Stardust Solar Achieves First-Ever EBITDA-Positive Quarter, Powered by Record Q3 Revenues of $1.78M (+99% YoY)

Rhea-AI Summary

Stardust Solar (OTCQB:SUNXF / TSXV:SUN) reported a record Q3 2025 with $1.78M revenue (+99% YoY) and its first EBITDA-positive quarter at $16,293. Gross margin widened to 44% (vs. 31% in Q3 2024) and year-to-date margin is 44% (vs. 29% YTD 2024). The company signed $2.55M of contracts in Q3 (+206% YoY), lifting backlog to $4.4M. Q3 net loss narrowed to $25,018 and operating cash flow turned positive at $131K. Cash and cash equivalents were $340K at quarter-end. Nine-month revenue was $3.99M (+40% YoY) and TTM revenue ≈ $4.8M (+32% YoY).

Positive

• Record revenue $1.78M Q3 (+99% YoY)
• Gross margin improved to 44% in Q3
• First EBITDA-positive quarter EBITDA $16,293
• Signed contracts $2.55M in Q3 (+206% YoY)
• Backlog increased to $4.4M (+38% vs June 30, 2025)
• Operating cash flow positive $131K in Q3

Negative

• Net loss of $25,018 remains negative
• Cash position modest at $340K at quarter-end
• Operating expenses $812,628 (+14% YoY) increased

News Market Reaction – SUNXF

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+39.59% News Effect

On the day this news was published, SUNXF gained 39.59%, reflecting a significant positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Vancouver, British Columbia--(Newsfile Corp. - October 28, 2025) - Stardust Solar Energy Inc. (TSXV: SUN) (OTCQB: SUNXF) (FSE: 6330) today reported record quarterly results for the three and nine months ended September 30, 2025, and the Company's first-ever EBITDA-positive quarter. Q3 revenue reached a record $1.78M (+99% YoY) with a gross margin of 44% (31% in Q3 2024). The Company secured a record $2.55M (+206% increase YoY) in new signed contracts, lifting backlog to $4.4M total.

Q3 2025 Highlights (three months ended September 30, 2025)

• Record revenue: $1.78M (+99% YoY), the strongest quarter in Company history.

• Gross margin: 44% (vs. 31% in Q3 2024); year-to-date margin also 44% (vs. 29% in YTD 2024).

• First-ever EBITDA-positive quarter: EBITDA of $16,293.

• Nearing profitability: Net loss of $25,018 (loss per share $0.00); net loss margin improved from -39% ($475K net loss) in Q2 to -1% in Q3 (a 95% narrower loss QoQ).

• Operating expenses: $812,628 (+14% YoY), reflecting higher advertising, promotion, professional and administrative costs tied to growth and public-company compliance.

• Record signed contracts & visibility: $2.55M signed in Q3 (largest quarter to date), which is +206% increase YoY compared to $829K in Q3 2024, driving the total backlog to $4.4M (+38% vs. June 30, 2025).

• Liquidity: Cash and cash equivalents $340K at quarter-end (June 30, 2025 - $171K).

• Operating cash flow: Positive $131K, the Company's first positive quarter since going public.

Year-to-Date and Trailing Twelve-Month Growth

• Nine months ended Sept 30, 2025: Revenue $3.99M, up $1.14M (+40%) from $2.85M in the prior-year period.

• TTM revenue: ~$4.8M, up 32% from ~$3.6M in the comparable prior-12-month period, underscoring sustained top-line momentum and diversified growth.

Management Commentary

"Q3 proves our model is scaling with discipline," said Mark Tadros, Founder & CEO. "We delivered record revenue, first-ever EBITDA positivity, a 44% gross margin, and a record quarter for signed contracts that pushed backlog to $4.4M. Most importantly, our net loss narrowed to just $25,000 with positive operating cash flow, showing clear progress toward consistent profitability. We are focused on converting backlog into revenue, supporting our franchise partners, and tightly managing working capital."

Outlook

Management expects to continue franchise expansion and direct product sales growth across Canada, the U.S. and internationally through 2026, with a sustained focus on working-capital optimization, supply-chain efficiency, and profitable franchise network scaling. (Forward-looking information; see "Regulatory Disclosure & Forward-Looking Information.")

Non-IFRS Measures

This news release refers to "signed contract", "backlog", which do not have standardized meanings under IFRS and may not be comparable to similar measures used by other issuers. The company backlog represents the aggregate dollar value of all solar projects that have not yet been executed across the Company's franchise network. Management believes the Company backlog is an important indicator of the overall strength and growth of the franchise network as they reflect the total activity generated by franchisees. The Company backlog is not equivalent to revenue recognized by the Company under IFRS and should not be considered as a substitute for the Company's consolidated results. Rather, they are provided as supplemental information to illustrate the performance of the entire network, including projects generated at the franchise level.

About Stardust Solar:

Stardust Solar is a North American franchisor of renewable energy installation services, specializing in solar panels (PV), energy storage systems, and electric vehicle supply equipment. The Company equips entrepreneurs with branded business management services, cutting-edge equipment, and comprehensive support, including marketing, sales, engineering, and project management. With franchises across Canada and the United States, Stardust Solar drives the adoption of clean energy solutions that boost economic development and create a more sustainable future.

Media and Investor Contacts:

Erica Bearss, MBA, DBA (c) | VP Corporate Communications
investors@stardustsolar.com

stardustsolar.com

Stardust Solar Energy Inc.
B101-9000 Bill Fox Way, Burnaby BC V5J 5J3 - Canada
732 S 6th St, STE N, Las Vegas, NV 89101
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Disclaimer:

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.

The TSX Venture Exchange Inc. has neither approved nor disapproved the contents of this press release.

The information in this news release includes certain information and statements about management's view of future events, expectations, plans and prospects that constitute forward-looking statements, including statements relating to the Company's business plans and expected future growth, expected franchise expansions, the outlook of future operations, revenue growth, new opportunities and the demand for the Company's products. These statements are based upon assumptions that are subject to significant risks and uncertainties. Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance may differ materially from those anticipated and indicated by these forward-looking statements. Any number of factors could cause actual results to differ materially from these forward‐looking statements as well as future results. Although the Company believes that the expectations reflected in forward-looking statements are reasonable, it can give no assurances that the expectations of any forward-looking statements will prove to be correct. Except as required by law, the Company disclaims any intention. It assumes no obligation to update or revise any forward-looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking statements or otherwise.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/272198

FAQ

What were Stardust Solar (SUNXF) Q3 2025 revenues and growth?

Q3 2025 revenue was $1.78M, up 99% YoY.

Did Stardust Solar (SUNXF) report positive EBITDA in Q3 2025?

Yes; Q3 2025 EBITDA was $16,293, the company's first EBITDA-positive quarter.

How large is Stardust Solar's (SUNXF) backlog after Q3 2025?

Backlog totaled $4.4M following $2.55M of signed contracts in Q3.

What was Stardust Solar's (SUNXF) operating cash flow and cash balance in Q3 2025?

Operating cash flow was positive $131K and cash and cash equivalents were $340K at quarter-end.

How did Stardust Solar's (SUNXF) profitability metrics change in Q3 2025?

Gross margin rose to 44% and net loss narrowed to $25,018 (loss per share $0.00).

What is Stardust Solar's (SUNXF) year-to-date and TTM revenue trend through Sept 30, 2025?

Nine-month revenue was $3.99M (+40% YoY) and TTM revenue was approximately $4.8M (+32% YoY).