Stein creates cannabis advisory council to regulate state's THC market
ALSO READ: Texas considers banning products infused with THC derived from hemp, and retailers are worried
Stein said there's currently no legal age restriction for purchasing THC products in the state and warned that kids can easily buy them at vape shops.
The new council will study best practices from other states and recommend a comprehensive plan for safe, legal adult-use cannabis sales, including one that also protects children, supports public health and agriculture, and addresses past low-level convictions.
'Today all across North Carolina, there are unregulated intoxicating THC products available for purchase: just walk into any vape shop,' Stein said in a news release. 'There is no legal minimum age to purchase these products! That means that kids are buying them. Without any enforceable labeling requirements, adults are using them recreationally without knowing what is in them or how much THC there is. Our state's unregulated cannabis market is the wild west and is crying for order. Let's get this right and create a safe, legal market for adults that protects kids.'
At 5 p.m. on Channel 9, we will breakdown this executive order.
VIDEO: Illegal THC products found in North Carolina shops, authorities say
Members of the State Advisory Council on Cannabis are:
Co-chairs
Lawrence H. Greenblatt, MD, State Health Director & Chief Medical Officer, North Carolina Department of Health and Human Services
Matt Scott, District Attorney, Prosecutorial District 20 (Robeson County)
Members
David W. Alexander, Owner and President, Home Run Markets, LLC
Arthur E. Apolinario, MD, MPH, FAAFP, 2002-2023 Past President, North Carolina Medical Society; Family Physician, Clinton Medical Clinic
Joshua C. Batten, Assistant Director for Special Services, Alcohol Law Enforcement Division, North Carolina Department of Public Safety
Representative John R. Bell, North Carolina House of Representatives, District 10
Carrie L. Brown, MD, MPH, DFAPA, Chief Psychiatrist, North Carolina Department of Health and Human Services
Mark M. Ezzell, Director, North Carolina Governor's Highway Safety Program, North Carolina Department of Transportation
Anca E. Grozav, Chief Deputy Director, North Carolina Office of State Budget and Management
Representative Zack A. Hawkins, North Carolina House of Representatives, District 31
Colonel Freddy L. Johnson, Jr., Commander, North Carolina State Highway Patrol
Michael Lamb, Police Chief, City of Asheville Police Department
Peter H. Ledford, Deputy Secretary for Policy, North Carolina Department of Environmental Quality
Kimberly McDonald, MD, MPH, Chronic Disease and Injury Section Chief, Division of Public Health, North Carolina Department of Health and Human Services
Patrick Oglesby, Attorney and Founder, Center for New Revenue
Forrest G. Parker, CEO / General Manager, Qualla Enterprises LLC / Great Smoky Cannabis Company
Senator Bill P. Rabon, North Carolina Senate, District 8
Lillie L. Rhodes, Legislative Counsel, Administrative Office of the Courts
Gary H. Sikes, Owner, Bountiful Harvest Farm and Partner, Legacy Fiber Technologies
Senator Kandie D. Smith, North Carolina Senate, District 5
Keith Stone, Sheriff, Nash County
Joy Strickland, Senior Deputy Attorney General, Criminal Bureau of the North Carolina Department of Justice
Deonte' L. Thomas, Chief, Wake County Public Defender Office
Missy P. Welch, Director of Programming (Permits/Audit/Product Sections), Alcoholic Beverage Control Commission
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TORONTO--(BUSINESS WIRE)--Organigram Global Inc. (NASDAQ: OGI) (TSX: OGI), (the 'Company' or 'Organigram'), Canada's #1 cannabis company by market share 1, is pleased to announce its record results for the third quarter ended June 30, 2025 ('Q3 Fiscal 2025' or 'Q3'). Q3 FISCAL 2025 HIGHLIGHTS Record Gross Revenue: $110.2 million (+73% year-over-year, +7.2% sequential). Record Net Revenue: $70.8 million (+72% year-over-year, +7.9% sequential). International Revenue: $7.4 million (+208% year-over-year, +21% sequential). Adjusted EBITDA 2: $5.7 million (+64% year-over-year, +16% sequential). Free Cash Flow 2: $5.0 million versus ($4.8) million in the prior year period. Motif Synergies: $4.2 million to date, approximately $11 million annualized; on track to hit $15 million target within 24 months of acquisition. 