Grown Rogue International (GRIN) investor relations material

Executive summary

• Growth initiatives are progressing with Phase II expansion in New Jersey, new project activation in Illinois, and ongoing construction in Minnesota, alongside new product launches in Oregon and strong consumer feedback.

• Revenue rose 28% year-over-year to $9.2 million in Q1 2026, driven by New Jersey growth and modest gains in Oregon; Michigan revenue up due to excise tax pass-through, but down 4% excluding tax impact.

• Adjusted EBITDA increased to $1.6 million (17.1% margin), up from $1.2 million (16.6%) in Q1 2025.

• Focus remains on building a resilient business regardless of federal legalization outcomes, with measured actions to maintain optionality for interstate commerce.

• Brand loyalty is increasing, evidenced by high package sales and strong consumer engagement in New Jersey.

Financial highlights

• Revenue guidance for the year was modestly increased due to better-than-expected market response in Michigan despite a new wholesale tax.

• Gross profit was $4.0 million (43.2% margin), up from $3.4 million (47.0%) in Q1 2025; margin declined due to pricing pressure.

• Cash and cash equivalents increased to $13.7 million as of March 31, 2026, from $11.4 million at year-end 2025.

• Expectation to reach the higher end of adjusted EBITDA guidance, driven by operational improvements and new facility productivity.

• Profitability in Michigan was impacted by the new 24% excise tax, which is partially passed through to customers but still affects margins.

Outlook and guidance

• 2026 revenue guidance raised to $34–$37 million (from $32–$35 million); Adjusted EBITDA guidance maintained at $6–$8 million.

• 2027 guidance: revenue $50–$58 million, Adjusted EBITDA $14–$18 million.

• All major projects (New Jersey, Illinois, Minnesota) are on schedule, with New Jersey's full facility completion targeted by year-end and Minnesota occupancy expected in late Q3.

• Illinois expected to contribute revenue in Q4 2026; Minnesota in Q1 2027.

• Guidance assumes no change in federal cannabis policy and excludes M&A.