Maxim Power Corp. Announces 2025 Fourth Quarter Financial and Operating Results

Executive Summary

• Maxim Power Corp. reported Q4 2025 revenue of C$17.97 M and net income of C$2.42 M (C$0.04 per share), down from the prior year’s C$24.05 M revenue and a loss of C$(0.01) per share.
• Adjusted EBITDA fell 20% YoY to C$6.0 M for Q4 and C$28.8 M for the full year, driven by lower generation volumes (planned maintenance outage) and reduced realized power prices.
• The company entered a reservation agreement with GE Vernova for a 7HA.02 gas turbine for its Prairie Lights Power Project, securing a manufacturing slot with a non‑refundable deposit due in 2026 and anticipating up to C$60 M of project spending in 2026.

Key Details

• Financial Highlights – Q4 2025 vs. Q4 2024
• Revenue: C$17,966 k ↓ from C$24,048 k.
• Net income: C$2,422 k ↑ from a loss of C$(341) k.
• Basic EPS: C$0.04 ↑ from (C$0.01).
• Adjusted EBITDA: C$6,007 k ↓ from C$5,647 k (quarterly); full‑year C$28,813 k ↓ from C$38,531 k.
• Total generation: 312,769 MWh ↓ from 425,486 MWh.

• Average realized power price: $57.44/MWh ↓ from $56.52/MWh; average market price fell to $43.27/MWh from $51.52/MWh.

• Operating Results – Full Year 2025 vs. 2024

• Net income decreased to C$16.7 M from C$21.9 M.
• Adjusted EBITDA declined to C$28.8 M from C$38.5 M.

• Decline attributed to planned Q4 maintenance outage, lower generation volumes, and reduced realized power price; partially offset by unrealized losses on commodity swaps and lower financing expenses.

• Prairie Lights Power Project

• Reservation Agreement with GE Vernova (Feb 9 2026) for a 7HA.02 gas turbine & generator package, target delivery by 2030.
• Non‑refundable deposit payable in 2026; deposit will be credited toward final purchase price.
• Project spending anticipated up to C$60 M in 2026.

• Regulatory permit amendment expected to be routine due to turbine model change.

• Claims & Insurance

• Settlement of portion of third‑party fire claim (Nov 24 2025) – net settlement received: C$6.5 M.
• Ongoing pursuit of remaining claims; total insurance coverage for other parties equals the settled amount, but timing/amount of further compensation is uncertain.

• Additional construction delay claim disputed in arbitration; dispute amount increased from C$25.0 M to C$32.0 M.

• Non‑GAAP Measures

• Adjusted EBITDA excludes unrealized commodity swap gains/losses, share‑based compensation, and other non‑recurring items (except settlement proceeds).

• Free cash flow for Q4 2025: C$2.454 M (vs. a negative C$(1.016) M in Q4 2024); full‑year FCF C$17.521 M vs. C$28.763 M prior year.

• Liquidity

• Total net debt (net cash) improved to a cash position of C$56.9 M from C$30.1 M the previous year.

Notable Quotes

• Bob Emmott, President and CEO: “We remain focused on delivering value through our core generation assets while advancing Prairie Lights toward commercial operation. The settlement of a portion of our fire claim provides additional liquidity as we continue to pursue remaining recoveries.”

Materiality Assessment: Material – Neutral (the release contains full quarterly financial results, significant project financing commitments, and material claim settlements that are likely to influence investor decisions).