Curaleaf Reports Second Quarter 2025 Results; Domestic Stabilization, Robust International Momentum

⁽¹⁾ Adjusted EBITDA, adjusted net income (loss), adjusted gross profit and free cash flow are non-GAAP financial measures, and adjusted EBITDA margin, adjusted net income (loss) per share and adjusted gross margin are non-GAAP financial ratios, in each case without a standardized definition under GAAP and which may not be comparable to similar measures used by other issuers. See “Non-GAAP Financial Performance Measures” below for definitions and more information regarding Curaleaf’s use of non-GAAP financial measures and non-GAAP financial ratios. See “Reconciliation of Non-GAAP financial measures” below for a reconciliation of each non-GAAP financial measure used in this press release from the most directly comparable GAAP financial measure.

Revenues, net by Segment

($ thousands)

Three Months Ended

June 30, 2025

March 31, 2025

June 30, 2024

Domestic revenues:

Retail revenue

$                   216,538

$                    219,644

$                   255,199

Wholesale revenue

56,987

55,207

61,456

Management fee income

86

238

392

Total domestic revenues

$                   273,611

$                    275,089

$                   317,047

Three Months Ended

June 30, 2025

March 31, 2025

June 30, 2024

International revenues:

Retail revenue

$                     12,929

$                      11,058

$                        8,844

Wholesale revenue

25,970

22,457

15,339

Management fee income

2,010

1,405

1,056

Total international revenues

$                     40,909

$                      34,920

$                     25,239

Six Months Ended June 30,

2025

2024

Domestic revenues:

Retail revenue

$                         436,182

$                         515,768

Wholesale revenue

112,194

119,342

Management fee income

322

806

Total domestic revenues

$                         548,698

$                         635,916

Six Months Ended June 30,

2025

2024

International revenues:

Retail revenue

$                           23,988

$                           16,346

Wholesale revenue

48,427

26,959

Management fee income

3,416

1,997

Total international revenues

$                           75,831

$                           45,302

Reconciliation of Non-GAAP financial measures 

Adjusted Gross Profit from Continuing Operations

($ thousands)

Three Months Ended

June 30, 2025

March 31, 2025

June 30, 2024

Gross profit from continuing operations

$                152,553

$                 155,175

$                160,465

Other add-backs⁽¹⁾

980

265

2,662

Adjusted gross profit from continuing operations⁽²⁾

$                153,533

$                 155,440

$                163,127

Adjusted gross profit margin from continuing operations⁽²⁾

48.8 %

50.1 %

47.7 %

⁽¹⁾ Other add-backs reflect the impact on cost of goods sold from non-cash inventory adjustments and various non-routine start up and severance costs.

⁽²⁾ Represents a Non-GAAP measure or Non-GAAP ratio. See preceding “Non-GAAP Financial and Performance Measures” section for definitions and
more information regarding Curaleaf’s use of Non-GAAP financial measures and Non-GAAP ratios. The table above provides a reconciliation of Gross
profit from continuing operations, the most comparable GAAP measure, to Adjusted gross profit from continuing operations, a non-GAAP measure.

Six Months Ended June 30,

2025

2024

Gross profit from continuing operations

$                        307,729

$                        321,369

Other add-backs⁽¹⁾

1,245

3,173

Adjusted gross profit from continuing operations⁽²⁾

$                        308,974

$                        324,542

Adjusted gross profit margin from continuing operations⁽²⁾

49.5 %

47.6 %

⁽¹⁾ Other add-backs reflect the impact on cost of goods sold from non-cash inventory adjustments and various non-routine
start up and severance costs.

⁽²⁾ Represents a Non-GAAP measure or Non-GAAP ratio. See preceding “Non-GAAP Financial and Performance Measures”
section for definitions and more information regarding Curaleaf’s use of Non-GAAP financial measures and Non-GAAP ratios.
The table above provides a reconciliation of Gross profit from continuing operations, the most comparable GAAP measure,
to Adjusted gross profit from continuing operations, a non-GAAP measure.

Adjusted Net Loss from Continuing Operations

($ thousands)

Three Months Ended

June 30, 2025

March 31, 2025

June 30, 2024

Net loss from continuing operations

$                     (50,602)

$                    (54,793)

$                    (48,553)

(Gain) loss on impairment

(1,209)

3,695

1,774

Other add-backs⁽¹⁾

4,014

3,363

6,334

Adjusted net loss from continuing operations⁽²⁾

$                     (47,797)

$                    (47,735)

$                    (40,445)

Adjusted net loss per share from continuing operations⁽²⁾

$                         (0.06)

$                        (0.06)

$                        (0.05)

Weighted average common shares outstanding – basic and diluted

757,270,633

744,898,937

740,787,287

⁽¹⁾ Other add-backs primarily include costs related to legal fees, rent and other facility costs and non-cash inventory adjustments.

