Kelso Technologies Inc. Financial Results for the Three Months Ended September 30, 2025
Kelso Technologies (OTC: KIQSF) reported third-quarter 2025 results and released interim financial statements approved November 6, 2025. Q3 net income was $182,851 (continuing ops $187,119) and revenue rose 11.3% YoY to $2.81M. Adjusted EBITDA from continuing operations was $218,880. Year-to-date expenses fell 20% ($766,486). Cash at Sept 30, 2025 was $835,098, working capital $2.89M, and common shares outstanding were 55,160,086. The company increased its line of credit to $1,000,000 and appointed CBIZ CPAs as auditor effective Oct 6, 2025. Guidance for FY2025 sales is 0%–5% growth; management expects tank car production to decline in 2026 and recover in 2027 while pursuing diversification into adjacent industrial markets.
Kelso Technologies (OTC: KIQSF) ha riportato i risultati del terzo trimestre 2025 e ha pubblicato i bilanci intermedi approvati il 6 novembre 2025. Il reddito netto del Q3 è stato $182,851 (operazioni in corso $187,119) e i ricavi sono aumentati del 11,3% su base annua a $2,81M. L'EBITDA rettificato dalle operazioni in corso è stato $218,880. Le spese da inizio anno si sono ridotte del 20% ($766,486). La disponibilità di cassa al 30 settembre 2025 era $835,098, il capitale circolante $2,89M, e le azioni ordinarie in circolazione erano 55,160,086. L'azienda ha aumentato la linea di credito a $1,000,000 e ha nominato CBIZ CPAs come revisore contabile con effetto dal 6 ottobre 2025. Le previsioni per le vendite FY2025 sono una crescita 0%–5%; la direzione si aspetta che la produzione di carrozze ferroviarie scenda nel 2026 e si riprenda nel 2027, mentre prosegue la diversificazione verso mercati industriali adiacenti.
Kelso Technologies (OTC: KIQSF) informó resultados del tercer trimestre de 2025 y publicó estados financieros interinos aprobados el 6 de noviembre de 2025. La ganancia neta del 3T fue $182,851 (operaciones continuas $187,119) y los ingresos aumentaron un 11,3% interanual a $2,81M. El EBITDA ajustado de operaciones continuas fue $218,880. Los gastos acumulados al año cayeron un 20% ($766,486). La caja al 30 de septiembre de 2025 fue $835,098, el capital de trabajo $2,89M, y las acciones en circulación fueron 55,160,086. La empresa aumentó su línea de crédito a $1,000,000 y designó a CBIZ CPAs como auditor con efecto a partir del 6 de octubre de 2025. La orientación para ventas FY2025 es de crecimiento del 0% al 5%; la dirección espera que la producción de vagones de ferrocarril caiga en 2026 y se recupere en 2027, mientras busca diversificarse hacia mercados industriales adyacentes.
Kelso Technologies (OTC: KIQSF) 2025년 3분기 실적을 발표했고 2025년 11월 6일 승인된 중간 재무제표를 공개했습니다. 3분기 순이익은 $182,851 (계속 영업 $187,119)이고 매출은 연간 대비 11.3% 증가한 $2.81M입니다. 지속영업에서의 조정 EBITDA는 $218,880였습니다. 연초 대비 누적 비용은 20% 감소 ($766,486)입니다. 현금은 2025년 9월 30일 기준 $835,098, 운전자본은 $2.89M, 발행주식 수는 55,160,086주였습니다. 회사는 신용한도를 $1,000,000로 확대했고 2025년 10월 6일부로 CBIZ CPAs를 회계감사인으로 지정했습니다. FY2025 매출 가이던스는 0%–5% 성장으로 제시되며, 경영진은 2026년에 탱크카 생산이 감소하고 2027년에 회복하며 인접한 산업시장으로의 다각화를 추진할 것으로 기대합니다.
Kelso Technologies (OTC : KIQSF) a publié les résultats du troisième trimestre 2025 et les états financiers intermédiaires approuvés le 6 novembre 2025. Le revenu net du T3 était $182,851 (activités en cours $187,119) et le chiffre d'affaires a augmenté de 11,3% sur un an pour atteindre $2,81M. L'EBITDA ajusté des activités en cours était $218,880. Les dépenses cumulées à ce jour ont diminué de 20% ($766,486). La trésorerie au 30 septembre 2025 était $835,098, le fonds de roulement $2,89M, et le nombre d'actions ordinaires en circulation était 55,160,086. L'entreprise a augmenté sa ligne de crédit à $1,000,000 et a nommé CBIZ CPAs comme auditeur à compter du 6 octobre 2025. Les prévisions pour les ventes FY2025 sont une croissance de 0%–5% ; la direction prévoit que la production de wagons-citernes diminuera en 2026 et se redressera en 2027 tout en poursuivant la diversification vers des marchés industriels adjacents.
