LXFR

• Delivered strong start to 2026 with adjusted earnings per share of 27 cents, up 17% year over year, adjusted EBITDA of $12.3 million and margins of 14.7%. - In Electron, demand in aerospace and defence intact, advancing optimisation initiatives. - In gas cylinders, pricing and operational execution drove stronger year-over-year results, optimisation programme on track. - Progressing productivity and optimization initiatives, including footprint actions and Centre of Excellence programmes.

• Raised full year 2026 earnings guidance, projecting revenue in range of $355 million to $370 million, adjusted EBITDA $52 million to $56 million, adjusted earnings per share $1.12 to $1.22 with midpoint $1.17. - Free cash flow guidance unchanged at $20 million to $25 million. - See clear path to meaningful step up in earnings in 2027 with drivers like Electron's aerospace and defence demand, gas cylinders' SCBA replacement cycle and space exploration, and operational initiatives.

Electron: Sales for the quarter were $42.1 million, down 14.8% year-over-year. Despite lower volumes, gross profit was $14.7 million with gross margin increasing to 34.9% and adjusted EBITDA was $8.5 million with margin in excess of 20%. Gas cylinders: Sales for the quarter were $41.8 million, up 1.7% year over year. Gross profit increased to $7.2 million with gross margins improving to 17.2% and adjusted EBITDA was $3.8 million with margins of 9.1%.

• Broader geopolitical environment as a risk factor. - Monitoring global events and domestic tariff activity, but to date no impact on demand observed. - Inflationary costs on some materials, but with customer contracts having quarterly pass-through adjusters and good acceptance of price changes.

Q: Walk through pieces driving significant margin improvement in Electron despite revenue decline?

A: Strong demand in aerospace and defense, mix of higher value products, strong operational performance across facilities.

Q: What drove gas cylinders' success?

A: Specialty products related to semiconductors, CNG market uptick.

Q: Update on Saxenberg facility?

A: Move of atomization of powders to Saxenburg facilities on track, will be completed by end of 2026.

Q: Confidence in 2027 outlook?

A: Strong outlook for defense and aerospace, SCBA replacement cycle, Flameless Russian Heaters growth, normalised demand for magnesium alloy in automotive.

Q: Impact of geopolitical developments?

A: Not seeing concerning impact from demand perspective, product portfolio resilient.

Q: Comments on strategic review?

A: Maintaining strategic optionality, made strong progress in enhancing gas cylinders and electron, continued readiness preparations with third parties.