SEDAR Interim Financial Statements

Condensed Consolidated Interim Financial Statements and Notes Condensed Consolidated Interim Balance Sheets As at Note* September 30, 2025 December 31, 2024 (CDN 000s) (unaudited) ($) ($) Assets Current Cash and cash equivalents 4 73,461 77,197 Short-term investments 5 2,143 3,581 Trade and other receivables 82,823 90,876 Prepaid expenses 8,091 11,275 Inventory 17,228 20,782 Income taxes recoverable 1,304 976 Total current assets 185,050 204,687 Non-current Property, plant and equipment 197,429 194,806 Investments 7 3,254 2,985 Intangible assets and goodwill 206,220 212,134 Total non-current assets 406,903 409,925 Total assets 591,953 614,612 Liabilities and equity Current Trade payables and accruals 55,599 62,794 Income taxes payable 2,031 6,987 Stock-based compensation liability 11 7,980 6,864 Lease liability 2,452 2,168 Obligation under put option 8 5,119 5,291 Total current liabilities 73,181 84,104 Non-current Deferred tax liability 13,621 17,348 Lease liability 13,941 13,249 Stock-based compensation liability 11 7,780 4,238 Total non-current liabilities 35,342 34,835 Equity Share capital 10 165,769 167,801 Share-based benefits reserve 40,485 38,804 Foreign currency translation reserve 49,485 58,715 Equity reserve (8,375) (8,375) Retained earnings 246,318 247,468 Total equity attributable to equity holders of the Company 493,682 504,413 Non-controlling interest (10,252) (8,740) Total equity 483,430 495,673 Total liabilities and equity 591,953 614,612 *The Notes are an integral part of these Condensed Consolidated Interim Financial Statements 1 Pason Systems Inc. 2025 Third Quarter Financial Statements Condensed Consolidated Interim Statements of Operations Three Months Ended September 30, Nine Months Ended September 30, Note* 2025 2024 2025 2024 (CDN 000s, except per share data) (unaudited) ($) ($) ($) ($) Revenue 100,962 105,889 310,555 306,504 Operating expenses 39,371 38,397 124,866 118,047 Depreciation and amortization 15,680 13,659 43,765 38,290 55,051 52,056 168,631 156,337 Gross profit 45,911 53,833 141,924 150,167 Other expenses Research and development 13,770 12,487 41,208 38,174 Selling, general, and administrative 9,389 11,090 29,734 31,266 Stock-based compensation 11 2,527 (117) 7,348 7,528 Other (income) expenses 13 3,839 508 2,935 (51,178) 29,525 23,968 81,225 25,790 Income before income taxes 16,386 29,865 60,699 124,377 Income tax provision 4,545 6,148 17,204 21,253 Net income 11,841 23,717 43,495 103,124 Net income (loss) attributable to: Shareholders of Pason 12,526 24,158 45,183 104,577 Non-controlling interest (685) (441) (1,688) (1,453) Net income 11,841 23,717 43,495 103,124 Income per share 14 Basic 0.16 0.30 0.57 1.31 Diluted 0.16 0.30 0.57 1.31 *The Notes are an integral part of these Condensed Consolidated Interim Financial Statements Condensed Consolidated Interim Statements of Other Comprehensive Income Three Months Ended September 30, Nine Months Ended September 30, Note* 2025 2024 2025 2024 (CDN 000s) (unaudited) ($) ($) ($) ($) Net income 11,841 23,717 43,495 103,124 Items that may be reclassified subsequently to net income: Foreign currency translation adjustment 6,830 (7,861) (9,054) (3,127) Other comprehensive income (loss) 6,830 (7,861) (9,054) (3,127) Total comprehensive income (loss) 18,671 15,856 34,441 99,997 Total comprehensive income (loss) attributed to: Shareholders of Pason 19,289 16,259 35,953 101,329 Non-controlling interest (618) (403) (1,512) (1,332) Total comprehensive income (loss) --- 18,671 15,856 34,441 99,997 *The Notes are an integral part of these Condensed Consolidated Interim Financial Statements 2 Pason Systems Inc. 2025 Third Quarter Financial Statements Condensed Consolidated Interim Statements of Changes in Equity Note* Share Capital Share- Based Benefits Reserve Foreign Currency Translation Reserve Equity Reserve Retained Earnings Total Equity Attributable to Pason Non- Controlling Interest Total Equity (CDN 000s) (unaudited) ($) ($) ($) ($) ($) ($) ($) ($) Balance at December 31, 2023 163,291 37,101 43,162 (8,375) 172,879 408,058 (7,103) 400,955 Net income (loss) — — — — 104,577 104,577 (1,453) 103,124 Dividends 