Mr. David Robbins reports

OMNI-LITE INDUSTRIES REPORTS FIRST QUARTER FISCAL 2024 RESULTS

Omni-Lite Industries Canada Inc. has released its results for the first quarter ended March 31, 2024. Full financial results are available on SEDAR+.

First Quarter Fiscal 2024 Results

Revenue for the first quarter of fiscal 2024 was approximately US$4.3 million, an increase of 57% and 30% as compared to the first quarter of fiscal 2023 and fourth quarter of fiscal 2023, respectively. The increase in revenue was largely due to organic growth in our electronic components and fasteners business.

Adjusted EBITDA( 1) for the first quarter of fiscal 2024 was approximately US$884,000, resulting in a margin of approximately 20.5%, and as compared to approximately US$(79,000) in the first quarter of fiscal 2023. The Company's balance sheet remains strong with US$1.1 million in cash and no debt outstanding.

Net income for the quarter was US$415,000, or US$0.03 per diluted share. Adjusted Free Cash Flow( 1) was a source of cash of approximately US$112,000, which is after factoring in capital expenditures of approximately US$148,000.

Bookings in the first quarter of fiscal 2024 were approximately US$3.7 million, up 17% as compared to the first quarter of fiscal 2023. As a result, the backlog at March 31, 2024, was approximately US$6.5 million, a 58% increase from US$4.1 million as at March 31, 2023, and approximately 8% below fourth quarter fiscal 2023.

Management Comments

David Robbins, Omni-Lite's CEO, stated "I am pleased with our revenue and profitability performance in the first quarter of 2024, as well as the ongoing advancements with DP Cast, which has emerged as an EBITDA threshold contributor. The growth underscores the value of our engineered new products booked early in 2023 that contributed to our revenue growth in Q1 2024. It was also gratifying to demonstrate our ability to scale production and, with our operating leverage, deliver bottom line results that was in line with our targets.

"Our diligent attention to cost control in recent years is evident in our first quarter results, with over 50% of our incremental revenue adding to our Adjusted EBITDA (1)."

"We anticipate healthy bookings continuing in 2024 driven by increased production rates on many aerospace and defense platforms and conversion of new product orders into initial phase of production."

Investor Conference Call

Omni-Lite will host a conference call for investors on May 17, 2024, beginning at 2:00 P.M. (EDT) to discuss the First Quarter 2024 results and review of its business and operations. To join the conference call, 888-437-3179 in the USA and Canada, or 862-298-0702 for all other countries. Please call five to ten minutes prior to the scheduled start time. A replay of the conference call will be available 48 hours after the call and archived on the Company's investors page of the Company's website at www.omni-lite.com for 12 months.

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