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DISCIPLINED CAPITAL ALLOCATION, POSITIONED FOR STRATEGIC GROWTH THIRD QUARTER 2025 NOVEMBER 5, 2025 CSE: CL OTC: CRLBF
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Forward-Looking Information and Statements This presentation contains “forward-looking information” within the meaning of applicable Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of the control of Cresco Labs Inc. (“Cresco Labs”), including statements regarding Cresco Labs’ expected financial performance, the current and projected market and growth opportunities for the company, and the timing and completion of announced acquisitions, including all required conditions thereto. Often, but not always, such forward-looking information or forward- looking statements can be identified by the use of forward-looking terminology such as, ‘may,’ ‘will,’ ‘should,’ ‘could,’ ‘would,’ ‘expects,’ ‘plans,’ ‘anticipates,’ ‘believes,’ ‘estimates,’ ‘projects,’ ‘predicts,’ ‘potential’ or ‘continue’ or the negative of those forms or other comparable terms. Forward-looking statements and information involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Cresco Labs or its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including but not limited to those risks contained in the public filings of Cresco Labs filed with Canadian securities regulators and available under Cresco Labs’ profile on SEDAR at www.sedar.com, including the information under the heading “Risk Factors” in Cresco Labs’ annual information form for the year ended December 31, 2024, and with the United States Securities and Exchange Commission (the “SEC”) through EDGAR at www.sec.gov/edgar, including Cresco Labs’ annual report on Form 40-F for the year ended December 31, 2024; and other factors, many of which are beyond the control of Cresco Labs. In respect of the forward-looking statements, Cresco Labs has provided certain statements and information in reliance on certain assumptions that it believes reasonable at this time. Although Cresco Labs believes that the assumptions and factors used in preparing the forward-looking information or statements in this presentation are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. Should one or more of the foregoing risks or uncertainties materialize, or should assumptions underlying the forward-looking information or statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although Cresco Labs has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated,estimated or intended. The forward-looking information and forward-looking statements included in this presentation are made as of the date of this presentation and Cresco Labs does not undertake any obligation to publicly update such forward-looking information or forward-looking information to reflect new information, subsequent events or otherwise unless required by applicable securities laws. Non-GAAP Financial Measures This presentation reports its financial results in accordance with U.S. GAAP and includes certain non-GAAP financial measures that do not have standardized definitions under U.S. GAAP. The non-GAAP measures include: Earnings before interest, taxes, depreciation and amortization (“EBITDA”); Adjusted EBITDA; Adjusted EBITDA margin; Adjusted gross profit; Adjusted gross profit margin; Adjusted selling, general and administrative expenses (“Adjusted SG&A”), Adjusted SG&A margin; and Free Cash Flow are non-GAAP financial measures and do not have standardized definitions under U.S. GAAP. The Company defines these non-GAAP financial measures as follows: EBITDA as net loss (income) before interest, taxes, depreciation and amortization; Adjusted EBITDA as EBITDA less other (expense) income, net, fair value mark-up for acquired inventory, adjustments for acquisition and non-core costs, impairment and share-based compensation; Adjusted EBITDA Margin as Adjusted EBITDA divided by revenues, net; Adjusted gross profit as gross profit less fair value mark-up for acquired inventory and adjustments for acquisition and non-core costs; Adjusted gross profit margin as Adjusted gross profit divided by