Ottawa, Ontario — February 12, 2026 — Leads & Copy —
DEFSEC Technologies Inc. (TSXV: DFSC) announced highlights of its fiscal 2026 first quarter results, showing a 47% revenue increase over Q1 Fiscal 2025. The company also reported continuing momentum post quarter-end and the receipt of its first Lightning SaaS subscription.
Annualized program billings on a go-forward basis reached approximately $9.01 million in February 2026, with additional near-term growth expected to approximately $9.92 million.
The announcement is a summary and should be read with DEFSEC’s unaudited condensed consolidated interim financial statements for the three months ended December 31, 2025 and 2024, and related management’s discussion and analysis, all filed on SEDAR+ and EDGAR. All figures are in Canadian dollars unless otherwise noted.
Key financial highlights for Q1 Fiscal 2026 include:
- Revenue: $1,307,700 (compared to $887,700 in 2024)
- Gross profit: $404,700 (compared to $404,500 in 2024)
- Operating expenses: $2,468,600 (compared to $3,232,100 in 2024)
- Net loss: $(2,083,000) (compared to $(3,457,000) in 2024)
- EBITDA loss: $(1,868,400) (compared to $(3,080,500) in 2024)
As of December 31, 2025:
- Cash: $5,037,400 (compared to $6,686,400 on September 30, 2025)
- Total assets: $11,357,200 (compared to $12,921,500 on September 30, 2025)
- Total liabilities: $4,091,600 (compared to $5,119,800 on September 30, 2025)
- Working capital: $5,759,200 (compared to $6,027,800 on September 30, 2025)
Much of the revenue growth in Q1 Fiscal 2026 was driven by increases in sub-contract task orders for the company’s software services for the Canadian Department of National Defence under two foundational long-term program contracts: Directorate Land Command Systems Program Management Software Engineering Facility (DSEF) and Land Command, Control, Communications, Computers, Intelligence, Surveillance and Reconnaissance (Land C4ISR) program. These programs aim to digitally modernize the Canadian Forces.
The company’s workshare for these multi-year contracts, excluding renewal options, could provide up to $75 million in combined revenue through the initial contract periods, running through 2028 for DSEF and 2029 for Land C4ISR.
DEFSEC has commenced work on the expanded work scope related to the DSEF program, announced on December 5, 2025, which resulted in 14 additional resources staffed by subcontracted personnel. The company now has 42 resources working across the Land C4ISR and DSEF programs, resulting in program billings on an annualized go-forward basis of approximately $9.03 million. The company is recruiting for five additional roles, which will increase program billings to approximately $9.94 million.
Mr. Homuth, President and CEO of DEFSEC, said the company is pleased with the continued momentum in program billings and is optimistic that ongoing growth will exceed forecasted levels. He added that future quarterly results will reflect the escalation in program billings seen in February.
The company announced in December 2025 that it had sold its first subscription to its DEFSEC LightningTM SaaS product with additional orders expected. Potential law enforcement customers are evaluating the product.
Mr. Homuth said the ongoing interest in and receipt of a first order for the DEFSEC LightningTM platform validates that the company is solving an important problem for law enforcement and first responders with its SaaS solution. He added that it underscores the advantage of having done this type of development for military applications and the value of the trust and relationships built with law enforcement agencies across North America through direct sales of ARWEN® public order products.
Other highlights include:
- On December 18, 2025, the company closed a registered direct offering to sell 566,040 Common Shares at $3.64 (US$2.65) per Common Share. In a concurrent private placement, the company issued warrants to purchase up to 566,040 Common Shares at an exercise price of $4.27 per share.
- On January 23, 2026, the company announced the appointment of Niel Marotta to the Board.
- On February 2, 2026, the company announced the appointment of Elisabeth Preston as Senior Vice-President and Chief Legal Officer.
- The company will hold its Annual and Special Meeting of Shareholders in virtual format on February 19, 2026, at 3:00 p.m.
DEFSEC (TSXV: DFSC) (TSXV: DFSC.WT.U) (NASDAQ: DFSC) (NASDAQ: DFSCSW) (FSE: 62UA) develops and commercializes tactical systems for military and security forces, including digitization of tactical forces for real-time shared situational awareness and targeting information, countermeasures against electronic detection, lasers and drones, and a non-lethal product line branded PARA SHOTTM. The company is headquartered in Ottawa, Canada.
Source: DEFSEC Technologies Inc.
