Ibc Advanced Alloys (IB) investor relations material

Market overview and industry trends

• Demand for copper is forecast to rise 63% from 2024 to 2035, driven mainly by U.S. consumption.

• Copper prices have shown a strong upward trend since August 2025, supporting higher revenues and margins.

• U.S. tariffs on finished and semi-finished copper goods have benefited domestic producers.

• The defense, automotive, oil and gas, electronics, and foundry sectors are key markets served.

• The U.S. Navy and defense sector now account for about 40% of production capacity.

Strategic initiatives and growth plans

• Expansion into near net shape copper alloy cast products and aluminum-scandium alloys is underway.

• Stage 1: Launching capability to cast near net shape parts from various copper alloys, with individual components up to 500 pounds.

• Stage 2: Plans to acquire a CAD 5 million vacuum cap furnace to produce copper nickel alloys domestically.

• Stage 3: Successful initial production of aluminum-scandium alloy parts, targeting aerospace and defense markets.

• Stage 4: Considering a CAD 25 million investment in a radial forge to expand downstream product offerings within 3–5 years.

Financial performance and outlook

• Monthly sales have doubled from CAD 1–1.2 million to over CAD 2 million, with further 30–40% growth at the start of the new fiscal year.

• Gross margins now range from 25% to 55%, depending on product mix.

• Debt reduction is a priority, with significant progress expected by the first or second quarter of calendar 2027.

• Lind Partners funding has enabled increased feedstock purchases and equipment repairs, supporting sales growth.

• Current funding and credit structure are seen as sufficient for near-term expansion without further dilution.