Mr. Chuck Myers reports

QUARTERHILL ANNOUNCES $5.2 MILLION CONTRACT WITH EXISTING TOLLING CUSTOMER

Quarterhill Inc. has signed a $5.2-million contract to deploy its next-generation toll lane system on a major U.S. express lane corridor. The contract, with an existing tolling customer, underscores Quarterhill's capabilities to modernize roadway technology, implement dynamic pricing and seamlessly automate tolling operations for major transportation agencies.

The new system introduces real-time traffic condition monitoring, advanced video technology, machine-learning-driven tolling automation and dynamic pricing capabilities designed to improve traffic flow, optimize lane use and enhance driver experience. Building upon the foundation of an existing system by Quarterhill, this upgrade involves seven toll zones, delivering greater flexibility and accuracy in toll collection while leveraging an already-operational cloud-based toll host for future scalability.

"This project represents the future of intelligent mobility," said Quarterhill chief executive officer Chuck Myers. "By combining machine-learning-powered vehicle detection, real-time data and cloud technology, we're helping agencies deliver safer, faster and more reliable travel for every driver while creating a smarter, more adaptable tolling system for the state."

Key enhancements of the next-generation toll lane system include:

• Machine learning and automation -- machine learning and advanced sensors for highly accurate automated vehicle detection, classification and trip building;
• Cloud migration -- modern, secure back office infrastructure enabling scalable operations and simplified maintenance;
• Dynamic pricing -- express lane tolls that automatically adjust based on live traffic conditions to maintain free-flow speeds;
• Upgraded readers and cameras -- high-definition imaging and sensor technology for precise, real-time monitoring.

This initiative reinforces Quarterhill's commitment to helping agencies modernize tolling infrastructure, reduce congestion and improve roadway safety. The initiative strengthens the company's long-standing partnerships and demonstrates how its technology can enhance mobility across diverse transportation networks to benefit travellers.

About Quarterhill Inc.

Quarterhill is a global leader in the intelligent transportation system industry, advancing mobility through smart infrastructure solutions that reduce congestion, improve roadway safety and create more sustainable travel. Each year, Quarterhill's platforms process billions of transactions, perform compliance and safety inspections on millions of commercial vehicles, and enable transportation agencies worldwide to optimize thousands of lanes of traffic to improve travel for everyone. Leveraging advanced artificial intelligence and machine learning technologies, Quarterhill's platform delivers automation and predictive insight to help agencies manage transportation networks more efficiently. By working in close partnership with governments, communities and industry leaders, Quarterhill is building today's connected roadways while shaping the next generation of intelligent, resilient mobility. Quarterhill is listed on the Toronto Stock Exchange under the symbol QTRH and on the OTCQX Best Market under the symbol QTRHF.

We seek Safe Harbor.