VANCOUVER, British Columbia, Aug. 21, 2026 (GLOBE NEWSWIRE) -- EnWave Corporation (TSX-V:ENW | FSE:E4U) (“EnWave”, or the "Company") today reported the Company’s consolidated interim financial results for the third quarter ended June 30, 2026.
All values in thousands and denoted in CAD unless otherwise stated.
- Reported Q3 2026 revenue of $3,313 an increase of $569 compared to the same period in the prior year. The increase was primarily driven by the sale of a large- scale machine that had been fully fabricated and held in inventory in prior periods and higher royalties.
- Reported royalties, excluding exclusivity payments (“Base Royalties”), for Q3 2026 of $536, an increase of $104, or 24% relative to the comparable period in the prior year. Royalties increased due to higher product sales and partner production for the quarter.
- Gross margin for the three months ended Q3 2026 was 25% compared to 19% for the three months ended Q3 2025. The increase in margin was primarily attributable to lower fabrication costs resulting from fewer large-scale machines on contract as compared to the prior quarter.
- Reported a decrease in Selling, General & Administrative (“SG&A”) costs (including Research & Development (“R&D”)) of $205 for Q3 2026 relative to the comparable period in the prior year, with the decrease primarily related to lower personnel and third-party commission costs offset by higher professional development fees and tradeshow attendance.
- Reported an Adjusted EBITDA(1) loss of $93 for Q3 2026, a $482 improvement from the prior year, driven by large-scale equipment sale and lower SG&A expenses, including R&D.
Consolidated Financial Performance:
| ($ ‘000s) | Three months ended June 30, | Nine months ended June 30, | |||||||||||||||
| 2026 | 2025 | Change % | 2026 | 2025 | Change % | ||||||||||||
| Revenues | 3,313 | 2,744 | 21 | % | 6,072 | 7,610 | (20 | %) | |||||||||
| Direct costs | (2,501 | ) | (2,209 | ) | (13 | %) | (4,258 | ) | (5,526 | ) | 23 | % | |||||
| Gross margin | 812 | 535 | 52 | % | 1,814 | 2,084 | (13 | %) | |||||||||
| Operating expenses | |||||||||||||||||
| General and administration | 394 | 532 | (26 | %) | 1,439 | 1,541 | (7 | %) | |||||||||
| Sales and marketing | 439 | 485 | (9 | %) | 1,452 | 1,407 | 3 | % | |||||||||
| Research and development | 367 | 388 | (5 | %) | 1,254 | 1,124 | 12 | % | |||||||||
| 1,200 | 1,405 | (15 | %) | 4,145 | 4,072 | 2 | % | ||||||||||
| Net loss - continuing operations | (465 | ) | (1,162 | ) | 60 | % | (2,722 | ) | (2,462 | ) | (11 | %) | |||||
| Net (loss) income - discontinued operations | - | (9 | ) | 100 | % | (6 | ) | 1,109 | (101 | %) | |||||||
| Adjusted EBITDA(1)loss | (93 | ) | (575 | ) | 84 | % | (1,453 | ) | (1,098 | ) | (32 | %) | |||||
| Loss per share: | |||||||||||||||||
| Continuing operations – basic and diluted | $ | 0.00 | $ | (0.01 | ) | $ | (0.02 | ) | $ | (0.02 | ) | ||||||
| Discontinued operations – basic and diluted | $ | 0.00 | $ | 0.00 | $ | 0.00 | $ | 0.01 | |||||||||
| Basic and diluted | $ | 0.00 | $ | (0.01 | ) | $ | (0.02 | ) | $ | (0.01 | ) | ||||||
| Note: | |
| (1) | Adjusted EBITDA is a non-IFRS financial measure. Refer to the Non-IFRS Financial Measures disclosure below for a reconciliation to the nearest IFRS equivalent. |
EnWave’s consolidated interim financial statements and MD&A are available on SEDAR+ at www.sedarplus.ca and on the Company’s website www.enwave.net
Key Financial Highlights for the Nine Months Ended June 30, 2026 (expressed in 000’s)
- Reported revenue of $6,072 a decrease of $1,538 relative to the comparable period in the prior year. The decrease was primarily related to fewer machine sales.
- Reported Base Royalties of $1,470, an increase of $139 or 10% relative to the comparative period in the prior year. Reported total royalty revenues of $1,628, an increase of $163 or 10% relative to the comparative period in the prior year. Royalties grew due to increased royalty partners, product sales, partner production, and exclusivity payments.
- Reported a $73 increase in SG&A costs for the nine months ended June 30, 2026, primarily due to higher sales personnel, patent maintenance, legal fees associated with general business activities, and recruitment costs. Prior-year financing-related legal costs were capitalized as part of the transaction.
- Reported an Adjusted EBITDA(1) loss of $1,453 for the nine months ended June 30, 2026, a decrease of $355 from the comparable period in the prior year.
