Press Release: Village Farms Delivers Another Quarter of Record Financial Performance in Q3/25

Dow Jones
Nov 10
   -- Consolidated Net Sales Increased 21% YoY to $66.7 Million; International 
      Export Sales Increased 758% 
 
   -- Consolidated Net Income from Continuing Ops of $10.8 Million or $0.09 Per 
      Share, Up YoY and Sequentially 
 
   -- Consolidated Adjusted EBITDA of $20.2 Million or 30.3% of Sales; Both 
      Company Records 
 
   -- Operating Cash Flow of $24.4 Million Brings YTD Total to $46.7 Million; 
      Company Ends Quarter with Approximately $88 Million in Cash 
 
   -- Canadian Cannabis Delivers Record Net Sales, Record Gross Margin of 56%, 
      Record Adj. EBITDA and Record Cash Flow from Operations; 40 Metric Ton 
      Production Capacity Expansion Underway 
 
   -- Continued Momentum in Netherlands Cannabis Sales as Capacity Expansion 
      Progresses on Schedule 

VANCOUVER, British Columbia, Nov. 10, 2025 (GLOBE NEWSWIRE) -- Village Farms International, Inc. ("Village Farms" or the "Company") (NASDAQ: VFF) today reported financial results for its third quarter ended September 30, 2025. All figures are in U.S. dollars unless otherwise indicated.

Management Commentary

"The Company delivered another quarter of record financial performance that demonstrates our continued success profitably scaling what we believe is one of the most attractive platforms for value creation in the global cannabis industry," said Founder, President and Chief Executive Officer Michael DeGiglio. "Our team achieved several new performance records in Q3, with both year-over-year and sequential increases in each of net income from continuing operations, adjusted EBITDA and cash flow from operations. Congratulations to all our Village Farms team members around the world whose hard work, tenacity and integrity are continuing to enable our success."

"In Canada, our recent efforts to align our product portfolio toward higher margin SKUs is driving sales growth in targeted channels and, along with our expanding international export sales, we delivered 29% year-over-year growth in net sales, record gross margin of 56%, a 900% year-over-year increase in net income, a 306% increase in adjusted EBITDA and a 331% increase in cash flow from operations. Our previously announced 40 metric ton capacity expansion project is now underway and will ramp through 2026, supporting further growth in our Canadian and international export markets with the consistent supply of quality cannabis products the world expects from Village Farms."

"In the Netherlands, we experienced continued momentum in sales growth during the third quarter and our Drachten facility has now reached its full operating capacity. Our team has continued to improve our portfolio of product offerings to coffeeshops as well as our overall market penetration, and we remain very pleased with our competitive position in the Dutch market. Construction of our second and larger Dutch facility, which will expand production capacity five-fold, is progressing on plan and remains on schedule to be operational during the first quarter of next year. Once complete, we expect this facility to enable us to drive further improvements in revenue growth and cash flow generation for the Company."

"Our strong third quarter performance also drove another quarter of continued healthy cash flows from operations of $24.4 million, bringing our total cash position at quarter end to $87.6 million. Our significantly improved cash flow generation profile and balance sheet will enable us to continue expansion projects and possible strategic investments, and gave our Board of Directors confidence to initiate a share repurchase program at the end of the third quarter as part of a balanced approach to capital allocation to drive returns to shareholders."

"Looking ahead, we remain highly motivated to exceed our own expectations and are confident in our ability to continue driving profitable sales growth and strong cash flow generation. With capacity expansion projects in Europe and Canada coming online next year, along with the strength of our balance sheet and our focus on continuous improvement, we see a very bright future for Village Farms as we continue executing our growth strategy and pursuing various expansion opportunities around the world."

Third Quarter 2025 Financial Highlights

(All comparable periods are for the third quarter of 2024 unless otherwise stated)

Consolidated

   -- Consolidated net sales increased 21% to $66.7 million from $54.9 million; 
 
   -- Consolidated net income from continuing operations was $10.8 million, or 
      $0.09 per share compared with a net loss of $0.8 million, or ($0.01) per 
      share; 
 
   -- Consolidated cash flow from operations was $24.4 million compared with 
      $6.5 in the prior year period; 
 
   -- YTD consolidated cash flow from operations was $46.7 million compared 
      with $2.8 million; and, 
 
   -- Consolidated adjusted EBITDA from continuing operations (a non-GAAP 
      measure) was $20.7 million or 31.0% of sales, compared with $4.7 million 
      or 8.5% of sales in the prior year period. 

Canadian Cannabis

   -- Net sales increased 29% to $46.6 million (C$64.1 million) from $36.5 
      million (C$49.8 million); 
 
   -- International medical export sales increased 758%; retail branded sales 
      decreased 4% due to a planned mix shift toward higher-margin products; 
 
   -- Gross margin increased to 56% from 26%, driven by improvements in 
      operating efficiency leading to lower costs of production and an 
      increased mix of higher-margin international export sales; 
 
   -- Net income increased 900% to $11.7 million (C$16.0 million) from $1.2 
      million (C$1.6 million); 
 
   -- Adjusted EBITDA increased 306% to $19.3 million (C$26.6 million) from 
      $4.8 million (C$6.5 million); and, 
 
   -- Cash flow from operations increased 331% to $19.4 million (C$26.8 
      million) from $4.5 million (C$6.1 million). 

U.S. Cannabis (Balanced Health Botanicals)

   -- Net sales were $3.3 million compared with $3.9 million; 
 
   -- Gross margin decreased to 60% from 63%; 
 
   -- Net loss was $0.4 million compared with a net loss of $0.2 million; and 
 
   -- Adjusted EBITDA was ($0.3 million) compared with ($0.2 million). 

Netherlands Cannabis (Leli Holland)

Leli Holland was non-operational during the comparable quarter of 2024. As a result, comparative financial performance to the prior-year quarter is not meaningful.

   -- Net sales were $3.6 million; 
 
   -- Net income was $0.8 million; and 
 
   -- Adjusted EBITDA was $1.3 million. 

Village Farms Produce

   -- Sales from continuing operations of $12.8 million were essentially flat 
      as compared to the prior year as 2025 sales has a commission to Vanguard 
      Food, L.P.; 
 
   -- Net income from continuing operations improved to $1.3 million compared 
      to $0.3 million; and, 
 
   -- Adjusted EBITDA from continuing operations improved to $2.5 million from 
      $1.7 million. 

Strategic Growth and Operational Highlights

Canadian Cannabis

   -- Company continues to maintain a top five overall market share position in 
      Canada and the number two position in dried flower despite planned 
      reductions in sales of lower-margin SKUs1; 
 
   -- Significantly surpassed the high end of its targeted gross margin range 
      of 30-40%, marking the third consecutive quarter meeting or exceeding the 
      target range, contributing to record quarterly and YTD adjusted EBITDA 
      performance; 
 
   -- Introduced several new and unique packaging innovations to the Canadian 
      market, including the launch of a one-way aroma valve built directly into 
      its dried flower packaging, windowed packaging for its flower products 
      which enables consumers to see product before purchase, and a proprietary 
      built-in matchbox accessory for its pre-roll offerings to meet growing 
      demand for ready-to-enjoy cannabis experiences; 
 
   -- Published groundbreaking peer-reviewed research in Scientific Reports 
      (Nature Portfolio), highlighting the natural variability of THC potency 
      within cannabis plants, reinforcing a need for a greater focus on product 
      quality versus potency and more transparent and accurate labelling across 
      the industry; and, 
 
   -- Subsequent to quarter end, began expansion of cultivation capacity in its 
      Delta 2 greenhouse to meet increasing demand in Canadian and 
      international export markets. The expansion is being funded with existing 
      cash on hand and is expected to yield an incremental 40 metric tons of 
      annualized cannabis production, expanding capacity by approximately 33%. 
   1. Based on estimated retail sales from HiFyre, other third parties and 
      provincial boards 

