TORONTO, ON–(Marketwired – May 30, 2016) – STT Enviro Corp (“STT” or the “Company”) (TSX VENTURE: STT) today reported financial results for its quarter ended March 31^st, 2016 of approximately $7.2 million of revenue, EBITDA of ($50,920) and net loss after tax of $124,061.

Financial Highlights for the Quarter and Year-to-Date:

David Deacon, Chief Executive Officer, commented, “The Company’s profitability was impacted during the quarter as a result of soft margins in the Tanks & Industrial group — stemming from project issues discussed in our fourth quarter 2015 report — which are improving but are not yet back to normal. We have stabilized the situation and expect margins to show continued improvement over the remainder of the year. Our new order intake for the quarter was $1,921,945. We are seeing signs that the delays we have been experiencing in the award of orders due to general economic conditions and continuing weakness in commodity prices are now starting to abate. This is happening at the same time the Company is getting very close on some equally large industrial projects we expect to see awarded in July and August. We are also bidding on some significant Systems business. At the same time that we are seeing this positive momentum shift, we have some orders in the backlog still on hold, so the net position is not blue sky, but it does looks cautiously optimistic. We expect our backlog to stabilize in the second quarter and improve over the remainder of the year.”

He continued, “There are two positive elements in our future outlook: first, early signs that some of our important traditional markets are recovering and second, opportunities in new market applications. For example, we are tracking a large potential project in cement trans-load — a new market for us where we think we have strong potential to win more projects in both the long term and the very near term. We believe the fundamental value of our Company going forward will be built around a combination of a strong balance sheet, our ability to expand our product continuum by applications into new markets and the fact that some of our traditional markets look like they are now starting to recover. All of this can add considerably to our backlog in the not too distant future and ultimately allow the Company to achieve revenue growth.”

The Company will hold a conference call to discuss the financial results on June 2nd, 2016 at 11:30 am Eastern time. The call-in numbers are (International) + 1 201-689-8054 or (toll free) 877-407-9205.

The financial statements and MD&A are available on SEDAR and have also been posted on the company’s website at http://www.sttenvirocorp.com/investors/financials.

About STT Enviro Corp.

STT Enviro Corp. (TSX VENTURE: STT) supplies cost-effective, incremental, environmental improvements to traditional industrial products. The Company’s two operating groups, STT Enviro Corp Systems & Solutions and STT Enviro Corp Tanks & Industrial, work to reduce their customers’ environmental footprint, cost efficiently.

STT Enviro Corp Systems & Solutions engineers and supplies chemical make-down systems to neutralize pollutants (usually acid water) created in the ore or oil recovery process; and aftermarket services including optimization of chemical use for our customers to lower costs and reduce their carbon footprint.

STT Enviro Corp Tanks & Industrial engineers and supplies bolted tanks with a smaller environmental footprint for both dry and liquid storage applications.

Environmental considerations are prerequisites in modern industrial expansion and STT Enviro Corp. is focused on being a leader and innovator on incremental environmental improvements. The Company’s strategy is to grow organically and, longer term, to acquire companies at prices which are strategically and financially accretive.

For more information, please visit our website at www.sttenvirocorp.com.

Caution Regarding Forward-Looking Information and Non-IFRS Measures

Forward-Looking Information

This news release contains certain forward-looking statements. These statements relate to future events or future performance and reflect management’s current expectations and assumptions regarding the growth, results of operations, performance, and business prospects and opportunities. Such forward-looking statements reflect management’s current beliefs and expectations and are based on information currently available to management of the Company. In particular, statements regarding the future operating results and economic performance are forward-looking statements. Forward-looking statements involve significant risks and uncertainties. A number of factors could cause actual events or results to differ materially from the events and results discussed in the forward-looking statements, including risks outlined under “Risk Factors” in our Annual Information Form, which is posted at www.sedar.com. In evaluating these statements, investors should specifically consider various factors, including such risks as Investment Risk; Business Valuations; Condition of Capital Markets; Dependence on Key Personnel; General Economic Factors; Interest Rate Risk; Competition; and Reliance on Key Suppliers. One or more of these “Risk Factors” could cause actual events or results to differ materially from any forward-looking statement. These factors should not be considered exhaustive. Although the forward-looking statements contained in this press release are based on what management of the Company considers to be reasonable assumptions based on information currently available to them, there can be no assurance that actual events or results will be consistent with these forward-looking statements, and management’s assumptions may prove to be incorrect. These forward-looking statements are made as of the date of this press release, and none of STT nor its directors assume any obligation to update or revise them to reflect new events or circumstances. Undue reliance should not be placed on forward-looking statements.

Non-IFRS Measures

The term “EBITDA” is a financial measure used in this document which is not a standard measure under International Financial Reporting Standards (“IFRS”). The Company’s method of calculating EBITDA may differ from the methods used by other issuers. Therefore, STT’s measure of EBITDA, as presented in this press release, may not be comparable to similar measures presented by other issuers. EBITDA refers to net earnings determined in accordance with IFRS before depreciation, amortization of intangible assets, gain or loss on disposal of property and equipment, interest expense, accretion expense, special charges and recoveries, stock compensation expense and income tax expense. Management believes that EBITDA is a useful supplemental measure of cash available for debt service, working capital, capital expenditures, income taxes, and distribution. Investors are cautioned that EBITDA, as a non-IFRS measure, is not an alternative to measures under IFRS and should not, on its own, be construed as an indicator of performance or cash flows, a measure of liquidity or as a measure of actual return.

The term “backlog” is a financial measure used in this document which is not a standard measure under IFRS. The Company’s method of calculating backlog may differ from the methods used by other issuers. Therefore, STT’s measure of backlog, as presented in this press release, may not be comparable to similar measures presented by other issuers. Backlog is the value of revenue remaining to be earned from purchase orders received from customers. The projects represented in backlog are executed according to a schedule agreed with each customer, which could range in duration from one month to eighteen months. Revenues are earned on a percentage of completion basis. Management uses this measure to i) monitor the Company’s success in securing new orders, and ii) gauge the likelihood of meeting revenue objectives in future periods.

Investors are cautioned that backlog, as a non-IFRS measure, is not an alternative to measures under IFRS and should not, on its own, be construed as an indicator of performance or cash flows, a measure of liquidity or as a measure of actual return.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of this release.

Investor Relations:
Holly Hendershot
Director of Corporate Affairs
STT Enviro Corp
Tel: +1 905-875-5584
Email: [email protected]