CHARBONE Issues Corrective Disclosure
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Summary
CHARBONE (CHHYF) filed amended 2025 annual financial statements and management’s discussion and analysis following a routine regulatory disclosure review.
The correction concerns supplier payables settled with common shares or shares and warrants during the year ended December 31, 2025. The instruments were remeasured using quoted market prices when issued, rather than the terms agreed with suppliers. Financial expense increased by $1.7 million; share capital and warrants increased by $1 million and $0.7 million, respectively. There was no impact on shareholder equity, total assets, total liabilities, operating loss or operating, investing and financing cash flows.
The amended filings and corresponding officers’ certificates followed a review by Quebec’s Autorité des marchés financiers. CHARBONE is enhancing its disclosure controls and financial reporting review processes. A Q3 2026 results webinar is scheduled for December 1, 2026, at 11:00am ET.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- Minor pointOperating loss and operating, investing and financing cash flows were unchanged by the 2025 correction.
- Minor pointShareholder equity, total assets and total liabilities were unchanged by the restatement.
Negative
- Moderate point2025 financial expense increased by $1.7 million following correction of supplier-settlement accounting. 7.4% of market cap
AI-generated analysis. How Rhea-AI works. Not financial advice.
Files Amended 2025 Annual Financial Statements and MD&A.
No impact on operating loss nor operating, investing and financing cash flows.
Varennes, Quebec, November 13, 2026 – TheNewswire - CHARBONE CORPORATION (TSXV: CH; OTCQB: CHHYF; FSE: K47) (“CHARBONE” or the “Company”), a vertically integrated industrial gases company focused on production, distribution and storage of clean ultra-high purity (“UHP”) hydrogen and other strategic industrial gases, today announces the filing of its 2025 Amended Consolidated Financial Statements and Management’s Discussion & Analysis, as well as the corresponding officers’ certificates, in connection with a routine continuous disclosure review conducted by staff at the Autorité des marchés financiers (“AMF”). The correction does not have any impact on operating loss nor the Company’s cash flows.
During the fiscal year ended December 31, 2025, the Company agreed with certain suppliers to settle trade payables through the issuance of units. Each unit represented either one common share of the Company or one common share and one warrant of the Company. During the third quarter of 2026, following a review of the accounting treatment applied to these transactions, the Company concluded that certain gains on settlement of accounts payable had been incorrectly measured. The error of accounting entry has been corrected by restating the amounts recognized for the year ended December 31, 2025 to reflect the measurement of the equity instruments incorporating quoted prices in active market at the date the securities were issued and not at the time and conditions the Company concluded these transactions with some suppliers.
AMENDED 2025 IMPACTS:
-
Share capital and warrants amounts increased respectively by
$1 million and$0.7 million with a net impact of nil on shareholder equity. -
No impact on total assets nor total liabilities.
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For the year ending December 31, 2025, the financial expense has increased by
$1.7 million without any impact on operating loss nor the Company’s cash flows.
“The correction is primarily linked to the appreciation of the share price between the negotiation of the suppliers’ settlement agreement occurred in 2025 and the issuance of the shares and management understands and agrees with the highly technical accounting treatment point of view articulated by the AMF,” said Benoit Veilleux, Chief Financial Officer and Corporate Secretary of CHARBONE. “CHARBONE will continue to take the regulator’s comments very seriously and has demonstrated its good faith throughout its discussions with staff members to explain the basis for its financial reporting.”
The Company has provided corrective disclosure in the amended annual filings to address the matters described above. The Company is also continuously enhancing its disclosure controls and procedures, including its processes for preparing and reviewing financial reporting.
CHARBONE to Host Third Quarter Results Webinar
CHARBONE invites all investors and other interested parties to register for the webinar at the link below. Management will be presenting an overview of its Q3 2026 results, recent operational achievements, and upcoming milestones. There will be an allotted time for Q&A. You may submit your question(s) beforehand in the registration form or live on the webinar platform.
Date: Tuesday, December 1, 2026
Time: 11:00am ET
Register: https://info.rbmilestone.com/charbone-q3-2026
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About CHARBONE CORPORATION
CHARBONE is a vertically integrated industrial gases company focused on developing and operating a network of supply hubs for the production, storage, and distribution of Ultra-High Purity (UHP) strategic industrial gases. The Company serves customers across sectors including semiconductors, artificial intelligence and data centers, advanced pharmaceuticals, and aerospace and defense technologies, where UHP gases are critical for high-precision manufacturing processes and operational performance. CHARBONE is advancing a network of clean UHP hydrogen production plants across North America and selected international markets. The Company’s modular, decentralized, and demand-driven approach, combined with its integrated storage and distribution platform for all UHP gases, supports scalable growth, enhances operational flexibility, and enables more stable and diversified revenue generation. This model allows CHARBONE to efficiently serve mid-tier industrial gas customers with a reliable supply of UHP gases, including hydrogen, helium, oxygen, and any other high-demand gases that are often difficult to source reliably at the regional level. The Company is committed to supporting the global transition to a lower-carbon economy by providing accessible, decentralized clean hydrogen and specialty gases, while addressing supply gaps for underserved industrial customers and accelerating the shift towards localized clean energy. CHARBONE is listed on the TSX Venture Exchange (TSXV: CH), the OTC Markets (OTCQB: CHHYF), and the Frankfurt Stock Exchange (FSE: K47). For more information, please visit: www.charbone.com.
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Contact Charbone Corporation |
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Telephone: +1 450 678 7171 |
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Email: ir@charbone.com Benoit Veilleux CFO and Corporate Secretary |
Forward-Looking Statements
This news release contains statements that are “forward-looking information” as defined under Canadian securities laws (“forward-looking statements”). These forward-looking statements are often identified by words such as “intends”, “anticipates”, “expects”, “believes”, “plans”, “likely”, or similar words. The forward-looking statements reflect management's expectations, estimates, or projections concerning future results or events, based on the opinions, assumptions and estimates considered reasonable by management at the date the statements are made. Although Charbone believes that the expectations reflected in the forward-looking statements are reasonable, forward-looking statements involve risks and uncertainties, and undue reliance should not be placed on forward-looking statements, as unknown or unpredictable factors could cause actual results to be materially different from those reflected in the forward-looking statements. The forward-looking statements may be affected by risks and uncertainties in the business of Charbone. These risks, uncertainties and assumptions include, but are not limited to, those described under “Risk Factors” in the Company’s Filing Statement dated March 31, 2022, which is available on SEDAR at www.sedar.com; they could cause actual events or results to differ materially from those projected in any forward-looking statements.
Except as required under applicable securities legislation, Charbone undertakes no obligation to publicly update or revise forward-looking information.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Copyright (c) 2026 TheNewswire - All rights reserved.
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