PureCycle Technologies, Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>PureCycle Technologies, Inc. has filed its 2023 annual report (10-K) detailing its financial performance and business operations.</b>

AI Summary

PureCycle Technologies, Inc. (PCTBP) filed a Annual Report (10-K) with the SEC on March 6, 2024. PureCycle Technologies, Inc. filed its 2023 Form 10-K on March 6, 2024. The filing covers the fiscal year ending December 31, 2023. The company's principal business address is 5950 Hazeltine National Drive, Suite 300, Orlando, FL 32822. The company was formerly known as Roth CH Acquisition I Co. The SIC code for PureCycle Technologies is 2821 (Plastics, Materials, Syn Resins & Nonvulcan Elastomers).

Why It Matters

For investors and stakeholders tracking PureCycle Technologies, Inc., this filing contains several important signals. This 10-K filing provides a comprehensive overview of PureCycle's financial health, operational status, and strategic direction for the fiscal year 2023, crucial for investors assessing the company's progress and future prospects. As a company focused on advanced recycling technologies for plastics, this filing is important for understanding its market position, regulatory compliance, and potential for growth in the sustainability sector.

Risk Assessment

Risk Level: medium — PureCycle Technologies, Inc. shows moderate risk based on this filing. The company's financial statements and disclosures in this 10-K are critical for understanding its operational status and ability to execute its business plan, given the capital-intensive nature of its technology and the evolving market for recycled plastics.

Analyst Insight

Investors should review the detailed financial statements and risk factors in the 10-K to assess PureCycle's path to profitability and commercialization of its recycling technology.

Key Numbers

• 2023-12-31 — Fiscal Year End (Reporting period)
• 2024-03-06 — Filing Date (Date of submission)
• 0001830033-24-000029 — Accession Number (Unique identifier for the filing)
• 001-40234 — SEC File Number (SEC's file number for the company)

Key Players & Entities

• PureCycle Technologies, Inc. (company) — Filer name
• PCTBP (company) — Ticker symbol
• Roth CH Acquisition I Co. (company) — Former company name
• 2023-12-31 (date) — Fiscal year end
• 2024-03-06 (date) — Filing date
• 5950 Hazeltine National Drive, Suite 300, Orlando, FL 32822 (address) — Business address
• 2821 (industry) — Standard Industrial Classification
• 1934 Act (regulation) — SEC Act

FAQ

Industry Context

PureCycle Technologies operates in the plastics recycling industry, focusing on advanced recycling technologies to convert waste plastic into virgin-like resin.

Regulatory Implications

The company is subject to various environmental regulations related to chemical recycling and waste management, as well as SEC reporting requirements for public companies.

What Investors Should Do

1. Review the full 10-K filing for detailed financial statements and management's discussion and analysis.
2. Analyze the risk factors section for potential challenges and uncertainties facing the company.
3. Compare the 2023 results with previous years to identify trends in financial performance and operational progress.

Key Dates

• 2023-12-31: Fiscal Year End — End of the reporting period for the 10-K.
• 2024-03-06: Filing Date — Date the 10-K was officially submitted to the SEC.

Year-Over-Year Comparison

This is the initial 10-K filing for PureCycle Technologies, Inc. as a standalone entity after its previous form as Roth CH Acquisition I Co.

Key Financial Figures

• $0.001 — ch registered Common Stock, par value $0.001 per share PCT The Nasdaq Stock Market L
• $11.50 — .001 par value, at an exercise price of $11.50 per share PCTTW The Nasdaq Stock Market
• $10.69 — 1.3 billion based on a closing price of $10.69 as reported on the Nasdaq Capital Marke

Filing Documents

• pct-20231231.htm (10-K) — 2164KB
• pct-form10xk2023ex41descri.htm (EX-4.1) — 59KB
• pct-form10xk2023ex1045pure.htm (EX-10.45) — 47KB
• pct-form10xk2023ex1046syle.htm (EX-10.46) — 73KB
• pct-form10xk2023ex1047pure.htm (EX-10.47) — 274KB
• pct-form10xk2023ex1048pure.htm (EX-10.48) — 225KB
• pct-form10xk2023ex211listo.htm (EX-21.1) — 10KB
• pct-form10xk2023ex231gtcon.htm (EX-23.1) — 2KB
• pct-form10xkexhibit3112023.htm (EX-31.1) — 9KB
• pct-form10xkexhibit3122023.htm (EX-31.2) — 9KB
• pct-form10xkexhibit3212023.htm (EX-32.1) — 4KB
• pct-form10xkexhibit3222023.htm (EX-32.2) — 4KB
• pct-form10xk2023ex971purec.htm (EX-97.1) — 35KB
• pct-20231231_g1.jpg (GRAPHIC) — 41KB
• pct-20231231_g2.jpg (GRAPHIC) — 100KB
• 0001830033-24-000029.txt (&nbsp;) — 13142KB
• pct-20231231.xsd (EX-101.SCH) — 91KB
• pct-20231231_cal.xml (EX-101.CAL) — 115KB
• pct-20231231_def.xml (EX-101.DEF) — 537KB
• pct-20231231_lab.xml (EX-101.LAB) — 989KB
• pct-20231231_pre.xml (EX-101.PRE) — 779KB
• pct-20231231_htm.xml (XML) — 1690KB

