Carmanah Technologies Corporation (TSX: CMH) ('the Company' or 'Carmanah') today reported its first quarter financial results for the period ended March 31, 2016. Currency amounts are in U.S. dollars unless otherwise noted.

In the first quarter of 2016, the Company generated revenues of USD $19.4 million up USD $8.1 million or 72% over Q1 2015 revenues of USD $11.3 million. Revenue growth was the result of several factors, including:

• The inclusion of revenues generated by the Sabik Group of Companies of USD $5.8 million. These revenues are inclusive of the historic Carmanah marine aids-to-navigation business, which is now fully integrated into Sabik Marine results;
• Organic growth of USD $0.7 million, or 23% on the balance of Carmanah Signals segment revenues;
• Organic growth of USD $4.4 million, or 72% in our Power segment; and
• A decline in Illumination Division revenues of USD $0.6 million, or 30%.

Net income in the first quarter of 2016 was USD $1.7 million up from net income of USD $0.03 million in the first quarter of 2015. Carmanah management relies on Adjusted EBITDA (a non-IFRS measure) to gauge financial performance. In the first quarter of 2016, the Company generated Adjusted EBITDA of USD $2.5 million, up 68% from USD $1.5 million in the same period in 2015. A table reconciling net income and Adjusted EBITDA is included in this release.

Net income and Adjusted EBITDA increases resulted from the overall revenue increases (both by way of acquisitions and organically). In addition, the improved performance was the result of maintaining overall margins and control of expenses.

'Our 2016 first quarter results reflect the effort that we have been making to grow revenues by way of great acquisitions like the Sabik Group of Companies, while simultaneously working hard to achieve organic growth, maintain margins and closely manage our expenses', said John Simmons, Chief Executive Officer. 'Through the balance of 2016 we expect to deliver more growth across all of our business segments and, in doing so, continue to achieve increasing operational leverage. Our company has never been stronger and our potential has never been greater.'

Complete set of Financial Statements and Management Discussion & Analysis

A complete set of the first quarter ended March 31, 2016 Financial Statements and Management's Discussion & Analysis are available on Carmanah's corporate website. To view these documents, visit: www.carmanah.com/Company/Investors/Financial_Reports.aspx. Both documents are also filed on SEDAR (www.sedar.com(link is external)). The financial information included in this release is qualified in its entirety and should be read together with the unaudited condensed consolidated financial statements for the quarter ended March 31, 2016 and the audited consolidated financials for the year ended December 31, 2015, including the notes thereto.

EBITDA and Adjusted EBITDA

About Carmanah Technologies Corporation

Headquartered in Victoria, British Columbia, Carmanah produces a portfolio of products focused on energy optimized LED and solar technologies. We design, develop and distribute energy efficient LED solutions for infrastructure including: signaling systems for the marine aids to navigation, airfield ground lighting, offshore wind marking(link is external), aviation obstruction and traffic markets. Carmanah's product portfolio also includes industrial and commercial solar powered outdoor LED lighting systems, and solar on and off-grid power generation systems. Since 1996, we have earned a global reputation for delivering strong and effective products for industrial applications that perform reliably in some of the world's harshest environments. Our LED and solar power systems provide durable, dependable, efficient and cost-effective solutions which have been deployed in over 400,000 installations in 110 countries. The Carmanah brand portfolio includes Go Power! and recently acquired companies, Sol and Sabik.

Contact
Carmanah Technologies Corporation:
Evan Brown, (250) 380-0052
Chief Financial Officer/Corporate Secretary
[email protected](link sends e-mail)

This release may contain forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as 'expects,' 'estimates,' 'could,' 'will' or variations of such words and phrases. Forward-looking statements or information in this news release relate to, among other things: revenues, and revenue growth, for the fourth quarter and year ended December 31, 2015; order backlogs; gross margins and estimates of EBITDA and Adjusted EBITDA. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Carmanah or Sabik to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Such factors include, but are not limited to:our ability to become a worldwide leader in the marine aids to navigation industry, the potential growth of the off shorewind safety market or our ability to participate in any growth and other general uncertainties that may impact actual outcomes. These forward-looking statements are based on management's current expectations and beliefs but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward-looking statements or information. Carmanah disclaims any obligation to update, or to publicly announce, any such statements, events or developments except as required by law.

For additional information on these risks and uncertainties, see Carmanah's most recently filed Annual Information Form (AIF) and Annual MD&A, which are available on SEDAR at www.sedar.com(link is external) and on the Company's website at www.carmanah.com. The risk factors identified in Carmanah's AIF and MD&A are not intended to represent a complete list of factors that could affect Carmanah.