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INVESTOR BRIEFING FIRST QUARTER FISCAL YEAR 2026 February 2026
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2 Forward - Looking Statements This news release contains “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). These forward-looking statements can be identified by terminology such as “may”, “will”, “should”, “could”, “intend”, “expect”, “plan”, “budget”, “forecast”, “anticipate”, “believe”, “estimate”, “predict”, “potential”, “continue”, “evaluating” or similar words. Statements that contain these words should be read carefully because they discuss our future expectations, contain projections of our future results of operations or of our financial position or state other forward-looking information . Examples of forward-looking statements include, among others, statements that we make regarding our expected operating results, the timing, adoption, results and success of our rollout of our Aquana smart water valves and cloud- based control platform, continued demand growth of our Hydroconn universal AMI connectors, future demand for our Quantum and/or Heartbeat Detector® security solutions, the adoption and sale of our products in various geographic regions, potential tenders for permanent reservoir monitoring systems, future demand for ocean bottom node rental equipment, sales or rentals for our Mariner® or Mariner® Deep nodes, the adoption of Quantum's SADAR® product monitoring of subsurface reservoirs, the completion of new orders for channels of our Pioneer system, the fulfillment of customer payment obligations, the impact of the current armed conflict between Russia and Ukraine, our ability to manage changes and the continued health or availability of management personnel, volatility and direction of oil prices, anticipated levels of capital expenditures and the sources of funding therefor, and our strategy for growth, product development, market position, financial results and the provision of accounting reserves. These forward-looking statements reflect our current judgment about future events and trends based on the information currently available to us. However, there will likely be events in the future that we are not able to predict or control. The factors listed under the caption “Risk Factors” in our most recent Annual Report on Form 10-K which is on file with the Securities and Exchange Commission, as well as other cautionary language in such Annual Report, any subsequent Quarterly Report on Form 10-Q, or in other period reports, provide examples of risks, uncertainties and events that may cause our actual results to differ materially from the expectations we describe in our forward-looking statements . Such examples include, but are not limited to, the failure of the Quantum and OptoSeis® or Aquana technology transactions to yield positive operating results, decreases in commodity price levels, the failure of our products to achieve market acceptance (despite substantial investment by us), our sensitivity to short term backlog, delayed or cancelled customer orders, product obsolescence resulting from poor industry conditions or new technologies, credit losses associated with customer accounts, inability to collect on financing receivables, lack of further orders for our ocean bottom nodes rental equipment, failure of our Quantum products to be adopted by the border and security perimeter market or a decrease in such market due to governmental changes, and infringement or failure to protect intellectual property. The occurrence of the events described in these risk factors and elsewhere in our most recent Annual Report on Form 10-K or in our other periodic reports could have a material adverse effect on our business, results of operations and financial position, and actual events and results of operations may vary materially from our current expectations . We assume no obligation to revise or update any forward-looking statement, whether written or oral, that we may make from time to time, whether as a result of new information, future developments or otherwise, except as required by applicable securities laws and regulations .
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BACKGROUND ON GEOSPACE OUR PURPOSE Founded in 1980 in Houston, Texas Publicly Traded on NASDAQ - GEOS Earned a reputation for paradigm -shifting approaches to seismic data acquisition Expanded to other markets including industrial sensing and IoT, smart water technologies and security and surveillance 400,000 SF of USA Manufacturing Geospace partners with customers to solve their toughest challenges, delivering innovative solutions and sustainable long-term value to our key stakeholders.
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Stock Statistics NASDAQ GEOS SHARES OUTSTANDING 12.8 MM $0 NET DEBT Sept. 30 YEAR END INSTITUTIONAL OWNERSHIP 67% PUBLICLY TRADED 1997 4 Source: NASDAQ as of December 31, 2025
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THREE BUSINESS SEGMENTS 41% of Revenue Our energy solutions technologies deliver actionable information for energy exploration and mitigate risk in the new energy economy. 35% of Revenue Our smart water solutions enable the global smart meter connectivity water utility market with robust water-proof connectors and cloud-based remote shut-off valves. 24% of Revenue Applying vibration sensing products to provide intelligence for security and surveillance applications. We’re Divided Into We boast a history of technology innovation and robust manufacturing with solid adoption in varied markets including oil and gas exploration, smart water, imaging, and security and surveillance. Solution Offerings Reservoir, exploration, energy transition Solution Offerings Utility Water Management, Asset Protection, Smart Meter Connectivity Solution Offerings Intelligence & Surveillance, Industrial Sensing, Electronic Pre-Press Equipment Segment Percentages shown as TTM
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Q1 FY26 Earnings Highlights DEPLOYED THROUGH FIRST WINTER SEASON with temperatures dropping below freezing for northern survey crews, Pioneer ultralight land nodes delivered reliable information to customers. EXPANDING GEOGRAPHIC REACH of smart water sales and marketing operations to enter markets where these demand criteria exist, and our technology offers significant added value. INCORPORATING ANNUAL RECURRING REVENUE through monthly subscription model offered for the Heartbeat Detector® product. The subscription simplifies procurement by enabling purchase orders under operating budgets rather than capital expenditures $25.6 million Revenue generates a Net Loss for the Quarter $9.8 million, or $(0.76) per diluted share . CEO QUARTERLY COMMENTARY Richard J. (“Rich”) Kelley, President and CEO of the Company said, “The past year was not without its challenges many of which are reflected in our first quarter performance. We remain focused on what we can control: serving our customers, running the business well, and making smart, long -term decisions. We continue to invest in our future, advance our strategic initiatives, and leverage innovative technology to further diversify the business. These efforts position us well to drive sustainable growth and long-term value for our shareholders.”
