-- Second quarter results include record biomass production of 246,000
pounds and cost of production of $122 per pound, significant
quarter-over-quarter improvements
-- Company completed deconsolidation of its dual-use California business and
celebrates uplisting to NYSE
-- Reaffirms full year 2026 wholesale cannabis biomass production forecast
of approximately 1 million pounds
-- Conference Call to be held today August 13, 2026, at 5:00 p.m. ET
LONG BEACH, Calif. and TORONTO, Aug. 13, 2026 (GLOBE NEWSWIRE) -- Glass House Brands Inc. ("Glass House" or the "Company") (CBOE CA: GLAS.A.U) (NYSE: GLAS), one of the fastest-growing cannabis companies in the U.S., today reported financial results for the second quarter ended June 30, 2026.
As a result of the Company's previously announced deconsolidation of Glass House Retail, LLC ("GHR") effective June 12, 2026, the historical operating results of GHR through June 11, 2026, together with the loss recognized upon deconsolidation of GHR on June 12, 2026, are presented as discontinued operations for all periods presented. Prior-period results of operations have been retrospectively recast to conform to the current-period presentation. Beginning June 12, 2026, the Company's share of GHR's post-deconsolidation income or loss is recognized under the equity method and included in continuing operations. Unless otherwise noted, the results of operations discussed in this earnings release, including the non-GAAP financial measures presented herein, reflect the Company's continuing operations and exclude amounts classified as discontinued operations.
Second Quarter 2026 Highlights
(Unaudited results, unless otherwise stated, all results and dollar references are in U.S. dollars)
-- Revenue was $47.0 million, compared to $47.6 million in Q2 last year and
$28.6 million in the first quarter 2026.
-- Gross Profit Margin of 34%, compared to 55% in second quarter 2025 and
14% in first quarter 2026.
-- Adjusted EBITDA1 was positive $5.7 million, compared to positive
$18.1 million in second quarter 2025 and negative $(4.2) million in first
quarter 2026.
-- Operating Cash Flow of positive $0.2 million, compared to $17.7 million
in second quarter 2025 and negative $(11.8) million in first quarter
2026.
-- Equivalent Dry Pound Production2 was 245,746 pounds, compared to 230,748
in second quarter 2025 and 151,531 in first quarter 2026.
-- Cost per Equivalent Dry Pound of Production3 of $122 per pound, compared
to $91 per pound in second quarter 2025 and $175 per pound in first
quarter 2026.
-- Cash, Restricted Cash and Cash Equivalents balance was $22.1 million at
June 30, 2026, compared to $20.7 million at the end of first quarter
2026.
Management Commentary
"In light of April's rescheduling of medical cannabis, we made significant changes to the business, our licenses and operating structure including registering our cultivation and processing licenses with the DEA, and converting each of our cultivation and processing licenses to medical," said Kyle Kazan, Co-Founder, Chairman and CEO of Glass House. "We are confident that medical cannabis rescheduling is sufficient to support interstate commerce between companies with appropriately registered DEA licenses and export to international medical cannabis markets."
"We completed a deconsolidation transaction whereby we fully separated our retail operations. Now, our remaining business is fully medically licensed and Schedule III compliant."
"Our second quarter results reflect our retail deconsolidation and meaningful progress in returning to more fully efficient operations at our farms. We produced 246,000 pounds of biomass in the quarter, a record level and ahead of both our guidance and our production last year. Our cost of production for the quarter was $122 per pound. The cost of production reflects significant improvement from the $175 per pound we reported last quarter."
"As we look forward, we expect to see a further scaling of production for the second half of 2026 as we start to see a full contribution from Greenhouse Two at the end of this quarter. We remain on track to produce 1 million pounds of biomass this year and to end 2026 with a production run rate of over 1.1 million pounds."
"Longer term, our outlook remains unchanged. Our $95 cost of production target remains achievable as with our operating model, we will never have to pay the high energy bills of indoor peers, nor do we rely on third-party water supply. It is these benefits that have sustained us despite challenging California cannabis market conditions and makes us an ideal supply partner for operators in other markets which rely heavily on indoor growth. We also look forward to entering new markets and product categories, which will further expand our growth trajectory."
