Knight Therapeutics Reports Third Quarter 2026 Results
| SELECT FINANCIAL RESULTS REPORTED UNDER IFRS [In thousands of Canadian dollars] | ||||||||||||||||||
| Change | Change | |||||||||||||||||
| Q3-26 | Q3-25 | $1 | %2 | YTD-26 | YTD-25 | $1 | %2 | |||||||||||
| Revenues | 137,691 | 121,548 | 16,143 | 13% | 430,342 | 316,982 | 113,360 | 36% | ||||||||||
| Gross margin | 68,431 | 55,810 | 12,621 | 23% | 207,155 | 135,507 | 71,648 | 53% | ||||||||||
| Gross margin % | 50 % | 46% | 48 % | 43% | ||||||||||||||
| Selling and marketing | 22,082 | 17,908 | (4,174 | ) | 23% | 64,257 | 47,506 | (16,751 | ) | 35% | ||||||||
| General and administrative | 16,209 | 13,116 | (3,093 | ) | 24% | 45,117 | 41,149 | (3,968 | ) | 10% | ||||||||
| Research and development | 9,789 | 8,694 | (1,095 | ) | 13% | 29,760 | 19,761 | (9,999 | ) | 51% | ||||||||
| Amortization of intangible assets | 14,809 | 15,446 | 637 | 4% | 42,941 | 35,651 | (7,290 | ) | 20% | |||||||||
| Remeasurement of contingent consideration | 12,093 | - | (12,093 | ) | N/A | 12,771 | - | (12,771 | ) | N/A | ||||||||
| Operating expenses | 74,982 | 55,164 | (19,818 | ) | 36% | 194,846 | 144,067 | (50,779 | ) | 35% | ||||||||
| Operating (loss) income | (6,551 | ) | 646 | (7,197 | ) | N/A | 12,309 | (8,560 | ) | 20,869 | N/A | |||||||
| Net (loss) income for the period | (2,680 | ) | (3,791 | ) | 1,111 | 29% | 7,128 | (14,228 | ) | 21,356 | N/A |
1 A positive variance represents a positive impact to net income (loss) and a negative variance represents a negative impact to net income (loss).
2 Percentage change is presented in absolute values.
Revenues: For the quarter ended September 30, 2026, revenues increased by $16,143 or 13% compared to the same period in the prior year. This increase was primarily driven by the growth of our promoted products in Canada and Latin America, and the appreciation of LATAM currencies, partly offset by the purchasing patterns of certain customers. On a constant currency1 basis, the increase in revenues was $5,487 or 4%, driven by the following:
- The Promoted Portfolio grew by $7,531 or 10%.
- This growth was mainly driven by Myfembree®, Imvexxy®, Envarsus®PA, Orgovyx®, Minjuvi®, Pemazyre®, Bapocil®, Akynzeo®, Xcopri®, Jornay PM® and Cresemba®. Partly offset by the purchasing patterns of certain customers.
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1 Refer to Section - Financial Results under Non-IFRS measures for additional details.
Our revenues by product portfolio are as follows:
| Change | ||||||||
| Product Portfolio | Q3-26 | Q3-251 | $ | % | ||||
| Promoted | ||||||||
| Launched Pipeline Productsa | 21,162 | 8,776 | 12,386 | 141% | ||||
| Strategic Productsb | 64,850 | 62,362 | 2,488 | 4% | ||||
| Total Promoted | 86,012 | 71,138 | 14,874 | 21% | ||||
| Maturec | 51,637 | 49,068 | 2,569 | 5% | ||||
| Discontinuedd | 42 | 1,342 | (1,300 | ) | 97% | |||
| Total Revenues | 137,691 | 121,548 | 16,143 | 13% | ||||
| Definitions | ||||||||
| a: Promoted products currently in the early stage of launch, typically having been introduced to the market within the past five years. b: Promoted products that have reached, or are approaching, their peak potential, typically having been introduced to the market over five years ago. c: Products that require lower levels of promotional activity and/or have reached their peak potential. d: Products that the Company has stopped commercializing or is in the process of discontinuing. | ||||||||
| 1Comparative figures have been reclassified to align with the three-month period ended September 30, 2026 reporting presentation. These reclassifications had no impact on total revenues. | ||||||||
- Promoted Portfolio: For the quarter ended September 30, 2026, the Promoted Portfolio increased by $14,874 or 21% driven by:
- The Launched Pipeline Products grew by $12,386 or 141% and on a constant currency1 basis by $12,205 or 137% driven by our product launches in Canada and Latin America including Orgovyx®, Imvexxy®, Xcopri®, Myfembree®, Jornay PM® and Minjuvi®. The Strategic Products increased by $2,488 or 4% and, on a constant currency1 basis, decreased by $4,674 or 7%, driven by the purchasing patterns of certain customers and a decline in revenue of Lenvima® in Colombia due to price reductions under the direct price control regime, partly offset by the growth in our promoted strategic products including Cresemba®, Akynzeo® and Envarsus®PA. Excluding the impact of the purchasing patterns of certain customers, the Strategic Products grew by $2,253 or 3%.
