Vecima Reports Q3 Fiscal 2020 Results and Provides COVID-19 Business Update

▤ Summary

“We delivered a very strong quarter while navigating the COVID-19 pandemic, and I want to thank all of our employees for helping us to fulfill our essential role in the telecommunications supply chain through these unprecedented times,” said Sumit Kumar, Vecima Network’s President and CEO. We have quickly adapted our ways of doing business so that we can protect the health and safety of our teams while responding to this growing demand.” “More than 80% of our workforce is now working from home, and we have implemented strict practices and protocols for the small number of employees whose presence is required on site to perform their job functions. “As we enter the fourth quarter, the industry’s overall plan of record to move to DAA and IPTV, together with the current climate of unprecedented consumer demands on networks, are translating into opportunities aligned with Vecima’s strategic product offerings. Forward-looking information in this news release includes the following statements: We delivered a very strong quarter while navigating the COVID-19 pandemic; around the globe, social distancing and stay-at-home mandates related to the COVID-19 situation are driving incredible utilization across our customers’ cable and IPTV networks; this, in turn, has driven increased need for the solutions we provide to bring additional capacity to our customers’ networks; third quarter 2020 results reflect the accelerating demand for Vecima’s solutions; Vecima remains on track to deliver 20% or better growth in Content Delivery and Storage sales in fiscal 2020; Vecima’s next generation Entra family of products continued to gain momentum; demand for legacy products in this segment is generally tailing off as customers move to next-generation platforms; the industry’s overall plan of record to move to DAA and IPTV, together with the current climate of unprecedented consumer demands on networks, are translating into opportunities aligned with Vecima’s strategic product offerings; working with our blue-chip customers, we are progressing field and lab trials of our next generation family of Entra and MediaScaleX products to respond; longer term it is difficult to predict what the full economic, supply chain and network development impacts of the COVID-19 pandemic will be given the evolving and uncertain nature of this crisis; with product offerings that respond to essential communication needs and our very strong financial position, we believe we are well positioned to manage the challenges of the COVID-19 business environment in the months ahead. A more complete discussion of the risks and uncertainties facing Vecima is disclosed under the heading “Risk Factors” in the Company’s Annual Information Form dated September 26, 2019, as well as the Company’s continuous disclosure filings with Canadian securities regulatory authorities available at www.sedar.com.

▦ Linked Companies

Vecima Networks, Inc.

$50M to $100M