Rubicon Organics Reports Third Quarter 2023 Financial Results

Published: November 16, 2023

Rubicon Organics Reports Third Quarter 2023 Financial Results

Rubicon Organics Inc., a licensed producer focused on cultivating and selling organic certified, premium cannabis, today reported its financial results for the third quarter ended September 30, 2023 (“Q3 2023”). All amounts are expressed in Canadian dollars.

“I am proud to announce Rubicon has achieved our sixth consecutive quarter of positive Adjusted EBITDA and fifth consecutive quarter of positive operating cashflow. Despite the challenges encountered in the demanding Canadian cannabis sector with competitive price compression alongside broader negative macroeconomic pressures faced by Canadian shoppers, we persist in fortifying the Company’s standing as a leading force in the premium cannabis market, and are looking forward to executing our strategy to leverage the strength of our leading premium brands.” said Margaret Brodie, Interim CEO and CFO.

Q3 2023 Financial Highlights:

  • Net revenue of $10.0 million (5% decrease from Q3 2022) and $30.1 million (23% increase from Q3 2022) for the three and nine months ended September 30, 2023.

  • Gross profit before fair value adjustments of $3.2 million (21% decrease from Q3 2022) and $10.9 million (41% increase from Q3 2022) for the three and nine months ended September 30, 2023.

  • Achieved sixth consecutive quarter of Adjusted EBITDA[1] profitability with $1 million and $3.1 million for the three and nine months ended September 30, 2023, a decrease of $0.8 million and increase of $2.4 million compared to the comparative periods in 2022.

  • Growth in cash balance by $2.6 million from September 30, 2022 from $6.8 million to $9.4 million.

  • Achieved fifth consecutive quarter of operating cashflow positive of $4 million and $4.0 million for the three and nine months ended September 30, 2023.

  • The Company had working capital of $18.7 million as at September 30, 2023 of which $9.4 million of cash on hand and $3.6 million in accounts receivable.

  • Simply BareTM Organic and 1964 Supply CoTM identified as 2 of top 3 brands recommended by Canadian budtenders[6].

  • 1964 Supply CoTM voted #1 brand sampled at KIND Summer Fair.

  • 2.0%[7] national market share of flower and pre-rolls for the three months ended September 30, 2023.

  • 5.6%[2] national market share of premium flower and pre-rolls for the three months ended September 30, 2023.

  • 5.1%[3] national market share of premium edibles for the three months ended September 30, 2023 following initial launch in Q2 2023.

Q3 2023 and Subsequent Sales & Operational Highlights

  • Rubicon Organics has been establishing high-quality partnerships for contract grow and co-manufacturing to complement our own premium production and to satisfy the increasing demand for our brands.

  • The Company launched its first entry into the edibles category, through a co-manufacturing relationship, with 1964 Supply CoTM live rosin edibles in Ontario, BC and Alberta. These edibles were the first single-strain live rosin edibles in Canada and are vegan and gluten-free. Following up on the success of the initial two flavour launch in the second quarter, 1964 Supply CoTM has rolled out three additional flavours.

  • The Company’s brand, Simply Bare TM Organic brand launched infused pre-rolls under the Simply Bare TM Organic brand, “Layer J” in BC and Ontario in October 2023. It contains two layers, one with flower and hash of one cultivar, and the other with flower and hash rosin of another cultivar. The two cultivars are BC Organic Cleopatra and BC Organic White Rainbow.

  • In October 2023, Simply Bare TM Organic launched a new 2-gram hash, “New School Hash” available in BC, Ontario, Alberta and Quebec.

  • With the continuing growth of the infused pre-roll category, 1964 Supply Co™ launched the 1 x 1-gram Comatose rosin roll that features a mix of flavourful Comatose flower and potent Comatose hash rosin. Comatose was the 1964 Supply Co TM “hero strain” and was voted indica of the year by Kind Magazine in December 2022.

  • In September 2023, the Company’s brand 1964 Supply Co™ launched an infused pre-roll, the Super Lemon Haze “Heavy Hitter” rosin roll which is a 1 x 1 gram infused pre-rolls featuring Super Lemon Haze flower, and potent Super Lemon Haze hash rosin.

  • Wildflower™ is leveraging its leading market share by launching new products to address consumer needs in the wellness space. The new products launched consist of Wildflower™ Extra Strength Relief Stick and Wildflower™ 1:1 CBD:THC Relief Stick.

  • Wildflower™ launched its first edibles in BC in October 2023. These edible products consist of four flavours and contain the minor cannabinoids CBN, CBG and CBD as well as full spectrum THC live rosin, and are vegan and gluten-free. In November 2023, all four flavours also became available in Alberta.

  • In the second quarter of 2023, Brightfield released its own survey of Canadian Budtenders and in those results, Simply Bare TM Organic and 1964 Supply CoTM were identified as two of the top three most recommended brands by Canadian budtenders[6].

  • 1964 Supply CoTM was voted as the #1 brand sampled at the KIND Summer Fair by budtenders. Of the budtenders surveyed, 96% are more likely to recommend a brand they sampled at the KIND Summer Fair.

  • The Company has 2.0% [7] [8] national market share of flower and pre-rolls for the three and nine months ended September 30, 2023.

  • The Company has 5.6%[2]  and 5.4%[9] national market share of premium flower and pre-rolls for the three and nine months ended September 30, 2023.

  • The Company’s topical brand, Wildflower™, continues to be the number one [4] [5]  topical brand in Canada with a market share of 26.0%[4]  and 22.0%[5]  for the three and nine months ended September 30, 2023, increasing from 19.9%[10] (31% increase) and 16.7%[11] (32% increase) from the comparative periods in the prior year.


About Rubicon Organics Inc.
Rubicon Organics Inc. is the global brand leader in premium organic cannabis products. The Company is vertically integrated through its wholly owned subsidiary Rubicon Holdings Corp, a licensed producer. Rubicon Organics is focused on achieving industry leading profitability through its premium cannabis flower, product innovation and brand portfolio management, including three flagship brands: its super-premium brand Simply Bare™ Organic, its premium brand 1964 Supply Co™, and its cannabis wellness brand Wildflower™ in addition to the Company’s mainstream brand Homestead Cannabis Supply™ and its premium concentrate brand Lab Theory™.

The Company ensures the quality of its supply chain by cultivating, processing, branding and selling organic certified, sustainably produced, super-premium cannabis products from its state-of-the-art glass roofed facility located in Delta, BC, Canada.