Decisive Dividend Corporation Reports Financial Results for the Three and Nine Months Ended September 30, 2026

KELOWNA, BC, Nov. 4, 2026 /CNW/ — Decisive Dividend Corporation (TSXV: DE) (the “Company” or “Decisive”) today reported its financial results for the three and nine months ended September 30, 2026.

Highlights of the Company’s performance in Q3 2026 include the following:

• Increased consolidated sales 20% to $40.8 million in Q3 2026 relative to Q3 2025. The increase was driven by organic growth of 18% in hearth, 14% in agriculture, 67% in merchandising and 10% in industrial product sales along with sales from companies acquired in the last year (Be Fire and Venger).
• Generated $6.0 million in Adjusted EBITDA* in Q3 2026, an increase of 3% relative to Q3 2025. Adjusted EBITDA increased at a lower rate than sales due to changes in product mix, inflationary increases in manufacturing costs, and increased operating costs related to the increase in overall sales and scale, and investments made in sales capabilities and succession planning.  
• Generated Free Cash Flow less Maintenance Capital* of $3.0 million in Q3 2026, a 6% increase relative to Q3 2025, due primarily to the increase in Adjusted EBITDA*. The trailing twelve-month dividend payout ratio of 83% at the end of Q3 2026 remained consistent with the trailing twelve-month dividend payout ratio in Q2 2026.
• Exited the quarter with $40.9 million in available liquidity under its credit facility and the September 30, 2026 debt to EBITDA ratio of 3.4 times remains below the expanded covenant threshold of 4.0 times even while making a sizable investment in working capital to support sales growth during Q3 2026.

Selected Financial Information:

The following is selected financial information of Decisive for the three and nine months ended September 30, 2026. All amounts are expressed in Canadian dollars. The Company’s Unaudited – interim condensed consolidated financial statements as well as its management’s discussion and analysis (“MD&A”) are posted on SEDAR+ at www.sedarplus.ca and on Decisive’s website (www.decisivedividend.com).

Third quarter 2026 sales represents the second highest sales quarter in the Company’s history. The 20% growth in sales in Q3 2026 compared to Q3 2025 and the 7% growth in the first nine months of the year compared to the same period in 2025, was a result of both organic efforts in hearth, agriculture, merchandising, and wear parts, and the contributions from the businesses Decisive has acquired in the last year (Be Fire and Venger, specifically). Investments have been made by Decisive’s subsidiaries to support this growth, including hiring of additional sales personnel and increasing facility capacity, which resulted in meaningful increases in sales from existing customers, new customers, and sales in new geographies. These investments, while boosting sales and undertaken to strengthen the future position of the organization, including with respect to acquisition costs and succession planning, have resulted in additional operational expenditures. While the benefit of certain of these investments will be realized over time, other investments made have not yielded sufficient returns and as a result, management is taking steps to reduce the cost structure in certain of its businesses in order to improve the returns on the investments made in the last several quarters.

Jeff Schellenberg, Chief Executive Officer of Decisive, noted:

“We were pleased with the strength of revenue growth in the quarter that resulted from contributions from across most of Decisive’s operating segments with strong organic growth within Decisive’s subsidiaries as well as strong contributions from Decisive’s recent acquisitions. Quarterly gross margin and Adjusted EBITDA growth lagged revenue growth, impacted by inflationary cost increases as well as the additional cost burden of investments made in the businesses. As a result, steps are being taken to enhance profitability to see more of the strong revenue growth we are experiencing drop to the bottom line. The dividend payout ratio remains consistent with our previous quarter and, we believe, will see improvement on the back of continued revenue strength in our businesses and expected enhancements in profitability consistent with the efforts being undertaken. Included in these efforts are some organizational changes we made in the quarter. Specifically, we anticipate that the promotion of Mark Burleigh, who has demonstrated great strength in enhancing subsidiary profitability at Northside, into the COO role at Decisive and the steps we are taking to enhance the proprietary M&A opportunity capabilities of Decisive, will support further return enhancing growth at Decisive via organic contribution and M&A.”

