Cleantek Industries Inc. Reports Strong Second Quarter 2025 Results Driven by International Growth

Core Insights - Cleantek Industries Inc. reported strong financial results for Q2 2025, highlighting significant international growth and increased market share in North America [2][7]. Financial Performance - Revenue for Q2 2025 increased by 39% to CAD 3,352,000 from CAD 2,411,000 in Q2 2024, driven by strong equipment sales and growing rental demand [7]. - Gross profit also rose by 39% to CAD 1,782,000, maintaining a gross profit margin of 53%, consistent with Q2 2024 [7]. - The net loss narrowed to CAD 457,000 in Q2 2025, an improvement of CAD 54,000 compared to a net loss of CAD 511,000 in Q2 2024, despite a non-cash foreign exchange loss of CAD 456,000 [7]. - Adjusted EBITDA surged by 241% to CAD 778,000 for the quarter, compared to CAD 228,000 in Q2 2024, primarily due to higher revenue [7]. Operational Highlights - The company continues to focus on enhancing equipment utilization, global market expansion, and maintaining a strong balance sheet [3]. - Cleantek's R&D team is working on improving the performance of evaporator solutions by increasing salt and solids tolerance, while also pursuing manufacturing efficiencies [4]. Capital Structure - As of June 30, 2025, total assets increased to CAD 14,537,000 from CAD 13,641,000 at the end of 2024 [8]. - The working capital deficit improved to CAD 1,242,000 from CAD 1,939,000 at the end of 2024 [8]. - Non-current debt rose slightly to CAD 7,493,000 from CAD 7,085,000 at the end of 2024 [8]. Executive Changes - The company announced that Orson Ross, the Chief Financial Officer, will be leaving Cleantek in September 2025 after contributing significantly since joining in 2022 [17].