Karbon-X Files Quarterly Report on Form 10-Q Highlighting Strong Revenue Growth and Commercial Scale

Rhea-AI Summary

Karbon-X (OTCQX:KARX) filed its Form 10-Q for the six months ended November 30, 2025, reporting rapid commercial scale-up and material financial changes.

Key metrics: revenue rose to $56.5M from $1.3M year-over-year; gross profit was $2.3M; ending cash increased 347% to $6.5M. The company highlighted expanded global carbon credit sales, new long-term purchase agreements, enhanced trading capabilities, and development of next-generation carbon removal credits.

Positive

• Revenue increased from $1.3 million to $56.5 million year-over-year
• Gross profit more than tripled to $2.3 million year-over-year
• Ending cash balances rose 347% year-over-year to $6.5 million
• Expanded carbon credit sales across VCS, Gold Standard, ACR, and REDD+

Negative

• Cost of revenue scaled to support higher transaction volumes, constraining margin expansion
• Reported financials are unaudited consolidated statements for the six months ended November 30, 2025

CALGARY, AB / ACCESS Newswire / February 4, 2026 / Karbon-X Corp. (OTCQX:KARX) ("Karbon-X" or the "Company"), a vertically integrated climate solutions company, today announced that it has filed its Quarterly Report on Form 10-Q for the six months ended November 30, 2025.

The filing highlights continued momentum in Karbon-X's commercial operations, driven by significant revenue growth and the expansion of its global carbon activities across both compliance and voluntary markets.

"Over the past several quarters, we transformed Karbon-X from a developing platform into a scaled, revenue-generating global operator," said Chad Clovis, Chief Executive Officer of Karbon-X Corp.

"Revenue increased to $56.5 million (USD), compared to $1.3 million (USD) in the prior-year period, reflecting the strength of our commercial strategy and the growing demand for high-integrity carbon solutions. As we continue to invest in scaling our operations, our expanding global footprint, improved profitability, and strengthened cash position us well for the next phase of growth and long-term value creation for shareholders."

Financial Highlights:

• Revenue increased from $1.3 million to $56.5 million (USD) compared to the same period in the prior year, reflecting significant growth in global trading activity and commercial execution.

• Gross profit more than tripled year-over-year to $2.3 million (USD), even as the Company scaled cost of revenue to support higher transaction volumes.

• Liquidity strengthened materially, with ending cash balances increasing 347% year-over-year to $6.5 million (USD), supported by equity issuances and disciplined working capital management.

Operational and Strategic Highlights:

• Continued expansion of global carbon credit sales across multiple standards, including VCS, Gold Standard, ACR, and REDD+, supporting revenue diversification.

• Secured new long-term purchase agreements and expanded commercial relationships with corporate sustainability clients.

• Enhanced trading and brokerage capabilities, improving execution speed, market access, and margin capture.

• Advanced the development and delivery of next-generation carbon removal solutions, including CDR and C-Sink credits, strengthening the Company's long-term project pipeline.

• Implemented upgraded governance, compliance, and financial reporting systems to support continued growth, transparency, and audit readiness.

Positioned for Continued Growth:

With a diversified revenue engine and a growing global portfolio, Karbon-X believes it is well positioned to continue expanding its operations and capitalizing on increasing demand for trusted, high-integrity carbon solutions. The Company remains focused on disciplined growth, strategic partnerships, and long-term value creation for shareholders.

The Company's unaudited consolidated financial statements and additional disclosures are included in the Quarterly Report on Form 10-Q, available under the Company's profile on OTC Markets and with the U.S. Securities and Exchange Commission at www.sec.gov

About Karbon-X:

Karbon-X Corp. (OTCQX:KARX) is a vertically integrated climate solutions company delivering end-to-end services across compliance and voluntary carbon markets. From project origination and emissions quantification to verification support, credit issuance, and market distribution, Karbon-X provides trusted, transparent climate solutions to businesses and institutions globally.

Forward-Looking Statements:

This news release contains forward-looking statements, including but not limited to expectations related to Karbon-X Corp.'s financial performance, business strategy, growth plans, and market positioning. These statements are subject to risks and uncertainties that could cause actual results to differ materially. Karbon-X Corp. undertakes no obligation to update forward-looking statements except as required by law.

Media Contacts:

Adriana Ebell
Interim Chief Financial Officer
Karbon-X Corp.
a.ebell@karbon-x.com

Emma Caputo
VP of Marketing
Karbon-X Corp.
ec@karbon-x.com

SOURCE: Karbon-X Project Inc.

View the original press release on ACCESS Newswire

FAQ

How much revenue did Karbon-X (KARX) report for the six months ended November 30, 2025?

Karbon-X reported $56.5 million in revenue for the six months ended November 30, 2025. According to the company, this compares with $1.3 million in the prior-year period and reflects expanded global trading and commercial execution.

What did Karbon-X (KARX) report about profitability in its February 4, 2026 Form 10-Q?

Karbon-X reported $2.3 million in gross profit for the period. According to the company, gross profit more than tripled year-over-year despite scaled cost of revenue to support higher transaction volumes.

How strong is Karbon-X's cash position after the latest 10-Q filing for KARX?

Karbon-X ended the period with $6.5 million in cash, up 347% year-over-year. According to the company, the increase was supported by equity issuances and disciplined working capital management.

What commercial progress did Karbon-X (KARX) highlight in the Form 10-Q?

Karbon-X highlighted expanded global carbon credit sales across multiple standards and new long-term purchase agreements. According to the company, these developments support revenue diversification and growing corporate sustainability relationships.

What future initiatives did Karbon-X (KARX) disclose in the February 4, 2026 filing?

Karbon-X said it is advancing next-generation carbon removal solutions including CDR and C-Sink credits and upgrading governance and reporting systems. According to the company, these steps aim to strengthen its project pipeline and audit readiness.