Legend Power Systems Reports Q3 F2025 Financial Results

Executive Summary

• Legend Power Systems Inc. reported financial results for the third quarter of fiscal 2025 (ended June 30, 2025), showing a significant decline in revenue and an increase in net losses compared to the same period in the prior year.
• The company highlighted a strong backlog and recent operational wins, including a repeat order for eight SmartGATE systems and a new order from the City of New York Public School System, while noting that lower revenue was due to deal timing rather than demand.
• Subsequent to the quarter, the company received outstanding receivables and extended the expiry dates of 12.86 million common share purchase warrants by one year, with TSX Venture Exchange consent.

Key Details

• Q3 Fiscal 2025 Financial Performance:
  • Revenue: $385,354 CAD (down 63% from $1,042,412 CAD in Q3 F2024).
  • Gross Margin: $93,064 CAD (down 82% from $520,138 CAD; margin percentage dropped to 24% from 50%).
  • Operating Expenses: $927,839 CAD (down 7% from $999,539 CAD, attributed to cost-cutting measures).
  • Net Loss: $837,615 CAD (an increase of 74% from the $482,386 CAD loss in Q3 F2024).
  • Nine Months Ended June 30, 2025: Revenue of $989,768 CAD (down 15%); Net loss of $2,810,359 CAD (up 14%).
• Balance Sheet Position (as of June 30, 2025):
  • Cash: $215,000 CAD.
  • Debt: None.
  • Working Capital: $156,000 CAD.
• Operational Updates:
  • Backlog: CEO Randy Buchamer stated the backlog is one of the strongest in company history, with multiple late-stage opportunities in commercial real estate, education, government, and military sectors.
  • New Orders: An existing customer placed a repeat order for eight additional SmartGATE systems; the City of New York Public School System placed its first SmartGATE order.
  • Pipeline: Engaged by several large international airports to assess power challenges.
  • GSA MAS: Progress being made in obtaining a GSA Multiple Award Schedule contract.
• Subsequent Events:
  • Received $213,638 CAD in outstanding trades receivables and deposits from sales orders.
  • Extended the expiry of 12,861,553 common share purchase warrants (exercise price $0.25) originally issued in July and August 2023.
  • New expiry dates set for July 31, 2026, and August 22, 2026, with consent from the TSX Venture Exchange.

Notable Quotes

• "The third quarter of 2025 reflected lower revenue due to deal timing, not demand, as our backlog is one of the strongest in the company's history and we expect a significant portion of these systems to be fulfilled this year," said Randy Buchamer, CEO.
• "We are sitting on multiple late-stage opportunities across commercial real estate, education, government, and military that, once closed, have the potential to meaningfully impact the Company... We are entering a period where momentum can compound quickly, and we fully expect to announce significant wins before year-end that validate Legend as a scaled, repeatable growth story."