Sask. RCMP rolling out drone patrols of Canada/U.S. border
A drone patrol system intended to strengthen border security between the U.S. and Canada is now undergoing a trial period in the prairie provinces.
The creation of the RCMP Remotely Piloted Aircraft System (RPAS) corridor was first announced by the RCMP Federal Policing Northwest Region on Monday, with the program taking effect at 9 p.m.
The program's trial period is set to cover Alberta, Saskatchewan, and Manitoba.
The RPAS corridor is 500 feet high within a nautical mile (1.85 kilometres) north of the border and is meant to improve security against issues like illegal entry and smuggling.
According to the RCMP, the corridor won't restrict flight activity. However, local pilots of planes or drones are asked to use caution and notify RCMP ahead of time if they're planning to fly in the airspace.
'The RCMP is committed to advancing the use of RPAS technology to enhance our service delivery models that protect the security of our border,' Assistant Commissioner Lisa Moreland said in the RCMP announcement.
'The use of this technology and the creation of the RCMP RPAS corridor will also augment our ability to enhance coordination efficiencies amongst our law enforcement partners, which will ultimately have a direct impact on public safety.'
The impact and operational value of the initiative will be continually assessed, according to the RCMP.
The RPAS corridor was established in collaboration with Transport Canada.
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Globe and Mail
16 minutes ago
- Globe and Mail
Optiva Inc. Reports Second Quarter 2025 Financial Results
All amounts are stated in United States dollars unless otherwise indicated Revenue of $10.3 million Total Contract Value ('TCV') (1) bookings of $26.6 million Gross margin of 49% Adjusted EBITDA (1) loss of $1.6 million EPS loss of $ 0.71 $12.9 million of cash TORONTO, Aug. 13, 2025 (GLOBE NEWSWIRE) -- Optiva Inc. ('Optiva' or 'the Company') (TSX:OPT), a leader in powering the telecom industry with cloud-native billing, charging and revenue management software on private and public clouds, today released its second quarter financial results for the three-month period ended June 30, 2025. Demonstrating continued bookings growth, during the second quarter, Optiva was selected by two new customers, a Tier 1 European mobile virtual network operator (MVNO) and a Tier 1 European telecom. This brings the total to 13 new customers in two years, a clear sign of confidence in the Company's roadmap and portfolio. Additionally, a key current customer has signed an extended multi-year BSS platform support agreement. Further, the Company was chosen as a finalist for the Most Innovative Telco AI/ML Product or Solution for the upcoming Leading Lights Awards by Light Reading. Update Regarding Optiva's Matured Secured Notes and Strategic Transaction As announced on July 18, 2025, the company has entered into a 45-day support agreement with 85% of noteholders, allowing the Company to negotiate a transaction with a strategic third party. The negotiations have progressed, and while there can be no assurances that a successful transaction will be completed, it is expected that a binding agreement will be reached prior to the end of the 45-day forbearance period. Optiva has continued to operate in the ordinary course, upholding its commitments to customers, employees and suppliers since the maturity of the Notes, and with approximately $12 million cash on hand, it has the liquid resources to meet its working capital commitments for the foreseeable future. "We are deeply grateful to our customers for their continued trust as we finalize our future ownership structure. This transition will lead to an even stronger, more dynamic Optiva, greatly benefiting them. I also extend my sincere gratitude to the entire Optiva team. Their world-class capabilities and powerful innovations are evident in our strong momentum, reflected in new customer wins and product adoption,' said Robert Stabile, Chief Executive Officer of Optiva. For more information about Optiva, please visit: Business Highlights TCV of Q2 bookings totaled $26.6 million. For the trailing twelve months, TCV of bookings totaled $64.3 million. A Tier 1 European MVNO selected Optiva to modernize its business support systems (BSS). Optiva will deploy its AI-enabled, end-to-end stack, empowering the MVNO to achieve next-level agility, flexibility and scalability. Optiva BSS Platform and its AI-driven analytics tools will be deployed across multiple countries and markets. The modernization will further position the MVNO at the forefront of the industry, aligning with its broader digital transformation strategy to continue leading in the MVNx, mobile-first, experience-driven era. A Tier 1 European telecom chose Optiva to power its next-generation mobile virtual network enabler (MVNE) platform. With Optiva's modular, full end-to-end, AI-enabled BSS stack at its core, the operator will offer an enhanced and agile solution to MVNOs and other wholesale customers, including fixed wireless access (FWA) and fiber-to-the-home (FTTH) providers. Optiva BSS Platform will offer modularity and choice to the operator's customers, allowing them to select and customize capabilities tailored to their specific business needs, driving differentiation, innovation and new revenue. Digitel, a leading mobile network operator in Venezuela with more than 7.2 million subscribers and an Optiva customer since 2014, renewed its BSS platform support agreement for an additional three years. Optiva was named a finalist for Most Innovative Telco AI/ML Product or Solution for the Leading Lights 2025 Awards by Light Reading. The nomination recognizes how Optiva solutions apply AI and machine learning to support the changing needs of communications network operators. Second Quarter 2025 Financial Results Highlights: Q2 Fiscal 2025 Highlights Three Months Ended Six Months Ended ($ US Millions, except per share information) June 30, June 30, (Unaudited) 2025 2024 2025 2024 Revenue 10.3 11.4 21.8 23.1 Net Income (Loss) (4.4) (5.6) (6.8) (11.6) Earnings (Loss) Per Share ($0.71) ($0.90) ($1.09) ($1.88) Adjusted EBITDA (1) (1.6) (1.7) (1.2) (4.0) Cash from (used in) operating activities 4.9 5.2 1.9 1.8 Total cash, including restricted cash 12.9 17.1 12.9 17.1 Revenue for Q2'25 was $10.3 million. On a year-over-year basis, the change by revenue type included a $1.0 million decrease in support and subscription revenue, $0.1 million decrease in software and services revenue and no change in third party software and hardware revenue. The decrease in support and subscription in the period mainly relates to the earlier than expected discontinuation of support by migrating customers. Gross margin for Q2'25 was 49% compared to 56% during the same period in 2024. The decrease in gross margin is primarily attributable to lower revenue from high margin support and subscription revenue and higher amount of customizations with lower margins ordered by customers that required fulfillment, compared to the previous period. We expect our gross margins may fluctuate as our cloud-native model and product capabilities are adopted by new and existing customers in the public or private cloud in future periods. Adjusted Earnings before interest, taxes, depreciation and amortization ("EBITDA") 1 for Q2 was a loss of $1.6 million as compared to loss of $1.7 million during the same period in 2024. Net loss for Q2 was $4.4 million compared to a net loss of $5.6 million during the same period in 2024. The net loss for the three months ended June 30, 2025, was lower mainly due to the lower operations expenses incurred during the period compared to last year. The company's lower operating expenses reflect ongoing efforts to optimize resources in support of our product roadmap, customer service, expanding our customer base, and administrative needs. The Company ended the second quarter with a cash balance of $12.9 million (including restricted cash.) (1) EBITDA, Adjusted EBITDA, TCV and adjusted EPS are non-IFRS measures. These measures are defined in the "Non-IFRS Measures" section of this news release. Non-IFRS Measures 'EBITDA" and "Adjusted EBITDA" are not financial measures calculated and presented in accordance with International Financial Reporting Standards (IFRS) and should not be considered in isolation or as a substitute to net income (loss), operating income or any other financial measures of performance calculated and presented in accordance with IFRS, or as an alternative to cash flow from operating activities as a measure of liquidity. The Company defines EBITDA as net income (loss) excluding amounts for depreciation and amortization, other income, finance costs, finance income, income tax expense (recovery), foreign exchange gain (loss) and share-based compensation. The Company defines "Adjusted EBITDA" as EBITDA (as defined above), excluding restructuring costs, one-time provision amounts and other one-time unusual items. The Company believes that Adjusted EBITDA is a metric that investors may find useful in understanding the Company's financial position. The following table provides a reconciliation of Net Income to EBITDA and Adjusted EBITDA (in thousands of U.S. dollars). Three months ended, June 30, Six months ended, June 30, 2025 2024 2025 2024 Net loss for the period $ (4,415) $ (5,601) $ (6,754) $ (11,633) Add back / (subtract): Depreciation of computer equipment 75 153 188 332 Finance income (68) (132) (156) (325) Finance costs 2,991 2,845 5,897 5,674 Income tax expense (recovery) 295 343 496 582 Foreign exchange loss (gain) (500) 86 (584) 248 Share-based compensation (21) 593 (270) 1,100 EBITDA and Adjusted EBITDA $ (1,643) $ (1,713) $ (1,183) $ (4,022) TCV is the Total Contract Value of all bookings closed in the period. About Optiva Optiva Inc. is a leading provider of mission-critical, cloud-native, agentic AI-powered revenue management software for the telecommunications industry. Its products are delivered globally on the private and public cloud. The Company's solutions help service providers maximize digital, 5G, IoT and emerging market opportunities to achieve business success. Established in 1999, Optiva Inc. is listed on the Toronto Stock Exchange (TSX:OPT). For more information, visit Caution Concerning Forward-Looking Statement Certain statements in this document may constitute "forward-looking" statements that involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements or industry results to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. When used in this document, such statements use such words as "may," "will," "expect," "continue," "believe," "plan," "intend," "would," "could," "should," "anticipate" and other similar terminology. Forward-looking statements in this document include statements regarding the Company's "qualified pipeline", the TCV of the qualified pipeline and the Company's expectations regarding future revenues. We draw your attention to the "Risks and Uncertainties" section of the Company's management's discussion and analysis for the quarter ended June 30,2025, and to note 1 of our consolidated financial statements which indicate the existence of material uncertainty that may cast significant doubt on the Company's ability to continue as a going concern. The Company had a working capital deficit (current assets less current liabilities) of $101.9 million as at June 30, 2025 (December 31, 2024 – working capital deficit of $94.8 million), reflecting inclusion of the 9.75% secured PIK toggle debentures due July 20, 2025 (the 'Debentures') as a current liability. The Debentures in the amount of $108.6 million as of June 30, 2025, had a scheduled maturity date of July 20, 2025. Based on the cash balance as of June 30, 2025 and the cash flows from operations to the Debentures scheduled maturity date, the Company had insufficient cash to meet its obligations upon maturity of the Debentures. The Company's board of directors has formed a special committee of independent directors that are actively engaged with strategic third parties, including key holders of the Secured Notes, for purposes of