Decibel Cannabis Company Inc · TSXV:DB
Decibel Cannabis — Q1 2025 Earnings Presentation
21 slides from Decibel Cannabis's earnings presentation, May 22, 2025
Slide 1: Investor Presentation Spring 2025
INVESTOR PRESENTATION SPRING 2025 TSXV: DB | OTCQB: DBCCF
Slide 2: General Disclaimer
GENERAL DISCLAIMER This corporate presentation dated May 22, 2025 (the “Presentation”) has been prepared by management of Decibel Cannabis Company Inc. (the “Corporation” or “Decibel”) and is based on public information. This Presentation does not constitute an offer to sell to any person, or a gene
Slide 3: Preliminary Financial Information and Non-GAAP Cautionary Statement
PRELIMINARY FINANCIAL INFORMATION The Corporation's expectations for its 2025 Proforma net revenue, adjusted EBITDA and adjusted free cash flow results (see “Cautionary Statement Regarding Certain Non-GAAP Measures” below) are based on, among other things, the Corporation's anticipated financial res
Slide 4: Decibel at a Glance
DECIBEL AT A GLANCE… CRAFT CANNABIS | INNOVATIVE EXTRACTS | GLOBAL REACH Established Canadian Platform Q1 2025 Financial Highlights ▪ Sixth largest Canadian recreational cannabis company ▪ Net Revenue of $21.2 million with ~$300MM in annual retail level sales ▪ Domestic sales of $19.0 million ▪ Over
Slide 5: Cannabis Market Overview
CANNABIS MARKET OVERVIEW Massive, Fast Growing, Fragmented Market Sin Spending is Cannabis is Highly & Exports are Massive(1) Growing Rapidly Fragmented Primed to Grow $261 25.2% 3.0% Cannabis Other 2020 2021 2022 2023 2024 US$3.1T 25% CAGR General Admission 54% CAGR Sin Spending in 2024(2) For Cann
Slide 6: Why Canadian Cannabis Is Critical
WHY CANADIAN CANNABIS IS CRITICAL Canada is a cornerstone to success in the global cannabis market Attractive Legal Market with a Canadian Cannabis Sales(1)(2) Recreational + Medical Stable Regulatory Framework (C$B) The only federally legal recreational cannabis market globally with growth, attract
Slide 7: The Global Cannabis Opportunity
THE GLOBAL CANNABIS OPPORTUNITY Global cannabis market is early in its growth cycle, with leading markets demonstrating significant traction Global Cannabis Sales Recreational + Medical (US$B) Global legal cannabis expected to reach US$134B in 2030(5) Cannabis Imports by Select Countries Metric tons
Slide 8: Successful Execution
SUCCESSFUL EXECUTION Demonstrated track record of strong execution with over 36+ years of collective cannabis expertise Ben Sze Stuart Boucher Adam Coates CEO, Director CFO CRO Net Revenue(1)(2) (C$MM) $106.2 ▪ Responsible for the merger ▪ Strategist in positioning ▪ Drove Decibel’s top line $102.6
Slide 9: Geographic Snapshot
GEOGRAPHIC SNAPSHOT Stable domestic free cash flowing segment coupled with high growth international 15% Domestic Segment International Segment • Maturing and consistent growth segment • Emerging fast growing segment • Stabilized price environment with improving market dynamics • Favourable price en
Slide 10: Asset Overview
ASSET OVERVIEW Decibel is well positioned for International and Domestic sales growth Domestic Hybrid International 9.0 5.1 Flower Production(1) TPA TPA Can service either market Geographical Exposure Facilities Capabilities Manufacturing Cultivation Cultivation Mixed(3) Ownership Status Owned Owned
Slide 11: Driving Success in Canada
DRIVING SUCCESS IN CANADA Positioned for growth in 2025 with near term catalysts Decibel Retail Level Sales Furthering Innovation in Ready-to-Consume (C$MM) ▪ Reinforcing General Admission product portfolio: Decibel was the first to launch infused pre-rolls, leading ▪ Launching UHP infused pre-rolls
Slide 12: Driving Success Globally
DRIVING SUCCESS GLOBALLY Positioned for high growth in 2025 with near term catalysts Delivering More Volumes to Key Markets Decibel International Sales(1) (C$MM) ▪ Opportunities for yield improvement to increase volumes High barriers to entry ▪ High growth markets actively looking for additional pro
Slide 13: 2025 Full Year Expectations
2025 FULL YEAR EXPECTATIONS 1 Net Revenue of $130MM driven by continued international growth 2 Adjusted EBITDA of $25MM with a continued cost focus and implementation of automation 3 Adjusted Free Cash Flow of $20MM to continue strengthening of our balance sheet and investing in growth 4 Debt to EBI
Slide 14: Competitive Advantage
COMPETITIVE ADVANTAGE Highly complementary segments that strengthen positioning in each marketplace International Segment Excess Demand Globally Enables Higher Facility Utilization Control of Supply to Canada Increases Operating Leverage Ability to thoughtfully balance supply to Increased utilizatio
Slide 15: Financials
DECIBEL B CANNABIS moms COMPANY FINANCIALS
Slide 16: Strong Financial Performance
STRONG FINANCIAL PERFORMANCE Demonstrated continued growth coupled with industry leading margins and free cash flow 2024 Includes AgMedica contribution had it been acquired Jan 1, 2024. Net Revenue(1)(2) Gross Margin(1)(2) Domestic Sales(1)(2) (C$MM) $106.2 (%) (C$MM) $102.6 $102.5 45.7% 47.9% $92.5
Slide 17: Corporate and Financial Information
CORPORATE AND FINANCIAL INFORMATION Strengthening our position through growth to capitalize on opportunities created by industry challenges Capital Structure Debt to EBITDA Capital Strategy Units in millions except per share values (x) Equity(1) Common Shares 576.9 Targeting Adjusted Free Cash Flow
Slide 18: Why Invest in Decibel
WHY INVEST IN DECIBEL Profitable Cannabis Operator with a .. Exposure to Fast Growing Global Strong Track Record.. Cannabis Market.. ▪ One of the few operators with 5 years of Adjusted ▪ Global cannabis market expected to grow at a 25% EBITDA in a highly competitive market CAGR through 2030 ▪ 3 year
Slide 19: Appendix
DECIBEL B CANNABIS moms COMPANY APPENDIX
Slide 20: Exhibit A: Non-GAAP Financial Measures Reconciliations
EXHIBIT A NON-GAAP FINANCIAL MEASURES – QUANTITATIVE RECONCILIATIONS Adjusted EBITDA Reconciliation Adjusted Free Cash Flow Reconciliation (C$’000) (C$MM) Three Months Ended March 31, Three Months Ended March 31, 2025 2024 2025 2024 Net income (loss) and comprehensive income (loss) ($1,901) ($3,333)
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