Mr. Mark Tadros reports

STARDUST SOLAR SETS 2026 OUTLOOK BACKED BY $4M BACKLOG AND STRENGTHENING FINANCIAL METRICS

Stardust Solar Energy Inc.'s signed project backlog has exceeded $4-million, providing solid visibility heading into 2026. This follows the company's strongest quarter to date for the three months ended Sept. 30, 2025, in which Stardust Solar delivered record revenue of $1.78-million (plus 99 per cent year over year (YoY)), a gross margin of 44 per cent (versus 31 per cent in Q3 2024), and its first-ever earnings before interest, taxes, depreciation and amortization-positive quarter.

2026 growth outlook

Organic franchise expansion

Stardust Solar expects to add approximately 25 to 50 new franchise territories in 2026, supported by continued demand for residential and commercial solar solutions. As the franchise network scales, management anticipates improved system-wide operating leverage. The company has also expanded internationally, with new locations established in the Caribbean and Zambia, demonstrating the adaptability and scalability of the franchise model.

Commercial project growth:

With internal expertise now in place to manage commercial installations, the company anticipates a meaningful increase in commercial project activity in 2026. This aligns with broader market demand for distributed energy solutions in Canada, United States and internationally.

Mergers and acquisitions: The company continues to evaluate acquisition opportunities that complement its existing operations. Several potential transactions are currently under review as part of the company's growth strategy for 2026.

Q3 2025 financial and operational highlights (three months ended Sept. 30, 2025)

• Record revenue: $1.78-million (plus 99 per cent year over year), the highest quarterly revenue in company history;
• Gross margin: 44 per cent (vs. 31 per cent in Q3 2024); year-to-date margin also 44 per cent (vs. 29 per cent in YTD 2024);
• EBITDA (earnings before interest, taxes, depreciation and amortization): $16,293, representing the company's first EBITDA-positive quarter;
• Net loss improvement: net loss narrowed to $25,018 (loss per share: zero cents), improving from a 39-per-cent loss margin in Q2 to 1 per cent in Q3;
• Operating expenses: $812,628 (plus 14 per cent YoY), reflecting higher advertising, promotional, professional and administrative costs associated with growth and public company requirements;
• Record signed contracts: $2.55-million of new contracts in Q3 (plus 206 per cent YoY), increasing total backlog to $4.4-million as at Sept. 30, 2025 (plus 38 per cent vs. June 30, 2025).
• Liquidity: cash and cash equivalents of $340,000 at quarter-end (vs. $171,000 at June 30, 2025);
• Operating cash flow: positive $131,000 -- the company's first positive operating cash flow quarter since going public.

Year-to-date and trailing-12-month results

• Nine months ended Sept. 30, 2025, revenue: $3.99-million, up 40 per cent from $2.85-million in the prior-year period;
• TTM revenue: approximately $4.8-million, representing a 32-per-cent increase from approximately $3.6-million in the comparable 12-month period.

"Q3 demonstrates the scaling potential of our model," said Mark Tadros, founder and chief executive officer. "We delivered record revenue, improved margins, positive operating cash flow and a significant increase in signed contracts that expanded our backlog to $4.4-million. The narrowing of our quarterly net loss to $25,000 reflects disciplined cost management and stronger system-wide performance. Our priorities remain converting backlog into revenue, supporting franchise partners as they grow and maintaining a balanced approach to capital allocation."

About Stardust Solar Energy Inc.

Stardust Solar is a North American franchisor specializing in renewable energy installation services, including solar photovoltaic systems, energy storage and EV (electric vehicle) charging infrastructure. The company provides franchisees with end-to-end business management support, technical training, engineering services, equipment distribution and project management resources. With operations across Canada, the United States, the Caribbean and Zambia Stardust Solar supports the growing adoption of clean energy solutions while contributing to economic development and long-term sustainability.

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