Tekna Holding (TEKNA) investor relations material

Executive summary

• Revenues reached CAD 10.6 million in Q2 2026, up 18% year-over-year, with both Materials (+20%) and Systems (+13%) contributing to growth.

• Contribution margin expanded to 57% (Materials: 54%, Systems: 66%), and adjusted EBITDA was CAD 1.4 million (12.8% margin), a CAD 3.4 million improvement year-over-year.

• Order intake hit CAD 19 million, more than doubling year-over-year, resulting in a record backlog of CAD 28.5 million and a book-to-bill ratio of 8.8x.

• Fourth consecutive positive adjusted EBITDA quarter, confirming a sustained profitability inflection point.

• Operational improvements and restructuring enhanced efficiency and cost structure.

Financial highlights

• Materials revenue was CAD 7.9 million, up 20% year-over-year, with a 54% contribution margin; Systems revenue was CAD 2.7 million, up 13%, with a 66% margin.

• Cash and cash equivalents at quarter-end were CAD 18 million, with net cash of CAD 11.5 million and an equity ratio of 78%.

• Operating cash flow was negative CAD 1.2 million due to working capital increases to support record backlog.

• CapEx for the quarter was CAD 200,000, with full-year guidance of CAD 1.2–2 million.

• Net income turned positive at CAD 0.1 million, a CAD 4.0 million improvement year-over-year.

Outlook and guidance

• Double-digit annual growth and 15–20% EBITDA margin targeted through 2030, supported by strong order intake, reshoring, defense spending, and market trends.

• Capacity in place to scale without significant CapEx; anticipated CapEx for 2026 is CAD 1.5–2 million.

• System sales pipeline advancing, with further orders expected in 2026; focus remains on profitability and disciplined capital management.