• Modular backlog orders of $6.2 million as at 30 September 2025
• Revenue for the quarter was $0.94 million, reflecting a temporary decrease of 68.8% on the prior corresponding period
• Data Centre as a Service project delivery remains on track, with site construction scheduled for completion by the end of October

DXN Ltd, a prefabricated modular data centre specialist, is pleased to provide an operational and financial update for the quarter ending 30 September 2025 (the 'September Quarter' or 'Q1 FY26'). The company's modular backlog orders stood at $6.2 million as at 30 September 2025, supported by a growing pipeline of identified projects for FY26, contributing to a total Company backlog of $11.9 million. Revenue for the quarter was $0.94 million, reflecting a temporary decrease of 68.8% on the prior corresponding period (pcp), primarily due to customer-driven project deferrals. However, with project activity resuming and milestones scheduled for the coming quarters, revenue is expected to strengthen as deferred work is delivered. The company closed the quarter with a cash balance of $2.4 million. Data Centre as a Service ('DCaaS') project delivery remains on track, with site construction scheduled for completion by the end of October, marking the achievement of the final project milestone. DCaaS service fees are expected to commence from November 2026, establishing a new stream of recurring revenue. DXN's Asia-Pacific expansion strategy has been strengthened with the onboarding of dedicated sales and engineering talent, enhancing regional capability and positioning the company for accelerated growth and new customer opportunities across key markets. The company remains highly confident in delivering FY26 revenue growth, albeit 2HFY26 weighted.

The company expects to recognise the deferred revenue in upcoming quarters, and this combined with strong activity behind the scenes, positions DXN with a clear runway for growth. The company's $11.9 million total backlog provides a solid foundation as it actively pursues opportunities across its core prefabricated modular segments and the DCaaS space.

Besides business-as-usual growth in regular product and market segment targets, a key factor of DXN's FY26 growth outlook is geographical expansion leveraging its existing global customer portfolio, specifically into Southeast Asian markets including Singapore, Malaysia and Indonesia. This will cover all products in the Modular market segment and DCaaS segment.