Second Quarter 2026 Operational Highlights and Subsequent Events
-- Glass House Brands Announces California Retail Joint Venture with Vireo
Growth
-- Glass House Brands Announces Application for DEA Registration of Certain
Medical Operations
-- Glass House Brands Announces the Filing of Prospectus Supplement for
Previously Announced At-The-Market Distribution Program
-- Glass House Brands Completes Previously Announced Warrant Redemption
-- Glass House Brands Announces the Filing of Shelf Prospectus and
At-The-Market Distribution Program
-- Glass House Brands Announces its Deconsolidation of its Dual-Use Business
and its Application for Uplisting of Shares to NYSE
-- Glass House Brands Announces Voting Results Following Annual Meeting
-- Glass House Brands Provides Notice of Warrant Acceleration
-- Glass House Brands Announces Uplist to NYSE
-- Glass House Brands Completes First International Hemp Sale
-- Glass House Brands Announces the Filing of an Updated At-The-Market
Distribution Program
-- Glass House Brands Retains Former DEA Compliance Executive to Advise on
Interstate Commerce and Export Opportunities
Q2 2026 Financial Results Discussion
Revenues for second quarter 2026 were $47.0 million, compared to $28.6 million in first quarter 2026 and $47.6 million in second quarter 2025, excluding retail revenue. Retail revenue through the date of deconsolidation was $9.9 million for the second quarter of 2026.
The wholesale biomass segment revenue was $41.7 million, accounting for 89% of total revenue. Biomass production reached 245,746 pounds during Q2 2026, compared to 151,531 in the first quarter 2026 and 230,748 in the prior year period.
Wholesale CPG segment revenues were $5.3 million, representing a 14% sequential increase and (4)% year-over-year decrease.
Consolidated gross profit for the second quarter was $15.8 million, compared to $26.1 million for Q2 last year and $4.1 million in first quarter 2026. Gross margin was 34%, compared to 55% in the prior year period and 14% in the first quarter of 2026. The underperformance was attributable to the higher proportion of trim within the production mix and higher cost of production. Retail gross margin through the date of deconsolidation was approximately 50% for the quarter.
Average selling price was $211 per pound, compared to $206 in the second quarter of 2025 as California pricing conditions continue to show signs of improvement.
General and administrative expenses were $13.4 million for the second quarter of 2026, compared to $10.2 million last year and $12.2 million in the first quarter.
Sales and marketing expenses were $0.4 million, compared to $0.3 million during the same period last year and $0.1 million in the prior quarter.
Professional fees were $1.6 million in Q2, compared to $2.9 million in Q1 2026 and $2.0 million in Q2 2025.
Depreciation and amortization in Q2 2026 were $3.4 million, compared to $3.5 million in Q1 2026 and $3.4 million in Q2 2025.
Adjusted EBITDA was positive $5.7 million in Q2 2026, compared to positive $18.1 million in the second quarter 2025 and negative $(4.2) million in Q1 2026. Adjusted EBITDA results reflect the factors that impacted gross margin performance as well as a modest increase in cash operating expenses.
Operating cash flow was positive $0.2 million, compared to positive $17.7 million in the year-ago period and negative $(11.8) million in Q1 2026.
As of June 30, 2026, the Company had $22.1 million of cash and restricted cash, compared to $20.7 million at the start of the second quarter. The Company spent $2.1 million in capex in the second quarter, which was mostly for Phase III expansion at Camarillo. The Company also paid $2.9 million in preferred stock dividend payments.
Warrant Redemption and Acceleration
The Company delivered a notice of redemption, dated April 28, 2026, with respect to the warrants (the "Warrants") outstanding under the warrant agency agreement, dated May 13, 2019, between the Company and Odyssey Trust Company, as amended (the "Warrant Agency Agreement"). The Warrants were redeemed on May 28, 2026 (the "Redemption Date") in accordance with Section 3.4 (1) of the Warrant Agency Agreement at a redemption price of .011826 Shares per Warrant (the "Redemption Shares"). If the Company had not taken any action, the outstanding Warrants would have expired on June 29, 2026.
In June, the Company provided notice that it has elected to exercise its rights under the terms of a warrant indenture dated August 31, 2022 (the "2022 Warrant Indenture") governing certain share purchase warrants of the Company (the "Series B and C Warrants") and a warrant indenture dated August 23, 2023 (the "2023 Warrant Indenture"), governing certain share purchase warrants of the Company (the "Series D Warrants") to accelerate the expiry date of such warrants.
