Q4 2025 Information Services Corp Earnings Call

March 20, 2026

Speaker #1: After the speakers' presentation, we'll open up for questions. To ask a question during the session, you only need to press star one one on your telephone.

Speaker #1: You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 11 again. Please be advised that today's call is being recorded.

Speaker #1: I would now like to hand it over to our first speaker, Jonathan Hackshaw, Senior Director of Investor Relations and Capital Markets. Please go ahead.

Speaker #2: Thank you, Victor, and good morning to everyone joining us today. Welcome to ISC's conference call for the three months and year-end at December 31, 2025.

Jonathan Hackshaw: Thank you, Victor, and good morning to everyone joining us today. Welcome to ISC's Conference Call for the Three Months and Year Ended December 31, 2025. On the call today with me are Sean Peters, President and CEO, and Bob Antichow, Chief Financial Officer. This morning, Sean will take you through some of the highlights for the year. Bob will then provide some comments on our financial and operating performance before passing the call back over to Sean for some closing remarks. Before we begin, we would like to remind everyone that we will only be summarizing results today. The company's financial statements and MD&A have been filed on SEDAR+ and are available on our website. We encourage you to review those reports in their entirety.

Speaker #2: On the call today with me are Sean Peters, President and CEO, and Bob Antychow, Chief Financial Officer. This morning, Sean will take you through some of the highlights for the year.

Speaker #2: Bob will then provide some comments on financial and operating performance before passing the call back over to Sean for some closing remarks. Before we begin, we would like to remind everyone that we will only be summarizing results today.

Speaker #2: The company's financial statements and MD&A have been filed on CDOT+ and are available on our website. We encourage you to review those reports in their entirety.

Speaker #2: I would also like to remind you that any statements made today that are not historical facts are considered to be forward-looking statements within the meaning of applicable securities rules.

Jonathan Hackshaw: I would also like to remind you that any statements made today that are not historical facts are considered to be forward-looking statements within the meaning of applicable securities rules. The statements may involve a number of risks and uncertainties that are described in detail in the company's SEDAR+ filings. Those risks and uncertainties may cause actual results to differ materially from those stated. Today's comments are made as of today's date and will not be updated except as required under applicable securities laws. Today's conference call is being broadcast live over the Internet and will be archived for replay shortly after the call in the Events section of our investor website at investors.isc.ca. With that, I would now like to turn the call over to Shawn.

Speaker #2: The statements may involve a number of risks and uncertainties that are described in detail in the company's CDOT+ filings. Those risks and uncertainties may cause actual results to differ materially from those stated.

Speaker #2: Today's comments are made as of today's date and will not be updated except as required under applicable securities rules. Today's conference call is being broadcast live over the internet and will be archived for replay shortly after the call in the Events section of our investor website at investors.isc.ca.

Speaker #2: With that, I would now like to turn the call over to Sean.

Speaker #3: Thank you, Jonathan. Good morning to everyone for joining us for today's call. Before I get into the details, I want to take a moment to reflect on what was truly a landmark year for ISC.

Shawn Peters: Thank you, Jonathan. Good morning to everyone for joining us for today's call. Before I get into the details, I wanna take a moment to reflect on what was truly a landmark year for ISC. 2025 marked our strongest year on record, a testament to the dedication of our team, strength of our diversified business model, and the trust our customers place in us every day. We delivered record revenue of CAD 257.8 million, record Adjusted EBITDA of CAD 103.1 million, and record Adjusted Free Cash Flow of CAD 74.7 million. We also achieved our long-term net leverage target of 2 to 2.5 times well ahead of schedule, a milestone we'd originally anticipated reaching by mid-2026.

Speaker #3: 2025 marked our strongest year on record. This is a testament to the dedication of our team, the strength of our diversified business model, and the trust our customers place in us every day.

Speaker #3: We delivered record revenue of $257.8 million, record adjusted EBITDA of $103.1 million, and record adjusted free cash flow of $74.7 million. We also achieved our long-term net leverage target of 2 to 2.5 times well ahead of schedule.

Speaker #3: A milestone we had originally anticipated reaching by mid-2026. And all these results speak to the disciplined execution of our strategy and the resilience of our business.

Shawn Peters: All these results speak to the disciplined execution of our strategy and the resilience of our business. If we now turn to our operating segments, registry operations delivered exceptional performance throughout 2025, with revenue growing 10% year-over-year to reach CAD 137.7 million and Adjusted EBITDA increasing 12% to CAD 89.5 million. The Saskatchewan Land Registry was the standout performer. We benefited from a resilient Saskatchewan economy characterized by higher average home prices, constrained residential inventory, and a declining interest rate environment. These conditions drove increased transaction volumes and, importantly, strong high-value property registrations, strong indicator of confidence in the province's commercial and agricultural sectors. Land Registry reached a record CAD 89.9 million in revenue, up 9% from the prior year. What's particularly encouraging is the breadth of this growth.

Speaker #3: If we now turn to our operating segments, Registry Operations delivered exceptional performance throughout 2025, with revenue growing 10% year over year to reach $137.7 million, and adjusted EBITDA increasing 12% to $89.5 million.

Speaker #3: Saskatchewan Land Registry was the standout performer. We benefited from a resilient Saskatchewan economy, characterized by higher average home prices, constrained residential inventory, and a declining interest rate environment.

Speaker #3: These conditions drove increased transaction volumes and, importantly, strong high-value property registrations. This is a strong indicator of confidence in the province's commercial and agricultural sectors. Land Registry reached a record $89.9 million in revenue, up 9% from the prior year.

Speaker #3: What's particularly encouraging is the breadth of this growth. Regular land transfers were up 2%, mortgage registrations climbed 16%, and title searches grew 2%. According to the Saskatchewan Realtors Association, 2025 was the second highest sales year on record for the province's housing market.

Shawn Peters: Regular land transfers were up 2%, mortgage registrations climbed 16%, and title searches grew 2%. According to the Saskatchewan REALTORS Association, 2025 was the second highest sales year on record for the province's housing market. Our Personal Property and Corporate Registry also achieved record revenues of CAD 13.5 million and CAD 14.1 million respectively, up 5% and 7% year over year. These results reflect the underlying strength of the provincial economy and the essential nature of the services we provide. In Ontario, our Property Tax Assessment Services division grew revenue by 6% to CAD 16.7 million, benefiting from supplementary professional services requested by the Government of Ontario.

Speaker #3: Personal Property and Corporate Registry also achieved record revenues of $13.5 million and $14.1 million, respectively, up 5% and 7% year over year. These results reflect the underlying strength of the provincial economy and the essential nature of the services we provide.

Speaker #3: In Ontario, our Property Tax Assessment Services division grew revenue by 6%, to $16.7 million, benefiting from supplementary professional services requested by the Government of Ontario.

Speaker #3: And, importantly, we completed our first full year of operating the Bank Act Security Registry following its launch in 2024. This contributed $3.5 million to revenue in our other registries division, compared to just six months of contribution in the prior year.

Shawn Peters: Importantly, we completed our first full year of operating the Bank Act Security Registry following its launch in 2024. This contributed CAD 3.5 million to revenue in our other registries division compared to just six months of contribution in the prior year. Turning to services, I'm proud of how this segment navigated what was admittedly a challenging year. Revenue was essentially flat at CAD 109.2 million, but the story here is one of successful diversification and margin expansion. Adjusted EBITDA grew 19% to CAD 27.2 million, and our margin improved to 25% from 21% in the prior year. The segment faced headwinds from the Ontario Notice of Security Interest or NOSI ban that took effect in June 2024, as well as the continued opening of the Ontario Business Registry and broader economic uncertainty in that market.

Speaker #3: Turning to services, I'm proud of how this segment navigated what was, admittedly, a challenging year. Revenue was essentially flat at $109.2 million, but the story here is one of successful diversification and margin expansion.

