SNDL Q3 2026 loss widens to $50.8M as revenue falls

SNDL completed the 1CM first closing for five Alberta and Saskatchewan stores; the planned second closing for 27 Ontario stores was not expected to proceed.

Rhea-AI Filing Summary

SNDL Inc. reported third-quarter 2026 net revenue of $237.994 million, compared with $244.219 million a year earlier, and gross profit of $57.886 million versus $64.177 million. Net loss was $50.789 million, compared with $13.319 million, and included $52.331 million of asset impairment, including $52.022 million of goodwill impairment in cannabis operations. Net cash provided by operating activities was $18.550 million, versus $31.701 million in Q3 2025.

Cash and cash equivalents were $132.479 million at September 30, 2026. In the first nine months, SNDL purchased and cancelled 21,632,053 common shares for $43.1 million including commissions, at a weighted average price of $1.97 (US$1.42) per share excluding commissions. In Q3, SNDL contributed $60.762 million to its 50%-owned SunStream joint venture, carried at $467.730 million at quarter-end. The July 27, 2026, restructuring of Parallel gave SNDL indirect majority economic exposure; it expects to assume direct control of Parallel’s medical cannabis operations in Florida, Texas and Massachusetts, subject to applicable legal, regulatory, accounting and Nasdaq requirements.

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1 major · 2 points

How the balance works

Positive

• None.

Negative

• Major point$50.789 million Q3 net loss versus $13.319 million in 2025; goodwill impairment was $52.022 million. 17% of market cap
• Moderate pointOperating cash flow was $18.550 million, down from $31.701 million in Q3 2025.

Filing Explained

After September 30, 2026, SNDL bought and canceled 1.5 million common shares under its repurchase program for $2.6 million; the completed cancellations reduced the number of shares outstanding.

Key Figures

Net revenue: $237.994 million Net loss: $50.789 million Net cash provided by operating activities: $18.550 million +5 more

8 metrics

Net revenue $237.994 million Three months ended September 30, 2026; $244.219 million in 2025

Net loss $50.789 million Three months ended September 30, 2026; $13.319 million in 2025

Net cash provided by operating activities $18.550 million Three months ended September 30, 2026; $31.701 million in 2025

Goodwill impairment $52.022 million Cannabis operations impairment recorded in Q3 2026

Cash and cash equivalents $132.479 million At September 30, 2026

Common shares purchased and cancelled 21,632,053 shares; $43.1 million total cost including commissions Nine months ended September 30, 2026

Weighted average repurchase price $1.97 (US$1.42) per common share Nine months ended September 30, 2026; excluding commissions

SunStream capital contribution $60.762 million Three months ended September 30, 2026

Key Terms

EU-GMP audit, impairment to goodwill, fair value through other comprehensive income, equity-method, +1 more

5 terms

EU-GMP audit regulatory

"successful completion of a European Union Good Manufacturing Practice (“EU-GMP”) audit"

impairment to goodwill financial

"recorded an impairment to goodwill of $52.0 million"

fair value through other comprehensive income financial

"designate at fair value through other comprehensive income"

An accounting classification for certain financial assets where changes in market value are recorded at current market prices, but unrealized gains and losses are sent to a separate equity “holding” area called other comprehensive income instead of appearing in reported profit or loss. Think of it like marking a painting to its gallery price and placing the paper gains in a locked box until the painting is sold; this reduces headline profit volatility but still affects the company’s net worth, so investors watch it to judge true economic exposure and future earnings when assets are sold.

equity-method financial

"accounted for using the equity-method"

cash generating unit financial

"cash generating unit (“CGU”) was defined as each individual retail store"

A cash generating unit is the smallest group of assets within a business that produces cash inflows independently, like a single store, product line, or factory. Investors care because companies test these units for impairment — if expected future cash falls short, the company may write down the unit’s value, which reduces reported profits and asset values and signals weaker future earnings or cash flow.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What was SNDL’s Q3 2026 net loss?

SNDL reported a net loss of $50.789 million for the three months ended September 30, 2026. The comparable 2025 net loss was $13.319 million. Q3 2026 asset impairment was $52.331 million, including $52.022 million of goodwill impairment.

How many shares did SNDL repurchase in 2026?

SNDL purchased and cancelled 21,632,053 common shares during the nine months ended September 30, 2026, at a weighted average price of $1.97 (US$1.42) per share excluding commissions. The total cost was $43.1 million including commissions.

What happened with SNDL’s Parallel restructuring?

The restructuring of Parallel was completed on July 27, 2026, and SNDL gained indirect majority economic exposure. SNDL expects to assume direct control of Parallel’s medical cannabis operations in Florida, Texas and Massachusetts, subject to applicable legal, regulatory, accounting and Nasdaq requirements.

AI-generated analysis. How Rhea-AI works. Not financial advice.

Form 6-K: How Foreign Companies Report to the SEC →

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Available on EDGAR 10/27/2026 - 06:01 AM EDT Accepted by SEC EDGAR 10/26/2026 - 07:19 PM EDT Learn about SEC filing dates

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

Form 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 OF THE

SECURITIES EXCHANGE ACT OF 1934

For the month of October 2026

Commission File Number 001-39005

SNDL INC.

(Registrant’s name)

#101, 17220 Stony Plain Road NW

Edmonton, AB T5S 1K6

Tel.: (780) 944-9994

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F ☐ Form 40-F ☒

INCORPORATION BY REFERENCE

This report on Form 6-K shall be deemed to be incorporated by reference in SNDL Inc.’s registration statements on Form S-8 (File No. 333-233156, File No. 333-262233, File No. 333-267510, File No. 333-269242, File No. 333-278683 and File No. 333-286169) and to be a part thereof from the date on which this report is filed, to the extent not superseded by documents or reports subsequently filed or furnished.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	SNDL INC.
Date: October 26, 2026	By:	/s/ Alberto Paredero Quiros
	Name:	Alberto Paredero Quiros
	Title:	Chief Financial Officer

EXHIBIT

Exhibit		Description of Exhibit
99.1		Condensed Consolidated Interim Financial Statements for the Three and Nine Months Ended September 30, 2026
99.2		Management’s Discussion and Analysis for the Three and Nine Months Ended September 30, 2026
99.3		Form 52-109F2 Certificate of Interim Filings by CEO (pursuant to Canadian regulations)
99.4		Form 52-109F2 Certificate of Interim Filings by CFO (pursuant to Canadian regulations)

EXHIBIT 99.1

SNDL Inc.

Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited – expressed in thousands of Canadian dollars)

SNDL Inc.

Condensed Consolidated Interim Statements of Financial Position

(Unaudited - expressed in thousands of Canadian dollars)

As at	Note	September 30, 2026			December 31, 2025
Assets
Current assets
Cash and cash equivalents			132,479			252,243
Restricted cash			8,162			20,081
Marketable securities			139			84
Accounts receivable			31,734			27,643
Biological assets	6		2,407			3,120
Inventory	7		128,721			126,877
Prepaid expenses and deposits			16,614			15,566
Investments	12		106			484
Assets held for sale			700			746
Net investment in subleases	10		2,997			2,775
			324,059			449,619
Non-current assets
Long-term deposits and receivables			2,457			4,526
Right of use assets	8		131,608			138,353
Property, plant and equipment	9		139,376			151,900
Net investment in subleases	10		9,954			11,643
Intangible assets	11		56,434			58,520
Investments	12		17,314			11,574
Equity-accounted investees	13		467,730			385,534
Goodwill	14		75,238			124,248
Total assets			1,224,170			1,335,917
Liabilities
Current liabilities
Accounts payable and accrued liabilities			46,902			56,747
Lease liabilities	15		35,706			35,462
			82,608			92,209
Non-current liabilities
Lease liabilities	15		126,614			134,471
Other liabilities			7,753			8,041
Total liabilities			216,975			234,721
Shareholders’ equity
Share capital	16(b)		2,127,355			2,310,398
Warrants			306			306
Contributed surplus			53,377			54,038
Accumulated deficit			(1,225,053	)		(1,302,441	)
Accumulated other comprehensive income			51,210			38,895
Total shareholders’ equity			1,007,195			1,101,196
Total liabilities and shareholders’ equity			1,224,170			1,335,917

Commitments and contingencies (note 24)

Subsequent events (note 16(b))

See accompanying notes to the condensed consolidated interim financial statements.

1

SNDL Inc.

Condensed Consolidated Interim Statements of Loss and Comprehensive Loss

(Unaudited - expressed in thousands of Canadian dollars, except per share amounts)

				Three months ended September 30								Nine months ended September 30
		Note		2026				2025				2026				2025
Net revenue		18			237,994				244,219				669,666				693,902
Cost of sales		7			180,108				180,042				502,619				505,483
Gross profit					57,886				64,177				167,047				188,419
Investment income		19			927				1,777				3,472				6,162
Share of profit (loss) of equity-accounted investees		13			6,934				(234	)			5,084				(4,387	)
General and administrative					43,284				45,967				132,732				137,702
Sales and marketing					3,462				3,617				11,136				10,768
Depreciation and amortization		8,9,11			12,659				12,928				38,145				39,076
Share-based compensation		17			1,767				10,883				5,033				15,190
Restructuring costs					577				1,134				1,608				2,287
Asset impairment, net		8,9,14			52,331				2,051				52,151				2,971
Other income					—				—				(81	)			—
Research and development					—				156				12				354
(Gain) loss on disposition of assets					(16	)			34				139				(54	)
Operating loss					(48,317	)			(11,050	)			(65,272	)			(18,100	)
Other expenses, net		20			(2,464	)			(2,269	)			(6,424	)			(7,041	)
Loss before income tax					(50,781	)			(13,319	)			(71,696	)			(25,141	)
Income tax (expense) recovery					(8	)			—				3,174				—
Net loss					(50,789	)			(13,319	)			(68,522	)			(25,141	)
Equity-accounted investees - share of other comprehensive (loss) income		13			(29	)			7,709				10,625				(13,250	)
Investments at fair value through other comprehensive income ("FVOCI") - change in fair value		12			2,773				12,940				1,690				9,754
Comprehensive (loss) income					(48,045	)			7,330				(56,207	)			(28,637	)
Net loss per common share attributable to owners of the Company
Basic and diluted		22		$	(0.21	)		$	(0.05	)		$	(0.27	)		$	(0.10	)

See accompanying notes to the condensed consolidated interim financial statements.

2

SNDL Inc.

Condensed Consolidated Interim Statements of Changes in Shareholders’ Equity

(Unaudited - expressed in thousands of Canadian dollars)

														Accumulated other comprehensive income
	Note	Share capital			Warrants			Contributed surplus			Accumulated deficit			Equity-accounted investees			Investments at FVOCI			Total
Balance at December 31, 2025			2,310,398			306			54,038			(1,302,441	)		31,673			7,222			1,101,196
Net loss			—			—			—			(68,522	)		—			—			(68,522	)
Other comprehensive income			—			—			—			—			10,625			1,690			12,315
Share issuances			10			—			—			—			—			—			10
Share repurchases	16(b)		(189,386	)		—			—			145,910			—			—			(43,476	)
Share-based compensation	17		—			—			5,672			—			—			—			5,672
Employee awards exercised			6,333			—			(6,333	)		—			—			—			—
Balance at September 30, 2026			2,127,355			306			53,377			(1,225,053	)		42,298			8,912			1,007,195

Balance at December 31, 2024			2,346,728			667			57,156			(1,323,965	)		50,906			1,864			1,133,356
Net loss			—			—			—			(25,141	)		—			—			(25,141	)
Other comprehensive (loss) income			—			—			—			—			(13,250	)		9,754			(3,496	)
Share repurchases			(51,465	)		—			—			36,396			—			—			(15,069	)
Share-based compensation	17		—			—			9,641			—			—			—			9,641
Employee awards exercised			362			—			(362	)		—			—			—			—
Balance at September 30, 2025			2,295,625			667			66,435			(1,312,710	)		37,656			11,618			1,099,291

See accompanying notes to the condensed consolidated interim financial statements.

3

SNDL Inc.

Condensed Consolidated Interim Statements of Cash Flows

(Unaudited - expressed in thousands of Canadian dollars)

				Three months ended September 30								Nine months ended September 30
		Note		2026				2025				2026				2025
Cash provided by (used in):
Operating activities
Net loss for the period					(50,789	)			(13,319	)			(68,522	)			(25,141	)
Adjustments for:
Income tax expense (recovery)					8				—				(3,174	)			—
Interest and fee income		19			(927	)			(1,675	)			(3,417	)			(5,849	)
Change in fair value of biological assets		6			585				180				594				(2,559	)
Change in fair value of inventory sold					(276	)			349				249				1,313
Share-based compensation		17			1,767				10,883				5,033				15,190
Depreciation and amortization		8,9,11			13,893				13,972				41,998				42,108
(Gain) loss on disposition of assets					(16	)			34				139				(54	)
Inventory impairment and obsolescence		7			3,455				1,833				6,057				2,663
Finance costs, net		20			1,951				1,812				6,007				5,149
Change in estimate of fair value of derivative warrants					—				(1	)			—				(26	)
Unrealized foreign exchange loss (gain)					180				(153	)			(832	)			40
Transaction costs					—				—				10				—
Asset impairment, net		8,9,14			52,331				2,051				52,151				2,971
Share of (profit) loss of equity-accounted investees		13			(6,934	)			234				(5,084	)			4,387
Unrealized (gain) on marketable securities		19			—				(102	)			(55	)			(313	)
Additions to marketable securities					—				—				151				313
Income distributions from equity-accounted investees		13			315				—				315				68
Interest received					822				1,409				3,377				5,628
Exercise of cash-settled deferred share units		17(d)			—				—				(474	)			—
Change in non-cash working capital		3,21			2,185				14,194				(8,805	)			(282	)
Net cash provided by operating activities					18,550				31,701				25,718				45,606
Investing activities
Additions to property, plant and equipment		9			(1,196	)			(5,185	)			(5,620	)			(8,853	)
Additions to investments		12			—				—				(4,183	)			(16,414	)
Principal payments from investments		12			121				129				359				27,293
Proceeds from disposal of investments		12			—				15,058				—				15,058
Capital (contributions) distributions from equity-accounted investees		13			(60,762	)			481				(63,628	)			4,273
Proceeds from disposal of property, plant and equipment		9			538				—				2,332				166
Acquisitions		4			—				—				(2,900	)			(1,000	)
Change in non-cash working capital		21			75				39				712				10
Net cash (used in) provided by investing activities					(61,224	)			10,522				(72,928	)			20,533
Financing activities
Change in restricted cash					11,950				—				11,950				—
Payments on lease liabilities, net		10,15			(10,228	)			(9,920	)			(30,385	)			(29,217	)
Repurchase of common shares		16(b)			(10,042	)			(3	)			(43,113	)			(15,034	)
Change in non-cash working capital		21			265				57				1,136				334
Net cash used in financing activities					(8,055	)			(9,866	)			(60,412	)			(43,917	)
Change in cash and cash equivalents					(50,729	)			32,357				(107,622	)			22,222
Adjustment on initial application of amendments to IFRS 9 on January 1, 2026					—				—				(12,142	)			—
Cash and cash equivalents, beginning of period					183,208				208,224				252,243				218,359
Cash and cash equivalents, end of period					132,479				240,581				132,479				240,581

See accompanying notes to the condensed consolidated interim financial statements.

4

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

1.Description of business

SNDL Inc. (“SNDL” or the “Company”) was incorporated under the Business Corporations Act (Alberta) on August 19, 2006.

The Company’s head office is located at 101, 17220 Stony Plain Road NW, Edmonton, Alberta, Canada, T5S 1K6.

The principal activities of the Company are the retailing of wines, beers and spirits, the operation and support of corporate-owned, controlled and franchised retail cannabis stores in certain Canadian jurisdictions where the private sale of adult-use cannabis is permitted, the manufacturing of cannabis products providing proprietary cannabis processing services, the production, distribution and sale of cannabis in Canada and for export pursuant to the Cannabis Act (Canada) (the “Cannabis Act”), and the deployment of capital to investment opportunities. The Cannabis Act regulates the production, distribution, and possession of cannabis for both medical and adult-use access in Canada.

SNDL and its subsidiaries operate solely in Canada. Through its joint venture, SunStream Bancorp Inc. (“SunStream”) (note 13), the Company provides growth capital that pursues indirect investment and financial services opportunities in the cannabis sector, as well as other investment opportunities. The Company also makes strategic portfolio investments in debt and equity securities.

The Company’s liquor retail operations are seasonal in nature. Accordingly, sales will vary by quarter based on consumer spending behaviour. The Company is able to adjust certain variable costs in response to seasonal revenue patterns; however, costs such as occupancy are fixed, causing the Company to report a higher level of earnings in the third and fourth quarters. This business seasonality results in quarterly performance that is not necessarily indicative of the year’s performance. The cannabis industry is a growing industry and the Company has not observed significant seasonality as of yet.

The Company’s common shares trade on the Nasdaq Capital Market under the ticker symbol “SNDL” and on the Canadian Securities Exchange under the symbol “SNDL”.

