Revenue reached $35.7 million, marking a 27,883% year-over-year increase driven by accelerated trading activity, and the continued expansion of Karbon-X's global carbon operations.

CALGARY, AB / ACCESS Newswire / October 16, 2025 / Karbon-X Corp. (OTCQX:KARX) ("Karbon-X" or "the Company"), a vertically integrated climate solutions company, today announced financial results for the first quarter ended August 31, 2025, marking record revenue growth and continued execution of its strategic plan.

The full filing is available under the Company's profile on OTC Markets at www.otcmarkets.com/stock/KARX/overview

Karbon-X's Q1 2026 results underscore its accelerating growth trajectory and strong execution across all areas of its business.

Q1 2026 Highlights

Revenue Growth

Karbon-X delivered transformational top-line growth as its carbon trading operations scaled globally.

• Revenue reached $35.7 million, up 27,883% year-over-year compared to $127,429 in Q1 2025.

• Growth was driven by the successful launch and expansion of the Company's carbon credit trading subsidiary, validating its integrated business model across compliance and voluntary markets.

Strategic Capital Formation

Karbon-X continued to strengthen its capital structure through disciplined financial management and investor support.

• Raised $3.88 million in new capital to accelerate operational growth.

• Converted $2.28 million in debt into equity, demonstrating investor confidence and reducing future interest obligations.

These transactions position the Company for continued scalability and balance sheet strength.

Improved Profitability

• Gross profit rose to $293,869, compared to $33,331 in Q1 2025, reflecting strong operational leverage and execution efficiency.

Strengthened Liquidity Position

• Cash and cash equivalents increased 93%, from $704,346 to $1.36 million at quarter-end.

• Total current assets rose to $6.5 million, up from $5.8 million in the prior quarter.

Strategic Portfolio Acquisition with High Upside

• The Company completed a carbon-offset project portfolio acquisition valued at $605,093 with an estimated fair-market value exceeding that value. This acquisition underscores Karbon-X's disciplined capital deployment and its ability to secure high-value environmental assets at advantageous terms.

• With the global carbon regulations tightening across key markets including the U.S., European Union, and China, the Company believes its expanding carbon credit inventory positions it well to meet increasing demand for verified climate solutions.

Operational Expansion and Global Execution

Karbon-X continued to scale its infrastructure to meet rising global demand for verified climate solutions.

• Inventory increased 750%, from $99,644 to $847,017, reflecting ramp-up in carbon credit production and project development.

• Continued advancement of its digital-based carbon credit trading platform enhances transparency, traceability, and liquidity across the voluntary carbon market.

"This quarter marks a pivotal moment and major inflection point for Karbon-X" said Chad Clovis, Chief Executive Officer of Karbon-X Corp. "Our record revenue growth and strategic acquisitions reflect the strength of our business model and the accelerating demand for verified carbon credits. With our expanding technology platform and strengthened leadership team, we are well positioned to lead the next wave of innovation in the sustainability sector. This performance underscores the alignment of our strategy, structure, and execution, and our commitment to building long-term shareholder value"

Looking Ahead

Building on this record-setting quarter, Karbon-X intends to continue expanding its trading operations, originating new climate projects, and integrating its digital infrastructure to serve growing global demand for transparent, trusted carbon solutions. The Company also plans to continue consolidating opportunities within the carbon market through disciplined mergers and acquisitions that align with its long-term growth strategy.

About Karbon-X

Karbon-X Corp. (OTCQX:KARX) is a vertically integrated climate solutions company delivering end-to-end climate solutions across both compliance and voluntary markets. From project origination and emissions quantification to third-party verification, credit issuance, and market distribution, Karbon-X ensures transparency and impact at every step. Karbon-X makes trusted climate action accessible not only to businesses and institutions, but also to individuals and everyday people who want their choices to create lasting impact.

Forward Looking Statements

This news release contains forward-looking statements, including but not limited to expectations related to Karbon-X Corp.'s financial performance, business strategy, growth plans, and market positioning. These statements are based on current expectations and are subject to risks and uncertainties that could cause actual results to differ materially. Forward-looking statements are subject to change, and Karbon-X Corp. assumes no obligation to update them, except as required by law.

Media Contacts

Adriana Ebell
Interim CFO
Karbon-X
a.ebell@karbon-x.com

Emma Caputo
VP of Marketing
Karbon-X
ec@karbon-x.com

SOURCE: Karbon-X Project Inc.