For further information, please refer to the Company's news releases dated April 28, 2026, May 29, 2026 and June 23, 2026.
Financial results and analyses will be available on the Company's website on the 'Investors' and 'News & Events' drop-down menus (www.glasshousebrands.com) and SEDAR+ (www.sedarplus.ca).
Unaudited results, unless otherwise stated, all results are in U.S. dollars.
Net Income / Loss
(in thousands) Q2 2025 Q1 2026 Q2 2026
----------- ------------ -----------
Revenues, Net $47,605 $ 28,610 $47,017
Cost of Goods Sold 21,535 24,559 31,249
------ ------- ------
Gross Profit 26,070 4,051 15,768
------ ------- ------
% of Net Revenue 55% 14% 34%
Operating Expenses:
General and Administrative 10,150 12,165 13,388
Sales and Marketing 321 96 357
Professional Fees 1,965 2,865 1,581
Depreciation and
Amortization 3,353 3,480 3,438
------ ------- ------
Total Operating Expenses 15,789 18,606 18,764
------ ------- ------
Income (Loss) from
Operations 10,281 (14,555) (2,996)
------ ------- ------
Interest Expense 1,882 1,270 628
Loss on Change in Fair
Value of Contingent
Liabilities and Shares
Payable 95 -- --
Other Income, Net (3,657) (1,621) (2,115)
------ ------- ------
Total Other Income, Net (1,680) (351) (1,487)
------ ------- ------
Income Taxes 4,159 2,980 3,062
------ ------- ------
Net Income (Loss) from
Continuing Operations 7,802 (17,184) (4,571)
Net Income (Loss) from
Discontinued Operations 942 178 (2,112)
------ ------- ------
Net Income (Loss) $ 8,744 $(17,006) $(6,683)
====== ======= ======
Adjusted EBITDA
(in thousands) Q2 2025 Q1 2026 Q2 2026
-------- --------- ----------
Net Income (Loss) (GAAP) $ 8,744 $(17,006) $(6,683)
Depreciation and Amortization 3,905 4,022 3,797
Interest, Net 1,919 1,295 643
Income Tax Expense 4,969 3,058 3,119
------ ------- ------
EBITDA (Non-GAAP) 19,537 (8,631) 876
Adjustments:
Share-Based Compensation 2,944 4,523 4,214
Stock Appreciation Rights
Expense 37 (5) --
Equity in (Income) Loss on
Equity Method Investees (44) -- (665)
Loss on Deconsolidation of
GHR -- -- 2,490
Change in Fair Value of
Derivative Asset and
Liability 328 (409) (595)
Impairment Expense for
Intangible Assets -- -- 170
Change in Fair Value of
Contingent Liabilities and
Shares Payable 95 -- --
Employee Retention Tax
Credits (4,750) -- (666)
Non-Recurring Legal and
Professional Fees -- 349 (135)
------ ------- ------
Adjusted EBITDA(Non-GAAP) $18,147 $ (4,173) $ 5,689
====== ======= ======
The selected cash flow information includes the cash flows of the retail business through June 11, 2026 and have not been separately presented between continuing and discontinued operations.