revenues, net; Adjusted SG&A as SG&A less adjustments for acquisition and non-core costs; Adjusted SG&A margin as Adjusted SG&A divided by revenues, net; and Free Cash Flow as Net cash provided by operating activities less purchases of property and equipment and proceeds from tenant improvement allowances. The Company has provided the non-GAAP financial measures, which are not calculated or presented in accordance with U.S. GAAP, as supplemental information and in addition to the financial measures that are calculated and presented in accordance with U.S. GAAP and may not be comparable to similar measures presented by other issuers. These supplemental non-GAAP financial measures are presented because management has evaluated the financial results both including and excluding the adjusted items and believe that the supplemental non-GAAP financial measures presented provide additional perspective and insights when analyzing the core operating performance of the business. These supplemental non-GAAP financial measures should not be considered superior to, as a substitute for or as an alternative to, and should only be considered in conjunction with, the U.S. GAAP financial measures presented herein. Accordingly, the Company has included below reconciliations of the supplemental non-GAAP financial measures to the most directly comparable financial measures calculated and presented in accordance with U.S. GAAP. 2 DISCLAIMER
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3 (1) Based on Q3 2025 Hoodie Data (2) As of September 30th, 2025 (3) Based on internal and state data $59M (36%) $106M (64%)$165M Q3 2025 Net Revenue CRESCO LABS AT-A-GLANCE Leading Wholesaler of Branded Cannabis Products and Highly Productive Dispensaries WHOLESALE RETAIL Leading Portfolio of Brands #1 Market Share in Multiple Billion Dollar Markets1 Investing in Exclusive Genetics, Technology and Automation 71 Operating Stores2 Retail Network Outperforms Fair Share3 Proprietary Retail E-comm Platform and Loyalty Program Delivering Growth
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2025 GROWTH PRIORITIES Creating the Strongest and Most Valuable Cresco Labs STRATEGIC FOOTPRINT GROWTH HIGHLY PRODUCTIVE RETAIL EXPANSION BEYOND THE CORE Maximize core & new market opportunities Expand retail network & efficiency Expand into new growth platforms 4
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Topline Revenue of $165 Million, strong brand performance and retail productivity helping to offset price compression Q3 2025 RESULTS Flexibility and financial strength needed to navigate market volatility as we prepare to invest thoughtfully for long-term growth Refinanced Senior Secure Loan pushed back maturity date to 2030 YTD Free Cash Flows of $20 Million while continuing to invest in wholesale and retail capabilities and sustained innovation. KEY METRICS, Q3 2025 ($ in millions) Total Revenue $164.9 Q2 to Q3 % Growth / (Decline) 0.8% Adj. Gross Profit $80.5 Adj. Gross Margin 48.8% Adj. EBITDA $39.8 Adj. EBITDA Margin 24.1% Operating Cash Flow $6.2 Free Cash Flow ($1.0) Leverage Annualized Debt to Adj. EBITDA 3.16x 5
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6 -$8M $14M $19M $59M $132M PRIORITIZING CASH GENERATION Improving Efficiency and Cashflow, Redeploying Capital with Better Paybacks and Higher Returns Refinanced senior secured loan with a new $325 million credit facility maturing in 2030 – leaving Cresco Labs with no near-term debt maturities. ANNUAL OPERATING CASH FLOW Generated ~$45 million in operating cash flow in 2025 YTD paid down ~$35 million in debt and ended the quarter with ~82 million in cash and cash equivalents (incl. restricted cash).
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WHOLESALER & DISTRIBUTOR OF AMERICA’S LEADING CANNABIS BRANDS 13 Production Sites 1 million total cultivation facility square footage #1 Market Share in multiple $1 billion+ markets
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PROVEN DEPTH IN WHOLESALE Winning with Quality Products and Innovative Infusion BESTBETTERGOOD FLOWER VAPES CONCENTRATES EDIBLES MEDICINALS
