Enablence Technologies Announces Fourth Quarter and Fiscal Year 2026 Financial Results

Ottawa, Ontario–(Newsfile Corp. – October 22, 2026) – Enablence Technologies Inc. (TSXV: ENA) (“Enablence” or the “Company”), a leading provider of optical chips and subsystems that perform communications, sensing and computing for datacom, telecom, automotive and artificial intelligence (AI) applications today reported results for its Fourth quarter and Fiscal year ended June 30, 2026. The company has filed its audited financial statements and related management discussion and analysis and certifications (collectively, the “Financial Statements”), which are available on SEDAR (www.sedarplus.ca)

Commenting on the Company’s Fiscal Year 2026 financial results, Enablence CEO, Todd Haugen said, “I am pleased to report that our Company made significant progress in Fiscal Year 2026 with strong top-line revenue growth and substantial improvement in overall operating performance. Gross margin improvements continued with the Company reporting two consecutive quarters of positive gross margin, while top line momentum was driven by the production ramp of our Fremont fab and the qualification of our second production facility in Vietnam. We expect to see continued improvement in yield and efficiency at both facilities, driving increased production volumes in Fiscal Year 2027 and beyond.”

“We finished the year with strong demand and healthy order books across our three businesses: optical communications, optical sensing and optical computing. Global AI infrastructure builds are driving demand for our legacy datacenter and communications products, and we are making strong inroads in expanding our strategic growth markets, which include LiDAR, advanced vision and artificial intelligence (AI). Fiscal Year 2026 marked another milestone as we exceeded 4,000 wafer starts per month, and we expect to continue that trajectory in Fiscal Year 2027.”

Financial Highlights:

For the Fiscal Year 2026 ended June 30, 2026:

• Revenue: Revenue for Fiscal Year ended June, 30, 2026 was $8.1 million compared to $5.9 million respectively for the same period in the prior year, an increase of 37% year over year.

• Gross Profit (loss) and Margin: Reported gross profit (loss) of ($1.3) million compared to ($2.4) million in the previous year. Gross profit margin was (16%) for the year ended June 30, 2026, compared to (40%) in the previous year, an improvement of 24 percentage points year over year.

• Operating Income (Loss): Operating loss of ($12.7) million for Fiscal Year 2026 compared to ($11.4) million for same period last year. The increase in operating loss was driven primarily by an increase in R&D investments, offset by an improvement in gross margin.

• Net Income (Loss): Net loss of ($22.5) million for Fiscal Year 2026 compared to ($18.2) million for same period last year. The increase in operating loss was driven primarily by an increase in taxes and interest expenses.

For the Fourth Quarter of Fiscal 2026:

• Revenue: Total revenue was $2.9 million, compared to $2.1 million in Q4 of Fiscal 2025, an increase of 38% year over year.

• Gross Profit and Margin: Gross profit was $0.2 million, compared to a loss of ($0.6) million in Q4 of Fiscal 2025, an improvement of $0.8 million. Gross profit margin was 8.0%, compared to negative (28.2%) in the same quarter last year, an improvement of 36 percentage points year over year.

• Operating Income (Loss): Operating loss of ($2.9) million, compared to ($3.1) million for the same period last year.

• Net Income (Loss): Net loss of ($6.0) million, compared to ($5.8) million for the same period last year.

“As we look ahead, our focus in Fiscal Year 2027 is to build on the momentum we captured in Fiscal 2026 as we ramp production capacity at both manufacturing facilities,” continued Haugen. “Our product expansion roadmap will help support the strong demand we are seeing from North American hyperscalers, while driving further penetration into our strategic growth markets. I am pleased that our long-term strategic growth plan is on track, and we are providing Fiscal Year 2027 guidance as follows:”

Fiscal Year 2027 Guidance

• For the full Fiscal Year 2027, the Company expects revenue to be between US$19.0 million and US$21.0, representing growth of almost 150% at the midpoint, reflecting the scalability of our model with growing wafer capacity and higher production volumes.

• We expect Gross Margin forFY27 to be between 25% and 35%, an improvement of approximately 46 points year-over-year.

• The Company expects to surpass 1,200 wafer starts per week by the end of Q2 of Fiscal 2027.

Q1 Fiscal Year 2027 Guidance

• For Q1 Fiscal 2027, the Company expects revenue to be approximately US$4.0 million, an increase of almost 500% year-over-year.

“Fiscal Year 2026 results highlight the strong operating leverage inherent in our business, as increased production volumes drove meaningful margin gains and overall financial improvement,” said Steve Cohn, Chief Financial Officer of Enablence Technologies. “Given that customer demand continues to outpace our available wafer capacity, we continue to invest in expanding our manufacturing capacity at our Fremont facility. We remain focused on managing our current wafer-capacity constraints while we work to qualify production at our new Vietnam location in the second half of fiscal 2027. We believe that these initiatives will strengthen our ability to deliver on our growth plans and build long-term shareholder value.”

Medium Term Outlook

Enablence continues to see robust market demand for FY2027 and into FY2028. The Company expects to remain wafer capacity constrained, continuing to sell wafers as fast as they can be manufactured. This constraint is expected to be relieved in 2H FY2027 as a second manufacturing location is qualified.

The “Financial Highlights” above are qualified in their entirety by the Financial Statements, which are available on SEDAR+ (www.sedarplus.ca) under Enablence’s issuer profile. For additional information on the Company, please refer to the investor presentation of the Company, which is available on Enablence’s website (www.enablence.com/investors) in the “Corporate – Investors” tab.

About Enablence Technologies Inc.

Enablence is a publicly traded company listed on the TSX Venture Exchange (TSXV: ENA) that designs, markets and sells optical chips and sub systems, primarily in the form of planar lightwave circuits (PLC), on silicon-based chips for datacom, telecom, automotive and artificial intelligence (AI) applications. Enablence products serve a global customer base, primarily focused today on data center and other rapidly growing end markets. Enablence also works with customers that have emerging market uses for its technology, including medical devices, automotive LiDAR, and virtual and augmented reality headsets. In select strategic circumstances, the Company also uses its proprietary, non-captive fabrication plant in Fremont, California to manufacture chips designed by third party customers. For more information, visit: www.enablence.com.

Cautionary Note Regarding Forward-Looking Information

This news release contains forward-looking statements regarding the Company based on current expectations and assumptions of management, which involve known and unknown risks and uncertainties associated with our business and the economic environment in which the business operates. All such statements are forward-looking statements under applicable Canadian securities legislation. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking statements. By their nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties. These statements are based on current expectations that involve several risks and uncertainties which could cause actual results to differ from those anticipated. Although the Company believes that the expectations reflected in the forward-looking statements contained in this news release, and the assumptions on which such forward-looking statements are made, are reasonable, there can be no assurance that such expectations will prove to be correct. We caution our readers of this news release not to place undue reliance on our forward-looking statements as a few factors could cause actual results or conditions to differ materially from current expectations.

Additional information on these and other factors that could affect the Company’s operations are set forth in the Company’s continuous disclosure documents that can be found on SEDAR+ (www.sedarplus.ca) under Enablence’s issuer profile.

Enablence does not intend, and disclaims any obligation, except as required by law, to update or revise any forward-looking statements whether because of new information, future events or otherwise.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

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Source: Enablence Technologies Inc.

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