Speaker #3: Adjusted EBITDA grew 19% to $27.2 million, and our margin improved to 25% from 21% in the prior year. The segment faced headwinds from the Ontario Notice of Security Interest, or NOSI BAN, that took effect in June 2024, as well as the continued opening of the Ontario Business Registry and broader economic uncertainty in that market.

Speaker #3: However, our long-term diversification strategy proved its worth. Our Recovery Solutions division delivered outstanding results, with revenue growing 17% to $17.3 million. This countercyclical business benefited from increased delinquencies in the automotive lending market, demonstrating the value of having offerings that perform well across different economic environments.

Shawn Peters: However, our long-term diversification strategy proved its worth. Our Recovery Solutions division delivered outstanding results, with revenue growing 17% to CAD 17.3 million. This counter-cyclical business benefited from increased delinquencies in the automotive lending market, demonstrating the value of having offerings that perform well across different economic environments. Equally important, our Regulatory Solutions division showed strength in its higher margin KYC and due diligence offerings. Increased recurring and non-recurring volumes in these areas helped offset declines in our collateral management services, which were impacted by the NOSI ban. The takeaway here is clear. Our services segment has built a diversified portfolio that can absorb regulatory and economic shocks while still delivering strong bottom-line results.

Speaker #3: Equally important, our Regulatory Solutions division showed strength in its higher-margin KYC and due diligence offerings. Increased recurring and non-recurring volumes in these areas helped offset declines in our collateral management services, which were impacted by the NOSIBAN.

Speaker #3: The takeaway here is clear: our services segment has built a diversified portfolio that can absorb regulatory and economic shocks while still delivering strong bottom-line results.

Shawn Peters: Finally, Technology Solutions delivered meaningful progress in 2025, with revenue growing 10% to CAD 33.2 million and adjusted EBITDA reaching CAD 3.2 million, a significant improvement from CAD 0.3 million in the prior year. Our third-party business advanced on several fronts. We made progress on existing solution definition and implementation contracts. Importantly, in Q4, we began development work on a new digital record system for Ontario's Ministry of the Environment, Conservation and Parks. This 9-year contract, with a 2-year build phase followed by a 7-year operating term, represents an exciting expansion of our relationship with the Government of Ontario. Our related party revenue also grew, driven by continued delivery of registry enhancements for the Saskatchewan Registries Division. This internal work is critical to maintaining our registry technology leadership and delivering an exceptional customer experience. Our accomplishments in 2025 extended beyond our financial results.

Speaker #3: Finally, technology solutions delivered meaningful progress in 2025, with revenue growing 10% to $33.2 million, and adjusted EBITDA reaching $3.2 million—a significant improvement from $0.3 million in the prior year.

Speaker #3: Our third-party business advanced on several fronts. We made progress on existing solution definition and implementation contracts, and importantly, in the fourth quarter, we began development work on a new digital record system for Ontario's Ministry of Environment, Conservation, and Parks.

Speaker #3: This nine-year contract, with a two-year build phase followed by a seven-year operating term, represents an exciting expansion of our relationship with the Government of Ontario.

Speaker #3: Our related-party revenue also grew, driven by continued delivery of registry enhancements for the Saskatchewan Registry division. This internal work is critical to maintaining our registry technology leadership and delivering an exceptional customer experience.

Speaker #3: Our accomplishments in 2025 extended beyond our financial results. They also reflected our commitment to our people. Earlier this year, we were honored to be recognized by The Globe and Mail's Women Lead Here Benchmark for executive gender diversity.

Shawn Peters: They also reflected our commitment to our people. Earlier this year, we were honored to be recognized by The Globe and Mail's Women Lead Here benchmark for executive gender diversity. We also maintained our standing as one of Saskatchewan's top employers. In the fall, we achieved a new milestone, Great Place to Work certification. This was our first enterprise-wide certification, encompassing not just our Canadian operations, but also our subsidiary in Ireland, and it reinforces ISC's reputation as a people-first organization and a global market leader. I've said it many times, people matter at ISC. These recognitions are a powerful validation of that commitment. To further strengthen our partnership with our team, we introduced an employee share purchase plan this year. This allows our employees to purchase ISC shares on the TSX and participate directly in the company's future success.

Speaker #3: We also maintained our standing as one of Saskatchewan's top employers, and in the fall, we achieved a new milestone: Great Place to Work certification.

Speaker #3: This was our first enterprise-wide certification, encompassing not just our Canadian operations but also our subsidiary in Ireland, and it reinforces ISC's reputation as a people-first organization and a global market leader.

Speaker #3: I've said it many times: People matter at ISC. These recognitions are a powerful validation of that commitment. To further strengthen our partnership with our team, we introduced an employee share purchase plan this year.

Speaker #3: This allows our employees to purchase ISC shares on the TSX and participate directly in the company's future success. Initiatives like this are central to our ongoing strategy to attract and retain the talented individuals who make our achievements possible.

Shawn Peters: Initiatives like this are central to our ongoing strategy to attract and retain the talented individuals who make our achievements possible. Because at the end of the day, our people are what differentiate us, and they're what will drive our continued success going forward. I'll now turn the call over to Bob to discuss some financial highlights in more detail before providing some closing remarks.

Speaker #3: Because, at the end of the day, our people are what differentiate us, and they're what will drive our continued success going forward. I'll now turn the call over to Bob to discuss some financial highlights in more detail before providing some closing remarks.

Bob Antichow: Thank you, Shawn, and good morning, everyone. As Sean mentioned, 2025 was another year of strong performance, with results for adjusted EBITDA exceeding our expectations. The positive performance for the year was driven by a number of factors which I will now highlight for you. Revenue was CAD 257.8 million for the year ended 31 December 2025, an increase of 4% compared to CAD 247.4 million in the prior year. This growth was led by strong results across the Saskatchewan Registries Division of Registry Operations and, in particular, the Land Registry, which benefited from higher average real estate values.

Robert Antichow: Thank you, Shawn, and good morning, everyone. As Sean mentioned, 2025 was another year of strong performance, with results for adjusted EBITDA exceeding our expectations. The positive performance for the year was driven by a number of factors which I will now highlight for you. Revenue was CAD 257.8 million for the year ended 31 December 2025, an increase of 4% compared to CAD 247.4 million in the prior year. This growth was led by strong results across the Saskatchewan Registries Division of Registry Operations and, in particular, the Land Registry, which benefited from higher average real estate values.

Speaker #4: Thank you, Sean, and good morning, everyone. As Sean mentioned, 2025 was another year of strong performance. With results for adjusted EBITDA exceeding our expectations, the positive performance for the year was driven by a number of factors, which I will now highlight for you.

Speaker #4: Revenue was $257.8 million for the year ended December 31, 2025, an increase of 4% compared to $247.4 million in the prior year. This growth was led by strong results across the Saskatchewan Registries division of Registry Operations and, in particular, the Land Registry, which benefited from higher average real estate values.

Bob Antichow: Net income was CAD 26.8 million, or CAD 1.44 per basic share, and CAD 1.43 per diluted share for the year ended 31 December 2025, compared to CAD 20.2 million or CAD 1.11 per basic share and diluted share in 2024. The increase is due to Adjusted EBITDA contributions from Registry Operations and Services during the year. Registry Operations Adjusted EBITDA is a result of strong revenue for the reasons previously discussed. Services Adjusted EBITDA contribution is a result of the continued performance of the higher margin Recovery Solutions division, in addition to increased recurring and non-recurring volumes in the higher margin KYC and due diligence offerings of the Regulatory Solutions division.

Robert Antichow: Net income was CAD 26.8 million, or CAD 1.44 per basic share, and CAD 1.43 per diluted share for the year ended 31 December 2025, compared to CAD 20.2 million or CAD 1.11 per basic share and diluted share in 2024. The increase is due to Adjusted EBITDA contributions from Registry Operations and Services during the year. Registry Operations Adjusted EBITDA is a result of strong revenue for the reasons previously discussed. Services Adjusted EBITDA contribution is a result of the continued performance of the higher margin Recovery Solutions division, in addition to increased recurring and non-recurring volumes in the higher margin KYC and due diligence offerings of the Regulatory Solutions division.