evaluating strategic alternatives, including a potential transaction, to optimize outcomes for the business, our people, and our customers. On July 18, the Company entered into a support agreement (the 'Support Agreement') with the holders of approximately 85% of the outstanding principal amount of the Debentures. The Support Agreement provides the Company with a 45-day grace period (the "Grace Period") to allow the Special Committee to conclude negotiations with the Debenture holders and prospective merger counterparties regarding a potential transaction. During the Grace Period, Debenture holders who are parties to the Support Agreement have agreed to forbear from exercising any of their rights or remedies in connection with any payment default occurring on the scheduled maturity of the Debentures on July 20, 2025. This Grace Period may be extended at the election of the Debenture holders. The Company's ability to continue its operations is dependent upon its ability to refinance the debentures or implement other financial alternatives, including other sources of financing through debt or equity, however there is no assurance that this will be successful. These factors indicate the existence of a material uncertainty that may cast significant doubt on the Company's ability to continue as a going concern. These statements are forward-looking as they are based on our current expectations, as at August 13, 2025, about our business and the markets we operate in and on various estimates and assumptions. Our actual results could materially differ from our expectations if known or unknown risks affect our business or if our estimates or assumptions turn out to be inaccurate. As a result, there is no assurance that any forward-looking statements will materialize. Risks that could cause our results to differ materially from our current expectations include the risk that the Company will not secure contracts with customers that are included in its qualified pipeline, the risk that existing customers may decrease their spend with the Company and other risks that are discussed in the Company's most recent Annual Information Form, available on SEDAR at and Optiva's website at Other unknown or unpredictable factors or underlying assumptions subsequently proving to be incorrect could cause actual results to differ materially from those in the forward-looking statements. Optiva does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions or circumstances on which any such statement is based, except as required by law. For additional information, please contact: OPTIVA Inc. (Expressed in thousands of U.S. dollars) (Unaudited) June 30, December 31, 2025 2024 Assets Current assets: Cash and cash equivalents $ 11,446 $ 10,217 Trade accounts and other receivables 5,111 7,229 Unbilled revenue 10,467 9,292 Prepaid expenses 1,809 1,994 Income taxes receivable 355 346 Other assets 1,189 1,034 Total current assets 30,377 30,112 Restricted cash 1,438 843 Computer Equipment 431 571 Deferred income taxes 425 475 Other assets 3,111 2,712 Long-term unbilled revenue 345 384 Pension and other long-term employment benefit plans 1,906 2,773 Goodwill 32,271 32,271 Total assets $ 70,304 $ 70,141 Liabilities and Shareholders' Equity (Deficit) Current liabilities: Trade payables $ 1,805 $ 1,940 Accrued liabilities 13,704 14,229 Income taxes payable 3,030 3,367 Deferred revenue 5,246 2,688 Debentures 108,492 102,701 Total current liabilities 132,277 124,925 Deferred revenue 136 64 Other liabilities 1,376 1,768 Deferred income taxes 85 126 Total liabilities 133,874 126,883 Shareholders' equity (deficit): Share capital 270,760 270,746 Contributed surplus 15,221 15,309 Deficit (355,316) (348,562) Accumulated other comprehensive income 5,765 5,765 Total shareholders' equity (deficit) (63,570) (56,742) Total liabilities and shareholders' equity (deficit) $ 70,304 $ 70,141 OPTIVA Inc. Condensed Consolidated Interim Statements of Comprehensive Income (loss) (Expressed in thousands of U.S. dollars, except per share and share amounts) (Unaudited) Three months ended, June 30 Six months ended, June 30, 2024 2024 2025 2024 Revenue: Support and subscription $ 6,415 $ 7,432 $ 13,915 $ 14,762 Software licenses, services and other 3,837 3,961 7,929 8,335 10,252 11,393 21,844 23,097 Cost of revenue 5,209 5,028 9,336 9,916 Gross profit 5,043 6,365 12,508 13,181 Operating expenses: Sales and marketing 2,148 2,508 4,072 5,264 General and administrative 1,851 2,626 3,526 5,643 Research and development 2,741 3,690 6,012 7,728 6,740 8,824 13,610 18,635 Income (loss) from operations (1,697) (2,459) (1,102) (5,454) Foreign exchange gain (loss) 500 (86) 584 (248) Finance income 68 132 157 325 Finance costs (2,991) (2,845) (5,897) (5,674) Loss before income taxes (4,120) (5,258) (6,258) (11,051) Income tax expense (recovery): Current 262 385 488 679 Deferred 33 (42) 8 (97) 295 343 496 582 Total net loss and comprehensive loss $ (4,415) $ (5,601) $ (6,754) $ (11,633) Net loss per common share Basic $ (0.71) $ (0.90) $ (1.09) $ (1.88) Diluted (0.71) (0.90) (1.09) (1.88) Weighted average number of common shares (thousands): Basic 6,222 6,212 6,218 6,196 OPTIVA Inc. Condensed Consolidated Interim Statements of Cash Flows (Expressed in thousands of U.S. dollars) (Unaudited) Three months ended, June 30 Six months ended June 30, 2025 2024 2025 2024 Cash provided by (used in): Operating activities: Net loss for the year $ (4,415) $ (5,601) $ (6,754) $ (11,633) Adjustments for: Depreciation of property and equipment 75 153 188 332 Finance income (68) (132) (156) (325) Finance costs 2,991 2,845 5,897 5,674 Pensions 1,801 (777) 1,354 (864) Income tax expense 295 343 496 582 Unrealized foreign exchange (gain) / loss (264) (60) (429) (374) Share-based compensation (21) 593 (270) 1,100 Change in non-cash operating working capital 3,457 5,651 2,483 5,351 3,851 3,015 2,809 (157) Interest paid (2) (6) (2) (6) Interest received 51 114 139 286 Income taxes received (paid) 1,031 2,090 (1,084) 1,654 4,931 5,213 1,862 1,777 Financing activities: Payment of interest on debentures - - - (5,086) - - - (5,086) Investing activities: Purchase of property and equipment (58) (181) (58) (381) Decrease (increase) in restricted cash 38 (1) (594) 8 (20) (182) (652) (373) Effect of foreign exchange rate changes on cash and cash equivalents (12) 62 19 376 Decrease in cash and cash equivalents 4,899 5,093 1,229 (3,306) Cash and cash equivalents, beginning of period 6,547 11,243 10,217 19,642 Cash and cash equivalents, end of period $ 11,446 $ 16,336 $ 11,446 $ 16,336
