Tantalus Systems (GRID) investor relations material

Financial and operational highlights

• Achieved record quarterly revenue of $15.1 million, up 27% year-over-year, with gross profit up 22% to CAD 7.9 million and gross margin above 52%.

• Adjusted EBITDA improved by 137% to $800,000, and cash flow from operations rose 47% to $4.7 million.

• Trailing 12-month revenue reached $57 million, gross profit margin at 54%, and adjusted EBITDA at $3.8 million, all record highs.

• Over 380,000 intelligent connected devices shipped in the last 12 months, with annual recurring revenue exceeding $14 million.

• Noted some slowdown in new utility conversions due to global uncertainty and inflation impacting utility budgets.

Product and customer updates

• Launched TRUGrid Verify, an analytics tool for validating and cleaning grid data, and TRUGrid Advantage, a managed service for utilities lacking IT resources.

• 70 utilities have placed initial orders for the TRUSense Gateway; 49 have deployed devices, with all expected to receive shipments by end of Q2.

• Of 23,000 TRUSense Gateways ordered, 3,500 shipped; 28 utilities have moved to full deployment, with a high pilot-to-deployment conversion rate.

• Strong recurring revenue potential from managed services and device deployments.

Market trends and survey insights

• Utility of the Future Survey showed rising concern over financial uncertainty, inflation, and interest rates among utilities.

• Utilities prioritize grid data management but feel unprepared, lacking tools and resources for modernization.

• Funding and risk aversion are key barriers to technology adoption; utilities face paradigm shifts due to rising data center loads and supply chain constraints.