• INFINITE LOOP INDIA FACILITY RESCALED TO 45 KTA TO REDUCE CAPITAL REQUIREMENTS AND SUPPORT FASTER DEVELOPMENT
  • SPECIAL COMMITTEE, FORMED IN SEPTEMBER 2026, CONTINUES TO EVALUATE FINANCING ALTERNATIVES TO SUPPORT THE INDIA JV

LOOP MANAGEMENT TO HOLD UPDATE CALL AT 8:45 AM ET ON FRIDAY, OCTOBER 16, 2026

MONTRÉAL, QC / ACCESS Newswire / October 15, 2026 / Loop Industries, Inc. (Nasdaq:LOOP) (the “Company,” “Loop,” “we,” “us,” or “our”) a clean technology company that has developed patented and proprietary processes to recycle low-value waste polyethylene terephthalate (PET) plastic and polyester fiber into virgin-quality PET resin, today reported its consolidated financial results for the second quarter of fiscal year 2027 and provided a status update on its commercial development project in India.

Infinite Loop™ India: Optimizing scale to Support Faster Execution

Loop’s planned first commercial facility in India has been rescaled to a capacity of 45 kilotonnes per annum (KTA), following an engineering review intended to reduce the project’s estimated capital requirement and support a more focused development plan:

● Lower Capital Requirement: Reducing the scale of the facility will directly lower the overall facility cost, decreasing both our debt and equity financing needs. Toyo Engineering India Private Limited is completing a comprehensive analysis to finalize the updated cost estimate.
● Shorter Timeline: The streamlined capacity allows for a more efficient capital-raising process and faster construction. The project target timeline is for construction completion by the end of 2028, with startup and commissioning scheduled for 2029.
● Attractive Return on Investment: The facility is positioned to deliver high returns due to the advantages of Loop’s unique technology, which combines virgin quality product with low operating costs, together with being located in a low-cost environment in India that offers access to plentiful textile waste.
● Multi-Facility Plan: This is the first of two facilities planned for the India site. The second facility is expected to be larger than the first and is planned to be developed following the successful start-up of the initial facility.

Special Committee Update

● Comprehensive Financing Strategy: The Special Committee, formed by the Board of Directors in September 2026, is actively engaged in working with advisors dedicated to securing capital to fund Loop’s portion of the equity needed to finance the India JV.
● Exploring All Options: The committee is evaluating a full spectrum of financing alternatives, including equity, debt, and non-dilutive options to optimize capital structure and support long-term growth.

Financial highlights

Cash operating expenses* for the second quarter were $1.6 million, a decrease of $0.8 million year-over-year. At August 31, 2026 the Company reported total available liquidity of $1.9 million. Loop continues to seek capital to fund its expected equity contribution to the India joint venture (JV) and its ongoing pre-commercial operating expenses. The timing and amount of any financing, engineering-services revenue, or licensing revenue remain subject to execution, financing availability, and the progress of the Company’s projects; there can be no assurance that these sources will be sufficient to fund operations through commercial start-up.

*Cash operating expenses are defined as research & development and general & administrative expenses, less stock-based compensation expenses.

CEO Comment

“We continue to refine our commercial roadmap with a focus on disciplined capital allocation and project execution,” said Daniel Solomita, Founder and CEO of Loop Industries. “Rescaling the planned India facility to 45 KTA is intended to lower the project’s capital requirement while retaining the benefits of regional feedstock availability and a lower-cost operating environment. Alongside our advancing partnership in Europe, Loop is building a highly scalable, economically attractive foundation for global growth.”

About Loop Industries

Loop Industries is a clean technology company whose mission is to accelerate the shift from fossil fuels to sustainable PET plastic and polyester fiber. Loop owns patented and proprietary technology that depolymerizes waste PET plastic and polyester fiber – including bottles, packaging, carpets and textiles – into their base building blocks. Those monomers are filtered, purified and polymerized into virgin-quality Loop™ branded PET resin for food-grade packaging and polyester fiber. Loop’s technology is designed to recycle PET plastic and polyester fiber repeatedly without quality degradation, helping brands meet sustainability goals and reduce reliance on virgin fossil-based materials.

