Q3 2026 Net Revenue of $68.2 Million, Up 4.8% Year-Over-Year
Q3 2026 Gross Profit Margin of 52.3%, Up 20 Basis Points Year-Over-Year
Q3 2026 Net Cash Provided from Continuing Operations of $8.8 Million, Representing 17.7% Operating Cash Flow Yield1
Q3 2026 Free Cash Flow1 of $6.1 Million, Representing 14.0% Free Cash Flow Yield1
17th Consecutive Quarter of Positive Cash Flow from Continuing Operations and 13th Consecutive Quarter of Positive Free Cash Flow1
Nov. 05, 2026 — TerrAscend Corp. (“TerrAscend” or the “Company”) (TSX: TSND) (OTCQX: TSNDF), a leading North American cannabis operator, today reported its financial results for the third quarter ended September 30, 2026. All amounts are expressed in U.S. dollars and are prepared under U.S. Generally Accepted Accounting Principles (GAAP), unless indicated otherwise.
The following financial measures are reported as results from continuing operations unless otherwise noted, due to the Company’s previously stated intention to sell all of its Michigan assets, which are reported as discontinued operations effective as of the second quarter ended June 30, 2025. All historical periods have been restated accordingly.
Third Quarter 2026 Financial Highlights
- Net Revenue of $68.2 million, compared to $65.1 million in the third quarter of 2025
- Gross Profit Margin of 52.3%, compared to 52.1% in the third quarter of 2025
- GAAP Net Loss from continuing operations was $5.5 million, compared to $9.9 million in the third quarter of 2025
- EBITDA¹ from continuing operations was $20.2 million, compared to $14.3 million in the third quarter of 2025
- Adjusted EBITDA¹ from continuing operations was $17.5 million, compared to $17.0 million in the third quarter of 2025
- Net Cash provided from continuing operations was $8.8 million, compared to $7.1 million in the third quarter of 2025
- Free Cash Flow¹ was $6.1 million, compared to $4.9 million in the third quarter of 2025
“We delivered growth in revenue, gross margin and EBITDA during the quarter, while marking our 17th consecutive quarter of positive operating cash flow and 13th consecutive quarter of positive free cash flow,” said Jason Wild, Executive Chairman of TerrAscend. “We remain focused on driving top-tier adjusted EBITDA margins, and I am incredibly proud of our team’s continued execution. These results underscore the strength and resilience of our business, as well as our ability to consistently deliver compelling financial performance.”
Mr. Wild added, “In late September, we completed our acquisition of Aunt Mary’s, our fifth dispensary in New Jersey, which generates more than $10 million in annualized revenue and is immediately accretive to EBITDA and cash flow. Our strong balance sheet, access to capital through our term loan facility and free cash flow generation provide the fuel to pursue additional growth opportunities. We are actively evaluating several attractive assets, and I look forward to sharing further updates in the coming weeks.”
Financial Summary Q3 2026 and Comparative Periods
| (in millions of U.S. Dollars) | Q3 2026 | Q3 2025 | |||||
| Revenue, net | 68.2 | 65.1 | |||||
| Year-over-Year increase | 4.8 | % | |||||
| Gross profit | 35.7 | 33.9 | |||||
| Gross profit margin | 52.3 | % | 52.1 | % | |||
| General & Administrative expenses | 24.0 | 21.3 | |||||
| Share-based compensation expense (included in G&A expenses above) | 0.7 | 1.4 | |||||
| G&A as a % of revenue, net | 35.2 | % | 32.8 | % | |||
| Net loss from continuing operations | (5.5 | ) | (9.9 | ) | |||
| EBITDA from continuing operations1 | 20.2 | 14.3 | |||||
| Adjusted EBITDA from continuing operations1 | 17.5 | 17.0 | |||||
| Adjusted EBITDA Margin from continuing operations1 | 25.6 | % | 26.1 | % | |||
| Net cash provided by operations – continuing operations | 8.8 | 7.1 | |||||
| Free Cash Flow1 | 6.1 | 4.9 | |||||
Third Quarter 2026 Business and Operational Highlights
- Appointed Ziad Ghanem, President and Chief Executive Officer of TerrAscend, to the Board of Directors.
- Closed on the Aunt Mary’s transaction, adding a high-performing dispensary in Flemington, New Jersey.
- Board of Directors authorized the Company to renew and replenish its normal course issuer bid (“NCIB”) to repurchase up to the lesser of 10,000,000 of the Company’s common shares (“Shares”) or USD $10 million of the Shares, from time to time over a 12-month period.