International Cannabis (Reported within Canadian Cannabis)

   -- International export sales increased 758% year-over-year, driven by 
      continued strength of demand in Germany and steady performance across 
      other international markets; 
 
   -- Company believes that it remains the largest exporter of medical cannabis 
      to Europe, and that it has gained market share sequentially in Germany in 
      each of the past four quarters1 
 
   -- Company continues to distribute several leading cultivars in Germany and 
      other international medical markets through third-party partners2; and 
 
   -- Company anticipates entering additional international medical markets 
      during the first half of calendar year 2026. 
   1. Based on German government data and Company estimates 
 
   2. Based on Company estimates and ranking compiled by German outlet Flowzz 

Netherlands Cannabis (Leli Holland)

   -- Operations in the Company's Phase I facility in Drachten have now ramped 
      to full capacity while demonstrating strong profitability and cash flow 
      generation; 
 
   -- Leli Holland products are now represented in 91% of participating 
      coffeeshops, representing increased market penetration sequentially as 
      compared to the second quarter; 
 
   -- The Company has continued to introduce new products into the market, 
      including hash offerings and pre-rolls and it expects to launch 
      additional products for coffeeshops during the fourth quarter; 
 
   -- Construction of the Company's Phase II facility in Groningen remains on 
      track to be operational in Q1 2026. When completed, the Phase II facility 
      is expected to quintuple total annualized production capacity to 
      approximately 10,000 kilograms. 

U.S. Cannabis

   -- The Company's application for a Texas medicinal marijuana license remains 
      pending review by the Department of Public Services. New license awards 
      are expected to be granted on December 1, 2025. If awarded, the Company 
      plans to work with its listing authority to structure an acceptable 
      ownership structure and comply with all applicable regulatory 
      requirements. 

Corporate

   -- On September 29, 2025, the Company's Board of Directors unanimously 
      approved a US$10 million share repurchase authorization for up to 
      5,687,000 common shares (five percent of the Company's issued and 
      outstanding common shares at the date of announcement). 
 
   -- On November 6, 2025, the Company announced the hiring of Brian Ellis to 
      the role of Chief Information and Technology Officer (CITO) to lead the 
      Company's global technology and information strategy. Mr. Ellis brings 
      over 25 years of enterprise architecture, IT strategy, and large-scale 
      digital transformation experience across various global industries, 
      including roles at Nike, Topgolf Callaway, and Booking.com. 

Conference Call

Village Farms' management team will host a conference call to discuss its third quarter 2025 financial results today, Monday, November 10, 2025, at 8:30 a.m. ET. Participants can access the conference call via a webcast at Village Farms Third Quarter 2025 Conference Call Webcast or on the company website at Village Farms - Events. Participants wanting to access the conference call by telephone must register in advance at Village Farms Third Quarter 2025 Conference Call Registration to receive telephone dial-in information.

The live question and answer session will be limited to analysts; however, others are invited to submit questions ahead of the conference call via email at investorrelations@villagefarms.com. Management will address questions received via email during the question-and-answer session as time permits.

About Village Farms International, Inc.

Village Farms leverages decades of experience in Controlled Environment Agriculture as a large-scale, vertically-integrated supplier of high-value, high-growth plant-based Consumer Packaged Goods. The Company built a strong foundation as the leading and longest-tenured fresh produce supplier to grocery and large-format retailers throughout the US and Canada, but now focuses its agricultural expertise on high-growth cannabinoid opportunities internationally while maintaining strategic optionality through remaining produce assets.

In Canada, the Company's wholly owned Canadian subsidiary, Pure Sunfarms, is one of the single largest cannabis operations in the world (2.2 million square feet of greenhouse production), a low-cost producer and one of Canada's highest quality and best-selling brands. The Company owns an incremental 2.6 million square feet of greenhouse capacity in Canada for future expansion, and also owns 80% of Québec-based, Rose LifeScience, a leader in the commercialization of cannabis products.

Internationally, Village Farms is targeting selected, nascent, legal cannabis opportunities with significant growth potential. The Company exports medical cannabis from its EU GMP certified facility in Canada to international markets including Germany, the United Kingdom, Israel, Australia, and New Zealand. The Company is expanding its export business to new countries and customers, and making select investments in international production assets. In Europe, wholly-owned Leli Holland has one of 10 licenses to grow and distribute recreational cannabis within the Dutch Coffee Shop Experiment.

In the US, wholly-owned Balanced Health Botanicals is one of the leading CBD and hemp-derived brands and e-commerce platforms in the country. Subject to compliance with all applicable US federal and state laws and stock exchange rules, Village Farms plans to enter the US THC market via multiple strategies, leveraging its Texas-based greenhouse assets (2.2 million square feet of existing greenhouse capacity and 950 acres of owned, unoccupied land for future expansion).

Village Farms Clean Energy (VFCE), through a partnership with Atlanta-based Terreva Renewables, creates renewable natural gas from landfill gas at its Delta RNG facility. VFCE receives royalties on all revenue generated.

Contact Information

Sam Gibbons

Senior Vice President, Corporate Affairs

Phone: (407) 936-1190 ext. 328

Email: sgibbons@villagefarms.com

Lawrence Chamberlain

LodeRock Advisors

Phone: (416) 519-4196

Email: lawrence.chamberlain@loderockadvisors.com

 
 
Canadian Cannabis Performance Summary 
 
(millions except    Three Months Ended September 
% metrics)                      30, 
                   ------------------------------ 
                        2025            2024 
                   --------------  -------------- 
                                                    Change 
                   CAD $   USD $   CAD $   USD $    of C $ 
                   ------  ------  ------  ------  -------- 
Total Net Sales    $ 64.1  $ 46.6  $ 49.8  $ 36.5    29% 
Total Cost of 
 Sales             $ 28.3  $ 20.6  $ 36.7  $ 26.9   -23% 
Gross Profit       $ 35.8  $ 26.0  $ 13.1  $  9.6   173% 
Gross Margin %        56%     56%     26%     26%   112% 
SG&A               $ 12.8  $  9.1  $ 10.9  $  8.0    17% 
Net income         $ 16.0  $ 11.7  $  1.6  $  1.2   900% 
Adjusted EBITDA 
 (1)               $ 26.6  $ 19.3  $  6.5  $  4.8   309% 
Adjusted EBITDA 
 Margin (1)           41%     41%     13%     13%   218% 
Cash flow from 
 Operations        $ 26.8  $ 19.4  $  6.1  $  4.5   339% 
 
(millions except    Nine Months Ended September 
% metrics)                      30, 
                   ------------------------------ 
                        2025            2024 
                   --------------  -------------- 
                                                    Change 
                   CAD $   USD $   CAD $   USD $    of C $ 
                   ------  ------  ------  ------  -------- 
Total Net Sales    $175.5  $125.9  $156.0  $114.7    13% 
Total Cost of 
 Sales             $ 97.7  $ 70.0  $115.4  $ 84.8   -15% 
Gross Profit       $ 77.8  $ 55.9  $ 40.6  $ 29.9    92% 
Gross Margin %        44%     44%     26%     26%    70% 
SG&A               $ 37.1  $ 26.5  $ 33.3  $ 24.4    11% 
Net income         $ 29.5  $ 21.2  $  4.6  $  3.4   541% 
Adjusted EBITDA 
 (1)               $ 52.7  $ 37.9  $ 18.6  $ 13.6   183% 
Adjusted EBITDA 
 Margin (1)           30%     30%     12%     12%   152% 
Cash flow from 
 Operations        $ 56.0  $ 40.6  $ 19.4  $ 14.3   189% 
 
