DEFSEC Technologies Reports Preliminary Cash And Cash Equivalents Of ~$7.7M And $0 Of Debt As Of September 30
Preliminary Year-End Cash Position
As at September 30, 2026, the Company's balance sheet continues to be well-capitalized for fiscal 2027 with preliminary unaudited cash and cash equivalents of approximately $7.7 million and $0 debt, compared to $3.5 million cash and $0 debt as at June 30, 2026. The change reflects net proceeds from the August 2026 equity offering net of operating activities during the fourth quarter of fiscal 2026.
As of today, the Company has 4,593,998 common shares outstanding and 24,575 pre-funded warrants remaining to be converted.
Product Developments
Recent demonstrations of Battlespace Laser Identification Sensor System (BLISS) pre-production units at Dugway Proving Ground, Utah was completed in August, providing a valuable opportunity to demonstrate laser-detection performance at distance and across a broad spectrum to the U.S. Army.
Business Development Strategy
ARWEN® has an established customer base of law enforcement and corrections agencies across North America. The Company is executing a business development strategy designed to grow ARWEN sales within this base, reach new agencies, and use those relationships to introduce its broader public safety portfolio.
The Company is allocating additional commercial resources to strengthen sales capabilities, deepen existing customer relationships and accelerate revenue growth. This includes the hiring of senior resources in business development and marketing.
The Company's priority is to grow and nurture its existing ARWEN customer base. The commercial release of ARWEN 40mm baton ammunition, now in full-rate production for use with third-party 40mm launchers, extends the Company's addressable market to agencies that do not currently operate ARWEN launchers. DEFSEC supports this with hands-on range demonstrations for agencies to shorten the path from first look to evaluation and procurement. The Company also actively pursues public procurement opportunities, including through CanadaBuys.
A stronger ARWEN customer relationship base also provides a direct channel for cross-selling the Company's newer public safety offerings, including PARA SHOT™ and DEFSEC Lightning™ 2.0.
Industry Conference Participation
DEFSEC maintains an active industry conference schedule in support of its business development strategy. This week, the Company is exhibiting at Best Defence in London, Ontario, which serves the military and defence community, and at Real Time Crime Centre Ops & Tech West in Edmonton, Alberta, which serves law enforcement.
In fiscal 2026, DEFSEC attended Best Defence (London, ON), SHOT Show (Las Vegas, NV), OTAB (Collingwood, ON), CANSEC (Ottawa, ON), where it demonstrated BLISS, and the NTOA Law Enforcement Operators Conference (Nashville, TN). Earlier this month, the Company attended the AUSA Annual Meeting & Exposition in Washington, DC.
Upcoming, DEFSEC will attend the Police Tech Conference and Expo in Toronto, Ontario (December 2026) and SHOT Show in Las Vegas, Nevada (January 2027) as well as participating in Army Day on the Hill (December 2026). Since October 2025, DEFSEC has attended six industry events across Canada and the United States, with five more underway or scheduled through January 2027.