Kelso Technologies (OTC: KIQSF) meldete die Ergebnisse für das dritte Quartal 2025 und veröffentlichte Zwischenabschlüsse, die am 6. November 2025 genehmigt wurden. Der Nettogewinn im Q3 betrug $182,851 (fortführende Geschäfte $187,119) und der Umsatz stieg um 11,3% YoY auf $2,81M. Der bereinigte EBITDA aus fortgeführten Geschäften betrug $218,880. Die Aufwendungen seit Jahresbeginn sanken um 20% ($766,486). Zum 30. September 2025 belief sich die Cash-Position auf $835,098, das Working Capital betrug $2,89M, und die ausstehenden Stammaktien betrugen 55,160,086. Das Unternehmen erhöhte seine Kreditlinie auf $1,000,000 und benannte CBIZ CPAs zum Wirtschaftsprüfer mit Wirkung zum 6. Oktober 2025. Die Guidance für den FY2025-Umsatz liegt bei 0%–5% Wachstum; das Management erwartet, dass die Produktion von Tankwagen im Jahr 2026 sinkt und sich 2027 erholt, während eine Diversifizierung in benachbarte Industrie-Märkte angestrebt wird.
Kelso Technologies (OTC: KIQSF) أبلغت عن نتائج الربع الثالث من عام 2025 وأصدرت البيانات المالية الوسيطة المعتمدة في 6 نوفمبر 2025. صافي دخل الربع الثالث كان $182,851 (العمليات المستمرة $187,119) وبلغ الإيرادات ارتفاعاً 11.3% على أساس سنوي إلى $2.81M. EBITDA المعدلة من العمليات المستمرة كانت $218,880. وتكاليف السنة حتى تاريخه انخفضت بنسبة 20% ($766,486). النقد في 30 سبتمبر 2025 كان $835,098، ورأس المال العامل $2.89M، وعدد الأسهم العادية القائمة 55,160,086. زادت الشركة خط ائتماني إلى $1,000,000 وعينت CBIZ CPAs كمراجع حسابات سارية المفعول اعتباراً من 6 أكتوبر 2025. التوجيه للمبيعات للسنة المالية 2025 هو نمو 0%–5%؛ وتتوقع الإدارة انخفاض إنتاج عربات القطارات في 2026 وارتفاعه في 2027 مع متابعة Diversification إلى أسواق صناعية مجاورة.
- Revenue +11.3% YoY to $2.81M
- Adjusted EBITDA increased to $218,880
- Expenses reduced 20% year-to-date ($766,486)
- Gross profit margin down 200 bps to 42%
- New tank car production projected to decline in 2026
- Discontinued operations loss of $95,493 year-to-date
West Kelowna, British Columbia and Bonham, Texas--(Newsfile Corp. - November 5, 2025) - Kelso Technologies Inc. (TSX: KLS) ("Kelso" or the "Company"), reports that the Company has released the unaudited interim consolidated financial statements and Management Discussion and Analysis for the three months ended September 30, 2025.
The unaudited interim consolidated financial statements were prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB"). All amounts herein are expressed in United States dollars (the Company's functional currency) unless otherwise indicated. The Company's unaudited interim consolidated financial statements and MD&A for the three months ended September 30, 2025 were approved by the Board of Directors on November 6, 2025.
HIGHLIGHTS:
Kelso Technologies Inc. announces its third consecutive profitable quarter.
