SATO Technologies (SATO) investor relations material

Executive summary

• Settled all senior secured debt post-quarter, eliminating future debt-service requirements and regaining control of mining proceeds.

• Announced a non-brokered private placement of up to $1.5 million to fund operations and settlement.

• Entered a non-binding LOI for a renewable-energy AI data centre campus in Bhutan, targeting AI compute demand in India and the region.

• Continued transition strategy to repurpose Joliette facility for AI and HPC workloads.

Financial highlights

• Q2 2026 revenue was $1,135,976, down 62% year-over-year; 11 BTC mined versus 22 BTC in Q2 2025.

• Gross loss of $(490,713) compared to $(110,379) in Q2 2025; net loss of $(922,517) versus $(766,454) year-over-year.

• Adjusted EBITDA of $(597,157), down from $(108,804) in Q2 2025; Compute Power Loss of $(127,438) versus $431,505.

• Six-month revenue was $2,487,521, down 58% year-over-year; net loss for the period was $(2,189,828).

• Cash at June 30, 2026 was $275,315 with a working capital deficiency of $(2,747,398); digital assets valued at $608,633.

Outlook and guidance

• Expects to recognize a gain of approximately $2,020,000 on debt settlement in Q3 2026.

• AI and HPC transition plan requires additional financing, customer commitments, and infrastructure investment.

• Ongoing discussions for commercial hosting and strategic partnerships for AI/HPC workloads.