- Mature Portfolio: For the quarter ended September 30, 2026, the Mature Portfolio increased by $2,569 or 5% and decreased on a constant currency1 basis by $741 or 1%. The variances were not significant.
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1 Refer to Section - Financial Results under Non-IFRS measures for additional details.
Gross margin: For the quarter ended September 30, 2026, gross margin was $68,431 or 50%, compared to $55,810 or 46% in Q3-25. Adjusted Gross Margin1 was $69,706 in Q3-26, an increase of $9,808 compared to Q3-25, due to the growth of revenues. The Adjusted Gross Margin1 as a % of Adjusted Revenues1, was 51% in Q3-26 compared to 49% in Q3-25. The increase was mainly due to product mix.
Selling and marketing (“S&M”) expenses: For the quarter ended September 30, 2026, S&M expenses increased by $4,174 or 23% and by $2,874 or 15% on a constant currency1 basis. The increase was driven by an expansion in our sales structure to support our launches and re-launches in Canada, Brazil and Mexico. In addition to structure, the increase included incremental promotion and marketing expenses for our Launched Pipeline Products, including Orgovyx®, Myfembree®, Xcopri®, Jornay PM®, Wynzora®, Durivast®, Minjuvi®, and Tavalisse®.
General and administrative (“G&A”) expenses: For the quarter ended September 30, 2026, G&A expenses increased by $3,093 or 24% and by $2,902 or 22% on a constant currency1 basis. The increase was mainly driven by an increase in our structure and in administrative costs to support our larger portfolio, as well as higher professional and legal fees. These fees include the legal expenses in connection with tax litigation in Canada and Brazil.
Research and development (“R&D”) expenses: For the quarter ended September 30, 2026, R&D expenses increased by $1,095 or 13% and by $468 or 5% on a constant currency1 basis. The variance was not significant.
Remeasurement of contingent consideration: For the quarter ended September 30, 2026, remeasurement of contingent consideration increased by $12,093. The increase reflects additional sales milestones that Knight now expects to achieve under the Paladin transaction, based on higher expected peak revenues for a launched pipeline product, taking into consideration its performance since launch.
Net loss: For the quarter ended September 30, 2026, the net loss was $2,680 compared to a net loss of $3,791 for the same period in prior year. The variance was mainly driven by the above-mentioned items, as well as changes in amortization of intangible assets, net gain on financial assets measured at fair value through profit or loss, foreign exchange gain, gain on hyperinflation, interest expense, and income tax recovery.
| SELECT BALANCE SHEET ITEMS [In thousands of Canadian dollars] | ||||||||
| Change | ||||||||
| As at | September 30, 2026 | December 31, 2025 | $ 1 | % 2 | ||||
| Cash, cash equivalents and marketable securities | 136,887 | 95,283 | 41,604 | 44% | ||||
| Trade and other receivables | 185,426 | 178,598 | 6,828 | 4% | ||||
| Inventories | 137,081 | 135,866 | 1,215 | 1% | ||||
| Financial assets | 76,734 | 98,430 | (21,696 | ) | 22% | |||
| Intangible assets | 344,856 | 379,510 | (34,654 | ) | 9% | |||
| Accounts payable and accrued liabilities | 142,620 | 125,755 | (16,865 | ) | 13% | |||
| Bank loans | 22,349 | 67,895 | 45,546 | 67% |
1 A positive variance represents a positive impact to net assets and a negative variance represents a negative impact to net assets.