The Company reported Q3-2025 net income of
$182,851 or$0.00 per share. Excluding discontinued operations, the Company reported net income of$187,119. In Q3-2025, gross revenue rose
11.3% year-over-year to$2.81 million , up from$2.52 million in Q3-2024. This growth was primarily attributable to orders deferred from Q2 into Q3, largely as a result of macroeconomic factors; Kelso's principal customers responded cautiously to new tariffs introduced in April and May. Since late Q2-2025, the Company has noted some improvement as the industry adapts to prevailing market conditions. Nevertheless, there is an observable deceleration in new tank car constructions as year-end approaches.In 2025 year to date, the Company reduced total expenses by
20% ($766,486) t hrough cost management. Third-quarter revenue rose due to order timings, but new tank car builds faced challenges from tariff uncertainties. Management remains committed to profitable growth and seeks diversification beyond rail.The Company is exploring opportunities in related sectors like Water & Wastewater, Oil & Gas, Chemicals, Paper & Pulp, Irrigation, and other industries by utilizing existing assets and expertise. Expanding into these areas supports Kelso's growth and extends its market reach with minimal capital investment as global demand for advanced valve technologies continues to rise.
For FY2025, the company expects sales growth between
0% and5% over fiscal year 2024. New tank car production is projected to decline in 2026 but recover in 2027. Kelso is controlling costs and streamlining operations to be ready for future growth and improved profitability as industry demand increases.During the three-month period ending on September 30, 2025, the Company successfully secured an increase to its line of credit, raising the available borrowing capacity from
$500,000 t o$1,000,000. T his enhancement provides the Company with immediate access to the full amount of$1,000,000 under its line of credit facility.Effective Oct 6, 2025, the Company appointed CBIZ CPAs P.C. as its new public accounting firm following the resignation of Smythe LLP on September 25, 2025 due to a change in Smythe's policies. The Audit Committee reviewed proposals from several firms and recommended CBIZ, which was approved by the Board of Directors until the next Annual General Meeting.
SUMMARY OF FINANCIAL PERFORMANCE
| Three months ended September 30 | 2025 | 2024 * | |||||
| Revenues | $ | 2,808,144 | $ | 2,523,282 | |||
| Gross Profit | $ | 1,166,259 | $ | 1,113,199 | |||
| Gross profit margin | |||||||
| Adjusted EBITDA continuing operations | $ | 218,880 | $ | 37,309 | |||
| Profit (Loss) from continuing operations | $ | 187,119 | ( | ) | |||
| Profit (Loss) from discontinued operations | ( | ) | ( | ) | |||
| Basic earnings (loss) per share - continuing ops | $ | 0.00 | ( | ) | |||
| Basic earnings (loss) per share - discontinued ops | ( | ) | ( | ) | |||
| Nine months ended September 30 | 2025 | 2024 * | |||||
| Revenues | $ | 8,609,426 | $ | 8,067,477 | |||
| Gross Profit | $ | 3,651,459 | $ | 3,582,797 | |||
| Gross profit margin | |||||||
| Profit (Loss) from continuing operations | $ | 762,806 | ( | ) | |||
| Profit (Loss) from discontinued operations | ( | ) | ( | ) | |||
| Basic earnings (loss) per share - continuing ops | $ | 0.01 | ( | ) | |||
| Basic earnings (loss) per share - discontinued ops | ( | ) | ( | ) | |||
| Liquidity and Capital Resources | Sep 30, 2025 | Dec 31, 2024 * | |||||
| Working capital | $ | 2,893,240 | $ | 2,125,386 | |||
| Cash | $ | 835,098 | $ | 153,147 | |||
| Accounts receivable | $ | 870,872 | $ | 1,091,304 | |||
| Net Equity | $ | 4,896,343 | $ | 4,229,030 | |||
| Total assets | $ | 6,516,637 | $ | 6,570,345 | |||
| Common shares outstanding | 55,160,086 | 54,443,422 | |||||
(*) FY2024 numbers adjusted for discontinued operations. Refer to Note 16 of the Q3-2025 Financial Statements.
Readers are cautioned that Adjusted EBITDA (Loss) should not be construed as an alternative to net income (loss) as determined under IFRS Accounting Standards; nor as an indicator of financial performance as determined by IFRS Accounting Standards; nor a calculation of cash flow from operating activities as determined under IFRS Accounting Standards; nor as a measure of liquidity and cash flow under IFRS Accounting Standards. The Company's method of calculating Adjusted EBITDA may differ from methods used by other issuers and, accordingly, the Company's Adjusted EBITDA may not be comparable to similar measures used by any other issuer.