Speaker #4: Net income was $26.8 million, or $1.44 per basic share, and $1.43 per diluted share for the year ended December 31, 2025, compared to $20.2 million, or $1.11 per basic share and diluted share in 2024.

Speaker #4: The increase is due to adjusted EBITDA contributions from Registry Operations and services during the year. Registry Operations adjusted EBITDA is a result of strong revenue, for the reasons previously discussed.

Speaker #4: Services adjusted EBITDA contribution is a result of the continued performance of the higher-margin Recovery Solutions division, in addition to increased recurring and non-recurring volumes, and the higher-margin KYC and due diligence offerings of the Regulatory Solutions division.

Bob Antichow: Lower net finance expense due to lower interest rates also contributed to the increase, but was partially offset by higher share-based compensation expense due to an increase in the company's share price during the year, and an increase in professional and consulting services expenses related to resources deployed to respond to Plantro's mini-tender. Net cash flow provided by operating activities was CAD 77.6 million for the year ended December 31, 2025, an increase of CAD 6.4 million compared to the same prior year, driven by the same factors described for net income, along with the timing of changes in non-cash working capital.

Robert Antichow: Lower net finance expense due to lower interest rates also contributed to the increase, but was partially offset by higher share-based compensation expense due to an increase in the company's share price during the year, and an increase in professional and consulting services expenses related to resources deployed to respond to Plantro's mini-tender. Net cash flow provided by operating activities was CAD 77.6 million for the year ended December 31, 2025, an increase of CAD 6.4 million compared to the same prior year, driven by the same factors described for net income, along with the timing of changes in non-cash working capital.

Speaker #4: Lower net finance expense due to lower interest rates also contributed to the increase, but was partially offset by higher share-based compensation expense due to an increase in the company's share price during the year, and an increase in professional and consulting services expenses related to resources deployed to respond to Plantro's many tenders.

Speaker #4: Net cash flow provided by operating activities was $77.6 million for the year ended December 31, 2025, an increase of $6.4 million compared to the same prior year, driven by the same factors described for net income, along with the timing of changes in non-cash working capital.

Bob Antichow: Adjusted net income was CAD 56.8 million, or CAD 3.05 per basic share and CAD 3.04 per diluted share for the year ended 31 December 2025, compared to CAD 42.9 million or CAD 2.36 per basic share and CAD 2.35 per diluted share for the same prior year. The growth reflects strong results from registry operations and services in addition to lower interest expenses on long-term debt, and depreciation and amortization. Adjusted EBITDA was CAD 103.1 million for the year ended 31 December 2025, compared to CAD 90.3 million in the same prior year. Adjusted EBITDA margin for the year was 40%, which increased compared to 37% in the prior year as a result of the strong performance across the operating segments.

Robert Antichow: Adjusted net income was CAD 56.8 million, or CAD 3.05 per basic share and CAD 3.04 per diluted share for the year ended 31 December 2025, compared to CAD 42.9 million or CAD 2.36 per basic share and CAD 2.35 per diluted share for the same prior year. The growth reflects strong results from registry operations and services in addition to lower interest expenses on long-term debt, and depreciation and amortization. Adjusted EBITDA was CAD 103.1 million for the year ended 31 December 2025, compared to CAD 90.3 million in the same prior year. Adjusted EBITDA margin for the year was 40%, which increased compared to 37% in the prior year as a result of the strong performance across the operating segments.

Speaker #4: Adjusted net income was $56.8 million, or $3.05 per basic share, and $3.04 per diluted share for the year ended December 31, 2025. Compared to $42.9 million, or $2.36 per basic share, and $2.35 per diluted share for the same prior year, the growth reflects strong results from Registry Operations and services, in addition to lower interest expenses on long-term debt and depreciation in advertising.

Speaker #4: Adjusted EBITDA was $103.1 million for the year ended December 31, 2025, compared to $90.3 million in the same prior year. Adjusted EBITDA margin for the year was 40%, which increased compared to 37% in the prior year as a result of the strong performance across the operating segments.

Bob Antichow: Registry Operations continued to showcase growth in Adjusted EBITDA due to strong results in the Land Registry and the Saskatchewan Registries Division. Services Adjusted EBITDA growth was driven by ongoing margin improvement as a result of the continued strength in the Recovery and Regulatory Solutions divisions and a shift towards a higher margin sales mix. Technology Solutions growth was due to higher revenue as a result of progress on solution definition and implementation contracts, combined with lower wages and salaries and information technology services as a result of increased capitalization and one-time grant funding. Adjusted Free Cash Flow for the year ended December 31, 2025 was CAD 74.7 million, an increase of CAD 18.3 million compared to CAD 56.4 million in the prior year. This growth was driven by an increase in Adjusted EBITDA, as previously described, in addition to lower interest paid on debt.

Robert Antichow: Registry Operations continued to showcase growth in Adjusted EBITDA due to strong results in the Land Registry and the Saskatchewan Registries Division. Services Adjusted EBITDA growth was driven by ongoing margin improvement as a result of the continued strength in the Recovery and Regulatory Solutions divisions and a shift towards a higher margin sales mix. Technology Solutions growth was due to higher revenue as a result of progress on solution definition and implementation contracts, combined with lower wages and salaries and information technology services as a result of increased capitalization and one-time grant funding. Adjusted Free Cash Flow for the year ended December 31, 2025 was CAD 74.7 million, an increase of CAD 18.3 million compared to CAD 56.4 million in the prior year. This growth was driven by an increase in Adjusted EBITDA, as previously described, in addition to lower interest paid on debt.

Speaker #4: Registry Operations continued to showcase growth in adjusted EBITDA due to strong results in the Land Registry and the Saskatchewan Registries division. Services adjusted EBITDA growth was driven by ongoing margin improvement as a result of the continued strength in the Recovery and Regulatory Solutions divisions, and a shift towards a higher margin sales mix.

Speaker #4: Technology solutions growth was due to higher revenue as a result of progress on solution definition and implementation contracts, combined with lower wages and salaries, and information technology services as a result of increased capitalization and one-time grant funding.

Speaker #4: Adjusted free cash flow for the year ended December 31, 2025, was $74.7 million, an increase of $18.3 million compared to $56.4 million in the prior year.

Speaker #4: This growth was driven by an increase in adjusted EBITDA, as previously described, in addition to lower interest paid on debt. Now, turning to expenses.

Bob Antichow: Now turning to expenses. Total expenses were CAD 204.1 million, an increase of CAD 7.6 million compared to the prior year. This was due to an increase in wages and salaries, and professional and consulting services expenses being offset by decreases in cost of goods sold, and depreciation and amortization. Sustaining capital expenditures were CAD 9.6 million, compared to CAD 8.3 million in 2024. The increase primarily resulted from increased system development work across our business segments, including registry enhancements in the Saskatchewan Registries Division at Registry Operations. After all this, as at 31 December 2025, we held CAD 19.5 million in cash compared to CAD 21 million as at 31 December 2024.

Robert Antichow: Now turning to expenses. Total expenses were CAD 204.1 million, an increase of CAD 7.6 million compared to the prior year. This was due to an increase in wages and salaries, and professional and consulting services expenses being offset by decreases in cost of goods sold, and depreciation and amortization. Sustaining capital expenditures were CAD 9.6 million, compared to CAD 8.3 million in 2024. The increase primarily resulted from increased system development work across our business segments, including registry enhancements in the Saskatchewan Registries Division at Registry Operations. After all this, as at 31 December 2025, we held CAD 19.5 million in cash compared to CAD 21 million as at 31 December 2024.

Speaker #4: Total expenses were $204.1 million, an increase of $7.6 million compared to the prior year. This was due to an increase in wages and salaries, and professional and consulting services expenses being offset by decreases in cost of goods sold and depreciation and amortization.

Speaker #4: Sustaining capital expenditures were $9.6 million, compared to $8.3 million in 2024. The increase primarily resulted from increased system development work across our business segments, including registry enhancements in the Saskatchewan Registries division of Registry Operations.

