Rubicon Organics reports Q2 2026 results

Q2 2026 net revenue of $18.5 million, up 35% sequentially and 23% year-over-year.

Adjusted EBITDA 1 of $1.1 million for Q2 2026, compared to $1.4 million in Q2 2025, reflecting investments to scale the business ahead of expected revenue growth and operating leverage.

Maintained position as the #1 premium licensed producer in Canada for Q2 2026 with 6.8% market share. 2

Cascadia facility in production with quality meeting 1964 brand standards and yields continuing to improve.

Pacifica facility optimization and investment initiatives driving 20% higher crop yields.

VANCOUVER, British Columbia, Aug. 12, 2026 (GLOBE NEWSWIRE) -- Rubicon Organics Inc. (TSXV: ROMJ) (OTCQX: ROMJF) (“Rubicon Organics” or the “Company”), Canada’s leading premium licensed producer focused on cultivating and selling premium and super-premium cannabis products, announces it has reported its financial results for the three and six months ended June 30, 2026. All financial information in this press release is reported in Canadian dollars, unless otherwise noted.

“Our second quarter results demonstrate the strength of Rubicon's premium-focused strategy and improved operations. We delivered 23% revenue growth while continuing to gain market share in key premium categories. The consistent performance of 1964, Simply Bare and Wildflower reflects the strength of our brands, our genetics program, and our commitment to premium quality. Revenue growth was driven by notable improvement at our flagship Pacifica facility, where several investment initiatives have increased yields and efficiency. As we continue to scale production across both Pacifica and Cascadia, we remain focused on disciplined execution, innovation, and delivering the products consumers increasingly choose in the market,” said CEO Margaret Brodie.

“Revenue growth, expanding market share, and improving gross margins in the quarter are encouraging proof that our investments are yielding results, while profitability, as expected, was impacted by the ongoing ramp-up of the Cascadia facility. Importantly, Cascadia was operationalized on budget and on schedule, and we expect refinement to continue over the next six months as production volumes increase and operating efficiencies reach our expectations. We remain focused on balancing growth investments with prudent capital management as we work toward realizing the full value of our expanded production platform," said CFO Glen Ibbott.

Q2 2026 Highlights:

Net revenue increased 23% year-over-year to a record $18.5 million in Q2 2026, and increased 18% year-over-year to $32.1 million for the six months ended June 30, 2026.

Adjusted EBITDA 1 of $1.1 million for Q2 2026 (18% decrease from Q2 2025).

Maintained position as the #1 premium licensed producer in Canada during Q2 2026 and for the first half of 2026.

Achieved #1 national market share of premium flower at 9.7% 2 of the market, an increase of nearly 2% compared to Q2 2025. 2

Wildflower TM is the #2 topical brand in Canada with market share of 30.1% and #1 topical SKU in Canada. 2

4.8% and 5.8% national market share of premium pre-rolls and vapes, respectively. 2

Successfully launched the 1964 brand in the U.K. medical cannabis market, marking the brand's first international commercial launch.

Cascadia operationalized on budget and on schedule, with initial harvests meeting premium quality standards and optimization activities to achieve yield targets expected to continue over the remainder of 2026.

Received CUMCS and IMC-G.A.P. certifications for the Cascadia facility, strengthening the Company's readiness to supply regulated international medical cannabis markets.

Continued to strengthen brand leadership, with 1964 recognized as Brand of the Year at both the 2026 High Buds Club Awards and the 2026 Grow Up Industry Awards.

Initial revenues of approximately $0.5 million from Cascadia facility realized in Q2 2026.

Results of Operations ($000s)

2026 Outlook

Leveraging Our New Scale

Demand for our flower products has consistently exceeded our available supply. With the Cascadia Facility licensed and fully operational, 2026 marks a pivotal investment year for Rubicon. We have built the teams, systems, and infrastructure needed to support the next phase of growth. We view 2026 as an inflection point, with the second half of the year focused on optimizing operations to be able to realize the beginning of the benefit of Cascadia as it ramps up along with other strategic investments to benefit Rubicon’s revenue growth, gross margins, Adjusted EBITDA 1 , and cash flow.

