Cleantek Industries Inc. Announces Fourth Quarter 2024 Results
Cleantek Industries (TSXV: CTEK) reported its Q4 2024 financial results, showing mixed performance. Revenue decreased 8% to $2,927 compared to Q4 2023, primarily due to lower fleet utilization. However, gross profit improved to 63% of revenue ($1,835) versus 54% in Q4 2023.
The company achieved a significant turnaround with net income of $1,466 in Q4 2024, compared to a loss of $1,562 in Q4 2023. Adjusted EBITDA increased to $1,762, up from $558 in Q4 2023.
Strategic initiatives include the launch of EcoSteam with plans to deploy 25 units in 2025, international expansion of HALO™ technology, DZeroE waste heat water evaporation technology development, and the SecureTek remote security services integration. The company maintains focus on sustainable lighting solutions and wastewater treatment assets expansion.
Cleantek Industries (TSXV: CTEK) ha riportato i risultati finanziari per il quarto trimestre del 2024, mostrando una performance mista. I ricavi sono diminuiti dell'8%, raggiungendo $2,927 rispetto al quarto trimestre del 2023, principalmente a causa di una minore utilizzazione della flotta. Tuttavia, il profitto lordo è migliorato, raggiungendo il 63% dei ricavi ($1,835) rispetto al 54% nel quarto trimestre del 2023.
La società ha ottenuto un significativo cambiamento con un reddito netto di $1,466 nel quarto trimestre del 2024, rispetto a una perdita di $1,562 nel quarto trimestre del 2023. L'EBITDA rettificato è aumentato a $1,762, rispetto ai $558 nel quarto trimestre del 2023.
Le iniziative strategiche includono il lancio di EcoSteam con piani per distribuire 25 unità nel 2025, l'espansione internazionale della tecnologia HALO™, lo sviluppo della tecnologia di evaporazione dell'acqua calda DZeroE e l'integrazione dei servizi di sicurezza remota SecureTek. L'azienda continua a concentrarsi su soluzioni di illuminazione sostenibile e sull'espansione degli asset per il trattamento delle acque reflue.
Cleantek Industries (TSXV: CTEK) reportó sus resultados financieros del cuarto trimestre de 2024, mostrando un desempeño mixto. Los ingresos disminuyeron un 8% a $2,927 en comparación con el cuarto trimestre de 2023, principalmente debido a una menor utilización de la flota. Sin embargo, la ganancia bruta mejoró al 63% de los ingresos ($1,835) frente al 54% en el cuarto trimestre de 2023.
La compañía logró un cambio significativo con una ganancia neta de $1,466 en el cuarto trimestre de 2024, en comparación con una pérdida de $1,562 en el cuarto trimestre de 2023. El EBITDA ajustado aumentó a $1,762, desde $558 en el cuarto trimestre de 2023.
Las iniciativas estratégicas incluyen el lanzamiento de EcoSteam con planes para desplegar 25 unidades en 2025, la expansión internacional de la tecnología HALO™, el desarrollo de la tecnología de evaporación de agua caliente DZeroE y la integración de los servicios de seguridad remota SecureTek. La empresa mantiene su enfoque en soluciones de iluminación sostenible y la expansión de activos para el tratamiento de aguas residuales.
Cleantek Industries (TSXV: CTEK)는 2024년 4분기 재무 결과를 발표하며 혼합된 성과를 보여주었습니다. 수익은 2023년 4분기와 비교하여 $2,927로 8% 감소했으며, 이는 주로 차량 이용률 감소 때문입니다. 그러나 총 이익률은 수익의 63% ($1,835)로 개선되었고, 2023년 4분기에는 54%였습니다.
회사는 2024년 4분기에 $1,466의 순이익을 기록하며 2023년 4분기에는 $1,562의 손실을 보였던 것과 비교하여 상당한 전환을 이루었습니다. 조정된 EBITDA는 2023년 4분기의 $558에서 $1,762로 증가했습니다.
