SHERWOOD PARK, AB, Nov. 12, 2026 /CNW/ -- (TSXV: VTX) - Vertex Resource Group Ltd. ("Vertex" or the "Company") reports its financial and operational results for the third quarter ended September 30, 2026. The following should be read in conjunction with the Management Discussion and Analysis ("MD&A") and the unaudited condensed consolidated interim financial statements of Vertex for the period ended September 30, 2026, which are available on SEDAR+ at www.sedarplus.ca.
The first nine months of 2026 delivered improved profitability compared to last year. Both the Environmental Consulting and the Environmental Services segments have seen higher profit margins and Adjusted EBITDA(1) as operational efficiencies and cost management have resulted in a stronger bottom-line.
Key financial results for the three and nine months ended September 30, 2026, and 2025 are as follows:
HIGHLIGHTS
Three months ended Nine months ended
September 30, September 30,
(in thousands of Canadian Dollars) 2026 2025 2026 2025
Gross revenue 57,141 54,047 167,875 164,709
Less flow through subcontractor
costs 4,927 3,607 15,325 12,917
Net revenue 52,214 50,440 152,550 151,792
Profit margin 13,815 12,782 39,503 35,724
Profit margin % 26 % 25 % 26 % 24 %
Adjusted EBITDA (1) 8,870 7,180 23,943 18,772
Adjusted EBITDA % 17 % 14 % 16 % 12 %
Adjusted EBITDA per share, basic
and diluted (1) 0.08 0.06 0.21 0.17
Earnings per share, basic and
diluted 0.01 (0.01) 0.00 (0.06)
(1) See "Non-IFRS Financial Measures"
HIGHLIGHTS FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2026
-- Environmental Consulting net revenue increased 12.2% over prior period.
-- G&A expenses decreased 11.7% year-over-year despite a $1.8 million
increase in net revenue.
-- Adjusted EBITDA(1) improved $1.7 million, or 23.5%, compared to 2025.
-- Continued profitability with net income of $0.8 million, improving by
$1.9 million compared to 2025.
HIGHLIGHTS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2026
-- Environmental Consulting net revenue increased by 9.2% compared to 2025.
-- G&A expenses reduced to 10.2% of net revenue, down $1.4 million from
2025.
-- Adjusted EBITDA(1) increased in both operating segments, resulting in
consolidated growth of 27.5% year-over-year.
-- Net income of $0.4 million, increasing by $7.2 million from a net loss in
2025.
OUTLOOK
Management expects positive momentum to continue for the remainder of 2026 and allows the Company to be well placed as it heads into 2027. The margin and cost improvements delivered this year give the Company a solid base, and demand is broadening across its industrial, mining, infrastructure and energy customers.
Customers are planning larger programs for 2027, and several pieces of that work are already in place, including new industrial and municipal contracts, higher committed volumes from existing customers, and continued mining expansion projects in Saskatchewan, Alberta and Ontario.
Major projects, both federal and provincial, are also moving from announcement to construction. LNG Canada reached a final investment decision on Phase 2 in September. In northern Ontario, construction has begun on the all-season roads to the Ring of Fire critical minerals region, opening the area to future development. Large data centers are under development across Canada, and provinces are advancing electrical transmission in British Columbia and Ontario along with transportation and municipal infrastructure.
Projects of this scale require environmental assessment, regulatory approval, land, Indigenous engagement and geotechnical work well before construction begins, all core consulting services for Vertex. Once construction starts, they also need hydro-excavation, fluid management and pressure and vacuum services.
Several external factors are expected to shape the next few years. Geopolitical events have lifted commodity prices and strengthened customer cash flows, although prices could ease as conditions settle. Canada's response to shifting trade relationships is directing more public investment toward domestic infrastructure, defence, northern development and critical minerals, all areas that require the type of services Vertex provides.
Management expects the activity already under way, together with these longer-term investment programs, to support continued improvement from 2027 through 2031.
ABOUT VERTEX
Since 1962, Vertex has been a leading North American provider of environmental services. Headquartered in Sherwood Park, Alberta, Vertex employs a staff of approximately 1,000 employees and lease operators that provide services to help clients achieve their developmental and operational goals. From initial site selection, consultation and regulatory approval, through construction, operation and maintenance, to conclusion and environmental cleanup, Vertex provides a wide array of services to customers operating in industries such as energy, mining, utilities, private development, public infrastructure, construction, telecommunications, forestry, agriculture and government.
Vertex principally operates in Canada with select locations in the United States.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
NON-IFRS FINANCIAL MEASURES
This release includes certain terms or performance measures that are not defined under International Financial Reporting Standards ("IFRS"), including "Adjusted EBITDA". The data presented is intended to provide additional information that should not be considered in isolation or as a substitute measure of performance prepared in accordance with IFRS. The non-IFRS measures should be read in conjunction with the Company's financial statements and accompanying notes.
A) "Adjusted EBITDA" is a non-IFRS financial measure which is calculated by adjusting net income (loss) for the sum of income taxes, finance costs including interest accretion on lease liabilities, depreciation of property and equipment and right of use assets, amortization of intangible assets, share-based compensation, restructuring costs and impairment. The Company uses Adjusted EBITDA as an indicator of its principal business activities operational performance prior to consideration of how its activities are financed and the impact of taxation, non-cash depreciation and amortization, restructuring costs and other non-cash expenses such as impairments required under IFRS. Adjusted EBITDA does not have a standardized meaning prescribed by IFRS and is not necessarily comparable to similar measures provided by other companies. Adjusted EBITDA is used by many analysts as an important analytical tool and the management of Vertex believes it is useful for providing readers with additional clarity on Vertex's operational performance. This measure is also considered important by the Company's lenders in determining compliance by the Company with the financial covenants under its lending arrangements.
B) "Adjusted Working Capital" is a non-IFRS financial measure which is calculated by reducing current liabilities by the current portion of loans and borrowings, lease liabilities and other liabilities. Adjusted working capital is used by Vertex to monitor its capital structure, liquidity, and it's ability to fund current operations.
C) "Adjusted EBITDA per share, basic and diluted" is a non-financial measure which is calculated by dividing adjusted EBITDA by the weighted average shares outstanding -- basic and diluted.
Reconciliations of adjusted EBITDA and adjusted working capital are provided in the following tables.
ADJUSTED EBITDA Three months ended Nine months ended
September 30, September 30,
2026 2025 2026 2025
Net (loss) income for
the period 766 (1,170) 356 (6,797)
Add:
Depreciation and
amortization 5,731 6,690 17,392 18,571
Finance costs 2,119 1,968 6,029 6,281
Share-based
compensation 19 18 57 53
Impairment - - - 2,707
Income tax (recovery)
expense 235 (326) 109 (2,043)
Adjusted EBITDA 8,870 7,180 23,943 18,772
ADJUSTED WORKING CAPITAL September 30, December 31,
2026 2025
Current assets 58,368 58,539
Current liabilities, less 47,514 58,997
Current portion of loans and
borrowings (7,477) (10,403)
Current portion of lease liabilities (7,244) (8,838)
Current liabilities (excluding current
portion of
loans
and borrowings, lease liabilities,
and other liabilities) 32,793 39,756
Adjusted working capital 25,575 18,783
Forward-Looking Information
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