Financial Performance - Cannara Biotech reported net revenues of $26.6 million for Q2 2025, a 35% increase from $19.7 million in Q2 2024, driven by national brand growth and product innovation [3][6][11] - Gross profit before fair value adjustments rose 52% to $10.8 million in Q2 2025, with gross margins improving to 41% from 36% [4][11][29] - The company achieved net income of $3.3 million, a significant improvement from a net loss of $3.4 million in the prior year [4][11][29] - Adjusted EBITDA more than doubled to $7.1 million, marking the sixteenth consecutive quarter of positive Adjusted EBITDA, up 102% from $3.5 million in Q2 2024 [4][11][29] Operational Highlights - Cannara activated its 11th grow zone in April 2025, with a 12th zone expected to come online in May, expanding active canopy to over 300,000 sq. ft. and supporting an annual production capacity of up to 40,000 kg [3][4][13] - The company plans to launch over 20 new products in 2025, with a focus on scaling to meet unmet demand [3][4] Market Position - Cannara's estimated national retail market share reached 3.9% in Q2 2025, a 34.5% increase from 2.9% in Q2 2024, with notable gains in Québec, Ontario, and Alberta [3][6][11][23] - The company reported a 40% increase in gross cannabis revenues before excise taxes to $36.8 million, reflecting strong demand across existing and new markets [11][29] Strategic Execution - The company is focused on disciplined execution and brand investment while maintaining low capital expenditures, presenting high return on investment opportunities [4][6] - Cannara's operational model has demonstrated resilience, achieving consistent profitability and growth despite challenges in the market [4][6]