Globe and Mail
an hour ago
- Globe and Mail
D-BOX Reports Record Royalty Revenues and $2.0 Million Net Profit in First Quarter Fiscal 2026
Q1 Fiscal 2026 Highlights Record royalties of $4.0 million Record adjusted EBITDA 1 of $3.3 million Total revenues of $13.0 million Net profit of $2.0 million after a $0.9 million restructuring charge MONTREAL, Aug. 13, 2025 (GLOBE NEWSWIRE) -- D-BOX Technologies Inc. ('D-BOX' or the "Company") (TSX: DBO) today reported financial results for its first quarter ended June 30, 2025. 'In Q1 2026, D-BOX delivered robust financial performance with record royalty growth and strong profitability,' said Naveen Prasad, interim CEO of D-BOX. 'Following record revenues and net income performance for the full fiscal year 2025, the Company continues to demonstrate the strength of our royalty-focused model, expanded theatrical footprint and disciplined expense control.' Q1 2026 Operating Results In Q1 2026, total revenues were $13.0 million, up 49% year-over-year, driven primarily by the accelerated fulfillment of theatrical system sales in Q1 as well as record royalties performance of $4.0 million, partially offset by deceleration of sim racing customers in the first quarter. Royalty revenues increased 64% year-over-year, achieving both historical quarterly records for D-BOX in terms of the number of tickets sold, as well as dollar value ($4.0 million). The record royalties performance was due to a 12% year-over-year increase in active D-BOX screens to 1,047, as well as ongoing strength in the gross box office driven by blockbusters in the first quarter including A Minecraft Movie, How to Train Your Dragon, Mission: Impossible - The Final Reckoning and F1: The Movie. Royalties accounted for an increased 31% share of the Company's revenue mix. Simulation and training and sim racing customer groups were relatively flat and down 11%, year-over-year, respectively, in the first quarter. Adjusted EBITDA 1 for the quarter totaled a record $3.3 million, representing a 26% Adjusted EBITDA margin 1, up 23% year-over-year and demonstrating continued focus on cost control and operational efficiency. Net profit was $2.0 million and operating cash flow was $2.8 million, which would have been records of $2.9 million and $3.6 million, respectively, prior to a restructuring charge related to the CEO transition announced on June 4, 2025. Given the inherent variability and seasonality of quarterly sales, we emphasize the importance of assessing the Company's performance on a trailing twelve-month basis. (Amounts are in thousands of Canadian dollars) Q1 2026 Q1 2025 Var. ($) Var. (%) Revenues from System sales Theatrical 4,081 560 3,521 629 % Simulation and training 2,179 2,094 85 4 % Sim racing 2,301 2,590 (289) (11)% Other 483 1,082 (599) (55)% Total system sales 9,044 6,326 2,718 43 % Rights for use, rental and maintenance ("royalties") 3,994 2,436 1,558 64 % Total Revenues 13,038 8,762 4,276 49 % Balance Sheet and Liquidity D-BOX closed the first quarter of fiscal 2026 in a position of financial strength, with $2.8 million in operating cash flow, low-cost total debt of $1.4 million, and available liquidity including the undrawn portion of the line of credit of $18.5 million. SUPPLEMENTAL FINANCIAL DATA - UNAUDITED (Amounts are in thousands of Canadian dollars) Q1 2026 Q1 2025 Var. (%) Total Revenues 13,038 8,762 49 % Gross profit 7,316 4,551 61 % Operating expenses 2 5,339 4,824 11 % Operating income 2 1,977 (273) n.m. Adjusted EBITDA 1, 2 3,328 264 1161 % Financial expenses 25 136 (82)% Net profit (loss) 2 1,952 (419) n.m. Basic and diluted EPS 0.009 (0.002) n.m. Gross margin 1 56 % 52 % 4 p.p. Operating expenses as % of total revenues 1, 2 41 % 55 % (14) p.p. Operating margin 1, 2 15 % (3)% 18 p.p. Adjusted EBITDA margin 1, 2 26 % 3 % 23 p.p. Cash flows provided by operating activities 3 2,766 (1,461) n.m. As at (in thousands of Canadian dollars) June 30, 2025 March 31, 2025 Total debt 1 1,389 1,221 Cash and cash equivalents 10,450 7,812 Net cash (net debt) 1 9,061 6,591 Adjusted EBITDA (LTM) 1, 2 10,376 7,311 1) Please refer to "non-IFRS and other financial performance measures" in this press release 2) Included in Q1 FY2026 is a restructuring charge provision of $850 related to June 4, 2025 change in CEO 3) Included in Q1 FY2026 is a restructuring charge payment of $750 related to June 4, 2025 change in CEO n.m.= not meaningful This release should be read in conjunction with the Company's unaudited interim condensed consolidated financial statements and the Management's Discussion and Analysis dated August 13, 2025. These documents are available at All dollar amounts are expressed in Canadian currency (1) Please refer to "non-IFRS and other financial performance measures" in this press release NON-IFRS AND OTHER FINANCIAL PERFORMANCE MEASURES D-BOX uses the following non-IFRS financial performance measures in its MD&A and other communications. The non-IFRS measures do not have any standardized meaning prescribed by IFRS and are unlikely to be comparable to similarly titled measures reported by other companies. Investors are cautioned that the disclosure of these metrics is meant to add to, and not to replace, the discussion of financial results determined in accordance with IFRS. Management uses both IFRS and non-IFRS measures when planning, monitoring and evaluating the Company's performance. The non-IFRS performance measures are described as follows: Adjusted EBITDA EBITDA represents earnings before interest and financing, income taxes and depreciation and amortization. Adjustments to EBITDA are for items that are not necessarily reflective of the Company's