Core Insights - IM Cannabis Corp. reported a revenue of C$54.7 million for the year ended December 31, 2025, with significant growth in Germany and a positive operating cash flow of C$4.7 million, marking a turnaround from negative cash flow in 2024 [1][6]. Financial Performance - Revenue in Germany surged over 134% to C$36.3 million, up from C$15.5 million in 2024, now representing over 66% of total Group revenue [6]. - Gross profit increased approximately 15% to C$9.7 million, driven by cost efficiencies and higher-margin sales in Germany [6]. - Cash flow from operating activities turned positive at C$4.7 million, compared to negative cash flow of C$1.1 million in 2024, indicating improved working capital management [6]. - Cash and restricted cash rose to C$3.3 million from C$0.9 million at year-end 2024, supported by strategic financings [6]. Strategic Initiatives - The company signed a non-binding letter of intent to acquire 51% of Black Axe Technologies, a Polish technology firm specializing in defense and intelligence solutions, marking its entry into the defense and homeland security technology sectors [2][11]. - This acquisition aims to target high-growth areas such as cyber drone interception, satellite intelligence, and AI analytics [2]. Operational Overview - IM Cannabis operates a medical cannabis platform in Israel and Germany, distributing cannabis to medical patients and pharmacies [3][4]. - The company leverages proprietary data and patient insights to enhance its operations and ensure quality control throughout its value chain [4].