CEMATRIX announces financial results for the first quarter of 2024

CEMATRIX Corporation

Record first quarter revenue of US$8.4 million with positive adjusted EBITDA

CALGARY, Alberta, May 8, 2024 (GLOBE NEWSWIRE) – CEMATRIX Corporation (TSXV: CVX) (OTCQB: CTXXF) (“CEMATRIZ” or the “Company”), a leading North American manufacturer and supplier of technologically advanced cellular concrete products, announced the release of its consolidated financial results for the first quarter ended March 31, 2024.

“I am excited to report that CEMATRIX not only achieved another record quarter, but also substantial improvements in our key financial metrics. With a 17% increase in revenue compared to the first quarter of last year and significant improvements in our gross margins, we were able to generate positive adjusted EBITDA during what is traditionally our slowest period. This achievement highlights our effective management and the robust demand for our products,” said Jeff Kendrick, CEO of CEMATRIX.

“We were able to generate a significant positive cash flow of US$4.8 million. A large part of this cash flow came from collecting our accounts receivable balance at the end of the year, a product of the record revenue we generated in 2023. This is a great start to the year for our business”, said MJ Cantin, CFO of CEMATRIZ .

“I want to thank all of our employees at CEMATRIX, and in particular our field team, who continue to safely and consistently deliver projects on time, on budget and with quality for our clients. Your efforts on the field are the foundation of our success. I would also like to thank our sales teams who continue to win more projects, giving us more opportunities in the future to demonstrate how cellular concrete is the right solution to help our customers,” said Randy Boomhour, COO of CEMATRIX.

“Our commitment to growth and shareholder value remains unwavering as we continue to drive strong organic growth and maintain a robust balance sheet. With management holding a significant stake in the company, our interests are closely aligned with those of our shareholders. As we execute our strategic plan, we are optimistic about 2024 and beyond, confident that our product offerings and the benefits they provide to customers will continue to bring enormous opportunities to our business,” concluded Jeff Kendrick.

The following are commercial and financial highlights from the fourth quarter and year-to-date:

Quarterly business highlights:

• $6.2 million in new contracts announced (January 3, 2024)

• Announced the appointment of Marie-Josée Cantin as new CFO (February 5, 2024)

• Announced that CEMATRIX has been recognized as a TSX Venture Top 50 company for the third time in four years (February 21, 2024)

• $6.7 million in new contracts announced (March 6, 2024)

The story continues

Highlights of business subsequent to the quarter:

Summary financial results:

Operating cash flow is before working capital adjustments. Adjusted EBITDA (“aEBITDA”) is a non-GAAP measure. The Company defines and makes available the EBITDA calculation in its Performance Analysis.

Grant of stock options

On May 8, 2024, the Company granted 450,000 incentive stock options to certain directors of the Corporation in accordance with the Corporation’s Omnibus Stock Incentive Compensation Plan (“OEIC Plan”) for the purchase of shares at a price exercise period defined as the closing price on the grant date, subject to the option exercise provisions, at any time up to and including May 8, 2029.

Following the May 8, 2024 grants, the Corporation will have a total of 7,167,723 options and RSUs outstanding which represents 5.3% of the Company’s approximately 135 million issued and outstanding shares and is 53% of the maximum value of 10.0% which is authorized by the OEIC Plan.

First quarter financial results webinar

Management will host a webinar at 1:00 PM ET on Thursday, May 9, 2024, to discuss CEMATRIX’s first quarter financial results, provide a corporate update, and conclude with an online participant Q&A session.

Register in advance for this webinar:
https://us02web.zoom.us/webinar/register/WN_Dix8sOfYTe-U8_qtyzb6SA

After registering, you will receive a confirmation email containing information on how to join the webinar.

ABOUT CEMATRIX

CEMATRIX is a rapidly growing company that manufactures and supplies technologically advanced cellular concrete products developed from proprietary formulations throughout North America. This unique cement-based material with superior thermal protection offers innovative and cost-effective solutions to a wide range of problems facing the infrastructure, industrial (including oil and gas) and commercial markets. Through the recent acquisitions of Chicago-based MixOnSite and Bellingham-based Pacific International Grout, CEMATRIX is now the largest cellular concrete company in North America. For more information visit our website at www.cematrix.com.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements and forward-looking information (together, “forward-looking statements”) within the meaning of applicable securities laws. All statements, other than statements of historical fact, are forward-looking statements. Generally, forward-looking statements can be identified by the use of terminology such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “believes” or variations of such words, or statements that certain actions, events or results “may”, “could”, “would”, “could”, “will”, “occur” or “be achieved”. The forward-looking statements contained in this press release are based on certain important expectations and assumptions made by the Company, including the satisfaction of regulatory requirements in various jurisdictions and the Company’s anticipated use of the net proceeds from the Offering. Forward-looking statements involve risks, uncertainties and other factors disclosed under the heading “Risk Factors” and elsewhere in the Company’s filings with Canadian securities regulators, which may cause the actual results, performance, prospects and opportunities are materially different from those expressed or implied by such forward-looking statements.

Although the Company believes that the assumptions and factors used in preparing these forward-looking statements are reasonable based on information currently available to management as of the date hereof, actual results and developments could differ materially from those contemplated by these statements. Readers are therefore cautioned not to place undue reliance on these statements, which only apply as of the date of this press release, and no assurance can be given that such events will occur within the disclosed time frames or at all. Except as required by applicable law, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For more information, please contact:
Jeff Kendrick – President and CEO
Phone: (403) 219-0484

Glen Akselrod – President, Bristol Capital
Telephone: (905) 326 1888 extension 1
glen@bristolir.com

Jeff Walker, The Howard Group – Investor Relations
Phone: (888) 221-0915 or (403) 221-0915
jeff@howardgroupinc.com

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