- Shareholders approved a share consolidation at the Company’s August 24, 2026 Special Meeting, completing a key step in the Company’s preparation for a potential listing on a major U.S. stock exchange.
- Maintained a leading position in New Jersey, gaining in both sales and market share across key product categories2.
- In Maryland, revenue grew both sequentially and year-over-year.
- Delivered 12% same store sales growth and 31% increase in wholesale revenue in Pennsylvania, driving overall revenue growth of 16.8% year-over-year with five of six Apothecarium locations ranking among the top 15 stores in the state2.
- Launched the One brand in New Jersey and Maryland and the Cuue brand in New Jersey.
1. EBITDA from continuing operations, Adjusted EBITDA from continuing operations, Adjusted EBITDA margin from continuing operations, Free Cash Flow, and Free Cash Flow Yield are non-GAAP measures defined in the section titled “Definition and Reconciliation of Non-GAAP Measures” below and reconciled to the most directly comparable GAAP measure at the end of this release. Operating Cash Flow Yield of 17.7% and Free Cash Flow Yield of 14.0% are calculated by taking Net Cash Provided from Continuing Operations and Free Cash Flow on a trailing twelve-month basis and dividing by the market value of the Company’s outstanding and exchangeable shares as of September 30, 2026.
2. Source: LIT Alerts
3. Source: BDSA
Third Quarter 2026 Financial Results
Net revenue for the third quarter of 2026 was $68.2 million, compared to $65.1 million for the third quarter of 2025. The year-over-year improvement was primarily driven by strong retail and wholesale growth in Pennsylvania.
Gross profit margin for the third quarter of 2026 was 52.3%, as compared to 52.1% for the third quarter of 2025.
G&A expenses for the third quarter of 2026 were $24.0 million and 35.2% of revenue, compared to $21.3 million and 32.8% of revenue for the third quarter of 2025.
GAAP net loss from continuing operations for the third quarter of 2026 was $5.5 million, compared to a net loss from continuing operations of $9.9 million for the third quarter of 2025.
Adjusted EBITDA from continuing operations was $17.5 million for the third quarter of 2026, or 25.6% of revenue, compared to $17.0 million for the third quarter of 2025, or 26.1% of revenue.
Balance Sheet and Cash Flow
Cash and cash equivalents were $42.5 million as of September 30, 2026. Net cash provided by operations in the third quarter of 2026 was $8.8 million. This represents the Company’s seventeenth consecutive quarter of positive cash flow from operations.
Capital expenditures were $2.7 million in the third quarter of 2026, primarily related to ongoing cultivation and facility optimization projects. Free cash flow was $6.1 million in the third quarter of 2026, representing the thirteenth consecutive quarter of positive free cash flow.
As of September 30, 2026, there were approximately 383 million basic shares of the Company issued and outstanding, including 308 million common shares, 11 million preferred shares as converted, and 63 million exchangeable shares. Additionally, there were 23 million warrants outstanding at a weighted average price of $4.24 USD per share. During the nine-month period ended September 30, 2026, the Company completed the repurchase of 1,013,000 shares through its normal course issuer bid.
Conference Call Details
TerrAscend will host a conference call today, Thursday, November 5, 2026, to discuss these results. Jason Wild, Executive Chairman, Ziad Ghanem, President and Chief Executive Officer, and Eric Jackson, Chief Financial Officer, will host the call at 5:00 p.m. Eastern Time. A question-and-answer session will follow management’s presentation.
| CONFERENCE CALL DETAILS | |
| Date: | Thursday, November 5, 2026 |
| Time: | 5:00 p.m. Eastern Time |
| Webcast: | https://app.webinar.net/0Gmb21Rzldp |
| Dial-in Number: | 1-888-510-2154 |
| Replay: | 1-289-819-1450 or 1-888-660-6345
Available until 12:00 midnight Eastern Time on Thursday, November 19, 2026 |
About TerrAscend Corp.
TerrAscend Corp. is a leading TSX-listed cannabis company with interests across the North American cannabis sector, including operations in Pennsylvania, New Jersey, Maryland, Ohio, and California through TerrAscend Growth Corp. and retail operations in Canada. TerrAscend operates The Apothecarium and other dispensary retail locations as well as scaled cultivation, processing, and manufacturing facilities in its core markets. TerrAscend’s cultivation and manufacturing practices yield consistent, high-quality cannabis, providing industry-leading product selection to both the medical and legal adult-use markets. The Company owns or licenses several synergistic businesses and brands including The Apothecarium, Cookies, Kind Tree, Legend, State Flower, Wana, Cuue, One and Valhalla. For more information visit www.terrascend.com.
