Mr. Bryan Pang reports

SOLUTION FINANCIAL REPORTS Q2 2026 FINANCIAL RESULTS

Solution Financial Inc. has released its financial results for the second quarter ending April 30, 2026.

Earnings highlights for the second quarter:

• Net income for the quarter was $93,131, compared with a net income of $5,668 in the comparative quarter in 2025.
• Revenue increased 36 per cent to $3.68-million, compared with $2.7-million in the comparative quarter.
• Total leasing portfolio remained strong at approximately $31.8-million, supported by stable portfolio quality and strong credit performance during the quarter.
• Adjusted net income (1) increased to $159,480, compared with $58,196 in the comparative quarter.

Operational highlights for the quarter

"The second quarter reflects continued progress in the execution of our long-term growth strategy," stated Bryan Pang, chief executive officer of Solution Financial.

"We are pleased to report strong year-over-year revenue growth, improved profitability and continued expansion of our finance lease portfolio. Our team has remained focused on disciplined underwriting, portfolio quality, and building long-term relationships with our customers, dealerships and funding partners.

"We remain enthusiastic about the opportunities ahead. Demand for flexible leasing and financing solutions continues to be strong, particularly within the near-prime market segment where we have invested significant resources over the past several years. We believe Solution Financial is well positioned to continue growing originations, increasing profitability and creating long-term shareholder value.

"After careful consideration, the board elected to suspend the quarterly dividend and redirect that capital toward growth initiatives," added Mr. Pang. "While we recognize the value that dividends can provide to shareholders, we believe the current environment presents attractive opportunities to reinvest capital into the business. Our focus is on growing our portfolio, expanding our funding platform and maintaining the flexibility to pursue strategic opportunities that management believes may create stronger long-term shareholder value."

Outlook

Management remains focused on disciplined portfolio growth, expansion of financing capacity and continued improvements in operational efficiency. The company believes its growing finance lease portfolio, diversified financing platform and expanding dealer network provide a strong foundation for future growth.

As traditional lending institutions continue to maintain tighter underwriting standards, management believes Solution Financial remains well positioned to address demand from customers seeking flexible financing alternatives across the luxury and ultraluxury automobile sectors.

Financial results

Total revenues were $3,683,633 for the three months ended April 30, 2026, compared with $2,710,162 in the comparative quarter, representing an increase of $973,471 (36 per cent). The increase was primarily attributable to higher vehicle sales income arising from opportunistic remarketing activity within the company's existing lease portfolio.

Solution is reporting net income of $93,131 for the quarter ending April 30, 2026, compared with a net income of $5,668 for the comparative period in 2025.

Adjusted net income, which is more reflective of actual cash earnings, for the quarter ending April 30, 2026, was $159,480 (1) or 0.2 cent, compared with $58,196 for the quarter ending April 30, 2025. Adjusted net income excludes the non-cash accretion expense related to right-of-use assets of $4,553, income tax provision of $34,000, amortization of $27,167 and accretion expense of $629.

Lease portfolio

At April 30, 2026, Solution had 367 vehicles in its lease portfolio, a net decrease of nine vehicles over the quarter to bring the total lease portfolio to $31.8-million.

At April 30, 2026, the average remaining lease term for the portfolio was 1.8 years, weighted by net book value for each vehicle. As of April 30, 2026, Solution's 367 leases were generating annualized gross rental and lease cash flows of approximately $7.4-million.

About Solution Financial Inc.

Solution Financial commenced operations in 2004, and specializes in sourcing and leasing luxury and exotic vehicles, yachts, and other high-value assets. Solution works with a select group of luxury automotive and marine dealerships, providing lending solutions to clients who prefer more flexible leasing options than those traditionally offered by banks and other lease providers. Typical customers include new immigrants, business owners and international students who tend to upgrade their vehicles more frequently than traditional lease agreements allow. Solution Financial provides a unique leasing experience whereby it partners with its clients to help source limited edition and difficult-to-acquire vehicles, as well as providing white glove services to clients for insuring, maintaining, upgrading and reselling their vehicles.

(1) Non-IFRS (international financial reporting standards) financial metrics

Solution provides all financial information in accordance with IFRS. To supplement its consolidated financial statements presented in accordance with IFRS, the company is also providing with this news release certain non-IFRS financial measures, including adjusted net income. In calculating these non-IFRS financial measures, the company has excluded certain transactions that are not necessarily indicative of its continuing operations or do not impact cash flows. These measures are not recognized measures under IFRS and do not have a standardized meaning prescribed by IFRS, and are therefore unlikely to be comparable with similar measures presented by other issuers. These measures should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS.

We seek Safe Harbor.