Speaker #4: After all this, as at December 31, 2025, we held $19.5 million in cash compared to $21 million as at December 31, 2024. During the year, as part of the execution of our deleveraging plan, we made voluntary prepayments of $47 million to our credit facility, which contributed to the company's succeeding in achieving its stated long-term net leverage target of 2 to 2.5 times ahead of the previously expected time frame of mid-2026.

Bob Antichow: During the year, as part of the execution of our deleveraging plan, we made voluntary prepayments of CAD 47 million to our credit facility, which contributed to the company succeeding in achieving its stated long-term net leverage target of 2 to 2.5 times ahead of the previously expected timeframe of mid-2026. Before I turn the call back over to Sean, I'd like to finish by firstly highlighting that we also announced yesterday that our board of directors approved a quarterly cash dividend of CAD 0.23 per share. That dividend will be payable on or before 15 April 2026 to shareholders of record as of 31 March 2026.

Robert Antichow: During the year, as part of the execution of our deleveraging plan, we made voluntary prepayments of CAD 47 million to our credit facility, which contributed to the company succeeding in achieving its stated long-term net leverage target of 2 to 2.5 times ahead of the previously expected timeframe of mid-2026. Before I turn the call back over to Sean, I'd like to finish by firstly highlighting that we also announced yesterday that our board of directors approved a quarterly cash dividend of CAD 0.23 per share. That dividend will be payable on or before 15 April 2026 to shareholders of record as of 31 March 2026.

Speaker #4: Before I turn the call back over to Sean, I'd like to finish by first highlighting that we also announced yesterday that our Board of Directors approved a quarterly cash dividend of $23 per share.

Speaker #4: That dividend will be payable on or before April 15, 2026, to shareholders of record as of March 31, 2026. Secondly, I want to remind you of the targets we've set for ourselves in 2026, with an expectation that revenue will be within a range of $273 million to $283 million, and adjusted EBITDA is expected to be in a range of $100 million to $107 million.

Bob Antichow: Secondly, I want to remind you of the targets we've set for ourselves in 2026, with an expectation that revenue will be within a range of CAD 273 to 283 million, and adjusted EBITDA is expected to be in a range of CAD 100 to 107 million. In line with our historic performance, the company also expects robust free cash flow in 2026, which will help to maintain our long-term net leverage target of 2 to 2.5 times. I will now turn the call back over to Shawn for some concluding remarks.

Robert Antichow: Secondly, I want to remind you of the targets we've set for ourselves in 2026, with an expectation that revenue will be within a range of CAD 273 to 283 million, and adjusted EBITDA is expected to be in a range of CAD 100 to 107 million. In line with our historic performance, the company also expects robust free cash flow in 2026, which will help to maintain our long-term net leverage target of 2 to 2.5 times. I will now turn the call back over to Shawn for some concluding remarks.

Speaker #4: In line with our historic performance, the company also expects robust free cash flow in 2026, which will help to maintain our long-term net leverage target of 2 to 2.5 times.

Speaker #4: I will now turn the call back over to Sean for some concluding remarks.

Shawn Peters: Thanks, Bob. As I mentioned at the start of the call, 2025 was a fantastic year for ISC. We didn't just hit our targets, we set new records in revenue, Adjusted EBITDA, and free cash flow. 2025 clearly demonstrated the power of ISC's diversified model. Each segment contributed to our record results. We made meaningful progress on our strategic priorities. As Bob just highlighted, the momentum is carrying us into 2026. With the outlook and guidance we announced in early February, we're well-positioned to deliver another year of growth while maintaining our disciplined approach to capital allocation. We expect continued strength in Registry Operations driven by Saskatchewan's resilient economy, organic growth in Services through new customer onboarding, and further progress in Technology Solutions as we advance our third-party contracts. Finally, turning to our strategic review.

Speaker #1: Thanks, Bob. As I mentioned at the start of the call, 2025 was a fantastic year for ISC. We didn't just hit our targets; we set new records in revenue, adjusted EBITDA, and free cash flow.

Speaker #1: 2025 clearly demonstrated the power of ISC's diversified model. Each segment contributed to our record results, we made meaningful progress on our strategic priorities, and as Bob just highlighted, the momentum is carrying us into 2026.

Speaker #1: With the outlook and guidance we announced in early February, we're well positioned to deliver another year of growth while maintaining our disciplined approach to capital allocation.

Speaker #1: We expect continued strength in Registry Operations, driven by Saskatchewan's resilient economy, organic growth in services through new customer onboarding, and further progress in technology solutions as we advance our third-party contracts.

Speaker #1: Finally, turning to our strategic review, a strategic review of this complexity—balancing the interests of shareholders, the Government of Saskatchewan, employees, and customers—requires thorough analysis.

Shawn Peters: Strategic review of this complexity, balancing the interests of shareholders, the Government of Saskatchewan, employees, and customers requires thorough analysis. As we noted in our earnings release yesterday, the special committee, supported by its independent advisors, is continuing its work, and its timely completion is a priority for both the committee and the board. We're also committed to getting this right, and the time we're investing reflects the seriousness with which we're treating this process. We recognize that potential outcomes could lead to a significant strategic change for the company, and our priority is ensuring that any outcome maximizes value while protecting the interests of all stakeholders. Whatever the path forward, one thing will not change. Our unwavering commitment to our customers, our people, and our broader community. ISC's business model is inherently resilient.

Speaker #1: As we noted in our earnings release yesterday, the Special Committee, supported by its independent advisors, is continuing its work, and its timely completion is a priority for both the Committee and the Board.

Speaker #1: But we're also committed to getting this right, and the time we're investing reflects the seriousness with which we're treating this process. We recognize the potential outcomes could lead to a significant strategic change for the company, and our priority is ensuring that any outcome maximizes value while protecting the interests of all stakeholders.

Speaker #1: Whatever the path forward, one thing will not change: we're on a unwavering commitment to our customers, our people, and our broader community. ISC's business model is inherently resilient.

Shawn Peters: It's built on diversified segments, disciplined financial management, and a track record of over 50 consecutive quarters of profitability. In closing, I want to thank all of our stakeholders for their support and patience as we navigate this pivotal moment in ISC's history. We're dedicated to finding the best possible outcome for everyone involved. With that, I'll now hand the call back over to Jonathan.

Speaker #1: It's built on diversified segments, disciplined financial management, and a track record of over 50 consecutive quarters of profitability. In closing, I want to thank all of our stakeholders for their support and patience as we navigate this pivotal moment in ISC's history.

Speaker #1: We're dedicated to finding the best possible outcome for everyone involved. With that, I'll now hand the call back over to Jonathan.

Jonathan Hackshaw: Thanks, Shawn. Victor, we'd now like to begin the question and answer session, please.

Jonathan Hackshaw: Thanks, Shawn. Victor, we'd now like to begin the question-and-answer session, please.

Speaker #2: Thanks, Sean. Victor, we'd now like to begin the question-and-answer session, please.

Operator: Thank you. To ask a question, you will need to press star one one on your telephone and wait for your name to be announced. To withdraw your question, please press star one one again. Please stand by while we compile the Q&A roster. One moment for our first question. Our first question will come from the line of Stephen Boland from Raymond James. Your line is open.

Speaker #3: Thank you. To ask a question, you will need to press *11 on your telephone and wait for your name to be announced to withdraw your question.

Speaker #3: Please press star one one again. Please stand by while we compile the Q&A roster. One moment for our first question. Our first question will come from the line of Stephen Bolen.

Speaker #3: From Raymond James, your line is open.

Stephen Boland: Good morning, everyone. Sean, I know you can't talk about the strategic review, but there was new language put in in the outlook around the provincial interest. I'm just wondering about the decision to add that now, because you've already provided a couple of updates on the review and the process without that language in there. I'm just wondering why now.

Speaker #4: Good morning, everyone. Sean, I know you can't talk about the strategic review, but there was new language put in the outlook around the provincial interests.