2 Percentage change is presented in absolute values.
Cash, cash equivalents and marketable securities: As at September 30, 2026, cash, cash equivalents and marketable securities were $136,887, an increase of $41,604 or 44%, compared to December 31, 2025. The increase was mainly driven by operating cash inflows of $96,306 and proceeds of $21,500 for the return of the Canadian commercial rights for certain non-core products, partly offset by net principal repayments on bank loans of $49,893, investment in intangible assets of $9,918, the repurchase of common shares under the NCIB of $9,275, a holdback payment of $8,442 related to the Paladin transaction, and the acquisition of a manufacturing facility in Argentina of $2,950.
Intangible assets: As at September 30, 2026, intangible assets were $344,856, a decrease of $34,654 or 9%, compared to December 31, 2025, primarily due to amortization of $42,941 and derecognition of $17,000 of intangible assets related to the return of the Canadian commercial rights for certain non-core products, partly offset by additions of $14,477 for sales milestones and foreign exchange revaluation. The addition reflects sales milestones that the Company now expects to achieve, based on higher expected peak revenues for multiple launched pipeline products, taking into consideration their performance since launch.
Bank loans: As at September 30, 2026, bank loans were $22,349, a decrease of $45,546 or 67%, compared to December 31, 2025, mainly due to the repayment of $40,000 on the revolving credit facility, as well as repayments on the Bancolombia and IFC loans.
Q3-26 Product Updates
Poteligeo® (mogamulizumab)
Knight entered into an exclusive distribution agreement with Kyowa Kirin International under which Knight will be responsible for obtaining regulatory approval and commercializing mogamulizumab in Brazil, Mexico, Colombia and Argentina. Poteligeo® is approved in the United States and Europe for the treatment of adult patients with relapsed or refractory mycosis fungoides (MF) or Sézary syndrome (SS), after at least one prior systemic therapy.
Oncology/Hematology
Lenvima® (lenvatinib)
Colombia's Ministry of Health published the list of medicines subject to the direct price control regime and added lenvatinib to the list effective on August 19, 2026, which resulted in a decrease in the selling price of lenvatinib. In addition, during Q2-26, INVIMA approved a generic version of lenvatinib 10 mg which has not been launched to date. The Company expects these developments to continue to negatively impact revenues and adjusted EBITDA of Lenvima® in Colombia.
Minjuvi® (tafasitamab)
Follicular lymphoma (FL)
Subsequent to Q3-26, Knight obtained regulatory approval and launched a supplemental indication of Minjuvi® for the treatment of adult patients with relapsed or refractory follicular lymphoma (FL) in Mexico.
First-line diffuse large B-cell lymphoma (DLBCL)
Knight filed a supplemental application in Brazil for Minjuvi® in combination with lenalidomide and R-CHOP (rituximab, cyclophosphamide, doxorubicin, vincristine and prednisone), or tafa-len-R-CHOP, as a first-line treatment for adult patients with previously untreated DLBCL or high-grade B-cell lymphoma (HGBL).
Niktimvo ® (axatilimab)
Subsequent to Q3-26, Knight announced that ANVISA, under the rare disease pathway, approved Niktimvo® in Brazil, for the treatment of chronic graft-versus-host disease (cGVHD) after failure of at least two prior lines of systemic therapy in adult and pediatric patients 6 years and older weighing at least 40 kg. Knight has since submitted Niktimvo® for pricing approval to the Drugs Market Regulation Chamber in Brazil.
Tavalisse®(fostamatinib disodium hexahydrate)
Knight obtained regulatory approval for Tavalisse® in Colombia for the treatment of adult patients with chronic immune thrombocytopenia (ITP) who have had an insufficient response, loss of response, or intolerance to prior treatment with corticosteroids and intravenous immunoglobulin. Knight expects to launch Tavalisse® in Colombia in the first half of 2027. Subsequent to Q3-26, Knight announced the launch of Tavalisse® in Brazil for the treatment of adult patients with ITP who have had an insufficient response to a previous treatment.
Infectious Diseases
Ambisome® (amphotericin B)
In September 2026, a competitor received ANVISA approval for a generic and a branded generic of liposomal amphotericin B. The Company expects this development to negatively impact sales and the Adjusted EBITDA of Ambisome® in Brazil in 2027.
Neurology
Crexont® (carbidopa and levodopa)
Knight received a Notice of Non-Compliance from Health Canada for its New Drug Submission for Crexont®, for the treatment of Parkinson's disease. Knight will work with its partner to prepare a response to Health Canada.
