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© DIRTT ALL RIGHTS RESERVED Second Quarter 2026TSX: DRTOTCQX: DRTTF July 30, 2026 Earnings Call Supplementary Materials 1© DIRTT ALL RIGHTS RESERVED
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© DIRTT ALL RIGHTS RESERVED Advisory 2 CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTSCertain statements contained in this presentation (this “presentation”) are “forward-looking statements” within the meaning of “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act") and “forward-looking information” within the meaning of applicable Canadian securities laws. All statements, other than statements of historical fact included in this presentation, regarding without limitation our strategy, future operations, financial position, estimated revenues and losses, projected costs, prospects, plans and objectives of management are forward-looking statements. When used in this presentation, the words “anticipate,” “believe,” “expect,” “estimate,” “intend,” “plan,” “project,” “outlook,” “may,” “will,” “should,” “would,” “could,” “can,” "continue," the negatives thereof, variations thereon and other similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Forward-looking statements are based on certain estimates, beliefs, expectations and assumptions made in light of management’s experience and perception of historical trends, current conditions and expected future developments, as well as other factors that may be appropriate.Forward-looking statements necessarily involve unknown risks and uncertainties, which could cause actual results or outcomes to differ materially from those contained in or expressed or implied by such statements. Due to the risks, uncertainties and assumptions inherent in forward-looking information, you should not place undue reliance on forward-looking statements. Factors that could have a material adverse effect on our business, financial condition, results of operations and growth prospects include, but are not limited to: the effects of existing or renegotiated trade agreements, including uncertainty surrounding the Canada-United States-Mexico Agreement, or tariffs and other trade barriers on exports or imports to and from Canada and the U.S., and any retaliatory measures in response thereto, including potential increases in the cost of our raw materials and our finished goods, and our ability to mitigate such effects and timing thereof; general economic and business conditions in the jurisdictions in which we operate, including potential recession risks in North America; our ability to successfully implement the Company’s strategic transformation plan to grow DIRTT’s revenue and pipeline and manage profitability; our ability to expand our market share through our Construction Services team (previously referred to as Integrated Solutions) and other strategic initiatives and the effects thereof; inflation and material fluctuations of commodity prices, including raw materials, and our ability to set prices for our products that satisfactorily adjust for inflation, tariffs, and fluctuations in commodity prices; shortages of supplies of certain key components and materials or disruption in supplies due to global events; global economic, political and social conditions affecting financial markets, such as fluctuating tariff policy, evolving multi-state trade and security alliances, and the war in Ukraine and the conflicts in the Middle East; volatility of our share price and potentially limited liquidity for U.S. investors due to our common shares being quoted on the OTCQX; the availability of capital or financing on acceptable terms, or at all, which may impact our liquidity and impair our ability to make investments in the business; turnover of our key executives and difficulties in recruiting or retaining key employees; our ability to generate sufficient revenue to achieve and sustain profitability and positive cash flows; our ability to attract, train and retain qualified hourly labor on a timely basis to increase overall productive capacity in our manufacturing facilities to enable us to capture any rising demand in the construction industry; our ability to achieve and manage growth effectively; competition in the interior construction industry; the voting influence our three largest shareholders are able to exercise over the Company due to their ownership of our common shares; competitive behaviors by our co-founders and former executives; the condition and changing trends of the overall construction industry; our reliance on our network of construction partners for sales, marketing and installation of our solutions; our ability to introduce new designs, solutions and technology and gain client and market acceptance; defects in our designing and manufacturing software and warranty and product liability claims brought against us; the effectiveness of our manufacturing