전략적 이니셔티브에는 2025년에 25개 유닛을 배치할 계획인 EcoSteam의 출시, HALO™ 기술의 국제적 확장, DZeroE 폐열 수증기 기술 개발, SecureTek 원격 보안 서비스 통합이 포함됩니다. 회사는 지속 가능한 조명 솔루션 및 폐수 처리 자산 확장에 계속 집중하고 있습니다.
Cleantek Industries (TSXV: CTEK) a annoncé ses résultats financiers pour le quatrième trimestre 2024, affichant des performances mitigées. Les revenus ont diminué de 8 % pour atteindre $2,927 par rapport au quatrième trimestre 2023, principalement en raison d'une utilisation réduite de la flotte. Cependant, le bénéfice brut s'est amélioré pour atteindre 63% des revenus ($1,835) contre 54 % au quatrième trimestre 2023.
L'entreprise a réalisé un retournement significatif avec un revenu net de $1,466 au quatrième trimestre 2024, contre une perte de $1,562 au quatrième trimestre 2023. L'EBITDA ajusté a augmenté à $1,762, contre $558 au quatrième trimestre 2023.
Les initiatives stratégiques comprennent le lancement d'EcoSteam avec des plans pour déployer 25 unités en 2025, l'expansion internationale de la technologie HALO™, le développement de la technologie d'évaporation de chaleur résiduelle DZeroE et l'intégration des services de sécurité à distance SecureTek. L'entreprise continue de se concentrer sur des solutions d'éclairage durables et l'expansion des actifs de traitement des eaux usées.
Cleantek Industries (TSXV: CTEK) hat die finanziellen Ergebnisse für das vierte Quartal 2024 veröffentlicht, die eine gemischte Leistung zeigen. Der Umsatz sank um 8 % auf $2,927 im Vergleich zum vierten Quartal 2023, hauptsächlich aufgrund einer geringeren Flottenauslastung. Der Bruttogewinn verbesserte sich jedoch auf 63% des Umsatzes ($1,835) im Vergleich zu 54 % im vierten Quartal 2023.
Das Unternehmen erzielte eine signifikante Wende mit einem Nettogewinn von $1,466 im vierten Quartal 2024, verglichen mit einem Verlust von $1,562 im vierten Quartal 2023. Das bereinigte EBITDA stieg auf $1,762, von $558 im vierten Quartal 2023.
Strategische Initiativen umfassen die Einführung von EcoSteam mit Plänen zur Bereitstellung von 25 Einheiten im Jahr 2025, die internationale Expansion der HALO™-Technologie, die Entwicklung der DZeroE-Abwärme-Wasserdampftechnologie und die Integration der SecureTek-Remote-Sicherheitsdienste. Das Unternehmen konzentriert sich weiterhin auf nachhaltige Beleuchtungslösungen und die Erweiterung von Abwasserbehandlungsanlagen.
- Net income improved significantly to $1,466,000 in Q4 2024 from a loss of $1,562,000 in Q4 2023
- Gross profit margin increased to 63% from 54% year-over-year
- Adjusted EBITDA grew to $1,762,000, up $1,204,000 from Q4 2023
- Working capital deficit reduced by $1,003,000 year-over-year
- Non-current debt decreased by $1,385,000 compared to 2023
- Revenue declined 8% to $2,927,000 in Q4 2024 compared to Q4 2023
- Lower fleet utilization impacting revenue performance
- Total assets decreased by $1,622,000 year-over-year
- Annual revenue dropped by $2,202,000 compared to 2023
Calgary, Alberta--(Newsfile Corp. - April 10, 2025) - Cleantek Industries Inc. (TSXV: CTEK) ("Cleantek" or the "Company") an innovative provider of patented clean technology solutions that reduce both cost and carbon intensity in the wastewater management and industrial lighting sectors, is pleased to announce its financial and operational results for the fourth quarter of 2024.