U.S. TARIFFS

Since early 2025, the U.S. administration has imposed tariffs on imports from certain countries, including Canada, and the Canadian government has responded with its own tariffs on certain imports from the United States. During the third quarter of 2026, trade tensions escalated, including through the imposition of additional United States tariffs on Canadian goods and Canadian counter-tariffs on United States-origin goods, and trade negotiations between Canada and the United States were suspended. Whether and when negotiations will resume, and the terms of any resulting agreement are unknown. These measures and the risk of further tariffs and retaliatory actions have created uncertainty, which has permeated the economic and investment outlook, impacting current economic conditions, including such issues as the inflation rate and the global supply chain. Aside from the impact on the global economy, these tariffs may continue to impact SNDL.

In response to tariffs imposed by the United States, several Canadian provinces had taken retaliatory measures by removing United States alcohol from store shelves and restaurant, bar and retailer fulfillment catalogues. While some provinces, including Alberta, have lifted their ban on United States liquor imports, other provinces continue to impose the ban.

SNDL is continuing to monitor the evolving situation and the impacts and potential consequences on its financial position. The Company did not experience a significant impact to its financial performance during the nine months ended September 30, 2026.

5

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

2.Basis of presentation

Statement of compliance

These condensed consolidated interim financial statements (“financial statements”) have been prepared in accordance with International Accounting Standard 34 – Interim Financial Reporting as issued by the International Accounting Standards Board and interpretations of the International Financial Reporting Interpretations Committee. These financial statements were prepared using the same accounting policies and methods as those disclosed in the annual consolidated financial statements for the year ended December 31, 2025. These financial statements should be read in conjunction with the annual consolidated financial statements for the Company for the year ended December 31, 2025.

Certain prior period amounts have been reclassified to conform to current year presentation. Specifically, changes to investments have been separated into additions to investments and principal payments from investments and change in fair value of biological assets has been separated into change in fair value of biological assets and change in fair value of inventory sold, both on the condensed consolidated interim statement of cash flows.

These financial statements were approved and authorized for issue by the board of directors of the Company (the “Board”) on October 26, 2026.

3.NEW ACCOUNTING STANDARDS

Classification and Measurement of Financial Instruments — Amendments to IFRS 9 and IFRS 7

On January 1, 2026, the Company adopted the amendments to IFRS 9 and IFRS 7 using the prospective application. The amendments include the following:

•Clarification on the date of recognition and derecognition of some financial assets and liabilities, with a new exception for some financial liabilities settled through an electronic payment system.

•Clarification and further guidance for assessing whether a financial asset meets the solely payments of principal and interest criterion.

•New disclosure requirements for certain instruments without contractual terms that can change cash flows.

•Updates to the disclosure required for equity instruments designated at FVOCI.

Impact on adoption

At September 30, 2026, there was an $8.8 million net reduction in cash and cash equivalents with an equivalent increase in accounts receivable, which is reflected in the statement of financial position and statement of cash flows. The Company estimated the impact to be approximately $12.1 million net reduction in cash and cash equivalents with an equivalent increase in accounts receivable, had the amendments been in effect for the annual period ending December 31, 2025.

IFRS 18 Presentation and Disclosure in Financial Statements

IFRS 18 will replace IAS 1 Presentation of Financial Statements and applies for annual reporting periods beginning on or after January 1, 2027. The new accounting standard introduces the following key new requirements:

•Entities are required to classify all income and expenses into five categories in the statement of profit or loss, namely the operating, investing, financing, discontinued operations and income tax categories. Entities are also required to present a newly-defined operating profit subtotal. Entities’ net profit will not change.

•Management-defined performance measures are disclosed in a single note in the financial statements.

•Enhanced guidance is provided on how to group information in the financial statements.

In addition, all entities are required to use the operating profit subtotal as the starting point for the statement of cash flows when presenting operating cash flows under the indirect method.

6

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

The Company is still in the process of assessing the impact of the new accounting standard, particularly with respect to the structure of the Company’s statement of profit or loss, the statement of cash flows and the additional disclosures required for management-defined performance measures.

4.Business acquisitions

On April 9, 2025, the Company announced that it had entered into an arrangement agreement (the “1CM Agreement”) with 1CM Inc. (“1CM”) pursuant to which it would acquire 32 cannabis retail stores (the “1CM Transaction”) operating under the Cost Cannabis and T Cannabis banners in Ontario, Alberta and Saskatchewan (the “1CM Stores”).

Under the terms of the 1CM Agreement, the Company would acquire, with the option to assign, the 1CM Stores for total consideration of $32.2 million cash, subject to certain adjustments at the closing of the 1CM Transaction. The 1CM Stores are comprised of 2 stores in Alberta, 3 stores in Saskatchewan and 27 stores located in Ontario.

The 1CM Transaction was to be completed by way of an arrangement under the Business Corporations Act (Ontario). On June 16, 2025, 1CM announced the approval of the 1CM Transaction by 1CM shareholders. On June 18, 2025, 1CM announced that the Ontario Superior Court of Justice (Commercial List) approved the plan of arrangement involving SNDL.

On December 15, 2025, the Company announced that it had entered into an amended and restated arrangement agreement (the “1CM A&R Agreement”). Under the 1CM A&R Agreement, the parties agreed to, among other things, complete the 1CM Transaction in two stages to align with the status of required provincial regulatory approvals. The aggregate purchase price for the 1CM Transaction had not been amended.

On January 7, 2026, the first closing (“First Closing”) was completed and involved the purchase of 5 cannabis retail stores located in Alberta and Saskatchewan. The purchase price for the First Closing was $5.0 million cash, subject to certain adjustments at the time of the First Closing. Pursuant to the 1CM A&R Agreement, in December 2025, the Company had previously paid a $2.0 million non-refundable cash deposit towards the purchase price in respect of the First Closing.

The second closing (“Second Closing”) was expected to occur in the first half of 2026 for the purchase of the remaining 27 cannabis retail stores, each of which are located in Ontario. The 1CM Transaction had an outside date that was extended from December 31, 2025 to May 31, 2026. On May 27, 2026, the Company announced that the Second Closing was not expected to proceed following a prolonged regulatory review process that extended beyond commercially reasonable timelines contemplated by the parties. The Company paid a $0.26 million termination fee that was deducted from the previously paid $1.0 million deposit meant to be applied towards the purchase price in respect of the Second Closing, and the remaining $0.74 million was returned to the Company.

The purchase price allocation is not final as the Company continues to obtain and verify information required to determine the fair value of certain assets and liabilities and the amount of deferred income taxes, if any, arising on their recognition.

Due to the inherent complexity associated with valuations and the timing of the acquisition, the amounts below are provisional and subject to adjustment. The fair value of consideration paid was as follows:

	Provisional			Adjustments			Provisional
Cash		5,000			—			5,000

7

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

The preliminary fair value of the assets and liabilities acquired was as follows:

	Provisional			Adjustments			Provisional
Inventory		385			22			407
Prepaid expenses and deposits		10			—			10
Right of use assets		554			1,150			1,704
Property, plant and equipment		1,172			—			1,172
Lease liabilities		(435	)		(870	)		(1,305	)
Total identifiable net assets acquired		1,686			302			1,988
Goodwill		3,314			(302	)		3,012
		5,000			—			5,000

Goodwill reflects benefits arising from the acquisition that are not individually identifiable or separately recognizable, including expected operational synergies and future growth opportunities.

As new information is obtained within one year of the date of acquisition, about facts and circumstances that existed at the date of acquisition, the accounting for the acquisition will be revised.

The consolidated financial statements incorporate the operations of the 5 cannabis retail stores located in Alberta and Saskatchewan commencing January 8, 2026. During the period January 8, 2026 to September 30, 2026 the Company recorded revenues of $3.3 million and a net earnings of $0.6 million from the 5 cannabis retail stores. Had the First Closing closed on January 1, 2026, management estimates that for the period January 1, 2026, to January 7, 2026, revenue would have increased by $79 thousand and net earnings would have decreased by $17 thousand. In determining these amounts, management assumes the fair values on the date of acquisition would have been the same as if the acquisition had occurred on January 1, 2026.

The Company incurred costs related to the First Closing of $0.3 million which have been included in transaction costs.

5.Segment information

The Company’s reportable segments are organized by business line and are comprised of four reportable segments: liquor retail, cannabis retail, cannabis operations, and investments.

Liquor retail includes the sale of wines, beers and spirits through wholly owned liquor stores. Cannabis retail includes the private sale of adult-use cannabis products and accessories through corporate-owned, controlled and franchised retail cannabis stores. Cannabis operations include the cultivation, distribution and sale of cannabis for the adult-use and medical markets domestically and for export, and providing proprietary cannabis processing services, in addition to product development, manufacturing, and commercialization of cannabis consumer packaged goods. Investments include the deployment of capital to investment opportunities. Certain overhead expenses not directly attributable to any operating segment are reported as “Corporate”.

8

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

	Cannabis Retail			Cannabis Operations			Intersegment Eliminations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
As at September 30, 2026
Total assets		209,052			153,046			—			362,098			310,490			485,150			66,432			1,224,170
Nine months ended September 30, 2026
Net revenue (1)		246,154			88,704			(38,757	)		296,101			373,565			—			—			669,666
Gross profit		65,472			4,747			—			70,219			96,828			—			—			167,047
Operating income (loss)		9,328			(80,836	)		—			(71,508	)		5,899			8,340			(8,003	)		(65,272	)
Earnings (loss) before income tax		7,596			(80,993	)		—			(73,397	)		1,738			8,340			(8,377	)		(71,696	)
Three months ended September 30, 2026
Net revenue (1)		85,605			27,040			(9,425	)		103,220			134,774			—			—			237,994
Gross profit		23,118			(1,622	)		—			21,496			36,390			—			—			57,886
Operating income (loss)		5,244			(64,693	)		—			(59,449	)		6,035			7,861			(2,764	)		(48,317	)
Earnings (loss) before income tax		4,666			(64,709	)		—			(60,043	)		4,652			7,861			(3,251	)		(50,781	)

(1)The Company has eliminated $38.8 million for the nine months ended September 30, 2026 and $9.4 million for the three months ended September 30, 2026 of cannabis operations revenue and equal cost of sales associated with sales to provincial boards that are expected to be subsequently repurchased by the Company’s licensed retail subsidiaries for resale, at which point the full retail sales revenue will be recognized.

	Cannabis Retail			Cannabis Operations			Intersegment Eliminations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
As at December 31, 2025
Total assets		219,462			211,625			—			431,087			324,447			397,537			182,846			1,335,917
Nine months ended September 30, 2025
Net revenue (1)		246,960			107,544			(51,391	)		303,113			390,789			—			—			693,902
Gross profit		63,974			23,452			—			87,426			100,993			—			—			188,419
Operating income (loss) (2)		10,557			(20,186	)		—			(9,629	)		10,884			1,775			(21,130	)		(18,100	)
Earnings (loss) before income tax (2)		8,422			(20,330	)		—			(11,908	)		7,964			1,775			(22,972	)		(25,141	)
Three months ended September 30, 2025
Net revenue (1)		85,021			37,389			(17,579	)		104,831			139,388			—			—			244,219
Gross profit		22,465			5,008			—			27,473			36,704			—			—			64,177
Operating income (loss) (2)		5,047			(10,882	)		—			(5,835	)		6,591			1,543			(13,349	)		(11,050	)
Earnings (loss) before income tax (2)		4,028			(10,906	)		—			(6,878	)		5,743			1,543			(13,727	)		(13,319	)

(1)The Company has eliminated $51.4 million for the nine months ended September 30, 2025 and $17.6 million for the three months ended September 30, 2025 of cannabis operations revenue and equal cost of sales associated with sales to provincial boards that are expected to be subsequently repurchased by the Company’s licensed retail subsidiaries for resale, at which point the full retail sales revenue will be recognized.

(2)Recast - refer to description below

In 2026, the Company began allocating applicable direct and indirect overhead costs, incorporating employee utilization and head count, from the corporate segment to each individual operating segment all categorized within general and administrative expenses. The Company has recast the comparative period to illustrate the impact of these allocations had they been done during the prior period.

The following tables present the effect of the adjustments made to operating income (loss) and earnings (loss) before income tax for the periods indicated.

9

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

	Cannabis Retail			Cannabis Operations			Intersegment Eliminations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
Nine months ended September 30, 2025
Operating income (loss) as previously reported		22,329			(3,628	)		—			18,701			24,276			1,775			(62,852	)		(18,100	)
Adjustment to general and administrative expenses		(11,772	)		(16,558	)		—			(28,330	)		(13,392	)		—			41,722			—
Operating income (loss) as recast		10,557			(20,186	)		—			(9,629	)		10,884			1,775			(21,130	)		(18,100	)
Earnings (loss) before income tax as previously reported		20,194			(3,772	)		—			16,422			21,356			1,775			(64,694	)		(25,141	)
Adjustment to general and administrative expenses		(11,772	)		(16,558	)		—			(28,330	)		(13,392	)		—			41,722			—
Earnings (loss) before income tax as recast		8,422			(20,330	)		—			(11,908	)		7,964			1,775			(22,972	)		(25,141	)

	Cannabis Retail			Cannabis Operations			Intersegment Eliminations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
Three months ended September 30, 2025
Operating income (loss) as previously reported		9,105			(5,434	)		—			3,671			11,222			1,543			(27,486	)		(11,050	)
Adjustment to general and administrative expenses		(4,058	)		(5,448	)		—			(9,506	)		(4,631	)		—			14,137			—
Operating income (loss) as recast		5,047			(10,882	)		—			(5,835	)		6,591			1,543			(13,349	)		(11,050	)
Earnings (loss) before income tax as previously reported		8,086			(5,458	)		—			2,628			10,374			1,543			(27,864	)		(13,319	)
Adjustment to general and administrative expenses		(4,058	)		(5,448	)		—			(9,506	)		(4,631	)		—			14,137			—
Earnings (loss) before income tax as recast		4,028			(10,906	)		—			(6,878	)		5,743			1,543			(13,727	)		(13,319	)

Geographical disclosure

As at September 30, 2026, the Company had non-current assets related to credit investments in the United States of $467.7 million (December 31, 2025 – $385.5 million). For the nine months ended September 30, 2026, share of profit of equity-accounted investees related to operations in the United States was a profit of $5.1 million (nine months ended September 30, 2025 – loss of $4.4 million). All other non-current assets relate to operations in Canada and revenues from external customers relate to operations in Canada.

10

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

6.biological assets

The Company’s biological assets consist of cannabis plants in various stages of vegetation, including plants which have not been harvested. The change in carrying value of biological assets is as follows:

As at	September 30, 2026			December 31, 2025
Balance, beginning of year		3,120			1,187
Increase in biological assets due to capitalized costs		13,914			16,082
Net change in fair value of biological assets		(594	)		2,322
Transferred to inventory upon harvest		(14,033	)		(16,471	)
Balance, end of period		2,407			3,120

Biological assets are valued in accordance with International Accounting Standard 41 – Agriculture and are presented at their fair value less costs to sell up to the point of harvest. This is determined using a model which estimates the expected harvest yield in grams for plants currently being cultivated, and then adjusts that amount for the expected selling price less costs to produce and sell per gram.

The fair value measurements for biological assets have been categorized as Level 3 fair values based on the inputs to the valuation technique used. The Company’s method of accounting for biological assets attributes value accretion on a straight-line basis throughout the life of the biological asset from initial cloning to the point of harvest.

The Company estimates the harvest yields for cannabis at various stages of growth. As at September 30, 2026, it is estimated that the Company’s biological assets will yield approximately 11,024 kilograms (December 31, 2025 – 12,189 kilograms) of dry cannabis when harvested. During the nine months ended September 30, 2026, the Company harvested 30,336 kilograms of dry cannabis (nine months ended September 30, 2025 – 19,681 kilograms).

7.Inventory

As at	September 30, 2026			December 31, 2025
Retail liquor		77,561			75,145
Retail cannabis		16,871			16,348
Harvested cannabis
Work-in-progress		1,853			2,203
Finished goods		4,482			4,342
Manufactured cannabis
Dried cannabis & biomass		587			2,270
Work in progress		12,294			12,577
Finished goods		8,077			5,600
Packaging supplies and consumables		6,996			8,392
		128,721			126,877

During the three and nine months ended September 30, 2026, inventories of $176.3 million and $495.7 million were recognized in cost of sales as an expense (three and nine months ended September 30, 2025 – $177.7 million and $504.1 million).

During the three and nine months ended September 30, 2026, the Company recognized inventory write downs of $3.5 million and $6.1 million (three and nine months ended September 30, 2025 – $1.8 million and $2.7 million).

11

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

8.Right of use assets

Cost
Balance at December 31, 2025			270,591
Acquisition (note 4)			1,704
Additions			5,113
Renewals, remeasurements and dispositions			10,744
Balance at September 30, 2026			288,152
Accumulated depreciation and impairment
Balance at December 31, 2025			132,238
Depreciation			24,848
Impairment reversal			(542	)
Balance at September 30, 2026			156,544
Net book value
Balance at December 31, 2025			138,353
Balance at September 30, 2026			131,608

For the nine months ended September 30, 2026, renewals, remeasurements and dispositions of $10.7 million mainly related to lease renewals for which the Company reassessed likely terms.

For the nine months ended September 30, 2026, the Company recorded the following net impairment losses (reversals) on right of use assets:

	Reporting Segment
Three months ended	Liquor retail			Cannabis retail			Total
March 31, 2026		—			(300	)		(300	)
June 30, 2026		—			—			—
September 30, 2026		—			(242	)		(242	)
		—			(542	)		(542	)

Refer to note 9 for the significant assumptions applied in the impairment test.

