TRICAN WELL SERVICE LTD.
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Condensed Consolidated Interim Financial Statements Three and nine months ended September 30, 2026 and 2025
(Unaudited)
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION(Stated in thousands; unaudited) | As at September 30, 2026 | As at December 31, 2025 |
ASSETS Current assets Cash and cash equivalents | $22,373 | $12,465 |
Trade and other receivables | 268,393 | 260,678 |
Current tax assets | 9,600 | 5,116 |
Inventory | 33,505 | 34,984 |
Prepaid expenses | 7,600 | 7,400 |
341,471 | 320,643 | |
Property and equipment | 506,843 | 514,509 |
Intangible assets | 55,074 | 61,046 |
Right-of-use assets | 27,603 | 21,833 |
Other assets | 20,519 | 21,671 |
Goodwill | 74,015 | 74,015 |
$1,025,525 | $1,013,717 | |
LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Trade and other payables | $171,925 | $122,833 |
Current portion of lease liabilities | 7,433 | 6,125 |
179,358 | 128,958 | |
Lease liabilities | 21,627 | 17,833 |
Loans and borrowings (note 3) | 72,014 | 92,398 |
Deferred tax liabilities | 70,296 | 73,153 |
Share-based compensation liabilities (note 6) | 3,300 | 5,525 |
Shareholders' equity Share capital (note 4) | 797,162 | 831,082 |
Contributed surplus | 63,271 | 67,976 |
Deficit | (181,503) | (203,208) |
Total equity | 678,930 | 695,850 |
$1,025,525 | $1,013,717 | |
See accompanying notes to the condensed consolidated interim financial statements. |
Three months ended September 30,
Nine months ended September 30,
(Stated in thousands, except per share amounts; unaudited) | 2026 | 2025 | 2026 | 2025 |
Revenue | $338,304 | $300,586 | $883,170 | $773,457 |
Cost of sales (note 7) | 238,651 | 219,501 | 654,273 | 562,200 |
Cost of sales - depreciation and amortization (note 7) | 25,139 | 20,769 | 75,512 | 57,367 |
Gross profit | 74,514 | 60,316 | 153,385 | 153,890 |
Administrative expenses (note 7) | 11,984 | 21,611 | 48,469 | 45,594 |
Administrative expenses - depreciation (note 7) | 1,208 | 963 | 3,635 | 2,887 |
Other loss / (income) | 81 | (916) | 1,837 | (1,802) |
Results from operating activities | 61,241 | 38,658 | 99,444 | 107,211 |
Finance cost | 793 | 546 | 2,798 | 1,800 |
Foreign exchange (gain) / loss | (33) | 499 | 133 | 482 |
Profit before income tax | 60,481 | 37,613 | 96,513 | 104,929 |
Current income tax expense | 13,333 | 9,927 | 23,417 | 24,446 |
Deferred income tax (recovery) / expense | (864) | (1,212) | (2,857) | 230 |
Profit for the period | $48,012 | $28,898 | $75,953 | $80,253 |
Earnings per share - basic and diluted (note 5) | ||||
Per share - basic | $0.23 | $0.15 | $0.36 | $0.43 |
Per share - diluted | $0.23 | $0.15 | $0.36 | $0.42 |
Weighted average shares outstanding - basic | 207,083 | 190,971 | 209,170 | 187,039 |
Weighted average shares outstanding - diluted | 208,074 | 193,662 | 210,403 | 189,729 |
See accompanying notes to the condensed consolidated interim financial statements.
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CHANGES IN EQUITYShare
Contributed
Total
(Stated in thousands; unaudited) | capital | surplus | Deficit | equity |
Balance at January 1, 2025 | $679,367 | $75,288 | ($266,261) | $488,394 |
Profit for the period | - | - | 80,253 | 80,253 |
Share issued on the close of business combination | 196,233 | - | - | 196,233 |
Share options exercised | 736 | (3,079) | - | (2,343) |
Shares purchased and cancelled under Normal Course Issuer Bid1 | (39,428) | - | (6,049) | (45,477) |
Dividends paid | - | - | (29,968) | (29,968) |
Balance at September 30, 2025 | $836,908 | $72,209 | ($222,025) | $687,092 |
Balance at January 1, 2026 | $831,082 | $67,976 | ($203,208) | $695,850 |
Profit for the period | - | - | 75,953 | 75,953 |
Share options exercised | 299 | (4,705) | - | (4,406) |
Shares purchased and cancelled under Normal Course Issuer Bid1 | (34,219) | - | (19,997) | (54,216) |
Dividends paid | - | - | (34,251) | (34,251) |
Balance at September 30, 2026 | $797,162 | $63,271 | ($181,503) | $678,930 |
1 Includes 2% share buyback tax of $1.0 million as of September 30, 2026 (September 30, 2025 - $0.9 million). See accompanying notes to the condensed consolidated interim financial statements.