Speaker #4: I'm just wondering about the decision to add that now, because you've already provided a couple of updates on the review and the process without that language in there.

Speaker #4: So, I'm just wondering why now.

Shawn Peters: Yeah. Thanks for the question, Steve. No, no particular reason. The Government of Saskatchewan has publicly announced its support for ISC's strategic review, and in their announcement, they talked about the protection for Saskatchewan jobs and the golden share. Really no particular reason other than it's the government has announced it publicly.

Speaker #3: Yeah, thanks for the question, Steve. No particular reason. The government of Saskatchewan has publicly announced its support for ISC's strategic review, and in their announcement, they talked about the protection for Saskatchewan jobs and the golden share.

Speaker #3: So really, no particular reason other than it's the government has announced it publicly.

Stephen Boland: Okay. Thanks. Just in terms of your other registry customers, whether Canadian or international, is there any change of control provisions in those contracts?

Speaker #4: Okay, thanks. And just in terms of your other Registry customers, whether Canadian or international, is there any change-of-control provisions in those contracts?

Shawn Peters: Yeah. Sorry, Steven, that's probably not a question that I'd wanna get into on this call. I would say that all of any of those considerations will be considered in a strategic review and any outcome that comes from that.

Speaker #3: Yeah, sorry, Steve. That's probably not a question that I'd want to get into on this call. I would say that all of any of those considerations will be considered in a strategic review, and any outcome that comes from that.

Stephen Boland: Okay. Last one for me is just in terms of this new contract that got announced, maybe you could give a little description of the process of trying to look into it, the one that's the International Equipment Registry. How long was the RFP, you know, costs to build, to implement, you know, going live time, et cetera?

Speaker #4: Okay. And last one for me. It's just in terms of this new contract that got announced—maybe you could give a little description of the process of trying to look into it, the one that's the international equipment registry.

Speaker #4: How long was the RFP cost to build, implement, go live time, etc.?

Shawn Peters: Yeah. Thanks for that. I'll give you a couple of things on that. That's the MAC Registry, the Mining, Agricultural and Construction Registry. We're very pleased to announce that we've been selected as the winner in that process. To your time question, it was quite an elongated process, taking a couple of years, sort of start to finish. We were successful in securing that, as well as being the registrar for the company. It's a great contract being that it's we're establishing, building, and then operating that contract internationally, which shows that ISC is on the international stage for registries and opportunities like this are continuing to open up for us as we've seen in the recent announcements. Yeah, something we're really excited about.

Speaker #3: Yeah, so thanks for that. Let me give you a couple of things on that. So that's the—just for everyone—that's the MAC registries, the Mining, Agricultural, and Construction registry.

Speaker #3: We're very pleased to announce that we've been selected as the winner in that process. So, to your time question, it was quite an elongated process, taking a couple of years—sort of start to finish.

Speaker #3: We were successful in securing that, as well as being the registrar for the company. So it's a great contract, being that we're establishing, building, and then operating that contract.

Speaker #3: Internationally, this shows that ISC is on the international stage for registries, and opportunities like this are continuing to open up for us, as we've seen in the recent announcement.

Speaker #3: So, yeah, something we're really excited about. Just, sorry, to finish off the answer to your question on build and that sort of thing. This will take advantage of the rolling stock registry that we've previously announced and built, and it's operational now.

Shawn Peters: Just, sorry, to finish off the answer to your question on build and that sort of thing, this will take advantage of the rolling stock registry that we've previously announced and built, and it's operational now. It's similar in nature to that. From a build and getting up to speed timeframe, we're well advanced in that because we already have the rail registry.

Speaker #3: It's similar in nature to the Hutton. So from a build and getting up to speed timeframe, we're well advanced in that because we already have the rail registry.

Stephen Boland: Any financials involved in this, like a cost to build, you know, the annual revenue expectation, anything like that?

Speaker #4: And can you add any financials involved in this, like a cost to build, the annual revenue expectation, anything like that?

Shawn Peters: Yeah. From a cost to build, it'll just be reflected in our normal operating and CapEx assumptions, so you won't see anything significant there. Particularly, as I said, because we've already built the rail registry. From a revenue perspective, that's something that we don't have any guidance on at this point. The nice thing about this, as I said, is we are building and establishing this registry right from the ground up, and that's where we like to be, is right at the ground level for these because we think there's lots of potential in them, but at this point, can't quantify that financially.

Speaker #3: Yeah, from a cost to build, it'll just be reflected in our normal operating and CapEx assumptions, so you won't see anything significant there. In particular, as I said, because we've already built the rail registry.

Speaker #3: From a revenue perspective, that's something that we don't have any guidance on at this point. The nice thing about this, as I said, is we are building and establishing this registry right from the ground, and that's where we like to be, right at the ground level for these.

Speaker #3: Usually, we think there's lots of potential in them, but at this point, we can't quantify that financially.

Stephen Boland: Okay. Appreciate that. Thanks very much.

Speaker #4: Okay, appreciate that. Thanks very much.

Shawn Peters: Thanks, Steven.

Speaker #2: Thanks, Steve.

Operator: One moment for next question. Next question comes from the line of Nicholas Boychuk from ATB Capital Markets. Your line is open.

Speaker #5: One moment for our next question. The next question will come from the line of Nicholas Boychuk from ATB, Homeward Capital Markets. Your line is open.

Nicholas Boychuk: Thanks. Good morning, gentlemen. On the services business, I'm curious, the outlook commentary that you shared for 2026 and where you think things are going. The onboarding environment for new customers, are you able to share a little bit of how that looks right now? How competitive the space is and what you're seeing there?

Speaker #6: Thanks. Good morning, gentlemen. On the services business, I'm curious about the outlook commentary that you shared for 2026 and where you think things are going.

Speaker #6: The onboarding environment for new customers—are you able to share a little bit of how that looks right now? How competitive the space is and what you're seeing there?

Shawn Peters: Yeah, I can start then and let Bob jump in. It is clearly a competitive space. You know, we've been very successful in all aspects of our services business, right from onboarding new customers in the regulatory space as well as the recovery solution space. It's because of the service levels that we provide, so highly competitive, but we excel and outperform our competitors in the service levels that we provide. There's also some disruption in the market, just to be honest, currently with some of the other providers, and we're well-positioned to take advantage of that.

Speaker #2: Yeah, I can start and then let Bob jump in. So, clearly, that is a competitive space. We've been very successful in all aspects of our services business, right from onboarding new customers in the regulatory space as well as the recovery solution space.

Speaker #2: And it's because of the service levels that we provide. So, highly competitive, but we excel and outperform our competitors in the service levels that we provide.

Speaker #2: There's also some disruption in the market, just to be honest, currently with some of the other providers. And so we're well positioned to take advantage of that.

Shawn Peters: Really it's a combination of uncertainty perhaps with some of the other providers in the market that we're able to capitalize on, and then plus supported by our strong service levels. Does that answer your question, Nick?

Speaker #2: So really, it's a combination of uncertainty—perhaps with some of the other providers in the market—that we're able to capitalize on, and then, plus, supported by our strong service levels.

Speaker #4: Does that answer your question, Nick?

Nicholas Boychuk: Oops, sorry, I was on mute there. It does, but I'm curious. Do you have all of the internal capabilities that you would want in order to address that opportunity? Or are there things that you're working on from an R&D perspective to build out or that you would want to otherwise acquire? You do have the financial resources now. You mentioned the debt load coming under target faster than expected. Would either of those avenues be something you're gonna explore?

Speaker #6: Oh, sorry, I was on mute there. It does, but I'm curious—do you have all of the internal capabilities that you would want in order to address that opportunity?

Speaker #6: Or are there things that you're working on from an R&D perspective to build out, or that you would want to otherwise acquire? You do have the financial resources now—you mentioned the debt load coming under target faster than expected.

Speaker #6: Would either of those avenues be something you're going to explore?

