Vancouver, British Columbia – (Newsfile Corp. – March 03, 2026) – Nextleaf Solutions Ltd. (CSE: OILS) (OTCQB: OILFF) (FSE: L0MA) (“Nextleaf“, “OILS“, or the “Company“), a multi-patented life science company and Canadian cannabis processor announced today its financial results for the three months ended December 31, 2025 (“Q1 FY26”) reporting gross revenue of CAD $3,994,369, net revenue of CAD $3,020,519, and gross profit of CAD $1,288,197.
Q1 FY26 marked continued execution, with sustained profitability, improved working capital, and positive operating cash flow.
Q1 FY26 Financial Highlights
Revenue & Margin Performance
Gross revenue: $3,994,369
Net revenue: $3,020,519
Gross profit: $1,288,197
Gross margin: 43%
Profitability
Net income: $259,171
Adjusted EBITDA1: $349,961
Cash Flow and Liquidity:
Positive operating cash flow: $348,609
Quarter-end cash: $680,277
[1] Non-IFRS or supplementary financial measure. See discussion in the Non-IFRS Financial Measures advisories section of this press release below and Management Discussion & Analysis.
Financial Performance:
Gross revenue increased to approximately $4 million (up 3.7% from Q1 FY25 at $3,852,505), alongside net revenue increase of 4.6% to $3.02 million. This was driven by sustained momentum across the company’s portfolio of branded extract products, reflecting the Company’s continued strategic emphasis on higher-margin activities, including consumer packaged goods (vapes, oils, and softgels).
Gross profit increased year-over-year to $1.29 million. The Company generated positive net income of $259,171 and positive adjusted EBITDA1 of $349,961 for the quarter. This marks the Company’s fifth consecutive quarter of positive adjusted EBITDA¹.
Q1 FY26 reflects continued progress toward sustainable profitability, demonstrating resilience following the temporary, late-2025 supply chain disruption in British Columbia.
Nextleaf generated positive operating cash flow of $348,609 during Q1 FY26, contributing to a strengthened cash position and improved working capital year over year. The Company continues to operate without secured debt.
Operational and Strategic Highlights:
In November 2025, Nextleaf announced the national launch of Yard Cannabis, a new recreational brand designed to serve adult-use consumers seeking high-potency extracts, premium inputs, and an improved consumption experience through next-generation hardware.
Yard expands the Company’s house of brands and complements flagship brand Glacial Gold’s established leadership in non-combustible formats for value-seeking wellness consumers. This launch strengthened the Company’s portfolio depth across multiple consumer segments.
“Q1 FY26 reflects continued discipline across our operating model, from margin protection to capital efficiency,” said Emma Andrews, CEO of Nextleaf Solutions. “We are building a consistently profitable platform with a strong balance sheet and scalable infrastructure. In a competitive market, execution remains our differentiator.”
Q2 FY2026 Outlook:
Nextleaf enters the second quarter (January-March 2026) focused on:
Advancing international export opportunities and relationships.
Scaling the Company’s branded product portfolio through increased distribution, and incremental product listings nationally.
Biomass processing and bulk ingredient manufacturing: single strain, organically grown, sourced-in-BC inputs.
ERP-driven digital integration and business intelligence optimization.
Maintaining positive operating cash flow and disciplined capital allocation.
The Company remains committed to profitable growth and long-term shareholder value creation.
About Nextleaf Solutions Ltd.
Nextleaf® is a Canadian, federally licensed cannabis processor and life science company, delivering a portfolio of high purity cannabinoid ingredients and branded derivative products at scale.
As a total quality producer, Nextleaf maintains end-to-end controls and oversight across sourcing, extraction, distillation, formulation, and finished goods through a multi-patented, highly automated, closed-loop system. Nextleaf holds 19 U.S. patents and over 75 patents globally covering advanced cannabinoid processing, including extraction, distillation, and acetylation.
Nextleaf’s house of brands includes a range of value-driven and soft-premium offerings through category-leading flagship brand Glacial Gold, High Plains Cannabis, and recently launched Yard Cannabis. Distributed coast-to-coast across medical and recreational channels, with an emerging niche amongst wellness consumers, Nextleaf’s portfolio includes GMP-compliant and export-ready pharma-grade ingredients and products.
On behalf of the Board of Directors of the Company,
Emma Andrews, CEO
Contact: investors@nextleafsolutions.com
Follow Nextleaf Solutions on LinkedIn
Learn More: www.nextleafsolutions.com
Nextleaf trades as OILS on the Canadian Securities Exchange, OILFF on the OTCQB Market in the United States, and L0MA on the Frankfurt Stock Exchange.
Disclaimers and Disclosure Statements:
Certain statements contained in this press release constitute “forward-looking statements” within the meaning of applicable securities laws. All statements other than statements of historical fact contained in this press release, including, without limitation, statements regarding the Company’s anticipated delivery of its products to provincial markets across Canada and those regarding the Company’s strategy, plans, objectives, goals and targets, and any statements preceded by, followed by or that include the words “believe”, “expect”, “aim”, “intend”, “plan”, “continue”, “will”, “may”, “would”, “anticipate”, “estimate”, “forecast”, “predict”, “project”, “seek”, “should” or similar expressions or the negative thereof, are forward-looking statements. These statements are not historical facts but instead represent only the Company’s expectations, estimates and projections regarding future events. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict. Therefore, actual results may differ materially from what is expressed, implied or forecasted in such forward-looking statements. Additional factors that could cause actual results, performance or achievements to differ materially include, but are not limited to the risk factors discussed in the Company’s MD&A for the most recent fiscal period. Management provides forward-looking statements because it believes they provide useful information to investors when considering their investment objectives and cautions investors not to place undue reliance on forward-looking information. Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, the Company. These forward-looking statements are made as of the date of this press release and the Company assumes no obligation to update or revise them to reflect subsequent information, events or circumstances or otherwise, except as required by law. The Canadian Securities Exchange has not reviewed or approved the contents of this press release.
Non-IFRS Financial Measures
This press release includes references to “EBITDA”, which are not defined under International Financial Reporting Standards (IFRS). The intent of these non-IFRS measures is to provide additional useful information to investors and analysts. These non-IFRS measures do not have a standardized meaning prescribed by IFRS and is therefore unlikely to be comparable to similar measures presented by other entities. As such, these non-IFRS measures should not be considered in isolation or used as a substitute for measures of performance prepared in accordance with IFRS. EBITDA is considered as a useful measure by management to understand the profitability of Nextleaf Solutions excluding the effects of certain non-operating items.
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