Charbone Corporation (TSXV: CH; OTCQB: CHHYF; FSE: K47) reported financial results for the first quarter ended March 31, 2026, highlighting a 4,731% increase in total income to $244,778, compared to $5,067 in the same period last year. The company, which focuses on production, distribution, and storage of clean ultra-high purity (UHP) hydrogen and other industrial gases, commenced commercial production at its Sorel-Tracy plant in December 2025 and recognized initial revenues in Q4 2025. Demand accelerated throughout Q1 2026, prompting the decision to advance Phase 1B to increase hydrogen production capacity, expected in the second half of 2026.
Net loss improved 11% to $1,059,718 from $1,187,786 in Q1 2025, reflecting continued discipline on general and administrative expenses. As of March 31, 2026, Charbone had a cash balance of $2,762,342. Subsequently, on April 29, 2026, the company drew down $3,000,000 as the first tranche of a new $10 million secured convertible loan facility, with additional optional drawdowns available.
Charbone confirmed multiple industrial gas sales into both U.S. and Canadian markets, including clean UHP hydrogen from its Sorel-Tracy plant Phase 1A, and UHP helium and UHP oxygen sourced through partners. The company continues to expand its full-stack platform covering production, purification, compression, storage, and last-mile delivery to serve customers with UHP-specification gases on both sides of the border.
"Charbone's diversification is central to the platform thesis. Opportunities to invest in a vertically integrated UHP industrial gases platform at this stage of growth are rare, and the build-out we're executing is designed to reflect that," said Benoit Veilleux, Chief Financial Officer and Corporate Secretary. "We're not asking investors to bet on a future state of the world. We're building a business in a market that exists, backed by a capital-disciplined model designed to scale with demand."
The company will host a webinar on Friday, May 29, 2026, at 11:00am EDT to discuss Q1 2026 results and corporate updates. Registration is available at https://info.rbmilestone.com/charbone-q1-2026. Management will present an overview of results, operational achievements, and upcoming milestones, followed by a Q&A session.
Charbone's vertically integrated platform serves customers across sectors including semiconductors, artificial intelligence and data centers, advanced pharmaceuticals, and aerospace and defense technologies, where UHP gases are critical for high-precision manufacturing. The company's modular, decentralized, and demand-driven approach aims to efficiently serve mid-tier industrial gas customers with reliable supply of UHP hydrogen, helium, oxygen, and other high-demand gases.