Shawn Peters: Well, yeah, two things that we're doing right now, and we talked about this earlier in the year. We have invested in the sales team at in our services division. That's one of the areas where we saw opportunity, and so we've spent some time building that team. We're continuing to build that team so that we can take advantage of the market opportunity that's in front of us. The second part is, as you said, the R&D. We're continually investing in our Registry Complete and our Recovery Complete platforms to make sure that the breadth of offerings there is what our clients are asking for. Absolutely there's some R&D. To the, is there other things that we would buy? We have a pretty complete offering right now in that line of business.

Speaker #4: Yeah. Two things that we're doing right now—and we talked about this earlier in the year. We have invested in the sales team in our Services division.

Speaker #4: That's one of the areas where we saw opportunity, and so we've spent some time building that team. We're continuing to build that team so that we can take advantage of the market opportunity that's in front of us.

Speaker #4: But the second part is, as you said, the R&D. We're continually investing in our Registry Complete and our Recovery Complete platforms to make sure that the breadth of offerings there is what our clients are asking for.

Speaker #4: So absolutely, there's some R&D. To the 'is there other things that we would buy?'—we have a pretty complete offering right now in that line of business.

Shawn Peters: That's not to say there aren't areas that we'd be interested in, but right now our focus is really on expanding the product offering we have, and using our sales team to go after that market.

Speaker #4: That's not to say there aren't areas that we'd be interested in, but right now, our focus is really on expanding the product offering we have, and using our sales team to go after that market.

Nicholas Boychuk: Okay. Understood. That makes sense. Last three on the tech solutions, the outlook commentary also mentioned that you've got a few opportunities in new contracts. I'm just curious, how robust is that pipe, and what do you expect in terms of other announcements on the tech solution side?

Speaker #6: Okay. I understand. That makes sense. And the last thing on the tech solutions—the outlook commentary also mentioned that you've got a few opportunities in new contracts.

Speaker #6: I'm just curious, how robust is that pipe, and what do you expect in terms of other announcements on the tech solution side?

Shawn Peters: Yeah. I would say that, you know, we've been excited about the ones that we've announced, both the MAC Registry, the MECP, and our ongoing contracts in places like Liechtenstein. That's a long sales cycle. We've talked about that before. We just talked about the MAC Registry being a couple of years in there, and MECP was something similar, 12 to 18 months. We're continually working on that, and we think that pipeline remains strong for us. With the more of these opportunities that we're getting and that we're announcing, it's putting our name in places that it wasn't before, and that's exciting for us. We think it's a robust pipeline. We'll continue to manage that and make sure that we're able to deliver because that's the key part of that.

Speaker #4: Yeah, I would say that we've been excited about the ones that we've announced—both the MAC registry, the MECP, and our ongoing contracts in places like Liechtenstein.

Speaker #4: That's a long sales cycle. We've talked about that before. We just talked about the MAC registry being a couple of years in there, and MECP was something similar, 12 to 18 months.

Speaker #4: So we're continually working on that, and we think that pipeline remains strong for us. And with more of these opportunities that we're getting and that we're announcing, it's putting our name in places that it wasn't before, and that's exciting for us.

Speaker #4: So, we think it's a robust pipeline. We'll continue to manage that and make sure that we're able to deliver, because that's the key part of that. Winning them is one thing, but delivering on them is another thing.

Shawn Peters: Winning them is one thing, but delivering on them is another thing. We wanna make sure that we're appropriately staffed to do that as well.

Speaker #4: So, we want to make sure that we're appropriately staffed to do that as well.

Nicholas Boychuk: Okay. Thanks, Shawn.

Speaker #6: Okay. Thanks, Sean.

Operator: Thank you. One moment for our next question. Our next question will come from the line of Erin Kyle from CIBC. Your line is open.

Speaker #5: Thank you. One moment for our next question. Our next question will come from the line of Aaron Kyle from CIBC. Your line is open.

Erin Kyle: Hi, good afternoon. Thanks for taking the questions. I was hoping you could discuss maybe more broadly the competitive landscape across the three services divisions and maybe how you view the defensibility of the service businesses, particularly in light of any potential AI-driven disruption that the market's kind of focused on in this environment.

Speaker #7: Hi. Good afternoon. Thanks for taking the questions. So I was hoping you could discuss, maybe more broadly, the competitive landscape across the three services divisions and maybe how you view the defensibility of the service businesses, particularly in light of any potential AI-driven disruption that the market's kind of focused on in this environment.

Shawn Peters: Yeah. Again, maybe I'll start and Bob jump in if I miss anything. The first part of your question I think was the competitive environment across the different areas in services. Each part of the services business is a bit unique, and at the same time they all stitch together. That's part of the strength of the offering that we have is following a credit life cycle from right from origin to completion. I would say there are different competitors in each parts of the business. We'll start maybe at the back end in the Recovery Solutions business. We've talked about a lot of times that there is really a champion challenger model in that. That's the primary competitor that we're up against is just sort of a single other competitor.

Speaker #4: Yeah, so again, Nick, I'll start, and Bob, jump in. It's a missing thing. So, the first part of your question, I think, was the competitive environment across the different areas in services.

Speaker #4: So each part of the services business is a bit unique, and at the same time, they all stitch together. That's part of the strength of the offering that we have—it's following a credit lifecycle right from origin to completion.

Speaker #4: So, I would say there are different competitors in each part. So, the business in the... we'll start maybe at the back end, in the recovery solutions business.

Speaker #4: We've talked a lot of times about the fact that there really is a champion-challenger model in that. And so that's the primary competitor that we're up against—sort of a single other competitor.

Shawn Peters: There are smaller competitors in various parts, but for the biggest part it's against a single competitor. That's where our service levels are exceeding those of our competition and where we're winning additional volume from customers we have as well as onboarding some new customers. In the middle there, maybe in the regulatory space, I think the market has a few more competitors, a couple of larger ones. That's where we're seeing some disruption in that market and where we're taking advantage of that. It still remains very, very competitive. I think there's new entrants coming into that given the market disruption. We're well positioned as an existing provider with a history of performance and stability in that part.

Speaker #4: There are smaller competitors in various parts, but for the biggest part, it's against a single competitor. And that's where our service levels are exceeding those of our competition, and where we're winning additional volume from customers we have, as well as onboarding some new customers.

Speaker #4: In the middle, they're maybe in the regulatory space. I think the market has a few more competitors—a couple of larger ones—and that's where we're seeing some disruption in that market and where we're taking advantage of that.

Speaker #4: But it still remains very, very competitive. I think there's new entrants coming into that, given the market disruption, and so we're well positioned as an existing provider with a history of performance and stability.

Speaker #4: In that part. And then, in the KYC and some of the other parts of our business, those are really our products that we have to help complete the set.

Shawn Peters: You know, in the KYC and some of the other parts of our business, it's really those are our products that we have to help complete the set. We're not as worried about competition in some of those areas because it's part of a larger offering that we tag on to some of the stronger parts of our business. So that's maybe hopefully that answers your question, Erin, at a high level. On the second part on the AI component of it, obviously AI is something that we're interested in and watching carefully. We have our own AI internal team that's looking at how we utilize AI for efficiencies, whether that's in our core operations or our corporate services or in our services parts of our business.

Speaker #4: We're not as worried about competition in some of those areas because it's part of a larger offering that we tag on to some of the stronger parts of our business.

Speaker #4: So that's maybe, hopefully, that answers your question, Aaron, at a high level. On the second part, on the AI component of it—obviously, AI is something that we're interested in and watching carefully.

Speaker #4: We have our own AI internal team that's looking at how we utilize AI for efficiencies, whether that's in our core operations, our corporate services, or in the services parts of our business.

Shawn Peters: We also use AI as you would expect in some of the, I was gonna say traditional areas, although that's a bit of a weird word given how new it is, but in helping in our development, in our Technology Solutions, and even in our Services area. The threat of AI really is a different concept. Right now, we provide services to customers to help them interact with registries or regulatory services that are by nature fairly locked down. The benefit we have is the relationships with those services, or those regulatory and registry services which are provided on a contractual basis.