For the nine months ended September 30, 2025, the Company recorded the following net impairment losses (reversals) on right of use assets:

	Reporting Segment
Three months ended	Liquor retail			Cannabis retail			Total
March 31, 2025		—			(468	)		(468	)
June 30, 2025		—			(586	)		(586	)
September 30, 2025		—			(461	)		(461	)
		—			(1,515	)		(1,515	)

12

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

9.Property, plant and equipment

	Land			Production facilities			Leasehold improvements			Equipment			Construction in progress ("CIP")			Total
Cost
Balance at December 31, 2025		9,454			69,519			84,580			111,672			5,153			280,378
Acquisition (note 4)		—			—			1,172			—			—			1,172
Additions		—			460			103			2,933			1,408			4,904
Transfers from CIP		—			122			(971	)		5,557			(4,708	)		—
Dispositions		—			(2,626	)		—			(456	)		—			(3,082	)
Balance at September 30, 2026		9,454			67,475			84,884			119,706			1,853			283,372
Accumulated depreciation and impairment
Balance at December 31, 2025		689			11,567			45,907			70,315			—			128,478
Depreciation		—			1,732			6,042			7,290			—			15,064
Impairment (recovery)		—			475			(587	)		783			—			671
Dispositions		—			—			—			(217	)		—			(217	)
Balance at September 30, 2026		689			13,774			51,362			78,171			—			143,996
Net book value
Balance at December 31, 2025		8,765			57,952			38,673			41,357			5,153			151,900
Balance at September 30, 2026		8,765			53,701			33,522			41,535			1,853			139,376

During the nine months ended September 30, 2026, depreciation expense of $3.9 million was capitalized to biological assets and inventory (nine months ended September 30, 2025 – $3.0 million).

During the three months ended March 31, 2026, the Company determined that indicators of impairment existed relating to the Stellarton facility due to slow moving market conditions. The estimated recoverable amount of the facility was determined to be its fair value less costs of disposal and an impairment of $0.5 million was recorded to write down the facility to its recoverable amount of $1.9 million. The fair value measurement was categorized within Level 3 of the fair value hierarchy. The impairment was recognized in the Company’s cannabis operations reporting segment. During the three months ended June 30, 2026, proceeds of $1.7 million were received for the disposition of the Stellarton facility and a loss on disposal of $0.2 million was recognized.

During the three months ended September 30, 2026, the Company determined that indicators of impairment existed relating to certain machinery and equipment, due to a rationalization of product lines and the decommissioning of certain manufacturing equipment. The estimated recoverable amount of the assets was determined to be nil and an impairment of $1.0 million was recorded. The impairment was recognized in the Company’s cannabis operations segment.

During the nine months ended September 30, 2026, the Company determined that indicators of impairment reversal existed relating to four cannabis retail stores and three liquor retail stores showing improved store level operating results. For impairment testing of retail property, plant and equipment and right of use assets, the Company determined that a cash generating unit (“CGU”) was defined as each individual retail store. The Company completed impairment tests for each CGU determined to have an indicator of potential impairment or impairment reversal using a discounted cash flow model. The recoverable amounts for each CGU were based on the higher of its estimated value in use and fair value less costs of disposal using Level 3 inputs. The significant assumptions applied in the impairment test are described below:

•Cash flows: Projected future sales and earnings for cash flows are based on actual operating results and operating forecasts. Management determined forecasted growth rates of sales based on past performance, expectations of future performance for each location and industry averages. Expenditures were based upon a combination of historical percentages of revenue, sales growth rates, forecasted inflation rates and contractual lease payments.

13

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

The duration of the cash flow projections for individual CGUs is 5 years or based on the remaining lease term of the CGU.

•Discount rate: A pre-tax discount rate range of 11.0% – 13.5% was estimated and is based on market assessments of the time value of money and CGU specific risks to determine the weighted average cost of capital for the given CGU.

For the nine months ended September 30, 2026, the Company recorded the following net impairment losses (reversals) on retail property, plant and equipment:

	Reporting Segment
Three months ended	Liquor retail			Cannabis retail			Total
March 31, 2026		(171	)		(182	)		(353	)
June 30, 2026		—			(2	)		(2	)
September 30, 2026		—			(416	)		(416	)
		(171	)		(600	)		(771	)

The Company also recorded impairment losses and impairment reversals on right of use assets (note 8).

For the nine months ended September 30, 2025, the Company recorded the following net impairment losses (reversals) on retail property, plant and equipment:

	Reporting Segment
Three months ended	Liquor retail			Cannabis retail			Total
March 31, 2025		—			(263	)		(263	)
June 30, 2025		—			(487	)		(487	)
September 30, 2025		—			(567	)		(567	)
		—			(1,317	)		(1,317	)

10.Net investment in subleases

	September 30, 2026			December 31, 2025
Balance, beginning of year		14,418			18,186
Finance income		398			612
Rents recovered (payments made directly to landlords)		(2,523	)		(3,342	)
Dispositions and remeasurements		658			(1,038	)
Balance, end of period		12,951			14,418
Current portion		2,997			2,775
Long-term		9,954			11,643

Net investment in subleases represents leased retail stores that have been subleased to certain franchise partners. These subleases are classified as finance leases as the sublease terms are for the remaining term of the head lease.

14

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

11.Intangible assets

	Brands and trademarks			Franchise agreements			Software			Retail licenses			Total
Cost
Balance at December 31, 2025		81,900			10,000			5,589			6,482			103,971
Balance at September 30, 2026		81,900			10,000			5,589			6,482			103,971
Accumulated amortization and impairment
Balance at December 31, 2025		35,792			5,564			3,365			730			45,451
Amortization		129			935			659			363			2,086
Balance at September 30, 2026		35,921			6,499			4,024			1,093			47,537
Net book value
Balance at December 31, 2025		46,108			4,436			2,224			5,752			58,520
Balance at September 30, 2026		45,979			3,501			1,565			5,389			56,434

12.Investments

As at	September 30, 2026			December 31, 2025
Investments at amortized cost		461			822
Investments at FVOCI		16,959			11,236
		17,420			12,058
Current portion		106			484
Long-term		17,314			11,574

Investments at amortized cost

The Company has loans outstanding to franchise partners with a total balance of $0.5 million, maturity dates ranging from October 2026 to June 2030, and annual interest rates ranging from 7.5% – 8%.

Investments at fAIR vALUE tHROUGH OTHER COMPREHENSIVE INCOME

During the nine months ended September 30, 2026, the Company acquired an additional $4.2 million of investments in listed common shares that are not held for trading, for which the Company irrevocably elected at initial recognition to designate at fair value through other comprehensive income. The shares were marked to market to $17.0 million as a Level 1 investment and the corresponding $1.7 million gain was recognized in other comprehensive income.

13.Equity-accounted investees

As at	September 30, 2026			December 31, 2025
Interest in joint venture		467,730			385,534

SunStream is a joint venture in which the Company has a 50% ownership interest. SunStream is a private company, incorporated under the Business Corporations Act (Alberta), which provides growth capital that pursues indirect investment and financial services opportunities in the cannabis sector, as well as other investment opportunities.

SunStream is structured separately from the Company, and the Company has a residual interest in the net assets of SunStream. Accordingly, the Company has classified its interest in SunStream as a joint venture, which is accounted for using the equity-method.

15

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

The current investment portfolio of SunStream is comprised of secured debt, hybrid debt, derivative instruments and convertible equity instruments with United States based cannabis businesses. These investments are recorded at fair value each reporting period with any changes in fair value recorded through profit or loss. SunStream actively monitors these investments for changes in credit risk, market risk and other risks specific to each investment.

During the three months ended September 30, 2026, the Company contributed $60.8 million to SunStream.

The following table summarizes the carrying amount of the Company’s interest in the joint venture:

		Carrying amount
Balance at December 31, 2025			385,534
Share of net earnings			5,084
Share of other comprehensive income (taxes at 23%)			13,799
Capital contributions			63,628
Distributions			(315	)
Balance at September 30, 2026			467,730

SunStream is a related party due to it being classified as a joint venture of the Company. Capital contributions to the joint venture and distributions received from the joint venture are classified as related party transactions.

The following table summarizes the financial information of SunStream:

As at	September 30, 2026			September 30, 2025
Current assets (including cash and cash equivalents - 2026: $0.9 million, 2025: $0.7 million)		3,897			5,646
Non-current assets		460,943			383,461
Current liabilities		(4,308	)		(887	)
Net assets (liabilities) (100%)		460,532			388,220
Nine months ended September 30	2026			2025
Revenue (loss)		6,928			(2,330	)
Profit (loss) from operations		5,738			(3,825	)
Other comprehensive income (loss)		13,799			(13,250	)
Total comprehensive income (loss)		19,538			(17,065	)

14.GOODWILL

Net book value
Balance at December 31, 2025			124,248
Acquisitions through business combinations (note 4)			3,012
Impairment			(52,022	)
Balance at September 30, 2026			75,238

At September 30, 2026, the Company determined that indicators of impairment existed relating to the cannabis operations - manufacturing CGU group’s goodwill due to lower than expected operating results and forecasts.

The Company performed a quantitative test as at September 30, 2026. The impairment test for the Company’s cannabis operations – manufacturing CGU groups used a value in use approach based on internal cash flow estimates at September 30, 2026, and a discount rate of 15%. The discount rate was estimated based on the Company’s weighted average cost of capital, adjusted for risks specific to the CGU group. The estimated cash flows were based on a 5-year model taking into account the overall forecasted Canadian adult-use cannabis industry market growth projections. A terminal value thereafter was applied.

16

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

The Company determined that the recoverable amount of the CGU group was lower than its carrying amount and recorded an impairment to goodwill of $52.0 million. The goodwill impairment was recognized in the cannabis operations reportable segment.

15.Lease Liabilities

	September 30, 2026			December 31, 2025
Balance, beginning of year		169,933			152,273
Acquisition (note 4)		1,305			—
Additions		5,094			9,634
Lease payments		(32,908	)		(42,587	)
Renewals, remeasurements and dispositions		11,220			42,790
Tenant inducement allowances received		1,248			303
Accretion expense		6,428			7,520
Balance, end of period		162,320			169,933
Current portion		35,706			35,462
Long-term		126,614			134,471

For the nine months ended September 30, 2026, renewals, remeasurements and dispositions of $11.2 million mainly related to lease renewals for which the Company reassessed likely terms.

The following table presents the contractual undiscounted cash flows, excluding periods covered by lessee lease extension options that have been included in the determination of the lease term, related to the Company’s lease liabilities as at September 30, 2026:

		September 30, 2026
Less than one year			22,007
One to three years			80,982
Three to five years			70,170
Thereafter			14,872
Minimum lease payments			188,031

16.Share capital and warrants

A)Authorized

The authorized capital of the Company consists of an unlimited number of voting common shares and preferred shares with no par value.

B)Issued and outstanding

		September 30, 2026						December 31, 2025
	Note	Number of Shares			Carrying Amount			Number of Shares			Carrying Amount
Balance, beginning of year			263,359,123			2,310,398			263,021,847			2,346,728
Share issuances			3,263			10			—			—
Share repurchases			(21,632,053	)		(189,386	)		(5,899,897	)		(52,688	)
Employee awards exercised			3,046,411			6,333			6,237,173			16,358
Balance, end of period			244,776,744			2,127,355			263,359,123			2,310,398

17

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

During the nine months ended September 30, 2026, the Company purchased and cancelled 21.6 million common shares, pursuant to its repurchase program, at a weighted average price, excluding commissions, of $1.97 (US$1.42) per common share for a total cost of $43.1 million including commissions. Accumulated deficit was reduced by $145.9 million, representing the excess of the average carrying value of the common shares over their purchase price.

Subsequent to September 30, 2026, the Company purchased and cancelled 1.5 million common shares, pursuant to its repurchase program, at a weighted average price, excluding commissions, of $1.77 (US$1.25) per common share for a total cost of $2.6 million including commissions.

17.Share-based compensation

The Company has a number of share-based compensation plans which include simple and performance warrants, stock options, restricted share units (“RSUs”) and deferred share units (“DSUs”). During 2019, the Company established the stock option, RSU and DSU plans to replace the granting of simple warrants and performance warrants.

The components of share-based compensation expense are as follows:

	Three months ended September 30						Nine months ended September 30
	2026			2025			2026			2025
Equity-settled expense
Restricted share units (C)		1,788			3,561			5,672			9,641
Cash-settled (recovery) expense
Deferred share units (1) (D)		(21	)		7,322			(639	)		5,549
		1,767			10,883			5,033			15,190

(1)Cash-settled DSUs are accounted for as a liability and are measured at fair value based on the market value of the Company’s common shares at each period end. Fluctuations in the fair value are recognized during the period in which they occur.

Equity-settled plans

A)Simple and performance warrants

The Company issued simple warrants and performance warrants to employees, directors and others at the discretion of the Board. Simple and performance warrants granted generally vest annually over a three-year period, simple warrants expire five years after the grant date and performance warrants expire five years after vesting criteria are met.

The following table summarizes changes in the simple and performance warrants during the nine months ended September 30, 2026:

		Simple warrants outstanding				Weighted average exercise price				Performance warrants outstanding				Weighted average exercise price
Balance at December 31, 2025			16,320			$	64.32				20,800			$	40.38
Forfeited			(320	)			155.19				—				0.00
Expired			—				0.00				(12,800	)			18.75
Balance at September 30, 2026			16,000			$	62.50				8,000			$	75.00

18

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

The following table summarizes outstanding simple and performance warrants as at September 30, 2026:

		Warrants outstanding												Warrants exercisable
Range of exercise prices		Number of warrants				Weighted average exercise price				Weighted average contractual life (years)				Number of warrants				Weighted average exercise price				Weighted average contractual life (years)
Simple warrants
$62.50 - $93.75			16,000			$	62.50				0.28				16,000			$	62.50				0.28
Performance warrants
$62.50 - $93.75			8,000			$	75.00			n/a					—			$	—			n/a

B)Stock options

The Company issues stock options to employees and others at the discretion of the Board. Stock options granted generally vest annually over a three-year period and generally expire ten years after the grant date.

The following table summarizes changes in stock options during the nine months ended September 30, 2026:

		Stock options outstanding				Weighted average exercise price
Balance at December 31, 2025			320,951			$	11.86
Forfeited			(236,853	)			11.79
Expired			(300	)			31.50
Balance at September 30, 2026			83,798			$	11.98

The following table summarizes outstanding stock options as at September 30, 2026:

		Stock options outstanding								Stock options exercisable
Exercise prices		Number of options				Weighted average contractual life (years)				Number of options				Weighted average contractual life (years)
$11.50			10,000				3.66				10,000				3.66
$11.79			64,738				0.30				64,738				0.30
$11.90			8,160				3.74				8,160				3.74
$31.50			900				1.73				900				1.73
			83,798				1.05				83,798				1.05

C)Restricted share units

RSUs are granted to employees and the vesting requirements and maximum term are at the discretion of the Board. RSUs are exchangeable for an equal number of common shares.

The following table summarizes changes in RSUs during the nine months ended September 30, 2026:

				RSUs outstanding
Balance at December 31, 2025					6,855,023
Granted					3,704,062
Forfeited					(836,244	)
Exercised					(3,046,410	)
Balance at September 30, 2026					6,676,431

19

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

At September 30, 2026, no RSUs were vested or exercisable.

Cash-settled plans

D)Deferred share units

DSUs are granted to directors and generally vest in equal instalments over one year. DSUs are settled by making a cash payment to the holder equal to the fair value of the Company’s common shares calculated at the date of such payment.

The DSU plan was amended for grants made in 2025 and onward, allowing directors who have met the Company’s share ownership guidelines to select a redemption date based on specific criteria. All DSUs granted prior to December 31, 2024 can only be exercised once a director ceases to be on the Board. The fair value of DSUs that will be redeemed within the next year are classified as a current liability within accounts payable.

As at September 30, 2026, the Company recognized a liability of $7.0 million relating to the fair value of cash-settled DSUs (December 31, 2025 – $8.1 million) with $6.8 million (December 31, 2025 – $7.6 million) included as a non-current liability within other liabilities and $0.2 million (December 31, 2025 – $0.5 million) included as a current liability within accounts payable.

The following table summarizes changes in DSUs during the nine months ended September 30, 2026:

				DSUs outstanding
Balance at December 31, 2025					3,568,503
Granted					476,507
Exercised					(217,602	)
Balance at September 30, 2026					3,827,408

At September 30, 2026, 3.83 million DSUs were vested (December 31, 2025 – 3.57 million) and 0.17 million were exercisable (December 31, 2025 – 0.3 million).

18.NET revenue

Liquor retail revenue is derived from the sale of wines, beers and spirits to customers and proprietary licensing. Cannabis retail revenue is derived from retail cannabis sales to customers, proprietary licensing, franchise revenue consisting of royalty and franchise fee revenue, and other revenue consisting of millwork, supply and accessories revenue. Cannabis operations revenue is derived from contracts with customers and is comprised of sales to provincial boards that sell cannabis through their respective distribution models, sales to licensed producers for further processing, provision of proprietary cannabis processing services, product development, manufacturing and commercialization of cannabis consumer products and sales to medical customers.