 
Canadian Cannabis' Composition of Sales by Channel 
 
(millions except 
% metrics)         Three Months Ended September 30, 
                   --------------------------------- 
                        2025              2024 
                   ---------------   --------------- 
                                                       Change of 
                   CAD $    USD $    CAD $    USD $    C $ 
                   ------   ------   ------   ------   ---------- 
Retail Branded 
 Sales             $ 58.6   $ 42.5   $ 61.3   $ 44.9    -4% 
Non-Branded Sales  $ 10.1   $  7.3   $ 10.1   $  7.4     0% 
International 
 Sales             $ 16.3   $ 11.9   $  1.9   $  1.4   758% 
Other              $  0.7   $  0.5   $  0.6   $  0.4    17% 
Less: Excise 
 Taxes             $(21.6)  $(15.7)  $(24.1)  $(17.7)  -10% 
Net Sales          $ 64.1   $ 46.5   $ 49.8   $ 36.5    29% 
 
(millions except 
% metrics)          Nine Months Ended September 30, 
                   --------------------------------- 
                        2025              2024 
                   ---------------   --------------- 
                                                        Change of 
                   CAD $    USD $    CAD $    USD $           C $ 
                   ------   ------   ------   ------   ---------- 
Retail Branded 
 Sales             $166.3   $119.0   $195.9   $144.0   -15% 
Non-Branded Sales  $ 28.8   $ 20.7   $ 30.1   $ 22.1    -4% 
International 
 Sales             $ 40.6   $ 29.2   $  6.0   $  4.4   577% 
Other              $  2.0   $  1.4   $  1.8   $  1.3    11% 
Less: Excise 
 Taxes             $(62.2)  $(44.5)  $(77.7)  $(57.1)  -20% 
Net Sales          $175.5   $125.8   $156.0   $114.7    13% 
 

Presentation of Financial Results

The Company's financial statements for the three and nine months ended September 30, 2025, as well as the comparative periods for 2024, have been prepared and presented under United States Generally Accepted Accounting Principals ("GAAP").

 
RESULTS OF OPERATIONS 
(In thousands of U.S. dollars, except per share amounts, 
 and unless otherwise noted) 
--------------------------------------------------------------- 
 
                  Three Months Ended     Nine Months Ended 
                     September 30,          September 30, 
                  -------------------   -------------------- 
                    2025       2024       2025       2024 
                  --------   --------   --------   --------- 
Sales             $ 66,741   $ 54,938   $166,320   $ 150,522 
Cost of sales      (34,803)   (41,301)   (97,860)   (112,031) 
Gross profit        31,938     13,637     68,460      38,491 
Selling, general 
 and 
 administrative 
 expenses          (15,599)   (14,565)   (45,629)    (45,871) 
Interest expense      (646)      (779)    (2,162)     (2,594) 
Interest income        360        229        544         757 
Foreign exchange 
 (loss) gain          (238)       352      1,470        (929) 
Other (loss) 
 income               (282)       379      4,169         528 
Goodwill and 
 intangible 
 asset 
 impairments            --         --         --     (11,939) 
Income (loss) 
 before taxes 
 and equity 
 method 
 investment 
 income             15,533       (747)    26,852     (21,557) 
Provision for 
 income taxes       (4,717)       (94)    (8,203)       (674) 
Equity method 
investment 
income, net of 
tax                     --         --         --          -- 
Income (loss) 
 from continuing 
 operations         10,816       (841)    18,649     (22,231) 
(Loss) Income 
 from 
 discontinued 
 operations, net 
 of tax               (276)        91     11,015      (4,756) 
Income (loss) 
 including 
 non-controlling 
 interests          10,540       (750)    29,664     (26,987) 
Less: net 
 (income) loss 
 attributable to 
 non-controlling 
 interests, net 
 of tax               (323)       (70)       347        (234) 
Net income 
 (loss) 
 attributable to 
 Village Farms 
 International, 
 Inc. 
 shareholders     $ 10,217   $   (820)  $ 30,011   $ (27,221) 
Adjusted EBITDA 
 from continuing 
 operations       $ 20,686   $  4,675   $ 41,246   $   8,505 
Adjustments 
 attributable to 
 discontinued 
 operations           (398)       627     (7,617)     (3,171) 
                   -------    -------    -------    -------- 
Adjusted EBITDA 
 (1)              $ 20,288   $  5,302   $ 33,629   $   5,334 
                   =======    =======    =======    ======== 
Basic income 
(loss) per share 
attributable to 
Village Farms 
International, 
Inc. 
shareholders 
from:             $     --   $     --   $     --   $      -- 
Continuing 
 operations       $   0.09   $  (0.01)  $   0.17   $   (0.21) 
Discontinued 
 operations          (0.00)      0.00       0.10       (0.04) 
                   -------    -------    -------    -------- 
Basic income 
 (loss) per 
 share 
 attributable to 
 Village Farms 
 International, 
 Inc. 
 shareholders     $   0.09   $  (0.01)  $   0.27   $   (0.25) 
                   =======    =======    =======    ======== 
Diluted income 
(loss) per share 
attributable to 
Village Farms 
International, 
Inc. 
shareholders 
from:             $     --   $     --   $     --   $      -- 
Continuing 
 operations       $   0.08   $  (0.01)  $   0.16   $   (0.21) 
Discontinued 
 operations       $     --   $     --   $   0.10   $   (0.04) 
                   -------    -------    -------    -------- 
Diluted income 
 (loss) per 
 share 
 attributable to 
 Village Farms 
 International, 
 Inc. 
 shareholders     $   0.08   $  (0.01)  $   0.26   $   (0.25) 
                   =======    =======    =======    ======== 
 

(1) Adjusted EBITDA is not a recognized earnings measure and does not have a standardized meaning prescribed by GAAP. Therefore, Adjusted EBITDA may not be comparable to similar measures presented by other issuers. Management believes that Adjusted EBITDA is a useful supplemental measure in evaluating the performance of the Company because it excludes non-recurring and other items that do not reflect our business performance. Adjusted EBITDA includes the Company's 70% interest in Rose LifeScience through March 31, 2024, 80% interest in Rose LifeScience beginning on April 1, 2024, 85% interest in Leli through September 22, 2024, and our 100% interest in Leli beginning on September 23, 2024.

We caution that our results of operations for the three months and nine months ended September 30, 2025, and 2024 may not be indicative of our future performance.

 
SEGMENTED RESULTS OF OPERATIONS 
 
(In thousands of U.S. dollars, except per share amounts, 
 and unless otherwise noted) 
-------------------------------------------------------------------------------------------------------- 
 
