Canada's Organigram Q3 revenue beats on Sanity acquisition; CFO to exit

Organigram Global

11/08/2026 11:10

Overview
Canada cannabis producer's fiscal Q3 net revenue rose 49% yr/yr, beating analyst expectations
Adjusted EBITDA more than doubled yr/yr, reflecting Sanity Group acquisition and operational gains
Company attributed record results to Sanity Group acquisition and improved Canadian operations
“I would also like to recognize Paolo De Luca, who will be departing Organigram after nine years of exceptional leadership and service," said James Yamanaka, Chief Executive Officer

Outlook
Organigram expects full-year net revenue to exceed C$350 mln
Company anticipates adjusted gross margin and adjusted EBITDA to surpass fiscal 2025 levels
Organigram expects positive free cash flow in Q4 despite modestly negative free cash flow for the full year

Result Drivers
SANITY GROUP ACQUISITION - Co said record Q3 revenue and adjusted EBITDA were primarily driven by contributions from Sanity Group
INTERNATIONAL SALES - Co said higher proportion of international sales from Sanity Group helped boost adjusted gross margin
OPERATIONAL EFFICIENCIES - Co said improved operational efficiencies and targeted product portfolio changes supported Canadian market performance

Company press release: ID:nBw5cPj7Sa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
C$105.78 mln
C$98.75 mln (5 Analysts)
Q3 Gross Revenue
 
C$145.07 mln
 
Q3 Net Income
 
C$105.54 mln
 
Q3 Adjusted EBITDA
 
C$13.41 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the healthcare facilities & services peer group is "buy"
Wall Street's median 12-month price target for Organigram Global Inc is C$3.25, about 127.3% above its August 10 closing price of C$1.43
The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 20 three months ago

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Aug 10 - Canadian cannabis producer Village Farms beats 'Q2 sales, EPS estimates on record yields, exports
Aug 10 - Canada's Cargojet Q2 revenue beats estimates
Aug 10 - SHF Holdings Q2 revenue rises 4.8%, net loss widens on deemed dividend

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)