Corporate Update Call

Loop’s senior management will host a corporate update call and question-and-answer session to discuss the Company’s second quarter fiscal 2027 results and provide an update on its commercial strategy and project development activities.

Date: Friday, October 16, 2026

Time: 8:45 am Eastern Time

Participant Dial-In Numbers:

International: +1 585 542-9983

United States & Canada (Toll-Free): +1 833 461-5787

Conference ID: 859 424 795

Participants are encouraged to pre-register using the link below to avoid wait time and receive a unique PIN for expedited access to the call:

Registration Link: https://registrations.events/direct/Q4I3922772

Additional international dial-in numbers are available through the registration portal using Conference ID 859 424 795

Results of Operations

All monetary amounts are in thousands of U.S. dollars unless otherwise specified.

The following table summarizes our operating results for the three-month periods ended August 31, 2026 and 2025, in thousands of U.S. Dollars.

 Three months ended August 31,
Change
2026 2025 favorable / (unfavorable)
Revenues
Services
 117 – 117
Total revenues
 117 – 117
Cost of services
Cost of services
 113 – (113 )
Total cost of services
 113 – (113 )
Expenses
Research and development
Employee compensation
 247 597 350
Stock-based compensation
 98 32 (66 )
Plant and laboratory operating expenses
 117 149 32
External engineering
 4 6 2
Other
 74 59 (15 )
Total research and development
 540 843 303
General and administrative
Employee compensation
 342 423 81
Stock-based compensation
 331 248 (83 )
Professional fees
 416 612 196
Insurance
 111 423 312
Other
 278 165 (113 )
Total general and administrative
 1,478 1,871 393
Loss on equity accounted investment
 431 43 (388 )
Depreciation and amortization
 83 96 13
Interest and other financial expenses
 460 419 (41 )
Interest income
 (6 ) (70 ) (64 )
Foreign exchange loss (gain)
 6 2 (4 )
Total expenses
 3,105 3,204 99
Net loss
 $ (2,988 ) $ (3,204 ) $ 216

Second Quarter Ended August 31, 2026

Revenues

Revenues for the three-month period ended August 31, 2026, increased $117 to $117, as compared to $0 for the same period in 2025. The revenues of $117 for the three month period ended August 31, 2026 resulted from engineering services provided to the India JV.

Cost of Services

Cost of Services for the three-month period ended August 31, 2026 increased $113 to $113 compared to $0 for the same period in 2025.

Research and Development

Research and development expense for the three-month period ended August 31, 2026, decreased $303 to $540, as compared to $843 for the same period in 2025. The decrease was primarily attributable to a $350 decrease in employee compensation expenses, a $32 decrease in plant and laboratory expenses, partially offset by a $66 increase in stock compensation.

General and administrative expenses

General and administrative expenses for the three-month period ended August 31, 2026, decreased $393 to $1,478, as compared to $1,871 for the same period in 2025. The decrease was primarily attributable to a $312 decrease in insurance expenses, a $196 decrease in professional fees, partially offset by a $113 increase in other miscellaneous expenses and $83 increase in stock compensation.

Interest and other financial expenses

Interest and other financial expenses increased by $41 for the three-month period ended August 31, 2026.

Net Loss

The net loss for the three-month period ended August 31, 2026, decreased $216 to $2,988, as compared to $3,204 for the same period in 2025. This decrease was primarily due to the decrease of $303 in research and development expenses, a decrease of $393 in general and administrative expenses. These decreases were partially offset by the increase of $388 in equity investment, decrease of $64 in interest income and increase of $41 in interest and other financial expenses.

Six Months Ended August 31, 2026

The following table summarizes our operating results for the six-month periods ended August 31, 2026 and 2025, in thousands of U.S. Dollars.