10 — — — — (31,045) (31,045) — (31,045) Other comprehensive income — — (3,248) — — (3,248) 121 (3,127) Exercise of stock options 10 5,162 (737) — — — 4,425 — 4,425 Expense related to stock options — 1,836 — — — 1,836 — 1,836 Shares cancelled under NCIB 10 (923) — — — (6,075) (6,998) — (6,998) Liability reversal for automatic share purchase plan commitment pursuant to NCIB 10 437 — — — 3,063 3,500 — 3,500 Liability for automatic share purchase plan commitment pursuant to NCIB 10 — — — — — — — — Balance at September 30, 2024 167,967 38,200 39,914 (8,375) 243,399 481,105 (8,435) 472,670 Net income (loss) — — — — 16,927 16,927 (342) 16,585 Dividends (10,317) (10,317) — (10,317) Other comprehensive income — — 18,801 — — 18,801 37 18,838 Exercise of stock options 10 292 (47) — — — 245 — 245 Expense related to stock options — 651 — — — 651 — 651 Shares cancelled under NCIB 10 (458) — — — (2,541) (2,999) — (2,999) Liability for automatic share purchase plan commitment pursuant to NCIB 10 — — — — — — — — Balance at December 31, 2024 167,801 38,804 58,715 (8,375) 247,468 504,413 (8,740) 495,673 Net income (loss) — — — — 45,183 45,183 (1,688) 43,495 Dividends 10 — — — — (30,605) (30,605) — (30,605) Other comprehensive income — — (9,230) — — (9,230) 176 (9,054) Exercise of stock options 10 1,237 (242) — — — 995 — 995 Expense related to stock options — 1,923 — — — 1,923 — 1,923 Shares cancelled under NCIB 10 (3,269) — — — (15,728) (18,997) — (18,997) Liability for automatic share purchase plan commitment pursuant to NCIB 10 — — — — — — — — Balance at September 30, 2025 165,769 40,485 49,485 (8,375) 246,318 493,682 (10,252) 483,430 *The Notes are an integral part of these Condensed Consolidated Interim Financial Statements 3 Pason Systems Inc. 2025 Third Quarter Financial Statements Condensed Consolidated Interim Statements of Cash Flows Three Months Ended September 30, Nine Months Ended September 30, Note* 2025 2024 2025 2024 (CDN 000s) (unaudited) ($) ($) ($) ($) Cash from (used in) operating activities Net income 11,841 23,717 43,495 103,124 Adjustment for non-cash items: Depreciation and amortization 15,680 13,659 43,765 38,290 Stock-based compensation 11 2,527 (117) 7,348 7,528 Deferred income taxes (2,380) (1,113) (3,271) 1,822 Gain on revaluation of previously held equity interest 13 — — — (50,830) Unrealized foreign exchange loss and other 3,154 (27) 2,512 (925) Funds flow from operations 30,822 36,119 93,849 99,009 Movements in non-cash working capital items: Decrease (increase) in trade and other receivables (7,611) (3,835) 8,053 (11,071) Decrease (increase) in prepaid expenses (1,161) (3,463) 3,184 (4,391) Increase in income taxes payable / recoverable 6,606 9,781 18,439 20,484 (Decrease) increase in trade payables, accruals and stock-based compensation liability 9,700 1,126 (8,156) (3,162) Decrease --- (increase) in inventory 1,742 512 3,554 (79) Effects of exchange rate changes (1,855) (3,657) (5,602) 157 Cash generated from operating activities 38,243 36,583 113,321 100,947 Income tax paid (8,818) (6,208) (23,723) (13,582) Net cash from operating activities 29,425 30,375 89,598 87,365 Cash flows (used in) from financing activities Proceeds from exercise of stock options 10 335 393 995 4,425 Payment of dividends 10 (10,118) (10,339) (30,605) (31,045) Repurchase and cancellation of shares under NCIB 10 (2,999) (998) (18,997) (6,998) Repayment of lease liability (791) (771) (1,679) (2,472) Repayment of IWS external debt 9 — — — (13,261) Net cash (used in) from financing activities (13,573) (11,715) (50,286) (49,351) Cash flows (used in) from investing activities Acquisition of IWS, net of cash acquired — — — (72,654) Settlement of stock-based compensation liability related to acquisition of IWS — — — (10,454) Purchase of short-term investments 5 — — — (4,187) Maturity of short-term investments 5 179 577 1,188 577 Additions to property, plant and equipment (10,046) (13,917) (40,392) (49,624) Development costs (1,254) (1,277) (4,087) (3,974) Proceeds on disposal of property, plant and equipment 519 1,499 2,090 2,548 Changes in non-cash working capital 83 (26) 28 103 Net cash (used in) from investing activities (10,519) (13,144) (41,173) (137,665) Effect of exchange rate on cash and cash equivalents 1,056 (1,479) (1,875) (1,274) Net increase (decrease) in cash and cash equivalents 6,389 4,037 (3,736) (100,925) Cash and cash equivalents, beginning 67,072 66,811 77,197 171,773 Cash and cash equivalents, ending 4 73,461 70,848 73,461 70,848 *The Notes are an integral part of these Condensed Consolidated Interim Financial Statements 4 Pason Systems Inc. 2025 Third Quarter Financial Statements Notes to Condensed Consolidated Interim Financial Statements (CDN 000s, except per share data) 1. Description of Business Pason Systems Inc. ("Pason" or the "Company") is a leading global provider of instrumentation and data management systems for oil and gas drilling. Through Intelligent Wellhead Systems ("IWS"), Pason also provides engineered controls, data acquisition, and software solutions for oil and gas completions operations. Through Energy Toolbase ("ETB"), the Company also provides products and services for the solar power and energy storage industry. The Company headquarters are located at 6130 Third Street SE, Calgary, Alberta, Canada. The Company is a publicly traded company listed on the Toronto Stock Exchange and OTC Markets Group under the symbol PSI and PSYTF, respectively. The Condensed Consolidated Interim Financial Statements of the Company are comprised of the Company and its subsidiaries (together referred to as the “Group” and individually as “Group entities”). The accompanying Condensed Consolidated Interim Financial Statements include the accounts of Pason Systems Inc., its wholly owned subsidiaries, and ETB. 2. Basis of Preparation Statement of compliance These unaudited Condensed Consolidated Interim Financial Statements have been prepared in accordance with the requirements of International Accounting Standard ("IAS") 34, Interim Financial Reporting and include the accounts of Pason and its wholly owned subsidiaries. All significant intercompany balances and transactions including revenue and expenses have been eliminated. These unaudited Condensed Consolidated Interim Financial Statements do not include all of the informatio --- n required for full annual financial statements and should be read in conjunction with the consolidated financial statements of the Company as at and for the year ended December 31, 2024. These Condensed Consolidated Interim Financial Statements are presented in Canadian dollars, which is the Company’s functional currency. All financial information presented in Canadian dollars has been rounded to the nearest thousand except for per share amounts. 3. Material Accounting Policies The selection and application of material accounting policies have been deemed appropriate. The Company’s material accounting policies and their method of application have been applied on a basis consistent with that of the audited financial statements as at and for the year ended December 31, 2024. Future Accounting Standards: The following revision to IFRS Accounting Standards has been issued and is effective for financial years beginning on or after January 1, 2027. Other changes or amendments that are not expected to have a material impact to the Company have been excluded. The Company is currently assessing the impact of this accounting policy change on its Consolidated Financial Statements. IFRS 18 - Presentation and Disclosures in Financial Statements The revised standard replaces IAS 1, and carries forward unchanged requirements of IAS 1, and amends minor sections within IAS 33 Earnings per Share. Further, IFRS 18 introduces new requirements to provide disclosures on management-defined performance measures (MPMs) in the notes of the financial statements. IFRS 18 is effective January 1, 2027 and is required to be adopted retrospectively. 5 Pason Systems Inc. 2025 Third Quarter Financial Statements 4. Cash and Cash Equivalents As at September 30, 2025 December 31, 2024 ($) ($) Cash 42,958 58,600 Cash equivalents 30,503 18,597 Cash and cash equivalents 73,461 77,197 As at September 30, 2025, the Company's cash equivalents are invested in money market funds with interest rates averaging 3.6% (2024: 3.9%). 