Mr. Leslie Klein reports

C-COM REPORTS SECOND QUARTER RESULTS

C-Com Satellite Systems Inc. has released its financial results for the second quarter ended May 31, 2024.

The company generated revenues of $2,580,514 and net income after taxes of $61,072. Overall gross profit margins remained healthy at 57.5 per cent in Q2.

Year-to-date cash-flow from operations to the end of Q2 was $1.5-million -- representing a $3.3-million positive swing from last year over the same period.

The Company's Q2 2024 working capital of $25.2 million was up $0.8 million from Q2 2023.

The company paid out $528,081 in dividends during this first quarter compared to $522,330 in the second quarter of 2023. The quarterly dividend payout has been maintained by the company while continuing to innovate and invest in the next generation of advanced antenna products.

The company also announced the payment of its next quarterly dividend in the amount of 1.25 cents per common share payable on Aug. 13, 2024, to all shareholders of record as of July 29, 2024. Based on the closing price of $1.19 per share on July 12, 2024, this dividend represents a yield of 4.2 per cent on an annualized basis.

"We had solid sales in Q2 and excellent results in the first six months of the year," said Leslie Klein, president and chief executive officer of C-Com Satellite Systems.

"I was pleased to see a large first order delivered to one of our new resellers based in Brazil. South America represents a significant market opportunity for C-Com. We're expecting follow up orders from this new reseller who has a presence across all South America," Mr. Klein continued.

Mr. Klein added, "Our strong year-to-date cash flow demonstrates that C-Com is capable of firing on all cylinders; carrying inventory to enable prompt delivery of sold antenna's, priority investment in R&D [research and development], and recognizing shareholder support through continued dividend payments."

Dr. Klein concluded: "Completion of the development and commercialization of our next-generation Ka-band electronically steered antenna system (ESA) remains C-Com's primary R&D focus. We are now in the final stages of manufacturing and testing our first 4K element antennas and expect to have these tested for mobility before the end of the summer. To this end, we are driving towards initial deliveries for field testing by satellite operators and selected resellers by the end of 2024. In addition to this, C-Com's analog beam-forming integrated circuit project is progressing well. We expect to test the first version of these by the end of this year."

About C-Com Satellite Systems Inc.

C-Com Satellite Systems is a pioneer and a leading global designer, developer and manufacturer of transportable and mobile satellite-based antenna systems.

We seek Safe Harbor.