Select Cash Flow Information
(in thousands) Q2 2025 Q1 2026 Q2 2026
-------- --------- ----------
Net Income (Loss) $ 8,744 $(17,006) $(6,683)
Depreciation and Amortization 3,905 4,022 3,795
Share-Based Compensation 2,944 4,523 4,214
Impairment Expense for
Intangibles -- -- 170
Loss on Change in Fair Value of
Contingent Liabilities and
Shares Payable 95 -- --
Other 881 (1,911) 853
------ ------- ------
Cash From Net Income (Loss) 16,569 (10,372) 2,349
------ ------- ------
Accounts Receivable (3,248) (2,096) (3,700)
Income Taxes Receivable 996 25 2
Prepaid Expenses and Other
Current Assets (243) 1,455 (3,672)
Inventory (3,987) (5,310) (4,165)
Other Assets (96) (14) (26)
Accounts Payable and Accrued
Liabilities 4,290 1,855 6,544
Income Taxes Payable 1,290 -- 1
Other 2,166 2,702 2,846
------ ------- ------
Working Capital Impact 1,168 (1,383) (2,170)
------ ------- ------
Operating Activities Cash
Flow 17,737 (11,755) 179
------ ------- ------
Purchases of Property and
Equipment (9,458) (3,546) (2,113)
Other 190 800 (6,027)
------ ------- ------
Investing Activities Cash
Flow (9,268) (2,746) (8,140)
------ ------- ------
Proceeds from the Issuance of
At-the-Money Shares -- 22,302 4,925
Proceeds from the Issuance of
Notes Payable, net -- (250) --
Payments on Notes Payable,
Third Parties and Related
Parties (1) (10) (8)
Distributions to Preferred
Shareholders (1,937) (2,888) (2,888)
Other 55 (76) 59
------ ------- ------
Financing Activities Cash
Flow (1,883) 19,078 2,088
------ ------- ------
Net Increase (Decrease) in
Cash, Restricted Cash and Cash
Equivalents 6,586 4,577 (5,873)
Cash, Restricted Cash and Cash
Equivalents, Beginning of
Period 37,615 23,350 27,927
------ ------- ------
Cash, Restricted Cash and
Cash Equivalents, End of
Period $44,201 $ 27,927 $22,054
====== ======= ======
Select Balance Sheet Information
(in thousands) Q2 2025 Q1 2026 Q2 2026
-------- -------- ----------
Cash and Restricted Cash $ 33,939 $ 17,160 $ 18,554
Accounts Receivable, Net 9,833 6,430 10,068
Income Taxes Receivable 930 763 761
Prepaid Expenses and Other
Current Assets 14,837 10,459 7,811
Inventory 17,172 29,672 34,022
Assets Associated with
Discontinued Operations 9,789 9,868 --
------- ------- -------
Total Current Assets 86,500 74,352 71,216
Operating and Finance Lease
Right-of-Use Assets, Net 2,230 2,054 1,568
Equity Method Investments 172 -- 14,490
Property, Plant and Equipment,
Net 209,126 216,299 221,091
Intangible Assets, Net 672 950 919
Restricted Cash, Net of Current
Portion 3,500 3,500 3,500
Other Assets 2,248 316 596
Non-Current Assets Associated
with Discontinued Operations 30,113 27,882 --
------- ------- -------
TOTAL ASSETS $334,561 $325,353 $313,380
======= ======= =======
Accounts Payable and Accrued
Liabilities $ 32,130 $ 30,680 $ 38,051
Income Taxes Payable 2,440 -- --
Current Portion of Operating and
Finance Lease Liabilities 871 682 583
Current Portion of Notes Payable -- 38 14,733
Liabilities Associated with
Discontinued Operations 7,927 8,807 --
------- ------- -------
Total Current Liabilities 43,368 40,207 53,367
Operating and Finance Lease
Liabilities, Net of Current
Portion 1,054 1,115 945
Other Non-Current Liabilities 27,937 33,625 38,528
Notes Payable, Net of Current
Portion 65,613 67,818 55,408
Non-Current Liabilities
Associated with Discontinued
Operations 4,273 5,140 --
------- ------- -------
TOTAL LIABILITIES 142,245 147,905 148,248
------- ------- -------
Preferred Equity Series B, C, D
and E 91,790 92,500 92,500
Additional Paid-In Capital,
Accumulated Deficit and
Non-Controlling Interest 100,526 84,948 72,632
------- ------- -------
TOTAL MEZZANINE EQUITY AND
SHAREHOLDERS' EQUITY 192,316 177,448 165,132
------- ------- -------
TOTAL LIABILITIES, MEZZANINE
EQUITY AND SHAREHOLDERS'
EQUITY $334,561 $325,353 $313,380
======= ======= =======