5. Short-Term Investments As at September 30, 2025 December 31, 2024 ($) ($) Short-term investments 2,143 3,581 In 2024, the Company invested in US dollar denominated Central Bank of the Argentine Republic's (BCRA) Bond for the Recovery of a Free Argentina (BOPREAL) program. These bonds are classified as short-term investments within the Condensed Consolidated Interim Balance Sheets with gains and losses due to foreign exchange revaluation recognized in other comprehensive income, and mark-to-market gains and losses recognized in other income. 6. Seasonality Pason’s quarterly financial results vary quarter to quarter due in part to the seasonality of the oil and gas service industry in Canada, which is somewhat offset by the less seasonal nature of US and International operations. The first quarter is generally the strongest quarter for the Company due to strong activity in Canada, where location access is best during the winter. The second quarter is typically the slowest due to spring break-up in Canada, when many areas are not accessible due to ground conditions, and, which, do not permit the movement of heavy equipment. Activity generally increases in the third quarter, depending on the year, as ground conditions often improve and location access becomes available; however, a rainy summer can have a significant adverse effect on drilling activity. By the fourth quarter, access to most areas in Canada becomes available when the ground freezes. Consequent --- ly, the performance of the Company may not be comparable quarter to consecutive quarter, but should be considered on the basis of results for the whole year, or by comparing results in a quarter with results in the corresponding quarter for the previous year. 7. Investments As at September 30, 2025, investments are comprised of the Company's 50% interest in Rawabi Pason Company ("Rawabi JV"). Rawabi JV is a provider of specialized data management systems for drilling rigs in the Kingdom of Saudi Arabia. 8. Obligation Under Put Option The put obligation is a contractual obligation whereby the non-controlling shareholders of ETB have a put option to exercise for cash their 20% shareholdings of ETB starting in 2023 with reference to the fair value of ETB shares at the date the put option can be exercised. This put option gives rise to a financial liability and is calculated using a discounted cash flow model of the estimated future cash flows of the obligation. 6 Pason Systems Inc. 2025 Third Quarter Financial Statements 9. Credit Facilities As at September 30, 2025, the Company does not have any interest bearing debt outstanding, consistent with December 31, 2024. In connection with the IWS Acquisition effective January 1, 2024, Pason assumed outstanding debt on credit facilities and term loans held by IWS. In the first quarter of 2024, all assumed IWS outstanding debt balances were repaid and only one IWS credit facility remains in place: the ABL facility described below. As at September 30, 2025, the Company has the following undrawn credit facilities in place: Demand Facility The Company has an undrawn $5,000 demand revolving credit facility (the "Demand Facility"), which is unchanged from December 31, 2024. Interest on the Demand Facility is payable monthly on amounts drawn and is based on either the lender's prime rate, US Base rate loans, Bankers' Acceptance rates, plus applicable margins. The Demand Facility is available to the Company for working capital purposes, and amounts drawn against it are recorded as long-term debt. The Company can repay, without penalty, advances under the facility. The Demand Facility is secured by a general security agreement on the assets of the Company, Pason Systems Corp., and Pason Systems USA Corp. ABL Facility The Company also has an undrawn asset based lending facility which was assumed through the IWS Acquisition (the "ABL Facility"). The ABL Facility allows the Company to borrow up to the lesser of $10,000, and a calculated amount based on eligible accounts receivable and cash outstanding at each reporting period. As at September 30, 2025, the available balance on the ABL Facility is $9,758. Interest on the ABL Facility is