Market Overview - The US stock market is experiencing fluctuations near historical highs, with the S&P 500 index dropping 0.25% to 6373.45 points, the Nasdaq down 0.3% to 21385.4 points, and the Dow Jones down 0.45% to 43975.09 points [1][3] Economic Indicators - The upcoming US July CPI report is seen as a catalyst for market sentiment, with predictions that if the core CPI month-on-month growth is below 0.25%, the S&P 500 could rise by 1.5%-2%, while exceeding 0.4% could lead to a drop of 2%-2.75% [3] Investor Sentiment - A monthly survey by Bank of America indicates that approximately 91% of respondents believe US stocks are overvalued, marking the highest level since the survey began in 2001 [3] Sector Performance - The lithium sector saw significant gains due to production halt news from a project under CATL, with companies like American Lithium up 9.32% and Sigma Lithium up 22.79% [3] - AI application stocks faced declines, with C3.ai dropping 25.58% due to disappointing sales performance attributed to organizational restructuring and health issues of the CEO [4] - Another AI stock, BigBear.ai, also reported weaker-than-expected earnings, leading to a nearly 30% drop in its stock price [5] - Cannabis stocks experienced notable movements, with Tilray Brands rising 41.82% and Canopy Growth up 26.40% due to policy rumors [6] - Chocolate producer Hershey's stock fell 4.8% amid rising cocoa futures [7] Notable Stock Movements - Major tech stocks showed mixed results, with Apple down 0.83%, Microsoft down 0.05%, and Tesla up 2.85% [8] - Chinese concept stocks had a varied performance, with Alibaba down 1.43% and NIO up 1.45% [8]

Core Viewpoint - Trump's consideration of reclassifying cannabis to a lower danger level has led to a significant surge in cannabis stocks, indicating potential positive changes for the industry [1]. Group 1: Market Reaction - Cannabis-related stocks experienced strong performance on Monday, with Canopy Growth rising over 26%, Tilray Brands soaring more than 41%, and Cronos Group jumping over 14% to reach a 52-week high [1][2]. - Many cannabis stocks are currently priced below $1 per share, meaning small price changes can lead to substantial percentage increases [2]. Group 2: Regulatory Changes - Under current U.S. federal law, cannabis is classified as a Schedule I controlled substance, similar to cocaine [3]. - Discussions have focused on reclassifying cannabis to Schedule III, which includes steroids and products containing codeine [3]. - Tilray's CEO, Irwin Simon, anticipates that the reclassification process may take about a year, but Trump's public discussion has generated optimism within the industry [3][4]. Group 3: Political Support - Tim Seymour noted that the change in cannabis classification appears to have bipartisan support, suggesting a favorable environment for investment in the sector [5]. - Trump's involvement is seen as a potential catalyst for change, although he cannot unilaterally reclassify the drug [6][7].

Core Viewpoint - Trump's consideration of reclassifying cannabis to a lower danger level has led to a significant surge in cannabis stocks, indicating potential positive changes for the industry [1]. Group 1: Market Impact - Cannabis stocks experienced substantial gains on Monday, with Canopy Growth rising over 26%, Tilray Brands soaring more than 41%, and Cronos Group jumping over 14% to reach a 52-week high [1][2]. - The cannabis market is valued at approximately $80 billion, and a reclassification from Schedule I to Schedule III could be a "game changer" for the industry, allowing for different tax regulations and increased investment interest [1][4]. Group 2: Regulatory Changes - Currently, cannabis is classified as a Schedule I controlled substance under U.S. federal law, placing it in the same category as cocaine [3]. - Discussions have primarily focused on reclassifying cannabis to Schedule III, which includes substances like steroids and Tylenol with codeine [4]. - The reclassification process is expected to take about a year, as indicated by Tilray's CEO, who expressed optimism due to Trump's public discussion of the matter [4]. Group 3: Political Support - The potential change in cannabis classification appears to have bipartisan support, which could facilitate investment opportunities in the sector [4]. - Tim Seymour highlighted that now may be an advantageous time for investment in the cannabis industry, as institutional capital may not yet be fully engaged [4]. Group 4: Limitations of Authority - Despite Trump's support, he does not have the unilateral power to reclassify cannabis, as the authority lies with the Attorney General, who typically delegates this responsibility to the Drug Enforcement Administration [5].

