Aluula Composites estimates Q4 sales of $2.9-million

Executive Summary

• Aluula Composites Inc. reported record preliminary unaudited fourth quarter 2025 sales of approximately $2.9 million, marking its strongest quarter to date with sequential revenue growth accelerating through the year (25% Q1-Q2, 35% Q2-Q3, 37% Q3-Q4).
• The company holds a robust pipeline of binding purchase agreements totaling over $6 million scheduled for fulfillment in fiscal 2026, with additional sales orders pending fulfillment exceeding $5 million since October 31, 2025.
• To address capacity constraints that limited Q4 performance, Aluula plans to seek additional financing in early 2026 via a mix of equity, debt, and non-dilutive options to scale manufacturing capacity for wind power, defense, and outdoor markets.

Key Details

• Q4 2025 Revenue: Preliminary unaudited sales of approximately $2.9 million.
• Revenue Growth Trajectory:
  • Q2 2025: +25% sequential increase over Q1 2025.
  • Q3 2025: +35% sequential increase over Q2 2025.
  • Q4 2025: +37% sequential increase over Q3 2025.
• Pipeline & Backlog:
  • Binding purchase agreements for fiscal 2026: >$6 million.
  • Sales orders pending fulfillment (since Oct 31, 2025): >$5 million.
• Margins: Fiscal 2025 gross margins expected to be within the 40% to 45% target range.
• Capacity Constraints: Q4 performance tested current production limits; capacity investments are not expected to be completed by Q1 2026, potentially constraining near-term order fulfillment.
• Financing Strategy: Exploring equity, debt, and non-dilutive funding options in early 2026 to expand manufacturing capacity.
• Target Markets: Wind power, defense shelters, and premium outdoor markets.
• Audited Financials: Company expects to file complete audited annual financial statements and MD&A in February 2026 on SEDAR+.

Notable Quotes

• "We are delivering exactly what we set out to do, and our preliminary unaudited Q4 revenue combined with a strong pipeline of binding sales orders are clear proof of this execution and demand. To build on this momentum, we need to scale and we are exploring funding avenues to expand in line with our business plan." — Sage Berryman, CEO and President