Q3 2026 Results:

• Sales for the third quarter increased 20% to $40.8 million from $34.0 million in Q3 2025. The Finished Product segment drove the overall improvement with a 33% sales increase which more than offset a 1% decline in Component Manufacturing segment sales in the quarter relative to Q3 2025. The overall sales increase in Q3 2026 compared to Q3 2025 was driven by increases in hearth, agriculture, merchandising, and industrial product sales. Hearth product sales increased $2.9 million in the quarter compared to Q3 2025, with 18% of that increase a result of organic sales growth from Blaze King and ACR and the remainder generated by Be Fire in its first full quarter post-acquisition. A 14% increase in agricultural product sales in the quarter relative to Q3 2025 was driven by increases in both Slimline’s Turbo-Mist sprayer sales and IHT heating mat sales. Merchandising product sales increased by 80% in the quarter compared to Q3 2025, as lead generation activity over the last number of months resulted in strong sales in Q3 2026, with 67% of the increase driven by organic growth at Marketing Impact and 33% of the increase driven by the results of the Venger, which was acquired in August 2025. Industrial product sales increases of 10% were driven primarily by increased demand from a commercial vehicle customer Northside onboarded in 2025. Offsetting these increases, wear parts sales (Unicast, Procore and Techbelt) declined 17% in the quarter.
• Consolidated gross profit increased 13% to $15.1 million from $13.4 million in Q3 2025, based primarily on the increase in sales. Gross profit percentages declined by 2 percentage points to 37% in Q3 2026 compared to 39% in Q3 2025. The decline in gross profit percentages was a result of changes in product mix, including the increase in lower margin merchandising product sales, and inflationary increases in manufacturing costs.
• Consolidated Adjusted EBITDA* increased 3% to $6.0 million from $5.8 million in Q3 2025, driven primarily by the increase in sales and gross profit described above.
• Consolidated net profit in the quarter was $0.2 million, or $0.01 per share, compared to net profit of $0.8 million, or $0.04 per share, in Q3 2025. The decrease was impacted by increases in operating expenses due primarily to the increase in overall sales and scale, investments made through acquisition costs, sales capabilities, and succession planning, as well as the $0.4 million decrease in net profit driven by the impact of foreign exchange losses in Q3 2026, compared to foreign exchange gains in Q3 2025.
• Consolidated free cash flow less maintenance capital* increased 6% to $3.0 million from $2.8 million in Q3 2025. The increase in free cash flow less maintenance capital* relative to Q3 2025, was primarily a result of the increase in Adjusted EBITDA*, as a decrease in current income tax expense was offset by an increase in interest paid and an increase in lease payments for operating premises relative to Q3 2025.