                                     For The Three Months Ended September 30, 2025 
                  ----------------------------------------------------------------------------------- 
                  VF Fresh    Cannabis    Cannabis    Clean      Cannabis 
                  (Produce)     Canada       U.S.     Energy    Netherlands    Corporate      Total 
                  ---------   ---------   ---------   ------   ------------   -----------   --------- 
Sales             $  12,841   $  46,583   $   3,337   $  393   $      3,587    $       --   $  66,741 
Cost of sales       (10,833)    (20,628)     (1,348)     (66)        (1,928)           --     (34,803) 
Selling, general 
 and 
 administrative 
 expenses              (217)     (9,140)     (2,425)     (22)          (702)       (3,093)    (15,599) 
Other (expense) 
 income, net           (465)       (328)         (3)      --            (44)           34        (806) 
Income (loss) 
 before taxes 
 and equity 
 method 
 investment 
 income               1,326      16,487        (439)     305            913        (3,059)     15,533 
Provision for 
 income taxes           (26)     (4,486)         --      (82)          (123)           --      (4,717) 
Equity method 
investment 
income, net of 
tax                      --          --          --       --             --            --          -- 
Income (loss) 
 from continuing 
 operations           1,300      12,001        (439)     223            790        (3,059)     10,816 
Loss from 
 discontinued 
 operations net 
 of tax                (276)         --          --       --             --            --        (276) 
Income (loss) 
 including 
 non-controlling 
 interests            1,024      12,001        (439)     223            790        (3,059)     10,540 
Less: net income 
 attributable to 
 non-controlling 
 interests, net 
 of tax                  --        (323)         --       --             --            --        (323) 
Net income 
 (loss)           $   1,024   $  11,678   $    (439)  $  223   $        790    $   (3,059)  $  10,217 
Adjusted EBITDA 
 from continuing 
 operations       $   2,479   $  19,310   $    (332)  $  305   $      1,265    $   (2,341)  $  20,686 
Adjustments 
 attributable to 
 discontinued 
 operations            (398)          -           -        -              -             -        (398) 
                   --------    --------    --------    -----    -----------       -------    -------- 
Adjusted EBITDA 
 (1)              $   2,081   $  19,310   $    (332)  $  305   $      1,265    $   (2,341)  $  20,288 
                   ========    ========    ========    =====    ===========       =======    ======== 
Basic income 
 (loss) per 
 share from 
 continuing 
 operations       $    0.01   $    0.10   $       -   $    -   $       0.01    $    (0.03)  $    0.09 
Basic income per 
share from 
discontinued 
operations        $       -   $       -   $       -   $    -   $          -    $        -   $       - 
                   --------    --------    --------    -----    -----------       -------    -------- 
Basic income 
 (loss) per 
 share            $    0.01   $    0.10   $       -   $    -   $       0.01    $    (0.03)  $    0.09 
                   ========    ========    ========    =====    ===========       =======    ======== 
Diluted income 
 (loss) per 
 share from 
 continuing 
 operations       $    0.01   $    0.10   $       -   $    -   $       0.01    $    (0.03)  $    0.09 
Diluted income 
per share from 
discontinued 
operations        $       -   $       -   $       -   $    -   $          -    $        -   $       - 
                   --------    --------    --------    -----    -----------       -------    -------- 
Diluted income 
 (loss) per 
 share            $    0.01   $    0.10   $       -   $    -   $       0.01    $    (0.03)  $    0.09 
                   ========    ========    ========    =====    ===========       =======    ======== 
 
                                     For The Three Months Ended September 30, 2024 
                  ----------------------------------------------------------------------------------- 
                  VF Fresh    Cannabis    Cannabis    Clean      Cannabis 
                  (Produce)    Canada        U.S.     Energy   Netherlands     Corporate      Total 
                  ---------   ---------   ---------   ------   ------------   -----------   --------- 
Sales             $  14,340   $  36,463   $   3,943   $  192   $         --    $       --   $  54,938 
Cost of sales       (12,930)    (26,864)     (1,443)     (64)            --            --     (41,301) 
Selling, general 
 and 
 administrative 
 expenses              (715)     (7,983)     (2,692)      (1)          (385)       (2,789)    (14,565) 
Other expense, 
 net                   (383)        (16)         --      170             --           410         181 
Goodwill and 
intangible asset 
impairments              --          --          --       --             --            --          -- 
Income (loss) 
 before taxes 
 and equity 
 method 
 investment 
 income                 312       1,600        (192)     297           (385)       (2,379)       (747) 
(Provision for) 
 recovery of 
 income taxes           (27)       (308)         --       --            239             2         (94) 
Equity method 
investment 
income, net of 
tax                      --          --          --       --             --            --          -- 
Income (loss) 
 from continuing 
 operations             285       1,292        (192)     297           (146)       (2,377)       (841) 
Income from 
 discontinued 
 operations net 
 of tax                  91          --          --       --             --            --          91 
Income (loss) 
 including 
 non-controlling 
 interests              376       1,292        (192)     297           (146)       (2,377)       (750) 
Less: net 
 (income) loss 
 attributable to 
 non-controlling 
 interests, net 
 of tax                  --        (124)         --       --             54            --         (70) 
Net income 
 (loss)           $     376   $   1,168   $    (192)  $  297   $        (92)   $   (2,377)  $    (820) 
Adjusted EBITDA 
 from continuing 
 operations       $   1,704   $   4,752   $    (159)  $  313   $        (54)   $   (1,881)  $   4,675 
Adjustments 
 attributable to 
 discontinued 
 operations             627           -           -        -              -             -         627 
                   --------    --------    --------    -----    -----------       -------    -------- 
Adjusted EBITDA 
 (1)              $   2,331   $   4,752   $    (159)  $  313   $        (54)   $   (1,881)  $   5,302 
                   ========    ========    ========    =====    ===========       =======    ======== 
Basic income 
 (loss) per 
 share from 
 continuing 
 operations       $       -   $    0.01   $       -   $    -   $          -    $    (0.02)  $   (0.01) 
Basic income per 
share from 
discontinued 
operations        $       -   $       -   $       -   $    -   $          -    $        -   $       - 
                   --------    --------    --------    -----    -----------       -------    -------- 
Basic income 
 (loss) per 
 share            $       -   $    0.01   $       -   $    -   $          -    $    (0.02)  $   (0.01) 
                   ========    ========    ========    =====    ===========       =======    ======== 
Diluted income 
 (loss) per 
 share from 
 continuing 
 operations       $       -   $    0.01   $       -   $    -   $          -    $    (0.02)  $   (0.01) 
Diluted income 
per share from 
discontinued 
operations        $       -   $       -   $       -   $    -   $          -    $        -   $       - 
                   --------    --------    --------    -----    -----------       -------    -------- 
Diluted income 
 (loss) per 
 share            $       -   $    0.01   $       -   $    -   $          -    $    (0.02)  $   (0.01) 
                   ========    ========    ========    =====    ===========       =======    ======== 
 
