CanadaBis Capital Inc. (the “Company” or “CanadaBis”) (TSXV: CANB), a premium vertically integrated Canadian cannabis company, is pleased to announce another consecutive year of record results for the fiscal year ended July 31, 2023, and the eighth straight quarter generating positive net income. The Company’s Financial Statements and Notes, as well as Management’s Discussion and Analysis (“MD&A”) are available on CanadaBis’ website and filed on SEDAR at www.sedar.com.

This past year was the most successful in the Company’s history, as gross and net revenue, net income and Adjusted EBITDA¹ all meaningfully exceeded results from previous years, and as such, we are proud to report the removal of the Going Concern note from the Company’s financial statements. The continued demonstration of our financial and operating performance supported the removal of the note, and is an indicator of CanadaBis’ ability to successfully execute our business strategy, which we believe translates into value creation for shareholders. With the combination of ongoing sales increases, cost efficiencies and rising demand for new and existing stock keeping units (“SKUs”), CanadaBis sold over 1.7 million units of combined concentrate and dry flower during the year ended July 31, 2023, representing growth of more than 112% relative to the 800,000 units sold in 2022.

“I am thrilled to share the Company’s positive results for the quarter and year end July 31, 2023, as we delivered efficient operational execution and prudent financial management while successfully growing sales and gross profit, boosting net income, and increasing Adjusted EBITDA¹, all while enhancing our long-term sustainability with the removal of the Going Concern note in our financial statements,” said Travis McIntyre, CEO of CanadaBis. “Our value-oriented mindset and robust offering of multiple in-demand brands under the Stigma Grow umbrella provide a clear field of play where the Company’s unique capabilities offer a distinct consumer-centric value proposition. Through fiscal 2024, CanadaBis will remain focused on capturing further market share, increasing unit sales and enhancing cost efficiencies, all of which we believe will support continued generation of positive results and value for our shareholders.”

FOURTH QUARTER AND YEAR END 2023 HIGHLIGHTS

• Revenue Continues to Set Records – Gross revenue for the full year was the highest in CanadaBis’ history, totaling $34.6 million, more than double the gross revenue in 2022, driven by steady growth and continued demand for newly launched and existing SKUs.
• Positive Net Income and Earnings per Share – Net income continued its positive trajectory, totaling $4.4 million in fiscal 2023 or 631% higher than in 2022, and was positive for the eighth straight quarter in a row at $1.2 million in Q4/23, 159% higher than Q4/22. Earnings per share totaled $0.03 in fiscal 2023, and $0.01 in Q4/23, compared to nil for the same respective periods in 2022.
• Expanding Adjusted EBITDA¹ – Adjusted EBITDA¹ was also a record result, totaling $5.8 million for the year ended July 31, 2023, and $1.7 million for fourth quarter, increases of 238% and 161%, respectively.
• Two Key Financial Milestones Realized – For the first time in our history, CanadaBis removed the Going Concern note from our 2023 financial statements, aligning with the Company’s improved financial performance and stability. As a result of this improved fiscal strength, CanadaBis recorded our inaugural current income tax expense of $119,228 for the 2023 fiscal year, a testament to the ongoing success of our business.
• New Products Underpin Growing Sales – During fiscal 2023, our newest and first-of-its-kind product line, Super Slim Cigarette Style Pre-Rolls, the “Electric Dartz” was brought to market. Since launch, the Electric Dartz product has been well received across the provinces with new flavours unveiled in the previous quarter contributing to growth and record sales in Alberta, British Columbia, Manitoba, Saskatchewan, and Ontario. These new products were packaged in ten packs of 0.4 grams per roll, both infused and non-infused. Previously, we rolled out similar products in packages of three, 0.5 grams per pre-roll format, while the Moonrock and Resin infused Flower format were available in 2-gram packages.
• Brand Loyalty and Innovation – The financial results for 2023 are indicative of our increased brand awareness, the launch of the High Priestess brand, and Stigma Grow’s deep innovation pipeline that supports consistent launches of new SKU’s and products driven by customer demand. In addition, the continued growth in our Dab Bod products, including the launch of multiple new SKUs under the Dab Bod Brand, offers an excellent foundation with a loyal market following.
• Cost Control Remains a Focus – CanadaBis has continued to manage our input expenses through negotiation with multiple suppliers to capture cost savings while increasing concentrate yields. While this drove a meaningful reduction in costs through 2023, we anticipate seeing a continuation of this trend into 2024 as more cultivators reposition themselves in the industry.

ANNUAL  HIGHLIGHTS ( FISCAL YEAR END 2023)

OUTLOOK

In light of the consistent and strong performance achieved throughout fiscal 2023, highlighted by remarkable growth in gross and net revenue, net income, Adjusted EBITDA[1], and successful cost management, CanadaBis has concluded fiscal 2023 with record-breaking results. Our commitment to executing the Company’s strategic vision has established a foundation for growth that demonstrates our proven ability to sustain momentum. Going forward, our primary focus will remain on the continued expansion of our customer base and diversification of our product offerings. As a vertically integrated cannabis company, CanadaBis will remain sufficiently nimble and agile to respond effectively to external factors, such as fluctuations in selling prices, input costs, or evolving customer demand, all while maintaining a disciplined approach to capital management.