2026 Year-to-Date Results:

• Sales in the first nine months of 2026 increased by 7% to $117.2 million from $109.4 million in the first nine months of 2025. The overall sales increase in the first nine months of 2026 was driven by a 15% increase in Finished Product segment sales which more than offset a decline in Component Manufacturing segment sales of 6%, compared to the first nine months of 2025. The overall year-over-year sales increase was driven by increases in hearth, agriculture, merchandising and wear part product sales. Merchandising product sales increased 47% in the first nine months of 2026 compared to the same period in 2025 driven by strong Q2 and Q3 sales at Venger, which was acquired in August 2025, and a 19% increase in sales at Marketing Impact. Agricultural product sales increased 18% in the first nine months of 2026, with both Slimline and IHT experiencing improved demand compared to the same period in 2025. Hearth product sales increased 23% in the first nine months of 2026 relative to the first nine months of 2025, with 27% of that increase a result of organic sales growth from Blaze King and ACR and the remainder generated by Be Fire post-acquisition. The 9% increase in wear parts sales was driven by increased sales of Unicast’s cast steel products, including the fulfilment of a significant order for a mining customer in the first quarter of 2026. Offsetting these increases were industrial product sales declines of 15% which impacted sales in both reporting segments. Industrial product sales declines were a result of the comparative impact of a large wastewater evaporator sale by Slimline in 2025 as well as demand declines from one of Northside’s commercial vehicle customers, one of Hawk’s key oil and gas customers and a joint oil and gas customer of Hawk, Capital I and Unicast, each of which had driven strong activity levels in the first half of 2025 before challenging economic conditions began curtailing demand from these three customers in Q3 2025.
• Consolidated gross profit increased 5% to $43.8 million from $41.7 million in the first nine months of 2025, driven primarily by increased sales. Consolidated gross profit percentages declined by 1 percentage point to 37% in the first nine months of 2026 compared to 38% in the same periods in 2025. The decline in gross profit percentages was a result of changes in product mix, including the increase in lower margin merchandising product sales, and inflationary increases in manufacturing costs.
• Consolidated Adjusted EBITDA* decreased 2% to $17.8 million relative to the first nine months of 2025. The decrease was impacted by the decline in gross profit percentages and increased operating costs due primarily to the increase in overall sales and scale, and investments in sales capabilities and succession planning.
• Consolidated net profit was $0.8 million, or $0.04 per share, a decrease of $3.0 million, or $0.15 per share compared to the first nine months of 2025. The decrease in net profit in the first nine months of 2026 was impacted by the decline in gross profit percentages and increased operating costs described above, increased acquisition costs, a $0.2 million decrease in net profit driven by the impact of foreign exchange losses in 2026, compared to foreign exchange gains in 2025, as well as the comparative impact of a 2025 $1.7 million gain on the insurance settlement to replace assets lost in a 2024 fire at Northside.
• Consolidated free cash flow less maintenance capital* decreased 1% to $9.1 million relative to 2025, due primarily to the decrease in Adjusted EBITDA*, as increases in interest paid and lease payments for operating premises were offset by decreases in current income tax expense.

Conference Call

Decisive will host a conference call for interested parties to discuss the Company’s Q3 2026 results. The call will be hosted by Jeff Schellenberg, Decisive’s Chief Executive Officer and Rick Torriero, Chief Financial Officer.

Details for those who wish to participate in this conference call are as follows:

Conference Call Details:

Thursday, November 5, 2026, at 8:00am Pacific Time / 10:00am Eastern Time

(please call 10 minutes ahead of time)

Participant Information:

To join the conference call without operator assistance, you may register and enter your phone number at https://emportal.ink/4zy28Dn to receive an instant automated call back.

You can also dial direct to be entered into the call by an operator:

Dial in number – North America (toll free): 1-888-510-2154

Dial in number – United Kingdom (toll free): 0800 279 7040

Dial in number – International: +1-437-900-0527

Replay Information (replay available until November 12, 2026):

Replay number – North America (toll free): 1-888-660-6345

Replay number – International: +1-289-819-1450

Replay access code 65403#

About Decisive Dividend Corporation

Decisive Dividend Corporation is an acquisition-oriented company, focused on opportunities in manufacturing. The Company’s purpose is to be the sought-out choice for exiting legacy-minded business owners, while supporting the long-term success of the businesses acquired, and through that, creating sustainable and growing shareholder returns. The Company uses a disciplined acquisition strategy to identify already profitable, well-established, high quality manufacturing companies that have a sustainable competitive advantage, a focus on non-discretionary products, steady cash flows, growth potential and established, strong leadership.

For more information on Decisive, or to sign up for email notifications of Company press releases, please visit www.decisivedividend.com.