Notes Payable and Preferred Equity
(in thousands) Q4 2025 Q1 2026 Q2 2026 Comments
-------- -------- -------- --------------
Notes Payable
Secured Credit Maturity is
Facility $50,000 $50,000 $50,000 2/28/30
2025 Lompoc Maturity is
Term Loan 2,990 2,980 2,971 8/4/35
Greenhouse 2
Equipment
Supplier
Financing -- 1,120 3,959
8% semi annual
interest, cash
or shares,
higher of 10
day VWAP 5
trading days
prior to pay
date or $4.08,
Maturity
Series A 11,895 10,950 10,734 4/15/27
8% semi annual
interest, cash
or shares,
lower of 10
day VWAP 5
trading days
prior to pay
date or
$10.00,
Maturity
Series B 4,111 3,785 3,623 4/15/27
------ ------ ------
Plus
Convertible
Debt 16,006 14,735 14,357
Mostly
original issue
Other (330) (978) (1,146) discount
------ ------ ------
Notes
Payable
Total $68,666 $67,857 $70,141
====== ====== ======
Preferred Equity
Currently at
15% dividend
with 15% cash
payment until
8/24/28 when
it increases
to 20%
dividend with
20% cash
Series D $15,000 $15,000 $15,000 payment
12% dividend
with 12% cash
Series E 77,500 77,500 77,500 payment
------ ------ ------
Preferred
Equity
Total $92,500 $92,500 $92,500
====== ====== ======
Cash Payments
Debt
Amortization $ 239 $ 10 $ 9
8.58% interest
rate on the
Senior Secured
Credit
Facility,
entered into
on 2/28/25 and
8.5% interest
rate on the
2025 Lompoc
Term Loan,
entered into
Cash Interest 1,226 1,134 1,137 on 8/4/25
------ ------ ------
Debt Service 1,465 1,144 1,146
15% annual
rate until
8/24/28 when
it increases
Series D 563 563 563 to 20%
12% annual
Series E 2,358 2,325 2,321 rate
------ ------ ------
Preferred
Equity
Dividends 2,921 2,888 2,884
Total Debt
Service and
Dividends $ 4,386 $ 4,032 $ 4,030
====== ====== ======
Equity Table
(in thousands,
except share
price) Q2 2026 Q1 2026 Change Comments
------- ------- --------- --------------
Shares issued
in connection
with
At-the-Market
program,
interest and
conversion of
convertible
Total Equity debentures and
and exercise of
Exchangeable RSUs, ISOs,
Shares 89,045 84,663 4,382 and warrants
Warrants
Notice of
acceleration
delivered
during Q2
2026; All
outstanding
warrants were
fully
exercised
during July
2026; Exercise
price of
Series D 1,719 2,770 (1,051 ) $6.00
Notice of
acceleration
delivered
during Q2
2026; All
outstanding
warrants were
fully
exercised
during July
2026; Exercise
price of
Series C 880 1,000 (120 ) $5.00
Notice of
acceleration
delivered
during Q2
2026; All
outstanding
warrants were
fully
exercised
during July
2026; Exercise
price of
Series B 4,847 8,407 (3,560 ) $5.00
Redeemed and
exercised
during Q2
SPAC -- 30,665 (30,665) 2026
------ ------ -------
Total
Warrants 7,446 42,842 (35,396)
====== ====== =======
Stock Options -- 22 (22)
Up to 3-year
vesting
RSUs 3,708 4,756 (1,048) through 2028
------ ------ -------
Total 3,708 4,778 (1,070)
====== ====== =======
Share Price at
Quarter End $ 12.37 $ 8.15 $ 4.22
Convertible
Debentures
8% semi annual
interest, cash
or shares,
higher of 10
day VWAP 5
trading days
prior to pay
date or $4.08,
Maturity
Series A $10,734 $10,950 $ (216) 4/15/27
8% semi annual
interest, cash
or shares,
lower of 10
day VWAP 5
trading days
prior to pay
date or
$10.00,
Maturity
Series B 3,623 3,785 (162) 4/15/27
------ ------ -------
Total
Convertible
Debentures $14,357 $14,735 $ (378)
Number of
Shares if
Converted
Assuming
Share Price
at Quarter
End 1,305 1,981 (676)
Revenue
(in thousands) Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 FY 2024 FY 2025
----------- ----------- ----------- ----------- ----------- ----------- ----------- ------------ ------------
Wholesale CPG (B2B) $ 4,987 $ 4,747 $ 5,483 $ 4,958 $ 4,320 $ 4,637 $ 5,281 $ 17,996 $ 19,508
Wholesale Biomass
(B2B) 36,256 28,283 42,122 21,231 22,597 23,973 41,736 139,086 114,233
------ ------ ------ ------ ------ ------ ------ ------- -------
