💸 The Tape

Organigram Global opened fiscal 2026 with a statement quarter: bigger, more profitable, and increasingly global—while still very much in control of the Canadian core.

For the first quarter ended December 31, 2025, Organigram delivered results that highlight both scale and operating leverage, a combination that has been elusive for much of the cannabis sector. Gross revenue surged 46% year-over-year to $97.3 million, while net revenue jumped 49% to $63.5 million, driven by the integration of Motif Labs and expanding international sales.

The profitability story was just as notable. Adjusted EBITDA climbed to $5.3 million, up 273% year-over-year, reflecting improved gross margins, higher yields, and tangible synergy capture from Motif. Adjusted gross margin expanded to 38% of net revenue, up from 33% a year ago—an important data point for a market that increasingly rewards consistency over top-line flash.

Market leadership remains Organigram’s calling card in Canada. The company ended the quarter ranked #1 nationally in vapes, milled flower, and concentrates, #2 in pre-rolls, and top three in both edibles and dried flower. That breadth matters: it reinforces Organigram’s ability to compete across formats rather than rely on a single trend cycle.

Operational execution underpinned the quarter. Harvested kilograms increased 43% to 28,645, driven by nutrient and environmental optimization that lowered per-unit costs. More quietly—but arguably more strategically—the company announced a genetic screening breakthrough that reduces the identification of powdery mildew resistance from months to days. That advancement allows Organigram to eliminate non-resistant plants earlier in the cultivation cycle, improving yield stability while reducing wasted capital and crop loss. In an industry where biology often dictates margins, this is the kind of unglamorous innovation that compounds over time.

On the international front, revenue rose 51% year-over-year to $5.0 million, with management signaling continued growth ahead. Organigram is still awaiting EU-GMP certification for its Moncton facility, with follow-up responses currently in progress following regulator feedback in January. While timing remains uncertain, certification would materially expand the company’s addressable export market and improve utilization of existing assets.

The U.S. story continues to develop on a brand-led, asset-light basis. During the quarter, Organigram expanded Collective Project and Fetch into Illinois and Wisconsin, extending its U.S. retail footprint to 11 states via distribution partnerships. It’s not a capital-intensive land grab—but it is a measured way to build brand presence south of the border while preserving balance sheet optionality.

From a financial management perspective, SG&A rose in absolute dollars due to Motif consolidation and increased trade spend, but declined as a percentage of revenue to 38%, down from 40% a year ago—evidence that scale is starting to work in the company’s favor. Net income swung sharply positive to $20.0 million, largely due to fair value adjustments tied to financial instruments, including those associated with British American Tobacco.

Liquidity remains solid. Organigram closed the quarter with $63.0 million in total cash, providing flexibility as it continues to invest in efficiency, international expansion, and product innovation.

New CEO James Yamanaka, just weeks into the role, struck a confident but disciplined tone—emphasizing execution, efficiency, and plant science as the pillars of the next phase. If Q1 is any indication, Organigram is entering fiscal 2026 not just as Canada’s market share leader, but as one of the clearer examples of what a scaled, science-driven cannabis operator can look like when the fundamentals start to click.

Full Earnings Print

📈 Dog Walkers

$CURLF ( ▲ 3.12% ) Executes Major Refi

Curaleaf announced it has secured commitments for a US$500 million private placement of senior secured notes, marking the largest note financing ever completed in the U.S. cannabis industry. The new 11.5% notes mature in February 2029 and will be used primarily to refinance the company’s existing 2026 senior secured debt, while also leaving room for incremental growth capital.

At a high level, this is a classic balance-sheet cleanup with a growth kicker. Roughly US$475 million of the proceeds will refinance Curaleaf’s current notes due December 2026 (US$457 million outstanding), effectively pushing the company’s nearest major maturity out by more than three years. The remaining capital will support global expansion initiatives and cover transaction-related costs.

The market’s reception is telling. According to management, the offering was meaningfully oversubscribed, with ten first-time cannabis lenders participating. In a sector where capital access has historically been constrained, the breadth of new institutional participation stands out—and suggests Curaleaf is increasingly being underwritten less as a “cannabis story” and more as a scaled consumer and international operator with predictable cash flow.

From a structural standpoint, the notes are non-dilutive, issued at par, and carry semi-annual interest payments at 11.5%. While the coupon isn’t cheap in absolute terms, it reflects the current rate environment—and importantly, it buys Curaleaf time and flexibility. The indenture also allows for additional note issuances (subject to leverage covenants) and up to US$100 million in senior bank financing, giving the company multiple levers to pull if attractive opportunities arise.

