CanadaBis Reports Fiscal Q1 2026 Results with Positive Operating Cash Flow

Executive Summary

• CanadaBis Capital Inc. reported Q1 FY 2026 revenue of $5.73 M, net revenue of $3.26 M and a gross margin of 27.0%, up from the prior year.
• The company generated positive Adjusted EBITDA of $197k and positive operating cash flow of $0.4 M despite a net loss of $128.5 k.
• A convertible debenture interest payment will be settled by issuing 2,766,452 common shares on Dec 31 2025, reflecting liquidity‑focused balance‑sheet management.

Key Details

• Revenue & Gross Profit – Gross revenue: $5,729,412 (down from $9,602,446 YoY). Gross profit: $1,545,205; gross profit margin improved to 27.0% (from 22.9%).
• Excise Duty – $2,468,122 paid (43.1% of gross revenue), down from $4,515,919 (47.0%) YoY.
• Net Revenue – $3,261,290 versus $5,086,527 in the prior year period.
• Cost of Sales – $1,716,085 (down from $2,885,281 YoY).
• Net Income (Loss) – $(128,539) for the quarter; net income per share remained $0.00 (basic & diluted).
• Adjusted EBITDA – $197,029 (positive), compared with $675,892 in Q1 2024.
• Operating Cash Flow – Positive cash flow of approximately $400,000 generated during the quarter.
• Liquidity Position – Cash and cash equivalents increased to $938,926 from $801,168 at year‑end 2024.
• Market Disruption Impact – Temporary BC Liquor Distribution Branch labour disruption estimated to have cost ~ $0.5 M in sales; distribution normalized toward quarter end.
• Convertible Debenture Settlement – Approval received to satisfy upcoming interest payment via issuance of 2,766,452 common shares on Dec 31 2025; shares subject to a hold period of four months and one day.
• Management Commentary – CEO Travis McIntyre highlighted cost‑ and labour‑efficiency initiatives, higher‑margin product focus, and ongoing liquidity management as drivers of the improved margins and cash generation.

Notable Quotes

“We are pleased to see the positive results generated from the extensive cost and labour efficiency initiatives… Management remains focused on strengthening liquidity, enhancing operating performance, and advancing initiatives that support long‑term cash generation and stability.” – Travis McIntyre, CEO, CanadaBis Capital Inc.