processes and our success in implementing improvements to those processes; the effectiveness of certain elements of our administrative systems and the need for investment in those systems; our exposure to currency exchange rates, tax rates, interest rates and other fluctuations, including those resulting from changes in laws or administrative practice, or changes in monetary policies; legal and regulatory proceedings brought against us; infringement on our patents and other intellectual property and our ability to protect and enforce our intellectual property rights, including certain intellectual property rights that are jointly owned with a third party; cyber-attacks and other security breaches of our information and technology systems; damage to our information technology and software systems; our requirements to comply with applicable environmental, health, safety and other similar laws; the impact of environmental, social and governance (“ESG”) matters on our business, including potentially incurring additional expenses implementing Canadian, U.S. and other regulations requiring additional disclosures regarding greenhouse gas emissions and/or broader ESG related-factors; periodic fluctuations in our results of operations and financial conditions; the effect of being governed by the corporate laws of a foreign country, including the difficulty of enforcing civil liabilities against directors and officers residing in a foreign country; the availability and treatment of government subsidies (including any current or future requirements to repay or return such subsidies); future mergers, acquisitions, agreements, consolidations or other corporate transactions we may engage in; and other risks described under the section titled “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025 as may be updated by our subsequently filed Quarterly Report on Form 10-Q filed with the U.S. Securities and Exchange Commission (the “SEC”) and other filings with the SEC and applicable securities commissions or similar regulatory authorities in Canada. These risks are not exhaustive. New risk factors emerge from time to time, and it is not possible for our management to predict all risk factors or assess the effects of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in, or expressed or implied by, any forward-looking statements. Our past results of operations are not necessarily indicative of our future results. You should not place undue reliance on any forward-looking statements, which represent our beliefs, assumptions and estimates only as of the dates on which they were made, as predictions of future events. We undertake no obligation to update these forward-looking statements, even though circumstances may change in the future, except as required under applicable securities laws. We qualify all of our forward-looking statements by these cautionary statements.CURRENCY AND PRESENTATION OF FINANCIAL INFORMATIONUnless otherwise indicated, all financial information relating to the Company in this Presentation has been prepared in U.S. dollars using accounting principles generally accepted in the United States (“GAAP") and the rules and regulations of the SEC.This presentation contains certain industry and market data from third-party sources that are believed to be accurate and reliable. However, this data may prove to be inaccurate or not complete. As a result, readers should be aware that the industry and market data from third-party sources included in this presentation may not be reliable. DIRTT cannot guarantee the accuracy or completeness of any such data.
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© DIRTT ALL RIGHTS RESERVED Financial Metrics Outside of GAAP 3INVESTOR DECK – SUPPLEMENT TO EARNINGS CALL NOTE REGARDING USE OF NON-GAAP FINANCIAL MEASURES Our interim condensed consolidated financial statements are prepared in accordance with GAAP. These GAAP financial statements include non-cash charges and other charges and benefits that we believe are unusual or infrequent in nature or that we believe may make comparisons to our prior or future performance difficult. As a result, we also provide financial information in this presentation that is not prepared in accordance with GAAP and should not be considered as an alternative to the information prepared in accordance with GAAP. Management uses these non-GAAP financial measures in its review and evaluation of the financial performance of the Company. We believe that these non-GAAP financial measures also provide additional insight to investors and securities analysts as supplemental information to our GAAP results and as a basis to compare our financial performance period-over-period and to compare our financial performance with that of other companies. We believe that these non-GAAP financial measures facilitate comparisons of our core operating results from period to period and to other companies by