 Six months ended August 31,
2026 2025 Change
Revenues
Products
 $ – $ 8 $ (8 )
Services
 296 244 52
Total revenues
 296 252 44
Cost of services
Cost of services
 292 114 (178 )
Total cost of services
 292 114 (178 )
Expenses
Research and development
Employee compensation
 496 1,187 691
Stock-based compensation
 556 344 (212 )
Plant and laboratory operating expenses
 298 383 85
External engineering
 13 61 48
Other
 138 127 (11 )
Total research and development
 1,501 2,102 601
General and administrative
Employee compensation
 730 992 262
Stock-based compensation
 852 311 (541 )
Professional fees
 659 974 315
Insurance
 266 876 610
Other
 545 366 (179 )
Total general and administrative
 3,052 3,519 467
Loss on equity accounted investment
 750 345 (405 )
Depreciation and amortization
 167 197 30
Interest and other financial expenses
 897 837 (60 )
Interest income
 (12 ) (170 ) (158 )
Foreign exchange loss (gain)
 21 (41 ) (62 )
Total expenses
 6,668 6,903 235
Net loss
 $ (6,372 ) $ (6,651 ) $ 279

Six Months Ended August 31, 2026

Revenues

Revenues for the six-month period ended August 31, 2026, increased $44 to $296, as compared to $252 for the same period in 2025. The revenues of $296 for the six-month period ended August 31, 2026 resulted from engineering services provided to the India JV. The revenues of $252 for the six-month period ended August 31, 2025 resulted from engineering services provided to the India JV for $244 and sales of Loop™ PET resin for $8.

Cost of Services

Cost of Services for the six-month period ended August 31, 2026 increased $178 to $292 compared to $114 for the same period in 2025.

Research and Development

Research and development expense for the six-month period ended August 31, 2026, decreased $601 to $1,501, as compared to $2,102 for the same period in 2025. The decrease was primarily attributable to a $691 decrease in employee compensation expenses, a $48 decrease in external engineering expenses, a $85 decrease in plant and laboratory expenses, partially offset by a $212 increase in stock compensation.

General and administrative expenses

General and administrative expenses for the six-month period ended August 31, 2026, decreased $467 to $3,052, as compared to $3,519 for the same period in 2025. The decrease was primarily attributable to a $610 decrease in insurance expenses, a $315 decrease in professional fees, a $262 decrease in employee compensation, partially offset by a $541 increase in stock compensation and a $179 increase in other miscellaneous expenses.

Interest and other financial expenses

Interest and other financial expenses increased by $60 for the six-month period ended August 31, 2026.

Net Loss

The net loss for the six-month period ended August 31, 2026, decreased $279 to $6,372, as compared to $6,651 for the same period in 2025. This decrease was primarily due to the decrease of $601 in research and development expenses, a decrease of $467 in general and administrative expenses. These decreases were partially offset by the decrease of $158 in interest income, increase of $405 in equity investment, increase of $178 in cost of services and increase of $60 in interest and other financial expenses.

Loop Industries, Inc.

Condensed Consolidated Statements of Operations and Comprehensive Loss

(Unaudited)

(in thousands of U.S. dollars, except per share data)
 Three Months Ended Six Months Ended
August 31, 2026 August 31, 2025 August 31, 2026 August 31, 2025
Revenues:
Products
 $ – $ – $ – $ 8
Services
 117 – 296 244
Total revenues
 117 – 296 252
Cost of services
Cost of services
 113 – 292 114
Total cost of services
 113 – 292 114
Expenses:
Research and development
 540 843 1,501 2,102
General and administrative
 1,478 1,871 3,052 3,519
Depreciation and amortization
 83 96 167 197
Total expenses
 2,101 2,810 4,720 5,818
Other loss
Loss on equity accounted investments
 431 43 750 345
Interest and other financial expenses
 460 419 897 837
Interest income
 (6 ) (70 ) (12 ) (170 )
Foreign exchange loss (gain)
 6 2 21 (41 )
Total other loss
 891 394 1,656 971
Net loss
 (2,988 ) (3,204 ) (6,372 ) (6,651 )
Other comprehensive loss
Foreign currency translation adjustment
 (47 ) (6 ) (41 ) (25 )
Comprehensive loss
 $ (3,035 ) $ (3,210 ) $ (6,413 ) $ (6,676 )
Net loss per share
Basic and diluted
 $ (0.06 ) $ (0.07 ) $ (0.13 ) $ (0.14 )
Weighted average common shares outstanding
Basic and diluted
 48,433,265 47,769,800 48,398,363 47,716,964

