June 30, 2026

Condensed Interim Statement of Financial Position 
(Unaudited)

(In thousands of Canadian dollars)June 30, 2026March 31, 2026
Assets  
Current assets  
Cash$                  15,487$                  18,096
Trade and other receivables (note 4)145,785155,959
Inventories21,28121,420
Prepaids9,60611,612
Derivative financial assets34175
 192,500207,162
Non-current assets  
Property and equipment (note 5)407,250413,509
Intangible assets (note 6)12,55412,930
Right-of-use assets (note 7)19,53313,325
Employee benefits asset (note 8)122,66398,841
 562,000538,605
Total assets$                754,500$                745,767
Liabilities and Equity  
Current liabilities  
Trade and other payables $                162,943$                176,287
Holdbacks 922835
Lease liabilities (note 7)2,8943,178
Deferred operating funding (note 10)30,88733,032
Deferred revenue - other screening services3,503-
 201,149213,332
Non-current liabilities  
Lease liabilities (note 7)19,10612,506
Deferred capital funding (note 10)411,904418,406
Employee benefits liability (note 8)23,05522,203
Deferred revenue - other screening services6,1306,032
 460,195459,147
Equity  
Accumulated surplus93,15673,288
Total liabilities and equity$                754,500$                745,767

Contingencies (note 9) and contractual commitments (note 13)
The accompanying notes are an integral part of these condensed interim financial statements.

Condensed Interim Statement of Comprehensive Income (Loss)
(Unaudited)

(In thousands of Canadian dollars)Three Months Ended June 30
 20262025
Expenses  
Pre-Board Screening $            181,493$            175,060
Hold Baggage Screening50,50546,250
Non-Passenger Screening45,24541,103
Restricted Area Identity Card Program1,0741,067
Corporate services14,47615,032
Total expenses (note 11)292,793278,512
Other (income) expenses  
Finance costs156169
Foreign exchange loss (gain)48(219)
Write-off of property and equipment and intangible assets1-
Net (gain) loss on fair value of derivative financial instruments(266)1,481
Total other (income) expenses(61)1,431
Financial performance before revenue and government funding292,732279,943
Revenue  
Other screening services521-
Finance income469735
Miscellaneous income-18
Total revenue990753
Government funding for  
Operating expenses274,014259,858
Amortization of deferred capital expenditures13,49113,008
Lease payments979978
Total government funding (note 10)288,484273,844
Financial performance$               (3,258)$               (5,346)
Other comprehensive income  
Item that will not be reclassified to financial performance  
Remeasurement of defined benefit plans (note 8)23,1269,893
Total comprehensive income$              19,868$                4,547

The accompanying notes are an integral part of these condensed interim financial statements.

Condensed Interim Statement of Changes in Equity
(Unaudited)

For the three months ended June 30:

(In thousands of Canadian dollars)Accumulated surplus
Balance, March 31, 2026$                  73,288
Financial performance (3,258)
Remeasurement of defined benefit plans (note 8) 23,126
Balance, June 30, 2026$                  93,156
Balance, March 31, 2025$                  41,257
Financial performance(5,346)
Remeasurement of defined benefit plans (note 8)9,893
Balance, June 30, 2025$                  45,804

The accompanying notes are an integral part of these condensed interim financial statements.

Condensed Interim Statement of Cash Flows
(Unaudited)

(In thousands of Canadian dollars)Three Months Ended June 30
 20262025
Cash flows provided by (used in)  
Operating activities  
Financial performance$                  (3,258)$                  (5,346)
Items not involving cash  
Depreciation and amortization (note 11)14,41213,870
Change in net employee benefits asset/liability 1561,108
Other non-cash transactions 42-
Write-off of property and equipment and intangible assets1-
Net (gain) loss on fair value of derivative financial instruments(266)1,481
Amortization of deferred capital funding (note 10)(13,491)(13,008)
Net change in working capital balances (note 15)1,058(79,549)
 (1,346)(81,444)
Investing activities   
Government funding received for capital expenditures 16,52115,022
Purchase of property and equipment and intangible assets(16,960)(13,230)
 (439)1,792
Financing activities   
Lease principal payments(824)(823)
 (824)(823)
Decrease in cash (2,609)(80,475)
Cash, beginning of period 18,096102,215
Cash, end of period $                  15,487$                  21,740

The accompanying notes are an integral part of these condensed interim financial statements.