removing the effects of our capital structure (net interest income on cash deposits, interest expense on outstanding debt and debt facilities, or foreign exchange movements), asset base (depreciation and amortization), tax consequences, reorganization expense, unusual or infrequent charges or gains (such as gain on extinguishment of debt, impairment charges, legal provision, loss on disposal of lease, Phoenix sublease write-off), and stock-based compensation. We remove the impact of foreign exchange gain (loss) from Adjusted EBITDA. Foreign exchange gains and losses can vary significantly period-to-period due to the impact of changes in the U.S. and Canadian dollar exchange rates on foreign currency denominated monetary items on the balance sheet and are not reflective of the underlying operations of the Company. In periods where production levels are abnormally low, unallocated overheads are recognized as an expense in the period in which they are incurred. In addition, management bases certain forward-looking estimates and budgets on non-GAAP financial measures, primarily Adjusted EBITDA. We have not reconciled forward-looking non-GAAP measures, including Adjusted EBITDA guidance. Such reconciliations would require unreasonable efforts to estimate and quantify various necessary GAAP components largely because forecasting or predicting our future operating results, particularly with respect to non-operating income and expenditures, is subject to many factors or future events that are out of our control, and because forecasts or predictions of such U.S. GAAP components are unavailable or not readily predictable, and could significantly impact, either individually or in the aggregate, our comparable GAAP measures. Accordingly, we are unable to provide a reconciliation of the non-GAAP measures used in our outlook without unreasonable efforts. Depreciation and amortization, stock-based compensation expense, reorganization expense, foreign exchange gains and losses, gain on extinguishment of debt, impairment charges, net interest income on cash deposits, interest expense on outstanding debt and debt facilities, legal provision, Phoenix sublease write-off, and tax are excluded from our non-GAAP financial measures because management considers them to be outside of the Company’s core operating results, even though some of those receipts and expenses may recur, and because management believes that each of these items can distort the trends associated with the Company’s ongoing performance. We believe that excluding these receipts and expenses provides investors and management with greater visibility to the underlying performance of the business operations, enhances consistency and comparativeness with results in prior periods that do not, or future periods that may not, include such items, and facilitates comparison with the results of other companies in our industry. Adjusted Gross Profit, Adjusted Gross Profit Margin, EBITDA and Adjusted EBITDA are presented in this presentation. More information on each such non-GAAP financial measure, including a reconciliation to the most directly comparable financial measures under GAAP for the respective period, can be found under the heading "Non-GAAP Financial Measures" in the Company’s management discussion and analysis for the applicable period, each of which is available on the Company's SEDAR+ profile at www.sedarplus.ca and EDGAR profile at www.SEC.gov, and each such reconciliation is incorporated by reference herein. In addition to the foregoing non-GAAP measures. Net Leverage, a non-GAAP financial ratio, is included in this presentation, Net Leverage equals gross funded debt less unrestricted cash divided by Adjusted EBITDA. Gross funded debt equals total principal outstanding of each of the January Debentures, December Debentures, BDC Loan, Canadian Equipment Facilities, and US Equipment Facilities.You should carefully evaluate these non-GAAP financial measures, the adjustments included in them, and the reasons we consider them appropriate for analysis supplemental to our GAAP information. Each of these non-GAAP financial measures has important limitations as an analytical tool due to exclusion of some but not all items that affect the most directly comparable GAAP financial measures. You should not consider any of these non-GAAP financial measures in isolation or as substitutes for an analysis of our results as reported under GAAP. You should also be aware that we may recognize income or incur expenses in the future that are the same as, or similar to, some of the adjustments in these non-GAAP financial measures. Because these non-GAAP financial measures may be defined differently by other companies in our industry, our definitions of these non-GAAP financial measures may not be comparable to similarly titled measures of other companies, thereby diminishing their utility.
