Sharc Energy Announces Q3 2025 Financial Results

Executive Summary

• SHARC Energy reported Q3 2025 revenue of C$0.83 M and nine‑month revenue of C$2.69 M, a 15% increase YoY, with improved gross margins (39% Q3, 38% YTD).
• The company posted a Q3 loss of C$0.74 M (Adjusted EBITDA loss C$0.5 M) and a YTD loss of C$2.47 M (Adjusted EBITDA loss C$1.53 M), showing modest improvement versus the prior year.
• Closed a non‑brokered private placement of unsecured convertible debentures for C$1.57 M and appointed Fred Andriano as Chairman of the Board.

Key Details

• Revenue:
• Q3 2025: C$0.83 M (↑6% vs Q3 2024).
• YTD 2025: C$2.69 M (↑15% vs YTD 2024).
• Losses:
• Q3 2025 net loss C$0.74 M; Adjusted EBITDA loss C$0.5 M (12% and 22% improvements YoY).
• YTD 2025 net loss C$2.47 M; Adjusted EBITDA loss C$1.53 M (7% increase in loss but 7% EBITDA improvement YoY).
• Gross Margins: Q3 2025 – 39%; YTD 2025 – 38% (up from 32% and 37% respectively in 2024).
• Sales Pipeline & Backlog (as of Dec 1 2025):
• Sales Pipeline: C$16.6 M (≈ +1% vs Aug 29 2025).
• Sales Order Backlog: C$3.4 M (‑7% vs Aug 29 2025; represents a 58% improvement over Dec 31 2024 revenue of C$2.17 M).
• Operational Highlights:
• SHARC WET system shipped to Senáw District Energy project (Q2 2025).
• Two SHARC‑880 WET systems shipped to a U.S. government‑affiliated project (details pending).
• Two SHARC‑880 WET systems slated for Ottawa’s Lebreton Flats district energy project; delivery expected 2026.
• Completed milestones on the False Creek NEU expansion agreement with City of Vancouver (milestones finished by Mar 31 2025).
• Granted U.S. and European patents for SHARC wastewater heat exchange system, protected through 2042‑2043; additional filings pending in multiple jurisdictions.
• Financing: Closed a non‑brokered private placement of unsecured convertible debentures – principal amount C$1,570,000.
• Board Change: Fred Andriano appointed Chairman (effective May 5 2025); Lynn Mueller moved to Vice Chair; Eleanor Chiu retired/resigned.

Notable Quotes

• “2025 marks a turning point for SHARC Energy… we are on a clear trajectory to exceed $3 million by year‑end, surpassing every prior revenue milestone in the Company’s history.” – Michael Albertson, CEO & President
• “Our Sales Order Backlog continues to evolve… large‑scale district energy projects currently in final negotiation represent an entirely new tier of opportunity for SHARC Energy.” – Michael Albertson

All figures are presented in Canadian dollars and are unaudited.