EXHIBIT 99.2

SNDL Inc.

Management’s Discussion and Analysis

For the three and six months ended June 30, 2025

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 six months ended June 30, 2025 is dated July 30, 2025. 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 six months ended June 30, 2025 (the “Interim Financial Statements”) and the audited consolidated financial statements and notes thereto for the year ended December 31, 2024 (the “Audited Financial Statements”) and the risks identified in the Company’s Annual Information Form for the year ended December 31, 2024 (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

SNDL operates under four reportable segments:

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 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 and derivative instruments issued by United States 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 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.

RECENT DEVELOPMENTS

Rise Rewards Loyalty Program

On April 22, 2025, the Company announced the launch of its Rise Rewards loyalty program, 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. The Company intends to expand the program across its retail banners in the future.

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”). The Company has also paid a deposit of $1.0 million to be held in escrow until the 1CM Transaction closes.

Under the terms of the 1CM Agreement, the Company will 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 “Closing”). The 1CM Stores are comprised of 2 stores in Alberta, 3 stores in Saskatchewan and 27 stores located in Ontario.

The 1CM Transaction is 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.

Closing remains subject to the satisfaction of certain customary closing conditions, including certain outstanding regulatory approvals. Subject to the satisfaction or waiver of all of the conditions to the Closing, the 1CM Transaction is expected to be completed in the third quarter of 2025.

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

OTHER DEVELOPMENTS

U.S. TARIFFS

In early 2025, the U.S. administration imposed certain tariffs on imports from certain countries, including Canada, and in response, the Canadian administration imposed their own tariffs on imports from the United States. It has been reported that the U.S. and Canadian administrations are currently negotiating a new trade agreement to cover goods not subject to the Canada–United States–Mexico Agreement (CUSMA), though the scope and terms of such an agreement, if any, are unknown. Such announcements and further potential retaliatory tariffs 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 have repercussions on SNDL.

In response to the new tariffs imposed by the U.S., several Canadian provinces have taken retaliatory measures by removing U.S. alcohol from store shelves and restaurant, bar and retailer fulfillment catalogues. Recently, some provinces, including Alberta, have lifted their ban on U.S. liquor imports, however, there remains a 25% retaliatory tariff in place.

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 first half of 2025.

CSE LISTING

On April 11, 2025, the Company announced that its common shares had commenced trading on the CSE under the symbol “SNDL”, effective April 11, 2025. The CSE listing provides the Company additional flexibility as it continues to scale its operations and capitalize on emerging opportunities, as well as provide the Company’s shareholders with the opportunity to transact in a Canadian market, in Canadian dollars. The Company’s common shares trade on the CSE in Canadian dollars and continue to trade on the Nasdaq in U.S. dollars.

share repurchase program

On November 14, 2024, 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, 2024. The share repurchase program authorizes the Company to repurchase up to $100 million of its outstanding common shares through open market purchases at prevailing market prices. SNDL may purchase up to a maximum of approximately 13.2 million common shares under the share repurchase program, representing approximately 5% of the issued and outstanding common shares as at the date of announcement, and will expire on November 20, 2025. 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.

On April 30, 2025, the Board approved an amendment to the Company’s share repurchase program to increase the maximum number of common shares that the Company may repurchase up to 10% of the public float of the Company.

No common shares were repurchased during the three months ended June 30, 2025. For the six months ended June 30, 2025, the Company purchased and cancelled 5.8 million common shares at a weighted average price, excluding commissions, of $2.57 (US$1.79) per common share for a total cost of $15.0 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.

CONSOLIDATED RESULTS

General and administrative

General and administrative expenses for the three months ended June 30, 2025 were $45.4 million compared to $48.0 million for the three months ended June 30, 2024. The decrease of $2.6 million was mainly due to decreases in salaries and wages, consulting fees and professional fees. The decrease in salaries and wages was due to the ongoing restructuring project aimed at reducing corporate overheads. The decrease in consulting fees was mainly due to the timing of various projects aimed at supporting corporate initiatives. The decrease in professional fees was mostly due to public company reporting and legal costs incurred by Nova Cannabis Inc. (“Nova”) in the prior year.