By leveraging our extensive brand portfolio, enhanced brand recognition, unique product offerings, and strategic allocation of resources, we plan to further cultivate innovative brands and introduce new products that align with evolving customer preferences. We are pleased with the growth achieved in market presence in provinces like Alberta, Ontario, and British Columbia. Our focus on boosting sales of resin and shatter-infused pre-rolls, moonrocks, Dab Bod, and High Priestess products positions us to capture an even greater market share.

As we shift our focus towards fiscal 2024, CanadaBis remains steadfast in its commitment to achieving continued success, pushing boundaries, and delivering sustainable shareholder value. The Company is strategically equipped for substantial growth and product diversification, driven by innovative cultivation techniques, effective market penetration strategies, and an unwavering dedication to product quality. Our strategic path remains clear: we will actively pursue growth opportunities, remain responsive to the evolving cannabis market, and continue to set new benchmarks for excellence in our operations. The outlook for CanadaBis is not just promising; it is a testament to the resilience, creativity, and collaborative strength of our Company. We extend our sincere gratitude to all shareholders and key stakeholders for your unwavering support.

High Tide Inc. (“High Tide” or the “Company“) (Nasdaq: HITI) (TSXV: HITI) (FSE: 2LYA), the high-impact, retail-forward enterprise built to deliver real-world value across every component of cannabis, announced today that its Canna Cabana retail cannabis store located at  481 River Avenue, Winnipeg, Manitoba will begin selling recreational cannabis products and consumption accessories for adult use on Friday, December 1, 2023. This opening will mark High Tide’s 159th Canna Cabana branded retail cannabis location in Canada, the 11th in Manitoba, and the 6th store in Winnipeg, the capital city of the province.

Located in one of the most desirable communities in Winnipeg, Osborne Village, this new Canna Cabana location is anchored by a national grocery store chain, a provincially run liquor store, and a major Canadian pharmacy retailer. The Village is across the Assiniboine River from the Manitoba Legislature and is one of the highest-density neighbourhoods in the city. Besides these strong national and provincial anchors, this new location will enjoy additional customer traffic visiting the various restaurants as well as numerous other retail businesses in the area.

“I am pleased to announce this brand new Canna Cabana location in Osborne Village, one of the highest-density neighbourhoods in Winnipeg. Becoming meaningfully cash flow positive prior to the end of this calendar year has opened up space for us to hit the gas pedal again on new organic store openings across the country. Staying the course with our premier site selection strategy, I am very excited about the launch of this excellent Canna Cabana location,” said Raj Grover, Founder and Chief Executive Officer of High Tide.

“The province of Manitoba has become even more attractive to do business in as it moved in the right direction to support the cannabis industry by repealing the 6% SRF. With several exciting stores in the announcement pipeline, we are on track to end 2023 with a number of solid additions to our retail portfolio,” added Mr. Grover.

Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF) (“Trulieve” or “the Company”), a leading and top-performing cannabis company in the U.S., today announced its results for the quarter ended September 30, 2023. Results are reported in U.S. dollars and in accordance with U.S. Generally Accepted Accounting Principles unless otherwise indicated. Numbers may not sum perfectly due to rounding.

Q3 2023 Financial and Operational Highlights*

• Revenue of $275 million, with 96% of revenue from retail sales.
• Achieved GAAP gross margin of 52%, with gross profit of $143 million.
• SG&A expenses lowered by $2 million sequentially to $94 million.
• Reported net loss of $25 million. Adjusted net loss of $15 million* excludes non-recurring charges, disposals and discontinued operations.
• Achieved EBITDA of $74 million*, or 27% of revenue and adjusted EBITDA of $78 million*, or 28% of revenue.
• Purchased $57 million face value senior secured 2026 notes for USD $47.6 million in September, which represents a 16.5% discount to par, plus accrued interest.
• Cash as of September 30, 2023 of approximately $200 million.
• Generated cash flow from operations of $93 million and free cash flow of $87 million in the third quarter. Anticipate 2023 cash flow from operations of at least $100 million and free cash flow generation of at least $70 million.
• Realized 235% increase in Maryland traffic in Q3 compared to Q2 following the launch of adult-use sales at our three dispensaries.
• Opened five new dispensaries in Pace and Sanford, FL, Evans and Pooler, GA, and Columbus, OH and relocated one dispensary in Kissimmee, FL.
• Ended the quarter with 32% of retail locations outside of the state of Florida.

*See “Non-GAAP Financial Measures” below for additional information and a reconciliation to GAAP for all Non-GAAP metrics.

Recent Developments

• Announced redemption of $130 million of senior secured notes due June 18, 2024 with redemption date of December 1, 2023.
• Filed amended federal tax returns for 2019, 2020, and 2021 claiming a $143 million refund from taxes paid.
• On November 8, 2023, the Florida Supreme Court heard oral arguments regarding the Smart and Safe Florida ballot initiative for adult use. The court is expected to rule prior to April 2024.
• Launched distribution through independent pharmacies in Georgia.
• Added retail locations in Apollo Beach and Marianna, FL and relocated one dispensary in Melbourne, FL.
• Currently operate 190 retail dispensaries and over 4 million square feet of cultivation and processing capacity in the United States.

