Trulieve — Third Quarter 2026 Earnings Summary

Financial Performance:

• Q3 2026 revenue was $230 million, a 20% decrease from $288 million in Q3 2025; nine-month revenue was $788 million, an 11% decrease from $888 million in the same period of 2025.
• Gross margin was 64% in Q3 2026 compared to 59% in Q3 2025; gross profit was $148 million.
• Net income attributable to common shareholders was $1 million in Q3 2026, compared to a net loss of $27 million in Q3 2025.
• Adjusted net income was $18 million in Q3 2026, compared to an adjusted net loss of $12 million in Q3 2025.
• Adjusted EBITDA was $89 million (39% margin) in Q3 2026, down 13% from $103 million (36% margin) in Q3 2025.
• Cash flow from operations was $74 million in Q3 2026 and $183 million for the nine months ended September 30, 2026.
• Free cash flow was $45 million in Q3 2026 and $120 million for the nine months ended September 30, 2026.
• Cash and cash equivalents at quarter end were $327 million.
• Operating expenses were $106 million in Q3 2026 (46% of revenue) compared to $128 million (44% of revenue) in Q3 2025.
• Diluted shares outstanding were 201 million in Q3 2026 compared to 191 million in Q3 2025.
• Adjusted diluted EPS was $0.09 in Q3 2026 compared to $(0.07) in Q3 2025.

Guidance and Future Outlook:

• Management stated the company is in the early stages of an accelerated growth cycle driven by expansion opportunities in Georgia and Texas.
• The company highlighted that state licensed medical marijuana rescheduling has unlocked major milestones including DEA registration and the removal of the 280E tax.

Business Segments and Product Lines:

• 95% of Q3 2026 revenue was derived from retail sales.
• The company operates 208 retail dispensaries and 3.5 million square feet of cultivation and processing capacity in the United States.
• New product launches including Modern Flower and Roll One contributed to a seven-fold increase in traffic in Georgia following the medical cannabis program expansion on July 1.
• The company closed a perpetual royalty-free license for Alien Labs and Connected branded cannabis products in Florida and Texas, including genetics, trademarks, and proprietary know-how.
• Two new dispensaries opened in Marco Island, Florida, and Dunwoody, Georgia.
• The company completed its corporate domestication from British Columbia to Delaware.

Market and Competitive Landscape:

• Trulieve was added to the S&P Total Market Index (TMI), S&P Completion Index (CI), and Morningstar Total Stock Market Index.
• The company rang the closing bell at the New York Stock Exchange to commemorate its NYSE listing.
• The company received final DEA registrations for state licensed medical marijuana dispensaries under the federal regulatory framework for qualified medical marijuana businesses.

Risks and Challenges:

• The press release notes that actual results may differ from forward-looking statements due to risks and uncertainties, including those related to broader cannabis rescheduling and state program expansion.
• Specific risks are detailed in the company's most recent Annual Report on Form 10-K and periodic reports filed with the SEC.

Management Commentary and Tone:

• Kim Rivers, CEO, stated that Q3 results demonstrate the strength of the medical cannabis platform underscored by revenue, margins, and cash generation.
• Management expressed confidence in the platform's ability to leverage regulatory changes and expansion opportunities.

Other Key Points:

• The company repaid $65 million in mortgage notes payable ahead of maturity in 2028 to reduce leverage and interest expense.
• The company deconsolidated Harvest mixed medical and adult use operations on June 3, 2026.
• The company recorded a $403.3 million loss on the deconsolidation transaction for the nine months ended September 30, 2026.
• The company recognized an equity in net loss of Harvest of $6.4 million in Q3 2026.
• Deferred revenue was $5.9 million at September 30, 2026, down from $9.6 million at December 31, 2025.
• Total liabilities were $1,346.7 million at September 30, 2026, compared to $1,553.1 million at December 31, 2025.
• Total equity was $771.5 million at September 30, 2026, compared to $1,143.0 million at December 31, 2025.