20

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

	Three months ended September 30						Nine months ended September 30
	2026			2025			2026			2025
Liquor retail revenue
Retail		134,387			139,000			372,403			389,501
Proprietary licensing		387			388			1,162			1,288
Liquor retail revenue		134,774			139,388			373,565			390,789
Cannabis retail revenue
Retail		79,172			79,521			229,336			230,668
Proprietary licensing		5,292			4,261			13,533			12,618
Franchise		1,141			1,239			3,285			3,674
Cannabis retail revenue		85,605			85,021			246,154			246,960
Cannabis operations revenue
Provincial boards		29,865			43,095			96,972			115,363
Wholesale		6,597			10,235			22,816			32,851
Analytical testing and other		—			149			113			459
Intersegment eliminations		(9,425	)		(17,579	)		(38,757	)		(51,391	)
Cannabis operations revenue		27,037			35,900			81,144			97,282
Gross revenue		247,416			260,309			700,863			735,031
Excise taxes (1)		9,422			16,090			31,197			41,129
Net revenue		237,994			244,219			669,666			693,902

(1)Excise tax is only applicable to cannabis operations provincial board revenue.

19.Investment income

	Three months ended September 30						Nine months ended September 30
	2026			2025			2026			2025
Interest income from investments at amortized cost		14			23			36			1,414
Interest income from cash		913			1,652			3,381			4,435
Gain on marketable securities		—			102			55			313
		927			1,777			3,472			6,162

21

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

20.Other (expenses) INCOME, NET

	Three months ended September 30						Nine months ended September 30
	2026			2025			2026			2025
Finance (costs) income
Accretion on lease liabilities		(2,120	)		(1,936	)		(6,428	)		(5,564	)
Financial guarantee liability recovery		13			13			33			41
Other finance costs		28			(38	)		(10	)		(97	)
Interest income		128			149			398			471
Total finance costs		(1,951	)		(1,812	)		(6,007	)		(5,149	)
Change in fair value of derivative warrants		—			1			—			26
Transaction costs		(252	)		(465	)		(875	)		(1,561	)
Foreign exchange (loss) gain		(261	)		7			458			(357	)
		(2,464	)		(2,269	)		(6,424	)		(7,041	)

21.SUPPLEMENTAL CASH FLOW DISCLOSURES

	Three months ended September 30						Nine months ended September 30
	2026			2025			2026			2025
Cash provided by (used in):
Accounts receivable		1,793			3,487			8,510			2,270
Biological assets		(150	)		1,362			119			239
Inventory		1,472			4,986			(7,743	)		(1,391	)
Prepaid expenses and deposits		(1,403	)		2,363			(1,106	)		4,211
Right of use assets		(1,315	)		(5,884	)		(5,173	)		(8,833	)
Property, plant and equipment		75			39			712			10
Accounts payable and accrued liabilities		441			2,021			(8,616	)		(5,594	)
Lease liabilities		1,612			5,916			6,340			9,150
		2,525			14,290			(6,957	)		62
Changes in non-cash working capital relating to:
Operating		2,185			14,194			(8,805	)		(282	)
Investing		75			39			712			10
Financing		265			57			1,136			334
		2,525			14,290			(6,957	)		62

22.Earnings (Loss) per share

		Three months ended September 30								Nine months ended September 30
		2026				2025				2026				2025
Weighted average shares outstanding (000s)
Basic and diluted (1)			246,979				257,370				254,948				257,929
Net loss attributable to owners of the Company			(50,789	)			(13,319	)			(68,522	)			(25,141	)
Per share - basic and diluted		$	(0.21	)		$	(0.05	)		$	(0.27	)		$	(0.10	)

22

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

(1)For the nine months ended September 30, 2026, there were 54.4 thousand equity classified warrants, 16.0 thousand simple warrants, 8.0 thousand performance warrants, 0.1 million stock options and 6.7 million RSUs that were excluded from the calculation as the impact was anti-dilutive (nine months ended September 30, 2025 – 118.4 thousand equity classified warrants, 21.4 thousand simple warrants, 24.8 thousand performance warrants, 0.6 million stock options and 13.0 million RSUs).

23.Financial instruments

The financial instruments recognized on the consolidated statement of financial position are comprised of cash and cash equivalents, restricted cash, marketable securities, accounts receivable, investments at amortized cost, investments at FVOCI and accounts payable and accrued liabilities.

Fair value

The carrying value of cash and cash equivalents, restricted cash, accounts receivable and accounts payable and accrued liabilities approximate their fair value due to the short-term nature of the instruments. The carrying value of investments at amortized cost approximate their fair value as the fixed interest rates approximate market rates for comparable transactions.

Fair value measurements of marketable securities, investments at FVOCI and derivative warrants are as follows:

				Fair value measurements using
September 30, 2026	Carrying amount			Level 1			Level 2			Level 3
Recurring measurements:
Financial assets
Marketable securities		139			139			—			—
Investments at FVOCI		16,959			16,959			—			—
				Fair value measurements using
December 31, 2025	Carrying amount			Level 1			Level 2			Level 3
Recurring measurements:
Financial assets
Marketable securities		84			84			—			—
Investments at FVOCI		11,236			11,236			—			—

There were no transfers between Levels 1, 2 and 3 inputs during the period.

24.Commitments and contingencies

The following table summarizes contractual commitments at September 30, 2026:

	Less than one year			One to three years			Three to five years			Thereafter			Total
Accounts payable and accrued liabilities		46,902			—			—			—			46,902
Financial guarantee liability		—			114			—			—			114
Loyalty liability		—			792			—			—			792
Balance, end of period		46,902			906			—			—			47,808

23

SNDL Inc.

Notes to the Condensed Consolidated Interim Financial Statements

For the three and nine months ended September 30, 2026

(Unaudited, expressed in thousands of Canadian dollars, except where otherwise noted)

A)Commitments

The Company has entered into certain supply agreements to provide dried cannabis and cannabis products to third parties. The contracts require the provision of various amounts of dried cannabis on or before certain dates. Should the Company not deliver the product in the agreed timeframe, financial penalties apply which may be paid either in product in-kind or cash.

B)Contingencies

From time to time, the Company and its subsidiaries are or may become involved in various legal claims and actions which arise in the ordinary course of their business and operations. While the outcome of any such claim or action is inherently uncertain, the Company believes that the losses that may result, if any, will not be material to the consolidated financial statements.

24

EXHIBIT 99.2

SNDL Inc.

Management’s Discussion and Analysis

For the three and nine months ended September 30, 2026

Management’s Discussion and Analysis

This Management’s Discussion and Analysis (“MD&A”) of the financial condition and performance of SNDL Inc. (“SNDL” or the “Company”) for the three and nine months ended September 30, 2026 is dated October 26, 2026. This MD&A should be read in conjunction with the Company’s condensed consolidated interim financial statements and the notes thereto for the three and nine months ended September 30, 2026 (the “Interim Financial Statements”) and the audited consolidated financial statements and notes thereto for the year ended December 31, 2025 (the “Audited Financial Statements”) and the risks identified in the Company’s Annual Information Form for the year ended December 31, 2025 (the “AIF”) and elsewhere in this MD&A. This MD&A has been prepared in accordance with National Instrument 51-102 - Continuous Disclosure Obligations and is presented in thousands of Canadian dollars, except where otherwise indicated.

MD&A – Table of Contents

COMPANY OVERVIEW	1
RECENT DEVELOPMENTS	2
Other developments	2
FINANCIAL HIGHLIGHTS	4
CONSOLIDATED RESULTS	5
OPERATING SEGMENTS	6
LIQUOR RETAIL SEGMENT RESULTS	9
CANNABIS RETAIL SEGMENT RESULTS	10
CANNABIS OPERATIONS SEGMENT RESULTS	11
INVESTMENTS SEGMENT RESULTS	12
SELECTED QUARTERLY INFORMATION	13
LIQUIDITY AND CAPITAL RESOURCES	13
CONTRACTUAL COMMITMENTS AND CONTINGENCIES	17
NON-IFRS FINANCIAL MEASURES AND OTHER MEASURES	17
RELATED PARTIES	20
OFF BALANCE SHEET ARRANGEMENTS	20
CRITICAL ACCOUNTING ESTIMATES	20
NEW ACCOUNTING PRONOUNCEMENTS	20
RISK FACTORS	21
DISCLOSURE CONTROLS AND PROCEDURES	21
INTERNAL CONTROL OVER FINANCIAL REPORTING	22
CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING	22
ABBREVIATIONS	22
FORWARD-LOOKING INFORMATION	22
ADDITIONAL INFORMATION	24

COMPANY OVERVIEW

SNDL operates under four reportable segments:

•Liquor retail sales of wines, beers and spirits;

•Cannabis retail sales of cannabis products and accessories through corporate-owned, controlled and franchised cannabis retail operations;

•Cannabis operations as a licensed producer that grows cannabis using indoor facilities and manufactures cannabis products, providing proprietary cannabis processing services; and

•Investments targeting the cannabis industry.

The principal activities of the Company are: (i) the retailing of wines, beers and spirits under the Wine and Beyond, Ace Liquor and Liquor Depot retail banners; (ii) the operation and support of corporate-owned, controlled and franchised retail cannabis stores in certain Canadian jurisdictions where the private sale of adult-use cannabis is permitted, under the Value Buds and Spiritleaf retail banners; (iii) the manufacturing of cannabis products providing proprietary cannabis processing services, the production, distribution and sale of cannabis in Canada and for export pursuant to the Cannabis Act (Canada) (the “Cannabis Act”) through an owned and licensed cannabis brand portfolio that includes Top Leaf, Contraband, Palmetto, Bon Jak, La Plogue, Versus, Grasslands, Pearls by Grön, No Future and Bhang Chocolate; and (iv) the provision of financial services through the deployment of capital to direct and indirect investments and partnerships throughout the cannabis industry. The Cannabis Act regulates the production, distribution, and possession of cannabis for both medical and adult-use access in Canada.

The Company produces and markets cannabis products for the Canadian adult-use market and for the international medicinal market. SNDL’s operations cultivate cannabis using approximately 380,000 square feet of total space in Atholville, New Brunswick. SNDL’s extraction and manufacturing operations include approximately 74,100 square feet of total space in British Columbia and approximately 65,500 square feet of total space in Ontario.

SNDL and its subsidiaries operate solely in Canada. Through its joint venture, SunStream Bancorp Inc. (“SunStream”), the Company provides growth capital that pursues indirect investment and financial services opportunities in the cannabis sector, as well as other investment opportunities. The current investment portfolio of SunStream is comprised of secured debt, hybrid debt, derivative instruments and convertible equity instruments issued by United States (“U.S.”) based cannabis businesses. The Company also makes strategic portfolio investments in debt and equity securities.

SNDL was incorporated under the Business Corporations Act (Alberta) (the “ABCA”) on August 19, 2006. The Company’s common shares are listed under the symbol “SNDL” on the Nasdaq Capital Market (the “Nasdaq”) and the Canadian Securities Exchange (the “CSE”).

SNDL is headquartered in Edmonton, Alberta, with operations in Kelowna, British Columbia, Bolton, Ontario, London, Ontario, Toronto, Ontario and Atholville, New Brunswick, and corporate-owned, controlled and franchised retail liquor and cannabis stores in five provinces across Canada.

SNDL’s overall strategy is to build sustainable, long-term shareholder value by improving liquidity and cost of capital while optimizing the capacity and capabilities of its production facilities in the creation of a consumer-centric brand and product portfolio. SNDL’s retail operations will continue to build a Canadian retail liquor brand and a network of retail cannabis stores across Canadian jurisdictions where the private distribution of cannabis is legal. SNDL’s investment operations seek to deploy capital through direct and indirect investments and partnerships throughout the cannabis industry.

1

RECENT DEVELOPMENTS

Successful completion of eu-gmp audit at atholville facility

On August 4, 2026, the Company announced the successful completion of a European Union Good Manufacturing Practice (“EU-GMP”) audit at its Atholville, New Brunswick cultivation facility.

The successful audit reinforces SNDL’s ability to participate in regulated international medical cannabis markets and reflects the Company’s continued focus on quality, operational excellence and regulatory compliance. EU-GMP compliance is an important standard for supplying medical cannabis products into many international jurisdictions. The Company has not yet received the EU-GMP certification for its Atholville facility, but anticipates receiving it within 90 days following August 4, 2026.

The successful audit follows continued investments in cultivation performance, facility reliability, quality systems, and process improvement at its Atholville facility. The facility’s scale, cost structure, and ability to support international demand remain key strengths within SNDL’s cultivation platform.

Restructuring of parallel

On July 27, 2026, the restructuring of Surterra Holdings, Inc. and certain of its affiliates (collectively, “Parallel”) was completed. As the principal asset within the SunStream investment portfolio, Parallel represents a significant step forward for SNDL, which gained indirect majority economic exposure through the restructuring transaction. Parallel currently operates 56 retail locations, three cultivation facilities and a manufacturing facility. Subject to applicable legal, regulatory, accounting, and Nasdaq requirements, SNDL expects to assume direct control of Parallel’s medical cannabis operations in Florida, Texas, and Massachusetts in the coming months. This milestone has the potential to make SNDL the first Nasdaq-listed company to consolidate U.S. medical cannabis operations and establish the Company as a leading vertically integrated cannabis operator in North America.

Rise Rewards Loyalty Program

On April 22, 2025, the Company announced the launch of its Rise Rewards loyalty program (“Rise Rewards”), designed to help Value Buds customers save more, earn more, and get even more from every visit. Rise Rewards is available at all Value Buds locations in Alberta, Ontario, Saskatchewan, and Manitoba. Customers can earn points with every visit and by participating in the Company’s recycling initiative, reinforcing Value Buds’ commitment to affordability, sustainability, and customer appreciation. By leveraging insights from Rise Rewards, the Company aims to optimize Value Buds’ pricing strategies and marketing efforts to provide superior customer experiences.

On March 10, 2026, the Company launched Rise Rewards at all Ace Liquor and Liquor Depot locations in Alberta, and on July 27, 2026, launched Rise Rewards at all Wine and Beyond locations in Alberta and Saskatchewan.

OTHER DEVELOPMENTS

U.S. justice department Reclassifies state-licensed and fda-approved marijuana products

On April 23, 2026, the U.S. Justice Department and the U.S. Drug Enforcement Administration announced the issuance of an order immediately placing both Food and Drug Administration-approved products containing marijuana and marijuana products regulated by a state medical marijuana license in Schedule III of the U.S. Controlled Substances Act, as well as the initiation of an expedited administrative hearing process to consider the broader rescheduling of marijuana from Schedule I to Schedule III. The administrative hearing process commenced on June 29, 2026 and concluded on July 15, 2026. The broader rescheduling proposal remains subject to the ongoing administrative rulemaking process, including the release of the decision from the hearing, and the timing and outcome remain uncertain.

U.S. TARIFFS

Since early 2025, the U.S. administration has imposed tariffs on imports from certain countries, including Canada, and the Canadian government has responded with its own tariffs on certain U.S. imports. U.S. trade tensions escalated during the third quarter of 2026. On July 1, 2026, the U.S. declined to extend the Canada-United States-Mexico Agreement (“CUSMA”)

2

at its first joint review; CUSMA remains in force but is now subject to annual reviews. Effective August 22, 2026, the U.S. imposed a 50% tariff on certain Canadian-origin beverage alcohol products, without an exemption for CUSMA-compliant goods. The government of Canada subsequently suspended trade negotiations with the U.S. and, effective September 8, 2026, imposed counter-tariffs on approximately $27.6 billion of U.S.-origin goods. Effective September 29, 2026, the U.S. also prohibited the import of most Canadian alcoholic beverages and certain other Canadian products. Whether and when negotiations will resume, and the terms of any resulting agreement, are unknown. These measures, and the risk of further tariffs and retaliatory actions, have created uncertainty, which has permeated the economic and investment outlook, impacting current economic conditions, including such issues as the inflation rate and the global supply chain. Aside from the impact on the global economy, these tariffs may continue to impact SNDL.

In response to tariffs imposed by the U.S., several Canadian provinces removed U.S. alcohol from store shelves and restaurant, bar and retailer fulfillment catalogues. While some provinces, including Alberta, have lifted their ban on U.S. liquor imports, or returned certain U.S. products to their shelves, other provinces continue to restrict the sale or purchase of U.S. alcohol.

SNDL is continuing to monitor the evolving situation and the impacts and potential consequences on its financial position. The Company did not experience a significant impact to its financial performance during the nine months ended September 30, 2026.

acquisition of cost cannabis and t cannabis locations from 1cm

On April 9, 2025, the Company announced that it had entered into an arrangement agreement (the “1CM Agreement”) with 1CM Inc. (“1CM”) pursuant to which it would acquire 32 cannabis retail stores (the “1CM Transaction”) operating under the Cost Cannabis and T Cannabis banners in Ontario, Alberta and Saskatchewan (the “1CM Stores”).

Under the terms of the 1CM Agreement, the Company would acquire, with the option to assign, the 1CM Stores for total consideration of $32.2 million cash, subject to certain adjustments at the closing of the 1CM Transaction. The 1CM Stores are comprised of 2 stores in Alberta, 3 stores in Saskatchewan and 27 stores located in Ontario.