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© DIRTT ALL RIGHTS RESERVED 4 DIRTT offers prefabricated interior solutions, reconfigurable to client needs. Solutions span drywall alternatives, glass partitions, casework, power, networks, floors, and more. Proprietary DIRTT Design Editor software drives end-to-end implementation, real-time design, pricing, and manufacturing with 3D visualization for live collaboration. DIRTT is Transforming Interior Construction
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© DIRTT ALL RIGHTS RESERVED 5 Capturing Opportunities Across Multiple Growth Markets WorkplaceIn the Workplace, DIRTT provides premium, flexible solutions that adapt to evolving needs HealthcareHealthcare spaces cannot afford disruptive construction cycles or downtime in mission-critical spaces EducationEducation providers are looking for integrated technologies and adaptability Public SectorFlexible, future-proof solutions forPublic Sector as governments modernize infrastructure and prioritize sustainability © DIRTT ALL RIGHTS RESERVED
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© DIRTT ALL RIGHTS RESERVED CHANNEL ADEALER NETWORKConstruction Partners+Authorized furniture dealers extend market reach+Efficient quote-to-install workflows+Lower complexity, repeatable projects+Deliver DIRTT system through shared design + manufacturing platform CHANNEL BCONSTRUCTION SERVICESProject Delivery+Certified personnel manage end-to-end project delivery+Supports complex, large-scale commercial interiors; deep GC / architect integration+Enables access to bigger-ticket, previously inaccessible projects+Deliver DIRTT system through shared design + manufacturing platform CUSTOMERDay-1 Handover Cost CertaintyNO SURPRISES + REAL-TIME PRICING 30% Faster DeliveryACCELERATED DESIGN, MANUFACTURING + INSTALLATION Lower Lifecycle CostRECONFIGURATION WITHOUT REBUILDING ❯ Dual-channel model expands market reach while leveraging a single manufacturing platform, enabling scalable growth and operating leverage ❯ ❯New operating model reduces complexity and unlocks capacity via L0-L3 project classification, standardized workflows, and proper division of labor How DIRTT Works FACTORYPrecision Manufacturing+Direct design-to-manufacturing workflow +Precision manufacturing with reduced rework & waste+Scalable production across Calgary & Savannah DIRTT Design Editor SOFTWARETechnology Engine+Real-time 3D design with live, exact pricing+Automatically generates engineering & manufacturing files+Design intent translates directly into production CLIENTDesign + Specification+Local Partner captures client needs+High degree of design flexibility across interior scope+Early alignment of scope, schedule, & cost
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© DIRTT ALL RIGHTS RESERVED IMPLIED DEMOUNTABLE SYSTEMS TAM $1.7T * (3% walls + 1% doors) ≈ $68B addressable interior systems$68B * ~8.5% system share ≈ $5.8B+ ~20% Renovation / Retrofit ≈ $7B OR $1.4B per annum on average BUILDER WORKS SHARE OF TOTAL FIT-OUT COSTBuilder Works (Incl. Walls & Partitions) = 37% of fit-out cost globallyNorth America Average Fit-out: $3,070/sqm (~$285/sq ft)Interior walls & partitions ≈ ~8 - 11% of builder worksàBlended wall-spend share ≈ ~3 - 4% of total construction outlayDoors, frames & openings ≈ ~3 - 5% of builder worksà Blended door-spend share ≈ ~1 - 2% of total construction outlay 7 RELEVANT CONSTRUCTION SPEND, FY2025-FY2029Healthcare: $69B SAAR * 5 = $345BCommercial / Office: $122B SAAR * 5 = $610BEducation: $140B SAAR * 5 = $700BTotal: $1.7T North America Demountable System SAM: ~$7BFY2025 - FY2029 cumulative Sources: JLL Global Fit-Out Costs Guide 2025; FRED; CSI MasterFormat; IMARC; industry data and DIRTT estimates; construction spending conservatively assumes current annual spending levels remain relatively constant from FY 2025 – FY 2029 and does not apply growth assumptions to the construction-spend base. 2 DEMOUNTABLE SYSTEMS AS SHARE OF INTERIOR WALL SPENDInclude partitions plus integrated door / opening packagesPriced at a premium due to incremental value from integrated doors, hardware, and flexibility à system-level specification vs. standalone component pricingDemountable systems, including doors ≈ 10-12% of interior-wall spend; ~8-9% when expanded to walls + doors DIRTT 2025 Product Revenue: ~$164M(~12% of implied per annum SAM – significant white space and growth opportunity) Market CAGR: 5%+(IMARC; industry estimates) PUBLIC DATA MGMT ASSUMPTION MGMT ASSUMPTION PUBLIC DATA + INDUSTRY ESTIMATES Addressable Market Opportunity 1 3 4
