Thermal Energy - Planet MicroCap Toronto - October 2025

Thermal Energy - Planet MicroCap Toronto - October 2025

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  The Profitable Pathto Net Zero TSX-V: TMG | OTCQB: TMGEF Planet MicroCap | October 2025
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  2 Disclaimer This presentation maycontain forward-looking statements within the meaning of applicable securities laws, including statements regarding the plans, intentions, beliefs and current expectations of Thermal Energy International Inc. (the "Company“ or “Thermal Energy”) with respect to future business activities and operating performance. These forward-looking statements include, among others, statements with respect to our objectives, goals and strategies to achieve those objectives and goals, as well as statements with respect to our beliefs, plans, objectives, expectations, anticipations, estimates and intentions. The words “may”, “will”, “could”, “should”, “would”, “suspect”, “outlook”, “believe”, “plan”, “anticipate”, “estimate”, “expect”, “intend”, “forecast”, “objective” and “continue” (or the negative thereof), and words and expressions of similar import, are intended to identify forward-looking statements. Any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected in these forward-looking statements. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended and such changes could be material. For a detailed discussion of such risks and uncertainties, please see the risk factors outlined in our management’s discussion and analysis available under the Company’s profile on SEDAR at www.sedar.com. The Company does not intend, and does not assume any obligation, to update the forward- looking statements. The term “EBITDA” as used in this presentation is not a recognized measure under IFRS, does not have a standardized meaning prescribed by IFRS and is therefore unlikely to be comparable to similar measures presented by other companies. This measure is provided as additional information to complement IFRS measures by providing further understanding of the Company’s results of operations from management’s perspective and should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS. Please refer to our management’s discussion and analysis for the applicable period for a reconciliation of EBITDA to Net income (loss), the closest IFRS measure. ​
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  3 Thermal Energy provides energyefficiency and carbon emission reduction solutions to Fortune 500 and other large multinational companies. We save our customers money by reducing their fuel use and carbon emissions.
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  4 Investment Highlights 1. Energyefficiency saves money and is the fastest, cheapest, and easiest way to reduce carbon emissions 2. Unique proprietary solutions provide high ROI and short, compelling payback 3. Significant repeat business from F500 and other large multinational customers 4. Track record of profitable growth, both organically and through accretive acquisitions
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  5 Improving thermal energyefficiency is the fastest, cheapest, and easiest way to reduce industrial carbon emissions 90% of industrial energy use is thermal 50% is lost as waste heat
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  We can recover upto 80% of thermal energy lost at a typical industrial site High ROI with compelling payback 6
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  7 Unique & ProprietarySolutions • Suite of complementary technologies that improve thermal energy efficiency • Highly-engineered, site-specific:  Turnkey project and/or  Custom Equipment delivery models
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  Significant Repeat Business •Majority of orders come from our top 10 key corporate accounts • Combined, these 10 customers have about 1,000 sites worldwide • Partially penetrated about 100 of these sites (<5% penetration)
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  9 Revenue ($ millions) $6.8 $8.2 $7.5 FY2023 FY 2024 FY 2025 0 5 10 15 20 25 30 12 months ended May 31 $29.8 $21.1 $25.9 Record revenue in fiscal 2025 • +15.1% YoY • +41.2% over 2 years +41.2%
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  10 $6.8 $8.2 $7.5 12 months endedMay 31 • Additional $813K in FY 2025 operating expenses related to growth in headcount • Net income remained positive at $160K • $1.7M Operating cashflow (before changes in working capital items) Adjusted EBITDA1 ($ millions) FY 2023 FY 2024 FY 2025 0 0.5 1 1.5 2 $1.05 $2.00 $1.73 1 Adjusted BITDA is a non-IFRS financial measure that represents earnings before interest, taxation, depreciation, amortization, and share-based compensation expense.
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  11 Strong balance sheet May2022 May 2023 May 2024 May 2025 0 0.5 1 1.5 2 2.5 3 3.5 4 $0.33 $3.27 $2.35 Long-term debt $3.94 As at May 31, 2025 Cash $2.8 million Working Capital $2.4 million Reduced bank debt by $2M in FY2025 and $3.6M over last 3 years
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  12 Record Q1 orderintake $6.8 $8.2 $7.5 Q1 2024 Q1 2025 Q1 2026 0 3 6 9 12 Q1 ended August 31 $11.3 $3.3 $2.8 • $11.3M is the highest Q1 total in our history • 4X Q1 of last year • $24.3M Order backlog at Sept. 22, 2025 – highest order backlog ever reported 12
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  New strategic initiativesto further scale the business 1. Develop indirect sales channels in North America and Europe 2. Develop & promote standardized equipment packages 3. Establish BEI manufacturing in Europe 4. Leverage our proprietary digital CREST platform across all sales channels Driving increased sales growth and margin improvement 13
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  Develop indirect saleschannels in both NA and EUR • Develop / cultivate networks of Independent Manufacturers’ Representative companies (“IMRs”) to focus on smaller, standardized equipment sales • IMRs have relationships / provide ongoing service to end customers and have a “line card” of complementary products Why? • Opportunity for more sales (of smaller orders) with less investment • IMRs operate on a 100% success-based markup basis • Frees up internal sales team to focus on larger, more strategic opportunities 14
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  Develop & promotestandardized equipment packages • Pre-engineered solutions sold from a line card • Creates more opportunities for smaller projects Why? • Reduces project development time – no bespoke design required • Faster sales cycle – projects quoted and sold directly from CREST survey data • Opens up smaller opportunities ideal for IMRs 15
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  Establish BEI manufacturingin Europe • BEI to supply components for assembly & testing in Europe • Move to contract fabrication shop as orders increase Why? • Largely untapped market for BEI • Shorter lead time and more cost effective 16
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  Leveraging CREST acrossall sales channels Carbon Reduction & Efficiency Scoping Tool • Quickly identifies energy savings and carbon reduction opportunities on site • Catalyst for cross-selling; repeat business • Speeds up overall sales cycle • Reduces time needed for internal sales team and IMRs training and ramp up. 17
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  Summary 18 • Revenue up41% over 2 years • Track record of profitability & solid cash flow • Strong balance sheet • Record Q1 order intake and backlog positions us for strong H2 2026 • Key strategic initiatives for growth: • Develop indirect sales channels • Increase sales of standardized equipment • Expand BEI into Europe • Leverage CREST
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  The Profitable Pathto Net Zero TSX-V: TMG | OTCQB: TMGEF www.thermalenergy.com
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  20 Appendix
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  21 Proven Growth Strategy Leverageexisting high-quality customer base Increase portfolio of complementary products Grow team and global presence Grow organically and through accretive acquisitions
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  22 Acquisition Criteria 1. Accretiveto bottom line 2. Companies with commercialized products with potential revenues between $2M-$20M 3. Companies or products with complementary market positioning or access (i.e TEI products can be marketed through Targetco channels) 4. Products that can be marketed through existing TEI channels
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  23 Estimated U.S. EnergyConsumption in 2023 “Energy efficiency, the world’s first fuel” – IEA • ~2/3rds of the energy is lost due to inefficiency • Energy efficiency can have much greater impact than renewable energy • Reduces emissions & saves money! Our focus: Industrial • ~90% of industrial energy use is thermal • Industrial energy efficiency < 50% • Industrial thermal market is > 2x residential and commercial combined