Total $41,243 $33,030 $47,605 $26,189 $26,917 $28,610 $47,017 $157,082 $133,741
====== ====== ====== ====== ====== ====== ====== ======= =======
Sequential % Change
Wholesale CPG (B2B) 4% (5)% 16% (10)% (13)% 7% 14%
Wholesale Biomass
(B2B) (24)% (22)% 49% (50)% 6% 6% 74%
Total (22)% (20)% 44% (45)% 3% 6% 64%
% Change to Prior
Year
Wholesale CPG (B2B) 22% 12% 38% 4% (13)% (2)% (4)% 12% 8%
Wholesale Biomass
(B2B) 36% 78% 8% (56)% (38)% (15)% (1)% 32% (18)%
Total 34% 64% 11% (50)% (35)% (13)% (1)% 29% (15)%
Gross Profit
(in thousands) Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 FY 2024 FY 2025
----------- ----------- ----------- ---------- ---------- ---------- ----------- ----------- -----------
Wholesale CPG
(B2B) $ 1,168 $ 1,221 $ 1,949 $1,477 $ 818 $1,449 $ 582 $ 4,517 $ 5,465
Wholesale
Biomass (B2B) 16,187 13,191 24,121 4,115 6,767 2,602 15,186 72,113 48,194
------ ------ ------ ----- ----- ----- ------ ------ ------
Total $17,355 $14,412 $26,070 $5,592 $7,585 $4,051 $15,768 $76,630 $53,659
====== ====== ====== ===== ===== ===== ====== ====== ======
% of Revenue
Wholesale CPG
(B2B) 23% 26% 36% 30% 19% 31% 11% 25% 28%
Wholesale
Biomass (B2B) 45% 47% 57% 19% 30% 11% 36% 52% 42%
Total 42% 44% 55% 21% 28% 14% 34% 49% 40%
Wholesale Biomass Production and Cost per Pound
Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 FY 2024 FY 2025
------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------
Equivalent
Dry Pounds
of
Production 165,074 152,568 230,748 123,986 159,131 151,531 245,746 608,478 666,433
% Change to
Prior Year 60% 149% 54% (47)% (4)% (1)% 6% 71% 10%
Cost per
Equivalent
Dry Pounds
of
Production $ 110 $ 108 $ 91 $ 128 $ 129 $ 175 $ 122 $ 123 $ 111
% Change to
Prior Year (9)% (41)% (39)% 24% 17% 62% 34% (10)% (10)%
Ending
Operational
Canopy
Licensed
(000 sq.
ft) 1,525 1,525 1,525 1,525 1,708 1,708 1,708 1,525 1,708
Wholesale Biomass Sold and Average Selling Price per
Pound
Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 FY 2024 FY 2025
------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------
Equivalent
Dry Pounds
Sold 164,660 146,555 204,015 137,026 154,972 140,421 197,578 568,133 642,568
% Change to
Prior
Year 68% 160% 48% (34)% (6)% (4)% (3)% 68% 13%
Equivalent
Dry Pounds
Sold
Average
Selling
Price $ 220 $ 193 $ 206 $ 155 $ 146 $ 171 $ 211 $ 245 $ 177
% Change to
Prior
Year (19)% (32)% (27)% (32)% (34)% (11)% 2% (21)% (28)%
Equivalent Dry Pounds Average Selling Price excludes the impact of cultivation tax.
Conference Call
The Company will host a conference call to discuss the results today, August 13, 2026, at 5:00 p.m. Eastern Time.
Webcast and Replay: Register Here Dial-In Number: 1-800-715-9871 or 1-646-307-1963 Conference ID: 8964579#
(replay available for approximately 30 days)
In addition, content related to the earnings call including a transcript and audio recording of the call, as well as the Company's financial statements and management's discussion and analysis of financial condition and results of operations for the period (upon completion), will be posted to the Company's website and can be found here. Content from previous reporting periods is also available.
Non-GAAP Financial Measures
Glass House defines EBITDA as Net Income (Loss) (GAAP) adjusted for interest and financing costs, income taxes, depreciation, and amortization. Adjusted EBITDA is defined as EBITDA excluding share-based compensation, stock appreciation rights expense, change in equity method investments, change in fair value of derivative instruments, impairment expense for goodwill and intangible assets, change in fair value of contingent liabilities and shares payable, loss on extinguishment of debt, employee retention tax credits, non-recurring casualty loss, non-recurring legal and professional fees and certain debt-related fees.