payable monthly on amounts drawn and is based on the lender's prime rate plus applicable margins. The ABL Facility is available to the Company for working capital purposes, and amounts drawn against it are recorded as long-term debt. The Company can repay, without penalty, advances under the facility. The ABL facility is secured by a general security agreement on the assets of Intelligent Wellhead Systems Inc., Intelligent Wellhead Systems Corp and IWS USA Corp. 10. Share Capital Common shares Nine Months Ended September 30, 2025 Year Ended December 31, 2024 ($) (#) ($) (#) Balance, beginning 167,801 79,426,065 163,291 79,685,025 Exercise of stock options 1,237 131,675 5,454 402,240 Shares repurchased and cancelled under NCIB (3,269) (1,535,500) (1,381) (661,200) Reversal of --- prior period liability for APP commitment pursuant to NCIB — — 437 — Balance, ending 165,769 78,022,240 167,801 79,426,065 At September 30, 2025, the Company was authorized to issue an unlimited number of common shares and an unlimited number of preferred shares, issuable in series. The holders of common shares are entitled to receive dividends, as declared at the discretion of the Board of Directors, and are entitled to one vote per share at meetings of the Company. All shares rank equally with regard to the Company’s residual assets. 7 Pason Systems Inc. 2025 Third Quarter Financial Statements Common share dividends For the three month period ended September 30, 2025, the Company declared and paid dividends of $10,118 (third quarter of 2024; $10,339) or $0.13 per common share (third quarter of 2024: $0.13). For the nine month period ended September 30, 2025, the Company declared and paid dividends of $30,605 (2024: $31,045) or $0.39 per common share (2024: $0.39). Normal Course Issuer Bid ("NCIB") On December 17, 2024, the Company announced the renewal of its NCIB commencing on December 20, 2024, and expiring on December 19, 2025. Under the renewed NCIB, the Company may purchase for cancellation, as the Company considers advisable, up to a maximum of 7,135,070 common shares, which represents approximately 10% of the applicable public float at the time of renewal. The actual number of common shares that may be purchased for cancellation and the timing of any such purchases will be determined by the Company, subject to a maximum daily purchase limitation of 36,288 common shares. The Company may make one block purchase per calendar week which exceeds the daily purchase restriction. For the three month period ended September 30, 2025, the Company repurchased 237,600 (third quarter of 2024 - 54,600) shares for cancellation for total cash consideration of $2,999 (third quarter of 2024 - $998). For the nine month period ended September 30, 2025, the Company repurchased 1,535,500 (2024 - 473,700) shares for cancellation for total cash consideration of $18,997 (2024 - $6,998). 8 Pason Systems Inc. 2025 Third Quarter Financial Statements 11. Stock-Based Compensation Stock option plan The Group has a stock option plan that entitles qualified employees to purchase common shares in the Company. Options, which are issued at market price vest over three years and expire after five years. The Company's outstanding stock options can be summarized as follows: Nine Months Ended September 30, 2025 Twelve Months Ended December 31, 2024 Share Options Weighted Average Exercise Price Share Options Weighted Average Exercise Price (#) ($) (#) ($) Outstanding, beginning 2,811,651 13.77 2,324,877 13.18 Granted — — 889,014 14.34 Exercised (131,675) 7.52 (402,240) 11.61 Expired or forfeited (23,867) 14.56 — — Outstanding, ending 2,656,109 14.07 2,811,651 13.77 Exercisable, ending 1,109,124 13.35 1,243,782 12.73 Available for grant, ending 2,805,448 2,748,174 Restricted share units plan RSUs vest over three years and upon vesting will entitle the holder to a cash payment based upon the corresponding market value of the Company’s common shares. The Company's outstanding RSUs can be summarized as follows: Nine Months Ended September 30, 2025 Twelve Months Ended December 31, 2024 (#) (#) RSUs, beginning 1,114,677 925,872 Granted — 655,750 Vested and paid — (455,707) Forfeited (25,374) (11,238) RSUs, ending 1,089,303 1,114,677 Deferred share units plan DSUs are awarded --- annually to members of the Board of Directors and represent cash settled rights to share values based on the number of DSUs outstanding. DSUs are credited evenly following the year in which they are awarded. DSUs vest and are paid upon the retirement of the Director. The Company's outstanding DSUs can be summarized as follows: Nine Months Ended September 30, 2025 Twelve Months Ended December 31, 2024 (#) (#) DSUs, beginning 405,496 443,634 Credited 59,316 80,168 Redeemed and paid (70,684) (118,306) DSUs, ending 394,128 405,496 9 Pason Systems Inc. 2025 Third Quarter Financial Statements Performance share units plan The Company has a PSU plan for Executive Officers of the Company. PSUs are awarded annually and the number of PSUs awarded shall be equal to one PSU for each $1.00 of grant value determined by the Board of Directors on such date. PSUs awarded vest at the end of the third anniversary date. Upon vesting, PSUs entitle the holder to receive a cash payment calculated based upon the number of PSUs vested and a multiplier which is based on the achievement of certain performance measures and objectives specified by the Board of Directors. The applicable multiplier can range from zero percent to 200 percent. The Company's outstanding PSUs can be summarized as follows: Nine Months Ended September 30, 2025 Twelve Months Ended December 31, 2024 (#) (#) PSUs, beginning 3,497,379 3,119,089 Granted — 1,374,233 Vested and paid — (995,943) PSUs, ending 3,497,379 3,497,379 Stock-based compensation expense and liability For the quarter ended September 30, 2025, the Company recorded $2,527 of stock-based compensation expense for its equity and cash settled plans (third quarter of 2024: $117 recovery). For the nine month period ended September 30, 2025, the Company recorded $7,348 of stock- based compensation expense for its equity and cash settled plans (2024: $7,528). As at September 30, 2025, the Company held $7,980 in current stock-based compensation liability and $7,780 in non-current stock-based compensation liability for its cash settled plans (as at December 31, 2024: $6,864 and $4,238, respectively). 12. Operating Segments The Company reports on four strategic business units: North American Drilling (Canada and the United States), International Drilling (Latin America, including Mexico, Offshore, the Eastern Hemisphere, and the Middle East) and Completions business units, all of which offer technology services to the oil and gas industry, and the Solar and Energy Storage business unit, which provides technology services to solar and energy storage developers. 10 Pason Systems Inc. 2025 Third Quarter Financial Statements Three Months Ended September 30, 2025 North American Drilling International Drilling Completions Solar and Energy Storage Total ($) ($) ($) ($) ($) Revenue 68,758 12,497 14,636 5,071 100,962 Operating expenses 19,646 6,223 8,189 5,313 39,371 Depreciation and amortization 6,912 1,050 7,639 79 15,680 Segment gross profit (loss) 42,200 5,224 (1,192) (321) 45,911 Research and development 13,770 Selling, general, and administrative 9,389 Stock-based compensation 2,527 Other (income) expenses 3,839 Income tax provision 4,545 Net income 11,841 Net income attributable to Pason 12,526 Capital expenditures 6,105 1,022 4,173 — 11,300 As at September 30, 2025 Property plant and equipment 118,023 14,779 62,844 1,783 197,429 Intangible assets 5,865 — 41,498 270 47,633 Goodwill 7,944 2,600 124,427 23,616 158,587 Segment assets 264,692 --- 73,478 220,134 33,649 591,953 Segment liabilities 80,138 7,124 3,573 17,688 108,523 Three Months Ended September 30, 2024 North American Drilling International Drilling Completions Solar and Energy Storage Total ($) ($) ($) ($) ($) Revenue 74,141 15,327 12,512 3,909 105,889 Operating expenses 20,867 6,986 7,068 3,476 38,397 Depreciation and amortization 7,771 740 5,143 5 13,659 Segment gross profit (loss) 45,503 7,601 301 428 53,833 Research and development 12,487 Selling, general, and administrative 11,090 Stock-based compensation (117) Other (income) expenses 508 Income tax provision 