NEXE Innovations Reports Q4 and Fiscal 2025 Results; Expands Partnerships, Delivers Repeat Orders, and Maintains Strong Financial Position

WINDSOR, Ontario, Sept. 29, 2025 (GLOBE NEWSWIRE) -- NEXE Innovations Inc. (“NEXE”, the “Company”, “we”, “us” or “our”) (TSX.V: NEXE) (Frankfurt: NX5) (OTC: NEXNF), a compostable and innovative materials company, is pleased to announce its financial results for the twelve-month and three-month period ended May 31, 2025 (“Q4 2025”).

NEXE has entered into collaboration with five coffee companies representing more than 15 K-Cup brands.
Over 50 SKUs have been developed, with repeat orders delivered to all five partners.
Partners have provided positive feedback on NEXE’s fully compostable, patent-protected pod, which is positioned as an alternative to conventional plastic pods.
The Company maintains a strong balance sheet, supporting operational scalability and future growth initiatives.
Cash position and short-term investments stand at $12.3 million, with minimal debt and commitments of $1.4M.

NEXE commercialized the latest version of its BPI-certified compostable coffee pod in November 2024, and since then has entered into five different collaborations in both the U.S. and Canada. Initial feedback from partners has been positive, including from those who have tested a limited number of SKUs. As market awareness and demand increases, our partners continue to expand their offerings of the NEXE fully compostable coffee pod. To date, over 50 SKUs have been developed, and an additional 10 SKUs are expected to be introduced over the next few weeks. Repeat order volumes have increased over time, and we anticipate continued interest in our compostable pod offerings.

NEXE aims to provide a high-quality coffee pod that is designed to deliver a premium brewing experience at a price point comparable to conventional plastic alternatives. What we believe makes the NEXE pod stand out is its patent-protected extraction and pod structure, which is designed to extract coffee in a manner similar to a French press, due to a faceplate within the pod that compresses the coffee during brewing. The pod contains no persistent microplastics and is intended to be more environmentally friendly than the non-compostable pods currently on the market. NEXE holds several patents that protect its technology, including patents for pod components, pod structures, and manufacturing equipment.

NEXE is working towards a strategy aimed at increasing production volumes and scaling operations. NEXE continues to exercise disciplined capital management in response to current market conditions. The Company currently maintains a cash position that we believe is sufficient to support our ongoing business strategy. At the end of Q4 2025, our total cash position is $9.3 million and investments in term deposits and GICs total $3.0 million. NEXE’s debt position is minimal, with its debt outstanding at $396,741 related to an interest free government loan. NEXE’s commitments at May 31, 2025, were $1.4 million.

“We are excited that some of our initial partners that were testing our product are expanding into broader product offerings of the fully compostable coffee pod,” stated Ash Guglani, President, NEXE Innovations. “We believe as the market becomes more familiar with our fully compostable coffee pod, consumer adoption will accelerate and we will be able to expand our market presence.”

With repeat orders increasing, positive partner feedback, and a strong financial position, we believe NEXE is just scratching the surface of its potential in the broader coffee pod market.

2025 Results:

Revenue: Revenue increased to $307,543 (2024 – $149,264) reflecting sales to multiple commercial partners. The five current partners that NEXE is working with include a major U.S. online seller of coffee pods, a large North American OCS distributor, and a newly launched company based in British Columbia. Over the year we have developed over 50 different SKUs for our partners and continue to expand our product offerings. The current partners we are working with represent over 15 coffee brands.

Cost of goods sold: The cost of goods sold was $780,028 (2024 – $333,553). The cost of goods sold included non-cash expenses, such as depreciation related to production machinery and equipment. Depreciation in cost of goods sold increased as new equipment has come online.

Selling, general and administrative: Selling, General and Administrative expenses increased to $3,989,112 (2024 – $3,646,171) largely due to higher legal and professional costs. The management team continues to monitor expenditures and allocates resources in line with strategic priorities.

Net gain on disposal of assets: The Company realized a gain of $3,700,554 from the sale of Surrey facility during the year ended May 31, 2024. In the prior year, the Company recorded a gain of $18,563 from the sale of non-material capital assets.

The Company’s Q4 2025 financial statements and related management’s discussion and analysis are available on NEXE’s SEDAR+ profile at www.sedarplus.ca and the Company’s website at www.nexeinnovations.com.

*NEXE Innovations Inc. is not affiliated with, endorsed, or sponsored by Keurig®. Keurig® is a registered trademark of Keurig Dr Pepper Inc.

**NEXE Innovations Inc. is not affiliated with, endorsed, or sponsored by Nespresso®. Nespresso® is a registered trademark of Société des Produits Nestlé S.A

About NEXE Innovations Inc.

NEXE Innovations is focused on providing innovative compostable material solutions and packaging to the B2B segment to help businesses achieve their sustainability goals. NEXE Innovations has developed a proprietary and patented compostable material that can withstand heat, pressure, and water. Our flagship product, the NEXE Pod, a BPI-certified compostable coffee pod, showcases our material’s durability and is an ideal substitute for plastic. The NEXE pod is compatible with major coffee brewing machines and is manufactured at NEXE’s vertically integrated facility based in North America. Discover our innovative approach to sustainability at www.nexeinnovations.com and join our journey on social media @nexeinnovations. #compostablecoffeepods #sustainability #greentech

On behalf of the Company:

Ash Guglani
President & Director

For investor relations contact:

Kam Mangat
VP, Investor Relations & Corporate Strategy
invest@nexeinnovations.com

For media relations contact: media@nexeinnovations.com

Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Cautionary Note Regarding Forward-Looking Statements

Certain statements in this release are forward-looking statements or information, which include, but are not limited to, statements regarding the Company’s product development and expansion plans, anticipated customer demand, expected timing of new SKU launches, strategic partnerships, use of working capital, financial position, and the Company’s ability to scale operations and grow its market presence in Canada and the U.S.. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such information can generally be identified by the use of forwarding-looking wording such as “may”, “expect”, “estimate”, “anticipate”, “intend”, “believe” and “continue” or the negative thereof or similar variations. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company, including but not limited to, the Company’s ability to execute on its business strategy, maintain and grow partnerships, onboard new customers, and respond to market conditions, and those risks set out in the Company’s management’s discussion and analysis for year ended May 31, 2025 under the headings “Risk and Uncertainties”. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future, including the demand for its products, anticipated costs, and the ability to achieve goals. Factors that could cause the actual results to differ materially from those in forward-looking statements include receipt of necessary approvals and general economic, market or business conditions. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The reader is cautioned not to place undue reliance on any forward-looking information.

The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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