Kontrol Technologies Announces Third Quarter, 2023 Financial Results; Net Income Positive for the Quarter and Year to Date

Kontrol Technologies Corp. (NEO:KNR) (OTCQB:KNRLF) (FSE:1K8) ("Kontrol Technologies" or "Kontrol" or "Company") announces its Third Quarter, 2023 financial results. A complete set of the Financial Statements and Management's Discussion & Analysis will also be filed on SEDAR (www.sedar.com) on the filing date.

“The third quarter performance demonstrates the Company’s focus on executing its strategic objectives and driving to profitability,” says Paul Ghezzi, CEO of Kontrol Technologies. “On a continuing operations basis, revenue, gross profit, earnings, and positive cash flow from operations increased for the nine months ended September 30, 2023 compared to the same period in the prior year (comparative period excludes discontinued operations). Further, we have reduced debt levels in 2023 as the Company continues to de-leverage the business and improve the balance sheet.”

Third Quarter and Year to Date 2023 Highlights

Cash flows from operating activities were positive $2.2 Million year to date and net income was positive in the third quarter and year to date.

• Revenues from continuing operations for the three months ended September 30, 2023 were $4.5 million, up 32% over the same quarter in the prior year.
• Revenues from continuing operations for the nine months ended September 30, 2023 were $13.7 million, up 28% over the same period in the prior year.
• Gross margin from continuing operations for the nine months ended September 30, 2023 was 64%, compared to 55% for the same period in the prior year.
• Adjusted EBITDA* from continuing operations for the nine months ended September 30, 2023 was $2.8 million, compared to $1.5 million for the same period in the prior year.
• Net income from continuing operations for the three months and nine months ended September 30, 2023 was $665,558 and $294,501 respectively.

* Adjusted EBITDA is a non-IFRS financial measure. The Company defines Adjusted EBITDA as net income or loss before interest, income taxes, amortization, and depreciation, share based compensation, acquisition related expenses, and listing expense.

Kontrol Technologies Corp.

Kontrol Technologies Corp., a Canadian public company, is a leader in smart buildings and cities through IoT, Cloud and SaaS technology. Kontrol provides solutions and services to its customers to improve energy management, monitor continuous emissions and accelerate the sustainability of all buildings. Additional information about Kontrol Technologies Corp. can be found on its website at www.kontrolcorp.com and by reviewing its profile on SEDAR at www.sedar.com