Mr. Peter Deeb reports

HAMPTON FINANCIAL CORPORATION ANNOUNCES 1ST QUARTER RESULTS

Hampton Financial Corp. has released its financial results for the first quarter ended Nov. 30, 2023.

Highlights for the first quarter ended Nov. 30, 2023:

• Q1 revenues of $1,744,000, a decrease of 17 per cent year over year;
• Q1 net losses of $563,000 or two cents per share;
• Q1 EBITDA (earnings before interest, taxes, depreciation and amortization) of negative $249,000, versus negative $243,000 in the comparative quarter last year.

Summary of corporate developments:

The company's first quarter results reflect the challenging environment across the capital markets industry. Rising interest rates and global uncertainty delayed many financings and broader financial decisions on the part of issuers. While 2024 is showing some signs of improvement, the year ahead for the company's core business remains unclear. That said, Hampton Financial intends to move ahead with a number of initiatives to further expand its business portfolio, while growing its existing wealth management and capital markets businesses. In furtherance of this, the company is pleased to advise that negotiations are continuing as it seeks to agree to terms and then to close its previously announced potential acquisition of Oxygen Working Capital Corp.

"The first quarter results continue to demonstrate the industry-wide challenges faced during the fall of 2023. Capital markets activities have started to improve as interest rates have stabilized, so we are hopeful for a stronger second half of the year. We remain optimistic for the balance of the fiscal year," said Hampton executive chairman and chief executive officer Peter Deeb.

Copies of Hampton Financial's unaudited interim financial statements and its management's discussion and analysis for the three months ended Nov. 30, 2023, can be accessed on SEDAR+.

About Hampton Financial Corp.

Hampton Financial is a unique private equity firm that seeks to build shareholder value through long-term strategic investments. Through HSL, Hampton is actively engaged in family office, wealth management, institutional services and capital markets activities. HSL is a full-service investment dealer, regulated by CIRO and registered in Alberta, British Columbia, Manitoba, Saskatchewan, Nova Scotia, Northwest Territories, Ontario and Quebec. In addition, the company, through HSL, provides investment banking services, which include assisting companies with raising capital, advising on mergers and acquisitions, and aiding issuers in obtaining a listing on recognized securities exchanges in Canada and abroad, and HSL's corporate finance group provides early-stage, growing companies the capital they need to create value for investors. HSL continues to develop its wealth management, advisory team and principal-agent programs, offering to the industry's most experienced wealth managers a unique and flexible operating platform that provides additional freedom, financial support and tax effectiveness as they build and manage their professional practice.

The company is also exploring opportunities to diversify its sources of revenue by way of strategic investments in both complementary business and non-core sectors that can leverage the expertise of its board and the diverse experience of its management team.

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