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Quarter Over Quarter Results $25.6 Million FY26 Q1 REVENUE Down 31% q-o-q $2.7 Million FY26 Q1 GROSS PROFIT down 87% q-o-q $(9.8) Million FY26 Q1 NET LOSS up 217% q-o-q $(5.9) Million FY26 Q1 ADJUSTED EBITDA down 148% q-o-q
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TTM Results Ending December 31, 2025 $99.2 Million TTM REVENUE down 19% y-o-y $15.4 Million TTM GROSS PROFIT down 53% y-o-y $(29.3) Million TTM NET OPERATING LOSS down 97% y-o-y $(12.5) Million TTM ADJUSTED EBIDTA down 297% y-o-y
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Adjusted EBITDA Adjusted EBITDA 3-months Ending 12/31/2025 TTM Ending 12/31/2025 ($'s in thousands) Income before Taxes ($9,684) ($27,509) Interest Expense 37 163 Depreciation 2,413 9,591 Amort 141 277 Impairment 0 0 Inventory Obsolescence 627 3,192 Stock-Based Compensation 419 1,574 Change in FV of Contingent Consideration 197 197 Adjusted EBITDA ($5,850) ($12,515)
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10 Strong Balance Sheet & Liquidity ($ in millions, as of December 31, 2025) Cash & Short-term Investments $ 10.6 Working Capital $ 52.6 Current Ratio 3.1X Debt / Total Book Capitalization 0% Stockholders’ Equity $ 116 Debt Free Real Estate Holdings: ▪ Houston – owned buildings 387,000 sq. ft. ▪ International – 3 owned buildings 72,000 sq. ft. FINANCIAL STABILITY and staying power NO LONG-TERM DEBT with ability to borrow up to $25M LONG-TERM TRACK RECORD of conservative cash flow management
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Smart Water Financials $5.8 Million FY26 Q1 REVENUE Down 21% q-o-q ($0.8 Million) FY26 Q1 OPERATING INCOME (LOSS) down 188% q-o-q
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Smart Water Q1 Operational Highlights 12 Build America, Buy America certified compliant for Hydroconn® smart water meter connector cabling product line as manufactured in the USA. Platform as a Service released for Aquana smart valve platform, which provides everything a utility or municipality needs to deploy and operate modern smart-water infrastructure without the complexity of owning, maintaining, or managing the technology. By shifting from capital expenditures to predictable operational costs, PaaS accelerates modernization, reduces risk, and delivers value from day one. Expanded Marketing Outreach Internationally targeting regions with water scarcity including Caribbean and MENA. Leveraging sales in these regions to build market share.
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Energy Solutions Financials $14.6 Million FY26 Q1 REVENUE down 40% q-o-q ($3.4 Million) FY26 Q1 OPERATING INCOME(LOSS) down 126% q-o-q
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Energy Solutions Q1 Operational Highlights LAND EXPLORATION First quarter revenue from Energy Solutions included $10.6 million of Pioneer and related equipment for an order to Dawson Geophysical announced in August 2025. Currently, more than half of the land seismic crews working in North America are using Geospace products. RESERVOIR INTELLIGENCE The Geospace PRM team connected with our partner MFX in Salvador, Brazil as we continue moving toward deployment of our Optoseis PRM solution for Petrobras.
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Intelligent Industrial Financials $5.1 Million FY26 Q1 REVENUE down 8% q-o-q ($0.8 Million) FY26 Q1 OPERATING INCOME (LOSS) Up 49% q-o-q
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Intelligent Industrial Q1 Operational Highlights ADDRESSING EVOLVING OPERATIONAL SECURITY DEMANDS, Geospace recently introduced a next-generation Heartbeat Detector® featuring a dramatically optimized form factor. The redesigned unit achieves an 80% reduction in weight and a 75% reduction in overall size compared to prior versions, while maintaining the same trusted detection technology and performance standards. LEVERAGED OUR FLEXIBLE MANUFACTURING CAPABILITY to allow the Company to produce our own high-quality technology solutions, while maintaining profitable specialty contract manufacturing services in our USA-based facility. 16
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Why Invest In Geospace Technologies? Conservatively run company with strong balance sheet, no debt. History of technology innovation and robust manufacturing with solid adoption in varied markets. Diverse Revenue Streams Market Leader Financially Solid 35% Smart Water 41% Energy Solutions 24% Intelligent Industrial 17 Segment Percentages shown as TTM
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Exploring Investing in GEOS? 18 For questions or conversation regarding this briefing, please contact InvestorQuestions@geospace.com