underlying operating performance. As there is no generally accepted method of calculating EBITDA, this measure is not necessarily comparable to similarly titled measures reported by other issuers. Adjusted EBITDA provides useful and complementary information, which can be used, in particular, to assess profitability and cash flow from operations. Adjusted EBITDA margin is defined as Adjusted EBITDA divided by total revenues. A reconciliation of net profit to Adjusted EBITDA margin is presented below: Three month periods 2025 2024 Net profit (loss) 1,952 (419) Amortization of property and equipment 318 259 Amortization of intangible assets 144 142 Financial expenses 25 136 Income taxes — 10 Share-based payments 52 64 Foreign exchange (gain) loss (13) 72 Restructuring costs 850 — Adjusted EBITDA 3,328 264 Total Debt, Net Debt and Total Debt to Adjusted EBITDA Total debt is defined as the total bank indebtedness, long-term debt (including any current portion), and net debt is calculated as total debt net of cash and cash equivalents. The Company considers total debt and net debt to be important indicators for management and investors to assess the financial position and liquidity of the Company and measure its financial leverage. These measures do not have any standardized meanings prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Total debt to Adjusted EBITDA ratio is calculated as total net debt divided by the last four quarters Adjusted EBITDA. We believe that total debt to Adjusted EBITDA is a useful metric to assess the Company's ability to manage debt and liquidity. Supplementary Financial Measures Gross margin is defined as gross profit divided by total revenues. Operating expenses as a percentage of sales are defined as operating expenses divided by total revenues. Operating margin is defined as operating income divided by net sales. ABOUT D-BOX D-BOX Technologies Inc. (TSX: DBO) is a global leader in haptic technology, delivering immersive motion experiences that engage the body and spark the imagination. Our patented systems synchronize motion, vibration, and texture with on-screen content, enhancing storytelling across various platforms. With over 25 years of innovation, D-BOX's solutions are utilized in movie theaters, sim racing, and simulation & training. Headquartered in Montreal, Canada, with offices in Los Angeles, USA, D-BOX continues to redefine how audiences experience media worldwide. Visit FOR FURTHER INFORMATION, PLEASE CONTACT: David Reid Chief Financial Officer D-BOX Technologies Inc. dreid@ D-BOX Media Relations media@ DISCLAIMER REGARDING FORWARD-LOOKING STATEMENTS Certain information included in this press release may constitute 'forward-looking information' within the meaning of applicable Canadian securities legislation. Forward-looking information may include, among others, statements regarding the future plans, activities, objectives, operations, strategy, business outlook, and financial performance and condition of the Corporation, or the assumptions underlying any of the foregoing. In this document, words such as 'may', 'would', 'could', 'will', 'likely', 'believe', 'expect', 'anticipate', 'intend', 'plan', 'estimate' and similar words and the negative form thereof are used to identify forward-looking statements. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at or by which, such future performance will be achieved. Forward-looking information, by its very nature, is subject to numerous risks and uncertainties and is based on several assumptions which give rise to the possibility that actual results could differ materially from the Corporation's expectations expressed in or implied by such forward-looking information and no assurance can be given that any events anticipated by the forward-looking information will transpire or occur, including but not limited to the future plans, activities, objectives, operations, strategy, business outlook and financial performance and condition of the Corporation. Forward-looking information is provided in this press release for the purpose of giving information about Management's current expectations and plans and allowing investors and others to get a better understanding of the Corporation's operating environment. However, readers are cautioned that it may not be appropriate to use such forward-looking information for any other purpose. Forward-looking information provided in this document is based on information available at the date hereof and/or management's good-faith belief with respect to future events and are subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond the Corporation's control. The risks, uncertainties and assumptions that could cause actual results to differ materially from the Corporation's expectations expressed in or implied by the forward-looking information include, but are not limited to, the sustainability of net profit driven by continued strength in royalty revenues, the ongoing positive impact of past cost control measures on future profitability, and the sustained strength and value creation driven by its overall business model and operational discipline. These and other risk factors that could cause actual results to differ materially from expectations expressed in or implied by the forward-looking information are discussed under 'Risk Factors' in the Corporation's annual information form for the fiscal year ended March 31, 2025, a copy of which is available on SEDAR+ at Except as may be required by Canadian securities laws, the Corporation does not intend nor does it undertake any obligation to update or revise any forward-looking information contained in this press release to reflect subsequent information, events, circumstances or otherwise. The Corporation cautions readers that the risks described above are not the only ones that could have an impact on it. Additional risks and uncertainties not currently known to the Corporation or that the Corporation currently deems to be immaterial may also have a material adverse effect on the Corporation's business, financial condition or results of operations.