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HIGHLY PRODUCTIVE RETAILER 71 Operating Retail Locations As of September 30, 2025 Outperforming Fair Share 20% more productive than the average store across our footprint Source: Hoodie Analytics as of September 30th 2025 9
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SUNNYSIDE.SHOP An E-Commerce Platform Unlike Any Other – Unparalleled Proprietary Capabilities, Insights and Experience As of September 30th 2025, based on internal and state data. 10 D I G I T A L S H O P P E R 77% of Q3 2025 Customers Were Digital Shoppers C U S T O M E R R E T E N T I O N 62% of Q2 2025 Customers Returned in Q3 2025
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As of September 30, 2025 FL IL KY MA MI NY OH PA TOTAL Population #MM 23.8 12.8 4.6 7.2 10.1 19.9 11.9 13.1 103.4 Legal Status AU / M M Both M Both Both Both1 Both M 6 | AU+M 3 | M 2025E Market Size $B $2.7 $2.1 $0.0 $1.9 $3.5 $1.6 $1.0 $1.3 $14.5 2028E Market Size $B $2.8 $2.2 $0.0 $1.9 $3.9 $2.5 $2.0 $2.4 $18.3 Operational Dispensaries # 30 10 -- 4 -- 3 6 18 71 Dispensary Licenses # 30+2 10 -- 4 -- 4 83 18 74+ Source: Company Reports, BDSA, U.S. Census 1Adult-Use Cannabis Approved; However, Company AU Sales Have Not Commenced 2Unlimited Licenses 3Allowable Under Adult-use program STATE-BY-STATE ASSET SUMMARY Strong Positions in Markets That Matter – Driving Share Leadership Today and Capturing Growth of Tomorrow 11
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FINANCIAL RESULTS
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13Tables may not add due to rounding Fully Diluted Shares Outstanding does not include Super Voting Shares Share Class (# in millions) as of 09/30/2025 Super Voting Shares 0.5 Redeemable Units 87.3 Subordinated Voting Shares 340.5 Proportionate Voting Shares (as converted) 16.6 Dilutive Securities (including all Options, RSUs) 41.9 Total Fully Diluted Shares Outstanding 486.8 Balance ($ in Millions) as of 09/30/2025 Debt Outstanding (ST) $9.8 Debt Outstanding (LT) 415.3 Long-term Leases 144.4 Total Debt $569.5 Cash and Equivalents (incl. restricted cash) 82.0 Net Debt $487.6 SHARES OUTSTANDING NET DEBT FINANCIAL HIGHLIGHTS Capitalization Summary
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14Tables may not add due to rounding For the Three Months Ending September 30 ($ in Millions) Q3 2025 Q3 2024 Revenue, net $164.9 $179.8 Cost of goods sold (COGS) 85.6 86.3 Gross profit 79.4 93.4 Fair value mark-up for acquired inventory 0.0 0.1 COGS adjustments for acquisition and other non-core costs 1.1 1.8 Adjusted gross profit (Non-GAAP) $80.5 $95.3 Adjusted gross profit % (Non-GAAP) 48.8% 53.0% ADJUSTED GROSS PROFIT ADJUSTED EBITDA FINANCIAL HIGHLIGHTS Reconciliation of Non-GAAP Measures For the Three Months Ending September 30 ($ in Millions) Q3 2025 Q3 2024 Net income (loss) ($22.0) ($7.7) Depreciation and amortization 12.9 14.9 Interest expense, net 14.6 15.0 Income tax expense 11.9 19.0 EBITDA (Non-GAAP) $17.3 $41.3 Other expense (income), net 13.4 0.0 Fair value mark-up for acquired inventory 0.0 0.1 Adj. for acquisitions other non-core costs 4.4 4.8 Impairment loss 2.4 2.3 Share-based compensation 2.3 2.8 Adjusted EBITDA (Non-GAAP) $39.8 $51.3 Adjusted EBITDA % 24.1% 28.5%
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15Tables may not add due to rounding For the Three Months Ending September 30 ($ in Millions) Q3 2025 Q3 2024 Selling, general and administrative $51.6 $56.9 Adjustments for acquisition and other non-core costs 3.9 3.4 Adjusted SG&A (Non-GAAP) $47.7 $53.4 Adjusted SG&A % (Non-GAAP) 28.9% 29.7% ADJUSTED SG&A FREE CASH FLOW FINANCIAL HIGHLIGHTS Reconciliation of Non-GAAP Measures For the Three Months Ending September 30 ($ in Millions) Q3 2025 Q3 2024 Net cash provided by (used in) operating activities $6.2 $49.4 Purchases of property and equipment (7.2) (6.1) Proceeds from tenant improvement allowances 0.0 0.3 Free Cash Flow (Non-GAAP) ($1.0) ($43.3)
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INVESTORS investors@crescolabs.com MEDIA press@crescolabs.com GENERAL INQUIRIES 312-929-0993 info@crescolabs.com LIFESTYLE THANK YOU