The 1CM Transaction was to be completed by way of an arrangement under the Business Corporations Act (Ontario). On June 16, 2025, 1CM announced the approval of the 1CM Transaction by 1CM shareholders. On June 18, 2025, 1CM announced that the Ontario Superior Court of Justice (Commercial List) approved the plan of arrangement involving SNDL.

On December 15, 2025, the Company announced that it had entered into an amended and restated arrangement agreement (the “1CM A&R Agreement”). Under the 1CM A&R Agreement, the parties agreed to, among other things, complete the 1CM Transaction in two stages to align with the status of required provincial regulatory approvals. The aggregate purchase price for the 1CM Transaction had not been amended.

On January 7, 2026, the first closing (“First Closing”) was completed and involved the purchase of 5 cannabis retail stores located in Alberta and Saskatchewan. The purchase price for the First Closing was $5.0 million cash, subject to certain adjustments at the time of the First Closing. Pursuant to the 1CM A&R Agreement, in December 2025, the Company had previously paid a $2.0 million non-refundable cash deposit towards the purchase price in respect of the First Closing.

The second closing (“Second Closing”) was expected to occur in the first half of 2026 for the purchase of the remaining 27 cannabis retail stores, each of which are located in Ontario. The 1CM Transaction had an outside date that was extended from December 31, 2025 to May 31, 2026. On May 27, 2026, the Company announced that the Second Closing was not expected to proceed following a prolonged regulatory review process that extended beyond commercially reasonable timelines contemplated by the parties. The Company paid a $0.26 million termination fee that was deducted from the previously paid $1.0 million deposit meant to be applied towards the purchase price in respect of the Second Closing, and the remaining $0.74 million was returned to the Company.

The 1CM Transaction is expected to strengthen the Company’s overall financial condition as the addition of the 1CM Stores will broaden the Company’s exposure in key Canadian markets. The Company’s financial performance and cash flows are projected to improve based on current 1CM store level operating results.

share repurchase program

On November 3, 2025, the Company announced that the board of directors of the Company (the “Board”) approved a renewal of the share repurchase program upon its expiry on November 20, 2025. On November 21, 2025, the Company announced that it had received approval from the CSE for the renewal of its share repurchase program. The share

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repurchase program authorizes the Company to repurchase up to $100 million of its outstanding common shares from time to time through open market purchases at prevailing market prices. SNDL may purchase up to a maximum of approximately 24.5 million common shares under the share repurchase program, representing approximately 10% of the issued and outstanding common shares as at the date of announcement, and will expire on November 20, 2026. The share repurchase program does not require the Company to purchase any minimum number of common shares and repurchases may be suspended or terminated at any time at the Company’s discretion. The actual number of common shares which may be purchased pursuant to the share repurchase program and the timing of any purchases will be determined by SNDL’s management and the Board. All common shares purchased pursuant to the share repurchase program will be returned to treasury for cancellation.

Upon the expiry of the share repurchase program on November 20, 2026, the Company intends to renew the program. In addition, the Board has directed management to pursue a possible substantial issuer bid (“SIB”) in the near future as a way to increase value to shareholders. Any formal launch of a SIB is subject to applicable exchange and cross-border regulatory approvals, and in accordance with applicable laws, would not operate concurrently with the Company’s repurchase program.

For the three months ended September 30, 2026, the Company purchased and cancelled 5.4 million common shares at a weighted average price, excluding commissions, of $1.83 (US$1.31) per common share for a total cost of $10.0 million including commissions.

For the nine months ended September 30, 2026, the Company purchased and cancelled 21.6 million common shares at a weighted average price, excluding commissions, of $1.97 (US$1.42) per common share for a total cost of $43.1 million including commissions.

Refer to “Liquidity and Capital Resources – Equity” below for further details regarding common shares purchased and cancelled.

FINANCIAL HIGHLIGHTS

The following table summarizes selected financial information of the Company for the periods noted.

($000s, except per share amounts)	Q3 2026			Q3 2025			Change			% Change
Financial Results
Net revenue		237,994			244,219			(6,225	)		-3	%
Cost of sales		180,108			180,042			66			0	%
Gross profit		57,886			64,177			(6,291	)		-10	%
Gross margin (1)		24.3	%		26.3	%					-2.0	%
Operating loss		(48,317	)		(11,050	)		(37,267	)		-337	%
Adjusted operating income (loss)  (2)		5,249			(9,512	)		14,761			155	%
Net loss attributable to owners of the Company		(50,789	)		(13,319	)		(37,470	)		-281	%
Per share, basic and diluted		(0.21	)		(0.05	)		(0.16	)		-320	%
Change in cash and cash equivalents		(50,729	)		32,357			(83,086	)		-257	%
Free cash flow (2)		19,954			16,692			3,262			20	%
Statement of Financial Position
Cash and cash equivalents		132,479			240,581			(108,102	)		-45	%
Inventory		128,721			125,334			3,387			3	%
Right of use assets		131,608			122,701			8,907			7	%
Property, plant and equipment		139,376			152,510			(13,134	)		-9	%
Total assets		1,224,170			1,318,061			(93,891	)		-7	%

(1)Gross margin is a supplementary financial measure calculated by dividing gross profit by net revenue for the periods noted. Refer to the “Non-IFRS Financial Measures and Other Measures” section of this MD&A for further information.

(2)Adjusted operating income (loss) and free cash flow are specified financial measures that do not have standardized meanings prescribed by International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS Accounting Standards”) and therefore

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may not be comparable to similar measures used by other companies. Refer to the “Non-IFRS Financial Measures and Other Measures” section of this MD&A for further information.

CONSOLIDATED RESULTS

General and administrative

		Three months ended September 30								Nine months ended September 30
($000s)		2026				2025				2026				2025
Salaries and wages			25,708				28,109				80,323				85,245
Consulting fees			847				985				3,789				3,945
Office and general			12,082				13,791				35,804				38,024
Professional fees			1,410				1,061				4,193				3,372
Merchant processing fees			1,911				1,853				5,268				5,126
Director fees			253				226				718				707
Other			1,073				(58	)			2,637				1,283
			43,284				45,967				132,732				137,702

General and administrative expenses for the three months ended September 30, 2026 were $43.3 million compared to $46.0 million for the three months ended September 30, 2025. The decrease of $2.7 million was mainly due to decreases in salaries and wages and office and general expenses, partially offset by an increase in other expenses. The decrease in salaries and wages was due to continued optimization of corporate overheads. Office and general expenses decreased due to the timing of investor relations costs, lower licence fees and less spending on repairs and maintenance and utilities. The increase in other expenses was mainly due to an increase in expected credit losses.

General and administrative expenses for the nine months ended September 30, 2026 were $132.7 million compared to $137.7 million for the nine months ended September 30, 2025. The decrease of $5.0 million was mainly due to decreases in salaries and wages and office and general expenses, partially offset by increases in professional fees and other expenses. The decrease in salaries and wages was due to continued optimization of corporate overheads, partially offset by severance costs recognized in the current period. Office and general expenses decreased due to the timing of investor relations costs and less spending on office supplies and repairs and maintenance. The increase in professional fees was due to higher legal and accounting expenses. The increase in other expenses was mainly due to an increase in expected credit losses.

Share-based compensation

		Three months ended September 30								Nine months ended September 30
($000s)		2026				2025				2026				2025
Equity-settled expense
Restricted share units			1,788				3,561				5,672				9,641
Cash-settled expense
Deferred share units			(21	)			7,322				(639	)			5,549
			1,767				10,883				5,033				15,190

Share-based compensation expense includes the expense related to the Company’s issuance of restricted share units (“RSUs”) and deferred share units (“DSUs”) to employees, directors, and others at the discretion of the Board. DSUs are accounted for as a liability instrument and measured at fair value based on the market value of the Company’s common shares at each period end.

Share-based compensation expense for the three months ended September 30, 2026 was $1.8 million compared to $10.9 million for the three months ended September 30, 2025. The decrease of $9.1 million was due to decreases in both RSU expense and DSU expense. The decrease in RSU expense was due to the vesting of RSUs granted in prior years and a decrease in the number and value of RSUs granted in the current year. The decrease in DSU expense was mainly caused by the change in the fair value of DSUs. The current period experienced a decrease in fair value resulting from a decrease

5

in share price, while the comparative period experienced an increase in fair value resulting from an increase in share price.

Share-based compensation expense for the nine months ended September 30, 2026 was $5.0 million compared to $15.2 million for the nine months ended September 30, 2025. The decrease of $10.2 million was due to decreases in both RSU expense and DSU expense. The decrease in RSU expense was due to the vesting of RSUs granted in prior years and a decrease in the number and value of RSUs granted in the current year. The decrease in DSU expense was mainly due to the change in the fair value of DSUs. The current period experienced a decrease in fair value resulting from a decrease in share price, while the comparative period experienced an increase in fair value resulting from an increase in share price.

Operating loss

		Three months ended September 30								Nine months ended September 30
($000s)		2026				2025				2026				2025
Operating loss			(48,317	)			(11,050	)			(65,272	)			(18,100	)

Operating loss for the three months ended September 30, 2026 was $48.3 million compared to $11.1 million for the three months ended September 30, 2025. The increase in operating loss of $37.2 million was due to a decrease in gross profit ($6.3 million) and an increase in asset impairment ($50.3 million), partially offset by an increase in share of profit of equity-accounted investees ($7.1 million) and decreases in general and administrative expenses ($2.7 million) and share-based compensation expense ($9.1 million). The changes noted above are discussed in more detail throughout the relevant consolidated and segment results sections.

Operating loss for the nine months ended September 30, 2026 was $65.3 million compared to $18.1 million for the nine months ended September 30, 2025. The increase in operating loss of $47.2 million was due to decreases in gross profit ($21.4 million) and investment income ($2.7 million) and an increase in asset impairment ($49.2 million), partially offset by an increase in share of profit of equity-accounted investees ($9.5 million) and decreases in general and administrative expenses ($5.0 million) and share-based compensation expense ($10.2 million). The changes noted above are discussed in more detail throughout the relevant consolidated and segment results sections.

Net loss

		Three months ended September 30								Nine months ended September 30
($000s)		2026				2025				2026				2025
Net loss			(50,789	)			(13,319	)			(68,522	)			(25,141	)

Net loss for the three months ended September 30, 2026 was $50.8 million compared to $13.3 million for the three months ended September 30, 2025. The increase in net loss of $37.5 million was largely due to a decrease in gross profit ($6.3 million) and an increase in asset impairment ($50.3 million), partially offset by an increase in share of profit of equity-accounted investees ($7.1 million) and decreases in general and administrative expenses ($2.7 million) and share-based compensation expense ($9.1 million). The changes noted above are discussed in more detail throughout the relevant consolidated and segment results sections.

Net loss for the nine months ended September 30, 2026 was $68.5 million compared to $25.1 million for the nine months ended September 30, 2025. The increase in net loss of $43.4 million was largely due to decreases in gross profit ($21.4 million) and investment income ($2.7 million) and an increase in asset impairment ($49.2 million), partially offset by an increase in share of profit of equity-accounted investees ($9.5 million) and decreases in general and administrative expenses ($5.0 million) and share-based compensation expense ($10.2 million) and an increase in income tax recovery ($3.2 million). The changes noted above are discussed in more detail throughout the relevant consolidated and segment results sections.

OPERATING SEGMENTS

The Company’s reportable segments are organized by business line and are comprised of four reportable segments: liquor retail, cannabis retail, cannabis operations, and investments.

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Liquor retail includes the sale of wines, beers and spirits through wholly owned liquor stores. Cannabis retail includes the private sale of adult-use cannabis products and accessories through corporate-owned, controlled and franchised retail cannabis stores. Cannabis operations include the cultivation, distribution and sale of cannabis for the adult-use and medical markets domestically and for export, and providing proprietary cannabis processing services, in addition to product development, manufacturing, and commercialization of cannabis consumer packaged goods. Investments include the deployment of capital to investment opportunities. Certain overhead expenses not directly attributable to any operating segment are reported as “Corporate”.

($000s)	Cannabis Retail			Cannabis Operations			Intersegment Eliminations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
As at September 30, 2026
Total assets		209,052			153,046			—			362,098			310,490			485,150			66,432			1,224,170
Nine months ended September 30, 2026
Net revenue (1)		246,154			88,704			(38,757	)		296,101			373,565			—			—			669,666
Gross profit		65,472			4,747			—			70,219			96,828			—			—			167,047
Operating income (loss)		9,328			(80,836	)		—			(71,508	)		5,899			8,340			(8,003	)		(65,272	)
Adjusted operating income (loss) (2)		9,403			(27,303	)		—			(17,900	)		6,126			8,340			(7,241	)		(10,675	)
Three months ended September 30, 2026
Net revenue (1)		85,605			27,040			(9,425	)		103,220			134,774			—			—			237,994
Gross profit		23,118			(1,622	)		—			21,496			36,390			—			—			57,886
Operating income (loss)		5,244			(64,693	)		—			(59,449	)		6,035			7,861			(2,764	)		(48,317	)
Adjusted operating income (loss) (2)		5,284			(11,391	)		—			(6,107	)		6,037			7,861			(2,542	)		5,249

(1)The Company has eliminated $38.8 million for the nine months ended September 30, 2026 and $9.4 million for the three months ended September 30, 2026 of cannabis operations revenue and equal cost of sales associated with sales to provincial boards that are expected to be subsequently repurchased by the Company’s licensed retail subsidiaries for resale, at which point the full retail sales revenue will be recognized.

(2)Adjusted operating income (loss) is a specified financial measure that does not have standardized meaning prescribed by IFRS Accounting Standards and therefore may not be comparable to similar measures used by other companies. Refer to the “Non-IFRS Financial Measures and Other Measures” section of this MD&A for further information.

($000s)	Cannabis Retail			Cannabis Operations			Intersegment Eliminations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
As at December 31, 2025
Total assets		219,462			211,625			—			431,087			324,447			397,537			182,846			1,335,917
Nine months ended September 30, 2025
Net revenue (1)		246,960			107,544			(51,391	)		303,113			390,789			—			—			693,902
Gross profit		63,974			23,452			—			87,426			100,993			—			—			188,419
Operating income (loss) (2)		10,557			(20,186	)		—			(9,629	)		10,884			1,775			(21,130	)		(18,100	)
Adjusted operating income (loss) (2)(3)		10,557			(16,258	)		—			(5,701	)		10,884			1,775			(19,671	)		(12,713	)
Three months ended September 30, 2025
Net revenue (1)		85,021			37,389			(17,579	)		104,831			139,388			—			—			244,219
Gross profit		22,465			5,008			—			27,473			36,704			—			—			64,177
Operating income (loss) (2)		5,047			(10,882	)		—			(5,835	)		6,591			1,543			(13,349	)		(11,050	)
Adjusted operating income (loss) (2)(3)		5,047			(10,220	)		—			(5,173	)		6,591			1,543			(12,473	)		(9,512	)

(1)The Company has eliminated $51.4 million for the nine months ended September 30, 2025 and $17.6 million for the three months ended September 30, 2025 of cannabis operations revenue and equal cost of sales associated with sales to provincial boards that are expected to be subsequently repurchased by the Company’s licensed retail subsidiaries for resale, at which point the full retail sales revenue will be recognized.

(2)Recast - refer to description below

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(3)Adjusted operating income (loss) is a specified financial measure that does not have standardized meaning prescribed by IFRS Accounting Standards and therefore may not be comparable to similar measures used by other companies. Refer to the “Non-IFRS Financial Measures and Other Measures” section of this MD&A for further information.

In 2026, the Company began allocating applicable direct and indirect overhead costs, incorporating employee utilization and head count, from the corporate segment to each individual operating segment all categorized within general and administrative expenses. The Company has recast the comparative period to illustrate the impact of these allocations had they been done during the prior period.

The following tables present the effect of the adjustments made to operating income (loss) and adjusted operating income (loss) for the periods indicated.

