Red White & Bloom Reports Third Quarter 2024 Financial Results

• 2024-YTD EBITDA accrued to $7.5 million; a twenty-fold betterment compared to 2023-YTD EBITDA of $0.4 million
• 2024-YTD Adjusted EBITDA accrued 260% to $9.6 cardinal compared to 2023-YTD of $3.7 million
• Five caller Florida aesculapian cannabis dispensaries scheduled to motorboat successful the archetypal 4th of 2025
• Expanded Canadian organisation web to see Prince Edward Island and New Brunswick

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TORONTO, Nov. 29, 2024 (GLOBE NEWSWIRE) — Red White & Bloom Brands Inc. (CSE: RWB) (“RWB” oregon the “Company”) is pleased to study it has filed its Condensed Interim Consolidated Financial Statements (the “Financial Statements”), Management’s Discussion and Analysis (“MD&A”), and associated certifications for its 3rd 4th ended September 30, 2024.

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President’s Commentary

Colby De Zen, President, stated, “Our superior absorption has been, and remains, optimizing the concern done cautious investigation of each legacy, non-core assets and operations, with the extremity of transitioning RWB into a profitable enterprise. Over the archetypal 9 months of the fiscal year, we person made important strides toward achieving our strategical objectives. Our EBITDA has accrued 20 times compared to the aforesaid play past year, reaching astir $7.5 million. Adjusted EBITDA stands astatine $9.6 cardinal for the aforesaid period. These improvements bespeak each of the RWB team’s efforts successful achieving much profitable gross streams done organizational efficiencies and exiting unprofitable merchandise lines and ventures.”

“In the 3rd quarter, the operation of 5 caller aesculapian dispensary locations successful Florida progressed arsenic planned, with each locations acceptable to go operational wrong the adjacent 3 to 4 months. Our Florida operations besides saw a notable summation successful same-store revenues, driven by caller Platinum-branded products and lawsuit engagement efforts. In California, the Company established a cardinal worth concatenation concern which has already enhanced prospects wrong our organisation network. In Canada, Emblem expanded its organisation web by adding Prince Edward Island and New Brunswick, with different state acceptable to motorboat successful our 4th quarter, portion expanding merchandise listings crossed each existing provinces. To enactment this growth, investments successful offtake agreements, cultivation, and accumulation operations crossed the United States and Canada stay connected way to mitigate proviso concatenation risks successful fiscal 2025. RWB continues to leverage synergies, prioritize outgo savings, execute targeted divestitures, and turn profitable concern segments to summation shareholder value.”

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Recent concern highlights for the Company’s 3rd 4th ended September 30, 2024 and consequent to September 30, 2024

• Emblem Cannabis Corporation, our wholly owned subsidiary, has been granted a full of seventy-two (72) caller Platinum and DIVVY merchandise listings successful preferred merchandise formats crossed each provincial distributors (up from sixty-seven (67) arsenic of 2024-Q2 close), including a full of thirty-five (35) listings approved by the Ontario Cannabis Store (“OCS”) (up from twenty-eight (28) arsenic of 2024-Q2 close). The Company continues to add, refine, and sunset merchandise offerings passim its Canadian organisation network.
• Added Prince Edward Island and New Brunswick to our Emblem organisation web with different Eastern state pending confirmation of activation successful 2024-Q4 arsenic good arsenic continuing to summation penetration successful existing markets specified arsenic Alberta, Saskatchewan, Manitoba, and British Columbia
• Updated genetics and refined cultivation processes astatine the Paris indoor facility, boosting ratio portion achieving higher THC potency and improved harvest yields.
• Acquired caller equipment, upgraded existing systems, and implemented automated manufacturing processes to heighten accumulation and extraction capabilities astatine our Paris facility.
• Launched a caller enactment of unrecorded rosin and unrecorded resin products successful our California organisation network, further expanding our merchandise portfolio.
• With regulatory extraction approvals secured for accumulation successful the archetypal fractional of 2024, Platinum Vape distillate disposables and Platinum Vape 5/10 distillate cartridges are present disposable astatine each progressive aesculapian retail locations crossed Florida.
• During 2024-Q3, adult-use income commenced successful the recently legalized authorities of Ohio with Platinum Vape products arsenic portion of an executed licensing statement with a vertically integrated licensed shaper and distributor successful Ohio.
• During 2024-Q3, adult-use income successful Missouri continued astatine a beardown gait arsenic portion of an executed licensing statement with a vertically integrated licensed merchandise and distributor successful Missouri.
• Continued with the firm restructuring of our adult-use and medical-use retail operations successful Michigan, contributing to prospective outgo savings associated with adaptable and fixed overheads for each of the people retail locations. The Company volition proceed to execute connected divestiture of non-profitable operating assets nether the restructuring programme done the extremity of fiscal 2024 and the archetypal 4th of 2025.

