Mr. Ted Carefoo reports

QSE RENEWS ENTERPRISE AGREEMENT WITH THE MUTHOOT GROUP IN INDIA COVERING APPROXIMATELY 14,000 USER LICENSES

Quantum Secure Encryption Corp. has renewed its enterprise customer agreement in India with The Muthoot Group, one of the country's largest and most established financial service organizations.

The renewal supports Quantum Secure's strategy of strengthening its presence in the Indian market while continuing to expand the company's footprint within highly regulated financial service environments. The agreement covers approximately 14,000 user licences (seats), representing a significant active enterprise deployment of Quantum Secure's secure access and postquantum readiness platform.

Investor highlights:

• India market focus: renewal reinforces Quantum Secure's long-term strategy to deepen its presence in India;
• Enterprise-scale deployment: approximately 14,000 user licences under the renewed agreement;
• Institutional validation: continued adoption by a leading security-sensitive financial service organization;
• Expansion potential: continuing discussions regarding extended contract duration, broader deployment scope and additional platform services.

Renewal strengthens Quantum Secure's position in India's financial sector

Muthoot is widely recognized as one of India's leading financial service organizations, with a long-standing national presence and extensive customer reach. The continued use of Quantum Secure's platform at this scale reflects the growing importance of secure access, encryption readiness and postquantum security planning across highly regulated industries.

The renewed agreement has been executed and invoiced, with commercial terms structured to evolve over time as deployment requirements expand and additional service capabilities are introduced.

Deployment scope and expansion path

The renewal maintains an enterprise footprint of approximately 14,000 user licences across the organization.

Quantum Secure intends to continue discussions throughout 2026 regarding potential future extensions, including:

• Increased licence volumes across the organization;
• Adoption of additional Quantum Secure platform modules;
• Expanded services aligned with a longer-term postquantum security road map;
• Potential multiyear contract alignment.

The company anticipates providing further updates as these discussions progress through the second and third quarters of 2026, as appropriate.

Management commentary

"This renewal, covering approximately 14,000 user licences, represents an important milestone as we continue to strengthen QSE's presence in the Indian market," said Ted Carefoot, chief executive officer of Quantum Secure.

"Muthoot's scale and reputation underscore the trust placed in our platform by large, security-sensitive institutions. We view this renewal as a strong foundation for continued expansion -- both within this enterprise deployment and as we build broader market awareness and momentum across India."

Strategic importance: platform expansion opportunity

This renewal aligns with Quantum Secure's commercialization approach, where secure access deployments serve as a foundation for broader platform adoption over time.

As customer requirements evolve, Quantum Secure may explore opportunities to introduce additional postquantum security services, including:

• Quantum preparedness and assessment services;
• Modular entropy and key delivery capabilities;
• Secure workflow integrations through Quantum Secure platform APIs.

These expansion pathways represent potential opportunities to increase contract value over the life of the customer relationship.

About Quantum Secure Encryption Corp.

Quantum Secure is a Canadian technology company specializing in postquantum data security, encryption and secure data infrastructure. Built around quantum-delivered entropy and zero-knowledge architecture, Quantum Secure's solutions help protect sensitive data from current cyber threats and future quantum-enabled attacks. Quantum Secure serves organizations across commercial, enterprise and public-sector environments requiring long-term data confidentiality and resilience.

We seek Safe Harbor.