                                     For The Nine Months Ended September 30, 2025 
                  ----------------------------------------------------------------------------------- 
                  VF Fresh    Cannabis    Cannabis    Clean      Cannabis 
                  (Produce)    Canada       U.S.      Energy   Netherlands     Corporate      Total 
                  ---------   ---------   ---------   ------   ------------   -----------   --------- 
Sales             $  21,442   $ 125,938   $  11,082   $1,302   $      6,556    $       --   $ 166,320 
Cost of sales       (20,277)    (70,040)     (4,064)    (219)        (3,260)           --     (97,860) 
Selling, general 
 and 
 administrative 
 expenses            (1,802)    (26,506)     (7,405)     (23)        (1,698)       (8,195)    (45,629) 
Other income 
 (expense), net       3,478        (820)       (220)      --            (44)        1,627       4,021 
Income (loss) 
 before taxes 
 and equity 
 method 
 investment 
 income               2,841      28,572        (607)   1,060          1,554        (6,568)     26,852 
Provision for 
 income taxes           (26)     (7,720)         --     (286)          (171)           --      (8,203) 
Equity method 
investment 
income, net of 
tax                      --          --          --       --             --            --          -- 
Income (loss) 
 from continuing 
 operations           2,815      20,852        (607)     774          1,383        (6,568)     18,649 
Income from 
 discontinued 
 operations net 
 of tax              11,015          --          --       --             --            --      11,015 
Income (loss) 
 including 
 non-controlling 
 interests           13,830      20,852        (607)     774          1,383        (6,568)     29,664 
Less: net loss 
 attributable to 
 non-controlling 
 interests, net 
 of tax                  --         347          --       --             --            --         347 
Net income 
 (loss)           $  13,830   $  21,199   $    (607)  $  774   $      1,383    $   (6,568)  $  30,011 
Adjusted EBITDA 
 from continuing 
 operations       $   7,128   $  37,868   $    (173)  $1,060   $      2,560    $   (7,197)  $  41,246 
Adjustments 
 attributable to 
 discontinued 
 operations          (7,617)          -           -        -              -             -      (7,617) 
                   --------    --------    --------    -----    -----------       -------    -------- 
Adjusted EBITDA 
 (1)              $    (489)  $  37,868   $    (173)  $1,060   $      2,560    $   (7,197)  $  33,629 
                   ========    ========    ========    =====    ===========       =======    ======== 
Basic income 
 (loss) per 
 share from 
 continuing 
 operations       $    0.02   $    0.19   $   (0.01)  $ 0.02   $       0.01    $    (0.06)  $    0.17 
Basic income per 
 share from 
 discontinued 
 operations       $    0.10   $       -   $       -   $    -   $          -    $        -   $    0.10 
                   --------    --------    --------    -----    -----------       -------    -------- 
Basic income 
 (loss) per 
 share            $    0.12   $    0.19   $   (0.01)  $ 0.02   $       0.01    $    (0.06)  $    0.27 
                   ========    ========    ========    =====    ===========       =======    ======== 
Diluted income 
 (loss) per 
 share from 
 continuing 
 operations       $    0.02   $    0.18   $   (0.01)  $ 0.02   $       0.01    $    (0.06)  $    0.16 
Diluted income 
 per share from 
 discontinued 
 operations       $    0.10   $       -   $       -   $    -   $          -    $        -   $    0.10 
                   --------    --------    --------    -----    -----------       -------    -------- 
Diluted income 
 (loss) per 
 share            $    0.12   $    0.18   $   (0.01)  $ 0.02   $       0.01    $    (0.06)  $    0.26 
                   ========    ========    ========    =====    ===========       =======    ======== 
 
                                     For The Nine Months Ended September 30, 2024 
                  ----------------------------------------------------------------------------------- 
                  VF Fresh    Cannabis    Cannabis    Clean      Cannabis 
                  (Produce)    Canada       U.S.      Energy   Netherlands     Corporate      Total 
                  ---------   ---------   ---------   ------   ------------   -----------   --------- 
Sales             $  22,778   $ 114,654   $  12,777   $  313   $         --    $       --   $ 150,522 
Cost of sales       (22,129)    (84,842)     (4,953)    (107)            --            --    (112,031) 
Selling, general 
 and 
 administrative 
 expenses            (2,274)    (24,436)     (9,058)     (38)        (1,089)       (8,976)    (45,871) 
Other expense 
 (income), net       (1,406)       (687)         --      170             --          (315)     (2,238) 
Goodwill and 
 intangible 
 asset 
 impairments             --          --     (11,939)      --             --            --     (11,939) 
(Loss) income 
 before taxes 
 and equity 
 method 
 investment 
 income              (3,031)      4,689     (13,173)     338         (1,089)       (9,291)    (21,557) 
(Provision for) 
 recovery of 
 income taxes           (23)       (896)         --       --            239             6        (674) 
Equity method 
investment 
income, net of 
tax                      --          --          --       --             --            --          -- 
(Loss) income 
 from continuing 
 operations          (3,054)      3,793     (13,173)     338           (850)       (9,285)    (22,231) 
Loss from 
 discontinued 
 operations net 
 of tax              (4,756)         --          --       --             --            --      (4,756) 
(Loss) income 
 including 
 non-controlling 
 interests           (7,810)      3,793     (13,173)     338           (850)       (9,285)    (26,987) 
Less: net 
 (income) loss 
 attributable to 
 non-controlling 
 interests, net 
 of tax                  --        (394)         --       --            160            --        (234) 
Net (loss) 
 income           $  (7,810)  $   3,399   $ (13,173)  $  338   $       (690)   $   (9,285)  $ (27,221) 
Adjusted EBITDA 
 from continuing 
 operations       $   1,180   $  13,643   $  (1,014)  $  354   $       (119)   $   (5,539)  $   8,505 
Adjustments 
 attributable to 
 discontinued 
 operations          (3,171)          -           -        -              -             -      (3,171) 
                   --------    --------    --------    -----    -----------       -------    -------- 
Adjusted EBITDA 
 (1)              $  (1,991)  $  13,643   $  (1,014)  $  354   $       (119)   $   (5,539)  $   5,334 
                   ========    ========    ========    =====    ===========       =======    ======== 
Basic (loss) 
 income per 
 share from 
 continuing 
 operations       $   (0.03)  $    0.03   $   (0.12)  $    -   $      (0.01)   $    (0.08)  $   (0.21) 
Basic loss per 
 share from 
 discontinued 
 operations       $   (0.04)  $       -   $       -   $    -   $          -    $        -   $   (0.04) 
                   --------    --------    --------    -----    -----------       -------    -------- 
Basic (loss) 
 income per 
 share            $   (0.07)  $    0.03   $   (0.12)  $    -   $      (0.01)   $    (0.08)  $   (0.25) 
                   ========    ========    ========    =====    ===========       =======    ======== 
Diluted (loss) 
 income per 
 share from 
 continuing 
 operations       $   (0.03)  $    0.03   $   (0.12)  $    -   $      (0.01)   $    (0.08)  $   (0.21) 
Diluted loss per 
 share from 
 discontinued 
 operations       $   (0.04)  $       -   $       -   $    -   $          -    $        -   $   (0.04) 
                   --------    --------    --------    -----    -----------       -------    -------- 
Diluted (loss) 
 income per 
 share            $   (0.07)  $    0.03   $   (0.12)  $    -   $      (0.01)   $    (0.08)  $   (0.25) 
                   ========    ========    ========    =====    ===========       =======    ======== 
 

(1) Adjusted EBITDA is not a recognized earnings measure and does not have a standardized meaning prescribed by GAAP. Therefore, Adjusted EBITDA presented for these segments may not be comparable to similar measures presented by other issuers. Management believes that Adjusted EBITDA is a useful supplemental measure in evaluating the performance of the Company because it excludes non-recurring and other items that do not reflect the underlying business performance of the Company.

This press release is intended to be read in conjunction with the Company's Consolidated Financial Statements ("Financial Statements") and Management's Discussion & Analysis ("MD&A") for the three and nine months ended September 30, 2025 in the Company Form 10-Q, which will be filed on (www.sec.gov/edgar.shtml) and SEDAR (www.sedar.com) and will be available at www.villagefarms.com.

 
Reconciliation of Net Income (Loss) to Adjusted EBITDA 
 
The following tables reflect a reconciliation of net 
 income to Adjusted EBITDA, as presented by the Company: 
 
                                      For The Three Months Ended September 30, 2025 
                     -------------------------------------------------------------------------------- 
(in thousands of     VF Fresh    Cannabis    Cannabis   Clean     Cannabis 
U.S. dollars)        (Produce)     Canada      U.S.     Energy   Netherlands    Corporate     Total 
                     ---------   ---------   --------   ------  ------------   -----------   -------- 
Net income (loss) 
 from continuing 
 operations          $   1,300   $  11,678   $   (439)  $  223  $        790    $   (3,059)  $ 10,493 
Add:                        --          --         --       --            --            --         -- 
   Amortization and 
    depreciation           813       2,928         47       --           349            25      4,162 
   Foreign currency 
    exchange (gain) 
    loss                   (12)         19         --       --            --           217        224 
   Interest 
    expense, net           345         192         --       --            --          (251)       286 
   Provision for 
    income taxes            26       4,486         --       82           123            --      4,717 
   Share-based 
    compensation             7         217         60       --             3           727      1,014 
   Deferred 
    financing fees          --          32         --       --            --            --         32 
   Adjustments 
    attributable to 
    non-controlling 
    interest                --        (242)        --       --            --            --       (242) 
                      --------    --------    -------    -----   -----------       -------    ------- 
Adjusted EBITDA 
 from continuing 
 operations              2,479      19,310       (332)     305         1,265        (2,341)    20,686 
   Adjustments 
    attributable to 
    discontinued 
    operations            (398)         --         --       --            --            --       (398) 
                      --------    --------    -------    -----   -----------       -------    ------- 
Adjusted EBITDA (2)  $   2,081   $  19,310   $   (332)  $  305  $      1,265    $   (2,341)  $ 20,288 
                      ========    ========    =======    =====   ===========       =======    ======= 
 
