STRACON Group Reports Record Year-End Backlog of US$2,191 Million, Sets March 31 Date for Q4 and Full Year 2025 Results Conference Call, and Provides Update on Peruvian Merger

Toronto, Ontario–(Newsfile Corp. – March 3, 2026) – STRACON Group Holding Inc. (TSX: STG) (BVL: STG) (“STRACON” or the “Company”) today reports a record year-end backlog of US$2,191 million as at December 31, 2025, sets March 31, 2026, as the date for its fourth quarter and full year 2025 results conference call, and provides additional context regarding its previously announced cross-border merger with STRACON Holdings S.A. (“STRACON Peru”).

PERUVIAN MERGER

The merger between STRACON and STRACON Peru took effect on November 1, 2025. All assets, liabilities, operations, rights, and obligations of STRACON Peru were assumed by STRACON (through its Peruvian branch) on that date by operation of law.

The merger was registered within the Yukon Corporate Registrar of Corporations on November 1, 2025, and STRACON expects the formal registration of the merger within the Peruvian Corporate Registry to be completed in the coming weeks.

On February 12, 2026, STRACON announced the dismissal by the Ontario Securities Commission’s Capital Markets Tribunal of the application made by SLC Holdings Inc. (“SLC”). Through such application SLC argued that STRACON had no assets due to the lack of registration of the merger in Peru, caused by an opposition it filed before a Peruvian court.

Under Peruvian corporate law, a merger becomes effective on the date the parties choose to make the merger effective. When it comes to mergers, Peru’s registration system serves to publicize transactions. Registration is not a condition to the effectiveness of a merger.

Peruvian corporate law also grants established creditors of merged companies a chance to oppose a merger and protect their interests by obtaining security or guarantees (if it is judicially considered that they deserve protection and are not protected), but this is not a right to prevent or unwind the effectiveness of a merger.

In STRACON and STRACON Peru’s case, to ensure compliance with both applicable laws (Peruvian law and the laws of Yukon) and that the merger was effective before STRACON listed on the TSX and the BVL, the parties agreed to make the merger effective on the date the Yukon Corporate Registrar of Corporations issued an amalgamation certificate and completed the amalgamation. This was ultimately November 1, 2025.

SLC’s opposition, served to STRACON on December 30, 2025, did not reverse the effectiveness of the merger. No proceeding that has been commenced by SLC could reverse the merger or declare it legally ineffective.

As discussed in the Company’s February 10, 2026, press release, on January 29, 2026, a Peruvian court granted an interim injunction sought by STRACON directing the Peruvian Public Registry to complete the registration of the merger between STRACON and STRACON Peru, notwithstanding any opposition by SLC. It also granted STRACON the right to secure USD 2 million of SLC’s assets for damages and costs.

The statement that the assets have transferred from STRACON Peru to STRACON on November 1, 2025, pursuant to the cross-border merger registered in Yukon and in process of being registered in Peru, is based on various factors.

In light of the allegations made by SLC, STRACON has confirmed the soundness of its position through discussions with internal and external Peruvian and Canadian counsels, the black letter of the relevant corporate law, and a legal opinion from an independent third-party expert on Peruvian corporate law. Such expert reviewed SLC’s allegations before the OSC and, relying on multiple precedents from the Peruvian registry authority, confirmed that STRACON Peru’s assets have transferred to STRACON as of November 1, 2025, and that the opposition and lack of registration in Peru have no effect on this transfer of assets, nor could it possibly reverse the merger or render it ineffective.

It is also a fact that all Canadian and Peruvian governmental, regulatory, judicial, and commercial stakeholders that STRACON has interacted with have acknowledged that STRACON Peru transferred its operations and assets to STRACON as of November 1, 2025. To give just two examples, the Peruvian tax agency and STRACON Peru’s bank creditors have expressly acknowledged STRACON as the legal successor to STRACON Peru.

STRACON maintains privilege on all legal advice it has received and does not intend to waive any applicable privilege.

Q4 AND FULL YEAR 2025 RESULTS CALL

The Company will release its fourth quarter and full year 2025 financial results in the coming weeks and will host a conference call and audio webcast on Tuesday, March 31, 2026 at 8:00 a.m. ET, followed by a question-and-answer session.

The conference call can be accessed by dialing 1 (800) 715-9871 or (647) 932-3411, conference ID #5690484. The webcast will be accessible here or at www.stracon-group.com.

A replay of the teleconference will be available from one hour after the end of the call on March 31, 2026 until 11:59 p.m. EDT on April 30, 2026. To access the replay, please call +1-800-770-2030. Callers from outside North America should dial +1-609-800-9909. The access code is 5690484.

BACKLOG AT DECEMBER 31, 2025

In advance of its full year 2025 financial results, the Company is providing the following update on it’s backlog as at December 31, 2025. All figures are unaudited and denominated in U.S. dollars unless otherwise stated, and are subject to change upon completion of the year-end audit.

As at December 31, 2025, the Company’s backlog grew to approximately US$2,191 million, an increase of approximately 22% from US$1,789 million as at December 31, 2024, and a compound annual growth rate of approximately 31% since December 31, 2020. Backlog is defined as the transaction price allocated to remaining performance obligations under International Financial Reporting Standards (“IFRS”) 15. See “Non-IFRS Measures” below.

Current backlog composition by business segment is as follows:

• Industrial Services – 44%: Supported by long-standing client relationships across open-pit and underground mining operations in Peru, Chile, Canada and Mexico.

• Engineering & Technology – 21%: Anchored by engineering mandates that serve as the origination core for the broader Company and downstream infrastructure opportunities.

