{"url":"https://newsforagent.com/news/2026-11-11/baylin-technologies-q3-revenue-kaelus-covenant","markdown_url":"https://newsforagent.com/news/2026-11-11/baylin-technologies-q3-revenue-kaelus-covenant.md","title":"Baylin Technologies Q3 2026 revenue jumps to $35.3 million","headline":"Baylin Technologies posts $35.3 million Q3 revenue as Kaelus lifts sales and lender waives covenant","description":"Baylin Technologies reported $35.3 million in third-quarter 2026 revenue, up 110.7%, as its lender waived an EBITDA covenant and Kaelus payments were restricted.","section":"Earnings & Results","published_at":"2026-11-11T02:12:23+00:00","modified_at":"2026-11-11T02:12:23+00:00","author":"News Desk","key_takeaways":["Baylin Technologies reported third-quarter 2026 revenue of $35.3 million, up 110.7% from $16.8 million a year earlier.","The company's lender waived a failed minimum EBITDA covenant for the second and third quarters of 2026 combined.","Baylin is prohibited from making Kaelus deferred purchase price payments of about $10.6 million due November 15, 2026 and $2.7 million due December 15, 2026."],"companies":[{"name":"Baylin Technologies","is_primary":true,"profile_url":"https://akta.pro/company-profiles/00038tt/baylin-technologies","website":"http://baylintech.com"},{"name":"SAF Group","is_primary":false,"profile_url":"https://akta.pro/company-profiles/000bsq5/saf-group","website":"https://safgroup.ca"}],"source":{"publisher":"Newswire","title":"Baylin announces $35.3 million in revenue for the third quarter of 2026 as compared to $16.8 million for the same period in 2025","url":"https://www.newswire.ca/news-releases/baylin-announces-35-3-million-in-revenue-for-the-third-quarter-of-2026-as-compared-to-16-8-million-for-the-same-period-in-2025-824542389.html"},"other_sources":[],"tags":["Earnings & Results","Baylin Technologies","SAF Group"],"body_markdown":"[Baylin Technologies](https://akta.pro/company-profiles/00038tt/baylin-technologies) reported third-quarter 2026 revenue of $35.3 million, up 110.7% from $16.8 million a year earlier, according to [Newswire](https://www.newswire.ca/news-releases/baylin-announces-35-3-million-in-revenue-for-the-third-quarter-of-2026-as-compared-to-16-8-million-for-the-same-period-in-2025-824542389.html). The Toronto-based wireless technology company said the increase came mainly from a full quarter of revenue from the Kaelus business line.\n\n## Baylin's Kaelus Quarter and Covenant Waiver\n\nBaylin Technologies designs cellular radio frequency products, custom antennas and satellite communications products through Galtronics, Advantech Wireless and Kaelus AB, according to [company records](https://akta.pro/company-data). Gross profit rose to $12.2 million from $7.3 million, while gross margin fell to 34.6% from 43.4%. Adjusted EBITDA was $0.7 million compared with $0.6 million, and the net loss narrowed to $0.7 million from $1.1 million.\n\nOn May 15, 2026, Baylin entered a credit agreement with Luis LP, an entity established by Calgary private credit lender [SAF Group](https://akta.pro/company-profiles/000bsq5/saf-group), for a non-revolving term facility of up to $30.9 million. After September 30, 2026, the company failed to meet the minimum lender-defined EBITDA covenant for the second and third quarters of 2026 combined. On November 10, 2026, Baylin and the lender signed the First Amending Agreement, under which the lender waived that failure. The waiver does not cover future covenant tests, including the fourth quarter of 2026 tests.\n\nUnder the credit agreement, Baylin is prohibited from making Kaelus deferred purchase price payments of approximately $10.6 million due November 15, 2026 and $2.7 million due December 15, 2026, and is uncertain whether it will be allowed to make the final instalment of $7.3 million due March 27, 2027. Interest on part of the Kaelus Payments accrues at 5% per annum from closing until paid. If a guaranteed Kaelus Payment is not made when due, former Kaelus shareholders may make written demand under the guarantee against 2385796 Ontario Inc., a corporation controlled by Mr. Royer.\n\n## Baylin's Backlog and Debt Figures\n\nBaylin completed its acquisition of Sweden-based Kaelus AB in May 2026 for approximately C$42 million, funded through a C$26 million cash component, 52 million shares, a C$30.9 million SAF Group term facility and a C$10.3 million subscription receipt offering, according to akta.pro company records. Backlog stood at $50.9 million at September 30, 2026, compared with $20.4 million at December 31, 2025, and net debt was $12.7 million against $12.4 million at the end of 2025.\n\n## Baylin's Record Backlog Before Q3\n\nIn August 2026, Baylin reported a record firm purchase-order backlog of C$61 million following the Kaelus acquisition and increased satellite communications sales, [Yahoo](https://akta.pro/news-signals) reported. The company completed the Kaelus acquisition on May 29 for a net purchase price of CAD 42 million, Markets Daily reported the same month. Baylin reported second-quarter 2026 revenue of $22 million, down 1.9% year over year, with a net loss of $3.2 million, Yahoo reported.\n\n## Baylin's November 11 Call and Withdrawn Outlook\n\nBaylin withdrew its fiscal 2026 financial outlook, most recently provided on August 5, 2026, and is not providing replacement quantitative guidance. The company will hold an investor conference call on November 11, 2026 at 10:00 a.m. ET, hosted by Chief Executive Officer Leighton Carroll and Chief Financial Officer Cliff Gary.\n","publisher":{"name":"News for Agent","url":"https://newsforagent.com"}}