CALGARY, Alberta, Aug. 20, 2026 (GLOBE NEWSWIRE) -- Vitalist Inc. (TSX-V: VITA.V; OTCQB: VTLSF) ("Vitalist", "we", "our", or the "Company"), a wearable operating-system focused technology company, today announced its financial results three months ended June 30, 2026 ("Q1 2027"). The related financial statements and accompanying notes, and Management's Discussion and Analysis for Q1 2027 ("MD&A") are available on SEDAR+ at www.sedarplus.ca and on the Vitalist's website at www.vitalist.co.

All dollar amounts in this press release are expressed in the Canadian dollars.

Q1 2027 Highlights

   -- Revenue decreased by $0.72 million, reflecting a decrease of 49% in the 
      three month period ended June 30, 2026 as compared to the corresponding 
      period of the prior year. This decrease is related to a reduction in 
      sales volumes due to distributors and retailers selling through inventory 
      instead of re-stocking, partially offset by the unwinding of previously 
      estimated B2B refund provisions. 
 
   -- Gross profit for the three months ended June 30, 2026 was $0.44 million 
      as compared to $0.46 million for the 3 month period ended June 30, 2025. 
      The gross profit margin in Q1 2027 was 58% as compared to 31% in Q1 2026. 
      The increase is due to improved product margin economics and the 
      unwinding of previous refund provisions on B2B sales. 
 
   -- There was a net loss of approximately $0.10 million for the three month 
      period ended June 30, 2026, which represents a reduction in net loss of 
      78% compared to the net loss of $0.46 million for the corresponding 
      period in Fiscal 2026. This decrease was primarily driven by a 
      non-recurring debt modification gain of $2.05 million in Q1 Fiscal 2027 
      following an amendment to the Company's debenture notes. This was offset 
      by an increase in operating expenses related to the acquisition of 
      Somatix, Inc. 
 
   -- Operating cash outflows were approximately $3.11 million for the period 
      ended June 30, 2026, compared with approximately $2.56 million in the 
      prior period. The increase was attributable to temporary increase to 
      operating expenditures from the newly acquired Somatix entity, one time 
      transaction costs, as well as royalty liability payments. 

Outlook

Looking forward, Vitalist Inc. remains focused on scaling its presence across the consumer and enterprise health landscapes. The Company is executing on its exclusive five-year global alliance with Reebok, with the launch of its new flagship smartwatch collection on track for fall 2026. Powered by Vitalist's proprietary operating system, VitalOS$(TM)$, this flagship rollout will highlight the platform's high-performance capabilities, up to 7-days battery life, and broad hardware compatibility, serving as a live commercial model for future software licensing opportunities. Concurrently, following its acquisition of AI remote patient monitoring business, Somatix, Inc., Vitalist is expanding its product portfolio into the medical wearables space. By embedding Somatix's technology into VitalOS(TM), the Company aims to unlock higher-margin, recurring revenue streams across both enterprise healthcare and consumer markets.

"Following the post-holiday period, our priority shifted to expanding our physical and digital distribution," said Kalvie Legat, CEO of Vitalist. "We've established a presence across key regional and national retail formats, including travel centers, specialty storefronts, and off-price outlets. Paired with our strategic engagement with Pattern Inc. to accelerate our online operations across leading digital marketplaces, these expanded channels establish a broader foundation for growth in upcoming quarters."

Selected Financial Information

 
                                              Three months ended 
                                        June 30, 2026   June 30, 2025 
                                              $               $ 
--------------------------------------  -------------  --------------- 
Total revenue                                756,806      1,479,882 
Gross profit                                 441,434        456,847 
Net loss                                    (101,862)      (464,528) 
Net cash used in operating activities     (3,105,053)    (2,563,868) 
--------------------------------------  ------------   ------------ 
Basic & diluted loss per share                 (0.00)         (0.01) 
--------------------------------------  ------------   ------------ 
 
 
 
As at                                     June 30, 2026   March 31, 2026 
                                                $               $ 
----------------------------------------  -------------  ---------------- 
Total assets                                 11,216,475       1,039,063 
Total non-current financial liabilities       4,903,668       6,645,271 
----------------------------------------  -------------  -------------- 
 
 

About Vitalist Inc.

