What you need to know: • NTG is a high-growth IT services and software company, providing solutions to large enterprise clients in Saudi Arabia. • The Company provides direct exposure to the economic growth of Saudi Arabia which is investing US$1.3T in its Vision 2030 plan. • NTG has seen margins dip in 2025 due to expanding its workforce, however, we expect margin expansion going forward. • The stock has pulled back 63% off its highs, now trading at 3.7x 2026E EBITDA, making for a strong entry point. NTG Clarity Networks (NCI:TSXV, NYWKF:OTCPK) is a provider of software, networking, and IT solutions to large enterprise clients, mainly in Saudi Arabia. The Company offers investors rapid revenue growth and increasing margins as it has scaled its workforce. The valuation is extremely compelling in our view for a company of its quality. We are initiating coverage on NTG Clarity Networks with a BUY rating and a $2.50/share target price. Investment Thesis Summary Excellent Revenue Growth Rates. NTG has posted a three-year revenue CAGR of >60% and we expect 19% growth in 2026. The Company has seen a significant number of contract wins over the last year with increasing size and length, positioning NTG for long-term growth ahead. Just one year ago, contract announcements were in the $2-4M range, but are now consistently above $10M. Exposure to Saudi Arabia’s Vision 2030. Saudi Arabia has transitioned from an oil-reliant and underdeveloped nation to a rising global investment powerhouse, following its Vision 2030 goals, which involves US$1.3T in investments. NTG is deeply entrenched in the Saudi ecosystem with trusted relationships, providing exposure to this growing economy. Margin Decline Justified by New Hiring. In 2025, NTG expanded its workforce to 1,300 professionals, scaling ahead of expected demand. We expect slight margin improvement in 2026 as NTG continues to prioritize growth investments but starts to see more operating leverage. Balance Sheet Improvement. NTG’s balance sheet has improved tremendously over the years, with its current ratio increasing from lows of 0.6 in Q2/23 to 3.1 in its most recent quarter. The Company has $30.6M in receivables, which we expect it to collect over the coming quarters, improving the balance sheet further. Management & Ownership. NCI is led by its Founder and CEO, Ashraf Zaghloul, who brings over 45 years of experience across IT and communications. Management and board collectively own 36%, aligning incentives. Valuation. NTG trades at 3.7x/2.8x 2026E/2027E, a major discount to its peers at 6.5x/5.9x. NTG has the leading growth rate in the group, with a 42% CAGR from 2023 to 2027, compared to the group average of 5%. We believe if this can continue and margins follow, the stock will re-rate or the Company will be acquired.