Significant Corporate Accomplishments in Q3 2026 and Subsequently:
- Signed an Equipment Purchase Agreement with Procescir S.A. de C.V. for the purchase of second 120kW REV™ machine.
- Signed a Technology Evaluation and License Option Agreement with Swiss Cannabis Selection AG.
- Signed a Technology Evaluation and License Option Agreement with one of the world’s largest multinational food companies.
- Signed a Commercial Licence Agreement and Equipment Purchase Agreement for a 10kW REV™ machine with The Dry Hub (“DryHub”), an Egyptian food processing Company.
- Signed a Research and Development License Agreement with Rhizome Food and Farming LLC (“Rhizome”), a North American food Company led by renowned chef Dan Barber. Rhizome acquired a 3.6kW REV™ machine for commercial and product development.
- Subsequent to the quarter, the Company signed Research and Development License Agreement with the University of Limerick (“Limerick”) in Ireland. Limerick acquired a small-scale REV™ machine to support research and product development.
Non-IFRS Financial Measures:
This news release refers to Adjusted EBITDA which is a non-IFRS financial measure. We define Adjusted EBITDA as earnings before deducting amortization and depreciation, stock-based compensation, foreign exchange gain or loss, finance expense or income, income tax expense or recovery, non-recurring income and expenses, restructuring and severance charges, and discontinued operations. This measure is not necessarily comparable to similarly titled measures used by other companies and should not be construed as an alternative to net income or cash flow from operating activities as determined in accordance with IFRS. Please refer to the reconciliation between Adjusted EBITDA and the most comparable IFRS financial measure reported in the Company’s consolidated interim financial statements.
| Three months ended June 30, | Nine months ended June 30 | |||||||||
| ($ ‘000s) | 2026 | 2025 | 2026 | 2025 | ||||||
| Net loss after income tax | (465 | ) | (1,171 | ) | (2,728 | ) | (1,353 | ) | ||
| Amortization and depreciation | 295 | 295 | 878 | 890 | ||||||
| Stock-based compensation | 76 | 59 | 246 | 330 | ||||||
| Foreign exchange (gain) loss | (96 | ) | 194 | (83 | ) | 53 | ||||
| Finance income | (14 | ) | (26 | ) | (48 | ) | (103 | ) | ||
| Finance expense | 111 | 65 | 302 | 205 | ||||||
| Non-recurring income | - | - | (26 | ) | (11 | ) | ||||
| Discontinued operations | - | 9 | 6 | (1,109 | ) | |||||
| Adjusted EBITDA | (93 | ) | (575 | ) | (1,453 | ) | (1,098 | ) | ||
Non-IFRS financial measures should be considered together with other data prepared in accordance with IFRS to enable investors to evaluate the Company’s operating results, underlying performance and prospects in a manner similar to EnWave’s management. Accordingly, these non-IFRS financial measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. For more information, please refer to the Non-IFRS Financial Measures section in the Company’s MD&A available on SEDAR+ www.sedarplus.ca.
About EnWave
EnWave is a global leader in the innovation and application of vacuum microwave dehydration. From its headquarters in Delta, BC, EnWave has developed a robust intellectual property portfolio, perfected its Radiant Energy Vacuum (REV™) technology, and transformed an innovative idea into a proven, consistent, and scalable drying solution for the food, pharmaceutical and cannabis industries that vastly outperforms traditional drying methods in efficiency, capacity, product quality, and cost.
With more than fifty partners spanning twenty-four countries and five continents, EnWave’s licensed partners are creating profitable, never-before-seen snacks and ingredients, improving the quality and consistency of their existing offerings, running leaner and getting to market faster with the company’s patented technology, licensed machinery, and expert guidance.
EnWave’s strategy is to sign royalty-bearing commercial licenses with food producers who want to dry better, faster and more economical than freeze drying, rack drying and air drying, and enjoy the following benefits of producing exciting new products, reaching optimal moisture levels up to seven times faster, and improve product taste, texture, color and nutritional value.
Learn more at EnWave.net.
EnWave Corporation
Mr. Brent Charleton, CFA
President and CEO
For further information:
Brent Charleton, CFA, President and CEO at +1 (778) 378-9616
E-mail: bcharleton@enwave.net
Nav Dhami, CPA, CFO at +1 (604) 505-3830
E-mail: ndhami@enwave.net
Safe Harbour for Forward-Looking Information Statements: This press release may contain forward-looking information based on management's expectations, estimates and projections. All statements that address expectations or projections about the future, including statements about the Company's strategy for growth, product development, market position, expected expenditures, and the expected synergies following the closing are forward-looking statements. All third-party claims referred to in this release are not guaranteed to be accurate. All third-party references to market information in this release are not guaranteed to be accurate as the Company did not conduct the original primary research. These statements are not a guarantee of future performance and involve a number of risks, uncertainties and assumptions. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
