Beyond Oil Reports Financial Results for First Quarter 2026

• Financial Performance: Q1 2026 revenue reached $1.255 million, a 24% year-over-year increase from $1.011 million in Q1 2025. Gross profit margin improved to 53.1%. Net loss narrowed significantly to $1.863 million compared to $11.008 million in the prior year period, largely due to a $9.125 million non-cash finance expense in the previous year.
• Operational Milestones: The company achieved cumulative sales of $6 million on April 6, 2026, triggering the issuance of approximately 4.88 million common shares to original shareholders.
• Commercial Expansion: Announced entry into the U.S. supermarket segment with a top-tier brand (expanding from pilot to dozens of locations). Approved as a vendor for a premium casual dining chain and commenced distribution with Sysco Los Angeles. Commenced commercial sales with a medium-sized fast-food chain across three franchisees in three states.
• Liquidity: Cash, cash equivalents, and short-term deposits stood at $6.449 million. Current ratio is approximately 6.9x ($12.173 million current assets vs. $1.758 million current liabilities).
• Management Commentary: CEO Jonathan Or stated Q1 marked a transition from pilot activity to structured commercial rollouts, expecting financial impact to build over coming quarters with acceleration in the second half of 2026.

• Execution vs. Expectations: The news confirms the $6 million cumulative sales milestone previously flagged in the FY25 earnings release (April 7, 2026). This validates management's ability to meet contractual revenue targets but results in significant share dilution (~4.88M shares issued).
• Growth Trajectory: While revenue is positive ($1.255M), the growth rate has decelerated significantly compared to previous quarters (Q3 2025 saw +779% YoY; Q4 2025 saw +288% YoY). The current 24% YoY increase suggests a normalization of growth rather than explosive expansion.
• Profitability: Despite the reduction in net loss, the company remains unprofitable on an operating basis ($1.863M net loss vs $1.255M revenue). The improvement is heavily influenced by non-cash items from the prior year, masking underlying operational cash burn.
• Capital Needs: With operating expenses at $2.733 million for the quarter against $1.255 million in revenue, the company is burning approximately $1.48 million per quarter in operations before interest/taxes. Cash reserves of $6.449 million provide roughly 4 quarters of runway without new financing.
• Market Reaction: The news is largely priced in given the prior announcement of the milestone trigger and expansion plans. It does not introduce a fundamental change to the investment thesis but confirms execution risks are being managed.

• Company: Beyond Oil Ltd. (TSX: BOIL).
• Flagship Project: Patented technology to reduce harmful compounds in reused frying oil using filtration powder.
• Value Proposition: Mitigates health risks (cardiovascular disease), reduces operational costs, and lowers environmental impact for commercial kitchens.
• Regulatory Status: Technology holds FDA and Health Canada clearances.
• Business Model: Direct sales and distribution partnerships in foodservice sectors (restaurants, hotels, supermarkets).