Core Viewpoint - Cannabis stocks surged on Monday, with Canopy Growth (CGC.US) and Tilray Brands (TLRY.US) rising nearly 20%, Aurora Cannabis (ACB.US) up nearly 13%, and Cronos Group (CRON.US) increasing by nearly 12% due to reports that Trump is considering reclassifying cannabis as a lower-risk substance [1] Group 1 - Canopy Growth (CGC.US) experienced a significant price increase of nearly 20% [1] - Tilray Brands (TLRY.US) also saw a rise of nearly 20% [1] - Aurora Cannabis (ACB.US) rose nearly 13% [1] - Cronos Group (CRON.US) increased by nearly 12% [1] Group 2 - The surge in cannabis stocks is linked to a report from The Wall Street Journal regarding Trump's potential reclassification of cannabis [1]

Investor Presentation FY26 Q1 June 2025 Disclaimer CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: Certain information contained in this presentation constitutes forward-looking statements under applicable securities laws. Any statements that are contained in this presentation that are not statements of historical fact may be deemed to be forward-looking statements. Forward looking statements are often identified by terms such as "may", "should", "anticipate", "expect", "potential", "believe", "intend ...

Industry Overview - The cannabis industry has experienced significant volatility, leading to concerns among investors, but there is potential for recovery and long-term gains [1][2] - Regulatory reforms and market changes are expected to improve trading conditions, particularly with banking reforms [3] Company Highlights - **Planet 13 Holdings Inc.**: Engages in cultivating and providing cannabis products for medical and retail markets in the U.S. Recently entered a partnership with Ovation Science Inc. to introduce topical cannabis products in Florida [4][6] - **FLUENT Corp**: Cultivates and sells medical cannabis products across several states including Florida and New York. Announced a share debt settlement involving the issuance of 2,750,000 common shares to settle US$137,500 in director fees [7][10][11] - **Ascend Wellness Holdings, Inc.**: Focuses on the cultivation and distribution of cannabis consumer packaged goods. Recently launched a revamped eCommerce ecosystem aimed at enhancing customer experience and loyalty [8][12]

Financial Data and Key Metrics Changes - In Q1 2025, the company achieved a net profit with an 87% improvement in gross margin compared to Q1 2024 [5] - Adjusted EBITDA in Q1 2025 resulted in a profit of $600,000, an improvement of almost $3,000,000 from an adjusted EBITDA loss of $2,200,000 in Q1 2024 [8] - Revenues for Q1 2025 were $12,500,000, a 4% increase from $12,100,000 in Q1 2024, primarily driven by growth in Germany [8][10] - Gross profit for Q1 2025 was $3,400,000, a 94% increase from $1,800,000 in Q1 2024 [10] - Net profit for Q1 2025 was approximately $200,000, compared to a loss of $6,000,000 in Q1 2024, marking a $6,200,000 improvement [11] Business Line Data and Key Metrics Changes - The German business grew by 569% compared to Q1 2024, significantly offsetting a 66% revenue decline in Israel [6][8] - The company launched 12 new strains in Germany, contributing approximately €3,000,000 or 39% of cannabis flower sales in that market [5] - The decline in Israeli revenue was attributed to the cancellation of the Orenin deal, resulting in a decrease of approximately $3,500,000 compared to Q1 2024 [9] Market Data and Key Metrics Changes - Germany's share of total revenue in Q1 2025 increased to 62%, reflecting favorable market conditions and growing demand [9] - The cost of revenue decreased by 12% to $9,100,000 in Q1 2025, down from $10,300,000 in Q1 2024 [9] Company Strategy and Development Direction - The company is focusing on execution and resource allocation to areas with the highest return on investment (ROI) [5] - The strategic shift towards the German market is evident, with significant growth in that region while managing operational efficiencies [6][8] Management's Comments on Operating Environment and Future Outlook - Management expressed pride in the team's efforts and noted that the efficiencies and integration from the past two years are starting to reflect in financial results [6][11] - The company aims to continue executing its strategy and maintain profitability moving forward [7] Other Important Information - Total assets as of March 31, 2025, were $44,934,000, an increase of 15% from $39,188,000 as of December 31, 2024 [11] - Total liabilities increased by 16% to $41,761,000 as of March 31, 2025, compared to $36,042,000 as of December 31, 2024 [12] Q&A Session Summary Question: Importance of the upcoming meeting for accepting 25% ownership of Focus - Management indicated that this is a long process on the regulatory side and is crucial for clearing balances between companies and moving long-term loans to equity [17][18] - The need to hold 100% of the Focus shares is based on tax regulations to avoid issues with tax authorities [19]