($000s)	Cannabis Retail			Cannabis Operations			Intersegment Eliminations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
Nine months ended September 30, 2025
Operating income (loss) as previously reported		22,329			(3,628	)		—			18,701			24,276			1,775			(62,852	)		(18,100	)
Adjustment to general and administrative expenses		(11,772	)		(16,558	)		—			(28,330	)		(13,392	)		—			41,722			—
Operating income (loss) as recast		10,557			(20,186	)		—			(9,629	)		10,884			1,775			(21,130	)		(18,100	)
Adjusted operating income (loss) as previously reported		22,329			300			—			22,629			24,276			1,775			(61,393	)		(12,713	)
Adjustment to general and administrative expenses		(11,772	)		(16,558	)		—			(28,330	)		(13,392	)		—			41,722			—
Adjusted operating income (loss) as recast		10,557			(16,258	)		—			(5,701	)		10,884			1,775			(19,671	)		(12,713	)

($000s)	Cannabis Retail			Cannabis Operations			Intersegment Eliminations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
Three months ended September 30, 2025
Operating income (loss) as previously reported		9,105			(5,434	)		—			3,671			11,222			1,543			(27,486	)		(11,050	)
Adjustment to general and administrative expenses		(4,058	)		(5,448	)		—			(9,506	)		(4,631	)		—			14,137			—
Operating income (loss) as recast		5,047			(10,882	)		—			(5,835	)		6,591			1,543			(13,349	)		(11,050	)
Adjusted operating income (loss) as previously reported		9,105			(4,772	)		—			4,333			11,222			1,543			(26,610	)		(9,512	)
Adjustment to general and administrative expenses		(4,058	)		(5,448	)		—			(9,506	)		(4,631	)		—			14,137			—
Adjusted operating income (loss) as recast		5,047			(10,220	)		—			(5,173	)		6,591			1,543			(12,473	)		(9,512	)

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LIQUOR RETAIL SEGMENT RESULTS

Operating income (loss)

	Three months ended September 30												Nine months ended September 30
($000s)	2026			2025									2026			2025
				As Previously Reported			(2) Adjustment			As Recast						As Previously Reported			(2) Adjustment			As Recast
Net revenue		134,774			139,388			—			139,388			373,565			390,789			—			390,789
Cost of sales		98,384			102,684			—			102,684			276,737			289,796			—			289,796
Gross profit		36,390			36,704			—			36,704			96,828			100,993			—			100,993
Gross margin (1)		27.0	%		26.3	%					26.3	%		25.9	%		25.8	%					25.8	%
General and administrative		21,528			16,910			4,631			21,541			64,111			50,381			13,392			63,773
Sales and marketing		1,077			821			—			821			3,456			2,747			—			2,747
Depreciation and amortization		7,644			7,751			—			7,751			23,068			23,631			—			23,631
Share-based compensation		112			—			—			—			335			—			—			—
Restructuring costs		2			—			—			—			227			—			—			—
Asset (reversal) impairment		—			—			—			—			(171	)		—			—			—
Other income		—			—			—			—			(81	)		—			—			—
Gain on disposition of assets		(8	)		—			—			—			(16	)		(42	)		—			(42	)
Operating income (loss)		6,035			11,222			(4,631	)		6,591			5,899			24,276			(13,392	)		10,884

(1)Gross margin is a supplementary financial measure calculated by dividing gross profit by net revenue for the periods noted. Refer to the “Non-IFRS Financial Measures and Other Measures” section of this MD&A for further information.

(2)In 2026, the Company began allocating applicable direct and indirect overhead costs from the corporate segment to each individual operating segment all categorized within general and administrative expenses. The Company has recast the comparative period to illustrate the impact of these allocations had they been done during the prior period.

Net revenue for the three months ended September 30, 2026 was $134.8 million compared to $139.4 million for the three months ended September 30, 2025. The decrease of $4.6 million was primarily due to lower customer traffic reflecting declining market trends, partially offset by pricing strategies.

Net revenue for the nine months ended September 30, 2026 was $373.6 million compared to $390.8 million for the nine months ended September 30, 2025. The decrease of $17.2 million was primarily due to lower customer traffic reflecting declining market trends, partially offset by pricing strategies.

Cost of sales for the three months ended September 30, 2026 was $98.4 million compared to $102.7 million for the three months ended September 30, 2025. The decrease of $4.3 million was due to an overall decrease in sales as noted above.

Cost of sales for the nine months ended September 30, 2026 was $276.7 million compared to $289.8 million for the nine months ended September 30, 2025. The decrease of $13.1 million was due to an overall decrease in sales as noted above.

Gross profit for the three months ended September 30, 2026 was $36.4 million (27.0%) compared to $36.7 million (26.3%) for the three months ended September 30, 2025. The decrease of $0.3 million was partly due to a reduction in net revenue and cost of sales noted above, in addition to pricing strategies.

Gross profit for the nine months ended September 30, 2026 was $96.8 million (25.9%) compared to $101.0 million (25.8%) for the nine months ended September 30, 2025. The decrease of $4.2 million was partly due to a reduction in net revenue and cost of sales noted above, in addition to pricing strategies.

The increase in sales and marketing expense of $0.7 million for the three and nine months ended September 30, 2026 were mainly caused by new store marketing expenses.

During the three months ended September 30, 2026, and the three months ended September 30, 2025, no impairments or impairment reversals were recorded.

During the nine months ended September 30, 2026, the Company recorded impairment reversals on retail property, plant and equipment of $0.2 million due to improved store level operating results. During the nine months ended September 30, 2025, no impairments or impairment reversals were recorded.

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At October 26, 2026, the Ace Liquor store count was 130, the Liquor Depot store count was 19 and the Wine and Beyond store count was 16.

CANNABIS RETAIL SEGMENT RESULTS

Operating income (loss)

	Three months ended September 30												Nine months ended September 30
($000s)	2026			2025									2026			2025
				As Previously Reported			(2) Adjustment			As Recast						As Previously Reported			(2) Adjustment			As Recast
Net revenue		85,605			85,021			—			85,021			246,154			246,960			—			246,960
Cost of sales		62,487			62,556			—			62,556			180,682			182,986			—			182,986
Gross profit		23,118			22,465			—			22,465			65,472			63,974			—			63,974
Gross margin (1)		27.0	%		26.4	%					26.4	%		26.6	%		25.9	%					25.9	%
General and administrative		13,893			9,874			4,058			13,932			43,499			31,779			11,772			43,551
Sales and marketing		398			575			—			575			1,078			1,276			—			1,276
Depreciation and amortization		4,162			3,934			—			3,934			12,533			11,430			—			11,430
Share-based compensation		39			—			—			—			127			—			—			—
Restructuring costs		40			—			—			—			75			—			—			—
Asset (reversal) impairment		(658	)		(1,028	)		—			(1,028	)		(1,142	)		(2,832	)		—			(2,832	)
Loss (gain) on disposition of assets		—			5			—			5			(26	)		(8	)		—			(8	)
Operating income (loss)		5,244			9,105			(4,058	)		5,047			9,328			22,329			(11,772	)		10,557

(1)Gross margin is a supplementary financial measure calculated by dividing gross profit by net revenue for the periods noted. Refer to the “Non-IFRS Financial Measures and Other Measures” section of this MD&A for further information.

(2)In 2026, the Company began allocating applicable direct and indirect overhead costs from the corporate segment to each individual operating segment all categorized within general and administrative expenses. The Company has recast the comparative period to illustrate the impact of these allocations had they been done during the prior period.

Net revenue for the three months ended September 30, 2026 was $85.6 million compared to $85.0 million for the three months ended September 30, 2025. The increase of $0.6 million is mainly attributable to an increase in proprietary licensing revenue, partially offset by decreases in retail sales and a minor decrease in franchise revenue.

Net revenue for the nine months ended September 30, 2026 was $246.2 million compared to $247.0 million for the nine months ended September 30, 2025. The decrease of $0.8 million is mainly attributable to decreases in retail sales and franchise revenue, partially offset by an increase in proprietary licensing revenue.

Cost of sales for the three months ended September 30, 2026 was $62.5 million compared to $62.6 million for the three months ended September 30, 2025. The decrease of $0.1 million was due to a decrease in retail sales as noted above and a change in product mix from changing consumer preferences.

Cost of sales for the nine months ended September 30, 2026 was $180.7 million compared to $183.0 million for the nine months ended September 30, 2025. The decrease of $2.3 million was due to a decrease in retail sales as noted above and a change in product mix from changing consumer preferences.

Gross profit for the three months ended September 30, 2026 was $23.1 million (27.0%) compared to $22.5 million (26.4%) for the three months ended September 30, 2025. The increase of $0.6 million was due to a change in product mix from changing consumer preferences and an increase in net revenue noted above.

Gross profit for the nine months ended September 30, 2026 was $65.5 million (26.6%) compared to $64.0 million (25.9%) for the nine months ended September 30, 2025. The increase of $1.5 million was due to a change in product mix from changing consumer preferences, an increase in net revenue and decrease in cost of sales noted above.

During the three months ended September 30, 2026, the Company recorded impairment reversals on right of use assets of $0.3 million and retail property, plant and equipment of $0.4 million. During the three months ended September 30, 2025, the Company recorded impairment reversals on right of use assets of $0.5 million and retail property, plant and equipment of $0.5 million due to improved store level operating results.

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During the nine months ended September 30, 2026, the Company recorded impairment reversals on right of use assets of $0.5 million and retail property, plant and equipment of $0.6 million due to improved store level operating results. During the nine months ended September 30, 2025, the Company recorded impairment reversals on right of use assets of $1.5 million and retail property, plant and equipment of $1.3 million due to improved store level operating results.

At October 26, 2026, the Spiritleaf store count was 60 (4 corporate stores and 56 franchise stores) and the Value Buds store count was 133 corporate stores.

CANNABIS OPERATIONS SEGMENT RESULTS

Operating income (loss)

	Three months ended September 30												Nine months ended September 30
($000s)	2026			2025									2026			2025
				As Previously Reported			(2) Adjustment			As Recast						As Previously Reported			(2) Adjustment			As Recast
Net revenue		27,040			37,389			—			37,389			88,704			107,544			—			107,544
Cost of sales		28,662			32,381			—			32,381			83,957			84,092			—			84,092
Gross profit		(1,622	)		5,008			—			5,008			4,747			23,452			—			23,452
Gross margin (1)		-6.0	%		13.4	%					13.4	%		5.4	%		21.8	%					21.8	%
General and administrative		7,357			4,266			5,448			9,714			23,439			11,767			16,558			28,325
Sales and marketing		1,940			1,971			—			1,971			6,405			6,206			—			6,206
Depreciation and amortization		323			657			—			657			950			2,100			—			2,100
Share-based compensation		157			—			—			—			571			—			—			—
Restructuring costs		313			258			—			258			544			828			—			828
Asset impairment		52,989			3,079			—			3,079			53,464			5,803			—			5,803
Research and development		—			156			—			156			12			354			—			354
(Gain) loss on disposition of assets		(8	)		55			—			55			198			22			—			22
Operating income (loss)		(64,693	)		(5,434	)		(5,448	)		(10,882	)		(80,836	)		(3,628	)		(16,558	)		(20,186	)

(1)Gross margin is a supplementary financial measure calculated by dividing gross profit by net revenue for the periods noted. Refer to the “Non-IFRS Financial Measures and Other Measures” section of this MD&A for further information.

(2)In 2026, the Company began allocating applicable direct and indirect overhead costs from the corporate segment to each individual operating segment all categorized within general and administrative expenses. The Company has recast the comparative period to illustrate the impact of these allocations had they been done during the prior period.

The Company’s revenue comprises bulk and packaged sales under the Cannabis Act pursuant to its supply agreements with Canadian provincial boards, other licensed producers and international exports, proprietary extraction services, white label product formulation and manufacturing, the sale of bulk winterized oil and distillate, toll processing and co-packaging services and analytical testing.

Net revenue for the three months ended September 30, 2026 was $27.0 million compared to $37.4 million for the three months ended September 30, 2025. The decrease of $10.4 million was mainly due to decreases in sales to provincial boards and wholesale sales.

Net revenue for the nine months ended September 30, 2026 was $88.7 million compared to $107.5 million for the nine months ended September 30, 2025. The decrease of $18.8 million was mainly due to decreases in sales to provincial boards and wholesale sales.

Cost of sales for the three months ended September 30, 2026 were $28.7 million compared to $32.4 million for the three months ended September 30, 2025. The decrease of $3.7 million was mainly due to the decrease in net revenue as noted above, changes in product mix with higher direct costs and an increase in inventory obsolescence of $1.6 million.

Cost of sales for the nine months ended September 30, 2026 were $84.0 million compared to $84.1 million for the nine months ended September 30, 2025. The decrease of $0.1 million was mainly due to the decrease in net revenue as noted above, changes in product mix with higher direct costs and an increase in inventory obsolescence of $3.4 million.

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Gross profit for the three months ended September 30, 2026 was negative $1.6 million (-6.0%) compared to $5.0 million (13.4%) for the three months ended September 30, 2025. The decrease of $6.6 million was due to the decrease in net revenue and increases in cost of sales and inventory obsolescence noted above.

Gross profit for the nine months ended September 30, 2026 was $4.7 million (5.4%) compared to $23.5 million (21.8%) for the nine months ended September 30, 2025. The decrease of $18.8 million was due to the decrease in net revenue and increases in cost of sales and inventory obsolescence noted above.

During the three months ended September 30, 2026, the Company recorded impairments on property, plant and equipment of $1.0 million due to a rationalization of product lines and the decommissioning of certain manufacturing equipment and recorded impairments of goodwill of $52.0 million due to lower than expected operating results and forecasts. During the three months ended September 30, 2025, the Company recorded impairments on property, plant and equipment of $0.4 million due to the consolidation of the Company’s edible facilities as part of its integration strategy and $2.7 million due to slow moving market conditions.

During the nine months ended September 30, 2026, the Company recorded impairments on property, plant and equipment of $0.5 million due to slow moving market conditions and $1.0 million due to a rationalization of product lines and the decommissioning of certain manufacturing equipment and recorded impairments of goodwill of $52.0 million due to lower than expected operating results and forecasts. During the nine months ended September 30, 2025, the Company recorded impairments on property, plant and equipment of $3.1 million due to the consolidation of the Company’s edible facilities as part of its integration strategy and $2.7 million due to slow moving market conditions.

During the nine months ended September 30, 2026, the Company received proceeds of $1.7 million for the disposition of its Stellarton facility and a loss on disposal of $0.2 million was recognized.

INVESTMENTS SEGMENT RESULTS

Operating income (loss)

		Three months ended September 30								Nine months ended September 30
($000s)		2026				2025				2026				2025
Investment income			927				1,777				3,472				6,162
Share of profit (loss) of equity-accounted investees			6,934				(234	)			5,084				(4,387	)
General and administrative			—				—				216				—
Operating income (loss)			7,861				1,543				8,340				1,775

Investment income for the three months ended September 30, 2026 was $0.9 million compared to $1.8 million for the three months ended September 30, 2025. The decrease of $0.9 million was mainly due to lower interest revenue from cash due to lower balances.

Investment income for the nine months ended September 30, 2026 was $3.5 million compared to $6.2 million for the nine months ended September 30, 2025. The decrease of $2.7 million was mainly due to lower interest income from investments at amortized cost, caused by the principal repayment of a $27 million commercial mortgage in March 2025 and lower interest revenue from cash.

Share of profit (loss) of equity-accounted investees is comprised of the Company’s share of the net profit (or loss) generated from its investments in SunStream. The current investment portfolio of SunStream is comprised of secured debt, hybrid debt, derivative instruments and convertible equity instruments issued by U.S. based cannabis businesses.

Share of profit of equity-accounted investees for the three months ended September 30, 2026 was $6.9 million compared to a loss of $0.2 million for the three months ended September 30, 2025. The increase of $7.1 million was mostly due to accounting fair value adjustments to the investments.

Share of profit of equity-accounted investees for the nine months ended September 30, 2026 was $5.1 million compared to a loss of $4.4 million for the nine months ended September 30, 2025. The increase of $9.5 million was mostly due to accounting fair value adjustments to the investments.

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SELECTED QUARTERLY INFORMATION

The following table summarizes selected consolidated operating and financial information of the Company for the preceding eight quarters.

	2026									2025												2024
($000s, except per share amounts)	Q3			Q2			Q1			Q4			Q3			Q2			Q1			Q4
Net revenue		237,994			235,766			195,906			252,499			244,219			244,769			204,914			257,679
Gross profit		57,886			56,349			52,812			70,229			64,177			67,601			56,641			68,799
Investment income		927			1,008			1,537			1,652			1,777			1,529			2,856			2,734
Net (loss) earnings attributable to owners of the Company (1)		(50,789	)		(7,822	)		(9,911	)		9,367			(13,319	)		2,885			(14,707	)		(67,142	)
Per share, basic and diluted (1)		(0.21	)		(0.03	)		(0.04	)		0.04			(0.05	)		0.01			(0.06	)		(0.25	)

(1)These values are equal to values from “net earnings (loss) from continuing operations attributable to owners of the Company”, in total and on a per-share and diluted per-share basis.

During the eight most recent quarters the following items have had a significant impact on the Company’s financial results and results of operations:

•Impairment and impairment reversals on property, plant and equipment and right of use assets;

•Changes to provisions for inventory obsolescence and impairment;

•Investments in and distributions from SunStream;

•Acquisition of Indiva Limited;

•Impairment of intangible assets from the cannabis retail cash generating unit (“CGU”);

•Impairment of the Stellarton facility due to slow moving market conditions;

•Entering into and acquiring several cannabis-related investments;

•Repayment and exiting cannabis-related investments; and

•Increased net revenue and gross profit from acquisitions and organic growth, partially offset by a general decline in demand in the liquor industry and shifting consumer preferences in the cannabis industry.

LIQUIDITY AND CAPITAL RESOURCES

($000s)		September 30, 2026				December 31, 2025
Cash and cash equivalents			132,479				252,243

Capital resources are financing resources available to the Company and are defined as the Company’s debt and equity. The Company manages its capital resources with the objective of maximizing shareholder value and sustaining future development of the business. The Company manages its capital structure and adjusts it, based on the funds available to the Company, in order to support the Company’s activities. The Company may adjust capital spending, issue new equity or issue new debt, subject to the availability of such debt or equity financing on commercial terms. During the nine months ended September 30, 2026 the Company contributed $60.8 million to SunStream and repurchased and cancelled 21.6 million common shares for a total cost of $43.1 million.

The Company’s primary need for liquidity is to fund investment opportunities, capital expenditures, working capital requirements and for general corporate purposes. The Company’s working capital requirements are primarily driven by maintaining inventory levels, the extension of credit to customers and the settling of obligations with suppliers. The Company’s primary source of liquidity historically has been from funds received from the proceeds of common share issuances and debt financing. The Company’s ability to fund operations and investments and make planned capital expenditures depends on future operating performance and cash flows, as well as the availability of future financing, all of which are subject to prevailing economic conditions and financial, business and other factors.

