EnWave Reports 2025 First Quarter Consolidated Interim Financial Results

EnWave Corporation (TSX-V:ENW | FSE:E4U) (“EnWave”, or the “Company”) today reported the Company’s consolidated interim financial results for the first quarter ended December 31, 2024.  

All values in thousands and denoted in CAD unless otherwise stated.

• Reported royalty revenues of $559, representing an increase of $79 relative to the comparable period in the prior year. Royalties grew due to increased royalty partners, product sales, partner production, and exclusivity payments for the quarter.
• Reported revenue for Q1 2025 of $1,177, representing a decrease of $85 relative to the comparable period in the prior year.   The decrease was primarily related to fewer machine sales offset by an increase in royalties and tolling.
• Gross margin for the three months ending Q1 2025 was 29% compared to 18% for the three months ended Q1 2024. The increase in margin was a result of higher royalties and tolling fees for the quarter.
• Reported an increase in Selling, General & Administrative (“SG&A”) costs (including Research & Development (“R&D”)) of $5 for Q1 2025 relative to the comparable period in the prior year, with the increase primarily related to tradeshow attendance offset by reduced legal costs associated with the capitalization of the Term Loan and Credit facility issuance costs.
• Reported an Adjusted EBITDA⁽¹⁾ loss of $624 for Q1 2025, an improvement of $132 from the comparable period in the prior year.

Consolidated Financial Performance:

• 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

Significant Corporate Accomplishments in Q1 2025 and Subsequently:

• Signed an equipment purchase agreement and a license amendment with Sprouted Proteins SAC (“Sprouted Proteins”) of Peru. Sprouted Proteins purchased a 10kW REV™ machine and is leasing a second 10kW REV™ machine to ramp up commercial production. The license amendment grants Sprouted Proteins the exclusive right to produce certain starch-based snack products and instant soup mixes in Peru and sets annual minimum exclusivity royalty amounts.
• Signed an amendment to the royalty-bearing license agreement with Patatas Fritas Torres S.L. (“PFT”) of Spain. The amendment expands the product portfolio for PFT, who is focused on commercializing healthy, protein-rich snack products. Under the terms of the amendment, PFT will pay EnWave additional minimum annual royalties in exchange for the expanded product definition.
• Signed an amendment to the royalty-bearing license agreement with BranchOut Food Inc. to grant the company the exclusive rights to produce dried blueberry products using EnWave’s REV^TM technology in Peru. 
• Signed a Research, Development and License Agreement, Equipment Purchase Agreement, and Referral Agreement with CNTA of Spain. The Equipment Purchase Agreement was for a 10kW REV™ machine that will showcase their state-of-the-art facility with the value proposition of REV™ technology.
• Signed a Research, Development and License Agreement and Lease Agreement with ELEA Technology GmbH to lease a 10kW REV^TM machine.
• Signed a Technology Evaluation License Option Agreement with Solve Solutions LTDA of Brazil to rent a 10kW REV^TM machine for use at their facility in the state of Santa Catarina, Brazil.

Medidas financieras distintas de las NIIF:

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.

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.

Acerca de EnWave

EnWave es líder mundial en innovación y aplicación de la deshidratación por microondas al vacío. Desde su sede en Delta (Columbia Británica), EnWave ha desarrollado una sólida cartera de propiedad intelectual, ha perfeccionado su tecnología Radiant Energy Vacuum (REV™) y ha transformado una idea innovadora en una solución de secado probada, consistente y escalable para las industrias alimentaria, farmacéutica y del cannabis que supera ampliamente a los métodos de secado tradicionales en eficiencia, capacidad, calidad del producto y coste.

Con más de cincuenta socios generadores de royalties repartidos por veintitrés países y cinco continentes, los socios licenciatarios de EnWave están creando aperitivos e ingredientes rentables y nunca vistos, mejorando la calidad y consistencia de sus ofertas existentes, funcionando de forma más eficiente y llegando al mercado más rápidamente con la tecnología patentada de la empresa, la maquinaria licenciada y la orientación de expertos.

La estrategia de EnWave consiste en firmar licencias comerciales sujetas a derechos de autor con productores de alimentos que deseen secar mejor, más rápido y de forma más económica que la liofilización, el secado en bastidor y el secado al aire, y disfrutar de las siguientes ventajas: producir productos nuevos e interesantes, alcanzar niveles óptimos de humedad hasta siete veces más rápido y mejorar el sabor, la textura, el color y el valor nutritivo del producto.

Más información en EnWave.net.

Corporación EnWave

Sr. Brent Charleton, CFA

Presidente y Consejero Delegado

Para más información:

Brent Charleton, CFA, Presidente y Director General, +1 (778) 378-9616
Correo electrónico: bcharleton@enwave.net      

Dylan Murray, CPA, CA, CFO al +1 (778) 870-0729
Correo electrónico: dmurray@enwave.net  

Safe Harbour para declaraciones de información prospectiva: Este comunicado de prensa puede contener información prospectiva basada en las expectativas, estimaciones y proyecciones de la dirección. Todas las declaraciones que se refieran a expectativas o proyecciones sobre el futuro, incluidas las declaraciones sobre la estrategia de crecimiento de la empresa, el desarrollo de productos, la posición en el mercado, los gastos previstos y las sinergias esperadas tras el cierre son declaraciones prospectivas. No se garantiza la exactitud de todas las afirmaciones de terceros a las que se hace referencia en este comunicado. No se garantiza la exactitud de todas las referencias de terceros a información de mercado contenidas en este comunicado, ya que la empresa no ha llevado a cabo la investigación primaria original. Estas afirmaciones no constituyen una garantía de resultados futuros e implican una serie de riesgos, incertidumbres y suposiciones. Aunque la empresa ha intentado identificar los factores importantes que podrían hacer que los resultados reales difirieran materialmente, puede haber otros factores que hagan que los resultados no sean los previstos, estimados o deseados. No puede garantizarse que tales afirmaciones resulten exactas, ya que los resultados reales y los acontecimientos futuros podrían diferir sustancialmente de los previstos en dichas afirmaciones. Por consiguiente, los lectores no deben depositar una confianza indebida en las afirmaciones de carácter prospectivo.

Ni la TSX Venture Exchange ni su Proveedor de Servicios de Regulación (según se define este término en las políticas de la TSX Venture Exchange) aceptan responsabilidad alguna por la adecuación o exactitud de este comunicado.