Clear Blue Technologies International (CBLU) Q1 2026 earnings summary

Executive summary

• FY 2025 marked a reset year with financial restructuring, strategic partnerships, and the Clear Blue 2.0 growth plan focused on space satellite and telecom markets.

• Achieved 18% revenue growth in FY2025, driven by increased North American lighting activity and execution of the Clear Blue 2.0 strategy targeting space-satellite markets.

• Bookings surged 122% year-over-year to CAD 5.2 million, while revenue grew 18%.

• Major cost reductions and AI adoption have positioned the company for positive EBITDA and cash flow, targeting this milestone in 2026.

• Secured milestone contracts, including integration with Eutelsat's LEO satellite network and new business development initiatives in the Middle East, Europe, and Africa.

Financial highlights

• FY2025 revenue reached $3,247,724, up 18% year-over-year; gross profit increased 18% to $1,591,445, maintaining a 49% gross margin.

• Bookings increased 122% year-over-year, from CAD 2.8 million to CAD 5.2 million.

• FY2025 net loss improved by 65% to $3,886,322; Adjusted EBITDA loss improved 17% to $(2,466,399).

• Q1 2026 revenue was $1,006,654, down 4% year-over-year; recurring revenue rose 9% to $180,058.

• Operating expenses were reduced by over CAD 1.2 million in 2025 and by more than 20% year-over-year in Q1 2026.

Outlook and guidance

• Clear Blue 2.0 strategy focuses on mainstream satellite and telecom markets, aiming for higher sales volumes and positive Adjusted EBITDA.

• No formal guidance provided, but Q2 2026 revenue is expected to be similar to Q1 (CAD 1 million).

• Additional $700,000 in operating expense and $250,000 in cash-related reductions identified for 2026, with full impact expected in the second half of the year.

• Strong sales funnel and telecom rollouts anticipated to drive a robust back half of 2026.

• Focus remains on achieving positive EBITDA and cash flow in 2026.