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'With our strong Canadian market leadership now in place, we are committed to bringing our Canadian successes, underpinned by innovation and a commitment to quality, to international markets. We have grown our export business, expanded into the US, and are set to launch new brands internationally, all building towards our ambition of becoming a truly global cannabis player.' THIRD QUARTER FISCAL 2025 FINANCIAL OVERVIEW Net revenue: Net revenue increased 72% to $70.8 million, from $41.1 million in the third quarter ended June 30, 2024 ('Q3 Fiscal 2024'), primarily driven by contributions from the Motif Labs Ltd. ('Motif') acquisition and increased international sales. Adjusted gross margin 2: Adjusted gross margin was $24.2 million, or 34% of net revenue, compared to $14.6 million, or 36%, in Q3 Fiscal 2024. Organigram's standalone adjusted gross margin excluding Motif was approximately 37% in Q3. Management expects adjusted gross margin to improve over the coming quarters as Motif acquisition-related synergies are realized. Selling, general & administrative ('SG&A') expenses: SG&A increased 70% to $24.5 million from $14.4 million in Q3 Fiscal 2024. The increase was attributable to the inclusion of Motif SG&A in Organigram's consolidated financials as well as higher trade investments to support the growth of the business. As a proportion of net revenue, SG&A remained flat at 35%, compared to 35% in Q3 Fiscal 2024. Included in SG&A was an incremental investment of $1.2 million into ERP versus the prior year and higher amortization of $1.6 million associated with Motif and Collective Project Limited ('Collective Project') acquisitions. Net loss: Net loss was $6.3 million compared to net income of $2.8 million in Q3 Fiscal 2024. The decrease in net income from the prior period is primarily attributable to higher fair value changes recognized in relation to the preferred shares and top-up-rights held by British American Tobacco p.l.c ('BAT'), and other financial instruments. Adjusted EBITDA 4: Adjusted EBITDA was $5.7 million compared to $3.5 million in adjusted EBITDA in Q3 Fiscal 2024. The increase was primarily attributable to higher recreational revenue, including Motif contributions, and higher international revenue. Net cash from operating activities: Net cash from operating activities was $14.6 million, compared to cash used of $3.7 in Q3 Fiscal 2024. The increase was primarily attributable to improved working capital utilization. 'In Q3 we delivered solid revenue and adjusted EBITDA growth sequentially and year-over-year while making significant progress toward the full integration of our recent acquisitions,' said Greg Guyatt, CFO of Organigram. 'As our business continues to scale domestically and abroad, and the realization of cost synergies related to our Motif acquisition begin to positively impact future earnings, we are confident in our trajectory toward sustained profitability and free cash flow in the near-term.' CANADIAN RECREATIONAL MARKET INTRODUCTIONS As Canada's market leader in recreational cannabis, Organigram remains committed to delivering consumer focused innovations and products to its customers. Some notable recent highlights include: SHRED Max10 Party Pack: Ten individual 10mg gummies separately packaged within a container to provide consumers with 100mg THC per container. Big Bag O' Buds: New strains in Blueberry Dream, UK Cheddar Cheese, and Comboz (Ultra Sour & Blueberry Dream). SHRED Flower Power: The return of the OG SHRED blend — A sativa blend boasting strong sweet and floral aromas. BOXHOT IPRs: Pear Herer & Strawberry Diesel infused pre-rolls. 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Expand Select Balance Sheet Metrics (in $000s) JUNE 30, 2025 SEPTEMBER 30, 2024 % Change Cash & short-term investments (including restricted cash) 85,931 133,426 (36 )% Biological assets & inventories 125,186 82,524 52 % Other current assets 66,666 46,269 44 % Accounts payable & accrued liabilities 89,803 47,097 91 % Current portion of long-term debt 40 60 (33 )% Working capital 170,508 208,897 (18 )% Property, plant & equipment 123,537 96,231 28 % Long-term debt — 25 (100 )% Total assets 564,615 407,860 38 % Total liabilities 179,119 101,871 76 % Shareholders' equity 385,496 305,989 26 % Expand The following table reconciles the Company's adjusted EBITDA to net loss. Adjusted EBITDA Reconciliation (in $000s unless otherwise indicated) Q3-2025 Q3-2024 Net (loss) income as reported $ (6,294 ) $ 2,818 Add/(deduct): Investment income, net of financing costs (73 ) (1,179 ) Income tax (recovery) expense (9,903 ) — Depreciation and amortization 4,789 3,039 ERP implementation costs 1,217 7 Acquisition and other transaction costs 654 421 Inventory and biological assets fair value and NRV adjustments (2,787 ) 578 Acquisition-related fair value adjustment to inventory sold 897 — Share-based compensation 1,007 2,087 Other (income) expenses(1) 13,511 (6,687 ) Research and development expenditures, net of depreciation 2,676 2,381 Adjusted EBITDA $ 5,694 $ 3,465 Note 1: Other (income) expenses includes share of loss from investments in associates, (gain) loss on disposal of property, plant