Canadian Halal Investor.

TSX Shariah screener · September 2026

Is Quarterhill Inc (QTRH) Halal?

PASS

Quarterhill Inc · TSX: QTRH · Technology

The short answer

Quarterhill Inc (QTRH) is a PASS. The business gate passes: its sole operating segment is Intelligent Transportation Systems - tolling systems and back-office, commercial vehicle screening and enforcement, and traffic-data collection - with no disclosed prohibited lines. The debt gate passes: about US$70.7M of long-term debt, convertible debentures and lease liabilities at June 30, 2026 (about C$100.2M at the September 30, 2026 USD/CAD rate of 1.4183) is roughly 23.7% of the ~C$422.3M market cap (C$2.97, September 30, 2026, on about 142.2M shares after the September bought-deal financing), against a ~33% ceiling. The income gate passes: finance income of US$49k for the six months ended June 30, 2026 is about 0.06% of US$81.1M revenue, under the ~5% ceiling. No public Zoya, Musaffa or ShariaPortfolio rating for QTRH was found as of September 2026. As with every screener here, this is a rules-based screening of published figures, not a religious ruling - consult a qualified scholar for personal guidance.

Gate 1 — Business activity: PASS

Quarterhill Inc. is a Toronto-based company focused on the intelligent transportation systems (ITS) industry: it acquires, manages and grows companies that provide tolling and mobility systems and solutions. Its sole reported operating segment is ITS - tolling systems and back-office software, commercial vehicle screening and enforcement, and traffic-data collection - with about 88% of Q2 2026 revenue coming from the United States and the rest from Canada, Thailand, Germany, Korea, Belgium, France and Chile. On June 30, 2026 it signed a definitive agreement to acquire Conduent's tolling solutions business for US$70M cash plus about 7% of Quarterhill shares, expected to close in Q4 2026 - also tolling/ITS, with no new prohibited exposure. There are no disclosed alcohol, tobacco, gambling, conventional finance or insurance, pork, adult entertainment, weapons or cannabis lines. The business-activity gate passes. Facts only, no fatwa.

Gate 2 — Debt: PASS

The Q2 2026 interim statements (June 30, 2026, all figures in US dollars) show a current portion of long-term debt of US$563k, long-term debt of US$26,248k (a new secured term loan drawn in Q2 2026 that repaid US$13,245k of old debt), convertible debentures of US$39,790k (C$57.5M issue, 6% coupon, maturing October 30, 2026, TSX: QTRH.DB) and lease liabilities of US$4,072k - about US$70.7M of total debt - against cash and cash equivalents of US$26.2M. At the September 30, 2026 USD/CAD rate of 1.4183, debt is about C$100.2M. Against a market capitalization of about C$422.3M (C$2.97, September 30, 2026, on about 142.2M shares after the September bought-deal financing of 14,113,000 shares at C$2.48), the debt-to-market-cap ratio is roughly 23.7% - against a ~33% ceiling. On the pre-offer share count of 121.3M (C$360.4M market cap), the ratio is about 27.8%, also under the ceiling.

Gate 3 — Non-compliant income: PASS

Quarterhill's income statement reports a "Finance income" line - the interest-income proxy; the interest-rate-risk note confirms its cash is placed on short-term deposits with chartered banks so that it earns interest. Finance income was US$49k for the six months ended June 30, 2026 against revenue of US$81.125M - about 0.06% of revenue, far under the ~5% ceiling (Q2 2026 alone: US$9k against US$42.511M revenue, about 0.02%). No separate "interest income" line is disclosed. So the non-compliant income gate passes.

Key figures used

Frequently asked questions

Is Quarterhill Inc (QTRH) halal?

Our September 2026 screen gives Quarterhill Inc. (TSX: QTRH) a PASS. The business gate passes: its sole operating segment is Intelligent Transportation Systems - tolling systems and back-office, commercial vehicle screening and enforcement, and traffic-data collection - with no disclosed prohibited lines. The debt gate passes: about US$70.7M of long-term debt, convertible debentures and lease liabilities at June 30, 2026 (about C$100.2M at the September 30, 2026 USD/CAD rate of 1.4183) is roughly 23.7% of the ~C$422.3M market cap (C$2.97, September 30, 2026, on about 142.2M shares after the September bought-deal financing), against a ~33% ceiling. The income gate passes: finance income of US$49k for the six months ended June 30, 2026 is about 0.06% of US$81.1M revenue, under the ~5% ceiling. No public Zoya, Musaffa or ShariaPortfolio rating for QTRH was found as of September 2026. This is a rules-based screening of published figures, not a religious ruling.

What business is Quarterhill in?

Quarterhill Inc. is a Toronto-based company focused on the intelligent transportation systems (ITS) industry: it acquires, manages and grows companies that provide tolling and mobility systems and solutions. Its sole reported operating segment is ITS - tolling systems and back-office software, commercial vehicle screening and enforcement, and traffic-data collection - with about 88% of Q2 2026 revenue coming from the United States and the rest from Canada, Thailand, Germany, Korea, Belgium, France and Chile. On June 30, 2026 it signed a definitive agreement to acquire Conduent's tolling solutions business for US$70M cash plus about 7% of Quarterhill shares, expected to close in Q4 2026 - also tolling/ITS, with no new prohibited exposure. There are no disclosed alcohol, tobacco, gambling, conventional finance or insurance, pork, adult entertainment, weapons or cannabis lines, so the business-activity gate passes under this screen's AAOIFI-style criteria.

How leveraged is Quarterhill on the debt gate?

Comfortably under the ceiling. The Q2 2026 interim statements (June 30, 2026, all figures in US dollars) show a current portion of long-term debt of US$563k, long-term debt of US$26,248k (a new secured term loan drawn in Q2 2026 that repaid US$13,245k of old debt), convertible debentures of US$39,790k (C$57.5M issue, 6% coupon, maturing October 30, 2026, TSX: QTRH.DB) and lease liabilities of US$4,072k - about US$70.7M of total debt - against cash and cash equivalents of US$26.2M. At the September 30, 2026 USD/CAD rate of 1.4183, debt is about C$100.2M. Against a market capitalization of about C$422.3M (C$2.97, September 30, 2026, on about 142.2M shares after the September bought-deal financing of 14,113,000 shares at C$2.48), the debt-to-market-cap ratio is roughly 23.7% versus a ~33% ceiling - and about 27.8% on the pre-offer share count of 121.3M, also under the ceiling.

How much interest income does Quarterhill earn?

Very little. Quarterhill's income statement reports a "Finance income" line - the interest-income proxy; the interest-rate-risk note confirms its cash is placed on short-term deposits with chartered banks so that it earns interest. Finance income was US$49k for the six months ended June 30, 2026 against revenue of US$81.125M - about 0.06% of revenue, far under the ~5% ceiling (Q2 2026 alone: US$9k against US$42.511M revenue, about 0.02%). No separate "interest income" line is disclosed. So the non-compliant income gate passes.

What do Zoya, Musaffa or ShariaPortfolio say about QTRH?

No public Zoya, Musaffa or ShariaPortfolio rating for QTRH (TSX) was found as of September 2026, so this screen relies entirely on the company's published financial statements and disclosures. Other Canadian technology names on this site - D2L, Thinkific Labs, Enghouse Systems, TECSYS, Coveo and VitalHub - are screened on the same business, debt and income basis.

Sources

Screened September 30, 2026 from published company figures and market data. Figures change; this page is educational, not financial advice and not a religious ruling.