Portugal Colonial - Karbon‑X (OTCQB:KARX) Reports Record Fiscal 2026 Revenue of $55.9 Million as Company Scales Global Carbon Market Operations

CALGARY, AB / ACCESS Newswire / October 1, 2026 / Karbon‑X Corp. (OTCQB:KARX) ("Karbon‑X" or the "Company"), a vertically integrated climate solutions company operating across global carbon markets, today reported financial and operational results for the fiscal year ended May 31, 2026, reflecting a significant increase in operating scale across its carbon credit trading and project development activities.

Karbon‑X generated record fiscal 2026 revenue of $55.9 million, compared with $3.16 million in fiscal 2025, representing an increase of approximately 1,670% year over year.

Gross profit was $0.86 million, compared with $0.80 million in the prior year. Fiscal 2026 results reflected a shift in revenue mix toward high-volume, lower-margin trading activity as Karbon‑X completed its first full year of large-scale carbon credit trading.

"Fiscal 2026 moved Karbon-X into a new stage of commercial growth," said Chad Clovis, Chief Executive Officer of Karbon-X. "Revenue reached nearly eighteen times the prior-year level as we scaled our trading activity, expanded our project development presence across three continents and built a broader operating platform. As key projects advance beyond their initial investment and development phases and toward measurement, reporting and verification activities, we see an opportunity to build higher-margin revenue streams through future credit issuances. This foundation positions us for the next phase of growth, with a focus on improving our revenue mix, strengthening margins and translating our global capabilities into long-term shareholder value."

Watch: CEO Update: Fiscal 2026 in Review

Fiscal 2026 Financial Highlights

• Record revenue of $55.9 million, compared with $3.16 million in fiscal 2025, representing approximately 1,670% year-over-year growth
• Gross profit of $0.86 million, compared with $0.80 million in fiscal 2025
• Total assets increased 42% to $9.6 million at May 31, 2026, compared with $6.8 million at May 31, 2025
• Converted $7.0 million of convertible notes and accrued interest into 10.6 million shares of common stock, including a $3.5 million note issued to Hedera Foundation SEZC and approximately $1.1 million of accrued interest

Fiscal 2026 Business Highlights

1. Scaled Carbon Credit Trading

Karbon‑X completed its first full year of large-scale carbon credit trading, driving a significant increase in revenue and commercial activity.

2. Expanded Across Three Continents

The Company established trading and project development operations across Europe, Latin America and North America, significantly expanding its international reach and participation in global carbon markets.

3. Strengthened Project Development Capabilities

On June 27, 2025, Karbon‑X completed an asset acquisition from Allcot AG, adding a diversified portfolio of carbon projects, intellectual property, databases and contractual rights. The acquisition expanded the Company's project development capabilities and international presence across key carbon markets.

4. Broadened Industrial Market Participation

Karbon‑X continued to serve customers across mining, forestry, transportation, civil earthworks, and oil and gas services as it expanded its commercial carbon market activities.

5. Expanded Consumer Access

Alongside its business-to-business operations, Karbon-X continued to operate its globally available mobile application, providing individuals with subscription-based access to verified climate projects.

Depending on the subscription selected, users are allocated verified carbon credits corresponding to approximately 200 to 400 kilograms of CO₂ per month. These allocations are traceable to the underlying projects, with the associated credits retired in aggregated batches in accordance with the Company's retirement process.

In fiscal 2027, Karbon-X intends to continue growing its consumer subscription offering as part of its broader strategy to develop recurring, customer-facing revenue alongside its institutional and carbon market operations.

6. Balance Sheet and Debt Conversion

Karbon‑X ended fiscal 2026 with total assets of $9.6 million, an increase of 42% from $6.8 million at May 31, 2025.

During fiscal 2026, holders converted $7.0 million of convertible notes and accrued interest into 10.6 million shares of common stock, including a $3.5 million convertible note issued to Hedera Foundation SEZC together with approximately $1.1 million of accrued interest, converted in May 2026.

Subsequent to fiscal year end and through August 31, 2026, an additional approximately $0.79 million of convertible note principal, accrued interest and related fees was converted to equity, further reducing the Company's outstanding convertible debt obligations.

Karbon‑X had 94,885,028 common shares outstanding as of May 31, 2026.

Building on Scale in Fiscal 2027

Following a year of significant revenue growth and international expansion, Karbon-X enters fiscal 2027 with a substantially larger operating platform spanning carbon credit trading, project development and customer-facing climate solutions.

Across key project developments, the Company expects to advance projects through measurement, reporting and verification activities during fiscal 2027. Progress through these stages is expected to support future credit issuances and the development of higher-margin revenue opportunities as the project portfolio matures.

Management's focus for fiscal 2027 is on improving the economics of the Company's revenue mix, strengthening margins and operating efficiency, advancing its project portfolio and continuing to execute across its global carbon market operations.

About Karbon-X

Karbon-X Corp. (OTCQB: KARX) is a global carbon and environmental markets company that bridges the gap between climate solutions and commercial scale. Karbon-X develops, markets and commercializes environmental commodities and attributes across multiple project types, industries and geographies, connecting promising technologies, projects and companies with the markets, buyers and commercial structures needed to grow and scale. By helping more solutions reach the market and scale together, Karbon-X enables climate impact no single solution could achieve alone.

For more information visit www.karbon-x.com

Investor and Media Contacts

Investor Relations
Karbon-X
[email protected]

Media Contact
Emma Caputo
VP of Marketing
Karbon-X
[email protected]

Financial Information

The financial results contained in this release are derived from the Company's audited consolidated financial statements included in its Annual Report on Form 10‑K for the fiscal year ended May 31, 2026, filed with the U.S. Securities and Exchange Commission.

This release contains no non-GAAP financial measures. Investors should review the Form 10‑K for the Company's complete consolidated financial statements and accompanying notes, including disclosures concerning the Company's liquidity, capital requirements and ability to continue as a going concern.

Forward-Looking Statements

This news release contains forward-looking statements, including but not limited to statements regarding Karbon‑X Corp.'s plans and priorities for fiscal 2027, financial performance, business strategy, growth plans, ability to improve margins and operating efficiency, advancement of its project portfolio through measurement, reporting and verification activities, potential future credit issuances, and development of additional commercial opportunities.

Forward-looking statements are based on current expectations and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied. Investors should review the risks and uncertainties described in the Company's Annual Report on Form 10‑K for the fiscal year ended May 31, 2026, and other filings with the U.S. Securities and Exchange Commission.

Karbon‑X undertakes no obligation to update any forward-looking statements except as required by law.

SOURCE: Karbon-X Project Inc.

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F.Ferraz--PC