TerrAscend (TER) Investor presentation summary

Industry overview and market outlook

• U.S. cannabis retail sales are projected to reach $56.9 billion by 2028, with 70% of Americans supporting legalization and 42 states having legalized cannabis in some form as of 2024.

• Over 50% of the U.S. population lives in states with legal cannabis, with the user base expected to grow to 122 million by 2028.

• Regulatory catalysts include the rescheduling of medical cannabis to Schedule III and the reintroduction of the SAFER Banking Act.

Company strategy and operations

• Focus on revenue and market share growth through depth in attractive states, operational excellence, and expansion into new markets.

• Vertically integrated operations across five U.S. states, with 20 dispensaries and four cultivation/production facilities.

• Holds the #3 market share position in the Northeast and generates the highest revenue per store among competitors.

• Leading brands include Kind Tree, Legend, Valhalla, and State Flower, with a strong retail presence and customer experience focus.

Financial performance and highlights

• Q2 2026 net revenue from continuing operations was $67.1 million, up from $65.5 million in Q1 2026.

• Gross profit margin improved to 54.0%, a 120 basis point increase quarter-over-quarter.

• Adjusted EBITDA from continuing operations reached $17.7 million (26.3% margin), with positive net cash from operations for the 16th consecutive quarter.

• Free cash flow was $5.7 million, marking the 12th consecutive quarter of positive free cash flow.

• Cash and cash equivalents stood at $42.0 million as of June 30, 2026.