Speaker #4: We also use AI, as you would expect, in some of the—I was going to say traditional areas, although that's a bit of a weird word given how new it is.

Speaker #4: But in helping in our development, in our technology solutions, and even in our services area, the threat of AI really is a different concept.

Speaker #4: Right now, we provide services to customers to help them interact with registries or regulatory services that are, by nature, fairly locked down. And the benefit we have is the relationships with those services, or those regulatory and registry services, which are provided on a contractual basis.

Shawn Peters: We're always watching AI, but we don't see it as a tremendous threat in those areas because customers are looking for entities with source of truth, not AI that doesn't actually have access to a lot of that privileged information. Something we're keeping our eye on. We're utilizing it appropriately internally, and we'll make sure that our systems are set up to continue to provide the trusted information that customers are looking for.

Speaker #4: So, we don't see—we're always watching AI. We don't see it as a tremendous threat in those areas, because customers are looking for entities with source of truth, not AI that doesn't actually have access to a lot of that privileged information.

Speaker #4: So, something we're keeping our eye on. We're utilizing it appropriately internally, and we'll make sure that our systems are set up to continue to provide the trusted information that customers are looking for.

Erin Kyle: Thank you. That's a lot of helpful detail there. Maybe just on the guidance, can you unpack some of the assumptions baked into the low end versus the high end of the guide and how we should think about that?

Speaker #7: Thank you. That's a lot of helpful detail there. And then maybe just on the guidance, can you unpack some of the assumptions baked into the low end versus the high end of the guide, and how we should think about that?

Bob Antichow: Yeah, I can start. Obviously, registry operations, you know, contributes a significant amount of the EBITDA to the organization. Of course, it's dependent on the Saskatchewan economy. You know, transaction volumes and prices. What we've got, the range reflects various outcomes, you know, in that business. Then, you know, we've got services business where we're expecting continued growth. You know, this year we talked about how diversification has helped stabilize that business. You know, we continue, as Sean talked earlier, to invest in it and, you know, both from a sales standpoint and technology.

Robert Antichow: Yeah, I can start. Obviously, registry operations, you know, contributes a significant amount of the EBITDA to the organization. Of course, it's dependent on the Saskatchewan economy. You know, transaction volumes and prices. What we've got, the range reflects various outcomes, you know, in that business. Then, you know, we've got services business where we're expecting continued growth. You know, this year we talked about how diversification has helped stabilize that business. You know, we continue, as Sean talked earlier, to invest in it and, you know, both from a sales standpoint and technology.

Speaker #4: Yeah, I can start. So, yeah, obviously, registry operations contribute a significant amount of the EBITDA to the organization, and of course, it's dependent on the Saskatchewan economy.

Speaker #4: So, transaction volumes and prices and so what we've got—the range reflects various outcomes in that business. And then we've got services business; we're expecting continual growth.

Speaker #4: This year, we talked about how diversification has helped stabilize that business. But we continue, as Sean talked earlier, to invest in it—both from a sales standpoint and technology.

Bob Antichow: We do anticipate, you know, we're planning for growth in that business. You know, in Technology Solutions, we're continuing to deliver on the contracts that exist. The big, you know, variable is really, you know, the Saskatchewan economy, because that has the biggest impact on the adjusted EBITDA of the company. Yeah.

Robert Antichow: We do anticipate, you know, we're planning for growth in that business. You know, in Technology Solutions, we're continuing to deliver on the contracts that exist. The big, you know, variable is really, you know, the Saskatchewan economy, because that has the biggest impact on the adjusted EBITDA of the company. Yeah.

Speaker #4: And we do anticipate—we're planning for growth in that business. And then in Technology Solutions, we're continuing to deliver on the contracts that we exist.

Speaker #4: So the big variable is really the Saskatchewan economy, because that has the biggest impact on the adjusted EBITDA of the company. Yeah.

Erin Kyle: Thank you. Maybe I can just ask a quick follow-up there, just on the margin profile for Services in particular, because you've mentioned some investments in that business, but I know the margin has been, you know, strong exiting 2025 as a function of the higher Recovery Solutions revenue and some of the increased fees and Regulatory Solutions. Maybe as we look to 2026, you know, where should we expect margins to kind of taper out? Like, is it more in the mid 20% level, or should we expect them to kind of step back down as you invest more in the business?

Speaker #7: Thank you. And maybe kind of ask a quick follow-up there just on the margin profile for Services in particular, because you've mentioned some investments in that business. But I know the margin has been strong exiting 2025 as a function of the higher Recovery Solutions revenue and some of the increased fees in Regulatory Solutions.

Speaker #7: So, maybe as we look to 2026, where should we expect margins to kind of taper out? Is it more in the mid-20% level, or should we expect them to kind of step back down as you invest more in the business?

Bob Antichow: Yeah. Expect it to be, you know, we see Recovery Solutions being strong. They'll continue to be strong in 2026 with auto, you know, delinquencies, you know, still remaining high. Because that is a higher margin business, we expect that to, you know, keep the margin of services up at, you know, what we've seen for the past year.

Robert Antichow: Yeah. Expect it to be, you know, we see Recovery Solutions being strong. They'll continue to be strong in 2026 with auto, you know, delinquencies, you know, still remaining high. Because that is a higher margin business, we expect that to, you know, keep the margin of services up at, you know, what we've seen for the past year.

Speaker #4: Yeah. Expect it to be we see recovery solutions being strong continue to be strong in 2026 with auto delinquencies still remaining high. So because that is a higher margin business, we expect that to keep the margin of services up at what we've seen for the past year.

Erin Kyle: Thank you.

Speaker #7: Thank you.

Operator: Thank you. One moment for our next question. Our next question comes from the line of Paul Treiber from RBC Capital Markets. Your line is open.

Speaker #6: Thank you. One moment for our next question. Our next question will come from Lionel Paul Traber from RBC Capital Markets. Your line is open.

Paul Treiber: Oh, thanks so much. Good morning. Just a question in regards to AI and software in general. Are you looking at or are you seeing the possibility of acquisitions of software vendors that are in, you know, that are focused on, you know, either registry operations or services, just given the decline in software valuations?

Speaker #8: Oh, thanks so much, and good morning. Just a question in regards to AI and software in general. Are you looking at, or are you seeing the possibility of, acquisitions of software vendors that are focused on either registry operations or services, just given the decline in software valuations?

Shawn Peters: Great question, Paul. I think, you know, from an M&A perspective, our pipeline remains active and it encompasses all three of our segments right now. We're looking for M&A in the registry space itself, or regulatory space like, you know, Remine fits. But you know, and services already sort of answered the question that we're interested in certain products. The technology side of it though, is a really interesting part of the business for us. We've not acquired technology since our original ERS acquisition, and it's something where we see that there might be some opportunity. Again, that's all sort of active pipeline, but it is an interesting area of focus for us.

Speaker #4: Great question, Paul. I think from an M&A perspective, our pipeline remains active, and it encompasses all three of our segments right now. So we're looking for M&A in the registry space itself, or regulatory space like Reimind, Fitz, but—and services already sort of answered the question that we're interested in certain products.

Speaker #4: The technology side of it, though, is a really interesting part of the business for us. We've not acquired technology since our original ERS acquisition.

Speaker #4: And it's something where we see that there might be some opportunity again. That's all sort of active pipeline, but it is an interesting area of focus for us.

Paul Treiber: That's interesting. Thanks for that comment. Just a second question. Just on the agreement that you announced in March with the employees union, the five-year agreement. Can you just remind us again, you know, what percent of employees are unionized? Then, you know, what sort of is there a framework for like a minimum number of employees that you need to have within registry operations? Lastly related to that, you know, how do we think about the annual wage increases embedded in that contract, you know, versus what price increases may be embedded in the MSA?

Speaker #8: That's interesting. Thanks for that comment. Just a second question. Just on the agreement that you announced in March with the employees' union—the five-year agreement—can you just remind us again what percent of employees are unionized?

