SHARC Energy Announces Q2 2025 Financial Results

VANCOUVER, British Columbia, Aug. 29, 2025 (GLOBE NEWSWIRE) -- SHARC International Systems Inc. (CSE: SHRC) (FSE: IWIA) (OTCQB: INTWF) ("SHARC Energy" or the “Company”) is pleased to announce it has filed financial results for the three and six months ended June 30, 2025. All figures are in Canadian Dollars and in accordance with IFRS unless otherwise stated.

Second Quarter and Year to Date (YTD) Financial Highlights:

• Revenue for the six months ended June 30, 2025 (“YTD 2025”) is $1.86 million (M), representing 86% of the full year revenue in 2024 and a 19% increase over the $1.56M of revenue reported in the six months ended June 30, 2024 (“YTD 2024”). Revenue increased 9% to $0.85M for the three months ended June 30, 2025 (“Q2 2025”) compared to $0.78M reported for the three months ended June 30, 2024 (“Q2 2024”).

• As of August 29, 2025, the Company has a Sales Pipeline¹ of 16.6M and Sales Order Backlog² of $3.7M. This represents a ~$0.2M increase or 3% growth in Sales Order Backlog since May 30, 2025 disclosure. Sales Pipeline saw a nominal increase since May 30, 2025 disclosure reflecting the deliberate efforts by the Company to refill the pipeline once projects convert to the order book. The combined pipeline showed an aggregate growth of 1% or $0.2M from the previous disclosure on May 30, 2025. The $3.7M Sales Order Backlog, which is estimated to be converted to revenue within an average of 12 months from disclosure, represents a 71% improvement compared to the year ended December 31, 2024 revenue of $2.17M. The Company continues to observe the maturity of its Sales Pipeline leading to improved revenue consistency and reduced volatility, providing a strong platform to scale and grow.

• During Q2 2025, the Company reported a loss of $0.82M and an Adjusted EBITDA³ loss of $0.46M. This compares to a loss of $0.71M and an Adjusted EBITDA loss of $0.49M in the comparative quarter representing a 15% increase and 7% decrease, respectively.

• During YTD 2025, the Company reported a loss of $1.7M and an Adjusted EBITDA loss of $1.07M. This contrasts to a loss of $1.48M and an Adjusted EBITDA loss of $1.03M in the comparative period representing a 17% and 4% increase, respectively.

• Gross margins for Q2 2025 and YTD 2025 were 44% and 37%, respectively, demonstrating the Company’s resilience despite variances from the impressive 41% and 39% reported in Q2 2024 and YTD 2024, respectively. Management remains optimistic that this margin range aligns with our expectations for the coming quarters but the margin percentage varies dependent on sales mix and stage of completion of each project.
  
  

Michael Albertson, Chief Executive Officer and President of SHARC Energy, said, "We are continuing our strong start to the 2025 fiscal year with the Company reporting revenue of $0.85M and $1.86M for Q2 2025 and YTD 2025, respectively, representing a 19% and 9% increase over Q2 2024 and YTD 2024, respectively. Additionally, our YTD 2025 revenue represents 86% of the full year revenue earned in 2024. More importantly, despite the delivery of revenue growth over comparative periods, Sales Order Backlog increased by 3% from the previous disclosure and represents a 71% improvement over 2024 revenue sitting at $3.7 million as of the reporting date. SHARC Energy’s revenue growth continues to gain momentum.”

Mr. Albertson continues, “We recently disclosed key District Energy System (“DES”) projects, Lebreton Flats in Ottawa and Sen̓áḵw in Vancouver, which are leveraging SHARC Wastewater Energy Transfer (WET) systems as the core component to power their thermal networks harnessing wastewater as the key renewable resource. WET supported solutions continue to grow in awareness and acceptance with the Company learning of projects in planning across North America and globally. In the Greater Vancouver, British Columbia region alone, there are several municipal or utility supported DES/Thermal Energy Networks (“TENs”) ranging in size and scale in different stages of development that will increase SHARC Energy’s local footprint as early as this year. In the United States, legislation allowing or mandating utilities to develop DES/TENs demonstration projects or pilots have been passed in eight states, including the State of New York and recently added California, where the Company has installations in progress, projects in design and a growing list of leads looking to implement Wastewater Energy Transfer with DES/TENs. This was further highlighted by the recent disclosure of shipment of two SHARC WET systems to a U.S. government-affiliated project.”

“We are continuing to progress into new sectors for the SHARC and PIRANHA with promising opportunities developing within wastewater treatment facilities, universities, water utilities, correctional facilities and the design & build/energy sectors. These sectors are increasingly receptive to SHARC Energy's offerings which is promising as these sectors can provide fewer regulatory hurdles, long-term customer relationships, shorter sales cycles, and the potential for larger-scale projects. The Company anticipates the closing of new business in these adjacent sectors as early as this year.”

