EnWave streamlines operations to drive profitability

VANCOUVER, British Columbia, Aug. 27, 2026 (GLOBE NEWSWIRE) -- EnWave Corporation (TSX-V:ENW | FSE:E4U) (“EnWave”, or the "Company") today announced details pertaining to an operational efficiency plan (the “Plan”) expected to drive profitability and cash flow as first referenced on August 21, 2026, during its fiscal Q3 conference call.

The Plan involves the wind-down of the Company’s REVworx™ co-manufacturing operations, reflecting EnWave’s Radiant Energy Vacuum (“REV™”) technology reaching a more mature stage of commercial adoption which has reduced the need for internal co-manufacturing activities to support customer testing and validation, which is expected to unlock:

$1M of Annual Cost Savings: Total reductions in facility leases, labour, and other operating costs are expected to lower EnWave’s annual operating expense base by approximately $1M on a run-rate basis by fiscal 2028 with gradual realizations expected throughout fiscal 2027;

Material Net Income Improvements: Anticipated savings are expected to reduce EnWave’s annual operating cost base to approximately $3.7M, contributing incremental net income gradually during fiscal 2027, reaching at least $1M annually starting in fiscal 2028;

$2M of Equipment for Monetization: Property, plant, and equipment currently dedicated to REVworx™, including a 10kW and 60kW REV™ machine, has an estimated resale value of $2M and can be transferred to inventory to support future machine sales;

Streamlined Business Focus: The Plan reinforces EnWave’s focus on growing its royalty portfolio generated from its installed base of REV™ machines, while leveraging the technology’s increasing commercial validation and EnWave’s established capabilities and customer relationships to support partners’ product innovation efforts.

The cost savings are expected to be realized gradually throughout fiscal 2027 with the newly released equipment being available for sale almost immediately to service customer demand.

The Plan preserves the Company’s core innovation, engineering, and commercialization capabilities while reflecting EnWave’s continued focus on improving operating leverage, establishing sustainable profitability, and concentrating resources on the highest-value components of its business model, including the generation of recurring royalties from its global portfolio of licensed partners and the sale of REV™ equipment.

Wind-Down of REVworx™ Co-Manufacturing Operations REVworx™ was originally established to help accelerate the commercialization of new REV™-dried products by providing prospective and existing customers with access to commercial-scale production capacity. While REVworx™ has provided strategic value in demonstrating REV™ at commercial scale and accelerating the commercial validation of REV™ technology, EnWave’s growing global ecosystem of licensed royalty partners now provides alternative commercial-scale manufacturing capacity for companies seeking access to REV™ technology.

Therefore, EnWave has decided that maintaining a dedicated internal co-manufacturing operation is no longer necessary to support the Company’s commercialization strategy and is accordingly winding down its REVworx™ co-manufacturing operations.

The wind-down is expected to materially reduce facility, labour, and other operating costs. Once fully implemented, the broader restructuring is expected to reduce EnWave’s annual operating expense structure by approximately $1M and materially improving net income, assuming other operating factors remain unchanged. With this operating expense reduction, the Company’s total operating expense base should lower to approximately $3.7M by fiscal 2028. These cost savings and positive net income impacts are projected to be realized gradually throughout fiscal 2027 with full run-rate impacts realized beginning in fiscal 2028.

EnWave also believes its annualized base royalty collections could reach approximately $3M by the end of fiscal 2027, largely covering the Company’s pro forma base operating costs.

Further, EnWave possesses property, plant and equipment associated with REVworx, including a 10kW REV™ machine and 60kW REV™ machine. The Company estimates the market value of these assets to be approximately $2M, while the IFRS book value is diminutive.

Preserving Innovation and Commercialization Capabilities EnWave will retain the critical technical infrastructure, personnel, and capabilities required to continue advancing REV™ technology, conducting product development, and supporting prospective and existing royalty partners.

The Company remains highly active in product innovation, process development, customer demonstrations, and commercial trials by continuing to provide prospective partners with the technical expertise required to validate REV™ applications and establish commercially viable processing protocols.