Durivast® (rivastigmine)
Knight launched Durivast® in Colombia for the symptomatic treatment of dementia associated with Alzheimer's disease, administered as a transdermal patch applied twice weekly, on designated days and dementia associated with Parkinson's disease. Subsequent to Q3-26, Durivast® launched in Peru.
Other Specialty
Wynzora® (calcipotriol and betamethasone dipropionate)
Knight launched Wynzora® in Canada for the topical treatment of psoriasis vulgaris in adults and adolescents aged 12 and older.
Gemtesa® (vibegron)
Knight submitted Gemtesa® for regulatory approval in Canada for the treatment of overactive bladder (OAB) with symptoms of urge urinary incontinence, urgency, and urinary frequency in adults, and OAB with symptoms of urge urinary incontinence, urgency, urinary frequency, and nocturia in adult males on pharmacological therapy for benign prostatic hyperplasia.
Financial Outlook1
Pipeline and launched pipeline peak annual revenues guidance increased to over $300,000 1
Knight has raised its estimate of peak annual revenues for its pipeline and launched pipeline products from over $200,000 to over $300,0001. The increase reflects (i) higher expected peak revenues for multiple launched pipeline products, taking into consideration their performance since launch, and (ii) the addition of Poteligeo®. This is the fourth time Knight has raised this guidance, up from over $50,000 in 2022. The current guidance covers more than 75 product launches across Canada and Latin America of which 22 have been launched to date. As a result of the higher peak annual revenue guidance, Knight recognized $27,248 in additional sales milestones that it now expects to achieve, including $12,771 in contingent consideration payable related to the Paladin transaction.
Fiscal Year 2026 revenues and Adjusted EBITDA 2 guidance
Knight has increased its 2026 financial guidance on revenues and Adjusted EBITDA2 as a % of revenues. The Company expects to generate between $560 and $570 million in revenues, up from $540 million to $560 million in revenues, and Adjusted EBITDA2 as a % of revenues is expected to be approximately 17.5%, up from at least 15%. The increase in our outlook is mainly driven by the stronger performance of our promoted products across multiple countries as well as LATAM currencies performing better against the Canadian dollar than previously anticipated.
The guidance is based on a number of assumptions, including but not limited to the following:
- no material impact on revenues due to the application of hyperinflation accounting for Argentina no revenues for business development transactions not completed as at November 4, 2026 no unforeseen termination to our license, distribution and supply agreements no interruptions in supply whether due to global supply chain disruptions or general manufacturing issues no material impact from changes in tariffs, trade barriers, or customs duties no material adverse impact from wars, armed conflicts, or geopolitical hostilities no new generic entrants on our key pharmaceutical brands no unforeseen changes to government mandated pricing regulations successful commercial execution on product listing arrangements with HMOs, insurers, key accounts, and public payers successful execution and uptake of newly launched products no material increase in provisions for inventory or trade receivables no significant variations of forecasted foreign currency exchange rates inflation remaining within forecasted ranges
Should any of the assumptions differ, the financial outlook and the actual results may vary materially. Refer to the risks and assumptions referred to in the Forward-Looking Statements section of this news release for further details.
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1This forward looking information is based on assumptions specific to the nature of the Company's activities with regard to annual revenue growth considering industry information, expected market share, pricing assumptions, actions of competitors, sales erosion rates after the end of patent or other intellectual property rights protection, the timing of the entry of generic competition, the expected results of tenders, among other variables.
2Refer to Section - Financial Results under Non-IFRS measures for additional details.
Conference Call Notice
Knight will host a conference call and audio webcast to discuss its third quarter ended September 30, 2026, today at 8:30 a.m. ET. Knight cordially invites all interested parties to participate in this call.
Date: Thursday, November 5, 2026
Time: 8:30 a.m. ET
Telephone: Toll Free: 1-888-699-1199 or International 1-416-945-7677
Webcast: or Webcast
This is a listen-only audio webcast. Media Player is required to listen to the broadcast.
Replay: An archived replay will be available for 30 days at
About Knight Therapeutics Inc.
Knight Therapeutics Inc., headquartered in Montreal, Canada, is a pharmaceutical company focused on acquiring, in-licensing and commercializing pharmaceutical products for Canada and Latin America. Knight's Latin American subsidiaries operate under United Medical, Biotoscana Farma and Laboratorio LKM. Knight Therapeutics Inc.'s shares trade on the TSX under the symbol GUD. For more information about Knight Therapeutics Inc., please visit the company's website at or .
