​
Q1 2026 vs Q1 2025 Comparable Period Highlights
Gross cannabis revenues before excise taxes increased to $41.8 million in Q1 2026 from $34.9 million in Q1 2025, a $6.9 million or 20% increase driven by deeper penetration in existing markets, the Québec vape launch, and new genetics/product additions;
Total revenues, net of excise taxes, increased to $30.1 million in Q1 2026 from $25.1 million in Q1 2025, a $5.0 million or 20% increase;
Gross profit before fair value adjustments rose to $13.5 million in Q1 2026, up 38% from $9.8 million in Q1 2025, reflecting expanded capacity from activation of the 11th and 12th grow zones in Q3 and Q4 2025 and cultivation enhancements in second half of 2025 that improved yields;
Gross profit percentage before fair value adjustments increased to 45% in Q1 2026 from 39% in Q1 2025;
Operating income was $2.7 million in Q1 2026 compared to $4.2 million in Q1 2025, as higher gross profit was largely offset by a net fair value adjustment of $(2.3) million (vs. $0.4 million in Q1 2025) and slightly higher payroll and sales and marketing expenses as operations expanded;
Income before income taxes was $2.0 million in Q1 2026, down 33% from $3.0 million in Q1 2025, primarily due to higher share-based compensation expense in the quarter;
Net income was $1.0 million in Q1 2026, compared to $2.3 million in Q1 2025 as a result of the non-cash fair value adjustment and additional shared-based compensation expense incurred;
Adjusted EBITDA increased 47% to $8.8 million in Q1 2026 from $6.0 million in Q1 20254;
Operating cash flow was $8.0 million in Q1 2026, compared to $5.8 million in Q1 2025;
Free cash flow was $3.3 million in Q1 2026, down from $4.6 million in Q1 2025, primarily due to capex related to the ongoing Valleyfield construction project4;
Earnings per share were $0.01 in Q1 2026 compared to $0.03 in Q1 2025.