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© DIRTT ALL RIGHTS RESERVED© DIRTT ALL RIGHTS RESERVED Strategic Transformation FrameworkMarket PositioningSales + Support Project ExecutionCustomer ExperienceCommercial StrategyManufacturing ExcellenceTalent + Culture ✓Manufacturing Efficiency✓Operating Expense Discipline✓Process Standardization✓Channel Expansion✓Partner Enablement✓Capacity Unlock✓Product Mix Optimization✓Working Capital Efficiency EXECUTION + VALUE CREATION ENABLEMENT FOUNDATION CommercialAccelerate win rates through sharper market targeting, evolved sales motions,partner enablement, and a focus on higher-quality, higher-margin opportunities FinanceDrive margin expansion via operating expense discipline, pricing optimization, and efficient capital allocation Operations + ManufacturingBuild scalable, flexible supply chains and installation capabilities aligned to market complexity and demand Scalable Revenue CapacityExpanded reach, higher win rates, and improved end market conversiondrive scalable topline growth Structurally Higher Earnings PowerLeaner operations, simplified processes, and improved mix drive durable, compounding margin uplift Enhanced Free Cash FlowManufacturing efficiency and disciplined capital deployment translate earnings into free cash flow 8
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© DIRTT ALL RIGHTS RESERVED 9 Financial Highlights
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© DIRTT ALL RIGHTS RESERVED 10 Q2 Financial Highlights 1 See Non-GAAP Financial Measures on Slide 3 and a reconciliation of Non-GAAP Financial Measures on Slide 18 Adjusted Gross Margin Expansion1+Adjusted Gross Profit Margin increased to 37.0% from 30.4% in the prior-year period+Reflects moderated tariff and other input costs, ongoing transformation execution, and improved operating efficiency Strong Liquidity Position+Ended the quarter with $14.8M of cash and cash equivalents and total liquidity of $21.5M, including available capacity under the ABL following positive operating cash flow generation Adjusted EBITDA1+Adjusted EBITDA1of $4.7M (11.8% of revenue) compared to $(2.0)M (-5.2% of revenue) in Q2 2025, reflecting improved gross margin and lower operating expenses Transformation+Operating expenses decreased 16.3% YoY as actions simplified the organization and improved efficiency+Transformation initiatives continue to strengthen operating discipline, improve efficiency, and support margin expansion
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© DIRTT ALL RIGHTS RESERVED 11 Gross Profit Margin + Adjusted Gross Profit Margin1 Second Quarter 2026 Highlights+Adjusted Gross Profit Margin1 of 37.0%, compared to 30.4% in the prior-year period +Margin expansion reflects moderated tariff and other input costs, continued transformation execution, and disciplined operational management+The Company remains focused on sustaining margin performance through enhanced pricing discipline, improved project selectivity, and ongoing business simplification initiatives 1 See Non-GAAP Financial Measures on Slide 3 and a reconciliation of Non-GAAP Financial Measures on Slide 18
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© DIRTT ALL RIGHTS RESERVED 12 Earnings Power - EBITDA Margin + Adjusted EBITDA Margin1 Second Quarter 2026 Highlights+Adjusted EBITDA1 margin increased to 11.8%, compared to -5.2% in the prior-year period+Improvement reflects gross margin expansion, disciplined manufacturing, and transformation-related operating expense reduction+Sustaining margin expansion through ongoing business simplification, organizational effectiveness, and disciplined cost management remains a strategic priority 1 See Non-GAAP Financial Measures on Slide 3 and a reconciliation of Non-GAAP Financial Measures on Slide 18 (24.6)%(20.2)% (0.5)% 13.9% (4.0)%(12.1)% 6.8% (28.0)% (15.2)% 4.4%8.8%4.4% (5.2)% 11.8% (35.0)%(30.0)%(25.0)%(20.0)%(15.0)%(10.0)%(5.0)%0.0%5.0%10.0%15.0%20.0% FY 2021FY 2022FY 2023FY 2024FY 20252Q 20252Q 2026EBITDA MarginAdj. EBITDA Margin
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© DIRTT ALL RIGHTS RESERVED 13 Capital Structure + AllocationSecond Quarter 2026 Highlights+Net Leverage1 has stepped down from its peak of approximately 4 turns in FY 2023 and may decrease further with continued growth in earnings power+The Company continues to evaluate opportunities to optimize its capital structure, including addressing the December 2026 convertible debentures in a manner that supports long-term shareholder value+Capital allocation priorities remain balance sheet integrity, strategic flexibility, and opportunistic share repurchases+Any future capital allocation actions are expected to be evaluated in the context of free cash flow generation, liquidity, and market conditions NET LEVERAGE1 COMMON SHARE COUNT2 millions of shares 1 Net Leverage equals gross funded debt less unrestricted cash divided by Adjusted EBITDA. Gross funded debt equals total principal outstanding of each of the January Debentures, December Debentures, BDC loan, Canadian Equipment Facilities, and US Equipment Facilities. See Non-GAAP Financial Measures on Slide 3 and a reconciliation of Non-GAAP Financial Measures on Slide 18.2The outstanding common share balance as of June 30, 2026 was 194,332,596.