Cleantek's President and Chief Executive Officer, Riley Taggart, commented, "We are very pleased with Cleantek's final 2024 results. Despite headwinds in the second and third quarters, the Company ended the year in a strong financial and operational position. This was a year of transformation year for Cleantek, with several key personnel changes, including my own appointment and the addition of several experienced sales team members in both Canada and the US.
As a team, we have realigned our strategy to meet with market demands. We have invested in key areas of growth, enhanced our product offerings, and adopted a more disciplined operating model. The company continues to focus on maintaining its internal efficiencies and is committed to disciplined capital allocation.
Despite global market uncertainty, we are excited to build on our momentum into 2025 and believe that it will be a year of continued profitability."
Highlights for the Fourth Quarter 2024 (All amounts are in thousands of Canadian dollars unless otherwise indicated)
Cleantek generated revenue of
$2,927 for Q4 2024, a decrease of$260 or8% , from Q4 2023. The decreased revenue in 2024 is primarily due to lower activity levels and resulting lower utilization of the fleet;Cleantek's gross profit was
$1,835 or63% of revenue for Q4 2024 compared with gross profit of$1,716 and54% of revenue for Q4 2023 due to decreased salaries and wages and transportation and mobilization costs;Cleantek's net income of
$1,466 for Q4 2024 was$3,028 higher than the net loss of$(1,562) for Q4 2023; and,Cleantek's Adjusted EBITDA was
$1,762 for Q4 2024, an increase of$1,204 compared to$558 for Q4 2023 due primarily to the increased net income.
Expansion and Outlook
Cleantek's strategy focuses on delivering innovative and cost-effective solutions that reduce the carbon intensity as well as the capital and operating costs of industrial operations.
The Company's near-term strategy will continue to focus on:
maximizing utilization rates of its current fleet of sustainable lighting solutions and wastewater treatment assets;
expanding and growing the Company's fleet of wastewater treatment assets to satisfy increased demand in the oil and gas, midstream, mining, industrial and construction markets;
continuing to focus on expansion into international markets through the sale and rental of sustainable lighting solutions and wastewater units;
evaluating new technology partnerships in an effort to diversify product offerings and customer groups;
evaluate acquisition and merger opportunities to accelerate growth and market diversification.
The Company is uniquely positioned to capture growth opportunities in both wastewater evaporation and sustainable lighting markets. Cleantek expects increasing demand from the oil and gas, municipal grey water, and industrial wastewater sectors.
International Expansion - Expanding on the Company's success with the recent HALOTM sales, Cleantek completed a proof-of-concept trial with a larger international customer with its HALOTM line and is exploring several promising opportunities diversifying Cleantek's geographic focus and customer base. This expansion includes exploring opportunities for rental and/or product sales in both the lighting and waster water divisions.
EcoSteam - Cleantek introduced EcoSteam in 2024, a waste-gas powered solution for efficient wastewater treatment and dehydration. The first unit was completed and deployed in late 2024, and has operated at
100% utilization. Based on market demand, Cleantek will look to offer twenty-five units to the market in 2025. Operational feedback continues to be excellent with the units exceeding anticipated productivity goals.DZeroE Iterative Development - To meet the growing demand for produced water evaporation, the "DZeroE" waste heat water evaporation technology that has been traditionally deployed in drilling rig applications is being retrofitted for use in production facilities. This strategic low cost initiatie is expected to enhance equipment utilization while reducing seasonal dependency. The DZeroE has also garnered interest in international markets and will be a primary focus for the company in late 2024 and into 2025.
SecureTek - Cleantek's line of remote security services, being offered as a stand-alone system or integrated with our sustainable lighting products, continues to drive higher utilization of existing assets and create an accretive new recurring revenue stream for the Company. Utilizing our existing infrastructure, SecureTek expands our reach into construction, mining, storage, agriculture, and other commercial markets with minimal capital investment.