Separating these high-value innovation activities from the higher fixed-cost structure associated with commercial co-manufacturing will allow EnWave to operate a more efficient platform while relying on the global platform of already deployed REV™ equipment to strengthen its ability to develop new applications and support the growth of its existing royalty partner network.

Leveraging EnWave’s Global REV™ Ecosystem EnWave has established an extensive international network of 52 licensed royalty partners, several of which possess large-scale, commercial REV™ production capacity and offer third-party co-manufacturing services.

EnWave has been actively leveraging this ecosystem to connect larger consumer packaged goods (“CPG”) companies and emerging food brands with qualified REV™ processors where outsourced manufacturing is required. Going forward, this effort will be amplified. This approach provides prospective customers with access to commercial-scale REV™ capacity.

Sales Pipeline Outlook EnWave remains highly optimistic about the quality and potential of its commercial sales pipeline. The Company is advancing multiple opportunities with large, well-capitalized food companies across several product categories and geographies, including organizations evaluating REV™ as a commercial alternative to incumbent dehydration technologies. Importantly, EnWave’s pipeline is increasingly focused on opportunities with clearly defined commercial applications, meaningful production requirements and the potential to generate both equipment revenue and long-term recurring royalties. Recent commercial activity, including the purchase of a second 120kW REV™ system by Procescir, provides further validation of the economic value of REV™ at commercial scale and demonstrates the potential for successful royalty partners to expand their installed capacity over time.

Looking ahead to fiscal 2027, management believes the combination of prospective new customers and expansion opportunities within EnWave’s existing royalty partner network provides a compelling foundation for renewed equipment sales growth. Several material opportunities are progressing through the sales cycle, while existing partners are evaluating additional production capacity as demand for REV™-dried products expands. Although the timing of large-scale equipment orders will inherently remain uneven, management believes the quality, scale and commercial maturity of the current pipeline are stronger than witnessed to-date by the Company.

About EnWave EnWave is a global leader in the innovation and application of vacuum microwave dehydration. From its headquarters in Delta, BC, EnWave has developed a robust intellectual property portfolio, perfected its Radiant Energy Vacuum (REV™) technology, and transformed an innovative idea into a proven, consistent, and scalable drying solution for the food, pharmaceutical and cannabis industries that vastly outperforms traditional drying methods in efficiency, capacity, product quality, and cost.

With more than fifty partners spanning twenty-four countries and five continents, EnWave’s licensed partners are creating profitable, never-before-seen snacks and ingredients, improving the quality and consistency of their existing offerings, running leaner and getting to market faster with the company’s patented technology, licensed machinery, and expert guidance.

EnWave’s strategy is to sign royalty-bearing commercial licenses with food producers who want to dry better, faster and more economical than freeze drying, rack drying and air drying, and enjoy the following benefits of producing exciting new products, reaching optimal moisture levels up to seven times faster, and improve product taste, texture, color and nutritional value.

Learn more at EnWave.net .

EnWave Corporation

Mr. Brent Charleton, CFA President and CEO

For further information:

Brent Charleton, CFA, President and CEO at +1 (778) 378-9616 E-mail: bcharleton@enwave.net

Nav Dhami, CPA, CFO at +1 (604) 505-3830 E-mail: ndhami@enwave.net

Safe Harbour for Forward-Looking Information Statements: This press release may contain forward-looking information based on management's expectations, estimates and projections. All statements that address expectations or projections about the future, including statements about the Company's strategy for growth, product development, market position, expected expenditures, and the expected synergies following the closing are forward-looking statements. All third-party claims referred to in this release are not guaranteed to be accurate. All third-party references to market information in this release are not guaranteed to be accurate as the Company did not conduct the original primary research. These statements are not a guarantee of future performance and involve a number of risks, uncertainties and assumptions. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. 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.

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

GlobeNewswire

August 27, 2026 - 6:00 AM PDT

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