Pioneering Technology Reports Fiscal Year 2022 Financial Results

(TheNewswire)

Mississauga, ON - TheNewswire - January 30, 2023 - Pioneering Technology Corp. (TSXV:PTE) (“Pioneering” or the “Company”), a technology company and North America’s leader in cooking fire prevention technology and products,reportsitsaudited 2022 financialresultsfortheyearendedSeptember 30,2022.Pioneering’s audited condensed annual financial statements and MD&A are available on SEDAR(www.sedar.com).

FinancialHighlights:

• Revenuein fiscal 2022 was $2,437,866 versus$3,351,014 in 2021. The Company’s revenue has been adversely affected by the impact of COVID-19 since Q3 of fiscal 2020.

• Gross margin in fiscal 2022 improved to 50% versus 44% in 2021. The Company continues to take steps to improve gross margins.

• Expenses in fiscal 2022 were $1,761,070, a decrease of 35% versus 2021 ($2,693,125), a decrease of 49% versus 2020 ($3,465,566), and a decrease of 64% versus 2019 ($4,890,909). The Company intends to continue to manage its costs carefully and in anappropriatemannerrelativetoindustryconditions.

• Loss for the fiscal year decreased to $625,233 versusalossof$1,315,955 in fiscal 2021.

• Loss of $0.01 per share in fiscal 2022, compared to a loss of $0.03 per share in fiscal 2021.

• The balance sheet remains strong with $0.9M in cash and $3.0M in net working capital.

Revenue saw further declines in 2022 due to the continuing effects of COVID-19 on customer orders and shipments. The Company continues to work hard to overcome these recent challenges and believes that its current strategic plan, together with a return to pre-pandemic business conditions, will help position it for future growth (see the Company’s MD&A for more information). With sales continuing to be well below pre-COVID levels the Company is pleased with the results it has achieved in increasing gross profits and decreasing costs.

Selected Financial Results – Past Four Fiscal Years Ended September 30:

¹ AdjustedEBITDA&Tariff AdjustedEBITDAarenon-IFRSmeasures and may not be comparable to similar financial measures disclosed by other issuers.Pleasereferto“Non-IFRSMeasures”atendofthispressrelease.

Pioneering CEO Kevin Callahan said of the results, “The Company continues to work hard managing product margins and expenses which is resulting in significant improvements in adjusted EBITDA. The Company will continue to execute against its plan. Despite the many obstacles we have had to deal with, we remain confident that the future remains very promising, and we are committed to making our business successful for all stakeholders.”

About Pioneering Technology Corp:Pioneering, based in Mississauga, Ontario is an "energy smart" technologycompanyandNorthAmerica'sleaderininnovativecookingfirepreventiontechnologiesandproducts.Ourmission is simple: To help save lives and property from the number one cause of household fire – cooking fires. We do this by engineering and bringing to market energy-smart solutions that make consumer appliances safer, smarter, andmore efficient. Our patented cooking-fire prevention products address the multi-billion-dollar problem of cookingfires.AccordingtotheNationalFireProtectionAssociation,stovetopcookingisthenumberonecauseofhouseholdfireandfireinjuriesinNorthAmerica.Pioneering’stemperaturelimitingcontrol(TLC)technologyisnow installed in over400,000 multi-residential housing units across North America withouta single cooking fire,delivering peace of mind and a solid return on investment for its customers. Pioneering’s proprietary cooking fireprevention solutions include Safe-T-element, SmartBurner, RangeMinder & Safe-T-sensor and are suitable for themajority of the more than 140 million stoves/ranges and over 140 million microwave ovens in use throughoutNorthAmerica. Formoreinfo, gotowww.pioneeringtech.com.

Formoreinformationpleasecontact:

Kevin Callahan

CEO

Phone:647-945-7515

Email:kcallahan@pioneeringtech.com

ForwardLookingStatements

Thestatementsmadeinthispressreleaseincludeforward-lookingstatementsthatinvolveanumberofrisksand uncertainties. These statements relate to future events or future performance and reflect management'scurrent expectations and assumptions. A number of factors could cause actual events, performance or results todiffer materially from the events, performance and results discussed in the forward-looking statements, such asthe economy, generally, competition in Pioneering’s target markets, the demand for Pioneering’s products, theavailabilityoffundingandtheefficacyofPioneering’stechnology,governmentalregulationandtheimpactofthe COVID-19 pandemic. These forward-looking statements are made as of the date hereof and, except asrequired by applicable law, Pioneering does not assume any obligation to update or revise them to reflect newevents or circumstances. Actual events or results could differ materially from Pioneering’s expectations andprojections.

Non-IFRSMeasures

AdjustedEBITDAisameasurenotrecognizedunderInternationalFinancialReportingStandards(“IFRS”).However,managementofPioneeringbelievesthatmostshareholders,creditors,otherstakeholdersandinvestment analysts prefer to have these measures included as reported measures of operating performance, aproxy for cash flow, and to facilitate valuation analysis. Adjusted EBITDA is defined as earnings before interestincome, taxes, depreciation and amortization, impairment losses, stock-based compensation, restructuring costsincluded in general and administration expense, fair value movement – derivative liability and other non-recurringgains orlosses includingtransaction costs related to acquisition. Managementbelieves Adjusted EBITDA is auseful measure that facilitates period-to-periodoperating comparisons.Adjusted EBITDAdoes nothave anystandardmeaningsprescribedbyIFRS and therefore, may not be comparable to similar measures presented by other issuers. Readers are cautioned thatAdjustedEBITDAisnot analternativetomeasuresdeterminedinaccordancewithIFRSandshouldnot,onitsown,beconstrued as indicators of performance, cash flow or profitability. References to the Pioneering’s Adjusted EBITDAshould be read in conjunction with the financial statements and management's discussion and analysis of PioneeringpostedonSEDAR(www.sedar.com).ForareconciliationofAdjustedEBITDAaspresentedbyPioneeringtonetincome,please refertoPioneering’smanagement’sdiscussionandanalysis.

TariffAdjustedEBITDA,definedasAdjustedEBITDAadjustedfortariffandtariffrelatedcosts,isusedbymanagementtomeasureoperatingperformanceoftheCompanyandisasupplementtoourunauditedcondensedinterimfinancialstatementspresentedinaccordancewithIFRS.TariffAdjustedEBITDAisahelpfulmeasureofoperatingperformance,similar to Adjusted EBITDA, enabling management and investors to gain a clearer understanding of the underlyingfinancial performance of the Company without the impact of U.S. Section 301 tariffs and related costs. WhilemanagementconsidersTariffAdjustedEBITDAameaningfulmeasureforassessingtheunderlyingfinancialperformance of the Company, Tariff Adjusted EBITDA is a non-IFRS measure and does not have a standardizedmeaningprescribedbyIFRSandthereforemaynotbecomparabletosimilarmeasurespresentedbyothercompanies.Readers are cautioned that Tariff Adjusted EBITDA is not an alternative to measures determined in accordance withIFRS and should not, on its own, be construed as indicators of performance, cash flow or profitability. References tothePioneering’sTariffAdjustedEBITDAshouldbereadinconjunctionwiththefinancialstatementsandmanagement'sdiscussionandanalysisofPioneeringpostedonSEDAR(www.sedar.com).ForareconciliationofTariffAdjustedEBITDAaspresentedbyPioneeringtonetincome,pleaserefertoPioneering’smanagement’sdiscussionandanalysis.

Neither the TSXV nor its Regulation Services Provider (as that term is defined under the policies of the TSXV) acceptsresponsibilityfortheadequacyor accuracyofthisrelease.

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