Risk Factors

Item 1A. Risk Factors 12

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 23

Cybersecurity

Item 1C. Cybersecurity 23

Properties

Item 2. Properties 24

. Legal Proceedings

Item 3 . Legal Proceedings 25

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 27 PART II

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 28

Reserved

Item 6. Reserved 30

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 30

Quantitative and Qualitative Disclosures About Market Risk

Item 7A. Quantitative and Qualitative Disclosures About Market Risk 49

Financial Statements and Supplementary Data

Item 8. Financial Statements and Supplementary Data 50

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 104

Controls and Procedures

Item 9A. Controls and Procedures 104

Other Information

Item 9B. Other Information 105

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections

Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 106 PART III

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 107

Executive Compensation

Item 11. Executive Compensation 107

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 107

Certain Relationships and Related Transactions, and Director Independence

Item 13. Certain Relationships and Related Transactions, and Director Independence 107

Principal Accountant Fees and Services

Item 14. Principal Accountant Fees and Services 107 PART IV

Exhibits and Financial Statement Schedules

Item 15. Exhibits and Financial Statement Schedules 108

Form 10-K Summary

Item 16. Form 10-K Summary 112

SIGNATURES

SIGNATURES 113 2 Table of Contents CAUTIONARY STATEMENT ON FORWARD-LOOKING STATEMENTS This Annual Report on Form 10-K contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), including statements about the financial condition, results of operations, earnings outlook and prospects of PureCycle Technologies, Inc. ("PCT"). Forward-looking statements generally relate to future events or PCT's future financial or operating performance and may refer to projections and forecasts. Forward-looking statements are typically identified by words such as "plan," "believe," "expect," "anticipate," "intend," "outlook," "estimate," "forecast," "project," "continue," "could," "may," "might," "possible," "potential," "predict," "should," "would" and other similar words and expressions (or the negative versions of such words or expressions), but the absence of these words does not mean that a statement is not forward-looking. The forward-looking statements are based on the current expectations of the management of PCT and are inherently subject to uncertainties and changes in circumstances and their potential effects and speak only as of the date of this Annual Report on Form 10-K. There can be no assurance that future developments will be those that have been anticipated. These forward-looking statements involve a number of risks, uncertainties or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, those factors described in the section of this Annual Report on Form 10-K entitled "Risk Factors," those discussed and identified in public filings made with the U.S. Securities and Exchange Commission (the "SEC") by PCT and the following: PCT's abi

Business

Item 1. Business Overview PCT is commercializing a patented purification recycling technology (the "Technology"), originally developed by The Procter & Gamble Company ("P&G"), for restoring waste polypropylene into resin with near-virgin characteristics, called ultra-pure recycled ("UPR") resin, which has nearly identical properties and applicability for reuse as virgin polypropylene. PCT has a global license for the Technology from P&G. In April 2023, we certified as mechanically complete our first commercial scale recycling facility (the "Ironton Facility"), which is expected to have capacity of approximately 107 million pounds/year when fully operational. Commissioning activities have begun but the plant is not yet operating at the expected full capacity. The plant is expected to be fully operational later in 2024. Our goal is to create an important new segment of the global polypropylene market that will assist multinational entities in meeting their sustainability goals, provide consumers with polypropylene-based products that are sustainable, and reduce overall polypropylene waste in the world's landfills and oceans. PCT's process includes two steps: Feed Pre-Processing ("Feed PreP") and the use of the Technology for purification. The Feed PreP step will collect, sort, and prepare polypropylene waste ("feedstock") for purification. The purification step is a purification recycling process that uses a combination of solvent, temperature, and pressure to return the feedstock to near-virgin condition through a novel configuration of commercially available equipment and unit operations. The purification process puts the plastic through a physical extraction process using super critical fluids that both extract and filter out contaminants and purify the color, opacity, and odor of the plastic without changing the bonds of the polymer. By not altering the chemical makeup of the polymer, the Company is able to use significantly less energy and reduce production co

View Full Filing

View this 10-K filing on SEC EDGAR