and equipment, change in fair value of derivative liabilities, preferred shares, contingent consideration and other financial assets, and certain other non-operating (income) expenses. Expand The following table reconciles the Company's adjusted gross margin to gross margin before fair value changes to biological assets and inventories sold: The following table reconciles the Company's Free Cash Flow to net cash and restricted cash provided by (used in) operating activities: Third Quarter Fiscal 2025 Conference Call The Company will host a conference call to discuss its results with details as follows: Date: August 13, 2025 Time: 8:00 am Eastern Time To register for the conference call, please use this link: To ensure you are connected for the full call, we suggest registering a day in advance or at minimum 10 minutes before the start of the call. After registering, a confirmation will be sent through email, including dial in details and unique conference call codes for entry. Registration is open through the live call. To access the webcast: A replay of the webcast will be available within 24 hours after the conclusion of the call at and will be archived for a period of 90 days following the call. Non-IFRS Financial Measures This news release refers to certain financial performance measures (including adjusted gross margin, adjusted gross margin %, adjusted EBITDA and Free Cash Flow) that are not defined by and do not have a standardized meaning under IFRS as issued by the International Accounting Standards Board. Non-IFRS financial measures are used by management to assess the financial and operational performance of the Company. The Company believes that these non-IFRS financial measures, in addition to conventional measures prepared in accordance with IFRS, enable investors to evaluate the Company's operating results, underlying performance and prospects in a similar manner to the Company's management. As there are no standardized methods of calculating these non-IFRS measures, the Company's approaches may differ from those used by others, and accordingly, the use of these measures may not be directly comparable. Accordingly, these non-IFRS measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Adjusted EBITDA is a non-IFRS measure that the Company defines as net income (loss) before: net of financing costs; income tax expense (recovery); depreciation, amortization, impairment, normalization of depreciation add-back due to changes in depreciable assets resulting from impairment charges, (gain) loss on disposal of property, plant and equipment (per the consolidated statement of cash flows); share-based compensation (per the consolidated statement of cash flows); share of loss (gain) from investments in associates including impairment loss; change in fair value of contingent consideration; change in fair value of derivative liabilities, other financial assets and preferred shares; expenditures incurred in connection with research and development ("R&D") activities (net of depreciation); unrealized gain on changes in fair value of biological assets; realized fair value on inventories sold and other inventory charges; provisions and net realizable value adjustments related to inventory and biological assets; government subsidies, insurance recoveries and other non-operating expenses (income); legal provisions (recoveries); incremental fair value component of inventories sold from acquisitions; ERP implementation costs; transaction costs; share issuance costs; and provision for expected credit losses . Adjusted EBITDA is intended to provide a proxy for the Company's operating cash flow and derive expectations of future financial performance for the Company, and excludes adjustments that are not reflective of current operating results. Adjusted gross margin is a non-IFRS measure that the Company defines as net revenue less cost of sales, before the effects of (i) unrealized gain on changes in fair value of biological assets; (ii) realized fair value on inventories sold and other inventory charges; (iii) provisions and impairment of inventories and biological assets; and (iv) provisions to net realizable value. Adjusted gross margin % is calculated by dividing adjusted gross margin by net revenue. Management believes that these measures provide useful information to assess the profitability of our operations as they represent the normalized gross margin generated from operations and exclude the effects of non-cash fair value adjustments on inventories and biological assets, which are required by IFRS. Free Cash Flow is a non-IFRS measure that the Company defines as net cash provided by or used in operating activities less the purchase of property, plant and equipment. Management believes this measure is a useful indicator of the Company's