Forward-Looking Statement
This document contains forward-looking statements for Knight Therapeutics Inc. and its subsidiaries. These forward-looking statements, by their nature, necessarily involve risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements. Knight Therapeutics Inc. considers the assumptions on which these forward-looking statements are based to be reasonable at the time they were prepared but cautions the reader that these assumptions regarding future events, many of which are beyond the control of Knight Therapeutics Inc. and its subsidiaries, may ultimately prove to be incorrect. Factors and risks, which could cause actual results to differ materially from current expectations are discussed in Knight Therapeutics Inc.'s Annual Report and in Knight Therapeutics Inc.'s Annual Information Form for the year ended December 31, 2025 as filed on . Knight Therapeutics Inc. disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information or future events, except as required by law.
CONTACT INFORMATION:
| Investor Contact: | ||
| Knight Therapeutics Inc. | ||
| Samira Sakhia | Arvind Utchanah | |
| President & Chief Executive Officer | Chief Financial Officer | |
| T: 514.484.4483 | T: 514.484.4483 | |
| Email: ... | Email: ... | |
| Website: | Website: | |
HYPERINFLATION
The Company applies IAS 29, Financial Reporting in Hyperinflationary Economies, as its Argentine subsidiary's functional currency is the Argentine Peso. Revenues and operating expenses in ARS are restated for inflation from the month in which they were recorded to the end of the reporting period, using the corresponding factor in the inflation index below.
| January | February | March | April | May | June | July | August | September | |
| 2026 | 1.20 | 1.17 | 1.13 | 1.10 | 1.08 | 1.06 | 1.04 | 1.02 | 1.00 |
| 2025 | 1.19 | 1.17 | 1.12 | 1.09 | 1.08 | 1.06 | 1.04 | 1.02 | 1.00 |
The inflation restatement is calculated on a year-to-date basis, and the restated amounts are translated into CAD at the closing rate for the period.
| September 30, 2026 | September 30, 2025 | |||
| ARS per CAD | 1,074 | 981 |
| Q3-26 | Q3-25 | YTD-26 | YTD-25 | |||||
| ARS Variation %1 | (3)% | (12)% | (1)% | (37)% |
1 Positive variances indicate appreciation of ARS vs CAD, and negative variances depreciation.
Accordingly, the application of hyperinflation accounting under IAS 29 resulted in higher reported revenues and operating expenses, in CAD, for the Company's Argentine subsidiary in both Q3-26 and YTD-26 compared with the corresponding prior-year periods. Under hyperinflation accounting, cost of goods sold denominated in ARS is restated using the inflation index from the inventory purchase or production date to the end of the reporting period and translated into CAD using the applicable quarter-end closing rates.
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1 Appreciation (depreciation) of ARS vs CAD, calculated as (beginning of period rate − end of period rate) / beginning of period rate.
FINANCIAL RESULTS UNDER NON-IFRS MEASURES
[In thousands of Canadian dollars]
The Company discloses Non-IFRS measures and ratios that do not have standardized meanings prescribed by IFRS. The Company believes that shareholders, investment analysts and other readers find such measures helpful in understanding the Company's financial performance. Non-IFRS financial measures and Adjusted EBITDA per share ratio do not have any standardized meaning prescribed by IFRS and may not have been calculated in the same way as similarly named financial measures presented by other companies. The Company uses the following Non-IFRS measures.
[i] Financial results excluding the impact of hyperinflation under IAS 29
The Company applies IAS 29, Financial Reporting in Hyperinflationary Economies, as its Argentine subsidiary's functional currency is the Argentine Peso. To derive this measure, financial results under IFRS are adjusted to remove the impact of hyperinflation under IAS 29. Refer to Section – Hyperinflation for further details.
The Company believes that financial results excluding the impact of hyperinflation under IAS 29 represent a useful measure to investors as they allow results to be viewed without those impacts, thereby facilitating the comparison of results period over period. The presentation of financial results excluding the impact of hyperinflation under IAS 29 is considered to be a Non-IFRS measure and does not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies.
