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RYTHM (RYM) investor relations material
RYTHM Q3 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q3 2026 revenue was $23.857M, including $17.500M in licensing revenue; operating income was $981K and net loss was $533K.
Nine-month net income of $20.573M included a $26.798M non-cash tax benefit from releasing a valuation allowance.
Fixed licensing fees support revenue, but impending hemp-derived THC restrictions and $80M of convertible-note maturities through February 2027 pose significant uncertainties.
Financial highlights
Q3 revenue was $23.857M vs. $4.043M YoY; nine-month revenue was $60.163M vs. $6.623M.
Q3 gross profit was $18.351M vs. $1.375M YoY; nine-month gross profit was $47.283M vs. $2.147M.
Q3 operating income from continuing operations was $981K vs. an $8.888M loss; nine-month operating loss narrowed to $1.117M from $19.387M.
Q3 net loss was $533K, or $0.07/share; nine-month net income was $20.573M, or $1.57/share.
Adjusted EBITDA was $5.938M in Q3 and $12.274M for 9M, versus losses of $6.532M and $14.737M in 2025.
Outlook and guidance
Licensing agreements provide $70M in annual fixed fees from April 1, 2026; a post-quarter amendment raised the aggregate fee to $70.25M. CPI-linked increases start in 2027 at 2x CPI, capped at 10% YoY.
Remaining licensing performance obligations were $273.4M at September 30, 2026, expected to be recognized ratably through August 27, 2030; CPI escalators are excluded.
No Q4 2026 outlook was issued because of impending federal and state restrictions on hemp-derived THC products.
Current hemp-derived THC revenue may decline significantly or cease after federal restrictions take effect December 11, 2026; state restrictions may begin November 12.
- Stockholders approved the issuance of common stock, with no questions raised during the meeting.RYM
AGM 2026 - Revenue and profitability soared on licensing and beverage growth, but regulatory risks persist.RYM
Q2 2026 - Shareholders will vote on issuing shares that could give Green Thumb Industries over 90% control.RYM
Proxy filing - Shareholders will vote on a proposal that could give Green Thumb Industries over 90% control.RYM
Proxy filing - All proposals passed as the company targets THC market growth with strong brands and zero debt.RYM
AGM 2026 - Rising THC demand, regulatory shifts, and strong licensing revenue drive growth and market reach.RYM
Investor presentation - Q1 2026 net income $19.9M, 78% margin, revenue $13.3M, Q2 outlook $22M, strong licensing growth.RYM
Q1 2026 - Virtual meeting to elect directors, ratify auditor, and expand equity plan on June 16, 2026.RYM
Proxy filing - Annual meeting to elect directors, ratify auditor, and expand equity plan; Green Thumb holds 50%.RYM
Proxy filing
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