Enablence Technologies booked US$8.1 million in revenue in the twelve months ended June 30. It lost US$22.5 million over the same stretch. On October 22, the company told investors it expects about US$4.0 million for the quarter that closed September 30, close to half of the prior year’s total in three months.
Enablence Reports Audited FY2026 Revenue of US$8.1 Million, Up 37%
Enablence Technologies Inc. (TSXV: ENA) (OTC: ENAFF) released audited fourth-quarter and fiscal 2026 results after the market closed on October 22 and filed the audited statements on SEDAR+. The Ottawa-based company makes planar lightwave circuits (PLCs), silicon chips that route light signals inside data center and telecom equipment, at its own fab in Fremont, California.
Full-year revenue rose 37% to $8.1 million from $5.9 million. Gross margin, the share of revenue left after direct production costs, improved to negative 16% from negative 40%. Amounts are in US dollars, the company’s reporting currency according to its most recent interim MD&A (management’s discussion and analysis).
The loss line went the other way. Operating loss grew to $12.7 million from $11.4 million, driven mainly by higher research and development spending, the company said. Net loss widened to $22.5 million from $18.2 million, which Enablence attributed primarily to higher taxes and interest expense.
Fourth-quarter revenue reached $2.9 million against $2.1 million a year earlier. Gross profit was $0.2 million, an 8.0% margin, compared with negative 28.2% in the year-ago quarter. Net loss for the quarter came to $6.0 million.
That makes two positive-margin quarters in a row. The third quarter’s margin was higher, though: 13.2% on $2.2 million of revenue, according to the interim MD&A.
Enablence Guides Q1 Fiscal 2027 Revenue to About US$4.0 Million
The fresh number in the October 22 release is first-quarter guidance. Enablence expects revenue of approximately US$4.0 million for the three months ended September 30, 2026, which it describes as growth of almost 500% year over year.
The company’s own prior filing points to a smaller figure. Its interim MD&A reports first-quarter fiscal 2026 revenue of $836,000. Measured against that base, US$4.0 million would be an increase of about 380%, or roughly 4.8 times the prior-year quarter. The October 22 release does not reconcile the two.
Full-year guidance did not change. Enablence still expects fiscal 2027 revenue of US$19.0 million to US$21.0 million and gross margin of 25% to 35%, the same ranges it set out in its September 22 preliminary release. The midpoint is roughly 2.5 times fiscal 2026 revenue.
Capacity, not orders, is the limit management describes. CFO Steve Cohn said customer demand continues to run ahead of available wafer capacity, and the company says it is selling wafers as fast as it can make them. Relief depends on qualifying a second production site in Vietnam during the second half of fiscal 2027, which runs from January through June 2027. CEO Todd Haugen cited demand from North American hyperscalers, the largest cloud and data center operators. Enablence has not named those customers, and the characterization is the company’s own.
The capacity figures have also moved between releases. On September 22, Enablence said it expected to exceed 4,000 wafer starts per month (a wafer start is one silicon wafer entering production) by the end of calendar 2026, and 4,500 per month by the end of calendar 2027. The October 22 release says the company already exceeded 4,000 per month during fiscal 2026, which ended June 30, and now targets more than 1,200 starts per week by the end of its fiscal second quarter. That weekly rate is roughly 5,200 a month. Neither release explains the change.
Enablence Carries Going-Concern Doubt and $59.3 Million in Borrowings
The latest balance-sheet detail in the sources reviewed comes from the interim MD&A dated May 27, 2026. As of March 31, it disclosed a material uncertainty about the company’s ability to continue as a going concern, the accounting term for doubt that a business can keep operating without new financing.
Cash stood at $1.9 million. Operating activities used $13.2 million over the nine months to March 31. Enablence reported a working capital deficit of $23.2 million and total borrowings of $59.3 million: $34.8 million in promissory notes and $24.5 million in convertible debentures, a form of debt that can convert into shares.
Much of that debt is owed to related parties. The MD&A says a significant portion is held by related-party lenders, and that about $21 million of promissory note principal was scheduled to come due within twelve months, with the first payment set for September 30, 2026.
Revenue is concentrated, too. Three customers accounted for 89% of revenue in the nine months to March 31.
Neither the year-end cash balance at June 30 nor whether the audited fiscal 2026 statements carry a going-concern note was identified in the sources reviewed for this article. The October 22 release addresses neither.