Loop Industries, Inc.

Condensed Consolidated Balance Sheets

(Unaudited)

(in thousands of U.S. dollars, except per share data)
 As at
August 31, February 28,
2026 2026
Assets
Current assets
Cash and cash equivalents
 $ 836 $ 2,356
Accounts receivable and other
 422 755
Prepaid expenses
 313 495
Total current assets
 1,571 3,606
Equity method investments
 1,465 1,478
Property, plant and equipment, net
 1,627 1,699
Intangible assets, net
 1,710 1,776
Total assets
 $ 6,373 $ 8,559
Liabilities and Stockholders’ Deficit
Current liabilities
Accounts payable and accrued liabilities
 $ 2,094 $ 1,916
Unearned revenue
 386 234
Current portion of long-term debt
 890 605
Total current liabilities
 4,781 2,755
Due to customer
 936 900
Series B Convertible Preferred stock
 12,804 12,054
Long-term debt
 1,986 2,430
Total liabilities
 20,507 18,139
Stockholders’ Deficit
Common stock par value $0.0001; 250,000,000 shares authorized; 48,812,574 shares issued and outstanding (February 28, 2026 – 48,337,555)
 5 5
Additional paid-in capital
 197,794 195,934
Accumulated deficit
 (210,698 ) (204,326 )
Accumulated other comprehensive loss
 (1,235 ) (1,193 )
Total stockholders’ deficit
 (14,134 ) (9,580 )
Total liabilities and stockholders’ deficit
 $ 6,373 $ 8,559

Loop Industries, Inc.

Condensed Consolidated Statements of Cash Flows

(Unaudited)

(in thousands of U.S. dollars)
 Six Months Ended August 31,
2026 2025
Cash Flows from Operating Activities
Net loss
 $ (6,372 ) $ (6,651 )
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization
 167 197
Stock-based compensation expense
 1,408 655
Accrued interest and other financing costs
 808 737
Loss on Equity method investments
 750 345
Changes in operating assets and liabilities:
Accounts receivable and other
 333 (228 )
Prepaid expenses
 182 (338 )
Accounts payable and accrued liabilities
 177 (321 )
Unearned revenue
 153 –
Net cash used in operating activities
 (2,394 ) (5,604 )
Cash Flows from Investing Activities
Investment in joint venture
 (737 ) –
Additions to intangible assets
 (82 ) (133 )
Net cash used in investing activities
 (819 ) (133 )
Cash Flows from Financing Activities
Proceeds from ATM equity offering, net of issuance costs
 452 187
Borrowings under credit facility
 1,411 –
Repayment of long-term debt
 (132 ) (136 )
Net cash provided by financing activities
 1,731 51
Effect of exchange rate changes
 (38 ) 23
Net decrease in cash and cash equivalents
 (1,520 ) (5,663 )
Cash and cash equivalents, beginning of period
 2,356 12,973
Cash and cash equivalents, end of period
 $ 836 $ 7,310

About Loop Industries

Loop Industries is a technology company whose mission is to accelerate the world’s shift toward sustainable PET plastic and polyester fiber and away from its dependence on fossil fuels. Loop Industries owns patented and proprietary technology that depolymerizes no and low-value waste PET plastic and polyester fiber, including plastic bottles packaging and textiles such as carpets and clothing, into their base building block monomers DMT and MEG. The monomers are separated, purified and polymerized to create virgin-quality Loop™ & Twist™ branded PET resin suitable for use in food-grade packaging and polyester fiber, thus enabling our customers to meet their sustainability objectives. Loop™ & Twist™ PET can be recycled infinitely without degradation of quality, helping to close the plastic loop. Loop Industries is committed to contributing to the global movement towards a circular economy by reducing plastic waste and recovering waste plastic for a sustainable future.