• Infrastructure – 19%: Consisting entirely of long-duration BOOM (Build, Own, Operate, Maintain)/DBFO (Design, Build, Finance, Operate) contracts, with the Pérez Caldera project in Chile serving as the segment’s anchor asset.

• Fleet Solutions – 16%: Driven primarily by large-scale copper mining operations in Chile under monthly rate and fixed and variable arrangements.

Approximately 62% of backlog is derived from relationship-type contracts (cost-plus, time-and-materials, short-term unit-price and monthly rate arrangements), providing a high degree of margin stability and limiting exposure to fixed-price execution risk. The balance of the backlog is derived from BOOM/DBFO contracts at 19% and EPC contracts at 20%. This representation is likely to shift over time as STRACON focuses on the high growth Engineering and Infrastructure segments of the business. Approximately 73% of contracted revenue is expected to be recognized beyond 2026, and 100% of backlog contracts, excluding EPC (Engineering, Procurement and Construction), include built-in escalation clauses. Based on revenue of approximately US$749 million for the year ended December 31, 2025, current backlog represents almost 3.0x revenue coverage.

STRACON’s contracted backlog, supported by inflation-linked pricing and a growing contribution from long-duration infrastructure contracts, combined with a total estimated pipeline of business opportunities in excess of US$17 billion (inclusive of US$6.3 billion in infrastructure), underpins the Company’s three-year strategic targets: revenue exceeding US$1.0 billion, backlog exceeding US$3.0 billion, and Adjusted EBITDA exceeding US$150 million. Within approximately 18 to 24 months, the Infrastructure segment is expected to represent approximately 50% of consolidated EBITDA, extending the duration and predictability of the Company’s cash flow profile.

About STRACON Group

STRACON is an integrated, engineering-led and technology-enabled mining infrastructure and services group operating across the Americas. Headquartered in Toronto, Canada, STRACON provides end-to-end solutions across the mining lifecycle, including engineering and technology solutions, industrial services, equipment and support services, and infrastructure development and ownership. The Company partners with leading global mining operators to design, build, operate and maintain critical infrastructure that supports safe, efficient and sustainable mining operations.

Non-IFRS Financial Measures

This press release references certain non-IFRS financial measures, including EBITDA and Adjusted EBITDA, which do not have standardized meanings under IFRS and may not be comparable to similar measures disclosed by other issuers. These measures are used by management to assess operating performance and are not substitutes for measures prepared in accordance with IFRS. Definitions are included in the Company’s public disclosure documents available under the Company’s profile on SEDAR+ at www.sedarplus.ca.

EBITDA means earnings before interest, taxes, depreciation and amortization, calculated as net income (loss) before finance costs, income tax expense (recovery), depreciation of property, plant and equipment, and amortization of intangible assets. EBITDA is a non-IFRS financial measure that is not a standardized term under IFRS and may not be comparable to similar measures disclosed by other issuers.

Adjusted EBITDA means EBITDA further adjusted to exclude share-based compensation, unrealized foreign exchange gains or losses, transaction costs related to acquisitions, restructuring charges, and other items that management considers non-recurring or not reflective of underlying operating performance. A reconciliation of Adjusted EBITDA to net income (loss) is included in the Company’s public disclosure documents available on SEDAR+ at www.sedarplus.ca.

Backlog (included in financial statements as the “Transaction price allocated to the remaining obligations”) represents off-balance-sheet amounts. In particular, it represents the value of signed and enforceable customer contracts for work not yet completed and not yet recognized as revenue, including under fixed-term contracts and project-specific scopes of work. For clarity, the amount does not include letters of intent, expressions of interest, proposals, indicative estimates, or any other non-binding arrangements. It is defined as a forward-looking indicator of anticipated revenue to be recognized by STRACON, determined based on firm contract awards and the transaction price allocated to remaining performance obligations. Management may be required to make estimates regarding the revenue to be generated from certain contracts.

The following is a reconciliation of backlog for the fiscal years 2025 and 2024:

Pipeline (which equals ~US$17.2 billion as of December 31, 2025, inclusive of US$6.3 billion in infrastructure) refers to identified opportunities, bids, and prospective projects the Company is actively tracking or pursuing. It is not committed revenue or backlog; it is a management estimate and forward-looking qualitative indicator of potential future business. Actual conversion depends on client decisions, tender outcomes, and other factors. Pipeline is subject to the risks and uncertainties described under the “Forward-Looking Information” heading below.

Forward-Looking Information

This press release contains forward-looking information within the meaning of applicable Canadian securities laws, including statements regarding the expected timing and content of the Company’s fourth quarter and full year 2025 financial results, anticipated backlog levels and composition, revenue and Adjusted EBITDA targets, the expected growth trajectory of the Infrastructure segment, and cash flow visibility. Forward-looking information is based on management’s current expectations, estimates and assumptions as of the date of this press release and is subject to known and unknown risks and uncertainties that could cause actual results to differ materially, including project execution risks, changes in commodity prices, client decisions, regulatory and permitting risks, foreign exchange rates, and other risks described in the Company’s non-offering prospectus dated December 16, 2025, available on SEDAR+ at www.sedarplus.ca. All of these risk factors should be considered carefully, and readers should not place undue reliance on forward-looking information. Any statements that are forward-looking statements are intended to enable the Company’s shareholders to view the anticipated performance and prospects of the Company’s from management’s perspective at the time such statements are made, and they are subject to the risks that are inherent in all forward-looking statements, as described above, as well as difficulties in forecasting the Company’s financial results and performance for future periods, particularly over longer periods. The Company undertakes no obligation to update forward-looking information except as required by applicable law.

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