⁽²⁾ Represents a non-GAAP measure or Non-GAAP ratio. See preceding “Non-GAAP Financial and Performance Measures” section for definitions and
more information regarding Curaleaf’s use of Non-GAAP financial measures and Non-GAAP ratios. The table above provides a reconciliation of Net loss
from continuing operations, the most comparable GAAP measure, to Adjusted net loss from continuing operations, a non-GAAP measure.

Six months ended

June 30, 2025

June 30, 2024

Net loss from continuing operations

$                          (105,395)

$                          (100,129)

Loss (gain) on impairment

2,486

(2,152)

Other add-backs⁽¹⁾

7,377

11,374

Adjusted net loss from continuing operations⁽²⁾

$                            (95,532)

$                            (90,907)

Adjusted net loss per share from continuing operations⁽²⁾

$                                (0.13)

$                                (0.12)

Weighted average common shares outstanding – basic and diluted

755,737,314

738,467,477

⁽¹⁾ Other add-backs primarily include costs related to legal fees, non-routine severance, rent and other facility costs and non-cash inventory adjustments.

⁽²⁾ Represents a non-GAAP measure or Non-GAAP ratio. See preceding “Non-GAAP Financial and Performance Measures” section for definitions and
more information regarding Curaleaf’s use of Non-GAAP financial measures and Non-GAAP ratios. The table above provides a reconciliation of Net loss
from continuing operations, the most comparable GAAP measure, to Adjusted net loss from continuing operations, a non-GAAP measure.

Adjusted EBITDA 

($ thousands)

Three Months Ended

June 30, 2025

March 31, 2025

June 30, 2024

Net loss

$                 (53,606)

$                  (60,244)

$                 (49,830)

Net loss from discontinued operations

(3,004)

(5,451)

(1,277)

Net loss from continuing operations

(50,602)

(54,793)

(48,553)

Interest expense, net

25,554

25,074

24,810

Provision for income taxes

31,381

36,855

31,391

Depreciation and amortization⁽¹⁾

49,724

49,358

51,784

Share-based compensation

8,477

4,624

6,843

(Gain) loss on impairment

(1,209)

3,695

1,774

Total other (income) expense, net

(1,839)

(3,003)

(1,875)

Other add-backs⁽²⁾

4,014

3,363

6,334

Adjusted EBITDA⁽³⁾

$                    65,500

$                     65,173

$                    72,508

Adjusted EBITDA Margin⁽³⁾

20.8 %

21.0 %

21.2 %

⁽¹⁾ Depreciation and amortization expense include amounts charged to Cost of goods sold on the Statement of Operations.

⁽²⁾ Other add-backs primarily include costs related to legal fees, rent and other facility costs and non-cash inventory adjustments.

⁽³⁾ Represents a non-GAAP measure or Non-GAAP ratio. See “Non-GAAP Financial and Performance Measures” below for definitions
and more information regarding Curaleaf’s use of Non-GAAP financial measures and Non-GAAP ratios. The table above provides a
reconciliation of Net loss, the most comparable GAAP measure to Adjusted EBITDA, a non-GAAP measure.

Six Months Ended June 30,

2025

2024

Net loss

$                       (113,850)

$                       (100,839)

Net loss from discontinued operations

(8,455)

(710)

Net loss from continuing operations

(105,395)

(100,129)

Interest expense, net

50,628

50,572

Provision from income taxes

68,236

71,480

Depreciation and amortization⁽¹⁾

99,082

103,242

Share-based compensation

13,101

14,352

Loss (gain) on impairment

2,486

(2,152)

Total other (expense) income, net

(4,841)

478

Other add-backs⁽²⁾

7,377

11,374

Adjusted EBITDA⁽³⁾

$                          130,674

$                           149,217

Adjusted EBITDA Margin⁽³⁾

20.9 %

21.9 %

⁽¹⁾ Depreciation and amortization expense include amounts charged to Cost of goods sold on the
Statement of Operations.