Globe and Mail
2 hours ago
- Globe and Mail
AirJoule Technologies Announces Second Quarter 2025 Results
RONAN, Mont., Aug. 13, 2025 (GLOBE NEWSWIRE) -- AirJoule Technologies Corporation (NASDAQ: AIRJ) ('AirJoule Technologies' or the 'Company'), a leading technology platform that unleashes the power of water from air, today announced its second quarter 2025 results. Second Quarter 2025 & Recent Highlights Key Milestones A250™ Product Expands AirJoule ® Technology Platform: The A250™ system will be commercialized for the industrial dehumidification market, which is largely serviced by inefficient legacy technologies. The A250™ uses AirJoule ® 's technology platform to produce dehumidified air with up to 80% energy savings and up to 60% lower total cost of ownership compared to incumbent dehumidification systems. The AirJoule ® technology is a platform that supports differentiated water generation and dehumidification products. The Company is also commercializing the A1000™ water generator, which is designed for on-site production of industrial-scale quantities of distilled water using low-grade waste heat to achieve unprecedented efficiency. Strategic Collaborations to Advance AirJoule ® Commercialization: Signed Memorandum of Understanding with a developer of hyperscale data centers to collaborate on the use of AirJoule ® to generate pure distilled water from ambient air using low-grade waste heat generated by data center operations. Commenced a strategic project with GE Vernova to explore the integration of AirJoule ® technology into GE Vernova products with a focus on the utilization of low-grade waste heat to produce water. Continued Progress on Initial Projects: Announced a project with the City of Hubbard, Texas to recover heat from a geothermal water well and use it to produce pure, distilled water from air. The Company expects to deploy an A250™ system in Q4 2025, which will be the first field deployment demonstrating AirJoule ® 's ability to utilize low-grade waste heat to drive its proprietary water separation process. Expect to deliver an A250™ system to Arizona State University ('ASU') in Fall 2025, where it will be used for research and evaluation purposes. ASU operates atmospheric water harvesting test sites in the Phoenix area and will independently evaluate AirJoule ® 's performance across a range of real-world conditions, including arid climates and variable humidity levels. Ongoing field deployment of the AirJoule ® platform at a government research facility in Dubai. Coordinated through the Company's UAE-based partner TenX Investment, the field deployment is showcasing AirJoule ® 's capabilities to potential public and private sector customers in the Middle East region. Appointed Two Board Directors with Expertise in Data Centers and Financial Oversight: Denise Sterling most recently served as Chief Financial Officer of Core Scientific, Inc., a leading data center developer and operator, from 2022 to 2025. Prior to joining Core Scientific in 2021, she held the position of Senior Vice President of FP&A and Finance at Oportun, a financial services company focused on consumer credit, from 2018 to 2021. Ms. Sterling previously served in various tax and finance roles for Visa from 1995 to 2018, including as Senior Vice President of the Global Risk Management team from 2016 to 2018. Thomas Murphy, who will chair the Company's Audit Committee, previously held leadership roles as a Partner in the Audit and Advisory practices at Crowe LLP until his retirement in 2020. During his time at Crowe LLP, Mr. Murphy served as the Partner in Charge of the SEC Commercial Audit Practice, as well as Lead Partner for several prominent private equity clients. He also played a key role in launching the Advisory group's data analytics practice. Prior to joining Crowe in 1993, he served as a Senior Manager at EY. Expanding Operations in Newark, DE: Expanded the manufacturing facility in Newark, DE to enable increased capacity for manufacturing and environmental testing of AirJoule ® systems. The Company held a formal ribbon-cutting ceremony to unveil the facility on July 30, 2025. The event was attended by several Delaware elected officials and representatives from GE Vernova, Carrier, and TenX Investment. Attendees were invited to tour the facility and view AirJoule ® technology demonstrations. Balance Sheet and Liquidity Private Placement Financing: On April 25, 2025, the Company completed a previously announced $15 million private placement financing (the 'PIPE') led by GE Vernova, which also included new and existing investors. GE Vernova's participation in the PIPE followed its initial investment in AirJoule Technologies of $5 million made in March 2024 in connection with the formation of a 50/50 joint venture with AirJoule Technologies. Net proceeds from the PIPE are being used to accelerate the commercialization of the AirJoule ® A250™ and A1000™ systems to meet strong customer interest. Strong Cash Position: Ended the quarter with $30.5 million of cash and cash equivalents with sufficient runway to support the Company's operations through commercialization. Executive Commentary 'In the second quarter we made meaningful progress toward demonstrating the AirJoule ® platform's ability to use low-grade waste heat to produce pure, distilled water,' said Matt Jore, Chief Executive Officer of AirJoule Technologies. 