The combined annual production capacity of 15,500 kg across our two complementary facilities, the Pacifica greenhouse and the Cascadia indoor facility, positions us well to meet growing domestic and international demand for premium cannabis. Revenues from Cascadia have started to be realized in our second quarter results (approximately $450) as the initial harvests are meeting our premium quality brand standards. Although yield at Cascadia is not yet at our initial target level, it is expected to reach that target by the end of 2026. Notably, Rubicon has continued to support revenue growth through consistent yield increases at our Pacifica facility over the past year, with first half of 2026 per crop yield metrics increasing by approximately 20% year over year. Through ongoing investments to further improve and optimize both facilities, we expect production to continue to increase meaningfully through the remainder of the year and over the next several years, supporting our ability to serve a broader customer base and fulfill larger supply commitments.

The acquisition, licensing, and rapid operationalization of the Cascadia Facility is a direct demonstration of our commitment to capturing this opportunity and our ability to execute with speed and purpose. The Company has also just received its CUMCS and IMC-G.A.P. certification for Cascadia. Achieving these certifications supports our ability to meet international medical market requirements and enhance our credentials in maintaining quality and consistency throughout our portfolio.

Continued Emphasis on Genetics

Our deep genetics library remains a core strategic differentiator. In 2026, we are focused on demonstrating the depth and consistency of that library through a disciplined cadence of new genetic launches across our brand portfolio. Recent additions include BC Organic Plumz and BC Organic Hibachi Blue under Simply Bare™, and Tropicanna under 1964 Supply Co.™. We believe a steady pipeline of sought-after cultivars is essential to maintain our leadership in the premium and super-premium segments of the Canadian market and drive long-term consumer loyalty.

International

Building on the success of our inaugural international shipments in 2025, we are moving forward on our international strategy in 2026. In April, the Company launched 1964 Supply Co. TM in international markets with its first branded shipment of products in the U.K. This marks the international introduction of the 1964 Supply Co. TM brand to a key market and represents a meaningful step in establishing Rubicon’s premium brands to a larger addressable global market.

Margin Improvements

Improving gross margin remains an important area of focus for management and we are actively pursuing a number of initiatives in 2026 to achieve this. The margin benefits from the 2026 projects are expected to be fully realized by early 2027, and include work to increase cultivation yields, drive manufacturing efficiencies with projects such as pre-roll automation and inhouse extraction capabilities and optimizing our product portfolio for maximum profitability. Central to our approach is leveraging the increased scale of our two-facility growing operations to more efficiently absorb our fixed production costs over higher production volumes.

Additionally, ongoing yield gains derived both from genetic selection and facility optimization are expected to be key contributors to margin expansion over the course of this and future years.

While we are well-positioned to meet the growing demand for our product, the B.C. market experienced softness entering 2026, partly attributable to a strike late in 2025, which impacted sales in the first quarter and into the second quarter. Market conditions have started to improve during the second quarter, resulting in renewed sales growth, and we remain confident in the long-term strength of the market.

Financial Growth

For the remainder of 2026, we expect net revenue and Adjusted EBITDA to steadily ramp up through Q3 and Q4, supported by additional capacity coming online as yields at the Cascadia facility continue to improve and the Pacifica facility benefits from cultivation initiatives and investments that are driving higher production yields. As anticipated, gross margin and Adjusted EBITDA were softer in the first half of 2026, reflecting continued investment in the ramp-up of the Cascadia Facility ahead of meeting its full potential, and resulting in higher near-term cash outflows. As production from Cascadia comes online and revenues are realized, we expect growth in reported gross margins, Adjusted EBITDA, and operating cash inflows through the second half of 2026. Based on our current view of demand for our products, we remain confident that the growth exhibited in 2025, which culminated in record revenues, is expected to continue.

Conference Call

The Company will be hosting a conference call to discuss the results on Wednesday, August 12, 2026. Conference call details are as follows:

ABOUT RUBICON ORGANICS INC.

Rubicon Organics is the Canadian leader in certified organic and premium cannabis. With a vertically integrated model and strong national distribution, the company is scaling a house of trusted, high-performing brands including Simply Bare™ Organics, 1964 Supply Co.™, Wildflower™, and Homestead Cannabis Supply™.