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWSThree months ended September 30,
Nine months ended September 30,
(Stated in thousands; unaudited) | 2026 | 2025 | 2026 | 2025 |
Cash provided by / (used in): | ||||
Operations | ||||
Profit for the period | $48,012 | $28,898 | $75,953 | $80,253 |
Charges to income not involving cash: | ||||
Depreciation and amortization | 26,347 | 21,732 | 79,147 | 60,254 |
(Gain) / loss on disposal of property and equipment | (108) | (511) | 1,982 | (952) |
Finance cost | 793 | 546 | 2,798 | 1,800 |
Unrealized foreign exchange loss / (gain) | - | 54 | (186) | 42 |
Income tax expense | 12,469 | 8,715 | 20,560 | 24,676 |
Net change in other liabilities | 420 | 2,091 | (2,225) | (1,395) |
Change in inventory | (6,418) | 328 | 1,479 | 1,511 |
Change in trade and other receivables | (110,632) | (71,310) | (7,715) | (22,402) |
Change in prepaid expenses | (2,657) | (2,662) | (200) | 218 |
Change in trade and other payables | 59,094 | (9,363) | 55,661 | (34,620) |
Interest paid | (662) | (672) | (2,405) | (1,831) |
Income tax paid | (6,982) | (9,986) | (28,088) | (28,538) |
Cash flow from / (used in) operating activities | $19,676 | ($32,140) | $196,761 | $79,016 |
Investing | ||||
Purchase of property and equipment | (26,485) | (18,926) | (65,822) | (47,671) |
Proceeds from the sale of property and equipment | 133 | 2,955 | 2,588 | 4,179 |
Acquisition of subsidiary, net of cash acquired | - | (54,655) | - | (54,655) |
Other assets | 857 | (4,604) | 784 | (12,096) |
Net change in non-cash working capital | (4,784) | (2,108) | (7,089) | (3,153) |
Cash flow used in investing activities | ($30,279) | ($77,338) | ($69,539) | ($113,396) |
Financing | ||||
Payment from share options exercised | (28) | (2,404) | (4,406) | (2,343) |
Drawdown / (repayment) of Revolving Credit Facility | 72,320 | 139,150 | (20,581) | 139,150 |
Repayment of Iron Horse obligations | - | (39,664) | - | (39,664) |
Payment of leases | (1,676) | (1,440) | (4,900) | (4,097) |
Purchase and cancellation of shares under Normal Course Issuer Bid, net | ||||
of tax | (41,841) | (2,302) | (53,176) | (46,451) |
Dividends paid | (11,160) | (11,672) | (34,251) | (29,968) |
Cash flow from / (used in) financing activities | $17,615 | $81,668 | ($117,314) | $16,627 |
Increase / (decrease) in cash and cash equivalents | 7,012 | (27,810) | 9,908 | (17,753) |
Cash and cash equivalents, beginning of period | 15,361 | 36,338 | 12,465 | 26,281 |
Cash and cash equivalents, end of period | $22,373 | $8,528 | $22,373 | $8,528 |
See accompanying notes to the condensed consolidated interim financial statements. | ||||
For the three and nine months ended September 30, 2026 and 2025
NOTE 1 - NATURE OF BUSINESS AND BASIS OF PRESENTATION Nature of BusinessTrican Well Service Ltd. (the "Company" or "Trican") is an oilfield services company incorporated under the laws of the province of Alberta. These condensed consolidated interim financial statements include the accounts of the Company and its subsidiaries, all of which are wholly owned.
