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Legend Power Systems (LPS) investor relations material
Legend Power Systems Q1 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Revenue increased to CAD 252,870 (or $253 thousand) in Q1 2026, up 209% year-over-year, driven by increased system builds and SmartGATE unit sales.
Gross margin improved to 44% from 15% year-over-year and 25% sequentially, reflecting cost reductions, higher average selling prices, and improved factory utilization.
Operating expenses dropped to CAD 631,000, down 39% year-over-year, mainly due to lower headcount and consulting costs.
Net loss narrowed to $522,024 from $1 million in Q1 F2025, with adjusted EBITDA loss improving to $465,102 from $801,000.
Cash management remains a top priority, with a CAD 1.65 million financing completed in January 2026 and cash position at quarter end of $46,000.
Financial highlights
Revenue for Q1 2026 was CAD 252,870, up from CAD 81,000 in Q1 2025, a 209% increase.
Gross margin reached 44% in Q1 2026, up from 15% in Q1 2025 and 25% in Q4 2025.
Equipment gross margin was 47%, and services gross margin was 80%.
Operating expenses reduced to CAD 210,000 per month in Q1 2026 from CAD 347,000 per month prior year.
Working capital at quarter end was negative $855,000, with accounts receivable from backlog exceeding CAD 300,000.
Outlook and guidance
Expectation to achieve and exceed 50% gross margins during the year as cost reductions continue.
Market opportunity for SmartGATE is strong, with growing demand in commercial real estate, education, government, and defense sectors.
Pipeline of near-term opportunities exceeds 200 buildings, supported by a new building modeling tool.
Anticipate good order flow despite delays from U.S. government policy changes.
Growing pipeline and clear path to strong revenue growth over the next few years.
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