                                      For The Three Months Ended September 30, 2024 
                     -------------------------------------------------------------------------------- 
(in thousands of     VF Fresh    Cannabis    Cannabis   Clean     Cannabis 
U.S. dollars)        (Produce)    Canada       U.S.     Energy  Netherlands     Corporate     Total 
                     ---------   ---------   --------   ------  ------------   -----------   -------- 
Net income (loss) 
 from continuing 
 operations          $     285   $   1,168   $   (192)  $  297  $        (92)   $   (2,377)  $   (911) 
Add:                        --          --         --       --            --            --         -- 
   Amortization and 
    depreciation           817       3,341         50       --           324            46      4,578 
   Foreign currency 
    exchange loss 
    (gain)                  20         (28)        --       --            --          (350)      (358) 
   Interest 
    expense, net           555          42         --       16            --           (63)       550 
   Provision for 
    (recovery of) 
    income taxes            27         308         --       --          (241)           --         94 
   Share-based 
    compensation            --          29        (17)      --            --           863        875 
   Adjustments 
    attributable to 
    non-controlling 
    interest                --        (108)        --       --           (45)           --       (153) 
                      --------    --------    -------    -----   -----------       -------    ------- 
Adjusted EBITDA 
 from continuing 
 operations              1,704       4,752       (159)     313           (54)       (1,881)     4,675 
   Adjustments 
    attributable to 
    discontinued 
    operations             627          --         --       --            --            --        627 
                      --------    --------    -------    -----   -----------       -------    ------- 
Adjusted EBITDA (2)  $   2,331   $   4,752   $   (159)  $  313  $        (54)   $   (1,881)  $  5,302 
                      ========    ========    =======    =====   ===========       =======    ======= 
 
                                       For The Nine Months Ended September 30, 2025 
                     -------------------------------------------------------------------------------- 
(in thousands of     VF Fresh    Cannabis    Cannabis   Clean     Cannabis 
U.S. dollars)        (Produce)    Canada       U.S.     Energy  Netherlands     Corporate     Total 
                     ---------   ---------   --------   ------  ------------   -----------   -------- 
Net income (loss) 
 from continuing 
 operations          $   2,815   $  21,199   $   (607)  $  774  $      1,383    $   (6,568)  $ 18,996 
Add:                        --          --         --       --            --            --         -- 
   Amortization and 
    depreciation         3,086       8,231        145       --         1,003           107     12,572 
   Foreign currency 
    exchange gain          (94)       (116)        --       --            --        (1,327)    (1,537) 
   Interest 
    expense, net         1,269         649         --       --            --          (300)     1,618 
   Provision for 
    income taxes            26       7,720         --      286           171            --      8,203 
   Share-based 
    compensation            26         290         72       --             3           891      1,282 
   Deferred 
    financing fees          --          79         --       --            --            --         79 
   Other 
    impairments             --          --        217       --            --            --        217 
Adjustments 
 attributable to 
 non-controlling 
 interest                   --        (184)        --       --            --            --       (184) 
                      --------    --------    -------    -----   -----------       -------    ------- 
Adjusted EBITDA 
 from continuing 
 operations              7,128      37,868       (173)   1,060         2,560        (7,197)    41,246 
   Adjustments 
    attributable to 
    discontinued 
    operations          (7,617)         --         --       --            --            --     (7,617) 
                      --------    --------    -------    -----   -----------       -------    ------- 
Adjusted EBITDA (2)  $    (489)  $  37,868   $   (173)  $1,060  $      2,560    $   (7,197)  $ 33,629 
                      ========    ========    =======    =====   ===========       =======    ======= 
 
                                       For The Nine Months Ended September 30, 2024 
                     -------------------------------------------------------------------------------- 
(in thousands of     VF Fresh    Cannabis    Cannabis   Clean     Cannabis 
U.S. dollars)        (Produce)    Canada       U.S.     Energy  Netherlands     Corporate     Total 
                     ---------   ---------   --------   ------  ------------   -----------   -------- 
Net income (loss) 
 from continuing 
 operations          $  (3,054)  $   3,399   $(13,173)  $  338  $       (690)   $   (9,285)  $(22,465) 
Add:                        --          --         --       --            --            --         -- 
   Amortization and 
    depreciation         2,456       9,221        154       --           951           152     12,934 
   Foreign currency 
    exchange loss 
    (gain)                  58          (6)        --       --            --           714        766 
   Interest 
    expense, net         1,697         524         --       16            --          (400)     1,837 
   Provision for 
    (recovery of) 
    income taxes            23         896         --       --          (241)           (4)       674 
   Share-based 
    compensation            --         126         66       --            --         3,284      3,476 
   Deferred 
    financing fees          --          10         --       --            --            --         10 
   Goodwill and 
    intangible 
    impairments 
    (1)                     --          --     11,939       --            --            --     11,939 
Adjustments 
 attributable to 
 non-controlling 
 interest                   --        (527)        --       --          (139)           --       (666) 
                      --------    --------    -------    -----   -----------       -------    ------- 
Adjusted EBITDA 
 from continuing 
 operations              1,180      13,643     (1,014)     354          (119)       (5,539)     8,505 
   Adjustments 
    attributable to 
    discontinued 
    operations          (3,171)         --         --       --            --            --     (3,171) 
                      --------    --------    -------    -----   -----------       -------    ------- 
Adjusted EBITDA (2)  $  (1,991)  $  13,643   $ (1,014)  $  354  $       (119)   $   (5,539)  $  5,334 
                      ========    ========    =======    =====   ===========       =======    ======= 
 

(1) Reflects impairment to goodwill and intangibles of $11,939 in U.S. Cannabis that was based on recent historical performance, near-term forecasts, and the state of the CBD industry in the United States. See "Critical Accounting Estimates and Judgments" below for more information.

(2) Adjusted EBITDA is not a recognized earnings measure and does not have a standardized meaning prescribed by GAAP. Therefore, Adjusted EBITDA presented for these segments may not be comparable to similar measures presented by other issuers. Management believes that Adjusted EBITDA is a useful supplemental measure in evaluating the performance of the Company because it excludes non-recurring and other items that do not reflect the underlying business performance of the Company.

A detailed discussion of our consolidated and segment results can be found in the 10-Q MD&A on the Village Farms website under Financial Reports within the Investors section.

Cautionary Statement Regarding Forward-Looking Information

As used in this Press Release, the terms "Village Farms", "Village Farms International", the "Company", "we", "us", "our" and similar references refer to Village Farms International, Inc. and our consolidated subsidiaries, and the term "Common Shares" refers to our common shares, no par value. Our financial information is presented in U.S. dollars and all references in this Press Release to "$" means U.S. dollars and all references to "C$" means Canadian dollars.