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© DIRTT ALL RIGHTS RESERVED 14 FY 2026 Revised Financial GuidanceTransformation+Revised guidance reflects management’s current assessment of market conditions, project timing, and revenue conversion+Transformation initiatives continue to simplify the organization, remove structural inefficiencies, and make it easier for customers and partners to do business with DIRTT+Management remains focused on further augmentingrevenue and profitability through disciplined execution, commercial improvement initiatives, and continued operating efficiency gains1 See Non-GAAP Financial Measures on Slide 3 and a reconciliation of Non-GAAP Financial Measures on Slide 18 REVENUE (E)ADJ. EBITDA (E)1 $s in millions$s in millions
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© DIRTT ALL RIGHTS RESERVED Supplementary
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© DIRTT ALL RIGHTS RESERVED 16 Liquidity + Additional Financial Highlights+Total liquidity of $21.5M at June 30, 2026 ($14.8M of unrestrictedcash and $6.7M liquidity available under asset backed credit facility).+Decreased current portion of long-term debt due to repayment of convertible debentures in January 2026. Increase in long-term debt due to receipt of BDC loan in Q1 2026.+Cash flows provided by operating activities of $0.9M in Q2 2026 vs $1.2M in Q1 2026and $4.3M used in Q4 2025.+Days Sales Outstanding (DSO): 37+Days Payable Outstanding (DPO): 38 1 Long term portions of lease liabilities and debt. ($ millions) June 30, 2026 December 31, 2025 Cash and cash equivalents 14.8 20.3 Restricted cash 0.2 0.2 Trade and accrued receivables, net 19.1 22.4 Other receivables 1.2 0.7 Inventory 13.9 15.8 Prepaids and other current assets 2.8 3.0 Total non-current assets 35.8 40.1 Accounts payable and accrued liabilities 16.1 19.4 Other current liabilities 6.5 5.4 Customer deposits and deferred revenue 2.6 3.5 Current portion of long-term debt 12.2 23.2 Current portion of lease liability 4.9 5.2 Long-term debt and lease liabilities1 19.9 17.2 Working capital 9.7 5.6 Non-cash working capital (5.3) (14.9)
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© DIRTT ALL RIGHTS RESERVED FINANCIAL RESULTSSummary of Consolidated Financial Results 17 1 See Non-GAAP Financial Measures on Slide 3 and a reconciliation of Non-GAAP Financial Measures on Slide 16 For the period ended June 30 ($ millions, except per share amounts) 2026 2025 % Change Revenue 40.3 38.9 4% Gross profit 14.0 10.8 29% Gross profit margin 34.7% 27.8% Adjusted Gross Profit 1 14.9 11.8 26% Adjusted Gross Profit Margin 1 37.0% 30.4% Operating expenses 12.7 15.2 (16%) Operating expenses % 31.5% 38.9% Operating income (loss) 1.3 (4.3) 130% Adjusted EBITDA 1 4.7 (2.0) 334% Adjusted EBITDA Margin 1 11.8% (5.2%) Net income (loss) after tax 1.1 (6.6) 116% Net income (loss) after tax per share - basic and diluted 0.01 (0.03) 100% Net cash flows provided by (used in) operating activities 0.9 (3.9) 124% Net cash flows used in investing activities (0.5) (1.0) (45%) Net cash flows used in financing activities (0.3) (0.6) (50%) Net decrease in cash flows (0.2) (5.3) (97%) Three Months