Operational Update
Cleantek's fourth quarter 2024 revenue was
Results of Operations
| (Canadian | Three months ended December 31 | Years ended December 31 | |||||||
| per share amounts and percentages) | 2024 | 2023 | Change | 2024 | 2023 | Change | |||
| Revenue | 2,927 | 3,187 | (260) | 11,787 | 13,989 | (2,202) | |||
| Gross profit | 1,835 | 1,716 | 119 | 7,220 | 8,385 | (1,165) | |||
| Gross profit % | |||||||||
| Net (loss) income | 1,466 | (1,562) | 3,028 | 1,263 | (1,823) | 3,086 | |||
| Net (loss) income per share - basic ($) | 0.05 | (0.06) | 0.11 | 0.04 | (0.07) | ||||
| Net (loss) income per share - diluted ($) | 0.05 | (0.06) | 0.11 | 0.04 | (0.07) | ||||
| EBITDA(1) | 2,298 | (372) | 2,670 | 4,564 | 2,185 | 2,379 | |||
| Adjusted EBITDA(1) | 1,762 | 558 | 1,204 | 4,201 | 4,050 | 151 | |||
| Capital expenditures | 400 | 356 | 44 | 745 | 1,117 | (372) | |||
| As at: | December 31, 2024 | December 31, 2023 | Change | ||||||
| Total assets | 13,641 | 15,263 | (1,622) | ||||||
| Working capital deficit(1) | (1,939) | (2,942) | 1,003 | ||||||
| Non-current debt(1) | 7,085 | 8,470 | 1,385 | ||||||
| Total non-current liabilities | 7,085 | 8,516 | 1,431 | ||||||
| (1) Management considers EBITDA and adjusted EBITDA key metrics in analyzing operational performance and the Company's ability to generate cashflow. EBITDA is measured as net income (loss) before interest, tax, depreciation and amortization. Adjusted EBITDA is measured as EBITDA adjusted for share-based compensation and unusual items not representative of ongoing business performance such as litigation expenses and settlements, executive severance and the impact of unrealized foreign exchange gains and losses. Working capital (or also referred to as net current assets/liabilities) for Cleantek is calculated as current assets less current liabilities per the statement of financial position. Non-current debt includes the non-current portion of long-term debt and lease liabilities per the Non-Current Liabilities on the statement of financial position. These items are not defined and have no standardized meaning under IFRS. Presenting these items from period to period provides management and investors with the ability to evaluate earnings trends more readily in comparison with prior periods' results. Please see "Non-IFRS Measurements" for further discussion of these items, and where applicable, reconciliations to measures calculated in accordance with IFRS. | |||||||||
About Cleantek Industries Inc.
Cleantek is a clean energy technology company focused on ESG-accretive solutions, providing specialized and fully integrated wastewater treatment, disposal equipment, and turnkey sustainable lighting rental solutions. By leveraging patented technology and industry expertise, Cleantek delivers tailored, cost-effective solutions to a diverse client base, including blue-chip exploration and production companies across North America.
With a focus on sustainability, safety, and operational excellence, Cleantek is well-positioned to meet the rising water treatment and sustainable lighting market demand. Our proven track record and commitment to innovation drive long-term value creation in the clean technology sector.
Selected financial and operation information is outlined below and should be read in conjunction with Cleantek's audited consolidated financial statements and management's discussion and analysis ("MD&A") for the years ended December 31, 2024 and 2023, which are available on the Company's SEDAR profile at www.sedarplus.ca.
NON-IFRS MEASUREMENTS
Cleantek uses certain financial measures to quantify its results that are not prescribed by IFRS. The following terms: "EBITDA", "adjusted EBITDA", "working capital" and "non-current debt" are not recognized measures under IFRS and may not be comparable to that reported by other companies. Cleantek believes that, in addition to measures prepared in accordance with IFRS, the non-IFRS measurements provide useful information to evaluate the Company's performance and ability to generate cash, profitability and meet financial commitments.
These non-IFRS measures ae intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS.