Headquartered in Calgary, Alberta, Trican supplies oil and natural gas well servicing equipment and solutions to our customers through the drilling, completion and production cycles. Our team of technical experts provides state-of-the-art equipment, engineering support, reservoir expertise and laboratory services through the delivery of hydraulic fracturing, cementing, coiled tubing, nitrogen services and chemical sales for the oil and gas industry in Western Canada.
The Company's operations are influenced by seasonal weather patterns that affect activity levels in the oilfield industry. Historically, the Company's highest activity is in the first, third and fourth quarters and the lowest activity is during spring break up in the second quarter when winter frost comes out of the ground rendering many secondary roads incapable of supporting heavy loads, resulting in road bans prohibiting transportation of these heavy loads in certain areas. These seasonal trends typically lead to quarterly fluctuations in operating results and working capital requirements, which should be considered in any analysis of performance on a sequential basis.
Basis of PresentationThese condensed consolidated interim financial statements, including prior year comparative information, have been prepared in accordance with International Accounting Standards ("IAS") 34 Interim Financial Reporting, under IFRS Accounting Standards as issued by the International Accounting Standards Board ("IASB"). They do not include all disclosures that would otherwise be required in a complete set of financial statements and should be read in conjunction with the Company's 2025 consolidated annual financial statements which have been prepared in accordance with IFRS Accounting Standards. These condensed consolidated interim financial statements follow the same policies as in the Company's 2025 consolidated annual financial statements.
These condensed consolidated interim financial statements are presented in Canadian dollars and have been rounded to the nearest thousands, except where indicated. Certain comparative figures have been reclassified to conform to the current presentation of these financial statements.
These condensed consolidated interim financial statements were authorized for issue by the Company's board of directors on October 27, 2026.
NOTE 2 - CRITICAL ACCOUNTING ESTIMATES, JUDGMENTS AND NEW POLICIESThe preparation of these condensed consolidated interim financial statements in compliance with IAS 34 requires management to make certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies. The areas where significant judgment and estimates have been made
in preparing the financial statements and their effect are disclosed in note 1 of the Company's 2025 consolidated annual financial statements.
Amendments to IFRS 9 "Financial Instruments" and IFRS 7 "Financial Instruments: Disclosures" have been issued with the intention to clarify the date of recognition and derecognition of certain financial assets and liabilities. The amendments were effective January 1, 2026 and the Company determined there was no material impact on the condensed consolidated interim financial statements.
Accounting standards issued but not yet adoptedIFRS 18 "Presentation and Disclosure in Financial Statements" has been issued to replace IAS 1 "Presentation of Financial Statements". The new standard has been issued but not yet adopted. It establishes a revised structure for the consolidated statements of comprehensive profit with the intention to improve comparability across entities. IFRS 18 is effective for annual periods beginning on or after January 1, 2027 and will be applied retroactively. IFRS 18 does not alter the recognition and measurement of items included in the statement of comprehensive profit, however, it does change how items are presented.
Impacts of IFRS 18 on the Company will include:
The statement of comprehensive profit will include three categories: operating, investing and financing. Items such as finance costs will be included in the financing section and items such as interest income on cash and cash equivalents will be included in the investing section;
Increased disclosures in the financial statements around management performance measures such as adjusted EBITDA and adjusted EBITDAS
There are consequential amendments to the statement of cash flow whereby the starting point for the statement of cash flows will be a new subtotal referred to as operating earnings and the policy option with respect to reporting of finance costs in operating activities has been removed (finance costs paid will be required to be reported in the financing section of the cash flow).
The Company is completing the evaluation of the impact of adopting IFRS 18 on the consolidated financial statements.
NOTE 3 - LOANS AND BORROWINGS | ||
(Stated in thousands) | As at September 30, 2026 | As at December 31, 2025 |
Revolving Credit Facility, net of transaction costs | $72,014 | $92,398 |
On December 5, 2025, Trican entered into an agreement with a syndicate of five Canadian banks which amended and extended its RCF.