General and administrative expenses for the six months ended June 30, 2025 were $91.7 million compared to $92.7 million for the six months ended June 30, 2024. The decrease of $1.0 million was mainly due to decreases in salaries and wages and professional fees, partially offset by an increase in office and general expenses and other expenses. The decrease in salaries and wages was due to the ongoing restructuring project aimed at reducing corporate overheads. The decrease in professional fees was mostly due to public company reporting and legal costs incurred by Nova in the prior year. The increase in office and general was mainly due to the acquisition of Indiva Limited (“Indiva”) and increases in insurance, licensing and software costs. The increase in other expenses was mainly due to expected credit loss recoveries in the prior period, driven by initiatives focused on collectability as well as having more historical collection data providing better evidence for future collectability estimates.

Share-based compensation

Share-based compensation expense includes the expense related to the Company’s issuance of simple and performance warrants, stock options, 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 also includes the

expense related to Nova and their granting of RSUs and DSUs during the applicable comparative period (which pre-dated the completion of the Nova acquisition on October 21, 2024).

Share-based compensation expense for the three months ended June 30, 2025 was $2.9 million compared to $4.9 million for the three months ended June 30, 2024. The decrease of $2.0 million was due to a decrease in RSU expense and DSU expense. The decrease in RSU expense was caused by 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 caused by the change in fair value of SNDL’s DSUs and Nova DSU expense in the comparative period. Both the current and comparative periods experienced a decrease in fair value resulting from a decrease in SNDL’s share price, however, the current period decrease was more than the comparative period.

Share-based compensation expense for the six months ended June 30, 2025 was $4.3 million compared to $9.7 million for the six months ended June 30, 2024. The decrease of $5.4 million was due to a decrease in RSU expense and DSU expense. The decrease in RSU expense was caused by 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 caused by the change in fair value of SNDL’s DSUs and Nova DSU expense in the comparative period. The six months ended June 30, 2025 had a decrease in fair value resulting from a decrease in SNDL’s share price, whereas the comparative period had an increase in fair value resulting from an increase in SNDL’s share price.

Change in estimate of fair value of derivative warrants

Change in estimate of fair value of derivative warrants is reported within other expenses, net, as disclosed in note 19 in the Interim Financial Statements.

Change in estimate of fair value of derivative warrants for the three months ended June 30, 2025 was a recovery of $13.0 thousand compared to a recovery of $1.8 million for the three months ended June 30, 2024. The change in estimate of fair value of derivative warrants is smaller in the current period due to the expiration of common share purchase warrants that were issued in February 2021 and expired in September 2024. The recovery in the current period is due to a decrease in fair value, mainly due to a decrease in the Company’s closing share price on the Nasdaq from US$1.41 on March 31, 2025 to US$1.21 on June 30, 2025. The recovery in the prior period relates to a decrease in fair value, mainly due to a decrease in the Company’s closing share price on the Nasdaq from US$2.01 on March 31, 2024, to US$1.90 on June 30, 2024.

Change in estimate of fair value of derivative warrants for the six months ended June 30, 2025 was a recovery of $25.0 thousand compared to a recovery of $0.5 million for the six months ended June 30, 2024. The change in estimate of fair value of derivative warrants is smaller in the current period due to the expiration of common share purchase warrants that were issued in February 2021 and expired in September 2024. The recovery in the current period is due to a decrease in fair value, mainly due to a decrease in the Company’s closing share price on the Nasdaq from US$1.79 on December 31, 2024 to US$1.21 on June 30, 2025. The recovery in the prior period relates to a decrease in fair value, mainly due to the approaching expiry date of most of the derivative warrants in the third quarter of 2024.

Operating income (loss)

Operating income for the three months ended June 30, 2025 was $5.0 million compared to a loss of $4.8 million for the three months ended June 30, 2024. The increase in operating income of $9.8 million was due to an increase in gross profit ($9.4 million) and decreases in general and administrative expenses ($2.6 million), share-based compensation expense ($2.0 million) and asset impairment ($2.0 million), partially offset by decreases in investment income ($1.7 million) and share of profit of equity-accounted investees ($5.0 million).

