

To Our Valued Shareholders,

As we close out 2025, I want to speak candidly about where Brenmiller Energy stands today, what we've accomplished, where we've fallen short, and how we are positioning the Company for a stronger 2026.

First and foremost, we recognize the decline in our share price over the past year. We understand the frustration this creates, and we take responsibility for it. The disconnect between the long-term value we believe we are building and the Company's current market valuation is not lost on us. Both our management and our Board of Directors are aligned with our shareholders and committed to acting decisively. With a significant portion of our compensation being equity-based, our management team's success is directly tied to restoring and growing shareholder value.

Accountability, Alignment, and Strategic Adjustment

In response, we are actively evaluating adjustments to our strategy and operational focus, which we believe can drive clearer, faster results. This includes sharpening execution, prioritizing near-term revenue catalysts, and potentially expanding into highly synergistic, energy-related activities that we believe can accelerate scale, improve cash generation, and better reflect the full value of our technology platform.

I also want to emphasize that this team is no stranger to navigating complex and difficult market environments. Over the past 30 years, before founding Brenmiller Energy, members of our management team repeatedly faced periods of challenge, and we were able to recover through discipline, adaptability, and hard work. In my previous company, working with many of the same core team members, we made a fundamental strategic shift from being an equipment supplier to becoming an energy company, and from being a technology provider to a project developer. That transformation took time and persistence, but it ultimately led to building a global business that was sold to Siemens for nearly $500 million. We are confident in our ability to execute a similar evolution here.

2025: A Year of Foundations and Validation

Despite some headwinds, 2025 was a year of meaningful progress and validation for Brenmiller Energy.

We signed a landmark Systems Purchase Agreement with Baran Energy Ltd. covering two bGen ZERO TES systems for Tempo Beverages Ltd. ("Tempo") and Wolfson Medical Center in Israel. This agreement represents a major inflection point for the Company, providing milestone-based payments, profit sharing, and long-term service revenues, while accelerating deployment of two flagship projects.

We now have 103 MWh of cumulative projects deployed, with numerous additional systems in development and a multimillion dollar global pipeline of commercial opportunities spanning multiple industries and regions. When we reported our first-half 2025 results, we projected approximately $1.7 million in revenue during 2026, driven primarily by bGen ZERO execution milestones tied to the Tempo project.

The European Commission's €1 billion Innovation Fund (the "Innovation Fund") has zeroed in on decarbonizing industrial heat, and we believe that we are positioned right at that intersection. Add to that our non-binding memorandum of understanding with ENASCO Ltd. to integrate bGen systems with small modular reactors, and we believe that the future looks even stronger. We believe the small modular reactor segment is shaping up to be one of the most transformative areas in clean energy, and we believe that our TES technology could be a natural fit for it.

Recognition of our technology continued to grow. During the year, bGen ZERO received the Gold Award at the 2025 Edison Awards in the Energy Storage and Management category, one of the most prestigious honors for innovation and commercial impact. We also were honored to receive POWER Magazine's 2025 Commercial & Industrial Generation Award for our bGen ZERO deployment at the State University of New York's Purchase campus.

Brenmiller Energy at the Forefront of Technology as Smart Money Moves into TES

At Brenmiller Energy, we aim to be in front of the curve in delivering a TES system that works, just as major corporations around the world are looking to deploy TES systems to cut carbon emissions, lower energy costs, and secure reliable heat supply. Smart capital is moving quickly.

Breakthrough Energy Ventures, founded by Bill Gates, has invested in leading TES innovators such as Antora Energy and Fourth Power. Institutional investors like BlackRock and Temasek have also invested in the TES sector, underscoring the category's momentum. The category is now attracting some of the world's most influential climate and infrastructure investors, and Brenmiller is among the publicly traded companies focused entirely on this transformative technology.

Building Global Collaborations

In 2025 we also made important strides in expanding Brenmiller's global footprint:

• We signed a non-binding memorandum of understanding in Japan with a prominent engineering and project development company to jointly identify and deploy sustainable heating solutions across the Japanese market.

• In Europe, two projects are estimated to receive approximately €11 million in funding tied to bGen deployments. In Spain, the SolWinHy Cádiz project is expected to include a bGen system valued at approximately €7 million, with execution anticipated to begin in 2026. In a separate European project led by a top utility company, Brenmiller Europe S.L. ("Brenmiller Europe"), is expected to supply a 5 MWe bGen system supported by Innovation Fund funding, which would deliver significant emissions reductions and efficiency gains.

• We believe additional projects in our European pipeline may qualify for future Innovation Fund rounds, reinforcing our confidence in the region's long-term growth potential.

Key Milestones Ahead in 2026

• The Tempo project is nearing completion and commissioning, which we view as a major milestone and a critical sales enabler, serving as a reference site for global industrial customers.