“Furthermore, SHARC Energy is gearing up to launch new products in its portfolio which will be introduced to the market soon. With the support of original equipment manufacturer relationships SHARC Energy has, we feel there is significant opportunity to better serve more customers and increase our revenue and margin dollars earned going forward. SHARC Energy’s tailwinds are strong and set to propel the Company to profitability in the coming years. We are very excited about our position in the thermal energy market.” stated Mr. Albertson.

YTD 2025 Highlights and Subsequent Events

• SHARC System Powers Groundbreaking Sen̓áḵw District Energy System. The SHARC WET system will be the core component of the Sen̓áḵw Energy System, the largest real estate development in Canadian First Nations history. The SHARC WET system was shipped to the project in Q2 2025.

• SHARC Systems Shipped to US Government-Affiliated Project. The Company announced the shipment of two SHARC 880 WET Systems to a U.S. government-affiliated project. Further information about the project will be released at a later stage.

• SHARC System Featured in Ottawa’s Lebreton Flats District Energy Project. The Company announced that two SHARC 880 Wastewater Energy Transfer (“WET”) systems will be used to power a district energy system in Canada’s capital city. SHARC Energy anticipates commencing submittals for the SHARC WET Systems in 2025 with equipment build and delivery expected during 2026.

• False Creek Neighbourhood Energy Utility (“NEU”) Expansion. The Company continued work on the supply and maintenance agreement with the City of Vancouver for the provision and maintenance of five SHARC systems for the False Creek NEU Expansion. During the three months ended March 31, 2025, the Company completed all remaining milestones of the agreement.

• Closing of $1.57 Million Unsecured Convertible Debenture. Subsequent to YTD 2025, SHARC Energy has closed a non-brokered private placement of unsecured convertible debentures of the Company for a principal amount of $1,570,000.

• Fred Andriano appointed as Chairman of the Board of Directors. On May 5, 2025, the Company announced significant changes to its Board of Directors, appointing Fred Andriano as Chairman of the Board and Executive Officer, replacing Lynn Mueller, who will now serve as Vice Chairman and Executive Officer. Furthermore, the Company accepted the retirement and resignation of Eleanor Chiu as Director.
  
  

For complete financial information for the three and six months ended June 30, 2025, please see the Condensed Consolidated Interim Financial Statements and Management Discussion and Analysis (“MD&A”) filed on SEDAR at www.sedar.com.

About SHARC Energy

SHARC International Systems Inc. is a world leader in energy recovery from the wastewater we send down the drain every day. SHARC Energy's systems recycle thermal energy from wastewater, generating one of the most energy-efficient and economical systems for heating, cooling & hot water production for commercial, residential, and industrial buildings along with thermal energy networks, commonly referred to as “District Energy”.

SHARC Energy is publicly traded in Canada (CSE: SHRC), the United States (OTCQB: INTWF) and Germany (Frankfurt: IWIA) and you can find out more on our SEDAR profile.

Learn more about SHARC Energy: Website | Investor Page | LinkedIn | YouTube | PIRANHA | SHARC

ON BEHALF OF THE BOARD

Fred Andriano
Chairman

The Canadian Securities Exchange does not accept responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements 

Certain statements contained in this news release may constitute forward-looking information. Forward-looking information is often, but not always, identified using words such as “anticipate”, “plan”, “estimate”, “expect”, “may”, “will”, “intend”, “should”, and similar expressions. Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information. SHARC Energy’s actual results could differ materially from those anticipated in this forward-looking information because of regulatory decisions, competitive factors in the industries in which the Company operates, prevailing economic conditions, and other factors, many of which are beyond the control of the Company. SHARC Energy believes that the expectations reflected in the forward-looking information are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking information should not be unduly relied upon. Any forward-looking information contained in this news release represents the Company’s expectations as of the date hereof and is subject to change after such date. The Company disclaims any intention or obligation to update or revise any forward-looking information whether because of new information, future events or otherwise, except as required by applicable securities legislation.

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^{¹ Sales Pipeline is a non-IFRS measure. Please see discussion of Alternative Performance Measures and Non-IFRS Measures in the Q2 2025 MD&A.
² Sales Order Backlog is a non-IFRS measure. Please see discussion of Alternative Performance Measures and Non-IFRS Measures in the Q2 2025 MD&A.
³ Adjusted EBITDA is a non-IFRS measure. Please see discussion of Alternative Performance Measures and Non-IFRS Measures in the Q2 2025 MD&A.}

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