'This is an application that we expect to be a significant driver of our future commercial sales. We also cut the ribbon on our state-of-the-art manufacturing facility, which is ready to begin assembling units for the industrial dehumidification market. Throughout 2025, we've laid the groundwork to successfully productize AirJoule ®, and I'm proud to report that we have the team, the technology and the capitalization to execute on a successful commercial launch in 2026 and unleash the power of water from air.' Quarterly Report on Form 10-Q AirJoule Technologies' condensed consolidated financial statements and related footnotes are available in its Quarterly Report on Form 10-Q for the period ended June 30, 2025, which is expected to be filed with the Securities and Exchange Commission ('SEC') on August 14, 2025. Earnings Call Webcast AirJoule Technologies will host a conference call to discuss second quarter 2025 results at 8:30 AM ET on Thursday, August 14, 2025. To access the live audio webcast of the conference call, please visit the AirJoule Technologies investor relations website at To participate by phone, dial 877-407-6184 (domestic) or +1-201-389-0877 (international). An archived webcast will be available following the call. About AirJoule Technologies Corporation AirJoule Technologies Corporation (NASDAQ: AIRJ) is a leading technology platform that unleashes the power of water from air. Through its joint venture with GE Vernova and in partnership with Carrier Global Corporation, the Company's purpose is freeing the world of its water and energy constraints by delivering groundbreaking sorption technologies. For more information, visit Forward-Looking Statements The information in this press release includes 'forward-looking statements' within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of present or historical fact included in this press release, regarding AirJoule Technologies and its future financial and operational performance, as well as its strategy, future operations, estimated financial position, estimated revenues, and losses, projected costs, prospects, plans and objectives of management are forward looking statements. When used in this press release, including any oral statements made in connection therewith, the words 'could,' 'may,' 'will,' 'should,' 'anticipate,' 'believe,' 'intend,' 'estimate,' 'expect,' 'project,' the negative of such terms and other similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on management's current expectations and assumptions about future events and are based on currently available information as to the outcome and timing of future events. Except as otherwise required by applicable law, AirJoule Technologies expressly disclaims any duty to update any forward-looking statements, all of which are expressly qualified by the statements herein, to reflect events or circumstances after the date of this press release. AirJoule Technologies cautions you that these forward-looking statements are subject to numerous risks and uncertainties, most of which are difficult to predict and many of which are beyond AirJoule Technologies' control. These risks include, but are not limited to, our status as an early stage Company with limited operating history, which may make it difficult to evaluate the prospects for our future viability; our initial dependence on revenue generated from a single product; significant barriers we face to deploy our technology; the dependence of our commercialization strategy on our relationships with BASF, Carrier, GE Vernova, and other third parties history of losses, and the other risks and uncertainties described in our SEC filings including the 'Risk Factors' section of our most recent Annual Report on Form 10-K and any subsequently filed Quarterly Reports on Form 10-Q. Given these risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. Should one or more of the risks or uncertainties described in this press release occur, or should underlying assumptions prove incorrect, actual results and plans could differ materially from those expressed in any forward-looking statements. AirJoule Technologies' SEC Filings are available publicly on the SEC's website at and readers are urged to carefully review and consider the various disclosures made in such filings. AIRJOULE TECHNOLOGIES CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS June 30, December 31, 2025 2024 (unaudited) Assets Current assets Cash, cash equivalents and restricted cash $ 30,502,711 $ 28,021,748 Due from related party 545,013 2,820,129 Prepaid expenses and other current assets 968,892 613,754 Total current assets 32,016,616 31,455,631 Operating lease right-of-use asset 131,235 147,001 Property and equipment, net 23,872 16,373 Investment in AirJoule, LLC 343,858,688 338,178,633 Other assets 54,482 54,482 Total assets $ 376,084,893 $ 369,852,120 Liabilities and stockholders' equity Current liabilities Accounts payable $ 296,587 $ 79,202 Other accrued expenses 2,197,206 1,720,318 Operating lease liability, current 32,886 30,227 True Up Shares liability — 2,189,000 Total current liabilities 2,526,679 4,018,747 Earnout Shares liability 5,416,000 24,524,000 Subject Vesting Shares liability 1,411,000 7,819,000 Operating lease liability, non-current 107,113 124,002 Deferred tax liability 