First-Time Positive Operating Income
SNDL reported positive operating income for the first time in its history, with adjusted operating income reaching $5.8 million, a 226% growth year-over-year.
Cannabis Business Outperformance
The cannabis segment expanded at nearly 3x the rate of the Canadian recreational market, contributing to an overall net revenue increase of 7.3% year-over-year.
Gross Margin Expansion
Gross profit increased by 16.2% year-over-year, with a 210 basis point improvement in gross margin, matching the record high margin of 27.6% from the previous quarter.
Strong Liquor Retail Performance
Liquor Retail segment returned to growth with a 1% year-over-year increase in net revenue, supported by a 7.2% growth in the Wine and Beyond banner.
Robust International Expansion
International sales, particularly in the U.K. and Europe, contributed significantly, with $3.8 million in export revenues for Q2.
Solid Financial Position
SNDL reported no debt and over $200 million in unrestricted cash, positioning the company for potential high-return growth opportunities.