6,148 Net income 23,717 Net income attributable to Pason 24,158 Capital expenditures 7,531 161 7,502 — 15,194 As at September 30, 2024 Property plant and equipment 111,424 16,733 51,862 1,797 181,816 Intangible assets 1,552 — 51,591 887 54,030 Goodwill 7,703 2,600 122,080 22,900 155,283 Segment assets 265,230 76,471 210,715 34,442 586,858 Segment liabilities 88,106 6,342 5,269 14,471 114,188 11 Pason Systems Inc. 2025 Third Quarter Financial Statements Nine Months Ended September 30, 2025 North American Drilling International Drilling Completions Solar and Energy Storage Total ($) ($) ($) ($) ($) Revenue 207,009 40,100 45,994 17,452 310,555 Operating expenses 62,496 20,047 24,937 17,386 124,866 Depreciation and amortization 21,476 2,656 19,447 186 43,765 Segment gross profit (loss) 123,037 17,397 1,610 (120) 141,924 Research and development 41,208 Selling, general, and administrative 29,734 Stock-based compensation 7,348 Other (income) expenses 2,935 Income tax provision 17,204 Net income 43,495 Net income attributable to Pason 45,183 Capital expenditures 22,785 2,216 19,478 — 44,479 Nine Months Ended September 30, 2024 North American Drilling International Drilling Completions Solar and Energy Storage Total ($) ($) ($) ($) ($) Revenue 211,510 45,243 38,963 10,788 306,504 Operating expenses 66,689 19,751 21,434 10,173 118,047 Depreciation and amortization 20,837 2,807 14,631 15 38,290 Segment gross profit (loss) 123,984 22,685 2,898 600 150,167 Research and development 38,174 Selling, general, and administrative 31,266 Stock-based compensation 7,528 Other expenses (income) (51,178) Income tax provision 21,253 Net income 103,124 Net income attributable to Pason 104,577 Capital expenditures 31,244 983 21,371 — 53,598 13. Other (Income) Expenses Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024 ($) ($) ($) ($) Gain on previously held equity interest — — — (50,830) Net interest income (567) (803) (1,883) (2,736) Foreign exchange (gain) loss 3,352 (1,245) 2,008 (1,733) Equity investment (income) (74) (233) (545) (691) Other expenses 1,128 2,789 3,355 4,812 Total other (income) expenses 3,839 508 2,935 (51,178) Gain on previously held equity interest results from the Company obtaining control over IWS effective January 1, 2024 where the Company's previously held equity investment associated with IWS was remeasured to fair value, resulting in a gain of $50,830 on the derecognition of the $31,745 carrying value of this investment. 12 Pason Systems Inc. 2025 Third Quarter Financial Statements Net interest income is primarily comprised of interest generated from the Company's invested cash and cash equivalents and will fluctuate as average cash balances and available yields fluctuate. Net interest income also includes implicit interest expense on the Company's lease liabilities. Other expenses include transaction costs incurred on --- the common share acquisition of IWS, legal expenses incurred in connection with the Company's ongoing intellectual property litigation, as well as non-recurring severance related costs. The equity investment income results from the Company using the equity method of accounting to account for its investment in the Pason-Rawabi joint venture. Foreign exchange gain represents net realized and unrealized foreign exchange gains and losses on the Company's cash and cash equivalents, and working capital held in foreign currencies. 14. Income Per Share Basic income per share The calculation of basic income per share is based on the following weighted average number of common shares: Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024 (#) (#) (#) (#) Issued common shares outstanding, beginning 78,208,721 79,639,076 79,426,065 79,685,025 Effect of NCIB and exercised options (125,470) (13,475) (729,395) (98,263) Weighted average number of common shares (basic) 78,083,251 79,625,601 78,696,670 79,586,762 Diluted income per share The calculation of diluted income per share is based on a weighted average number of common shares outstanding after adjustment for the effects of all potential dilutive common shares calculated as follows: Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024 (#) (#) (#) (#) Weighted average number of common shares (basic) 78,083,251 79,625,601 78,696,670 79,586,762 Effect of share options 56,160 69,089 69,259 85,052 Weighted average number of common shares (diluted) 78,139,411 79,694,690 78,765,929 79,671,814 For the three month period ended September 30, 2025, 2,185,738 (third quarter of 2024 - 621,614) options are excluded from the above calculation as their effect would have been anti-dilutive. The average market value of the Company’s shares for purposes of calculating the dilutive effect of share options was based on quoted market prices during the period. 