Cautionary Statements

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Non-IFRS Financial Measures

In this press release, reference is made to “Adjusted EBITDA”, “Free Cash Flow”, “Growth Capital Expenditures”, “Maintenance Capital Expenditures” and “Dividend Payout Ratio”, which are not recognized financial measures under IFRS Accounting Standards, but are believed to be meaningful in the assessment of the Company’s performance as defined below.

“Adjusted EBITDA” is defined as earnings before finance costs, income taxes, depreciation, amortization, foreign exchange gains or losses, other non-cash items such as gains or losses recognized on the fair value of contingent consideration items, asset impairment, share-based compensation, and restructuring costs, and other non-operating items such as acquisition costs.

Adjusted EBITDA is a financial performance measure that management believes is useful for investors to analyze the results of the Company’s operating activities prior to consideration of how those activities are financed and the impact of non-operating charges related to planned or completed acquisitions, foreign exchange, taxation, depreciation, amortization, and impairment charges.

The most directly comparable financial measure is profit or loss. Adjusted EBITDA per share is also presented, which is calculated by dividing Adjusted EBITDA, as defined above, by the weighted average number of shares outstanding during the period.

“Free Cash Flow” is defined as cash provided by operating activities, as defined by IFRS Accounting Standards, adjusted for changes in non-cash working capital, timing considerations between current income tax expense and income taxes paid, interest payments, required principal payments on long-term debt and right of use lease liabilities, and any unusual non-operating one-time items such as acquisition and restructuring costs (as described above).

Free Cash Flow is a financial performance measure used by management to analyze the cash generated from operations before the impact of changes in working capital items or other unusual items and after giving effect to expected income taxes thereon, as well as required interest and principal payments on long-term debt and right of use lease liabilities.

The most directly comparable financial measure is cash provided by operating activities. Adjustments made to cash provided by operating activities in the calculation of Free Cash Flow include other IFRS Accounting Standards measures, including changes in non-cash working capital, current income tax expense, income taxes paid, interest paid, and principal payments on long-term debt and right of use lease liabilities.

Free Cash Flow per share is also presented, which is calculated by dividing Free Cash Flow, as defined above, by the weighted average number of shares outstanding during the period.

“Free Cash Flow Less Maintenance Capital” is defined as Free Cash Flow, as defined above, less Maintenance Capital Expenditures, as defined below. Free Cash Flow Less Maintenance Capital is a financial performance measure used by management to analyze the cash generated from operations before the impact of changes in working capital items or other unusual items and after giving effect to expected income taxes thereon, as well as required interest and principal payments on long-term debt and right of use lease liabilities, and capital expenditures required to sustain the current operations of the Company.

The Company presents Free Cash Flow Less Maintenance Capital Expenditures per share, which is calculated by dividing Free Cash Flow Less Maintenance Capital, as defined above, by the weighted average number of shares outstanding during the period.

“Growth and Maintenance Capital Expenditures” maintenance capital expenditures are defined as capital expenditures required to maintain the operations of the Group at the current level and are net of proceeds from the sale of property and equipment. Growth capital expenditures are defined as capital expenditures that are expected to generate incremental cash inflows and are not considered by management in determining the cash flows required to sustain the current operations of the Company. While there are no comparable IFRS Accounting Standards measures for Maintenance Capital Expenditures or Growth Capital Expenditures, the total of Maintenance Capital Expenditures and Growth Capital Expenditures is equivalent to the total purchases of property and equipment, net of proceeds from the sale of property and equipment, on the Company’s statement of cash flows.

“Dividend Payout Ratio” the Company presents a dividend payout ratio, which is calculated by dividing dividends declared by the Company by Free Cash Flow Less Maintenance Capital, as defined above. The Dividend Payout Ratio is a financial ratio used by management to analyze the percentage of cash generated from operations, before the impact of changes in working capital items or other unusual items and after giving effect to expected income taxes thereon, as well as required interest and principal payments on long-term debt and right of use lease liabilities, and capital expenditures required to sustain the current operations of the Company, returned to shareholders as dividends. Dividend Payout Ratio is analyzed on a trailing twelve-month basis in order to reduce the impact of seasonality on the analysis. 

