Tekna Holding (TEKNA) investor relations material

Executive summary

• Achieved third consecutive quarter of positive adjusted EBITDA, signaling a structural shift to profitability and marking a profitability inflection point.

• Revenue grew 19% year-over-year to CAD 10.0 million, driven by strong demand in aerospace, defense, and medical sectors.

• Free cash flow reached CAD 3.2 million in Q1, with trailing twelve months free cash flow positive at CAD 1.2 million, up CAD 8 million year-over-year.

• Order intake quality improved, with a growing share of larger, recurring customers, despite a decline in total order intake.

• Operational improvements led to yield and efficiency gains, supporting scalability and unit economics.

Financial highlights

• Total revenues reached CAD 9.95 million, up 19% year-over-year; Materials revenue up 24% to CAD 7.7 million, Systems up 6% to CAD 2.3 million.

• Contribution margin increased to 54%, with Materials at 53% and Systems at 60%.

• Adjusted EBITDA improved by CAD 1.0 million year-over-year to CAD 0.2 million, third consecutive positive quarter.

• Net working capital reduced to CAD 10.6 million (28% of trailing revenues), down from CAD 14.2 million at year-end.

• Cash and cash equivalents at quarter-end were CAD 18.8 million, with net cash exceeding debt by CAD 12.9 million.

Outlook and guidance

• Targeting double-digit annual revenue growth and EBITDA margins of 15–20% through 2030.

• Fully funded business plan with current production capacity able to support near doubling of business.

• Continued focus on expanding in aerospace, defense, and medical markets, with ongoing efforts to grow Systems business and innovation pipeline in advanced nano-sized materials.

• Capex expected at maintenance levels (CAD 1.5–2 million) for 2026; capacity in place to scale without significant investment.

• Focus remains on profitability, working capital reduction, and disciplined capital management.