The following tables are reconciliations of financial results under IFRS to financial results excluding the impact of hyperinflation under IAS 29.
| Q3-26 | YTD-26 | |||||||||||
| Reported under IFRS | IAS 29 Adjustment | Excluding the Impact of IAS 29 1 | Reported under IFRS | IAS 29 Adjustment | Excluding the Impact of IAS 29 1 | |||||||
| Revenues | 137,691 | (951 | ) | 136,740 | 430,342 | (2,039 | ) | 428,303 | ||||
| Cost of goods sold | 69,260 | (2,226 | ) | 67,034 | 223,187 | (5,709 | ) | 217,478 | ||||
| Gross margin | 68,431 | 1,275 | 69,706 | 207,155 | 3,670 | 210,825 | ||||||
| Gross margin (%) | 50 % | 51 % | 48 % | 49 % | ||||||||
| Expenses | ||||||||||||
| Selling and marketing | 22,082 | (89 | ) | 21,993 | 64,257 | (258 | ) | 63,999 | ||||
| General and administrative | 16,209 | (134 | ) | 16,075 | 45,117 | (483 | ) | 44,634 | ||||
| Research and development | 9,789 | (167 | ) | 9,622 | 29,760 | (259 | ) | 29,501 | ||||
| Amortization of intangible assets | 14,809 | (302 | ) | 14,507 | 42,941 | (302 | ) | 42,639 | ||||
| Remeasurement of contingent consideration | 12,093 | - | 12,093 | 12,771 | - | 12,771 | ||||||
| Operating (loss) income | (6,551 | ) | 1,967 | (4,584 | ) | 12,309 | 4,972 | 17,281 | ||||
| 1 Non-IFRS measures and do not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. |
| Q3-25 | YTD-25 | |||||||||||
| Reported under IFRS | IAS 29 Adjustment | Excluding the Impact of IAS 291 | Reported under IFRS | IAS 29 Adjustment | Excluding the Impact of IAS 291 | |||||||
| Revenues | 121,548 | 1,080 | 122,628 | 316,982 | 2,166 | 319,148 | ||||||
| Cost of goods sold | 65,738 | (937 | ) | 64,801 | 181,475 | (10,519 | ) | 170,956 | ||||
| Gross margin | 55,810 | 2,017 | 57,827 | 135,507 | 12,685 | 148,192 | ||||||
| Gross margin (%) | 46% | 47% | 43% | 46% | ||||||||
| Expenses | ||||||||||||
| Selling and marketing | 17,908 | 248 | 18,156 | 47,506 | 495 | 48,001 | ||||||
| General and administrative | 13,116 | (422 | ) | 12,694 | 41,149 | (971 | ) | 40,178 | ||||
| Research and development | 8,694 | 161 | 8,855 | 19,761 | 381 | 20,142 | ||||||
| Amortization of intangible assets | 15,446 | - | 15,446 | 35,651 | - | 35,651 | ||||||
| Operating income (loss) | 646 | 2,030 | 2,676 | (8,560 | ) | 12,780 | 4,220 | |||||
| 1 Non-IFRS measure and does not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. | ||||||||||||
Select financial results excluding the impact of hyperinflation under IAS 29 1
| Change | Change | |||||||||||||||
| Q3-26 | Q3-25 | $ | % | YTD-26 | YTD-25 | $ | % | |||||||||
| Adjusted Revenues1 | 136,740 | 122,628 | 14,112 | 12% | 428,303 | 319,148 | 109,155 | 34% | ||||||||
| Cost of goods sold | 67,034 | 64,801 | (2,233 | ) | 3% | 217,478 | 170,956 | (46,522 | ) | 27% | ||||||
| Gross margin | 69,706 | 57,827 | 11,879 | 21% | 210,825 | 148,192 | 62,633 | 42% | ||||||||
| Gross margin (%) | 51 % | 47% | 49 % | 46% | ||||||||||||
| Expenses | ||||||||||||||||
| Selling and marketing | 21,993 | 18,156 | (3,837 | ) | 21% | 63,999 | 48,001 | (15,998 | ) | 33% | ||||||
| General and administrative | 16,075 | 12,694 | (3,381 | ) | 27% | 44,634 | 40,178 | (4,456 | ) | 11% | ||||||
| Research and development | 9,622 | 8,855 | (767 | ) | 9% | 29,501 | 20,142 | (9,359 | ) | 46% | ||||||
| Amortization of intangible assets | 14,507 | 15,446 | 939 | 6% | 42,639 | 35,651 | (6,988 | ) | 20% | |||||||
| Remeasurement of contingent consideration | 12,093 | - | (12,093 | ) | N/A | 12,771 | - | (12,771 | ) | N/A | ||||||
| Operating (loss) income | (4,584 | ) | 2,676 | (7,260 | ) | N/A | 17,281 | 4,220 | 13,061 | 310% | ||||||
| Adjusted EBITDA 1 | 23,802 | 20,987 | 2,815 | 13% | 76,288 | 48,607 | 27,681 | 57% | ||||||||