The RCF matures December 5, 2028, a date that may be extended on an annual basis upon agreement of the RCF lenders, and the Company may draw up to $200.0 million (December 31, 2025 - $200.0 million). The RCF also features an uncommitted accordion of $125.0 million (December 31, 2025 - $125.0 million), which is accessible subject to approval by the syndicate of lenders. The RCF has a General Security Agreement registered against the assets of the Company and bears interest at the applicable Canadian prime rate, U.S. prime rate, Canadian Overnight Repo Rate Average ("CORRA"), or at Secured Overnight Financing Rate ("SOFR"), plus 100 to 375 basis points (December 31, 2025 - Canadian prime rate, U.S. prime rate, CORRA, or at SOFR, plus 100 to 375 basis points).
As at September 30, 2026, the undrawn and accessible amount, subject to financial covenants, was $127.3 million (December 31, 2025 - $106.7 million accessible) due to amounts drawn on the RCF, swing line facility and the Company's letters of credit outstanding as at September 30, 2026.
As at September 30, 2026, the Company has the ability to draw up to $50.0 million (December 31, 2025 - $50.0 million) on the swing line facility with its lead bank, which is included within the $200.0 million borrowing capacity of the RCF described above. As at September 30, 2026, the Company had available $17.7 million (December 31, 2025 - $47.1 million) due to $32.3 million drawn on the swing line facility (December 31, 2025 - $2.9 million drawn).
As at September 30, 2026, the Company has the ability to draw up to $10.0 million (December 31, 2025 - $10.0 million) on the letter of credit facility with its syndicate of banks which is included within the $200.0 million borrowing capacity of the RCF described above. As at September 30, 2026, the Company had available $9.6 million (December 31, 2025 - $9.6 million) due to $0.4 million in letters of credit outstanding (December 31, 2025 - $0.4 million).
The Company was in compliance with its financial covenants at September 30, 2026.
NOTE 4 - SHARE CAPITAL Share capitalAuthorized
The Company is authorized to issue an unlimited number of common shares, issuable in series. The shares have no par value. All issued shares are fully paid.
Issued and outstanding - Common shares
(Stated in thousands, except share amounts) | Number of shares | Amount |
Balance at January 1, 2025 | 188,923,710 | $679,367 |
Exercise of stock options | 258,198 | (6,556) |
Reclassification from contributed surplus on exercise of options | - | 7,312 |
Shares purchased and cancelled under Normal Course Issuer Bid | (12,149,664) | (45,274) |
Shares issued on the close of business combination | 33,760,000 | $196,233 |
Balance at December 31, 2025 | 210,792,244 | $831,082 |
Exercise of stock options | 183,566 | (4,406) |
Reclassification from contributed surplus on exercise of options | - | 4,705 |
Shares purchased and cancelled under Normal Course Issuer Bid | (8,508,300) | (34,219) |
Balance at September 30, 2026 | 202,467,510 | $797,162 |
On September 30, 2026, the Company announced the renewal of its NCIB program, commencing October 5, 2026, to purchase up to 18,057,151 common shares for cancellation before October 4, 2027, subject to the Toronto Stock Exchange ("TSX") NCIB rules. All common shares purchased under the NCIB program are returned to treasury for cancellation.
NOTE 5 - EARNINGS PER SHAREThree months ended September 30, Nine months ended September 30,
(Stated in thousands, except share and per share
amounts) 2026 2025 2026 2025
Basic weighted average number of common shares | 207,082,950 | 190,971,031 | 209,169,909 | 187,039,413 |
Dilutive effect of stock options | 991,449 | 2,691,430 | 1,232,805 | 2,689,221 |
Diluted weighted average number of common shares | 208,074,399 | 193,662,461 | 210,402,714 | 189,728,634 |
Three months ended September 30, Nine months ended September 30, | ||||
Attributable to owners of the Company | 2026 | 2025 | 2026 | 2025 |
Profit for the period | $48,012 | $28,898 | $75,953 | $80,253 |
Per share - basic | $0.23 | $0.15 | $0.36 | $0.43 |
Per share - diluted | $0.23 | $0.15 | $0.36 | $0.42 |
Dividends paid per share | $0.055 | $0.055 | $0.165 | $0.155 |
The Company has four shared-based compensation plans which are described in the notes of the Company's 2025 consolidated annual financial statements.