78,054,508 81,256,047 Total liabilities 87,515,300 117,741,796 Commitments and contingencies (Note 12) Stockholders' equity Preferred stock, $0.0001 par value; 25,000,000 authorized shares and 0 shares issued and outstanding as of June 30, 2025 and December 31, 2024 $ — $ — Class A common stock, $0.0001 par value; 600,000,000 authorized shares and 60,439,593 and 55,928,661 shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively 6,044 5,593 Additional paid-in capital 72,644,217 53,577,270 Retained earnings 215,919,332 198,527,461 Total stockholders' equity 288,569,593 252,110,324 Total liabilities and stockholders' equity $ 376,084,893 $ 369,852,120 AIRJOULE TECHNOLOGIES CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Cost and expenses: General and administrative $ 3,751,211 $ 3,211,205 $ 6,537,695 $ 4,024,444 Research and development 401,623 1,050,804 789,542 1,896,961 Sales and marketing 7,794 74,841 22,003 112,566 Transaction costs incurred in connection with business combination — — — 54,693,103 Depreciation and amortization 2,289 1,216 3,877 2,301 Loss from operations (4,162,917) (4,338,066) (7,353,117) (60,729,375) Other income (expense): Interest income 283,733 216,480 526,758 242,626 Gain on contribution to AirJoule, LLC — — — 333,500,000 Equity loss from investment in AirJoule, LLC (2,089,667) (580,788) (4,319,945) (607,170) Change in fair value of Earnout Shares liability 6,276,000 13,064,000 19,108,000 5,392,000 Change in fair value of True Up Shares liability — (136,000) 106,106 133,000 Change in fair value of Subject Vesting Shares liability 934,000 1,759,000 6,408,000 (666,000) Gain on settlement of legal fees — 2,207,445 — 2,207,445 Other expense, net (286,818) — (285,470) — Total other income, net 5,117,248 16,530,137 21,543,449 340,201,901 Income before income taxes 954,331 12,192,071 14,190,332 279,472,526 Income tax benefit (expense) 1,558,882 1,237,824 3,201,539 (84,487,339) Net income $ 2,513,213 $ 13,429,895 $ 17,391,871 $ 194,985,187 Weighted average Class A common stock outstanding, basic 59,247,717 49,560,529 57,656,530 43,357,928 Basic net income per share, Class A common stock $ 0.04 $ 0.25 $ 0.30 $ 4.05 Weighted average Class A common stock outstanding, diluted 60,179,241 51,358,716 58,727,169 44,995,234 Diluted net income, per share, Class A common stock $ 0.04 $ 0.24 $ 0.30 $ 3.92 Weighted average Class B common stock outstanding, basic and diluted — 4,759,642 — 4,759,642 Basic net income per share, Class B common stock $ — $ 0.25 $ — $ 4.05 Diluted net income per share, Class B common stock $ — $ 0.24 $ — $ 3.92 AIRJOULE TECHNOLOGIES CORPORATION Six Months Ended June 30, 2025 2024 Cash flows from operating activities Net income $ 17,391,871 $ 194,985,187 Adjustment to reconcile net income to cash used in operating activities: Depreciation and amortization 3,877 2,301 Deferred tax expense (benefit) (3,201,539) 84,487,339 Amortization of operating lease right-of-use assets 15,766 59,709 Change in fair value of Earnout Shares liability (19,108,000) (5,392,000) Change in fair value of True Up Shares liability (106,106) (133,000) Change in fair value of Subject Vesting Shares liability (6,408,000) 666,000 Change in fair value of Equity Line Obligation liability 286,819 — Gain on contribution to AirJoule, LLC — (333,500,000) Equity loss from investment in AirJoule, LLC 4,319,945 607,170 Non-cash transaction costs in connection with business combination — 53,721,000 Gain on settlement of legal fees — (2,207,445) Share-based compensation 2,419,596 150,519 Changes in operating assets and liabilities: Due from related party 2,496,577 — Due to related party — (1,440,000) Prepaid expenses and other current assets (355,138) (806,153) Operating lease liabilities (14,230) (56,818) Accounts payable 217,385 (3,157,317) Accrued expenses, accrued transaction costs and other liabilities (122,308) (5,563,053) Net cash used in operating activities (2,163,485) (17,576,561) Cash flows from investing activities Purchases of fixed assets (11,376) (6,554) Investment in AirJoule, LLC (10,000,000) (10,000,000) Net cash used in investing activities (10,011,376) (10,006,554) Cash flows from financing activities Proceeds from the exercise of warrants — 45,760 Proceeds from the exercise of options 99,718 60,170 Proceeds from the PIPE offering, net 14,556,106 — Proceeds from the issuance of common stock pursuant to subscription agreements — 61,750,000 Net cash provided by financing activities 14,655,824 61,855,930 Net increase in cash, cash equivalents and restricted cash 2,480,963 34,272,815 Cash, cash equivalents and restricted cash, beginning of period 28,021,748 375,796 Cash, cash equivalents and restricted cash, end of the period $ 30,502,711 $ 34,648,611 Supplemental non-cash investing and financing activities: Issuance of True Up Shares $ 2,082,894 $ — Deferred offering costs included in accrued expenses and other current liabilities $ 312,375 $ — Initial recognition of True Up Shares liability $ — $ 555,000 Initial recognition of Subject Vesting Shares liability $ — $ 11,792,000 Initial recognition of ROU asset and operating lease liability $ — $ 172,649 Liabilities combined in recapitalization, net $ — $ 8,680,477 Contribution to AirJoule, LLC of license to technology $ — $ 333,500,000 Supplemental cash flow information: Taxes paid $ — $ — Contacts