| Adjusted EBITDA1 (%) | 17 % | 17% | 18 % | 15% | ||||||||||||
| Adjusted EBITDA per share 1,2 | 0.24 | 0.21 | 0.03 | 15% | 0.78 | 0.49 | 0.29 | 59% | ||||||||
| 1 Non-IFRS measures and do not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. | ||||||||||||||||
| 2 Percentages are calculated using unrounded amounts; therefore, percentages presented may not correspond to calculations based on rounded figures. | ||||||||||||||||
Adjusted Revenues 1 by Product Portfolio
| Change | Change | |||||||||||||||
| Product Portfolio | Q3-26 | Q3-252 | $ | % | YTD-26 | YTD-252 | $ | % | ||||||||
| Promoted | ||||||||||||||||
| Launched Pipeline Products | 21,102 | 8,776 | 12,326 | 140% | 54,930 | 15,678 | 39,252 | 250% | ||||||||
| Strategic Products | 64,588 | 62,683 | 1,905 | 3% | 222,919 | 185,382 | 37,537 | 20% | ||||||||
| Total Promoted | 85,690 | 71,459 | 14,231 | 20% | 277,849 | 201,060 | 76,789 | 38% | ||||||||
| Mature | 51,008 | 49,826 | 1,182 | 2% | 147,317 | 115,785 | 31,532 | 27% | ||||||||
| Discontinued | 42 | 1,343 | (1,301 | ) | 97% | 3,137 | 2,303 | 834 | 36% | |||||||
| Total Adjusted Revenues 1 | 136,740 | 122,628 | 14,112 | 12% | 428,303 | 319,148 | 109,155 | 34% | ||||||||
| 1 Excluding the impact of hyperinflation under IAS 29. Adjusted Revenues is a Non-IFRS measure and does not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. | ||||||||||||||||
| 2Comparative figures have been reclassified to align with the three and nine-month periods ended September 30, 2026 reporting presentation. These reclassifications had no impact on total revenues. | ||||||||||||||||
Adjusted Revenues 1 by Therapeutic Area
| Change | Change | |||||||||||||||
| Therapeutic Area | Q3-26 | Q3-252 | $ | % | YTD-26 | YTD-252 | $ | % | ||||||||
| Oncology/Hematology | 46,958 | 38,281 | 8,677 | 23% | 128,888 | 105,406 | 23,482 | 22% | ||||||||
| Infectious Diseases | 33,039 | 37,226 | (4,187 | ) | 11% | 132,783 | 118,965 | 13,818 | 12% | |||||||
| Neurology | 34,757 | 27,098 | 7,659 | 28% | 100,075 | 58,507 | 41,568 | 71% | ||||||||
| Other Specialty | 21,986 | 20,023 | 1,963 | 10% | 66,557 | 36,270 | 30,287 | 84% | ||||||||
| Total Adjusted Revenues 1 | 136,740 | 122,628 | 14,112 | 12% | 428,303 | 319,148 | 109,155 | 34% | ||||||||
| 1 Non-IFRS measure and does not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. | ||||||||||||||||
| 2Comparative figures have been reclassified to align with the three and nine-month periods ended September 30, 2026 reporting presentation. These reclassifications had no impact on total revenues. | ||||||||||||||||
[ii] Financial results at constant currency
Financial results at constant currency are obtained by translating the prior period revenues and financial results from the functional currencies to CAD using the conversion rates in effect during the current period. Furthermore, with respect to Argentina, the Company excludes the impact of hyperinflation and translates the revenues and results at the average exchange rate in effect for each of the periods.
The Company believes that financial results at constant currency represent a useful measure to investors because it eliminates the effect that foreign currency exchange rate fluctuations may have on period-to-period comparability given the volatility in foreign currency exchange markets and therefore, provides greater transparency to the underlying performance of our consolidated financial results. The presentation of revenues and financial results under constant currency is considered to be a Non-IFRS measure and does not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies.