EBITDA and Adjusted EBITDA
Management considers EBITDA and adjusted EBITDA key metrics in analyzing operational performance and the Company's ability to generate cash flow. EBITDA is measured as net income (loss) before interest, tax, depreciation and amortization as differences in accounting treatments may distort our core business results. Adjusted EBITDA is measured as EBITDA adjusted for certain non-cash items, including share-based compensation, impact of unrealized foreign exchange gains and losses as well as unusual items not representative of ongoing business performance such as litigation expense and settlements and executive severance.
The following table provides a reconciliation of the non-IFRS measures, EBITDA and adjusted EBITDA, to the applicable IFRS measurements for Cleantek:
| Three months ended December 31 | Years ended December 31 | |||||
| (Canadian | 2024 | 2023 | 2024 | 2023 | ||
| Net income (loss) | 1,466 | (1,562) | 1,263 | (1,823) | ||
| Tax expense | 74 | 4 | 110 | 4 | ||
| Depreciation and amortization | 566 | 582 | 2,265 | 2,233 | ||
| Finance costs | 192 | 603 | 926 | 1,771 | ||
| EBITDA | 2,298 | (372) | 4,564 | 2,185 | ||
| Share-based compensation | 34 | 37 | 106 | 479 | ||
| Litigation expense | - | 162 | - | 550 | ||
| Legal Settlements/Severance | - | 550 | 273 | 550 | ||
| Unrealized FX (gain) loss | (570) | 181 | (742) | 287 | ||
| Adjusted EBITDA | 1,762 | 558 | 4,201 | 4,050 | ||
Working capital
Working capital (or also referred to as net current assets/liabilities) for Cleantek is calculated as current assets less current liabilities per the statement of financial position. The following table provides a reconciliation of working capital, a non-IFRS measure to the applicable IFRS measurements for the Company:
| December 31 | December 31 | |
| (Canadian | 2024 | 2023 |
| Current assets | 3,228 | 3,404 |
| Current liabilities | 5,167 | 6,346 |
| Working capital deficit | (1,939) | (2,942) |
Non-current debt
Management considers non-current debt in analyzing the Company's capital structure. Cleantek's capital structure consists of working capital, non-current debt and shareholders' equity. Non-current debt measures the long-term borrowings of the Company. Non-current debt for Cleantek is calculated as the non-current portions of long-term debt and lease liabilities. The following table provides a reconciliation of non-current debt, a non-IFRS measure to the applicable IFRS measurements for the Company:
| December 31 | December 31 | |
| (Canadian | 2024 | 2023 |
| Long-term debt - non-current portion | 6,534 | 7,806 |
| Lease liabilities - non-current portion | 551 | 664 |
| Non-current debt | 7,085 | 8,470 |
For Further Information:
Riley Taggart, President & Chief Executive Officer
E-mail: rtaggart@cleantekinc.com
Tel: 403-567-8700
www.cleantekinc.com
LinkedIn
X
Forward-Looking Statements
This news release contains certain "forward looking statements" including, for example, statements relating to expected improved financial flexibility, additional growth, potential middle east expansion, expansion of Cleantek's fleet of sustainable lighting solutions and EcoSteam wastewater treatment assets, the expected deployment of Cleantek's assets, available liquidity, Cleantek's outlook for the future and near-term strategy. Such forward-looking statements involve risks and uncertainties, both known and unknown. The results or events depicted in these forward-looking statements may differ materially from actual results or events. In addition to other factors and assumptions which may be identified herein, assumptions have been made regarding and are implicit in, among other things: receipt of regulatory approvals, the state of the capital markets, the ability of the Corporation to successfully manage the risks inherent in pursuing business opportunities in the oilfield services industry and outside the North American market, and the ability of the Corporation to obtain qualified staff, equipment and services in a timely and cost efficient manner to develop its business. Any forward-looking statement reflects information available to Cleantek as of the date of this news release and, except as may be required by applicable securities laws, Cleantek disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/248160
FAQ
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