Charbone Corporation (TSXV: CH; OTCQB: CHHYF; FSE: K47), a vertically integrated industrial gases company, announced that its preliminary gas income for the second quarter of 2026 is expected to increase by 155% to $0.5 million, up from $0.2 million in the first quarter. This growth underscores the company's successful expansion in the North American market and its ability to capitalize on rising demand for ultra-high purity (UHP) gases.
The company attributes the surge to increased sales across its hydrogen production and regional supply hubs, particularly in the U.S. and Canadian markets. Key drivers include clean UHP hydrogen sourced from its own Sorel-Tracy plant in Phase 1A, as well as UHP helium and UHP oxygen obtained through strategic partners. Demand accelerated throughout Q2, leading to higher recurring revenues and new customer acquisitions. Charbone continues to invest in its full-stack platform, including distribution equipment, to support this growth and anticipated future sales.
For the first half of 2026, gas income is expected to reach $0.6 million, a 100% increase from the $0.3 million reported in the same period last year (which was actually $nil, but the company's statement indicates a 100% increase to $0.6 million from $nil, implying a significant turnaround). Operating expenses for Q2 are expected to remain relatively flat compared to Q1, reflecting improved efficiency without major cost increases.
Benoit Veilleux, Chief Financial Officer and Corporate Secretary, expressed pride in the team's momentum, emphasizing the company's focus on long-term value creation. "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," he said.
The company will release its full financial and operational results for Q2 2026 on August 28, 2026, after market close. A webinar is scheduled for August 31, 2026, at 11:00 AM EDT, where management will discuss results and corporate updates. Interested parties can register at this link.
In related news, Charbone announced the engagement of IMPAQ Capital Inc. for investor relations services on 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 effective start date. IMPAQ holds no direct or indirect interest in Charbone's securities, aside from these options.
Charbone's growth strategy focuses on developing a network of supply hubs for UHP gases, serving sectors such as semiconductors, AI, data centers, pharmaceuticals, and aerospace. The company's modular, decentralized approach aims to provide reliable and sustainable gas supply to mid-tier customers, addressing gaps in the market. This model is expected to drive stable revenue growth and support the transition to a lower-carbon economy.
