IC Group (ICGH) investor relations material

Executive summary

• Revenue for Q1 2026 increased 29% year-over-year to CAD 7.8 million, with 86% of growth being organic, reflecting strong momentum and product-market fit.

• Gross profit rose 22% to CAD 3.3 million, and adjusted EBITDA improved 300% to CAD 0.67 million, driven by operating leverage and reduced one-time costs.

• Annual recurring revenue accounted for 68% of total revenue, supporting visibility and stability as the business scales.

• Net loss narrowed significantly to $(0.33) million from $(2.09) million, reflecting improved profitability and absence of prior year non-recurring expenses.

• Shareholder debt conversion and extension enhanced near-term balance sheet flexibility.

Financial highlights

• Last 12 months revenue reached CAD 29 million, with gross profit of CAD 13 million and gross margins of 45%.

• Q1 revenue grew 8% sequentially from the previous quarter, with adjusted EBITDA up 3%.

• Gross margin was 43% for the quarter, down from 45% due to margin compression.

• Cash on hand at quarter-end was CAD 3.4 million, aided by deferred revenue drawdown and balance sheet deleveraging.

• Adjusted EBITDA margin improved significantly year-over-year.

Outlook and guidance

• Management expects continued scaling in the mobile division, especially in the back half of the year, and consistent growth in IC Engage.

• Focus remains on expanding customer reach, improving monetization, and building positive operating leverage.

• Cash position is expected to dip in Q2 due to seasonality, then replenish in Q3.

• Strategic priorities for the remainder of 2026 to be discussed in an investor webinar.