⁽²⁾ Other add-backs primarily include costs related to legal fees, non-routine severance, rent and
other facility costs and non-cash inventory adjustments.

⁽³⁾ Represents a non-GAAP measure or Non-GAAP ratio. See “Non-GAAP Financial and
Performance Measures” below for definitions and more information regarding Curaleaf’s use
of Non-GAAP financial measures and Non-GAAP ratios. The table above provides a reconciliation
of Net loss, the most comparable GAAP measure, to Adjusted EBITDA, a non-GAAP measure.

Free Cash Flow

($ thousands)

Six Months Ended

June 30, 2025

Net cash provided by operating activities from continuing operations

$                          51,109

Less: Purchases of property, plant and equipment

(31,304)

Free cash flow from continuing operations⁽¹⁾

$                          19,805

⁽¹⁾ Represents a Non-GAAP measure or Non-GAAP ratio. See “Non-GAAP Financial and Performance Measures” above
for definitions and more information regarding Curaleaf’s use of Non-GAAP financial measures and Non-GAAP ratios.
The table above provides a reconciliation of Net cash provided by operating activities from continuing operations, a GAAP
measure, to Free cash flow from continuing operations, a non-GAAP measure.

Condensed Consolidated Balance Sheets

($ thousands)

As of

June 30, 2025

December 31, 2024

Unaudited

Audited

Assets

Cash and cash equivalents (including restricted cash and cash equivalents)

$                      102,269

$                      107,226

Other current assets

327,986

322,455

Property, plant and equipment, net

540,180

546,426

Right-of-use assets, finance lease, net

102,715

105,168

Right-of-use assets, operating lease, net

114,131

116,519

Intangible assets, net

1,060,302

1,085,397

Goodwill

635,507

628,884

Other long-term assets

33,717

37,461

Total assets

$                   2,916,807

$                   2,949,536

Liabilities, Temporary equity and Shareholders’ equity

Total current liabilities

$                      293,069

$                      387,925

Total long-term liabilities

1,688,479

1,568,218

Redeemable non-controlling interest contingency

63,962

132,179

Total shareholders’ equity

871,297

861,214

Total liabilities, temporary equity and shareholders’ equity

$                   2,916,807

$                   2,949,536

Condensed Interim Consolidated Statements of Operations (Unaudited)

($ thousands, except for share and per share amounts)

Three Months Ended June 30,

Six Months Ended June 30,

2025

2024

2025

2024

Revenues, net:

Retail and wholesale revenues

$          312,424

$          340,838

$       620,791

$       678,415

Management fee income

2,096

1,448

3,738

2,803

Total revenues, net

314,520

342,286

624,529

681,218

Cost of goods sold

161,967

181,821

316,800

359,849

Gross profit

152,553

160,465

307,729

321,369

Operating expenses:

Selling, general and administrative

105,217

109,507

212,501

213,899

Share-based compensation

8,477

6,843

13,101

14,352

Depreciation and amortization

35,574

36,568

71,014

72,869

Total operating expenses

149,268

152,918

296,616

301,120

Income from continuing operations

3,285

7,547

11,113

20,249

Other income (expense):

Interest income

166

310

338

327

Interest expense

(14,646)

(14,792)

(28,807)

(30,155)

Interest expense related to lease liabilities and financial obligations

(11,074)

(10,328)

(22,158)

(20,744)

Gain (loss) on impairment

1,209

(1,774)

(2,486)

2,152

Other income (expense), net

1,839

1,875

4,841

(478)

Total other expense, net

(22,506)

(24,709)

(48,272)

(48,898)

Loss before provision for income taxes

(19,221)

(17,162)

(37,159)

(28,649)

Provision for income taxes

(31,381)

(31,391)

(68,236)

(71,480)

Net loss from continuing operations

(50,602)

(48,553)

(105,395)

(100,129)

Net loss from discontinued operations

(3,004)

(1,277)

(8,455)

(710)

Net loss

(53,606)

(49,830)

(113,850)

(100,839)

Less: Net (loss) income attributable to non-controlling interest

(445)

(945)

372

(3,642)

Net loss attributable to Curaleaf Holdings, Inc.

$          (53,161)

$          (48,885)

$     (114,222)

$       (97,197)

Per share – basic and diluted:

Net loss per share from continuing operations – basic and diluted

$              (0.07)

$              (0.07)

$            (0.14)

$           (0.14)

Weighted average common shares outstanding – basic and diluted

757,270,633

740,787,287

755,737,314

738,467,477