Novra Technologies : MD&A - Q1 2026

About this update from Novra Technologies Inc.

MANAGEMENT'S DISCUSSION & ANALYSIS Periods ended March 31, 2026 and 2025 (Expressed in Canadian dollars) The following Management's Discussion and Analysis ("MD&A") of Novra Technologies Inc. ("Novra") should be read in conjunction with the Consolidated Financial Statements for the periods ended March 31, 2026 and 2025, and related notes included therein (the "Consolidated Financial Statements"). These Consolidated Financial Statements have been prepared in accordance with International Financial Reporting Standards ("IFRS"). All information in this MD&A is presented in Canadian dollars, unless otherwise indicated. Tabular dollars are in thousands, except per share amounts. Amounts in tables may not reconcile due to rounding differences. Throughout this MD&A, "we", "us", "our", "Novra", and "Company" refer to Novra Technologies Inc. and its subsidiaries. This MD&A is dated as of May 30, 2026 and is current to this date. The MD&A and the Consolidated Financial Statements were approved and authorized for issuance by the Board of Directors on June 1, 2026. Financial statements, MD&A and other information relating to Novra are available on SEDAR+ at https://www.sedarplus.ca . CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This MD&A contains "forward-looking statements" within the meaning of applicable Canadian securities laws, concerning but not limited to: our outlook, anticipated closing and conversion of SNAPS convertible loans, proposed future acquisition of the remaining 48.4% of Wegener, anticipated developments in our operations in future periods, the adequacy of Novra's financial resources and other events and conditions that may occur in the future. Forward-looking statements are generally identifiable by words such as "expect", "anticipate", "believe", "intend", "estimate", "predict", "outlook", "opportunity", "potential", "promising", ""proposed", "targeted", "plans" "possible", "position for", "positive indication for", "prepare for", "commitment to", and similar expressions, or statements that events, conditions or results "will", "may", "could" or "should" occur or be achieved. As such, forward-looking statements are not historical facts but reflect our current assumptions and expectations regarding future events. These are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations and assumptions. Some of these risks and uncertainties are described herein under the "Risks and Uncertainties" section of this MD&A. For the above reasons, readers are cautioned not to place undue reliance on forward-looking statements. Table of Contents BUSINESS OVERVIEW 3 OVERALL PERFORMANCE 8 Results and Outlook 10 Highlights of 2025 and Early 2026 11 DISCUSSION OF OPERATIONS 14 Revenue and Gross Margin 14 Operating Expenses 15 Foreign Exchange Gain (Loss) 15 Other Income and Finance Costs 16 Depreciation and Amortization 16 Tax Expense 16 EBITDA and Adjusted EBITDA 16 SELECTED QUARTERLY FINANCIAL INFORMATION 17 LIQUIDITY 17 CAPITAL RESOURCES 19 OFF BALANCE SHEET ARRANGEMENTS 20 TRANSACTIONS WITH RELATED PARTIES 20 ACCOUNTING MATTERS 20 Critical Accounting Estimates 20 FINANCIAL INSTRUMENTS AND OTHER INSTRUMENTS 21 RISKS AND UNCERTAINTIES 21 BUSINESS OVERVIEW Novra Technologies Inc. (headquartered in Winnipeg, Canada) is a public company on the TSX Venture Exchange ("TSX-V"), which trades under the stock symbol NVI. Novra is also listed in the United States on the OTCQB Venture Exchange, under the symbol NVRVF. Novra owns International Datacasting Corporation ("IDC") based in Ottawa, ON, Canada, as well as controlling interest in Wegener Corporation ("Wegener"), based in Atlanta, GA, USA. Both are long-time leaders in multimedia broadband distribution infrastructure. Together they make up the Novra group of companies ("Novra Group"). For more background see the website at www.novragroup.com . Novra is a global business with customers on every continent. We provide technology for distribution of broadband data via satellite and IP networks with a specialization in broadcast media. The Novra Group companies offer a comprehensive portfolio of products, systems, and services. Products include hardware and software tailored for advanced applications in key vertical markets: video, radio, and data distribution, digital cinema and digital signage. Areas of expertise and added value include encryption, next-generation hybrid networks (satellite/terrestrial/cloud), and efficient bandwidth utilization. Novra also has a long and successful history of providing highly-reliable customized hardware, software and service solutions to meet the specific requirements of businesses and governments across the globe. About our business Proven tradition of innovation and strategic expansion Novra has a long history and on-going strategy of partnering and merging with great technology companies in adjacent or complimentary market verticals, including and building on our successful acquisitions of International Datacasting Corporation and Wegener Corporation. We've also developed and continue to grow a