Mr. Jason Siemens reports

NAMSYS REPORTS THIRD QUARTER RESULTS

Namsys Inc. has released its financial results for the third quarter of fiscal 2026 ended July 31. All amounts referenced herein are in Canadian dollars.

Third quarter highlights (for the three months ended July 31, 2026, compared with July 31, 2025):

• Revenue of $2,232,386, compared with $1,916,562, an improvement of 16 per cent;
• Operating income for the quarter was $746,847, unchanged from $744,427;
• Net income for the quarter decreased 2 per cent to $594,850 (two cents per share) from $610,041 (two cents per share);
• Gross margin of 59 per cent, down from 64 per cent;
• Operating margin of 33 per cent, down from 39 per cent;
• Net cash of $7,914,188, an increase of $548,141 from April 30, 2026, represents 29 cents of net cash per diluted share.

"Margins were affected by a one-time non-cash, share-based compensation expense of $150,000. Our revenue growth underscores the strength of our core business model and the continued market demand for our innovative solutions. We are proud of the operational milestones achieved over the last three months and remain intensely focused on driving sustainable, long-term value for our shareholders," said Jason Siemens, president and chief executive officer.

The financial statements and management discussion and analysis for the fiscal quarter ended July 31, 2026, are available under the company's profile on SEDAR+.

NamSys's products are designed to bring efficiency to the processing of currency and other value instruments in retailers, financial institutions and cash-in-transit providers. NamSys's proprietary systems for this market are sold as software-as-a-service subscriptions and operate in the public cloud service providers.