Everyday People Financial Q1 Revenue Rises 35% to $20.4 Million

Edmonton, Alberta--(Newsfile Corp. - May 20, 2026) - Everyday People Financial Corp. (TSXV: EPF) (OTCQB: EPFCF) (" EP Financial " or the " Company ") today reported financial results for the three months ended March 31, 2026. Total revenue from continuing operations increased 35% to $20.4 million, compared to $15.1 million in the same period of 2025, reflecting the continued scaling of the Company's receivables management business. Total fee-earning headcount across the Company's RCM platform increased by 116 positions year-over-year, with the largest cohort of new fee-earning team members added in the Company's recent history to support recently signed clients and anticipated future growth.

Investment in AI-enhanced platforms drove meaningful productivity gains during the quarter; based on internal productivity benchmarks, management estimates the Company would have required approximately 25% more headcount than it added to deliver Q1 2026 operating output absent these AI-enabled efficiencies. The 116 positions added year-over-year represent approximately $5.5 million in annualized salary cost, of which approximately $1.5 million was reflected in Q1 2026 salaries and wages compared to the same period in 2025. "Q1 was a quarter of deliberate investment.

We grew revenue 35% year-over-year as we expanded our largest group of new fee-earning team members in the Company's recent history to support 116 positions across the platform to support clients we have already signed. That capacity is in place ahead of the revenue it will generate, which is reflected in our Q1 Adjusted EBITDA. We expect that gap to close progressively through the balance of 2026 and into 2027," said Graham Rankin, Co-CEO (UK).

"Our technology investments are doing exactly what we designed them to do, allowing us to scale revenue faster than headcount. By embedding AI across key workflows, we are improving throughput, consistency, and cost efficiency across the platform. That productivity advantage compounds over time, and combined with the pending divestiture of our non-core business segments and our most recent ACT acquisition, positions the Company as a focused, technology-enabled international RCM platform," added Barret Reykdal, Co-CEO (North America).

This news release should be read in conjunction with the Company's condensed interim consolidated financial statements and Management's Discussion and Analysis (" MD&A ") report for the three months ended March 31, 2026, which have been posted under the Company's profile on SEDAR+ at www.sedarplus.ca . All figures are in Canadian dollars unless otherwise stated. Key financial highlights for the three months ended March 31, 2026   Q1 2025 revenue of $15.1 million is presented on an as-previously-reported basis to provide year-over-year comparability with revenue reported by the Company in the prior period.

All other Q1 2025 figures in the table above reflect the reclassification of continuing operations following the planned divestiture of the EP Homes and Financial Services non-core business segments, and accordingly are presented on a basis consistent with the Company's condensed interim consolidated financial statements for the three months ended March 31, 2026. As a result, gross profit and certain other subtotals in the comparative column do not arithmetically reconcile to revenue as presented. Readers are referred to the Company's interim financial statements and MD&A filed on SEDAR+ for a complete reconciliation.

Operational highlights AI-enhanced productivity and disciplined workforce growth: The Company grew fee-earning headcount by 116 positions year-over-year to support recently signed clients and anticipated future growth. Investment in AI-enhanced platforms across the Company's RCM operations contributed to meaningful productivity gains in the quarter. Based on internal productivity benchmarks, management estimates that absent these AI-enabled efficiencies the Company would have required approximately 25% more headcount than it added in order to deliver the same Q1 2026 operating output.

The 116 positions represent approximately $5.5 million of annualized salary cost; approximately $1.5 million was reflected in Q1 2026 salaries and wages compared to Q1 2025, with the balance expected to be incurred over the remainder of 2026 as the workforce reaches a full-period run-rate. This incremental investment has yet to deliver the Company's typical return on labour metrics, with the corresponding revenue contribution expected to ramp over future quarters and years as newly onboarded clients reach maturity and the productivity benefits of the Company's AI-enhanced platforms continue to scale. Pending divestiture of non-core segments: On March 11, 2026, the Company entered into a share purchase agreement with FinCard Financial Services Inc., a wholly owned subsidiary of EAM Enterprises Inc., to divest 100% of its EP Homes and Financial Services operating entities for aggregate cash consideration of $850,000, subject to post-closing adjustments.

The transaction remains subject to disinterested shareholder approval at the Company's annual and special meeting to be held on July 23, 2026, and final TSX Venture Exchange approval. Following completion, the Company will operate exclusively as a pure-play international receivables management platform comprising of BPO Collections Ltd. (" BPO "), Everyday People Financial Solutions Limited (" EPFS "), CCS Group Holdings Limited (" CCS "), ACT Credit Management Limited (" ACT "), General Credit Services Inc. (" GCS "), and Groupe Solution Collect Solu Inc. (" Groupe Solution "), with over 650 professionals across Canada and the United Kingdom. Adjusted EBITDA from continuing operations for the three months ended March 31, 2026   Adjusted EBITDA for the quarter was $0.5 million, compared to $1.5 million in Q1 2025, reflecting approximately $1.5 million of incremental Q1 salary investment to support new client wins and anticipated growth, which has yet to deliver the Company's typical return on labour metrics.

Management expects Adjusted EBITDA to benefit progressively as new client revenue scales over the balance of 2026 and into future periods, and as the productivity benefits of the Company's AI-enhanced platforms continue to compound. About Everyday People Financial Corp. Everyday People Financial Corp. is a pure-play international Revenue Cycle Management ("RCM") company, providing fee-for-service receivables management and debt collection services across Canada and the United Kingdom. First established in 1988, we have a workforce of over 690 professionals operating across Canada and the United Kingdom.

The Company's RCM platform - operating under BPO, EPFS, CCS, ACT, GCS, and Groupe Solution - helps organizations recover receivables and streamline billing processes without purchasing consumer debt. Founded on the belief that everyone deserves a second chance to financially reestablish themselves, the Company is committed to responsible receivables management that puts the customer at the heart of the process - delivering optimal outcomes for clients while treating consumers with dignity and affordability. For more information visit: For more information visit: www.everydaypeoplefinancial.com .

Contact Graham Rankin Co-CEO (UK) letsconnect@epfinancial.ca 1 888 825 9808 (Press Option 2 for Investor and Media Relations) Cautionary Note Regarding Forward-Looking Statements This news release includes certain "forward-looking statements" or "forward-looking information" (collectively referred to hereafter as "forward-looking statements") under applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements with respect to the Company's future financial performance, revenue growth, margins and Adjusted EBITDA financial, performance, and key financial metrics, results of operations, integration of the acquired businesses, the completion, timing and expected effects of the proposed divestiture of the EP Homes and Financial Services businesses, including the Company's transformation into a pure-play international RCM platform, and the business, plans, strategy and operations, and future participation rights, of the Company. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements.

Such factors include, but are not limited to, the risk that the proposed divestiture may not close on the terms currently contemplated or at all, the negotiation and completion of the proposed transaction, regulatory approvals including disinterested shareholder approval and TSXV acceptance, market conditions, changes in client demand, operational performance, expectations and assumptions concerning the Company and the acquired businesses as well as other risks and uncertainties, including those described in the documents filed by the Company on SEDAR+ at www.sedarplus.ca . There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. To view the source version of this press release, please visit https://www.newsfilecorp.com/release/298218 Source: Everyday People Financial Corp.