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2024 Third Quarter (“2024-Q3”) Condensed Interim Consolidated Highlights

• Revenues were $21.7 cardinal for 2024-Q3, a $1.6 cardinal summation from restated 2023-Q3 revenues of $20.1 million.
• Gross profit, earlier just worth adjustments, was $7.0 cardinal for 2024-Q3, a $0.8 cardinal alteration from restated 2023-Q3 gross nett earlier just worth adjustments of $7.9 cardinal chiefly related to play adjustments associated with the Emblem Group’s inventory.
• Gross profit, aft just worth adjustments, was $10.3 cardinal for 2024-Q3, an summation of $3.7 cardinal from restated 2023-Q3 gross nett aft just worth adjustments of $6.6 million.
• EBITDA was $7.5 million for 2024-YTD an summation of $7.1 cardinal compared to restated 2023-YTD EBITDA of $0.4 million.
• Adjusted EBITDA for 2024-YTD was $9.6 million, an summation of $5.9 cardinal compared to restated 2023-YTD Adjusted EBITDA of $3.7 million.

The pursuing is simply a condensed summary of the Company’s results from operations for 2024-Q3 and 2024-YTD, and 2023-Q3 and 2023-YTD

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_{⁽ⁱ⁾Bad indebtedness disbursal includes non-cash expected recognition nonaccomplishment provisions in accordance with IFRS of $0.9
million
for 2024-Q3 and $3.1 million for 2024–YTD compared to $0.7 million successful 2023-Q3 and $1.0 cardinal successful 2023-YTD
⁽ⁱⁱ⁾Net nonaccomplishment and basal nonaccomplishment per stock excludes net losses
attributable to non-controlling interests}

Adjusted EBITDA

The pursuing summarizes results from operations for 2024-Q3 and 2024-YTD & 2023-Q3 and 2023-YTD (restated).

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_{⁽ⁱ⁾ Non-recurring expenses see expenses are those that the Company does not expect to recur successful the future}

For further details connected the Company’s fiscal results, notation to the Company’s filings connected Sedar+ (www.sedarplus.ca). The Company encourages each of its stakeholders to reappraisal management’s commentary connected its 2024-Q3 fiscal results included successful the 2024-Q3 MD&A besides disposable connected Sedar+:

About Red White & Bloom Brands Inc.

Red White & Bloom is simply a multi-jurisdictional cannabis relation and location of premium brands operating successful the United States, Canada and prime planetary jurisdictions. RWB is predominantly focusing its investments connected large U.S. markets, including Arizona, California, Florida, Missouri, Michigan, and Ohio successful summation to Canadian and planetary markets by virtuousness of its acquisition of the erstwhile Aleafia radical of companies.

Red White & Bloom Brands Inc.
Investor and Media Relations
Edoardo Mattei, CFO
IR@RedWhiteBloom.com
947-225-0503
Visit america connected the web: https://www.redwhitebloom.com/

Follow america connected societal media:

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Twitter @rwbbrands
Facebook @redwhitebloombrands
Instagram @redwhitebloombrands

Neither the CSE nor its Regulation Services Provider (as that word is defined successful the policies of the CSE) accepts work for the adequacy oregon accuracy of this release.

FORWARD LOOKING INFORMATION

This property merchandise contains forward-looking statements and accusation that are based connected the beliefs of absorption and bespeak the Company’s existent expectations. When utilized successful this property release, the words “estimate”, “project”, “belief”, “anticipate”, “intend”, “expect”, “plan”, “predict”, “may” oregon “should” and the antagonistic of these words oregon specified variations thereon oregon comparable terminology are intended to place forward-looking statements and information. There is nary assurance that the near-term priorities outlined successful this property merchandise volition output results successful enactment with absorption expectations. Such statements and accusation bespeak the existent presumption of the Company with respect to risks and uncertainties that whitethorn origin existent results to disagree materially from those contemplated successful those forward-looking statements and information.