Common shares of the Company are listed on the NASDAQ Global Market under the symbol “LOOP.”

For more information:

Please visit www.loopindustries.com

Follow Loop on X: @loopindustries, Instagram: loopindustries, Facebook: Loop Industries and LinkedIn: Loop Industries

Follow Twist™ on Instagram: twistbyloop

Forward-Looking Statements

This news release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) and as defined in the United States Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “should,” “could,” “expects,” “plans,” “intends,” “anticipates,” “believes,” “estimates,” “predicts,” “potential,” or “continue,” or the negative of such terms and other comparable terminology. These forward-looking statements include, without limitation, statements about the anticipated timing and development of Loop’s projects in India and Europe; expected progress and outcomes related to project debt and equity financing efforts; potential engineering services revenues and milestone payments; and the expected benefits of Loop’s offtake agreement with Nike, strategic alliance with Reed Societe Generale Group, and other current or prospective partnerships. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance, or achievements. Actual results may differ materially from the projections discussed in these forward-looking statements. The economic environment within which we operate could materially affect our actual results. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. These risks and other factors include, but are not limited to, those listed under “Risk Factors.” Additional factors that could materially affect these forward-looking statements and/or projections include, among other things: (i) our ability to commercialize our technology and products, (ii) the status of our relationships with our partners, (iii) development and protection of our intellectual property and products, (iv) industry competition, (v) our need for and ability to obtain additional funding relative to our current and future financial commitments, (vi) our ability to continue as a going concern, (vii) engineering, contracting, and building our manufacturing facilities, (viii) our ability to scale, manufacture, and sell our products and to license our technology in order to generate revenues, (ix) our proposed business model and our ability to execute it, (x) our ability to obtain the necessary approvals or satisfy any closing conditions in respect of any of our proposed partnerships, (xi) our joint venture projects and our ability to recover certain expenditures in connection to them, (xii) adverse effects on the Company’s business and operations as a result of increased regulatory, media, or financial reporting scrutiny, practices, rumors, or otherwise, (xiii) public health issues, such as disease epidemics, which may lead to reduced access to capital markets, supply chain disruptions, and government-imposed business closures, (xiv) war, regional tensions, and economic or other conflicts including trade disputes and increasing protectionist measures that could impact market stability and our business; (xv) the effect of the continuing worldwide macroeconomic uncertainty and its impacts, including inflation, market volatility and fluctuations in foreign currency exchange and interest rates, (xvi) the outcome of any SEC investigations or class action litigation filed against us, (xvii) our ability to hire and/or retain qualified employees and consultants, (xviii) other events or circumstances over which we have little or no control, and (xix) other factors discussed in Loop’s Annual Report on Form 10-K for the fiscal year ended February 28, 2025 filed with the SEC and in Loop’s subsequent filings with the SEC. More detailed information about Loop and the risk factors that may affect the realization of forward-looking statements is set forth in Loop’s filings with the SEC. Investors and security holders are urged to read these documents free of charge on the SEC’s web site at http://www.sec.gov. Loop assumes no obligation to publicly update or revise its forward-looking statements as a result of new information, future events or otherwise, unless otherwise required by law.

For More Information:

Investor Relations:

Kevin C. O’Dowd, Investor Relations
Loop Industries, Inc.
+1 617-755-4602
kodowd@loopindustries.com

SOURCE: Loop Industries

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