LIQUIDITY AND CAPITAL RESOURCES
As at September 30, 2025 the Company had cash on deposit in the amount of
The working capital position of the Company as at September 30, 2025 was
Total assets of the Company were
During the year ended December 31, 2024, the Company also obtained a line of credit of
OUTLOOK
Kelso Technologies Inc. has delivered its third consecutive profitable quarter, signaling a steady recovery from earlier macroeconomic challenges. For Q3-2025, the Company reported net income of
Operational efficiency remains a cornerstone of Kelso's strategy. Year-to-date, the Company has reduced expenses by
Looking ahead, Kelso anticipates flat to modest sales growth of
SUMMARY
Kelso Technologies Inc. is emerging from a challenging financial landscape with improved operational efficiency, disciplined cost management, and a clear diversification strategy. While near-term growth remains modest, the Company's proactive measures-such as expanding into adjacent markets, securing product approvals, and strengthening liquidity-position it well for long-term success. With no interest-bearing long-term debt and a focus on innovation, Kelso is poised to capitalize on industry recovery and rising demand, driving sustainable profitability and shareholder value in the years ahead.
About Kelso Technologies
Kelso is a light industrial production and engineering company that specializes in the assembly, sales and distribution of proprietary products used in rail and other transportation, as well as expanding into other advanced industrial valve sectors. The Company's rail equipment business has been developed as a designer and reliable domestic supplier of unique high-quality rail tank car valves that provide for the safe handling and containment of commodities during transport. Kelso products are specifically designed to address the challenging issues of public safety, worker well-being and preventing environmental harm while providing effective and efficient operational advantages to customers. Kelso's innovation objectives are to create products that diminish the potentially dangerous effects of human and technology error through the use of the Company's portfolio of proprietary products.
For a more complete business and financial profile of the Company, please view the Company's website at www.kelsotech.com and public documents posted under the Company's profile on SEDAR in Canada and on EDGAR in the United States.
On behalf of the Board of Directors,
Frank Busch, CEO
Legal Notice Regarding Forward-Looking Statements: This news release contains "forward-looking statements" within the meaning of applicable securities legislation. Forward-looking statements indicate expectations or intentions. Forward-looking statements in this news release include: that profitability and growth are achievable this year given the tariff uncertainty in rail tank car production; that the Company will successfully diversify into new industrial valve sectors including water and waste-water, oil and gas, chemicals, pulp and paper and irrigation; that successful market diversification will require minimal capital investment; that sales growth will occur in 2025; that new rail products will receive AAR approvals and customers will buy them; and that current working capital, strict cost controls and anticipated sales activity will be sufficient for the Company to conduct ongoing business operations for the foreseeable future. Although Kelso believes the Company's anticipated future results, performance or achievements expressed or implied by the forward-looking statements and information are based upon reasonable assumptions and expectations, they can give no assurance that such expectations will prove to be correct. The reader should not place undue reliance on forward-looking statements and information as such statements and information involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Kelso to differ materially from anticipated future results, performance or achievement expressed or implied by such forward-looking statements and information, including without limitation that risks in the rail industry including tariffs, high interest rates, inflation and supply chain issues may reduce or delay business orders from customers; that the development of new products may proceed slower than expected, cost more or may not result in a saleable product; that diversifying into new market sectors will be successful; that tank car producers may produce or retrofit fewer cars than expected; that customers may not purchase the Company's products for their tank cars; that capital resources may not be adequate enough to fund future operations as intended; that the Company's products may not provide the intended economic or operational advantages to end users; that the Company's new rail products may not receive regulatory certification; that customer orders may not develop or be delayed; that competitors may enter the market with new product offerings which could capture some of the Company's market share; that a new product idea under research and development may be dropped if ongoing product testing and market research reveal engineering and economic issues that render a new product concept infeasible; and that the Company's new equipment offerings may not capture market share as well as expected. Except as required by law, the Company does not intend to update the forward-looking information and forward-looking statements contained in this news release.
For further information, please contact:
| Frank Busch Chief Executive Officer Email: investor@kelsotech.com | Sameer Uplenchwar | Head office: |
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/273373
FAQ
What were Kelso Technologies (KIQSF) Q3-2025 revenue and net income?
How did Kelso (KIQSF) improve profitability in 2025?
What liquidity changes did Kelso (KIQSF) announce on Nov 6, 2025?
What is Kelso's FY2025 sales guidance released Nov 6, 2025?
Will Kelso's (KIQSF) core tank car business be affected in 2026?
Who is Kelso's auditor as of Oct 6, 2025 and why does it matter?
