Xtract One Technologies (XTRA) investor relations material

Market opportunity and technology

• More than 350 mass shootings were reported in the U.S. in 2026; legacy metal detectors create false alerts amid everyday metal items and slow, intrusive entry.

• AI-driven weapon detection is positioned for arenas, schools, hospitals and commercial buildings, with labor shortages and safety concerns supporting demand.

• SmartGateway is designed for fast, low-clutter entry; Xtract One Gateway addresses medium-clutter settings such as schools and backpacks.

• Screening throughput was described as 60+ people per minute versus six through a metal detector; security alerts route individuals for secondary screening while entry continues.

• California AB 2975 and the U.K.'s Martyn's Law were cited as regulations moving screening from a nice-to-have toward a requirement.

Markets, customers and product development

• SmartGateway began in stadiums, arenas and live entertainment; adoption has expanded to schools, healthcare, manufacturing and convention centers.

• Four major car manufacturers use the product to screen workforces of up to 10,000 people, three times daily.

• Xtract One Gateway generated one-third of FY26 revenue and half of FY26 bookings in its first year on the market.

• Europe was characterized as two to three years behind North America in demand; SmartGateway was also positioned for international markets where knives are a concern.

• The extensible platform may expand from weapon detection to identifying vapes, phones and items associated with theft in fulfillment centers.

Financial performance and backlog

• FY26 revenue was CAD 28.8 million, up 108%; gross margins were close to 60%, while operating expenses rose 13%.

• Adjusted EBITDA was neutral in H2; the presentation characterized the model as scalable and leveraged.

• Year-end backlog was CAD 44 million, comprising contractual and pending backlog; contractual backlog rose from CAD 15 million to CAD 25 million in one year.

• At least CAD 10 million of backlog was expected to be recognized in the first year, in addition to future bookings.

• Customers can buy systems upfront or use them as a service, supporting both purchase models.