Management believes its current capital resources will be sufficient to satisfy cash requirements associated with funding the Company’s operating expenses and future development activities for at least the next 12 months. However, no assurance can be given that this will be the case or that future sources of capital will not be necessary.

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Debt

As at September 30, 2026, the Company had no outstanding bank debt or other debt.

Equity

As at September 30, 2026, the Company had the following share capital instruments outstanding:

(000s)		September 30, 2026				December 31, 2025
Common shares			244,777				263,359
Common share purchase warrants (1)			54				54
Simple warrants (2)			16				16
Performance warrants (3)			8				21
Stock options (4)			84				321
Restricted share units			6,676				6,855

(1)54,400 warrants were exercisable as at September 30, 2026.

(2)16,000 simple warrants were exercisable as at September 30, 2026.

(3)No performance warrants were exercisable as at September 30, 2026.

(4)83,798 stock options were exercisable as at September 30, 2026.

The number of common shares outstanding changed during the nine months ended September 30, 2026 in connection with the following transactions:

•Pursuant to the Company’s share repurchase program, the Company purchased and cancelled 21.6 million common shares at a weighted average price, excluding commissions, of $1.97 (US$1.42) per common share for a total cost of $43.1 million including commissions; and

•The Company issued 3.0 million common shares in connection with the vesting of RSUs under its long term incentive plan.

From October 1, 2026 to October 26, 2026:

•Pursuant to the Company’s share repurchase program, the Company purchased and cancelled 1.5 million common shares at a weighted average price, excluding commissions, of $1.77 (US$1.25) per common share for a total cost of $2.6 million including commissions.

As at October 26, 2026, a total of 243.3 million common shares were issued and outstanding.

Cash Flow Summary

		Three months ended September 30								Nine months ended September 30
($000s)		2026				2025				2026				2025
Cash provided by (used in):
Operating activities			18,550				31,701				25,718				45,606
Investing activities			(61,224	)			10,522				(72,928	)			20,533
Financing activities			(8,055	)			(9,866	)			(60,412	)			(43,917	)
Change in cash and cash equivalents			(50,729	)			32,357				(107,622	)			22,222

Cash Flow – Operating Activities

Net cash provided by operating activities was $18.6 million for the three months ended September 30, 2026 compared to $31.7 million provided by operating activities for the three months ended September 30, 2025. The decrease of $13.1 million was due to unfavourable changes in working capital, and a decrease in net earnings and adjustments for non-cash items. The change in non-cash working capital is comprised of changes in inventory, accounts receivable, prepaid expenses and deposits and accounts payable. Accounts receivable was impacted by the adoption of the IFRS 7 and IFRS 9 amendments, refer to “New Accounting Pronouncements” below for additional information.

Net cash provided by operating activities was $25.7 million for the nine months ended September 30, 2026 compared to $45.6 million provided by operating activities for the nine months ended September 30, 2025. The decrease of $19.9 million was due to an increase in net loss and adjustments for non-cash items, unfavourable changes in working capital,

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and lower interest received. The change in non-cash working capital is comprised of changes in inventory, accounts receivable, prepaid expenses and deposits and accounts payable. Accounts receivable was impacted by the adoption of the IFRS 7 and IFRS 9 amendments, refer to “New Accounting Pronouncements” below for additional information.

Cash Flow – Investing Activities

Net cash used in investing activities was $61.2 million for the three months ended September 30, 2026 compared to $10.5 million provided by investing activities for the three months ended September 30, 2025. The decrease of $71.7 million was primarily due to capital contributions to equity-accounted investees and lower proceeds from the disposal of investments, partially offset by lower additions to property, plant and equipment. During the current period the Company contributed $60.8 million to equity-accounted investees. During the comparative period the Company received $15.0 million in proceeds for the disposition of investments at fair value through other comprehensive income.

Net cash used in investing activities was $72.9 million for the nine months ended September 30, 2026 compared to $20.5 million provided by investing activities for the nine months ended September 30, 2025. The decrease of $93.4 million was primarily due to capital contributions to equity-accounted investees, lower principal payments from investments, lower proceeds from the disposal of investments, partially offset by lower additions to investments. During the current period the Company contributed $63.6 million to equity-accounted investees. During the comparative period the Company received $15.0 million in proceeds for the disposition of investments at fair value through other comprehensive income, and received principal repayment of a $27 million commercial mortgage.

Cash Flow – Financing Activities

Net cash used in financing activities was $8.1 million for the three months ended September 30, 2026 compared to $9.9 million used in financing activities for the three months ended September 30, 2025. The decrease of $1.8 million was largely due to the change in restricted cash, partially offset by an increase in common shares repurchased.

Net cash used in financing activities was $60.4 million for the nine months ended September 30, 2026 compared to $43.9 million used in financing activities for the nine months ended September 30, 2025. The increase of $16.5 million was largely due to an increase in common shares repurchased, partially offset by the change in restricted cash.

Free cash flow

		Three months ended September 30								Nine months ended September 30
($000s)		2026				2025				2026				2025
Free cash flow			19,954				16,692				5,692				7,733

Free cash flow is a specified financial measure that does not have a standardized meaning prescribed by IFRS Accounting Standards and therefore may not be comparable to similar measures used by other companies. Refer to the “Non-IFRS Financial Measures and Other Measures” section of this MD&A for further information. The Company defines free cash flow as the total change in cash and cash equivalents less cash used for common share repurchases, dividends (if any), changes to debt instruments, changes to long-term investments, net cash used for acquisitions plus cash provided by dispositions (if any).

Free cash flow was positive $20.0 million for the three months ended September 30, 2026 compared to positive $16.7 million for the three months ended September 30, 2025. The increase of $3.3 million was mainly due to the change in restricted cash and lower additions to property, plant and equipment, partially offset by unfavourable changes in working capital which resulted in higher cash outflows compared to the prior period and a decrease in net earnings and adjustments for non-cash items. The adjustments for non-cash items were mostly due to change in fair value of biological assets and inventory sold, share-based compensation expense, inventory obsolescence and impairment, asset impairment and share of profit of equity-accounted investees.

Free cash flow was positive $5.7 million for the nine months ended September 30, 2026 compared to positive $7.7 million for the nine months ended September 30, 2025. The decrease of $2.0 million was mainly due to a decrease in net loss and adjustments for non-cash items, exercise of cash-settled DSUs and unfavourable changes in working capital which resulted in higher cash outflows compared to the prior period, partially offset by lower additions to property, plant and equipment, higher proceeds from the disposal of property, plant and equipment and the change in restricted cash. The adjustments for non-cash items were mostly due to income tax recovery, change in fair value of biological assets and

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inventory sold, share-based compensation, inventory obsolescence and impairment, asset impairment and share of profit of equity-accounted investees.

Financial Instruments

Refer to note 23 in the Interim Financial Statements for additional information on the Company’s financial instruments and the related fair value estimates and disclosures.

Liquidity risks associated with financial instruments

Credit risk

Credit risk is the risk of financial loss if the counterparty to a financial transaction fails to meet its obligations. The maximum amount of the Company’s credit risk exposure is the carrying amounts of cash and cash equivalents, accounts receivable, and investments. The Company attempts to mitigate such exposure to its cash and cash equivalents by investing only in financial institutions with investment grade credit ratings or secured investments. The Company manages risk over its accounts receivable by issuing credit only to creditworthy counterparties. The Company limits its exposure to credit risk over its investments by ensuring the agreements governing the investments are secured in the event of counterparty default. The Company considers financial instruments to have low credit risk when its credit risk rating is equivalent to investment grade. The Company assumes that the credit risk on a financial asset has increased significantly if it is outstanding past the contractual payment terms. The Company considers a financial asset to be in default when the debtor is unlikely to pay its credit obligations to the Company.

The Company applies the simplified approach under IFRS 9 for trade receivables by grouping receivables based on shared credit risk characteristics and the days past due. The expected loss rates are based on historical credit losses experienced over a period of 12 months.

The Company applies the general approach under IFRS 9 to other receivables and other investments, which is an assessment of whether the credit risk of a financial instrument has increased significantly since initial recognition.

Liquidity risk

Liquidity risk is the risk that the Company cannot meet its financial obligations when due. The Company manages liquidity risk by monitoring operating and growth requirements. The Company prepares forecasts to ensure sufficient liquidity to fulfil obligations and operating plans. Management believes its current capital resources will be sufficient to satisfy cash requirements associated with funding the Company’s operating expenses and future development activities for at least the next 12 months. However, no assurance can be given that this will be the case or that future sources of capital will not be necessary.

Market risk

Market risk is the risk that changes in market prices will affect the Company’s income or value of its holdings of financial instruments. The Company is exposed to market risk in that changes in market prices will cause fluctuations in the fair value of its marketable securities. The fair value of marketable securities is based on quoted market prices as the Company’s marketable securities are shares of publicly traded entities.

Regulatory risk

Regulatory risk pertains to the risk that the Company’s business objectives are contingent, in part, upon compliance with regulatory requirements. Due to the nature of the industries in which the Company operates, the Company recognizes that regulatory requirements are more stringent and punitive in nature than most other sectors of the economy. Any delays in obtaining, or failure to obtain, regulatory approvals could significantly delay operational and/or product development and could have a material adverse effect on the Company’s business, results of operations, and financial condition. The Company is cognizant of the advent of regulatory changes in these industries on the city, provincial, and national levels in Canada and is aware of the effect that unforeseen regulatory changes in these industries could have on the goals and operations of the business as a whole.

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CONTRACTUAL COMMITMENTS AND CONTINGENCIES

A)Commitments

The information presented in the table below reflects management’s estimate of the contractual maturities of the Company’s obligations at September 30, 2026.

($000s)	Less than one year			One to three years			Three to five years			Thereafter			Total
Accounts payable and accrued liabilities		46,902			—			—			—			46,902
Lease liabilities		22,007			80,982			70,170			14,872			188,031
Financial guarantee liability		—			114			—			—			114
Loyalty liability		—			792			—			—			792
Total		68,909			81,888			70,170			14,872			235,839

The Company has entered into certain supply agreements to provide dried cannabis and cannabis products to third parties. The contracts require the provision of various amounts of dried cannabis on or before certain dates. Should the Company not deliver the product in the agreed timeframe, financial penalties apply which may be paid either in product in-kind or cash.

The Company has entered into royalty agreements to pay a certain amount of royalties on cannabis products sold. Should the Company not sell sufficient product in the agreed timeframe, a minimal royalty payment is accrued.

B)Contingencies

From time to time, the Company and its subsidiaries are or may become involved in various legal claims and actions which arise in the ordinary course of their business and operations. While the outcome of any such claim or action is inherently uncertain, the Company believes that the losses that may result, if any, will not be material to the consolidated financial statements.

NON-IFRS FINANCIAL MEASURES AND OTHER MEASURES

Certain specified financial measures in this MD&A including adjusted operating income (loss), free cash flow, same store sales and adjusted EBITDA are non-IFRS measures. These terms are not defined by IFRS Accounting Standards and, therefore, may not be comparable to similar measures reported by other companies. These non-IFRS financial measures should not be considered in isolation or as an alternative for measures of performance prepared in accordance with IFRS Accounting Standards.

GROSS MARGIN

Gross margin is a supplementary financial measure calculated by dividing gross profit by net revenue for the periods noted.

Adjusted operating income (loss)

Adjusted operating income (loss) is a non-IFRS financial measure which the Company uses to evaluate its operating performance. Adjusted operating income (loss) provides information to investors, analysts, and others to aid in understanding and evaluating the Company’s operating results in a similar manner to its management team. The Company defines adjusted operating income (loss) as operating income (loss) less restructuring costs (recovery), goodwill and intangible asset impairments and asset impairments triggered by restructuring activities.

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The following tables reconcile adjusted operating income (loss) to operating income (loss) for the periods noted.

($000s)	Cannabis Retail			Cannabis Operations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
Three months ended September 30, 2026
Operating income (loss)		5,244			(64,693	)		(59,449	)		6,035			7,861			(2,764	)		(48,317	)
Adjustments:
Restructuring costs		40			313			353			2			—			222			577
Goodwill and intangible asset impairments		—			52,022			52,022			—			—			—			52,022
Impairments triggered by restructuring		—			967			967			—			—			—			967
Adjusted operating income (loss)		5,284			(11,391	)		(6,107	)		6,037			7,861			(2,542	)		5,249

($000s)	Cannabis Retail			Cannabis Operations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
Nine months ended September 30, 2026
Operating income (loss)		9,328			(80,836	)		(71,508	)		5,899			8,340			(8,003	)		(65,272	)
Adjustments:
Restructuring costs		75			544			619			227			—			762			1,608
Goodwill and intangible asset impairments		—			52,022			52,022			—			—			—			52,022
Impairments triggered by restructuring		—			967			967			—			—			—			967
Adjusted operating income (loss)		9,403			(27,303	)		(17,900	)		6,126			8,340			(7,241	)		(10,675	)

($000s)	Cannabis Retail			Cannabis Operations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
Three months ended September 30, 2025
Operating income (loss) (1)		5,047			(10,882	)		(5,835	)		6,591			1,543			(13,349	)		(11,050	)
Adjustments:
Restructuring costs		—			258			258			—			—			876			1,134
Impairments triggered by restructuring		—			404			404			—			—			—			404
Adjusted operating income (loss)		5,047			(10,220	)		(5,173	)		6,591			1,543			(12,473	)		(9,512	)

(1)In 2026, the Company began allocating applicable direct and indirect overhead costs from the corporate segment to each individual operating segment all categorized within general and administrative expenses. The Company has recast the comparative period to illustrate the impact of these allocations had they been done during the prior period. Refer to “Operating Segments” above for further details.

($000s)	Cannabis Retail			Cannabis Operations			Cannabis Total			Liquor Retail			Investments			Corporate			Total
Nine months ended September 30, 2025
Operating income (loss) (1)		10,557			(20,186	)		(9,629	)		10,884			1,775			(21,130	)		(18,100	)
Adjustments:
Restructuring costs		—			828			828			—			—			1,459			2,287
Impairments triggered by restructuring		—			3,100			3,100			—			—			—			3,100
Adjusted operating income (loss)		10,557			(16,258	)		(5,701	)		10,884			1,775			(19,671	)		(12,713	)

(1)In 2026, the Company began allocating applicable direct and indirect overhead costs from the corporate segment to each individual operating segment all categorized within general and administrative expenses. The Company has recast the comparative period to illustrate the impact of these allocations had they been done during the prior period. Refer to “Operating Segments” above for further details.

Free cash flow

Free cash flow is a non-IFRS financial measure which the Company uses to evaluate its financial performance. Free cash flow provides information which management believes to be useful to investors, analysts and others in understanding

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and evaluating the Company’s ability to generate positive cash flows as it removes cash used for non-operational items. The Company defines free cash flow as the total change in cash and cash equivalents less cash used for common share repurchases, dividends (if any), changes to debt instruments, changes to long-term investments, net cash used for acquisitions plus cash provided by dispositions (if any).

The following table reconciles free cash flow to change in cash and cash equivalents for the periods noted.

		Three months ended September 30								Nine months ended September 30
($000s)		2026				2025				2026				2025
Change in cash and cash equivalents			(50,729	)			32,357				(107,622	)			22,222
Adjustments:
Repurchase of common shares			10,042				3				43,113				15,034
Changes to long-term investments			60,641				(15,668	)			67,301				(30,523	)
Acquisitions, net of cash acquired			—				—				2,900				1,000
Free cash flow			19,954				16,692				5,692				7,733

Same store sales

Same store sales is a supplementary financial measure which the Company uses to evaluate its financial performance in its retail segments. Same store sales provides information which management believes to be useful to investors, analysts and others in understanding and evaluating the Company’s sales trends excluding the effect of the opening and closure of stores.

Same store sales refers to the revenue generated by the Company’s existing retail locations during the current and prior comparison periods.

ADJUSTED EBITDA

Adjusted EBITDA is a non-IFRS financial measure which the Company uses to evaluate its operating performance. Adjusted EBITDA provides information to investors, analysts, and others to aid in understanding and evaluating the Company’s operating results. The Company defines adjusted EBITDA as net earnings (loss) before inventory and biological assets fair value and impairment adjustments, share of (profit) loss of equity-accounted investees, depreciation and amortization, share-based compensation expense, restructuring costs, asset impairment, gain or loss on disposal of property, other expenses, net, income tax expense (recovery) and excluding non-recurring items including enterprise resource planning implementation costs and litigation settlements, net of recoveries.

