5/7/2026

speaker
Operator
Conference Operator

Good day, and thank you for standing by, and welcome to the iSPIRE Technology Q3 2026 Earnings Conference Call. Today, all participants will be in a listen-only mode. Should you need assistance during today's call, please signal for a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star, then one on your telephone keypad. To withdraw your question, please press star, then two. Please note that today's event is being recorded. I would now like to turn the conference over to James Carbonara with Hayden Investor Relations. Please go ahead.

speaker
James Carbonara
Director, Hayden Investor Relations

Good afternoon, and welcome to iSpire Technologies' fiscal third quarter 2026 earnings conference call. Before we begin, I would like to remind you that this conference call contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in its announcement are forward-looking statements. Forward-looking statements are based on estimates and assumptions made by the company in terms of its experience and its perception of historical trends, current conditions, and expected future developments, as well as other factors that the company believes are relevant. These forward-looking statements involve known and unknown uncertainties. and many factors could cause the company's actual results or performance to differ materially from those expressed or implied by the forward-looking statements. Further information regarding this and other risk factors are included in the company's filings with the SEC. The company undertakes no obligation to update forward-looking statements to reflect subsequent or current events or circumstances or changes in expectation, except as may be required by law. I will now turn the call over to Michael Wong, Co-Chief Executive Officer of iSpire Technology. Michael, you may begin.

speaker
Michael Wong
Co-Chief Executive Officer

Thank you, Operator, and thank you all for joining us. This quarter marked a turning point for iSpire. Our business has stabilized. Our operating model is sharper and more disciplined. And we ended the quarter with $18 million in cash. up $468,000 sequentially. This sequential cash growth is one of the clearest signs of progress in the quarter. It demonstrates improving financial control and a more focused operating posture and reinforces our confidence in becoming cash flow positive in the second half of this calendar year, 2026. The transition we set out to make is behind us. Now we are executing against a phased growth roadmap, multiple catalysts, each tied to billion-dollar markets where we have clear competitive advantages. The first and the most immediate of these is Malaysia. Our Malaysia manufacturing platform is alive today. And we believe this is one of the most strategically important developments in the company's history. In addition, Malaysia provides us with an estimated 25% tariff advantage over China. giving us both economic and strategic leverage as we pursue opportunities in the $73 billion global vape market. This is both a manufacturing milestone and a structural advantage that we believe can support margin improvement, customer acquisition, and the long-term market relevance. Second, plans are underway to launch our Vapor ODM initiative in July. This initiative will initially serve small and mid-sized brands with larger brand opportunities targeted for 2027. We see this as another practical commercialization pathway that can convert our manufacturing, design, and the regulatory capabilities into higher value customer relationships. Beyond these near-term drivers, we continue to build long duration optionality through differentiated technology. Through IKE Tech, we believe our educating platform has the potential to help unlock the approximately $50 billion to $70 billion US flavored vape market, a market that remains effectively inaccessible today under the current framework. In parallel, Our G-Mesh glass technology is drawing interest in a $24 billion plus legal global market, including licensing discussions with major tobacco participants. These are proprietary assets that could materially expand our strategic and financial opportunities beginning in 2027 and beyond. The accomplishments we achieved during the fiscal third quarter are clear. We strengthened liquidity, improved operating discipline, and advanced a roadmap with multiple high-value catalysts. We believe that combination gives iSpire a stronger foundation for both profitability and the long-term shareholder value creation as we move forward. I will now turn the call over to Jay for a more detailed review of our financial results. Jay?

Disclaimer

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