Mr. Amit Bohensky reports

ZOOMD TECHNOLOGIES REPORTS FIRST QUARTER 2026 FINANCIAL RESULTS

Zoomd Technologies Ltd. has released its financial results for the three month period ended March 31, 2026. The company's financial statements and management discussion and analysis (MD&A) are available in the investors section of Zoomd's website and on SEDAR+ under the company's profile.

Unless otherwise stated herein, all amounts are presented in United States dollars.

Key highlights

• Q1 2026 revenues were $6.9-million, with a net loss of $500,000 and positive cash flow from operations of $600,000. Ended the period with $22.5-million in cash and no bank debt.
• As outlined previously, two major customers implemented changes to their operating models. While visibility with one customer remains limited, activity levels with the second customer have recently begun to increase.
• As previously announced, the company has launched a normal course issuer bid (NCIB) program, with purchases set to commence following the release of its Q1 2026 financial results.

Management commentary

Ido Almany, chief executive officer of Zoomd Technologies, stated:

"This quarter reflects an ongoing transition period for the company, during which we maintained positive cash flow from operations and ended the quarter with $22.5-million in cash, reflecting the financial discipline and operational flexibility we continue to maintain across the business.

"As stated in our previous reports, we are managing reduced activity from two major customers following changes to their operating models. While visibility with one customer remains limited, we have recently begun to see an increase in activity levels with the second customer.

"During the quarter, we implemented decisive cost optimization measures, including work force reduction initiatives and additional expense efficiencies, designed to better align our cost structure with current activity levels, while preserving our focus on growth initiatives, business development and technology capabilities.

"At the same time, our diversification strategy continues to deliver measurable results. Customers onboarded during 2025 contributed approximately 30 per cent of revenues during the quarter, while customer concentration continued to decline.

"The cash position we built in 2025 is a strategic asset, giving us the flexibility to pursue both continued organic growth and selective inorganic opportunities that align with our long-term direction."

Amit Bohensky, chairman of Zoomd Technologies, added:

"Zoomd's strong financial position continues to provide the company with substantial flexibility as we navigate the current transition period. Our balance sheet remains strong, allowing us to continue investing in growth initiatives, strategic partnerships and technology capabilities, while also supporting capital allocation initiatives designed to create long-term shareholder value.

"As previously announced, following the release of our first quarter 2026 financial results, the company has launched a normal course issuer bid (NCIB) program as part of our ongoing capital allocation strategy. We believe the current trading price of the company's shares may not fully reflect the underlying value of the business, its financial position, long-term prospects and the strategic initiatives currently under way. Given the strength of our balance sheet and liquidity position, we believe the NCIB represents an attractive and disciplined use of capital.

"We remain confident in the company's long-term direction, the resilience of our business model and our ability to adapt to changing market conditions while continuing to build long-term value for our shareholders."

First quarter 2026 financial highlights

• Revenues in Q1 2026 were $6.9-million, a 62-per-cent decrease from $18.2-million in Q1 2025, reflecting the continued impact of operating model changes implemented by two major customers, with recent improvement in activity levels from one customer.
• Gross margin in Q1 2026 was 34 per cent compared with 44 per cent in Q1 2025, driven primarily by changes in customer mix and remaining within the range historically observed in the company's business.
• Total operating expenses for Q1 2026 were $3-million, a 6-per-cent decline compared with Q1 2025. During the quarter, the company implemented cost optimization measures designed to better align its cost structure with current activity levels. These actions included a work force reduction across multiple departments of approximately 20 per cent, as well as additional expense reduction in operating expenses. As many of these actions were implemented during the quarter, most of the expected savings are anticipated to be reflected beginning in Q2 2026. These actions were primarily focused on efficiency improvements and are not expected to impact the company's continued investments in growth initiatives, business development and technology capabilities.
• Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) in Q1 2026 was negative $300,000 compared with positive $5.2-million in Q1 2025.
• Net loss for Q1 2026 was $500,000 compared with net income of $4.8-million in Q1 2025, reflecting lower revenues.
• Cash flow from operations was $600,000 in Q1 2026 compared with $3.6-million in Q1 2025.
• As of March 31, 2026, the company had a cash balance of $22.5-million.

Conference call

Thursday, May 28, 2026, at 9 a.m. ET

Toll-free:  1-844-836-8745 (United States and Canada toll-free); international: 1-412-317-6797

Replay:  toll-free: 1-855-669-9658 (U.S. and Canada toll-free); international: 1-412-317-0088

Replay access code:  2496035

About Zoomd Technologies Ltd.

Zoomd, established in 2012 and listed on the TSX Venture Exchange since September, 2019, provides an innovative mobile app user-acquisition platform that integrates with numerous global digital media outlets. This platform presents a unified view of multiple media sources, thereby serving as a comprehensive user acquisition control center for advertisers. It streamlines campaign management through a single point of contact, simplifying customer acquisition efforts. The consolidation of media sources onto one platform enables Zoomd to offer advertisers substantial savings by reducing the need for disparate data source integration, enhancing data collection and insights, and minimizing resource expenditure.

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