		Three months ended September 30								Nine months ended September 30
($000s)		2026				2025				2026				2025
Net loss			(50,789	)			(13,319	)			(68,522	)			(25,141	)
Adjustments:
Inventory and biological assets fair value and impairment adjustments			3,764				2,362				6,900				1,417
Share of loss (profit) of equity-accounted investees			(6,934	)			234				(5,084	)			4,387
Depreciation and amortization			12,659				12,928				38,145				39,076
Share-based compensation			1,767				10,883				5,033				15,190
Restructuring costs			577				1,134				1,608				2,287
Asset (reversal) impairment			52,331				2,051				52,151				2,971
Loss (gain) on disposition of property, plant and equipment			(16	)			34				139				(54	)
Other expenses, net			2,464				2,269				6,424				7,041
Income tax recovery			8				—				(3,174	)			—
Non-recurring items			(15	)			(501	)			549				(696	)
Adjusted EBITDA			15,816				18,075				34,169				46,478

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RELATED PARTIES

SunStream is a joint venture in which the Company has a 50% ownership interest and is a related party due to it being classified as a joint venture of the Company. SunStream is a private company, incorporated under the ABCA, which provides growth capital that pursues indirect investment and financial services opportunities in the cannabis sector, as well as other investment opportunities. Capital contributions to the joint venture and distributions received from the joint venture are classified as related party transactions.

OFF BALANCE SHEET ARRANGEMENTS

As at September 30, 2026, the Company did not have any off-balance sheet arrangements.

CRITICAL ACCOUNTING ESTIMATES

The Company makes assumptions in applying critical accounting estimates that are uncertain at the time the accounting estimate is made and may have a significant effect on its consolidated financial statements. Critical accounting estimates include the classification and recoverable amounts of CGUs, value of inventory, value of equity-accounted investees, value of leases, acquisitions and fair value of assets acquired and liabilities assumed in a business combination. Critical accounting estimates are based on variable inputs including but not limited to:

•Demand for cannabis for adult-use and medical purposes;

•Price of cannabis;

•Expected cannabis sales volumes;

•Demand for liquor;

•Price of liquor;

•Expected liquor sales volumes;

•Changes in market interest and discount rates;

•Future development and operating costs;

•Costs to convert harvested cannabis to finished goods;

•Potential returns and pricing adjustments; and

•Market prices, volatility and discount rates used to determine fair value of equity-accounted investees.

Changes in critical accounting estimates can have a significant effect on profit or loss as a result of their impact on revenue, costs of sales, provisions and impairments. Changes in critical accounting estimates can have a significant effect on the valuation of inventory, property, plant and equipment, provisions and derivative financial instruments.

For a detailed discussion regarding the Company’s critical accounting estimates, refer to the notes to the Audited Financial Statements.

NEW ACCOUNTING PRONOUNCEMENTS

The International Accounting Standards Board and the IFRS Interpretations Committee regularly issue new and revised accounting pronouncements which have future effective dates and therefore are not reflected in the Company’s consolidated financial statements. Once adopted, these new and amended pronouncements may have an impact on the Company’s consolidated financial statements. The following accounting standard was effective for annual periods beginning on or after January 1, 2026 and had a material impact on the Company’s consolidated financial statements:

Classification and Measurement of Financial Instruments — Amendments to IFRS 9 and IFRS 7

On January 1, 2026, the Company adopted the amendments to IFRS 9 and IFRS 7 using the prospective application. The amendments include the following:

•Clarification on the date of recognition and derecognition of some financial assets and liabilities, with a new exception for some financial liabilities settled through an electronic payment system.

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•Clarification and further guidance for assessing whether a financial asset meets the solely payments of principal and interest criterion.

•New disclosure requirements for certain instruments without contractual terms that can change cash flows.

•Updates to the disclosure required for equity instruments designated at fair value through other comprehensive income.

Impact on adoption

At September 30, 2026, there was an $8.8 million net reduction in cash and cash equivalents with an equivalent increase in accounts receivable, which is reflected in the statement of financial position and statement of cash flows. The Company estimated the impact to be approximately $12.1 million net reduction in cash and cash equivalents with an equivalent increase in accounts receivable, had the amendments been in effect for the annual period ending December 31, 2025.

There are new accounting standards, amendments to accounting standards and interpretations that are effective for annual periods beginning on or after January 1, 2027, discussed below, which have not been applied in preparing the consolidated financial statements for the three and nine months ended September 30, 2026.

IFRS 18 Presentation and Disclosure in Financial Statements

IFRS 18 will replace IAS 1 Presentation of Financial Statements and applies for annual reporting periods beginning on or after January 1, 2027. The new accounting standard introduces the following key new requirements:

•Entities are required to classify all income and expenses into five categories in the statement of profit or loss, namely the operating, investing, financing, discontinued operations and income tax categories. Entities are also required to present a newly-defined operating profit subtotal. Entities’ net profit will not change.

•Management-defined performance measures are disclosed in a single note in the financial statements.

•Enhanced guidance is provided on how to group information in the financial statements.

In addition, all entities are required to use the operating profit subtotal as the starting point for the statement of cash flows when presenting operating cash flows under the indirect method.

The Company is still in the process of assessing the impact of the new accounting standard, particularly with respect to the structure of the Company’s statement of profit or loss, the statement of cash flows and the additional disclosures required for management-defined performance measures.

Other accounting standards

The following new and amended accounting standards are not expected to have a material impact on the Company’s consolidated financial statements:

•IFRS 19 Subsidiaries without Public Accountability: Disclosures

RISK FACTORS

In addition to the risks described elsewhere in this document, for a detailed discussion regarding the Company’s risk factors, refer to the “Risk Factors” section of the AIF.

DISCLOSURE CONTROLS AND PROCEDURES

The Company has designed disclosure controls and procedures (as defined in National Instrument 52-109 – Certification of Disclosure in Issuers’ Annual and Interim Filings (“NI 52-109”) and Rules 13a-15(f) and 15d-15(f) under the U.S. Securities Exchange Act of 1934, as amended (the “Exchange Act”)) to provide reasonable assurance that: (i) material information relating to the Company is made known to the Company’s Chief Executive Officer and Chief Financial Officer by others, particularly during the period in which the annual and interim filings are being prepared; and (ii) information required to be disclosed by the Company in its annual filings, interim filings or other reports filed or submitted by it under securities legislation is recorded, processed, summarized and reported within the time period specified in such securities legislation.

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Our management, with the participation of our Chief Executive Officer and Chief Financial Officer, has evaluated the effectiveness of our disclosure controls and procedures as of September 30, 2026. Based upon evaluation of the Company’s disclosure controls and procedures as of September 30, 2026, our Chief Executive Officer and Chief Financial Officer have concluded that our disclosure controls and procedures were effective as of September 30, 2026.

INTERNAL CONTROL OVER FINANCIAL REPORTING

Our management is responsible for establishing and maintaining adequate internal control over financial reporting (as defined in NI 52-109 and Rules 13a-15(f) and 15d-15(f) under the Exchange Act). Refer to our MD&A for the year ended December 31, 2025, for a discussion regarding our internal control over financial reporting and the remediation of a previously identified material weakness.

CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING

There have been no other changes in our internal control over financial reporting (as defined in NI 52-109 and Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that occurred during the quarter ended September 30, 2026, that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

ABBREVIATIONS

The following provides a summary of common abbreviations used in this document:

Financial and Business Environment
$ or C$	Canadian dollars
U.S.	United States
US$	United States dollars

FORWARD-LOOKING INFORMATION

This MD&A may contain forward-looking information concerning the Company’s business, operations and financial performance and condition, as well as the Company’s plans, objectives and expectations for its business operations and financial performance and condition. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as “aim”, “anticipate”, “assume”, “believe”, “contemplate”, “continue”, “could”, “due”, “estimate”, “expect”, “goal”, “intend”, “may”, “objective”, “plan”, “predict”, “potential”, “positioned”, “pioneer”, “seek”, “should”, “target”, “will”, “would”, and other similar expressions that are predictions of or indicate future events and future trends, or the negative of these terms or other comparable terminology.

These forward-looking statements include, but are not limited to, statements about:

•the anticipated benefits of and the Company’s intentions with respect to the Rise Rewards loyalty program;

•the expected timing of the receipt of the EU-GMP certification for the Company’s Atholville facility and the anticipated benefits of such certification;

•the uncertainties created by, and impacts on the Company associated with, U.S. tariffs and the related Canadian countermeasures;

•the timing and outcomes related to tariff negotiations and agreements between Canada and the U.S.;

•the Company’s strategy;

•expectations with respect to retail and investment operations;

•expectations with respect to the impact of not proceeding with the Second Closing;

•the anticipated benefits to the Company with respect to the 1CM Transaction;

•the Company’s intentions with respect to the Cost Cannabis and T Cannabis brands and integration with SNDL;

•expectations related to shareholder value and the Company’s financial performance;

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•the timing and completion of the Company’s share repurchase program and any benefits related thereto;

•expectations with respect to pursuing a possible SIB, including the timing and outcome of such SIB, and any benefits to shareholders or the Company related thereto;

•expectations with respect to the Company’s restructuring project;

•expectations with respect to the Company’s joint venture interest in SunStream;

•the timing and expectations related to the Company gaining direct control of Parallel’s medical cannabis operations in Florida, Texas and Massachusetts;

•the impact of consolidating cannabis segments;

•the Company’s continued use of its share repurchase program;

•the Company’s ability to adjust its capital resources;

•the Company’s liquidity needs, including its ability to source its liquidity requirements;

•the sufficiency of the Company’s capital resources;

•risks associated with financial instruments and the methods by which the Company manages such risks;

•expectations with respect to various contingencies, including the impact of such on the Company’s financial statements;

•the impact of changes to critical accounting estimates and new accounting pronouncements; and

•expectations with respect to remediation measures to control deficiencies.

Although the forward-looking statements contained in this MD&A are based on assumptions that the Company believes are reasonable, you are cautioned that actual results and developments (including Company results of operations, financial condition and liquidity, and the development of the industry in which the Company operates) may differ materially from those made in or suggested by the forward-looking statements contained in this MD&A. In addition, even if results and developments are consistent with the forward-looking statements contained in this MD&A, those results and developments may not be indicative of results or developments in subsequent periods.

Certain assumptions made in preparing the forward-looking statements contained in this MD&A include:

•the Company’s ability to implement its operational and liquidity strategies as well as its strategic initiatives;

•the Company’s competitive advantages;

•the impact of competition;

•the changes and trends in the cannabis cultivation and retail, and the liquor retail industry;

•changes in laws, rules and regulations;

•the Company’s ability to maintain and renew required licences;

•the Company’s ability to maintain good business relationships with its customers, distributors and other strategic partners;

•the Company’s ability to keep pace with changing consumer preferences;

•the Company’s ability to protect its intellectual property;

•the Company’s ability to identify, finance and consummate acquisitions on attractive terms, integrate acquired companies and to realize the benefits of such acquisitions, including The Valens Company Inc. and the 1CM Stores;

•the Company’s ability to retain key personnel;

•the Company’s ability to efficiently deploy capital and achieve its expected and desired returns on such investments;

•the Company’s ability to maintain and keep its public listing on the Nasdaq and the CSE and the liquidity of the trading of its common shares on a publicly listed stock exchange;

•the Company’s ability to obtain relevant regulatory approvals;

•the Company’s ability to open new retail locations and attract a sufficient number of qualified franchisees; and

•the absence of material adverse changes in the Company’s industry or the global economy, including as a result of global economic downturns.

These forward-looking statements are based on current expectations, estimates, forecasts and projections about the Company’s business and the industry in which it operates and management’s beliefs and assumptions and are not guarantees of future performance or development and involve known and unknown risks, uncertainties and other factors that are in some cases beyond its control. As a result, any or all of the forward-looking information in this MD&A may turn out to be inaccurate. Factors that may cause actual results to differ materially from current expectations include, among other things, those listed under the section titled “Risk Factors” in the AIF and otherwise described in this MD&A. Readers of this MD&A are urged to consider these factors carefully in evaluating the forward-looking statements. These forward-looking statements speak only as of the date of this MD&A and, except as required by applicable law, the Company

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assumes no obligation to update or revise these forward-looking statements for any reason, even if new information becomes available in the future. You should, however, review the factors and risks we describe in the reports we will file from time to time with applicable securities regulators, including the Canadian securities regulators and the U.S. Securities and Exchange Commission (the “SEC”), after the date of this MD&A.

This MD&A contains estimates, projections and other information concerning the Company’s industry, its business and the markets for its products. Information that is based on estimates, forecasts, projections, market research or similar methodologies is inherently subject to uncertainties, and actual events or circumstances may differ materially from events and circumstances that are assumed in this information. Unless otherwise expressly stated, the Company obtained this industry, business, market and other data from its own internal estimates and research as well as from reports, research surveys, studies and similar data prepared by market research firms and other third parties, industry, medical and general publications, government data and similar sources. Certain statements included in this MD&A may be considered “financial outlook” for purposes of applicable securities laws, and such financial outlook may not be appropriate for purposes other than this MD&A. The purpose of the financial outlook is to provide readers with disclosure of the Company’s reasonable expectations of its anticipated results. The financial outlook is provided as of the date of this MD&A.

In addition, assumptions and estimates of the Company’s and industry’s future performance are necessarily subject to a high degree of uncertainty and risk due to a variety of factors, including those described in the section titled “Risk Factors” in the AIF and elsewhere in this MD&A. These and other factors could cause the Company’s future performance to differ materially from the Company’s assumptions and estimates. Readers of this MD&A are cautioned against placing undue reliance on forward-looking statements.

Further information regarding the assumptions and risks inherent in the making of forward-looking statements can be found in the AIF, along with the Company’s other public disclosure documents. Copies of the AIF and other public disclosure documents are available under the Company’s profile on the System for Electronic Data Analysis and Retrieval + (“SEDAR+”) at www.sedarplus.ca and on the EDGAR section of the SEC’s website at www.sec.gov.

ADDITIONAL INFORMATION

Additional information relating to the Company, including the Company’s most recent AIF, can be viewed under the Company’s profile on SEDAR+ at www.sedarplus.ca, on the EDGAR section of the SEC’s website at www.sec.gov, or on the Company’s website at www.sndl.com. The information on or accessible through our website is not part of and is not incorporated by reference into this MD&A, and the inclusion of our website address in this MD&A is only for reference.

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EXHIBIT 99.3

Form 52-109F2

Certification of Interim Filings

Full Certificate

I, Zachary George, Chief Executive Officer of SNDL Inc., certify the following:

1. Review: I have reviewed the interim financial report and interim MD&A (together, the “interim filings”) of SNDL Inc. (the “issuer”) for the interim period ended September 30, 2026.

2. No misrepresentations: Based on my knowledge, having exercised reasonable diligence, the interim filings do not contain any untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim filings.

3.Fair presentation: Based on my knowledge, having exercised reasonable diligence, the interim financial report together with the other financial information included in the interim filings fairly present in all material respects the financial condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.

4.Responsibility: The issuer’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as those terms are defined in National Instrument 52-109 Certification of Disclosure in Issuers’ Annual and Interim Filings, for the issuer.

5.Design: Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer’s other certifying officer and I have, as at the end of the period covered by the interim filings

(a) designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance that

(i) material information relating to the issuer is made known to us by others, particularly during the period in which the interim filings are being prepared; and

(ii) information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted by it under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and

(b) designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer’s GAAP.

5.1 Control framework: The control framework the issuer’s other certifying officer and I used to design the issuer’s ICFR is “Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO)”.

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5.2 ICFR – material weakness relating to design: N/A

5.3 Limitation on scope of design: N/A

6. Reporting changes in ICFR: The issuer has disclosed in its interim MD&A any change in the issuer’s ICFR that occurred during the period beginning on January 1, 2026 and ended on September 30, 2026 that has materially affected, or is reasonably likely to materially affect, the issuer’s ICFR.

Date: October 26, 2026

/s/ Zachary George

_______________________

Zachary George

Chief Executive Officer

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EXHIBIT 99.4

Form 52-109F2

Certification of Interim Filings

Full Certificate

I, Alberto Paredero Quiros, Chief Financial Officer of SNDL Inc., certify the following:

1. Review: I have reviewed the interim financial report and interim MD&A (together, the “interim filings”) of SNDL Inc. (the “issuer”) for the interim period ended September 30, 2026.

2. No misrepresentations: Based on my knowledge, having exercised reasonable diligence, the interim filings do not contain any untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim filings.

3.Fair presentation: Based on my knowledge, having exercised reasonable diligence, the interim financial report together with the other financial information included in the interim filings fairly present in all material respects the financial condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.

4.Responsibility: The issuer’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as those terms are defined in National Instrument 52-109 Certification of Disclosure in Issuers’ Annual and Interim Filings, for the issuer.

5.Design: Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer’s other certifying officer and I have, as at the end of the period covered by the interim filings

(a) designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance that

(i) material information relating to the issuer is made known to us by others, particularly during the period in which the interim filings are being prepared; and

(ii) information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted by it under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and

(b) designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer’s GAAP.

5.1 Control framework: The control framework the issuer’s other certifying officer and I used to design the issuer’s ICFR is “Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO)”.

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5.2 ICFR – material weakness relating to design: N/A

5.3 Limitation on scope of design: N/A

6. Reporting changes in ICFR: The issuer has disclosed in its interim MD&A any change in the issuer’s ICFR that occurred during the period beginning on January 1, 2026 and ended on September 30, 2026 that has materially affected, or is reasonably likely to materially affect, the issuer’s ICFR.

Date: October 26, 2026

/s/ Alberto Paredero Quiros

_______________________

Alberto Paredero Quiros

Chief Financial Officer

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Filing Exhibits & Attachments

4 documents

Press Releases

• EX-99.1 EX-99.1 2.4 MB
• EX-99.2 EX-99.2 1.8 MB
• EX-99.3 EX-99.3 23.0 KB
• EX-99.4 EX-99.4 23.2 KB