This Press Release contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995, Section 27A of the U.S. Securities Act of 1933, as amended, (the "Securities Act") and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and is subject to the safe harbor created by those sections. This Press Release also contains "forward-looking information" within the meaning of applicable Canadian securities laws. We refer to such forward-looking statements and forward-looking information collectively as "forward-looking statements". Forward-looking statements may relate to the Company's future outlook or financial position and anticipated events or results and may include statements regarding the financial position, business strategy, budgets, expansion plans, litigation, projected production, projected costs, capital expenditures, financial results, tariffs, taxes, plans and objectives of or involving the Company or statements regarding the anticipated benefits from the closing of the transaction involving Vanguard Food LP. Particularly, statements regarding future results, performance, achievements, prospects or opportunities for the Company, the greenhouse vegetable or produce industry, the cannabis industry and market and our energy segment are forward-looking statements. In some cases, forward-looking information can be identified by such terms as "can", "outlook", "may", "might", "will", "could", "should", "would", "occur", "expect", "plan", "anticipate", "believe", "intend", "try", "estimate", "predict", "potential", "continue", "likely", "schedule", "objectives", or the negative or grammatical variation thereof or other similar expressions concerning matters that are not historical facts. The forward-looking statements in this Press Release are subject to risks that may include, but are not limited to: our limited operating history in the cannabis and cannabinoids industry, including that of Pure Sunfarms, Corp. ("Pure Sunfarms"), Rose LifeScience Inc. ("Rose" or "Rose LifeScience") and Balanced Health Botanicals, LLC ("Balanced Health"); the limited operational history of the Delta RNG Project in our energy segment and Leli Holland B.V. ("Leli"); the legal status of the cannabis business of Pure Sunfarms and Rose and the hemp business of Balanced Health and uncertainty regarding the legality and regulatory status of cannabis in the United States; risks relating to the integration of Balanced Health and Rose into our consolidated business; risks relating to obtaining additional financing on acceptable terms, including our dependence upon credit facilities and dilutive transactions; potential difficulties in achieving and/or maintaining profitability; variability of product pricing; risks inherent in the cannabis, hemp, CBD, cannabinoids, and agricultural businesses; our market position and competitive position; our ability to leverage current business relationships for future business involving hemp and cannabinoids; the ability of Pure Sunfarms and Rose to cultivate and distribute cannabis in Canada as well as exports; risks related to the start-up of international production at our Netherlands operations under Leli; existing and new governmental regulations, including risks related to regulatory compliance and regarding obtaining and maintaining licenses required under the Cannabis Act (Canada), the Criminal Code and other Acts, S.C. 2018, C. 16 (Canada) for its Canadian operational facilities, and changes in our regulatory requirements; legal and operational risks relating to expected conversion of our greenhouses to cannabis production in Canada and in the United States; risks related to rules and regulations at the U.S. Federal (Food and Drug Administration and United States Department of Agriculture), state and municipal levels with respect to produce and hemp, cannabidiol-based products commercialization; retail consolidation, technological advances and other forms of competition; transportation disruptions; product liability and other potential litigation; retention of key executives; labor issues; uninsured and underinsured losses; vulnerability to rising energy costs; inflationary effects on costs of cultivation and transportation; recessionary effects on demand of our products; environmental, health and safety risks, foreign exchange exposure, risks associated with cross-border trade and the potential for tariffs and other trade restrictions; difficulties in managing our growth; restrictive covenants under our credit facilities; natural catastrophes; elevated interest rates; and tax risks.

The Company has based these forward-looking statements on factors and assumptions about future events and financial trends that it believes may affect its financial condition, results of operations, business strategy and financial needs. Although the forward-looking statements contained in this Press Release are based upon assumptions that management believes are reasonable based on information currently available to management, there can be no assurance that actual results will be consistent with these forward-looking statements. Forward-looking statements necessarily involve known and unknown risks and uncertainties, many of which are beyond the Company's control, which may cause the Company's or the industry's actual results, performance, achievements, prospects and opportunities in future periods to differ materially from those expressed or implied by such forward-looking statements. These risks and uncertainties include, among other things, the factors contained in the Company's filings with securities regulators, including this Press Release and the Company's most recently filed annual report on Form 10-K.

When relying on forward-looking statements to make decisions, the Company cautions readers not to place undue reliance on these statements, as forward-looking statements involve significant risks and uncertainties and should not be read as guarantees of future results, performance, achievements, prospects and opportunities. The forward-looking statements made in this Press Release relate only to events or information as of the date on which the statements are made in this Press Release. Except as required by law, the Company undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events.

 
                   Village Farms International, Inc. 
        Condensed Consolidated Statements of Financial Position 
          (In thousands of United States dollars, except share 
                                  data) 
                              (Unaudited) 
 
                              September 30, 2025     December 31, 2024 
                             --------------------  --------------------- 
ASSETS 
  Current assets 
    Cash and cash 
     equivalents              $           82,561    $          24,631 
    Restricted cash                        5,000                   -- 
    Trade receivables, net                31,351               22,160 
    Inventories, net                      34,203               41,256 
    Other receivables                        579                  247 
    Prepaid expenses and 
     deposits                              2,931                2,806 
    Current assets of 
     discontinued 
     operations                               --               24,919 
                                 ---------------       -------------- 
  Total current assets                   156,625              116,019 
                                 ---------------       -------------- 
  Non-current assets 
    Property, plant and 
     equipment, net                      179,845              175,226 
    Investments                            6,279                2,656 
    Goodwill                              43,696               42,315 
    Intangibles, net                      23,755               25,105 
    Deferred tax asset                       719                1,005 
    Right-of-use assets                    3,587                4,372 
    Other assets                           3,878                2,178 
    Non-current assets of 
     discontinued 
     operations                               --               20,430 
  Total assets                $          418,384    $         389,306 
                                 ===============       ============== 
LIABILITIES 
  Current liabilities 
    Line of credit            $               --    $           4,000 
    Trade payables                         9,511               11,254 
    Current maturities of 
     long-term debt                        4,841                8,142 
    Accrued sales taxes                   11,758                8,740 
    Accrued loyalty program                  519                1,029 
    Accrued liabilities                   10,116                8,972 
    Lease liabilities - 
     current                               1,134                1,060 
    Income tax payable                     8,538                   51 
    Other current 
     liabilities                           7,381                1,053 
    Current liabilities of 
     discontinued 
     operations                            2,608               17,918 
                                 ---------------       -------------- 
  Total current liabilities               56,406               62,219 
                                 ---------------       -------------- 
  Non-current liabilities 
    Long-term debt                        29,753               32,420 
    Deferred tax liability                20,161               19,940 
    Lease liabilities - 
     non-current                           3,459                4,199 
    Other non-current 
     liabilities                           3,240                2,196 
    Non-current liabilities 
     of discontinued 
     operations                               --                4,374 
                                 ---------------       -------------- 
  Total liabilities                      113,019              125,348 
                                 ---------------       -------------- 
MEZZANINE EQUITY 
      Redeemable 
       non-controlling 
       interest                            9,997                9,953 
SHAREHOLDERS' EQUITY 
      Common stock, no par 
       value per share - 
       unlimited shares 
       authorized; 
       114,970,100 shares 
       issued and 
       outstanding at 
       September 30, 2025 
       and 112,337,049 
       shares issued and 
       outstanding at 
       December 31, 2024.                390,893              387,349 
      Additional paid in 
       capital                            31,886               30,604 
      Accumulated other 
       comprehensive loss                (12,406)             (18,932) 
      Retained earnings                 (115,005)            (145,016) 
                                 ---------------       -------------- 
   Total shareholders' 
    equity                               295,368              254,005 
   Total liabilities, 
    mezzanine equity and 
    shareholders' equity      $          418,384    $         389,306 
                                 ===============       ============== 
 

The accompanying notes are an integral part of these Condensed Consolidated Financial Statements.

