Delta, British Columbia--(Newsfile Corp. - May 29, 2026) - Fab-Form Industries Ltd. (TSXV: FBF) ("Fab-Form" or the "Company") announces a correction to press release on its interim financial results for the quarter ended 31 March 2026.
CORRECTION NOTICE:
The following news release amends and replaces the news release issued on May 29, 2026, at 3:57 PM EDT. The original release incorrectly stated in the financial summary highlights that "Gross profit increased to $561,749, with a gross margin of 28%, in line with reduction in sales." The correct statement is that Gross profit decreased to $222,313, with a gross margin of 28%, in line with the reduction in sales. (The figure erroneously used in the original release was the Cost of Sales amount of $561,749). All other financial data and text in the original release remain correct and unchanged. The full, corrected text of the release follows below:
Financial Highlights
- Revenue for the quarter increased to $784,062 compared to $772,753 in the last quarter ended 31 March 2025, reflecting a 1.46% increase resulting a structural shift in our geographic revenue streams: a stronger expansion in domestic and local market demand was offset by a contraction in export sales to the United States. This cross-border slow-down was directly caused by the trade tariffs, which temporarily reduced our export margins.
- Gross profit decreased to $222,313, with a gross margin of 28%, in line with reduction in sales.
- Total operating overhead increased across climbing 54.85% in the quarter to $342,473. This overhead increase was due to two factors: Increase in international selling and marketing resulting of attendance two trade shows. General and administrative expense increased 27% in the quarter due to higher engineering research overheads in developing the new products Flex-R and Space-R.
- Other income decreased by 30% to as a result of decrease in interest income, as well as reduction in exchange gains
- Record a net Loss: $70,020, a 273.5% reduction compared to the quarter ended in 2025.
Management noted that the decline in operating profitability was anticipated and reflects a temporary contraction in U.S. sales volumes caused by tariff-related disruptions. The Company expects conditions to improve through the launch of its Missouri-based fulfillment and logistics operations.
Missouri branch establishes an important strategic foothold in the United States. This expansion is expected to reduce border-related delays and distribution costs while helping the Company recapture market share impacted by tariffs."
Financial Position
- As of 31 March 2026, the Company had cash and cash equivalents of $1,662,955 ensuring strong liquidity.
- Total assets declined to $6,607,122, down from $6,689,310 in the previous year.
- The Company remains debt-light, with total liabilities of $503,519, ensuring financial stability and flexibility for future growth.
Product Update
U.S. patents for Level-R, MPHD, and KLiP were granted during the quarter. Demand for Level-R and Monopour HD (MPHD) products continues to increase. Success of MPHD in the Vancouver market is a positive harbinger of US sales through the MO branch.
SPACE-R - 10" Space-R polypropylene bobbin samples were received in April 2026. The bobbin is used as the base for winding glass fiber and epoxy to obtain the completed product. Testing is ongoing to confirm the quality and performance in the field.
Fast-Tube 3.0 ("Optimized Fabric") - Research and development activities related to obtaining an optimized fabric with a low modulus of elasticity have been completed with our partner in Japan, Hagihara Industries. Progress in receiving the optimized fabric is temporarily delayed due to supply chain disruptions in the Gulf region.
Flex-R and Ever-Wall - Engineering and development for these two product innovations were accelerated during the period as the Company will integrate these advanced technologies into the upcoming housing project in White Rock, BC, Canada. Site preparation and land development phases are actively progressing. Upon the completion of the land subdivision into four SFD lots, architectural designs will be released.
Forward-Looking Statements
Certain statements in this release constitute forward-looking information within the meaning of applicable securities laws. Such statements involve known and unknown risks, uncertainties, and other factors that may cause actual results to differ materially from those expressed or implied by the forward-looking statements. Fab-Form Industries Ltd. does not undertake to update forward-looking statements, except as required by applicable laws.
About Fab-Form
Fab-Form Industries Ltd. is a leading innovator in concrete forming solutions, committed to enhancing construction efficiency and sustainability worldwide. The Company has been listed on the TSX Venture Exchange (TSXV: FBF) since 2000.
For further information, please contact:
Joseph Fearn
CEO, Fab-Form Industries Ltd.
Email: joey@fab-form.com
Phone: 604-596-3278
Website: www.fab-form.com
SEDAR+: www.sedarplus.ca
Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/299497
Source: Fab-Form Industries Ltd.
