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REDEEMABLE NON-CONTROLLING INTEREST
 6 Months Ended
Jun. 30, 2026
Noncontrolling Interest [Abstract]  
REDEEMABLE NON-CONTROLLING INTEREST REDEEMABLE NON-CONTROLLING INTEREST
On October 9, 2025, Energy Vault, Inc. (“EV Inc.”) and OIC Structured Equity Fund I, L.P. and affiliated funds (collectively, “OIC”) completed the Asset Vault transaction previously described in the notes to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025.
Asset Vault is a variable interest entity (“VIE”) for which the Company is the primary beneficiary because the Company has (i) the power to direct the activities that most significantly affect Asset Vault’s economic performance, including project development, financing, and operational decisions, and (ii) the obligation to absorb losses and the right to receive benefits that could potentially be significant to Asset Vault through its ownership of common units and related support arrangements. Accordingly, Asset Vault is consolidated and OIC’s interest is presented as redeemable non-controlling interest in the mezzanine section of the condensed consolidated balance sheets. In connection with the transaction, Asset Vault issued Series A Preferred Units to OIC, which are redeemable pursuant to the terms of Asset Vault’s limited liability company agreement. As of June 30, 2026, management continued to consider redemption of the Series A Preferred Units to be probable and recognized accretion to redemption value for the period using the effective interest method based on the then-estimated redemption value and earliest probable redemption date.
The following table presents, on an aggregated basis, the carrying amounts and classification of the consolidated assets and liabilities of Asset Vault included in the Company’s condensed consolidated balance sheets. The table excludes
intercompany balances between Asset Vault and other consolidated subsidiaries of the Company, which are eliminated in consolidation (amounts in thousands):
June 30,
2026		December 31,
2025
Assets
Cash and cash equivalents$8,562 $8,512 
Restricted cash, current portion8,781 — 
Accounts receivable, net1,024 234 
Contract assets2,111 820 
Advances to suppliers577 577 
Prepaid expenses and other current assets1,567 1,462 
Property and equipment, net73,761 64,786 
Intangible assets, net192 1,626 
Operating lease right-of-use assets, net644 703 
Restricted cash, long-term portion14,593 22,377 
Deferred income taxes, net15,135 27,176 
Total assets of Asset Vault$126,947 $128,273 
Liabilities
Accounts payable$2,953 $2,050 
Accrued expenses8,652 5,861 
Debt, current portion7,530 3,490 
Other current liabilities46 50 
Long-term debt16,848 21,543 
Other long-term liabilities3,411 3,145 
Total liabilities of Asset Vault$39,440 $36,139 
Asset Vault is financed in part by redeemable preferred equity units classified in mezzanine equity of $25.8 million and $21.2 million as of June 30, 2026 and December 31, 2025, respectively. This balance is not included in the assets and liabilities table above because it is not a liability under GAAP. Creditors of Asset Vault do not have recourse to the general credit of Energy Vault Holdings, Inc. or its other wholly-owned subsidiaries. The assets of Asset Vault are not available to settle the obligations of the Company’s other subsidiaries. Certain of Asset Vault’s debt obligations are secured by substantially all of the assets of Asset Vault and its project subsidiaries, including project-level cash flows, and are subject to customary covenants and restrictions on distributions.
The following table presents a roll-forward of the redeemable non-controlling interest for the three and six months ended June 30, 2026 (amounts in thousands):
Three Months EndedSix Months Ended
June 30, 2026
Redeemable non-controlling interest, balance at beginning of period$23,318 $21,156 
Net income (loss) attributable to redeemable non-controlling interest (1)
— — 
PIK distributions to redeemable non-controlling interest holder1,096 2,172 
Accretion to redemption value (2)
1,337 2,423 
Redeemable non-controlling interest, balance at end of period$25,751 $25,751 
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(1) Net income (loss) attributable to redeemable non-controlling interest is determined using the hypothetical liquidation at book value (“HLBV”) methodology based on each party’s contractual rights. Under the HLBV method, income is allocated based on the change in each party's claim on the net assets of Asset Vault under a hypothetical liquidation scenario at the beginning and end of each reporting period. This allocation may differ significantly from the non-controlling interest's nominal percentage of total units outstanding.
(2) Accretion represents the increase in the carrying amount of the redeemable non-controlling interest toward its estimated redemption value, calculated using the effective interest method over the period to the earliest probable redemption date. Accretion is recorded as an adjustment to additional paid-
in-capital. Although accretion does not affect total net loss, it is treated as a deemed dividend and therefore as an adjustment to net loss attributable to common stockholders for purposes of computing net loss per share.