Speaker #8: And then, what's—sort of—is there a framework for a minimum number of employees that you need to have within registry operations? And then, lastly, related to that, how do we think about the annual wage increases embedded in that contract?

Speaker #8: Versus what price increases may be embedded in the MSA?

Bob Antichow: I'll answer the first part of that, Paul. Yeah, approximately 19% of our workforce is unionized. Really in our Saskatchewan Registries division is where that is. You know, and those, you know, you saw the values, you know, the increases per year, of course, in the MSA agreement with the Government of Saskatchewan. You know, we do have a CPI increase as it relates to the core flat fees. You know, those range, you know, again, CPI has ranged over the last 3, 4 years from you know, 1.8% to you know, obviously coming out of COVID was as high as 6%.

Robert Antichow: I'll answer the first part of that, Paul. Yeah, approximately 19% of our workforce is unionized. Really in our Saskatchewan Registries division is where that is. You know, and those, you know, you saw the values, you know, the increases per year, of course, in the MSA agreement with the Government of Saskatchewan. You know, we do have a CPI increase as it relates to the core flat fees. You know, those range, you know, again, CPI has ranged over the last 3, 4 years from you know, 1.8% to you know, obviously coming out of COVID was as high as 6%.

Speaker #4: So I'll answer the first part of that, Paul. So, yeah, approximately 19% of our workforce is unionized, and really, in our Saskatchewan Registries division is where that is.

Speaker #4: And those you saw, the values, the increase per year, of course, in the MSA agreement with the government of Saskatchewan. We do have a CPI increase as it relates to the core flat fees, and those range—again, CPI has ranged over the last three, four years—from 1.8% to, obviously, coming out of COVID, was as high as 6%.

Bob Antichow: Most recently, you know, in the past year, it's just above 2%. But then, you know, the other part of the registry fees is the ad valorem fee, which is based on the fair market value of properties transacted. As you know, and that really is sort of adjusted to market. As you know, have read, you know, the market has

Robert Antichow: Most recently, you know, in the past year, it's just above 2%. But then, you know, the other part of the registry fees is the ad valorem fee, which is based on the fair market value of properties transacted. As you know, and that really is sort of adjusted to market. As you know, have read, you know, the market has

Speaker #4: Most recently, in the past year, it's just above 2%. But then, on the other part of the registry fees, is that alarm fee, which is based on the fair market value of properties transacted.

Speaker #4: And as you— and that really is sort of adjusted to market. And as you've read, the market in Saskatchewan has been going up and has been just around that 3% or higher in the last few years.

Bob Antichow: In Saskatchewan has been going up, and has been just you know, around that 3% or higher in the last few years.

Robert Antichow: In Saskatchewan has been going up, and has been just you know, around that 3% or higher in the last few years.

Shawn Peters: Yeah. The second and third part of your question, Paul, is there a minimum number of staff that we need to retain under that? The answer is no. We work very collectively and collaboratively with our union on positions there where we've got a really good relationship with them. We'll continue to invest with SGEU and with our jobs in Saskatchewan, but there's no minimum required under contract. The last part of your question, you know, Bob sort of answered it a bit in terms of the increases. They would be very much in line with Saskatchewan CPI, so we're very comfortable with what those would be.

Speaker #4: Yeah.

Speaker #8: Yeah, so the second and third part of your question, Paul: Is there a minimum number of staff that we need to retain under that?

Speaker #8: The answer is no. We work very collectively and collaboratively with our union on positions there, where we've got a really good relationship with them.

Speaker #8: We’ll continue to invest with SGU and with our jobs in Saskatchewan. But there’s no minimum required under contract. The last part of your question, Bob sort of answered it a bit in terms of the increases.

Speaker #8: They would be very much in line with Saskatchewan CPI, so we're very comfortable with what those would be.

Paul Treiber: Okay. Thanks for taking the questions.

Speaker #6: Okay. Thanks for taking the questions.

Operator: Thank you. As a reminder, that's star one one for questions, star one one. Our next question will come from the line of Trevor Reynolds from Acumen. Your line is open.

Speaker #8: Thanks, Paul.

Speaker #6: Yeah. As a reminder, that's STAR 101 for questions. STAR 101. Our next question will come from Lionel Trevor Reynolds from Acumen. Your line is open.

Trevor Reynolds: Hey, guys. I think most of my questions have been answered, but I was just wondering if I could get your insight on, or your thoughts around the sales in Saskatchewan. They're off a little bit to start the year. I was just wondering how you see that moving forward here and how that balances out in terms of the increase in price, if you expect any slip in revenue from registry here in Q1.

Speaker #9: Hey, guys. I think most of my questions have been answered, but I was just wondering if you could—if I could get your insight on, or your thoughts around, the sales in Saskatchewan.

Speaker #9: They're off a little bit to start the year. I was just wondering how you see that moving forward here, and how that balances out in terms of the increase in price—if you expect any slip in revenue from registry here in Q1.

Shawn Peters: Yeah. Thanks for the question, Trevor. As you've noted, the Saskatchewan REALTORS® Association has noted a bit of a drop in February in home sales. That's really all tied back to the constraints, the supply constraints that we have. We've talked about that for some time. I think the good news on that. Well, there's a couple pieces of good news on that. One is that builders, permits, and those are very active this year. Those tend to be up, and so there's lots of new construction happening in anticipation of trying to fulfill that demand.

Speaker #4: Yeah, so thanks for the question, Trevor. As you've noted, the Saskatchewan Realtors Association has noted a bit of a drop in February in home sales.

Speaker #4: That's really all tied back to the supply constraints that we have. So we've talked about that for some time. I think the good news on that—well, there's a couple of pieces of good news on that.

Speaker #4: One is that builders and permits, and those are very, very active. This year, those tend to be up. And so there's lots of new construction happening in anticipation of trying to fulfill that demand.

Shawn Peters: Secondly, you know, I think even the realtors in general, not necessarily in their announcement, the realtors in general expect that the sellers are, because of the strength of the market, sellers are actually readying their homes for sale this spring, and they actually expect 2026 to be one of the strongest years on record. We have a little bit of a dip right now in terms of timing as they, as sales are down, as inventory is low, as people are getting ready for the spring session or spring season, I guess, for home sales. They do expect that to pick up. Again, we remain confident in the outlook and guidance that we've given, and that's of course based on what we expect in the Saskatchewan Registries.

Speaker #4: But secondly, I think even the realtors in general—it's not necessarily in their announcement. The realtors in general expect that the sellers are, because of the strength of the market, sellers are actually readying their homes for sale this spring.

Speaker #4: And they actually expect 2026 to be one of the strongest years on record. So we have a little bit of a dip right now in terms of timing, as sales are down, as inventory is low, as people are getting ready for the spring session—or spring season, I guess.

Speaker #4: For home sales, but they do expect that to pick up. So again, we remain confident in the outlook and guidance that we've given. And that's, of course, based on what we expect in the Saskatchewan registries.

Trevor Reynolds: Okay, thanks.

Speaker #9: Okay. Thanks.

Shawn Peters: Thanks, Trevor.

Jonathan Hackshaw: Thank you, Trevor.

Speaker #4: Thanks, Trevor.

Operator: Thank you. I'm not showing any further questions at this time. I will now turn it back over to Jonathan for closing remarks.

Speaker #8: Thank you, Trevor.

Speaker #6: Thank you. I'm not showing any further questions at this time. I want to turn back over to Jonathan for closing remarks.

Jonathan Hackshaw: Thank you, Victor. With no further questions, we'd like to once again thank everyone for joining us in today's call, and we look forward to speaking with you again soon at our next reporting period. Thanks very much and have a great day.

Speaker #9: Thank you, Victor. With no further questions, we'd like to once again thank everyone for joining us on today's call, and we look forward to speaking with you again soon at our next reporting period.

Speaker #9: Thank you very much, and have a great day.

Operator: Thank you for your participation in today's conference. This does conclude the program. You may now disconnect. Everyone, have a great day.

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