While the above Non-IFRS financial measures are used by management to assess the historical financial performance of the Company, readers are cautioned that:

• Non-IFRS financial measures, such as Adjusted EBITDA, Free Cash Flow, Growth Capital Expenditures, Maintenance Capital Expenditures and Dividend Payout Ratio, are not recognized financial measures under IFRS Accounting Standards;
• The Company’s method of calculating Non-IFRS financial measures may differ from that of other corporations or entities and therefore may not be directly comparable to measures utilized by other corporations or entities;
• Non-IFRS financial measures should not be viewed as an alternative to measures that are recognized under IFRS such as profit or loss or cash provided by operating activities; and
• A reader should not place undue reliance on any Non-IFRS financial measures.

Set forth below are reconciliations of Non-IFRS financial measures to their most relevant IFRS Accounting Standards measures.

Adjusted EBITDA

Free Cash Flow and Free Cash Flow Less Maintenance Capital

Free Cash Flow Less Maintenance Capital and Dividend Payout Ratio

Forward-Looking Statements

Certain statements contained in this press release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words “believes”, “expects”, “could”, “will”, “may”, “intends”, “projects”, “anticipates”, “plans”, “estimates”, “continues” and similar words or the negative and grammatical variations thereof and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on management’s current beliefs, assumptions and expectations as to the outcome and timing of such future events. Actual future results may differ materially. In particular, this press release contains forward-looking information relating to the future prospects of the Company and its operating subsidiaries, demand levels, demand from customers, the timing of product sales and/or deliveries under existing customer contracts or orders received from customers, and potential future acquisitions. Forward-looking statements are necessarily based upon a number of expectations or assumptions that, while considered reasonable by management at the time the statements are made, are inherently subject to significant business, economic and competitive risks, uncertainties and contingencies, many of which are beyond the Company’s control and many of which are subject to change. Readers are cautioned to not place undue reliance on forward-looking statements which only speak as to the date they are made. Although management believes that the expectations and assumptions underlying such forward-looking statements are reasonable, there can be no assurance that such expectations or assumptions will prove to be correct. A number of risk factors could cause actual future results, performance, achievements and developments of the Company to differ materially from anticipated results, performance, achievements and developments expressed or implied by such forward-looking statements. Such risk factors include, but are not limited to: (i) operational risks, including risks related to acquisitions; dependence on customers, distributors and strategic relationships; supply and cost of raw materials and purchased parts; operational performance and growth; implementation of the growth strategy; product liability and warranty claims; litigation; reliance on technology, intellectual property, and information systems; (ii) financial risks, including risks relating to the availability of future financing; interest rates and debt financing; income tax matters; foreign exchange; capital allocation including dividends; trading volatility of common shares; dilution risk; valuation risk; insurance adequacy (iii) external risks, including risks relating to general economic and geopolitical conditions; industry specific conditions; government regulation (including trade restrictions and tariffs); pandemics; competition; environmental regulation; access to capital; market trends and innovation; commodity prices; climate risk; public perception or brand event; and (iv) human capital risks, including reliance on management and key personnel; employee and labour relations; conflicts of interest; quality of leadership and succession; culture misalignment; workforce skills gap; and talent retention and attraction, all as more particularly described in the most recent annual MD&A of the Company available on the Company’s profile at www.sedarplus.ca. There can also be no assurance as to the future financial performance of the Company or that the board of directors of the Company will declare or pay any dividends in the future or, if dividends are declared and paid, there can be no assurance as to the frequency or amount of such dividends. The Company cautions the reader that the risk factors referenced above are not exhaustive. The forward-looking information contained in this release is made as of the date hereof and the Company is not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward-looking information. The foregoing statements expressly qualify any forward-looking information contained herein.

SOURCE Decisive Dividend Corporation