Organigram Q3 Revenue Soars 49% YoY; New Cannabis Acquisition Powers Global Growth Strategy

Jelena MartinovicBy , Featured Writer
Burn After Reading The 30-second intel for operators and investors

Organigram's Q3 net revenue rises 49% to CA$105.8 million, with gross revenue up 32% to CA$145.1 million. Sanity, the Berlin-based subsidiary acquired in April 2026, contributes roughly CA$40 million of the total.

  • Operators: Organigram's German entry through Sanity gives it a European distribution platform alongside its Canadian operations. Adjusted gross margin improves to 37% from 34%, while the company still posts negative free cash flow for the quarter.
  • Investors: Adjusted EBITDA is positive at CA$13.4 million, but the CA$105.5 million net income stems from non-cash fair-value gains on preferred shares. Cash used in operations is CA$4.3 million. Management guides to over CA$350 million in fiscal 2026 revenue.
  • Do now: Compare Organigram's adjusted EBITDA and free cash flow, not net income, when benchmarking your own results against peers, since non-cash gains inflate its reported profit.
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Organigram Global Inc. (NASDAQ: OGI) (TSX: OGI) announced its third-quarter results, reporting a 32% year-over-year increase in gross revenue to CA$145.1 million ($104.1 million). Net revenue totaled CA$105.8 million, up 49% over the same period.

Sanity, the company’s Berlin-based subsidiary and European hub, contributed roughly CA$40 million of the revenue, the company said in a press release. The acquisition of Sanity, which enabled Organigram to expand into Germany and markets such as Switzerland, Poland, and the UK, closed in April 2026.

During the quarter, Sanity performed in line with expectations, James Yamanaka, the company’s CEO, said.

“As we enter the final quarter of Fiscal 2026, we are a fundamentally different company, and I look forward to continuing to execute our global strategy by leveraging our integrated Canadian operations and European distribution platform to drive long-term growth,” Yamanaka said.

Q3 2026 Financial Highlights

  • Adjusted EBITDA came in positive at CA$13.4 million, representing a 136% year-over-year increase.
  • Adjusted gross margin was 37%, up from 34% last year.
  • Net income amounted to CA$105.5 million, compared to a CA$6.3 million loss in the same quarter of last year. Non-cash fair-value gains on preferred shares influenced this.
  • Cash used in operations was CA$4.3 million, compared to CA$14.6 million generated during last year’s period.
  • Free cash flow was an outflow of CA$3.9 million, compared with an inflow of CA$5 million last year.

Management expects revenue to top CA$350 million for fiscal 2026, with better margins and higher adjusted EBITDA than last year.

They also anticipate the company will generate positive free cash flow in the fourth quarter, although they still expect to finish the full year slightly negative on free cash flow.

OGI Price Action

Organigram’s shares traded 10.48% higher at $1.1650 per share at the time of writing on Tuesday.

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Jelena Martinovic
August 11, 2026
Covers cannabis news, markets and regulation for IgniteIt. Previously wrote about financial markets for Benzinga and Insider Monkey.
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