Incentive Stock Option Plan (equity-settled)As of September 30, 2026, 1,390,164 options (December 31, 2025 - 2,341,230 options) were outstanding at exercise prices ranging from $0.57 to $2.68 per share with expiry dates ranging from 2026 to 2028.
The following table provides a summary of the status of the Company's equity-settled stock option plan and changes during the nine months ended September 30, 2026:
Nine months ended September 30, 2026 | Year ended December 31, 2025 | |||
Options | Weighted average exercise price | Options | Weighted average exercise price | |
Outstanding at the beginning of period | 2,341,230 | $1.54 | 4,136,160 | $1.50 |
Exercised | (940,966) | 1.13 | (1,785,430) | 1.44 |
Expired | (10,100) | 1.25 | (9,500) | 3.17 |
Outstanding at the end of period | 1,390,164 | $1.83 | 2,341,230 | $1.54 |
Exercisable at end of period | 1,390,164 | $1.83 | 2,341,230 | $1.54 |
The following table summarizes information about equity-settled stock options outstanding at September 30, 2026:
Options outstanding | Options exercisable | ||||||
Range of exercise prices | Number outstanding | Weighted average remaining life | Weighted average exercise price | Number exercisable | Weighted average exercisable price | ||
$0.57 | to | $1.50 | 115,000 | 0.45 | $0.57 | 115,000 | $0.57 |
$1.51 | to | $2.68 | 1,275,164 | 1.43 | 1.94 | 1,275,164 | 1.94 |
$0.57 | to | $2.68 | 1,390,164 | 1.35 | $1.83 | 1,390,164 | $1.83 |
The following tables provide a summary of the status of the Company's cash-settled compensation plans and changes during the nine months ended September 30, 2026:
(Units) | Deferred share units | Restricted share units | Performance share units |
Balance at January 1, 2025 | 1,337,714 | 1,571,373 | 1,677,978 |
Granted | 178,708 | 678,332 | 411,586 |
Reinvested1 | 58,031 | 57,472 | 58,157 |
Redeemed for cash | - | (835,662) | (641,754) |
Forfeited | - | (101,207) | (137,741) |
Balance at December 31, 2025 | 1,574,453 | 1,370,308 | 1,368,226 |
Granted | 119,889 | 622,451 | 301,783 |
Reinvested1 | 39,305 | 30,405 | 26,209 |
Redeemed for cash | - | (704,566) | (544,694) |
Forfeited | - | (76,659) | (73,747) |
Balance at September 30, 2026 | 1,733,647 | 1,241,939 | 1,077,777 |
Vested at September 30, 2026 | 1,733,647 | - | - |
1Relates to reinvested dividend equivalent in the form of additional units to the Company's share unit plan participants.
Three months ended September 30, Nine months ended September 30,
(Stated in thousands) | 2026 | 2025 | 2026 | 2025 |
Cash-settled share-based compensation expense | ||||
Expense arising from DSUs | ($1,084) | $2,327 | $1,570 | $2,466 |
Expense arising from RSUs | 417 | 1,964 | 3,943 | 3,509 |
Expense arising from PSUs | 112 | 3,102 | 4,123 | 4,828 |
Total expense cash-settled share-based | ||||
compensation | ($555) | $7,393 | $9,635 | $10,803 |
At September 30, 2026, $17.9 million of outstanding liabilities for cash-settled compensation plans (December 31, 2025 - $18.6 million) are included in trade and other payables and the long-term portion of $3.3 million (December 31, 2025 - $5.5 million) is included in share-based compensation liabilities on the condensed consolidated statements of financial position.
NOTE 7 - COST OF SALES AND ADMINISTRATIVE EXPENSESThe Company classifies the consolidated statement of comprehensive profit using the function of expense method, which presents expenses according to their function, such as cost of sales and administrative expenses. This method is more closely aligned to the Company's business structure and provides more relevant information to the public.
