Eddy Smart Home Solutions Ltd. Announces Q2 2026 Financial Results
Rhea-AI Summary
Eddy Smart Home Solutions (TSXV: EDY, OTC: ESHSF) reported Q2 2026 revenue of $1.36 million, up 27% from $1.07 million in Q2 2025. For the first half of 2026, revenue rose 21% to $2.59 million. Q2 2026 net loss was $1.09 million versus $1.01 million a year earlier, while the six‑month net loss widened to $1.89 million from $1.77 million, which the company attributed mainly to higher sales recruitment costs supporting U.S. expansion.
Non‑IFRS operational revenue grew 43% in Q2 to $3.07 million and 30% year‑to‑date to $5.67 million. Q2 recurring billings were $944,054 (vs. $934,628), and six‑month recurring billings increased about 16% to $1.99 million, with average monthly recurring revenue of $332,753 and an annualized run‑rate of roughly $4.0 million. Installed in‑building devices reached 145,127 at June 30, 2026, up about 20% year over year.
The company also confirmed shareholder approval in 2025 to convert its equity incentive plan from a rolling up to 10% to a fixed up to 20% security‑based compensation plan and ratified a conditional grant of 63,200 restricted share units to certain directors.
Positive
- Q2 2026 revenue up 27% YoY to $1.36 million
- H1 2026 revenue up 21% YoY to $2.59 million
- Q2 operational revenue up 43% YoY to $3.07 million
- H1 operational revenue up 30% YoY to $5.67 million
- Six‑month recurring billings up ~16% YoY to $1.99 million
- Installed devices up ~20% YoY to 145,127 units
Negative
- Q2 2026 net loss increased to $1.09 million from $1.01 million
- H1 2026 net loss widened to $1.89 million from $1.77 million
- Equity incentive plan capacity raised to fixed up to 20% of shares
AI-generated analysis. How Rhea-AI works. Not financial advice.
Toronto, Ontario--(Newsfile Corp. - August 26, 2026) - Eddy Smart Home Solutions Ltd. (TSXV: EDY) ("Eddy" or the "Company") is pleased to announce its financial results for the three and six months ended June 30, 2026.
Q2 2026 Highlights
Revenue
For the three months ended June 30, 2026, revenue increased
For the six months ended June 30, 2026, revenue increased
Net Loss
For the three months ended June 30, 2026, net loss was
For the six months ended June 30, 2026, net loss was
The increase in net loss was primarily attributable to higher expenditures associated with the recruitment of sales professionals as the Company continues to expand its sales organization. These expenditures reflect the Company's investment in its sales organization and its strategic objective of expanding its market presence in the United States.
Operational Revenue - Non-IFRS Financial Measure
Operational revenue is a non-IFRS financial measure that represents total billings under customer contracts, including monthly monitoring subscriptions, equipment rentals and sales, project management services, and installation activities. Operational revenue is not a standardized financial measure under IFRS and may not be comparable to similarly titled measures used by other companies.
Operational revenue differs from reported IFRS revenue primarily because customer billings and revenue recognition under IFRS may occur in different periods depending on the nature of the customer arrangement and the applicable revenue recognition requirements. Accordingly, operational revenue should be considered as a supplemental measure of customer billings and not as a substitute for IFRS revenue.
For the three months ended June 30, 2026, operational revenue increased
For the six months ended June 30, 2026, operational revenue increased
Recurring Billings and Average Monthly Recurring Revenue - Non-IFRS Financial Measures
Recurring billings are a non-IFRS financial measure representing billings associated with the Company's contracted monthly monitoring and equipment arrangements. The measure is intended to provide supplemental information regarding the recurring billing component of the Company's business. Recurring billings are not equivalent to IFRS revenue and are not a standardized financial measure under IFRS.
The Company generates billings under a combination of monthly and annual customer arrangements. As a result, the timing of billings may differ from the timing of revenue recognition under IFRS. Management uses recurring billings and average monthly recurring revenue as supplemental operating measures when evaluating the Company's recurring billing activity.
For the three months ended June 30, 2026, recurring billings totaled
For the six months ended June 30, 2026, recurring billings totaled
Average monthly recurring revenue was
In-Building Devices
The Company also monitors the number of in-building devices installed as an operating metric reflecting the deployment of its smart water metering and leak protection solutions.
As of June 30, 2026, Eddy had 145,127 in-building devices installed, compared to 120,804 as of June 30, 2025, representing an increase of approximately
The installed-device count is an operating metric used by management to monitor deployment of the Company's solutions. The number of installed devices does not, on its own, provide an indication of the Company's market share, customer retention, profitability, or future financial performance.
Equity Incentive Plan
In connection with its application for final acceptance from the TSX Venture Exchange (the "TSXV"), the Company confirms that, at its annual and special meeting of shareholders held on June 27, 2025 (the "Meeting"), disinterested shareholders approved amendments to the Company's omnibus equity incentive plan (the "Plan") to convert the Plan from a "rolling up to
At the Meeting, disinterested shareholders also approved the Company's conditional grant, made on April 2, 2025, of an aggregate of 63,200 restricted share units to certain directors of the Company as more fully described in the management information circular dated May 22, 2025.
About Eddy
Eddy is a North American provider and developer of smart water metering products and monitoring services for commercial and multi-family residential properties. Eddy's solutions help property owners and developers protect, control, and conserve water usage through advanced sensing devices and behavioral learning software. For more information, visit www.eddysolutions.com.
For further details on the Company's financial performance, please review the Company's unaudited condensed consolidated interim financial statements and management's discussion and analysis for the three and six months ended June 30, 2026, and 2025, available on Eddy's SEDAR+ profile at www.sedarplus.ca.
Forward-Looking Statements
This news release contains forward-looking statements within the meaning of applicable securities laws. These statements reflect management's current expectations and are based on assumptions and estimates that involve risks and uncertainties. Actual results may differ materially from those anticipated in the forward-looking statements. Factors that could cause actual results to differ are discussed in the Company's most recent management's discussion and analysis under "Risks and Uncertainties," available on SEDAR+. Eddy undertakes no obligation to update these statements, except as required by law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information, please contact:
Mark Silver
Executive Chairman and Chief Executive Officer
Tel: 416.221.8998
Email: ir@eddysolutions.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/311750