The Company operates two complementary cultivation facilities in British Columbia: the flagship 125,000‑square‑foot Pacifica hybrid greenhouse in Delta and the 47,500‑square‑foot Cascadia indoor facility in Hope, acquired in 2025 and expected to increase annual production capacity by approximately 40% with revenues starting to be realized.

With proprietary genetics, award-winning products, and certifications enabling international distribution, Rubicon is positioned at the forefront of the premium cannabis segment.

As the Canadian market continues to evolve and global demand for high-quality cannabis increases, Rubicon Organics’ disciplined execution, brand equity, and consumer loyalty set it apart. The Company’s continued focus on premium quality, thoughtful innovation, and operational excellence has supported steady revenue growth and positive Adjusted EBITDA.

Rubicon Organics represents a rare combination of category leadership, operational strength, and long-term growth potential.

For more information visit www.rubiconorganics.com.

CONTACT INFORMATION

Margaret Brodie CEO Phone: +1 (437) 929-1964 Email: ir@rubiconorganics.com

The TSX Venture Exchange or its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) does not accept responsibility for the adequacy or accuracy of this press release.

Non-GAAP Financial Measures

This press release contains certain financial performance measures that are not recognized or defined under IFRS (“Non-GAAP Measures”) including, but not limited to, “Adjusted EBITDA”. As a result, this data may not be comparable to data presented by other companies.

The Company believes that these Non-GAAP Measures are useful indicators of operating performance and are specifically used by management to assess the financial and operational performance of the Company as well as its liquidity. Accordingly, they should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS. For more information, please refer to the “Selected Financial Information” section in the MD&A for the year ended December 31, 2025, which is available on SEDAR+ at www.sedarplus.ca .

Adjusted EBITDA

Below is the Company’s quantitative reconciliation of Adjusted EBITDA calculated as earnings (losses) from operations before interest, tax, depreciation and amortization, share-based compensation expense, fair value changes, and pre-revenue startup costs. The following table presents the Company’s reconciliation of Adjusted EBITDA to the most comparable IFRS financial measure for the three months ended June 30, 2026 and 2025.

*Consistent with industry practice, beginning in Q3 2025 the Company has adjusted Cascadia facility pre-revenue startup costs from Adjusted EBITDA to show a comparable and consistent operating performance measure

Cautionary Statement Regarding Forward Looking Information

This press release contains forward-looking information within the meaning of applicable securities laws. All statements that are not historical facts, including without limitation, statements regarding future estimates, plans, programs, forecasts, projections, objectives, assumptions, expectations or beliefs of future performance, statements regarding Rubicon Organics' goal of achieving industry leading profitability are "forward-looking statements". Forward-looking information can be identified by the use of words such as “will” or variations of such word or statements that certain actions, events or results "will" be taken, occur or be achieved.

Forward-looking statements are based on assumptions and estimates that management considers reasonable as of the date of this press release, including, among other things, assumptions regarding continued demand for the Company's products, optimization of cultivation yields and operational efficiencies, successful ramp-up of production capacity, achievement of anticipated revenue growth, gross profit expansion, positive operating cash flow and Adjusted EBITDA¹ profitability, and the Company's ability to execute its strategic initiatives.

Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that could cause actual results, performance or achievements to differ materially from those expressed or implied by such statements. These risks and uncertainties include, among others, the risk that anticipated production, yield, operational efficiency, revenue, margin or profitability targets are not achieved, changes in market conditions, consumer demand, competition, regulatory developments, access to capital, and the other risk factors described under the heading "Risk Factors" in Rubicon Organics' Annual Information Form dated March 23, 2026, filed with the Canadian securities regulatory authorities.

Readers are cautioned not to place undue reliance on forward-looking statements. Although the Company believes that the expectations and assumptions underlying such statements are reasonable, there can be no assurance that they will prove to be accurate, and actual results and future events may differ materially from those anticipated. Except as required by applicable law, Rubicon Organics undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

1 Adjusted EBITDA is a non-GAAP measure that is calculated as earnings (losses) from operations before interest, tax, depreciation and amortization, share-based compensation expense, fair value changes, and pre-revenue startup costs. See Non-GAAP Financial Measures for details on the Adjusted EBITDA calculation. 2 Hifyre data for the three and six months ended June 30 , 202 6 and June 30, 2025.