Enablence Sold 3.2 Million Shares at C$7.75 in September
Part of the capacity build has fresh equity behind it. On September 18, Enablence closed a private placement of 3,226,000 common shares at C$7.75 each with Collingwood Investments Incorporated, raising about C$25 million in gross proceeds. Net proceeds are earmarked for capital spending at the Silicon Valley and Vietnam fabs, with the remainder going to working capital and general corporate purposes.
The shares are dilutive to existing holders. Collingwood also received an investor rights agreement with pro rata pre-emptive rights on future equity issues and certain top-up rights, which let it keep its percentage stake when Enablence sells new shares. At closing, the offering remained subject to final TSX Venture Exchange acceptance. Paradigm Capital Inc., the company’s exclusive financial advisor on the deal, is entitled to a cash fee of 5% of gross proceeds.
The raise is a separate event from the debt load above. The September 18 release does not say any proceeds will go toward repaying borrowings.
Enablence Q2 Wafer Target and Vietnam Qualification Dates
Enablence’s first quarter of fiscal 2027 closed September 30, 2026, and the company has guided it to about US$4.0 million in revenue. Its target of more than 1,200 wafer starts per week is set for December 31, 2026, the end of fiscal Q2. Qualification of the Vietnam production site is targeted for January through June 2027. The first scheduled promissory note principal payment was due September 30, 2026. Its payment status was not disclosed in the sources reviewed.
Sources
- Newsfile: Enablence Technologies Announces Fourth Quarter and Fiscal Year 2026 Financial Results, October 22, 2026
- Newsfile: Enablence Technologies Announces Preliminary Unaudited FY2026 Results and Updated Guidance, September 22, 2026
- Newsfile: Enablence Technologies Inc. Closes C$25 Million Strategic Investment, September 18, 2026
- Enablence Technologies Inc.: Management’s Discussion and Analysis for the Three and Nine Months Ended March 31, 2026, dated May 27, 2026 (PDF)
Editorial Disclosure
This article is based on publicly available information: Enablence Technologies’ October 22, September 22 and September 18, 2026 releases distributed by Newsfile, and the company’s interim MD&A for the period ended March 31, 2026, dated May 27, 2026. The security discussed is Enablence Technologies Inc. (TSXV: ENA) (OTC: ENAFF). aktiego.com has not received any compensation from Enablence, its management, investor relations representatives, or any third party. No staff member or principal of aktiego.com holds a position in this security at the time of publication.
Enablence’s own releases list only its TSX Venture Exchange listing. The US over-the-counter symbol ENAFF is drawn from third-party quote data, and its OTC Markets tier could not be confirmed from a primary source; third-party data shows it on the Pink market, a tier with limited disclosure requirements. US investors should confirm availability with their broker, including DTC eligibility, the clearing status that allows a security to settle through standard US brokerage accounts.
As of March 31, 2026, Enablence’s most recent interim MD&A disclosed a material uncertainty that may cast significant doubt on the company’s ability to continue as a going concern, alongside a $23.2 million working capital deficit, $59.3 million in total borrowings with a significant portion held by related parties, and roughly $21 million in promissory note principal due within twelve months. The June 30, 2026 cash balance, and whether the audited fiscal 2026 statements retain the going-concern note, were not identified in the sources reviewed. Three customers accounted for 89% of revenue in the nine months to March 31, 2026.
Fiscal 2027 revenue, gross margin, wafer-start and site-qualification figures are company guidance; actual results may differ materially. The company describes its Q1 fiscal 2027 guidance of about US$4.0 million as almost 500% growth year over year. Its own interim MD&A reports US$836,000 in first-quarter fiscal 2026 revenue, against which the guidance implies growth of about 380%. Wafer-start targets also differ between the September 22 and October 22 releases without explanation. References to hyperscaler demand are the company’s own characterization, and no customers were named. Fiscal 2026 figures in the October 22 release carry no currency label; they are presented here in US dollars based on the reporting currency stated in the interim MD&A.
The September 18, 2026 private placement issued 3,226,000 new common shares at C$7.75 for gross proceeds of about C$25 million and is dilutive to existing shareholders. It included an investor rights agreement granting the investor pro rata pre-emptive and certain top-up rights. At closing it remained subject to final TSX Venture Exchange acceptance, which was not confirmed in the sources reviewed. The company does not describe the placement as a resolution of its existing debt obligations. Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of the company’s releases, per the company’s own standard disclosure.
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