Operating loss for the six months ended June 30, 2025 was $7.1 million compared to $9.2 million for the six months ended June 30, 2024. The decrease in operating loss of $2.1 million was due to an increase in gross profit ($15.7 million) and decreases in general and administrative expenses ($1.0 million), depreciation and amortization expense ($1.5 million), share-based compensation expense ($5.4 million) and asset impairment ($1.7 million), partially offset by decreases in investment income ($2.8 million) and share of profit of equity-accounted investees ($18.6 million) and increases in sales and marketing expense ($1.1 million) and restructuring costs ($1.0 million).

Net EARNINGS (loss)

Net earnings for the three months ended June 30, 2025 was $2.9 million compared to a loss of $5.0 million for the three months ended June 30, 2024. The increase in net earnings of $7.9 million was largely due to an increase in gross profit ($9.4 million) and decreases in general and administrative expenses ($2.6 million), share-based compensation expense ($2.0 million) and asset impairment ($2.0 million), partially offset by decreases in investment income ($1.7 million), share of profit of equity-accounted investees ($5.0 million) and income tax recovery ($1.3 million).

Net loss for the six months ended June 30, 2025 was $11.8 million compared to $9.6 million for the six months ended June 30, 2024. The increase in net loss of $2.2 million was largely due to decreases in investment income ($2.8 million), share of profit of equity-accounted investees ($18.6 million) and income tax recovery ($4.3 million), increases in sales and marketing expense ($1.1 million) and restructuring costs ($1.0 million), partially offset by an increase in gross profit ($15.7 million) and decreases in general and administrative expenses ($1.0 million), depreciation and amortization expense ($1.5 million), share-based compensation expense ($5.4 million) and asset impairment ($1.7 million).

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.

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 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”.

LIQUOR RETAIL SEGMENT RESULTS

Operating income (loss)

Net revenue for the three months ended June 30, 2025 was $141.9 million compared to $140.6 million for the three months ended June 30, 2024. The increase of $1.3 million was due to an increase in overall customer traffic, partly impacted by the timing of holidays, and changing consumer preferences.

Net revenue for the six months ended June 30, 2025 was $251.4 million compared to $256.6 million for the six months ended June 30, 2024. The decrease of $5.2 million was due to a reduction in overall customer traffic and changing consumer preferences.

Cost of sales for liquor retail operations is comprised of the cost of wine, beer and spirits. Cost of sales for the three months ended June 30, 2025 was $105.4 million compared to $104.8 million for the three months ended June 30, 2024. The increase of $0.6 million was due to an overall increase in sales as noted above.

Cost of sales for the six months ended June 30, 2025 was $187.1 million compared to $192.1 million for the six months ended June 30, 2024. The decrease of $5.0 million was due to an overall decrease in sales as noted above.

Gross profit for the three months ended June 30, 2025 was $36.5 million (25.7%) compared to $35.7 million (25.4%) for the three months ended June 30, 2024. The increase of $0.8 million was partly due to the increase in net revenue and cost of sales noted above, and continued focus on private label portfolio.

Gross profit for the six months ended June 30, 2025 was $64.3 million (25.6%) compared to $64.5 million (25.1%) for the six months ended June 30, 2024. The decrease of $0.2 million was partly due to the reduction in net revenue and cost of sales noted above, partially offset by the impact of proprietary licensing arrangements and continued focus on private label portfolio.

During the six months ended June 30, 2024, the Company recorded impairment reversals on right of use assets of $0.3 million and property, plant and equipment of net $0.5 million due to improved store level operating results.

At July 30, 2025, the Ace Liquor store count was 133, the Liquor Depot store count was 19 and the Wine and Beyond store count was 13.