Chairman and CEO Boris Jordan framed the deal as both defensive and offensive: extending maturities, strengthening the balance sheet, and positioning Curaleaf to pursue “high-return global growth opportunities.” Translation: refinance the old debt, reduce near-term risk, and keep dry powder available as international medical markets—and potentially U.S. regulatory catalysts—continue to evolve.

From a capital markets perspective, the symbolism matters almost as much as the dollars. A half-billion-dollar oversubscribed raise, led by Seaport Global Securities and backed by new institutional lenders, reinforces Curaleaf’s status as one of the few cannabis operators able to access large-scale credit on repeatable terms. That institutional confidence is increasingly a competitive advantage, especially as weaker operators continue to struggle with refinancing risk.

Bottom line: this isn’t just a refinancing—it’s a statement transaction. Curaleaf extends its runway to 2029, shores up its capital structure, and sends a clear signal to the market that, even in a still-restricted regulatory environment, scaled operators with cash flow and global ambition can command serious capital.

$AAWH ( ▼ 12.32% ) Announces Unaudited Financials

Ascend Wellness Holdings closed out 2025 with margin momentum, a fortified balance sheet—and a reminder that legacy cannabis contracts have a long memory.

Ascend reported preliminary, unaudited Q4 and full-year 2025 results that underscore a business quietly doing what investors have been asking of U.S. MSOs for years: prioritize profitability, protect liquidity, and grow with discipline.

For Q4 2025, Ascend expects net revenue of approximately $120 million and Adjusted EBITDA of roughly $30 million, implying a healthy ~25% margin. For the full year, revenue is expected to land around $500 million, with Adjusted EBITDA of approximately $117 million, translating to a ~23% full-year margin. Cash and cash equivalents stood at ~$86 million at year-end—real balance-sheet flexibility in a sector where that remains the exception, not the rule.

CEO Sam Brill credited the results to a deliberate operating shift: tighter working capital management, cost discipline, and an improved product mix driven by Ascend’s retail densification strategy. The company exited the year with 47 stores and a more explicit CPG-oriented operating model, supporting a record number of SKUs and a broader brand portfolio. In practical terms, that means more shelf productivity, better data feedback loops, and improved control over margin drivers.

Perhaps just as important as what Ascend did in 2025 is what it didn’t do: overextend itself. Management emphasized that the company enters 2026 with no significant debt maturities until 2029, and a highly selective approach to expansion and M&A. In a market still littered with balance-sheet landmines, that timeline matters.

That said, not everything in the rearview mirror is tidy. Subsequent to quarter-end, Ascend disclosed an arbitration award involving Green Thumb Industries, tied to a 2018 side letter from a prior capital raise. The arbitrator found that both parties breached certain obligations—an outcome Ascend says was unanticipated and contrary to guidance from external advisors.

The company is evaluating its options, but notably struck a confident tone: even if required to satisfy the award in full, Ascend says it has sufficient liquidity to continue operating as planned and remain in compliance with loan covenants. That statement, more than the dispute itself, reinforces the underlying theme of this update—financial resilience.

Bottom line: Ascend exits 2025 as a cash-generative, margin-focused operator with time on its side. The arbitration issue is noise worth monitoring, but it doesn’t overshadow the broader signal. In a sector still searching for durable winners, Ascend is making a credible case that boring—done well—can be very profitable.

🗞️ The News

📺 YouTube

Cannabis Headlines Pile Up as Reform Pressure Builds | TTB Powered by Flowhub

What we will cover:

✅ The latest TDR Trade To Black podcast, presented by Flowhub, sees hosts Shadd Dales and Anthony Varrell jump into a busy slate of cannabis headlines that continue to reshape the industry’s political and capital-markets landscape.

In the first segment, the team breaks down Curaleaf Holdings (TSX: CURA) and its latest refinancing move, analyzing their new balance-sheet strategy and access to capital across U.S. multi-state operators. Then we flips to news involving Ascend Wellness Holdings (OTCQX: AAWH) and its recent corporate developments, placing the company’s positioning within a broader industry reset that will focus on discipline, liquidity, and execution.

The episode then turns to Washington, where political tension is building after a Republican senator suggested President Donald Trump was “poorly advised” on cannabis rescheduling. Shadd and Anthony unpack what that rhetoric actually means — and what it doesn’t — while separating speculation from procedural reality around federal reform, capital flows, and regulatory follow-through.

In the second segment, Michael Bronstein, President of the American Trade Association for Cannabis and Hemp, joins the show to provide expert insight into the rapidly evolving situation in Pennsylvania. With the governor renewing calls for adult-use legalization and House lawmakers publicly pressuring the Senate for action, Bronstein explains whether the state is finally approaching a breakthrough moment. He also weighs in on the broader national divide over cannabis reform and how political messaging could shape the next phase of federal policy.