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By their nature, forward-looking statements impact known and chartless risks, uncertainties and different factors which whitethorn origin our existent results, show oregon achievements, oregon different aboriginal events, to beryllium materially antithetic from immoderate aboriginal results, show oregon achievements expressed oregon implied by specified forward-looking statements. Such factors include, among others, the pursuing risks: risks associated with the implementation of the Company’s concern program and matters relating thereto, risks associated with the cannabis industry, competition, regulatory change, the request for further financing, reliance connected cardinal personnel, marketplace size, and the volatility of the Company’s communal stock terms and volume. Forward-looking statements are made based connected management’s beliefs, estimates and opinions connected the day that statements are made, and the Company undertakes nary work to update forward-looking statements if these beliefs, estimates and opinions oregon different circumstances should change. Investors are cautioned against attributing undue certainty to forward-looking statements.

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There are respective important factors that could origin the Company’s existent results to disagree materially from those indicated oregon implied by forward-looking statements and information. Such factors include, among others, risks related to the Company’s projected business, specified arsenic nonaccomplishment of the concern strategy and authorities regulation; risks related to the Company’s operations, specified arsenic further financing requirements and entree to capital, reliance connected cardinal and qualified personnel, insurance, competition, intelligence property, and reliable proviso chains; risks related to the Company and its concern generally; risks related to regulatory approvals. The Company cautions that the foregoing database of worldly factors is not exhaustive. When relying connected the Company’s forward-looking statements and accusation to marque decisions, investors and others should cautiously see the foregoing factors and different uncertainties and imaginable events. The Company has assumed a definite progression, which whitethorn not beryllium realized. It has besides assumed that the worldly factors referred to successful the erstwhile paragraph volition not origin specified forward-looking statements and accusation to disagree materially from existent results oregon events. However, the database of these factors is not exhaustive and is taxable to alteration and determination tin beryllium nary assurance that specified assumptions volition bespeak the existent result of specified items oregon factors. While the Company whitethorn elite to, it does not undertake to update this accusation astatine immoderate peculiar time.

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THE FORWARD-LOOKING INFORMATION CONTAINED IN THIS PRESS RELEASE REPRESENTS THE EXPECTATIONS OF THE COMPANY AS OF THE DATE OF THIS PRESS RELEASE AND, ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE. READERS SHOULD NOT PLACE UNDUE IMPORTANCE ON FORWARD LOOKING INFORMATION AND SHOULD NOT RELY UPON THIS INFORMATION AS OF ANY OTHER DATE. WHILE THE COMPANY MAY ELECT TO, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR TIME EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE LAWS.

NON-IFRS AND SUPPLEMENTARY FINANCIAL OR OPERATING MEASURES

The Company references non-IFRS and supplementary fiscal oregon operating measures, including, but not constricted to, Adjusted EBITDA. This measurement does not person a standardized meaning prescribed by IFRS and is astir apt not comparable to akin measures presented by different nationalist institution issuers including those operating successful the cannabis industry. Non-IFRS measures supply investors with further insights into the Company’s fiscal and operating show which whitethorn not beryllium garnered from accepted IFRS measures. The absorption of the Company, including its cardinal determination makers, usage non-IFRS measures successful assessing the Company’s fiscal and operating performance.

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EBITDA, arsenic defined by the Company, means net earlier interest, income taxes, depreciation, and amortization. The Company calculates Adjusted EBITDA arsenic EBITDA less, stock based compensation, gains oregon losses connected valuation of fiscal instruments, gains oregon losses connected plus disposals, gains oregon losses connected colony of debt, gains oregon losses connected investments, gains oregon losses connected discontinued operations, overseas speech adjusted to destruct charges associated with intercompany balances required to beryllium realized done nett and nonaccomplishment by IFRS standards, expected recognition losses and atrocious indebtedness expense, acquisition costs, concern transaction costs, summation connected extinguishment of debt, carrying costs associated with dormant investments, and non-recurring expenses specified arsenic non-recurring termination costs, ineligible costs, penalties and precocious fees.

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