Tekna Holding (TEKNA) investor relations material

Executive summary

• Achieved profitability inflection point in Q4 2025 with record Materials performance, positive EBITDA, and margin expansion after multi-year investments and cost optimization.

• Materials business drove growth with strong order intake, expanding margins, and major wins in aerospace and defense.

• Completed a fully underwritten rights issue, raising CAD 40m net, repaying shareholder loans, and ending the quarter with a strong balance sheet and net cash position.

• Systems segment faced headwinds from delayed government funding and external uncertainties but showed margin recovery and new orders.

• Cost and efficiency program led to a 29% headcount reduction and recurring annualized salary savings of CAD 7m.

Financial highlights

• Q4 2025 revenue reached CAD 9.9m, up 2% YoY, with Materials revenue at CAD 8.0m (+7% YoY) and Systems revenue at CAD 1.8m (-16% YoY).

• Adjusted EBITDA for Q4 2025 was CAD 0.9m (9% margin), up from a loss in the prior year.

• Contribution margin rose to 60% overall (Materials: 59%, Systems: 62%), up from 41% YoY.

• Order intake reached CAD 12.2m in Q4 (+27% YoY); backlog at year-end was CAD 20.5m (+23% YoY), with Materials backlog up 46% YoY.

• Cash and cash equivalents at year-end were CAD 17.4m, up over CAD 10m from the previous quarter.

Outlook and guidance

• Targeting double-digit annual revenue growth and EBITDA margins of 15–20% by 2030, with growth led by Materials.

• Additive Manufacturing market expected to grow at 20% per annum, supporting long-term ambitions.

• Capex for 2026 projected at CAD 1.5–2m, with focus on cost discipline and working capital reduction.

• Macroeconomic trends, such as reshoring and increased defense spending, are favorable for future growth.

• Innovation in nanomaterials for microelectronics remains a strategic priority.