Consolidated Revenue Growth
Net revenue of $94.2M in fiscal Q3 (period ended Dec 31, 2025), up 7% year-over-year, driven by record global medical cannabis performance.
Strong Medical Cannabis Performance
Global medical cannabis revenue of $76.2M, up 12% YoY, with international medical cannabis up 17%; medical cannabis represented 81% of net revenue (versus 77% prior year) and ~95% of adjusted gross profit.
High and Improving Margins
Consolidated adjusted gross margin improved 100 basis points to 62%; medical cannabis adjusted gross margin held at 69%, supporting adjusted gross profit of $55.6M (up 6% YoY).
Profitability and Cash Generation
Adjusted EBITDA of $18.5M and adjusted net income of $7.2M in Q3; positive free cash flow of $15.5M; cash, cash equivalents and short-term investments totaled $154M and the company reported no cannabis business-related debt.
Global Commercial Execution and Regulatory Positioning
Market leadership across key international markets: #1 in Poland (2025), #2 share in Australia, continued share gains in Germany; ~90% of annual manufacturing capacity produced in European and TGA GMP-certified facilities; three Canadian facilities received renewed GMP certification for three years.
Strategic Actions to Improve Focus and Capital Flexibility
Announced selective exit from lower-margin Canadian consumer cannabis markets and divestiture of controlling stake in plant propagation (Bevo) to reallocate high-quality flower and resources to higher-margin global medical cannabis; filed $100M at-the-market (ATM) equity program to fund accretive initiatives including cultivation capacity and M&A.
Full-Year Outlook Indicates Growth
Annual global medical cannabis net revenue guidance of $269M–$281M (expected 10%–15% growth) and consolidated adjusted EBITDA guidance of $52M–$57M (expected 5%–10% growth), with management expecting margins to remain strong driven by sales mix and operational efficiencies.