CANNABIS RETAIL SEGMENT RESULTS

Operating income (loss)

Net revenue for the three months ended June 30, 2025 was $84.4 million compared to $76.1 million for the three months ended June 30, 2024. The increase of $8.3 million is mainly attributable to an increase in same store sales, successful conversion of store formats and proprietary licensing arrangements.

Same store sales 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.

Net revenue for the six months ended June 30, 2025 was $161.9 million compared to $147.4 million for the six months ended June 30, 2024. The increase of $14.5 million is mainly attributable to an increase in same store sales, an increase in the number of stores, from both newly opened and acquired stores, successful conversion of store formats and proprietary licensing arrangements.

Cost of sales for the three months ended June 30, 2025 was $62.5 million compared to $56.8 million for the three months ended June 30, 2024. The increase of $5.7 million was due to a corresponding increase in same store sales.

Cost of sales for the six months ended June 30, 2025 was $120.4 million compared to $109.7 million for the six months ended June 30, 2024. The increase of $10.7 million was due to a corresponding increase in same store sales and newly opened and acquired stores.

Gross profit for the three months ended June 30, 2025 was $21.9 million (25.9%) compared to $19.3 million (25.3%) for the three months ended June 30, 2024. The increase of $2.6 million was due to increased corporate store sales.

Gross profit for the six months ended June 30, 2025 was $41.5 million (25.6%) compared to $37.6 million (25.5%) for the six months ended June 30, 2024. The increase of $3.9 million was due to increased corporate store sales and proprietary licensing arrangements which do not have an associated cost of sales.

During the six months ended June 30, 2025, the Company recorded impairment reversals on right of use assets of $1.0 million and property, plant and equipment of $0.8 million due to improved store level operating results. During the six months ended June 30, 2024, the Company recorded net impairments on right of use assets of $1.5 million and property, plant and equipment of $0.6 million due to underperforming operating results of certain stores.

At July 30, 2025, the Spiritleaf store count was 61 (4 corporate stores and 57 franchise stores) and the Value Buds store count was 123 corporate stores.

CANNABIS OPERATIONS SEGMENT RESULTS

Operating income (loss)

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 June 30, 2025 was $35.8 million compared to $25.0 million for the three months ended June 30, 2024. The increase of $10.8 million was mainly due to the impact of sales from the acquisition of Indiva and increased wholesale sales, partially offset by a decrease in sales to provincial boards.

Net revenue for the six months ended June 30, 2025 was $70.2 million compared to $47.4 million for the six months ended June 30, 2024. The increase of $22.8 million was mainly due to the impact of sales from the acquisition of Indiva and increased wholesale sales, partially offset by a decrease in sales to provincial boards.

Cost of sales for the three months ended June 30, 2025 were $26.6 million compared to $21.8 million for the three months ended June 30, 2024. The increase of $4.8 million was mainly due to an increase in cost of sales correlating to increased revenue, partially offset by a decrease in inventory impairment and obsolescence of $0.8 million based on improved product management and demand planning.

Cost of sales for the six months ended June 30, 2025 were $51.7 million compared to $41.0 million for the six months ended June 30, 2024. The increase of $10.7 million was mainly due to an increase in cost of sales correlating to increased revenue, partially offset by a decrease in inventory impairment and obsolescence of $2.2 million based on improved product management and demand planning.

Gross profit for the three months ended June 30, 2025 was $9.2 million (25.8%) compared to $3.2 million (12.7%) for the three months ended June 30, 2024. The increase of $6.0 million was due to the increase in net revenue, decrease in inventory impairment and obsolescence and increased production efficiencies, as noted above.

Gross profit for the six months ended June 30, 2025 was $18.4 million (26.3%) compared to negative $6.4 million (13.5%) for the six months ended June 30, 2024. The increase of $12.0 million was due to the increase in net revenue, decrease in inventory impairment and obsolescence and increased production efficiencies, as noted above.

The increase in general and administrative expenses for the three and six months ended June 30, 2025 was mainly due to the impact of the Indiva acquisition, increases in employment and maintenance costs and the reversal of expected credit losses in the comparative period.