network of strategic partners to augment our internal teams and expertise, allowing us to respond quickly to new opportunities. Together our group of companies have delivered new technologies to our customers in award-winning products and services to improve their business outcomes. At the same time, Novra has grown its internal M&A experience and put in place systems to successfully integrate prior and future acquisitions. Both market-leading standard offerings and customer-specific solutions Novra companies are recognised for applying our extensive expertise, experience and intellectual properties to meet the specific needs of customers. This can be in the form of integrating our products into powerful systems, making incremental developments to tailor them for specific applications, or designing bespoke hardware, software or solutions. Our building block approach to development has resulted in a toolbox full of components that can form the foundation for quickly delivering new products and custom solutions, particularly in the areas of; highly-secure encrypted communications; satellite, ATSC or cable system receivers; management and control of large fleets of IoT (Internet of Things) devices; and media distribution over a variety of transmission channels. Field-proven product reliability With hundreds of thousands of units shipped around the world, many in mission-critical 24/7 operation in challenging operating environments, Novra has earned a reputation for high-quality extremely reliable products. In addition to delivering products that work out of the box, Novra stands behind our products with support, service and extended warranty offerings to keep them operating long into the future. Unmanned Aerial Vehicle (UAV) communications As part of our strategic marketing and R&D initiative to expand into high-growth adjacent markets, we are advancing into the emerging UAV sector. In collaboration with a long-time customer and partner, we are defining a rugged, reliable and uniquely capable communications module tailored for the specific needs of UAV applications. This market is experiencing rapid growth, with requirements evolving quickly. Partnering with an organization well-established in the UAV space provides significant advantage. We are leveraging our expertise, existing IP, and latest innovations, as well as our proven strength in manufacturing, to address the complex and evolving communication requirements of unmanned aerial vehicles across a wide range of use cases. Media distribution The media distribution landscape, where Novra continues to build on a long history of success, is going through major upheaval driven by a combination of market and technology factors. Important changes include: Content is changing. With the explosion of streaming media-video and audio-long form content, limited series, live versus on-demand, the demand for media is growing and evolving. Revenue models are changing. Advertising can be much more precisely targeted. New subscription models are emerging. Licensing and underwriting practices are changing. Content is being accessed in more granular models (e.g., through specific apps vs. bouquets of live channels). Expense model preferences are changing . Some businesses are embracing the trend away from one-time infrastructure CAPEX and toward OPEX, paying over time for products and services as they use them. They are often looking to minimize the up-front expense of large infrastructure investments and instead moving toward pay-as-you-go operating expenses. At the same time, others are taking a longer view and moving back toward a preference for one-time CAPEX investments in an effort to minimize total cost of ownership over the long term. Distribution platforms and architectures are changing. The legacy model of distribution of channel-based media as a broadcast via satellite- "point to multipoint"- is evolving into a bandwidth intensive hybrid satellite/internet model. These changes are happening fast, and networks are looking for infrastructure that can support these changes - solutions that are adaptable and upgradeable and that can be provided as products and/or services. In many cases this means a move away from purpose-built hardware to software- and service-centric solutions that are scalable, flexible, and cost-effective. We are focused on providing the technology and expertise to advance this paradigm shift. Embracing and enabling change: designing for today and tomorrow While addressing the current needs of our customers and key markets, our business strategy is always driving to meet emerging needs through innovation. We're: Targeting the applications and geographical markets where satellite technology still thrives including government applications (communications, weather, defense) in North America and around the world, international markets where geographical population distribution is wide and availability of terrestrial broadband is low (such as Latin America and Australia), as well as longtime customers with existing networks that continue to evolve and grow.

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