EBITDA and Adjusted EBITDA are presented because management has evaluated the financial results both including and excluding the adjusted items and believe that the supplemental non-GAAP financial measures presented provide additional perspective and insights when analyzing the core operating performance of the business. Such supplemental non-GAAP financial measures are not standardized financial measures under U.S. GAAP used to prepare the Company's financial statements and might not be comparable to similar financial measures disclosed by other companies and, thus, should only be considered in conjunction with the GAAP financial measures presented herein.
The Company has provided tables above that provide a reconciliation of the Company's Net Income (Loss) (GAAP) to Adjusted EBITDA for the three months ended June 30, 2026 compared to the three months ended June 30, 2025 and three months ended March 31, 2026.
Footnotes and Sources:
1. EBITDA and Adjusted EBITDA are non-GAAP financial measures that are not
defined by U.S. GAAP and may not be comparable to similar measures
presented by other companies. Please see "Non-GAAP Financial Measures"
herein for further information and for a reconciliation of such non-GAAP
measures to the closest GAAP measure.
2. Equivalent Dry Pound Production includes all dry production (flower,
smalls and trim) plus equivalent dry weight for wet weight and fresh
frozen not converted into dry weight by the Company.
3. Cost per Equivalent Dry Pound of Production, is the application of a
subset of Costs of Goods Sold for cannabis biomass production (including
all expenses from nursery and cultivation to curing and trimming - the
point at which product is ready for sales as wholesale cannabis or to be
transferred to CPG) applied to the Company's metric of dry production
which includes all dry production (flower, smalls and trim) plus
equivalent dry weight for wet weight and fresh frozen that is not
converted into dry goods by the Company.
About Glass House Brands
Glass House is one of the fastest-growing cannabis companies in the U.S., with a dedicated focus on the California market and building leading, lasting brands to serve consumers across all segments. Whether it be through its portfolio of brands, which includes Glass House Farms, PLUS Products, Allswell and Mama Sue Wellness, Glass House is committed to realizing its vision of excellence: outstanding cannabis products, produced sustainably, for the benefit of all. For more information and company updates, visit www.glasshousebrands.com/ and https://ir.glasshousebrands.com/contact/email-alerts/.
Forward Looking Statements
This news release contains certain forward-looking information and forward-looking statements, as defined in applicable securities laws (collectively referred to herein as "forward-looking statements"). Forward-looking statements reflect current expectations or beliefs regarding future events or Glass House's future performance or financial results. All statements other than statements of historical fact are forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "continues", "forecasts", "projects", "predicts", "intends", "anticipates", "targets" or "believes", or variations of, or the negatives of, such words and phrases or state that certain actions, events or results "may", "could", "would", "should", "might" or "will" be taken, occur or be achieved. Forward-looking statements in this news release include, without limitation, statements regarding the completion of the proposed joint venture with Vireo and the anticipated benefits thereof. All forward-looking statements, including those herein, are qualified by this cautionary statement. Although Glass House believes that the expectations expressed in such statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the statements. Accordingly, readers should not place undue reliance on forward-looking statements. There are certain factors that could cause actual results to differ materially from those in the forward-looking information, including those risks disclosed in the Glass House's Annual Information Form available on SEDAR+ at www.sedarplus.ca and in Glass House's Form 40-F available on EDGAR at www.sec.gov. For more information on Glass House, investors are encouraged to review Glass House's public filings on SEDAR+ at www.sedarplus.ca and on EDGAR at www.sec.gov. The forward-looking statements and financial outlooks contained in this news release speak only as of the date of this news release or as of the date or dates specified in such statements. Glass House disclaims any intention or obligation to update or revise any forward- looking information, whether as a result of new information, future events or otherwise, other than as required by law.
For further information, please contact:
Jon DeCourcey, Vice President, Head of Capital Markets
T: (781) 724-6869
E: ir@glasshousebrands.com
Investor Relations Contact:
KCSA Strategic Communications
Phil Carlson
T: 212-896-1233
E: GlassHouseIR@kcsa.com