Charbone Corporation (TSXV: CH; OTCQB: CHHYF; FSE: K47), a vertically integrated industrial gases company, announced that preliminary gas income for the second quarter ending June 30, 2026, is expected to surge 155% to $0.5 million, up from $0.2 million in the first quarter of 2026. This growth reflects a significant acceleration in demand for the company's clean ultra-high purity (UHP) hydrogen and other strategic industrial gases across North America.
The company attributes this increase to robust sales growth from both U.S. and Canadian markets, including clean UHP hydrogen produced at its Sorel-Tracy plant in Phase 1A, as well as UHP helium and UHP oxygen sourced through partners. Demand has accelerated throughout Q2 2026, leading to higher recurring revenues and an expanding customer base. Charbone continues to enhance its full-stack platform, including distribution equipment, to support this growing demand and anticipated future sales.
For the first half of 2026, gas income is expected to rise 100% to $0.6 million, compared to nil in the same period last year. Operating expenses in Q2 2026 are projected to remain relatively stable compared to Q1, reflecting continuous performance improvements without significant cost increases. These preliminary figures are unaudited and may be subject to change.
Benoit Veilleux, Chief Financial Officer and Corporate Secretary of Charbone, expressed pride in the team's momentum, stating, "Through our targeted efforts in North America, we are not only expanding our operational footprint but also reaffirming our promise to deliver impactful, high purity and sustainable gas results that benefit our shareholders and the broader community alike."
The company plans to release full financial and operational results for Q2 2026 on Friday, August 28, 2026, after market close. A webinar will be held on Monday, August 31, 2026, at 11:00 am EDT to discuss the results and corporate updates. Interested parties can register at this link.
In related news, Charbone announced its engagement of IMPAQ Capital Inc. for investor relations services, effective July 16, 2026. As part of the agreement, 300,000 stock options previously announced on June 22, 2026, were cancelled and regranted on July 13, 2026, under identical terms to align with the agreement's start date. IMPAQ has no direct or indirect interest in Charbone's securities other than these options.
Charbone's growth comes at a time when demand for UHP gases is rising across sectors such as semiconductors, artificial intelligence and data centers, advanced pharmaceuticals, and aerospace and defense. The company's modular, decentralized approach to production and distribution aims to provide reliable supply to mid-tier customers who often face sourcing challenges.
These preliminary results underscore Charbone's strategic positioning in the clean industrial gases market, as it continues to expand its operational footprint and capitalize on the growing need for high-purity gases in critical industries.