Vitalist Inc. is an innovative technology provider that helps brands build better products. Through VitalOS(TM), brands create seamlessly connected devices and applications that adapt to each user. By uniting hardware and software with intelligent analytics, we're building an ecosystem of personalized solutions that enhance human potential.

   -- For more information visit: www.vitalist.co | Investor Materials | 
      LinkedIn 
 
   -- Join the Vitalist distribution list: www.vitalist.co/investors 

Investor Relations Contact

For further information about Vitalist Inc. please contact:

Kalvie Legat, CEO

Vitalist

+1 (403) 560-9635

ir@vitalist.ca

Walter Frank

IMS Investor Relations

+1 (203) 972-9200

vitalist@imsinvestorrelations.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Information

This press release contains "forward-looking information" within the meaning of applicable Canadian securities laws. In general, forward-looking information is disclosure about future conditions, courses of action, and events, including information about prospective financial performance or financial position. The use of any of the words "anticipates", "believes", "expects", "intends", "plans", "will", "would", and similar expressions are intended to identify forward-looking information. Forward-looking statements included or incorporated by reference in this press release include, without limitation, with respect to:

   -- the ability of the Company to continue as a going concern; 
 
   -- the impact on the Company of the voluntary assignment into bankruptcy of 
      eBuyNow eCommerce Ltd. ("EBN"), a wholly-owned Canadian subsidiary of the 
      Company, which was filed by EBN on June 27, 2023 pursuant to the 
      Bankruptcy and Insolvency Act (R.S.C., 1985, c. B-3) (the "Act") 
      (collectively, the "Bankruptcy"); 
 
   -- the impact on the Company of the acquisition of Somatix, Inc. 
      ("Somatix"); 
 
   -- the effects of global supply constraints on the Company and the 
      likelihood that such constraints will continue to occur and impact the 
      Company; 
 
   -- the plans of the Company for the Reebok product category, the status of 
      the Reebok product category relative to those plans, and the anticipated 
      timing and costs to advance the Reebok product category; 
 
   -- the plans of the Company for the Vitalist(TM) product category, including 
      the launch of VitalOS(TM), the status of the Vitalist(TM) product 
      category relative to those plans, and the anticipated timing and costs to 
      advance the Vitalist(TM) product category; 
 
   -- the plans of the Company to terminate certain product lines and product 
      categories; 
 
   -- the strategies of the Company for customer retention and growth; 
 
   -- anticipated demand for the products and services of the Company, and its 
      ability to meet that demand; 
 
   -- the Company's intent to maintain a flexible capital structure; 
 
   -- the ability of the Company to generate sufficient cash to maintain its 
      capacity and fund its growth and development; 
 
   -- fluctuations in the liquidity of the Company; 
 
   -- the ability of the Company to meet its obligations as they become due; 
 
   -- the plans of the Company for remedying its working capital deficiency; 
 
   -- the need for the Company to pursue additional sources of financing and 
      the ability of the Company to obtain such additional sources of 
      financing; 
 
   -- capital expenditures not yet committed, but required, to maintain the 
      capacity of the Company and fund its growth and development; 
 
   -- fluctuations in the capital resources of the Company; 
 
   -- the sources of financing that the Company has arranged, but not yet used; 
      and 
 
   -- the plans of the Company to reduce general and administrative expenses. 

The forward-looking information is based on certain key expectations and assumptions, including the continuance of manufacturing operations at the Company's partner factories in Asia, the timing of product launches, shipments and deliveries, forecast sales price and sales volumes of the Company's products and the ability of the Company to secure additional sources of financing in the future.

There can be no assurance that the Company will be able to secure additional financing in the future in a timely manner or at all. If the Company fails to secure additional financing, the Company may have insufficient liquidity and capital resources to operate its business resulting in material uncertainty regarding the Company's ability to meet its financial obligations as they become due and continue as a going concern.