capacity to fund operations from internally generated cash flows, without the need for additional borrowings or use of existing cash reserves under normal operating conditions. The most directly comparable measure to adjusted EBITDA, calculated in accordance with IFRS is net income (loss) and beginning on page 5 of this press release is a reconciliation to such measure. The most directly comparable measure to adjusted gross margin calculated in accordance with IFRS is gross margin before fair value changes to biological assets and inventories sold and beginning on page 5 of this press release is a reconciliation to such measure. The most directly comparable measure to Free Cash Flow is net cash and restricted cash provided by (used in) operating activities, and beginning on page 5 of this press release is a reconciliation to such measure. About Organigram Global Inc. Organigram Global Inc. is a NASDAQ Global Select Market and TSX listed company whose wholly-owned subsidiaries include Organigram Inc., a licensed cultivator or cannabis and manufacturer of cannabis-derived goods in Canada. Through its recent acquisition of Collective Project, Organigram Global participates in the U.S. and Canadian cannabinoid beverages markets. 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These statements are not historical facts but instead represent management beliefs regarding future events, many of which, by their nature are inherently uncertain and beyond management control. Forward-looking information has been based on the Company's current expectations about future events. Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectations. These risks, uncertainties and factors include: general economic factors; international trade disputes sparked by tariffs and retaliatory tariffs or other non-tariff measures; changes to government laws, regulations or policies, including customs, tariffs, trade or environmental law, regulations or policies, or the enforcement thereof; receipt of regulatory approvals or consents and any conditions imposed upon same and the timing thereof; the Company's ability to meet regulatory criteria which may be subject to change; change in regulation including restrictions on sale of new product forms; change in stock exchange listing practices; the Company's ability to manage costs, timing and conditions to receiving any required testing results and certifications; results of final testing of new products; changes in governmental plans including those related to methods of distribution; timing and nature of sales and product returns; customer buying patterns and consumer preferences not being as predicted given this is a new and emerging market; material weaknesses identified in the Company's internal controls over financial reporting; the completion of regulatory processes and registrations including for new products and forms; market demand and acceptance of new products and forms; unforeseen construction or delivery delays including of equipment and commissioning; increases to expected costs; competitive and industry conditions; change in customer buying patterns; and changes in crop yields. These and other risk factors are disclosed in the Company's documents filed from time to time under the Company's issuer profile on the Canadian Securities Administrators' System for Electronic Document Analysis and Retrieval+ ('SEDAR') at and reports and other information filed with or furnished to the United States Securities and Exchange Commission ('SEC') from time to time on the SEC's Electronic Document Gathering and Retrieval System ('EDGAR') at including the Company's most recent management discussion and analysis ('MD&A') and annual information form. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this news release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Forward looking information is subject to risks and uncertainties that are addressed in the 'Risk Factors' section of the MD&A dated August 12, 2025 and there can be no assurance whatsoever that these events will occur. This news release contains information concerning our industry and the markets in which we operate, including our market position and market share, which is based on information from independent third-party sources. Although we believe these sources to be generally reliable, market and industry data is inherently imprecise, subject to interpretation and cannot be verified with complete certainty due to limits on the availability and reliability of raw data, the voluntary nature of the data gathering process, and other limitations and uncertainties inherent in any statistical survey or data collection process. We have not independently verified any third-party information contained herein.
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