15. Commitments & Contingencies The Company is involved in litigation and disputes arising in the normal course of business. Management regularly evaluates the likelihood of potential liabilities being incurred and the amounts of such liabilities after careful examination of available information and discussions with its legal advisors. In May of 2023, a competitor filed a patent infringement lawsuit against IWS in the District of Colorado alleging IWS' infringement of two patents relating to certain aspects of continuous hydraulic fracturing. Given the stage of the lawsuit, management is not currently able to estimate the 13 Pason Systems Inc. 2025 Third Quarter Financial Statements extent of potential costs and losses related to this claim, if any. Consequently, no provision has been recorded in the Company’s Condensed Consolidated Interim Financial Statements related to this litigation. The Company does not currently believe the outcome of any pending or threatened proceedings related to this patent litigation is probable to result in IWS being required to pay any amounts which would have a material adverse impact on its financial position, results of operations, or liquidity. 16. Approval of Financial Statements These unaudited Condensed Consolidated Interim Financial Statements were approved by the Board of Directors on November 6, 2025. 17. Events After the Reporting Period On November 6, 2025, the Company declared a quarterly dividend of $0.13 per share on the Company’s common shares. The divid --- end will be paid on December 31, 2025 to shareholders of record at the close of business on December 17, 2025. 14 Pason Systems Inc. 2025 Third Quarter Financial Statements Corporate Information Directors Officers & Key Personnel Corporate Head Office Marcel Kessler(1) Jon Faber Pason Systems Inc. Independent Business Advisor President 6130 Third Street SE British Columbia, Canada & Chief Executive Officer Calgary, Alberta T2H 1K4 Jon Faber Celine Boston T: 403-301-3400 President & CEO Chief Financial Officer F: 403-301-3499 Pason Systems Inc. [email protected] Alberta, Canada Kevin Boston www.pason.com Vice President, Commercial Laura Schwinn(4)(7)(8) Auditors Independent Business Advisor Craig Bye Maryland, USA Vice President, R&D - Cloud Platforms and Applications Deloitte LLP Calgary, Alberta Ken Mullen(2)(5) Director Natalie Fenez Banker Melamaken Adventures Inc. Vice President, Legal & Corporate Secretary Alberta, Canada Royal Bank of Canada Calgary, Alberta Sophia Langlois(3)(6) Heather Hantos Independent Business Advisor Vice President, Human Resources Registrar and Transfer Agent Alberta, Canada Bryce McLean Computershare Trust Company of Canada James Bowzer(3)(5)(7) Vice President, Operations Independent Business Advisor Calgary, Alberta Colorado, USA Lars Olesen Vice President, Product & Technology Stock Trading Russell Smith Toronto Stock Exchange Vice President, International Trading Symbol: PSI.TO Ryan Van Beurden OTC Markets Group Vice President, Rig-site Research & Development Trading Symbol: PSYTF Eligible Dividend Designation Pursuant to the Canadian Income Tax Act, dividends paid by the Company to Canadian residents are considered to be “eligible” dividends. (1) Chair of the Board (2) Audit Committee Chair (3) Audit Committee Member (4) HR and Compensation Committee Chair (5) HR and Compensation Committee Member (6) Corporate Governance and Nominations Committee Chair (7) Corporate Governance and Nomination Committee Member (8) Lead Director 15 Pason Systems Inc. 2025 Third Quarter Financial Statements