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© DIRTT ALL RIGHTS RESERVED 18 FINANCIAL RESULTSNon-GAAP Financial Measures1.See “Non-GAAP Financial Measures” on Slide 32.DIRTT entered into a joint arrangement with Armstrong World Industries, Inc. for co-ownership of certain intellectual property interest in DIRTT’s Design Editor software. This is not core to our business; and therefore, is excluded from the Adjusted EBITDA calculation3.In 2021, the Company recognized an impairment charge on goodwill as a result of the uncertainty around the future impact of COVID-19. On September 27, 2023, DIRTT announced the permanent closure of the Rock Hill facility. With sufficient capacity for current and expected production, the decision is part of the Company’s ongoing focus on realigning the organization, driving efficiency, and improving profitability. In 2025, an impairment charge on the leasehold improvements related to the Rock Hill facility was incurred, a gain on disposal of lease due to early termination, as well as an impairment charge on a portion of our Phoenix Facility right-of-use assets. These impairment charges are not core to our business; and therefore, is excluded from the Adjusted EBITDA calculation4.On August 28, 2024, the Company commenced a normal course issuer bid (the “Debentures NCIB”) for the Debentures which expired August 27, 2025. On August 26, 2025, the Company announced the renewal of the Debentures NCIB which commenced on August 28, 2025 upon expiry of the original normal course issuer bid (the "Renewed NCIB"). The Renewed NCIB for the December Debentures is expected to terminate on August 27, 2026 and the Renewed NCIB for the January Debentures is expected to terminate on January 31, 2026, concurrent with the maturity day of the January Debentures. This is not core to our business; and therefore, is excluded from the Adjusted EBITDA calculation5.A legal provision was recognized in 2025 and Q2 2026 related to the cost of potential settlements on ongoing matters. This is not core to our business; and therefore, is excluded from the Adjusted EBITDA calculation6.During the fourth quarter of 2025, a sublease was terminated related to part of the Phoenix Facility, resulting in a bad debt expense. This is not core to our business; and therefore, is excluded from the Adjusted EBITDA calculation FY 2021FY 2022FY 2023FY 2024FY 2025Q2 2025Q2 2026 ($ in millions) Gross profit 23.5 28.2 59.5 64.4 55.4 10.8 14.0 Gross profit margin 15.9% 16.4% 32.7% 36.9% 32.8%27.8% 34.7% Add: Depreciation and amortization expense8.8 10.8 5.5 4.0 4.0 1.0 0.9 Add: Costs of under-utilized capacity 1.8 - - - - - - Adjusted Gross Profit(1) 34.0 38.9 65.1 68.3 59.5 11.8 14.9 Adjusted Gross Profit Margin(1) 23.1% 22.6% 35.8% 39.2% 35.2%30.4% 37.0% Net (loss) income after tax for the period(53.7) (55.0) (14.6) 14.8 (14.4) (6.6) 1.1 Add back (deduct): Interest expense 3.1 5.2 4.9 4.0 1.9 0.5 0.4 Interest income (0.1) (0.1) (0.5) (1.6) (0.9) (0.2) (0.1) Income tax expense (0.2) 0.0 0.3 0.4 0.5 0.1 0.0 Depreciation and amortization 14.5 15.1 8.9 6.6 6.2 1.5 1.4 EBITDA(1) (36.3) (34.7) (0.9) 24.2 (6.8) (4.7) 2.8 EBITDA Margin(1) (24.6)%(20.2)%(0.5)% 13.9% (4.0)%(12.1)% 6.8% Foreign exchange (gain) loss 0.3 (1.4) 0.6 (3.0) 1.7 1.9 (0.0) Stock-based compensation 4.7 4.3 2.3 3.0 3.0 0.6 0.7 Government subsidies (11.5) (7.8) (0.2) - - - - Related party expense - - 1.5 - - - - Reorganization expense - 13.5 3.0 1.1 4.9 0.2 1.1 Gain on extinguishment of convertible debentures(4) - - - (10.4) (0.0) (0.0) - Impairment charge(3) 1.4 - 8.7 0.5 2.9 - - Legal provision(5) - - - - 2.0 - 0.3 Phoenix sublease write-off (6) - - - - 0.5 - - Gain on disposal of lease (3) - - - - (0.9) - - Gain on sale of software and patents(2) - - (7.1) - - - - Adjusted EBITDA(1) (41.3) (26.2) 7.9 15.4 7.4 (2.0) 4.7 Adjusted EBITDA Margin(1) (28.0)%(15.2)% 4.4% 8.8% 4.4%(5.2)% 11.8%
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© DIRTT ALL RIGHTS RESERVED