High Tide Reports Financial Results for Third Fiscal Quarter Featuring Record Revenue and Adjusted EBITDA, Along With Positive Free Cash Flow and Net Income

• Same-Store Sales Were Up 7.4% Year Over Year, the Fastest Growth Rate in Two Years
  
  
• The Company Reports $7.7 Million in Free Cash Flow in Q3 2025, Up 148% Year Over Year, and 57% Sequentially
  
  
• The Company Reports Positive Net Income of $832 Thousand, Up 1% Year Over Year and Marked a Meaningful Reversal Versus a Net Loss of $2.8 Million Sequentially
  
  
• During May 2025 and June 2025, Canna Cabana Held a 12% Share of the Cannabis Retail Market Across the Five Provinces in Which the Company Has a Presence, Up From 11% in the Previous Year¹ 
  
  
• High Tide Remains the Highest Revenue Generating Cannabis Company Reporting in Canadian Dollars.² Q3 Annualized Revenue Run Rate Was Approximately $600 Million

CALGARY, AB, Sept. 15, 2025 /PRNewswire/ – High Tide Inc. (“High Tide” or the “Company”) (NASDAQ:HITI) (TSXV:HITI) (FSE: 2LYA), the high-impact, retail-forward enterprise built to deliver real-world value across every component of cannabis, today released its financial results for the third fiscal quarter of 2025 ended July 31, 2025, the highlights of which are included in this news release. The full set of unaudited condensed interim consolidated financial statements for the three and nine months ended July 31, 2025 and 2024 (the “Financial Statements”) and accompanying management’s discussion and analysis can be accessed by visiting the Company’s website at www.hightideinc.com, its profile pages on SEDAR+ at www.sedarplus.ca, and EDGAR at www.sec.gov/edgar.

“I’m thrilled to share that this has been our most powerful quarter to date across nearly every financial metric, including record revenue and adjusted EBITDA, along with positive free cash flow and net income. Importantly, we also delivered our strongest same store sales growth in two years, which helped propel an 18% year-over-year increase in our core bricks-and-mortar business. These results once again prove that our loyalty-focused innovative discount club model continues to resonate strongly with our customers,” said Raj Grover, Founder and Chief Executive Officer of High Tide.

“The cherry on top of these results is the recent closing of our acquisition of a majority stake in Remexian, which positions us as a major player in Germany’s medical cannabis market, based on market share. With this game-changing acquisition, High Tide is now not only a leader in Canada, but also a leader in Europe’s largest cannabis market. By further diversifying our revenue streams with Remexian’s strong financials, we have enhanced our capacity to continue powering Canadian growth through free cash flow generation, strengthening our ability to deliver value to shareholders and setting ourselves up to exceed 300 Cabanas in Canada.”

“Top Canadian cannabis brands have already started to come onboard exclusively with High Tide, which will further fuel our momentum. With Remexian’s financial strength and operational leadership now part of the High Tide family, I’ve never been more confident in our ability to accelerate growth both at home and abroad,” added Mr. Grover

2025 Third Fiscal Quarter – Financial Highlights:

• Revenue was a record $149.7 million for the three months ended July 31, 2025, compared to $131.7 million during the same period last year, an increase of 14% year over year, representing the fastest growth rate in seven quarters. Revenue was up 9% sequentially during the three months ended July 31, 2025. The Company notes that its core bricks-and-mortar segment revenue increased by 18% year over year and 10% sequentially.
  
  
• Gross profit was a record $40.1 million for the three months ended July 31, 2025, up 13% year over year and sequentially.
  
  
• Gross profit margin was 27% for the three months ended July 31, 2025, which was consistent year over year and up from 26% sequentially. The margins in the Company’s core bricks-and-mortar segment, which generates 97% of its revenue, increased sequentially for the third consecutive quarter.
  
  
• Adjusted EBITDA was a record $10.6 million in the three months ended July 31, 2025, representing the 22nd consecutive positive quarter, up 11% year over year and 32% sequentially.
  
  
• The Company generated $7.7 million of free cash flow in the third fiscal quarter, up 148% year over year and 57% sequentially. Over the past four quarters, the Company has generated $16.6 million of free cash flow, while expanding its footprint by two dozen stores.
  
