Ms. Miriam Tuerk reports

CLEAR BLUE TECHNOLOGIES ANNOUNCES Q2 2024 FINANCIAL RESULTS

Clear Blue Technologies International Inc. has released its financial results for the second quarter of 2024 (Q2 2024) ending June 30, 2024. A complete set of financial statements and management's discussion and analysis (MD&A) has been filed at SEDAR+. All dollar amounts are denominated in Canadian dollars.

On a trailing four quarter (TFQ) basis:

• Revenue was $6,212,370, a 278-per-cent increase from $1,644,227 in the corresponding previous period, due to strong revenue growth across all four of Clear Blue's product lines;
• Recurring revenue was $779,149 a 21-per-cent increase from $646,416 in the corresponding previous period;
• Gross profit increased to $2,652,969 compared with $606,008 in the comparable period, a 338-per-cent increase;
• Gross margin percentage was 43 per cent, an increase over 37 per cent with the comparative TFQ period;
• Non-IFRS (international financial reporting standards) adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) for the period was ($1,685,811) as compared with ($3,639,495) for the previous period, a 54-per-cent improvement.

For Q2 F2024:

• Revenue was $1,014,690, a 35-per-cent increase from $752,325 in Q2 2023;
• Recurring revenue comprised $169,106 of the quarter's revenue compared with $139,056 in Q2 2023, a 22-per-cent increase;
• Gross profit for Q2 2024 was $245,564 compared with $309,007 for Q2 2023, a 21-per-cent decrease. Gross margin percentage for the quarter was 24 per cent, decreased from 41 per cent in the comparative quarter of 2023 due to an unexpected one-time solar panel anti-dumping charge which the company is appealing and believes will be rescinded. Without this, the company's gross margin for the quarter would have been 33 per cent;
• Non-IFRS adjusted EBITDA was ($721,262) versus ($664,964) in Q2 2023, an 8-per-cent improvement from the comparative period of 2023;
• As of June 30, 2024, bookings increased to $3,237,789, an increase of 31 per cent, when compared with $2,469,846 as of Dec. 31, 2023.

F2024 financial outlook

Since the end of 2022, and in a turbulent business environment, Clear Blue's core fundamentals have changed considerably. Management believes Clear Blue's H2 2024 will follow its 2023 trajectory, wherein Q3 and Q4 represented the majority of the revenue for the year. As all of Clear Blue's one-time revenue is a capital budget expense for our customers, annual budget and procurement cycles tend to drive the majority of the company's shipments for Q3 and Q4.

Clear Blue's expanded product portfolio has greatly increased its market reach and diversified its customer base, driven by growing demand across a wider array of applications. The company's customers continue to advance their capital project fundraising efforts with several of the company's long-term partners approaching financing closings in Q3 or early Q4. Over the past two years, management has contributed more than $2.5-million, making them the largest cash contributors to the enterprise, alongside steadfast investor support. As the world leverages AI (artificial intelligence) to deliver the next evolution of performance against climate change, Clear Blue's large depository of data will enable the company to cement its competitive advantage in providing the most reliable solar power at the lowest cost. This bodes well for significant order volumes and strong growth for Clear Blue in the second half of 2024 and into 2025.

Please join our earnings call Tuesday morning at 11 a.m. ET to hear more about what the company believes will be an exciting fall.

About Clear Blue Technologies International Inc.

Clear Blue Technologies International, the Smart Off-Grid company, was founded on a vision of delivering clean, managed "wireless power" to meet the global need for reliable, low-cost solar and hybrid power for lighting, telecommunications, security, Internet of things devices and other mission-critical systems. Today, Clear Blue has thousands of systems under management across 37 countries, including the United States and Canada.

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