Mr. Jeff Kendrick reports

CEMATRIX ANNOUNCES $6.0 MILLION IN NEW CONTRACTS WHILE OUR BACKLOG CONTINUES TO BE REALIZED

Cematrix Corp.'s wholly owned operating subsidiaries, which include Cematrix (Canada) Inc. (CCI), MixOnSite USA Inc. (MOS) and Pacific International Grout Company (PIGCO), have executed $6-million in new contracts in 2023, bringing the total contracts announced since the end of the fiscal year to $15.8-million.

Projects totalling $36-million are currently scheduled for 2023, of which $28.6-million are contracted.

Factoring in the $6-million in contracts executed, converted contracts, the increase in contracts in process of $1.8-million and sales completed to the end of March, 2023, the corporation's backlog has increased to $93.2-million, a 17-per-cent increase compared with Cematrix's sales adjusted backlog of $79.6-million at Dec. 31, 2022. Of the corporation's current backlog, $44.3-million is now contracted and $48.9-million is contracts in process.

"The $6-million in contracts executed are for geotechnical infrastructure projects across North America," stated Jeff Kendrick, Cematrix president and chief executive officer. "One of the new contracts is a $2.2-million commercial project on the West Coast. The balance of the new projects are infrastructure applications with price tags below $1-million. Organic growth is strong and we expect this trend to continue for the foreseeable future. This fact is reflected in our backlog and our sales pipeline, which has increased and now exceeds $430-million."

"What is notable is that our backlog is being realized as we have seen record sales since mid 2022 despite cement shortage issues, which are now becoming less of a concern," continued Mr. Kendrick. "This new sales trend together with improved cement supply in most of our major markets is driving improving gross margins across North America."

The company's sales pipeline is defined as the estimated value of projects that the company has been approached on for a design or quote or both and/or from the quotes that have been requested as part of a infrastructure construction tender document listed on one of the construction project data bases like Construct Connect. The corporation's backlog is defined as contracted plus contracts in process net of sales completed to date. Contracts in process are defined as projects where the related contract is in office for review or signature; or signed and returned to the client for their signature; or is in the postaward project submission process; or is awarded by letter of intent; or is awarded by some other form of written communication.

About Cematrix Corp.

Cematrix is a rapidly growing company that manufactures and supplies technologically advanced cellular concrete products developed from proprietary formulations across North America. This unique cement-based material with superior thermal protection delivers cost-effective, innovative solutions to a broad range of problems facing the infrastructure, industrial (including oil and gas) and commercial markets. With the acquisitions of Chicago-based MixOnSite and Bellingham-based Pacific International Grout, Cematrix is now a true leader in North America's growing cellular concrete market.

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