  
• General and administration expenses represented 4.4% of revenue in the three months ended July 31, 2025, which compared to 3.7% during the previous year, and 4.2% sequentially.
  
  
• Salaries, wages, and benefits represented 12.2% of revenue in the three months ended July 31, 2025, which improved from 12.7% year over year and sequentially, and represented the lowest level in the last seven quarters.
  
  
• Income from operations was a record $3.7 million for the three months ended July 31, 2025, marking a significant improvement of 22% year over year and 301% sequentially.
  
  
• During the third fiscal quarter, the Company generated net income of $0.8 million, which was up 1% year over year and marked a meaningful reversal versus a net loss of $2.8 million sequentially.
  
  
• Cabanalytics Business Data and Insights platform, advertising revenue, and other revenue, which includes management fees, interest income, and rental income, was a record $12.0 million for the three months ended July 31, 2025, compared to $9.0 million in the same period last year, representing an increase of 32% year over year and 6% sequentially.
  
  
• Cash and cash equivalents as at July 31, 2025 totaled $63.8 million, up 81% year over year, and 84% sequentially. Note that during the third fiscal quarter, the Company raised $25.2 million in net proceeds via a junior secured loan.

2025 Third Fiscal Quarter – Retail Highlights:

• Canna Cabana remains the largest cannabis retail brand in the country with 207 stores across British Columbia, Alberta, Saskatchewan, Manitoba, and Ontario.
  
  
• Canadian Cabana Club membership has surpassed 2.15 million, an increase of 39% year over year and 13% sequentially. The Company has also exceeded 115,000 ELITE members in Canada, an increase of 102% year over year and 19% sequentially – once again setting a new record in the pace of onboarding ELITE members.
  
  
• Global Cabana Club membership has surpassed 6.15 million. This includes 123,600 ELITE members, which grew by 18% sequentially.
  
  
• Average Canna Cabana store generated 2.1x revenue versus peers.³
  
  
• Same-store sales were up 7.4% year over year in the third fiscal quarter of 2025, the fastest growth rate in two years. Since the launch of its discount club model in October 2021 to June 2025, same store sales at Canna Cabana are up 137% while the average operator has experienced a 2% decline.⁴
  
  
• Canna Cabana reached a 12% market share, up from 11% in the previous year.⁵
  
  
• Canna Cabana had a shrink rate of just 0.2% during the three months ended July 31, 2025.
  
  
• Annualized retail sales per square foot were $1,735 across the Canna Cabana store network during the third fiscal quarter of 2025. This was higher than best-in-class retailers like Wal-Mart, Target, and Canadian Tire.⁶

Third Fiscal Quarter 2025 – Operational Highlights (May 1, 2025 – July 31, 2025):

• The Company opened seven new Canna Cabana locations across Ontario, Manitoba and Alberta—Brantford, Cornwall, Calgary, Sherwood Park, Toronto, Winnipeg, and Drayton Valley.
  
  
• At an annual general and special meeting of shareholders, each of the Company’s five nominees proposed by management was elected as a director of the Company. Shareholders of the Company also ratified management’s proposed shareholder rights plan.
  
  
• The Company closed on a $30 million junior secured loan.

Subsequent Events (August 1, 2025 – Present): 

• The Company opened four new Canna Cabana locations across Ontario and Saskatchewan—Saskatoon, Lasalle, Burlington, and London—bringing the total Canna Cabana store count to 207 locations across Canada.
  
  
• The Company announced and subsequently closed its acquisition of a 51% interest in Remexian Pharma GmbH (“Remexian”) for an estimated purchase price of €26.4 million, allowing the Company to enter the fast growing German medical cannabis market. The Company has a five-year option to acquire the remaining 49% equity interest in Remexian at any time after 24 months from the closing date.

CANNABIS BRANDS WHITE LABEL UPDATE

The Company notes that as of September 8, 2025, it sells 75 cannabis and accessory SKUs across both of its flagship Queen of Bud and Cabana Cannabis Co. brands. Below is a breakdown of the current Queen of Bud and Cabana Cannabis Co. products available in the Company’s store network.

Queen of Bud and Cabana Cannabis Co.
SKUs Available in Canna Cabana Stores

Selected financial information for the third quarter ended July 31, 2025:
(Expressed in thousands of Canadian Dollars)

Full story available on Benzinga.com