Cann Group Turns EBITDA Positive, Eyes European Export Growth
Cann Group Limited has reported its first-ever EBITDA-positive month in August 2025, driven by strong B2B flower sales and disciplined cost management. The company is advancing export negotiations in Europe and preparing to launch a new Botanitech product range.
- First-ever EBITDA-positive result in August 2025
- Strong growth in B2B flower sales and new cultivar demand
- Progressing export negotiations with Germany, Poland, UK, and Malta
- Upcoming launch of new Botanitech product range
- Ongoing refinancing and R&D tax credit drawdowns supporting financial health
August 2025 Marks a Financial Turning Point
Cann Group Limited has achieved a significant milestone by reporting a positive EBITDA result for August 2025, its first since commissioning its flagship Mildura facility. This financial turnaround is underpinned by robust B2B flower sales and a disciplined approach to cost management, with operating expenses falling compared to both the prior year and budget forecasts.
B2B Sales Momentum and Product Innovation
The company continues to see strong repeat purchasing from its B2B customers, with demand expanding for new cultivars sourced through its international genetics scouting program. These additions align closely with customer preferences around colour, aroma, terpene profiles, and THC potency. Leveraging GMP-certified, fully packaged products, Cann is enhancing operational efficiency at its Mildura scale facility.
Export Opportunities Gaining Traction
Cann is actively progressing export negotiations with distributors in key European markets including Germany, Poland, the UK, and Malta. The company is focused on meeting Germany’s stringent import standards, a critical step to accessing this high-value market. Favorable domestic pricing alternatives support improved margins as export momentum builds.
Expanding the Botanitech Portfolio
Product innovation remains central to Cann’s strategy. The company plans to launch an expanded Botanitech range next month, including new cultivars under its NRG Genetics program and two new therapeutic gummies targeting emerging cannabinoid preferences. Additionally, commercial orders for rosin derived from flower trim material signal a promising new ingredient pathway for future formulations.
Financial Position Strengthened by R&D Credits and Refinancing
On September 22, Cann received a further $263,000 drawdown from its R&D tax credit facility, with an additional $350,000 expected soon. These inflows are aiding repayment of Radium Capital loans and supporting ongoing refinancing efforts. The company anticipates releasing its full FY25 annual report and FY26 outlook in the coming weeks, which should provide a comprehensive update on its financial and operational trajectory.
Bottom Line?
Cann Group’s positive EBITDA and export progress set the stage for a pivotal FY26, but execution risks remain.
Questions in the middle?
- How quickly can Cann secure regulatory approvals to scale exports in Europe?
- What impact will the new Botanitech products have on revenue growth and margins?
- How will the refinancing terms affect Cann’s financial flexibility and cost of capital?
