Nextleaf Solutions Reports Profitable Q1 FY26 with Revenue Growth and Positive Operating Cash Flow

Executive Summary

• Nextleaf Solutions reported Q1 FY26 gross revenue of CAD 3.99 M, net revenue of CAD 3.02 M and a gross profit of CAD 1.29 M, delivering a 43% gross margin.
• The company posted a net income of CAD 259,171 and adjusted EBITDA of CAD 349,961, marking its fifth consecutive quarter of positive adjusted EBITDA.
• Positive operating cash flow of CAD 348,609 increased quarter‑end cash to CAD 680,277; the firm remains debt‑free and highlighted the national launch of its new Yard Cannabis brand.

Key Details

• Revenue & Margin – Gross revenue: CAD 3,994,369 (↑ 3.7% YoY); Net revenue: CAD 3,020,519 (↑ 4.6% YoY); Gross profit: CAD 1,288,197; Gross margin: 43%.
• Profitability – Net income: CAD 259,171; Adjusted EBITDA¹: CAD 349,961 (fifth straight quarter of positive adjusted EBITDA).
• Cash Flow & Liquidity – Positive operating cash flow: CAD 348,609; Cash on hand at quarter‑end: CAD 680,277; No secured debt outstanding.
• Operational Highlights – November 2025 launch of Yard Cannabis, a high‑potency extract brand targeting adult‑use consumers with next‑generation hardware; complements flagship Glacial Gold brand.
• Strategic Outlook for Q2 FY26 – Focus on international export opportunities, scaling branded product distribution, expanding biomass processing and bulk ingredient manufacturing (single‑strain, organically grown BC inputs), ERP‑driven digital integration, and maintaining positive cash flow with disciplined capital allocation.
• Management Quote – CEO Emma Andrews emphasized continued discipline across margin protection, capital efficiency, and building a consistently profitable platform.

Notable Quotes

“Q1 FY26 reflects continued discipline across our operating model, from margin protection to capital efficiency,” said Emma Andrews, CEO of Nextleaf Solutions. “We are building a consistently profitable platform with a strong balance sheet and scalable infrastructure.”