During the six months ended June 30, 2025, the Company recorded impairments on property, plant and equipment of $2.7 million due to the consolidation of the Company’s edible facilities as part of its integration strategy. During the six months ended June 30, 2024, the Company recorded impairments on assets held for sale of $1.3 million due to secondary commercial real estate market conditions.

INVESTMENTS SEGMENT RESULTS

Operating income (loss)

Investment income for the three months ended June 30, 2025 was $1.5 million compared to income of $3.2 million for the three months ended June 30, 2024. The decrease of $1.7 million was mainly due to lower interest revenue in the current period caused by the reimbursement of principal and interest owed on a convertible debenture in July 2024, the reimbursement of principal owed on a promissory note in November 2024 and a decrease in interest revenue from cash.

Investment income for the six months ended June 30, 2025 was $4.4 million compared to income of $7.2 million for the six months ended June 30, 2024. The decrease of $2.8 million was mainly due to lower interest revenue in the current period caused by the reimbursement of principal and interest owed on a convertible debenture in July 2024, the reimbursement of principal owed on a promissory note in November 2024 and a decrease in 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 United States based cannabis businesses.

Share of profit of equity-accounted investees for the three months ended June 30, 2025 was $0.3 million compared to profit of $5.3 million for the three months ended June 30, 2024. The decrease of $5.0 million was due to accounting fair value adjustments to the investments.

Share of loss of equity-accounted investees for the six months ended June 30, 2025 was $4.2 million compared to profit of $14.4 million for the six months ended June 30, 2024. The decrease of $18.6 million was due to accounting fair value adjustments to the investments.

SELECTED QUARTERLY INFORMATION

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

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

LIQUIDITY AND CAPITAL RESOURCES

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.

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 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 is 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.

Debt

As at June 30, 2025, the Company had no outstanding bank debt or other debt.

Equity

As at June 30, 2025, the Company had the following share capital instruments outstanding:

Common shares were issued during the six months ended June 30, 2025 in connection with the following transactions:

As at July 30, 2025, a total of 257.4 million common shares were outstanding.

Cash Flow Summary

Cash Flow – Operating Activities

Net cash provided by operating activities was $6.1 million for the three months ended June 30, 2025 compared to $4.7 million provided by operating activities for the three months ended June 30, 2024. The increase of $1.4 million was due to an increase in net earnings adjusted for non-cash items, partially offset by the change in non-cash working capital. The change in non-cash working capital is comprised of changes in inventory, accounts receivable, prepaid expenses and deposits and accounts payable.

Net cash provided by operating activities was $13.9 million for the six months ended June 30, 2025 compared to $8.0 million provided by operating activities for the six months ended June 30, 2024. The increase of $5.9 million was due to a decrease in net loss adjusted for non-cash items, partially offset by the change in non-cash working capital. The change in non-cash working capital is comprised of changes in inventory, accounts receivable, prepaid expenses and deposits and accounts payable.

Cash Flow – Investing Activities

Net cash used in investing activities was $7.2 million for the three months ended June 30, 2025 compared to $1.3 million used in investing activities for the three months ended June 30, 2024. The increase of $5.9 million was primarily due to additions to investments at fair value through other comprehensive income, partially offset by capital distributions from equity-accounted investees.

Net cash provided by investing activities was $10.0 million for the six months ended June 30, 2025 compared to $3.0 million used in investing activities for the six months ended June 30, 2024. The increase of $13.0 million was primarily due to the repayment of the Delta 9 Cannabis Inc. commercial mortgage and capital distributions from equity-accounted investees, partially offset by additions to investments at fair value through other comprehensive income.

Cash Flow – Financing Activities

Net cash used in financing activities was $11.6 million for the three months ended June 30, 2025 compared to $9.4 million used in financing activities for the three months ended June 30, 2024. The increase of $2.2 million was largely due to an increase in payments on lease liabilities.

Net cash used in financing activities was $34.1 million for the six months ended June 30, 2025 compared to $17.1 million used in financing activities for the six months ended June 30, 2024. The increase of $17.0 million was largely due to repurchases of common shares in the current period.

Free cash flow