Mr. Jason Wild reports

TERRASCEND ANNOUNCES PRELIMINARY FOURTH QUARTER 2024 FINANCIAL RESULTS AND SCHEDULES EARNINGS CONFERENCE CALL

Terrascend Corp. has released preliminary and unaudited financial results for its quarter ended Dec. 31, 2024. All amounts are in United States dollars.

For the fourth quarter of 2024, the company anticipates:

• Net revenue of $74.4-million, up 0.3 per cent from $74.2-million in the third quarter of 2024;
• Gross profit margin of 50.2 per cent, up 140 basis points from 48.8 per cent in the third quarter of 2024;
• General and administrative expenses decreased quarter over quarter;
• Generated positive cash flow from operations in the quarter.

"Despite a challenging environment, the business performed ahead of our expectations during the fourth quarter of 2024, delivering positive sequential revenue growth with an expansion of gross margin to 50.2 per cent and a reduction in operating expenses. With our recent refinancing completed, which extended the vast majority of our debt maturities to late 2028, the team was able to fully focus on operational improvements in the fourth quarter. We are excited about a possible adult use bill passing in Pennsylvania, which will enable us to fully utilize our large-scale 150,000-square-foot cultivation and manufacturing facility in the state. We look forward to the governor's budget address next week where we believe he will outline his strongest case yet for a state recreational program. The fourth quarter results give us confidence in 2025 as we focus on driving operational efficiencies and growth in our core business while judiciously pursuing multiple greenfield expansion opportunities at increasingly attractive prices," stated Jason Wild, executive chairman of Terrascend.

Fourth quarter operational highlights

• Retained the No. 1 market share position in New Jersey for all quarters of 2024, according to BDSA;
• Grew revenue in Maryland for the fourth consecutive quarter and expanded gross margin to over 50 per cent;
• Commenced preparation for Pennsylvania adult use implementation, leveraging the company's 150,000 square ft cultivation and manufacturing facility and Apothecarium retail network;
• Signed Ohio Ratio Cannabis deal which is expected to close in the first quarter of 2024, marking the company's entry into its sixth state.

Conference call details

The company will host a conference call to discuss the results for its fourth quarter and full year ended Dec. 31, 2024, on Thursday, March 6, 2025, at 5 p.m. Eastern Time. The company will report its financial results for the fourth quarter and full year 2024 the same day after market close.

Date:  Thursday, March 6, 2025

Time:  5 p.m. Eastern Time

Dial-in number:  1-888-510-2154

Replay:  1-289-819-1450 or 1-888-660-6345, available until midnight Eastern Time on Thursday, March 20, 2025

Replay entry code:  33966 followed by the pound key

About Terrascend Corp.

Terrascend is a leading Toronto Stock Exchange listed cannabis company with interests across the North American cannabis sector, including vertically integrated operations in Pennsylvania, New Jersey, Maryland, Michigan and California through Terrascend Growth Corp. and retail operations in Canada through Terrascend Canada Inc. Terrascend operates The Apothecarium, Gage and other dispensary retail locations as well as scaled cultivation, processing and manufacturing facilities in its core markets. Terrascend's cultivation and manufacturing practices yield consistent, high-quality cannabis, providing industry-leading product selection to both the medical and legal adult-use markets. The company owns or licenses several synergistic businesses and brands, including Gage Cannabis, The Apothecarium, Cookies, Lemonnade, Ilera Healthcare, Kind Tree, Legend, State Flower, Wana and Valhalla Confections.

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