• Wolfson Medical Center is expected to begin construction soon, with project completion targeted by the end of 2026.

• The European Commission is launching a €1 billion Innovation Fund auction focused on decarbonizing industrial heat-an area directly aligned with our technology and pipeline.

• Our Systems Purchase Agreement with Baran Energy is expected to generate milestone payments, profit sharing, and recurring service revenues as projects advance.

• We have a private placement agreement for up to $25 million, providing a long-term institutional shareholder the right to provide us further financial resources to support execution and growth.

Looking Forward

As I see it, Brenmiller Energy is at a pivotal moment. We believe that the industrial energy landscape is shifting from "could we" to "now we must." Industrial customers, policymakers, and capital providers are increasingly recognizing that decarbonizing heat, not just electricity, is essential.

We are adjusting, we are focused, and we are committed. The foundation we have built is real. Our technology performs. The market opportunity is large and accelerating. And while challenges remain, we firmly believe that with disciplined execution, strategic flexibility, and the dedication of our team, we can convert this potential into tangible shareholder value.

On behalf of our Board of Directors and management, thank you for your continued support and patience. We do not take your trust lightly. We wish you all a prosperous 2026.

Sincerely,

Avi Brenmiller
Chief Executive Officer, Brenmiller Energy Ltd.

About bGen™

bGen™ ZERO is Brenmiller's TES system, which converts electricity into heat to power sustainable industrial processes at a price that is competitive with natural gas. The bGen™ ZERO charges by capturing low-cost electricity from renewables or the grid and stores it in crushed rocks. It then discharges steam, hot water, or hot air on demand according to customer requirements. The bGen™ ZERO also supports the development of utility-scale renewables by providing critical flexibility and grid-balancing capabilities. bGen™ ZERO was named among TIME's Best Inventions of 2023 in the Green Energy category and won Gold in the Energy Storage and Management category at the 2025 Edison Awards.

About Brenmiller Energy Ltd.

Brenmiller Energy helps energy-intensive industries and power producers end their reliance on fossil fuel boilers. Brenmiller's patented bGen™ ZERO thermal battery is a modular and scalable energy storage system that turns renewable electricity into zero-emission heat. It charges using low-cost renewable electricity and discharges a continuous supply of heat on demand and according to its customers' needs. The most experienced thermal battery developer on the market, Brenmiller operates the world's only gigafactory for thermal battery production and is trusted by leading multinational energy companies. For more information visit the Company's website at https://bren-energy.com/ and follow the company on X and LinkedIn.

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. Statements that are not statements of historical fact may be deemed to be forward-looking statements. For example, the Company is using forward-looking statements when discussing: the Company's expectations regarding future revenues, milestone payments, profit sharing and service revenues, including anticipated revenue generation and focused growth for 2026; the Company's expectations regarding the completion, commissioning and commercial impact of current projects, including the Tempo and Wolfson Medical Center deployments; beliefs regarding the Company's ability to execute strategic adjustments, prioritize near-term revenue opportunities, and pursue potential expansion into synergistic energy-related activities; the Company's expectations regarding the size, timing and conversion of the Company's pipeline of commercial opportunities, including anticipated participation in and funding from European Commission Innovation Fund programs; beliefs regarding the Company's market positioning, technology adoption, partnerships and long-term ability to create shareholder value in the thermal energy storage and industrial decarbonization markets; that the Company is actively evaluating adjustments to its strategy and operational focus, which it believes can drive clearer and faster results, including accelerating scale, improving cash generation, and better reflect the full value of the Company's technology platform; and the ability of the Company's management team can execute a similar evolution to that of Mr. Avi Brenmiller's previous company. Without limiting the generality of the foregoing, words such as "plan," "project," "potential," "seek," "may," "will," "expect," "believe," "anticipate," "intend," "could," "estimate," "aim" or "continue" are intended to identify forward-looking statements. Readers are cautioned that certain important factors may affect the Company's actual results and could cause such results to differ materially from any forward-looking statements that may be made in this press release. Factors that may affect the Company's results include, but are not limited to: the Company's planned level of revenues and capital expenditures; risks associated with the adequacy of existing cash resources; the demand for and market acceptance of our products; impact of competitive products and prices; product development, commercialization or technological difficulties; the success or failure of negotiations; trade, legal, social and economic risks; and political, economic and military instability in the Middle East, specifically in Israel. The forward-looking statements contained or implied in this press release are subject to other risks and uncertainties, many of which are beyond the control of the Company, including those set forth in the Risk Factors section of the Company's Annual Report on Form 20-F for the year ended December 31, 2024 filed with the U.S. Securities and Exchange Commission ("SEC") on March 4, 2025, which is available on the SEC's website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law. Information available on or through the websites mentioned or hyperlinks included in this press release does not form part of this press release.

Contact: [email protected]

SOURCE: Brenmiller Energy

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S.Clark--SMC