The following table provides additional information on the nature of the expenses:
Cost of sales Three months ended September 30, Nine months ended September 30,
(Stated in thousands) | 2026 | 2025 | 2026 | 2025 |
Personnel expenses | $60,180 | $47,328 | $171,016 | $131,828 |
Direct costs | 178,471 | 172,173 | 483,257 | 430,372 |
Cost of sales | $238,651 | $219,501 | $654,273 | $562,200 |
Cost of sales - depreciation and amortization | 25,139 | 20,769 | 75,512 | 57,367 |
Total cost of sales | $263,790 | $240,270 | $729,785 | $619,567 |
Administrative expenses Three months ended September 30, Nine months ended September 30, | ||||
(Stated in thousands) | 2026 | 2025 | 2026 | 2025 |
Personnel expenses | $7,452 | $5,598 | $19,476 | $15,972 |
Personnel expenses - cash-settled share-based | ||||
compensation | (555) | 7,393 | 9,635 | 10,803 |
Personnel expenses - severance | 10 | 6 | 786 | 978 |
Technology initiative expenses | 1,664 | 3,107 | 7,289 | 7,052 |
Transaction expenses | - | 2,510 | - | 2,510 |
General organizational expenses | 3,183 | 2,997 | 11,048 | 8,255 |
Bad debt expense | 230 | - | 235 | 24 |
Administrative expenses | $11,984 | $21,611 | $48,469 | $45,594 |
Administrative expenses - depreciation | 1,208 | 963 | 3,635 | 2,887 |
Total administrative expenses | $13,192 | $22,574 | $52,104 | $48,481 |
The fair values of cash and cash equivalents, trade and other receivables, and trade and other payables included in the condensed consolidated interim statement of financial position approximate their carrying amount due to the short-term maturity of these instruments. The fair value of other assets included in the condensed consolidated interim statement of financial position is calculated by using the present value of future cash flows, discounted using the market interest rate and subsequent measurement based on the effective interest method. The fair value of loans and borrowings approximate their carrying value as the rates of interest approximate market rates. Other assets and loans and borrowings are categorized in Level 2 of the fair value hierarchy.
NOTE 9 - OTHER COMMITMENTSAs at September 30, 2026, the Company has commitments of $33.7 million related to capital expenditures and other assets. Management is satisfied that the Company has sufficient liquidity and capital resources to meet the Company's obligations and commitments as they come due.
NOTE 10 - SUBSEQUENT EVENTS Normal course issuer bidFor the period from October 1, 2026 to October 27, 2026, the Company purchased an additional 599,200 common shares at a weighted average price per share of $6.45 pursuant to its NCIB.
CORPORATE INFORMATION
BOARD OF DIRECTORS CORPORATE OFFICEThomas M. Alford (5) Trican Well Service Ltd.
Chair of the Board 2900, 645 - 7th Avenue S.W. President, Well Servicing, Precision Drilling Corp. Calgary, Alberta T2P 4G8
Telephone: (403) 266-0202
Bradley P.D. Fedora Facsimile: (403) 237-7716
President & Chief Executive Officer Website: https://www.tricanwellservice.com Trican Well Service Ltd.
Thomas M. Coolen (2, 4) AUDITORS
Board Chair, Lycos Energy Inc. KPMG LLP, Chartered Professional Accountants
Trudy M. Curran (2, 4) Calgary, Alberta
Independent Businesswoman
Michael J. McNulty (1, 3) BANKERS
Independent Businessman The Bank of Nova Scotia
Calgary, Alberta
Stuart O'Connor (3, 4)
Chair and Co-founder, Arcurve Inc.
REGISTRAR & TRANSFERKiren K. Singh (1, 2) AGENT
Independent Businesswoman Olympia Trust Company
Calgary, Alberta
Deborah S. Stein (1, 3)
Independent Businesswoman
STOCK EXCHANGE LISTINGOFFICERS The Toronto Stock Exchange
Bradley P.D. Fedora Trading Symbol: TCW President & Chief Executive Officer
Scott E. Matson INVESTOR RELATIONS
Chief Financial Officer INFORMATION
Bradley P.D. FedoraTodd G. Thue President & Chief Executive Officer President, Fracturing
Scott E. MatsonChika B. Onwuekwe Chief Financial Officer Vice President, Legal, General Counsel and
Corporate Secretary
........................................................................................
Member of the Audit Committee
Member of the Corporate Governance Committee
Member of the Human Resources & Compensation Committee
Member of the Health, Safety & Environment Committee
Ex-officio member of the Audit Committee, Corporate Governance Committee, Human Resources & Compensation Committee, and Health, Safety & Environment Committee