Management Commentary
“This year our team has done a phenomenal job executing on our plan to generate cash while making investments to support future growth,” said Kim Rivers, Trulieve CEO. “As demonstrated this quarter, Trulieve remains aligned with our shareholders, and is committed to strengthening our balance sheet with non-dilutive measures. With significant scale and service, strong cash generation, and a clearly defined strategy, Trulieve is best positioned for the coming wave of meaningful growth catalysts.”

Financial Highlights* 

Conference Call
The Company will host a conference call and live audio webcast on November 9, 2023, at 8:30 A.M. Eastern time, to discuss its third quarter 2023 financial results. Interested parties can join the conference call by dialing in as directed below. Please dial in 15 minutes prior to the call.

A live audio webcast of the conference call will be available at:
https://app.webinar.net/RXq1eDnkyL2

A powerpoint presentation and archived replay of the webcast will be available at:
https://investors.trulieve.com/events

The Company’s Form 10-Q for the quarter ended September 30, 2023, will be available on the SEC’s website or at https://investors.trulieve.com/quarterly-results. The Company’s Management Discussion and Analysis for the period and the accompanying financial statements and notes will be available under the Company’s profile on SEDAR and on its website at https://investors.trulieve.com/quarterly-results. This news release is not in any way a substitute for reading those financial statements, including the notes to the financial statements.

Non-GAAP Financial Measures
In addition to our results determined in accordance with GAAP, we supplement our results with non-GAAP financial measures, including adjusted EBITDA, adjusted net loss (income), adjusted net income (loss) per diluted share and free cash flow. Our management uses these non-GAAP financial measures in conjunction with GAAP financial measures to evaluate our operating results and financial performance. We believe these measures are useful to investors as they are widely used measures of performance and can facilitate comparison to other companies. These non-GAAP financial measures are not, and should not be considered as, measures of liquidity. These non-GAAP financial measures have limitations as analytical tools in that they do not reflect all of the amounts associated with our results of operations as determined in accordance with GAAP. Because of these limitations, these non-GAAP financial measures should be considered along with GAAP financial performance measures. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures. A reconciliation of the non-GAAP financial measures to such GAAP measures can be found below. These non-GAAP financial measures should be considered supplemental to, and not a substitute for, our reported financial results prepared in accordance with GAAP.

Reconciliation of Non-GAAP Adjusted EBITDA
The following table presents a reconciliation of GAAP net loss to non-GAAP Adjusted EBITDA, for each of the periods presented:

Reconciliation of Non-GAAP Adjusted Net Income (Loss)
The following table presents a reconciliation of GAAP net loss to non-GAAP adjusted net loss, for each of the periods presented:

Reconciliation of Non-GAAP Adjusted Earnings (Loss) Per Share
The following table presents a reconciliation of GAAP loss per share to non-GAAP adjusted earnings per share, for each of the periods presented:

Reconciliation of Non-GAAP Free Cash Flow
The following table presents a reconciliation of GAAP cash flow from operating activities to non-GAAP free cash flow, for each of the periods presented:

Forward-Looking Statements
This news release includes forward-looking information and statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to the Company’s expectations or forecasts of business, operations, financial performance, prospects, and other plans, intentions, expectations, estimates, and beliefs and include statements regarding the Company’s growth opportunities and the Company’s positioning for the future. Words such as “expects”, “continue”, “will”, “anticipates” and “intends” or similar expressions are intended to identify forward-looking statements. These forward-looking statements are based on the Company’s current projections and expectations about future events and financial trends that management believes might affect its financial condition, results of operations, business strategy and financial needs, and on certain assumptions and analysis made by the Company in light of the experience and perception of historical trends, current conditions and expected future developments and other factors management believes are appropriate. Forward-looking information and statements involve and are subject to assumptions and known and unknown risks, uncertainties, and other factors which may cause actual events, results, performance, or achievements of the Company to be materially different from future events, results, performance, and achievements expressed or implied by forward-looking information and statements herein, including, without limitation, the risks discussed under the heading “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2022 and in our periodic reports subsequently filed with the United Sates Securities and Exchange Commission and in the Company’s filings on SEDAR at www.sedar.com. Although the Company believes that any forward-looking information and statements herein are reasonable, in light of the use of assumptions and the significant risks and uncertainties inherent in such information and statements, there can be no assurance that any such forward-looking information and statements will prove to be accurate, and accordingly readers are advised to rely on their own evaluation of such risks and uncertainties and should not place undue reliance upon such forward-looking information and statements. Any forward-looking information and statements herein are made as of the date hereof and, except as required by applicable laws, the Company assumes no obligation and disclaims any intention to update or revise any forward-looking information and statements herein or to update the reasons that actual events or results could or do differ from those projected in any forward looking information and statements herein, whether as a result of new information, future events or results, or otherwise.