 
                  Village Farms International, Inc. 
         Condensed Consolidated Statements of Operations and 
                     Comprehensive Income (Loss) 
         (In thousands of United States dollars, except per 
                             share data) 
                             (Unaudited) 
 
                         Three Months Ended      Nine Months Ended 
                            September 30,          September 30, 
                        --------------------  ----------------------- 
                          2025       2024       2025         2024 
                        ---------  ---------  ---------  ------------ 
Sales                   $ 66,741   $ 54,938   $166,320   $ 150,522 
Cost of sales            (34,803)   (41,301)   (97,860)   (112,031) 
                         -------    -------    -------    -------- 
Gross profit              31,938     13,637     68,460      38,491 
Selling, general and 
 administrative 
 expenses                (15,599)   (14,565)   (45,629)    (45,871) 
Interest expense            (646)      (779)    (2,162)     (2,594) 
Interest income              360        229        544         757 
Foreign exchange 
 (loss) gain                (238)       352      1,470        (929) 
Other (loss) income         (282)       379      4,169         528 
Goodwill and 
 intangible asset 
 impairments                  --         --         --     (11,939) 
                         -------    -------    -------    -------- 
Income (loss) before 
 taxes and equity 
 method investment 
 income                   15,533       (747)    26,852     (21,557) 
Provision for income 
 taxes                    (4,717)       (94)    (8,203)       (674) 
Equity method 
investment income, 
net of tax                    --         --         --          -- 
                         -------    -------    -------    -------- 
Income (loss) from 
 continuing 
 operations               10,816       (841)    18,649     (22,231) 
(Loss) Income from 
 discontinued 
 operations, net of 
 tax                        (276)        91     11,015      (4,756) 
                         -------    -------    -------    -------- 
Income (loss) 
 including 
 non-controlling 
 interests                10,540       (750)    29,664     (26,987) 
Less: net (income) 
 loss attributable to 
 non-controlling 
 interests, net of 
 tax                        (323)       (70)       347        (234) 
                         -------    -------    -------    -------- 
Net income (loss) 
 attributable to 
 Village Farms 
 International, Inc. 
 shareholders           $ 10,217   $   (820)  $ 30,011   $ (27,221) 
                         =======    =======    =======    ======== 
Basic income (loss) per share 
attributable to Village Farms 
International, Inc. shareholders 
from: 
Continuing operations   $   0.09   $  (0.01)  $   0.17   $   (0.21) 
Discontinued 
 operations                    -          -       0.10       (0.04) 
                         -------    -------    -------    -------- 
Basic income (loss) 
 per share 
 attributable to 
 Village Farms 
 International, Inc. 
 shareholders           $   0.09   $  (0.01)  $   0.27   $   (0.25) 
                         =======    =======    =======    ======== 
Diluted income (loss) per share 
attributable to Village Farms 
International, Inc. shareholders 
from: 
Continuing operations   $   0.08   $  (0.01)  $   0.16   $   (0.21) 
Discontinued 
 operations                    -          -       0.10       (0.04) 
                         -------    -------    -------    -------- 
Diluted income (loss) 
 per share 
 attributable to 
 Village Farms 
 International, Inc. 
 shareholders           $   0.08   $  (0.01)  $   0.26   $   (0.25) 
                         =======    =======    =======    ======== 
Weighted average 
number of common 
shares used in the 
computation of net 
income (loss) per 
share (in 
thousands): 
     Basic               113,039    111,917    112,577     111,045 
                         =======    =======    =======    ======== 
     Diluted             120,565    111,917    115,292     111,045 
                         =======    =======    =======    ======== 
Income (loss) 
 including 
 non-controlling 
 interests              $ 10,540   $   (750)  $ 29,664   $ (26,987) 
Other comprehensive 
income (loss): 
     Foreign currency 
      translation 
      adjustment          (3,920)     2,595      6,915      (3,655) 
                                               -------    -------- 
Comprehensive income 
 (loss) including 
 non-controlling 
 interests                 6,620      1,845     36,579     (30,642) 
                         -------    -------    -------    -------- 
     Comprehensive 
      (income) loss 
      attributable to 
      non-controlling 
      interests             (140)      (222)       (40)         10 
Comprehensive income 
 (loss) attributable 
 to Village Farms 
 International, Inc. 
 shareholders           $  6,480   $  1,623   $ 36,539   $ (30,632) 
                         =======    =======    =======    ======== 
 

The accompanying notes are an integral part of these Condensed Consolidated Financial Statements.

 
                    Village Farms International, Inc. 
             Condensed Consolidated Statements of Cash Flows 
                 (In thousands of United States dollars) 
                               (Unaudited) 
 
                                      Nine Months Ended September 30, 
                                 ----------------------------------------- 
                                        2025                  2024 
                                 -------------------  -------------------- 
Cash flows provided by (used 
in) operating activities: 
    Income (loss) from 
     continuing operations 
     including non-controlling 
     interests                    $       18,649       $        (22,231) 
    Adjustments to reconcile 
    net loss attributable to 
    Village Farms 
    International, Inc. 
    shareholders to net cash 
    provided by (used in) 
    operating activities of 
    continuing operations: 
      Depreciation and 
       amortization                       12,572                 12,934 
      Amortization of deferred 
       charges                                79                     10 
      Interest expense                     2,162                  2,594 
      Interest paid on 
       long-term debt                     (2,215)                (3,128) 
      Unrealized foreign 
       exchange (gain) loss                  (56)                   143 
      Goodwill and intangible 
       asset impairments                      --                 11,939 
      Non-cash lease expense                 740                    593 
      Share-based compensation             1,282                  3,476 
      Deferred income taxes                 (133)                   384 
      Changes in non-cash 
       working capital items              13,630                 (3,911) 
                                     -----------          ------------- 
       Net cash provided by 
        operating activities 
        from continuing 
        operations                        46,710                  2,803 
                                     -----------          ------------- 
Cash flows used in investing 
activities: 
     Purchases of property, 
      plant and equipment                 (7,117)                (5,527) 
     Purchases of intangibles                 --                    (80) 
                                     -----------          ------------- 
       Net cash used in 
        investing activities 
        from continuing 
        operations                        (7,117)                (5,607) 
                                     -----------          ------------- 
Cash flows (used in) provided 
by financing activities: 
     Repayments on borrowings             (6,612)                (4,301) 
     Purchase of 
      non-controlling interest                --                 (3,817) 
     Proceeds from exercise of 
     warrants and options                  3,544                     -- 
     Other financing activities             (543)                    -- 
       Net cash used in 
        financing activities 
        from continuing 
        operations                        (3,611)                (8,118) 
                                     -----------          ------------- 
Discontinued Operations 
     Net cash (used in) 
      provided by operating 
      activities from 
      discontinued operations             (5,865)                 7,139 
     Net cash provided by (used 
      in) investing activities 
      from discontinued 
      operations                          38,710                 (2,620) 
     Net cash used in financing 
      activities from 
      discontinued operations             (4,000)                    -- 
       Net cash flows provided 
        by discontinued 
        operations                        28,845                  4,519 
                                     -----------          ------------- 
Effect of exchange rate changes 
 on cash and cash equivalents             (1,897)                  (192) 
                                     -----------          ------------- 
Net increase (decrease) in 
 cash, cash equivalents and 
 restricted cash                          62,930                 (6,595) 
Cash, cash equivalents and 
 restricted cash, beginning of 
 period                                   24,631                 35,291 
Cash, cash equivalents and 
 restricted cash, end of 
 period                           $       87,561       $         28,696 
                                     ===========          ============= 
 

The accompanying notes are an integral part of these Condensed Consolidated Financial Statements.

(END) Dow Jones Newswires

November 10, 2025 07:00 ET (12:00 GMT)

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