The modest YoY revenue growth and improved net loss are offset by declining adjusted EBITDA margin and sequential revenue decline. Monitor the impact of the medical cannabis rescheduling to Schedule III on profitability and the potential for an up-list to NASDAQ/NYSE, which could improve access to capital. The appointment of a new CFO and expansion of Pennsylvania cultivation capacity are positive operational signals, but the lack of formal guidance limits near-term catalysts.
Price Chart
Executive Summary
TerrAscend reported Q1 2026 net revenue of $65.5M, up 1.9% YoY from $64.3M, and a GAAP net loss from continuing operations of $6.8M, improved from a $7.7M loss in Q1 2025. Adjusted EBITDA from continuing operations was $17.4M (26.5% margin), down from $18.1M (28.2% margin) a year ago. The company generated $8.7M in operating cash flow and $7.8M in free cash flow, marking its 15th consecutive quarter of positive cash flow from continuing operations.
Key Financial Metrics
Key Facts
- Net revenue of $65.5M in Q1 2026, up 1.9% YoY from $64.3M
- GAAP net loss from continuing operations of $6.8M, improved from $7.7M loss in Q1 2025
- Adjusted EBITDA from continuing operations of $17.4M (26.5% margin), down from $18.1M (28.2% margin) in Q1 2025
- Operating cash flow from continuing operations of $8.7M; free cash flow of $7.8M
- Cash and cash equivalents of $39.1M as of March 31, 2026
- Gross profit margin of 52.8%, down from 53.9% in Q1 2025
- G&A expenses of $21.5M (32.8% of revenue), flat vs 32.9% in Q1 2025
- Net loss per share from continuing operations of $(0.03), unchanged YoY
- Revenue declined 0.9% sequentially from $66.1M in Q4 2025
- Subsequent events include DOJ rescheduling of medical cannabis to Schedule III and appointment of new CFO
Financial Impact
Revenue growth of 1.9% YoY to $65.5M; net loss improved by $0.9M YoY; adjusted EBITDA margin contracted 170 bps to 26.5%
Risk Factors
- Continued federal illegality of adult-use cannabis creates regulatory and enforcement risk
- Sequential revenue decline of 0.9% suggests potential market share pressure or demand softness
- High liability on uncertain tax position of $138.8M represents significant balance sheet risk
- Adjusted EBITDA margin contraction from 28.2% to 26.5% YoY indicates rising cost pressure
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001193125-26-210379 |
| Document: tsndf-20260507.htm | 0001193125-26-210379 |
| Document: 0001193125-26-210379-index-headers.html | 0001193125-26-210379 |
| Document: 0001193125-26-210379-index.html | 0001193125-26-210379 |
| Document: 0001193125-26-210379.txt | 0001193125-26-210379 |
| 8-K Data (Synthetic) | 0001193125-26-210379 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Jul 6, 2026 16w ago | DEFA14A | $0.5890 $0.5100 | ▼ −13.41% | ▼ −14.26% | $0.4900 (−16.81%) |
Jun 29, 2026 17w ago | 8-K | $0.6780 $0.4900 | ▼ −27.73% | ▼ −26.94% | $0.4900 (−27.73%) |
Jun 25, 2026 17w ago | 8-K | $0.6650 $0.5422 | ▼ −18.47% | ▼ −19.83% | $0.4900 (−26.32%) |
Jun 15, 2026 19w ago | 8-K | $0.6780 $0.5845 | ▼ −13.79% | ▼ −14.65% | $0.4900 (−27.73%) |
May 7, 2026 24w ago | 8-K | $0.7400 $0.6660 | ▼ −10.00% | ▼ −13.14% | $0.4900 (−33.78%) |
Apr 27, 2026 26w ago | 8-K | $0.7860 $0.6750 | ▼ −14.12% | ▼ −19.08% | $0.4900 (−37.66%) |
Apr 16, 2026 27w ago | DEFA14A | $0.6400 $0.6730 | ▲ +5.16% | ▼ −0.21% | $0.4900 (−23.44%) |
US Market Status
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