The following tables are reconciliations of financial results excluding the impact of hyperinflation under IAS 29 to financial results and financial results at constant currency for the same period in prior year.
| Q3-26 | Q3-25 | Change | ||||||||||
| Excluding the impact of IAS 29 1 | Excluding the impact of IAS 291 | Constant Currency Adjustment | Constant Currency2 | $ | % | |||||||
| Adjusted Revenues2 | 136,740 | 122,628 | 8,625 | 131,253 | 5,487 | 4% | ||||||
| Cost of goods sold | 67,034 | 64,801 | 4,591 | 69,392 | 2,358 | 3% | ||||||
| Gross margin | 69,706 | 57,827 | 4,034 | 61,861 | 7,845 | 13% | ||||||
| Gross margin (%) | 51 % | 47% | 47% | |||||||||
| Expenses | ||||||||||||
| Selling and marketing | 21,993 | 18,156 | 963 | 19,119 | (2,874 | ) | 15% | |||||
| General and administrative | 16,075 | 12,694 | 479 | 13,173 | (2,902 | ) | 22% | |||||
| Research and development | 9,622 | 8,855 | 299 | 9,154 | (468 | ) | 5% | |||||
| Amortization of intangible assets | 14,507 | 15,446 | 148 | 15,594 | 1,087 | 7% | ||||||
| Remeasurement of contingent consideration | 12,093 | - | - | - | (12,093 | ) | -% | |||||
| Operating (loss) income | (4,584 | ) | 2,676 | 2,145 | 4,821 | (9,405 | ) | N/A | ||||
| Adjusted EBITDA 2 | 23,802 | 23,137 | 665 | 3% | ||||||||
| Adjusted EBITDA2 (%) | 17 % | 18% | ||||||||||
| Adjusted EBITDA per share 2 | 0.24 | 0.23 | 0.01 | 4% | ||||||||
| 1Refer to Subsection - [i] Financial results excluding the impact of hyperinflation under IAS 29 for additional details. | ||||||||||||
| 2Non-IFRS measures and do not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. |
| YTD-26 | YTD-25 | Change | ||||||||||
| Excluding the impact of IAS 29 1 | Excluding the impact of IAS 291 | Constant Currency Adjustment | Constant Currency2 | $ | % | |||||||
| Adjusted Revenues2 | 428,303 | 319,148 | 22,735 | 341,883 | 86,420 | 25% | ||||||
| Cost of goods sold | 217,478 | 170,956 | 12,709 | 183,665 | (33,813 | ) | 18% | |||||
| Gross margin | 210,825 | 148,192 | 10,026 | 158,218 | 52,607 | 33% | ||||||
| Gross margin (%) | 49 % | 46% | 46% | |||||||||
| Expenses | ||||||||||||
| Selling and marketing | 63,999 | 48,001 | 2,586 | 50,587 | (13,412 | ) | 27% | |||||
| General and administrative | 44,634 | 40,178 | 1,076 | 41,254 | (3,380 | ) | 8% | |||||
| Research and development | 29,501 | 20,142 | 755 | 20,897 | (8,604 | ) | 41% | |||||
| Amortization of intangible assets | 42,639 | 35,651 | (213 | ) | 35,438 | (7,201 | ) | 20% | ||||
| Remeasurement of contingent consideration | 12,771 | - | - | - | (12,771 | ) | -% | |||||
| Operating income | 17,281 | 4,220 | 5,822 | 10,042 | 7,239 | 72% | ||||||
| Adjusted EBITDA 2 | 76,288 | 54,252 | 22,036 | 41% | ||||||||
| Adjusted EBITDA2 (%) | 18 % | 16% | ||||||||||
| Adjusted EBITDA per share 2 | 0.78 | 0.54 | 0.23 | 43% | ||||||||
| 1Refer to Subsection - [i] Financial results excluding the impact of hyperinflation under IAS 29 for additional details. | ||||||||||||
| 2Non-IFRS measures and do not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. | ||||||||||||
Adjusted Revenues at Constant Currency 1 by Product Portfolio
| Three-month period ended September 30, | Nine-month period ended September 30, | |||||||||||||||
| Excluding the impact of IAS 291 | ||||||||||||||||
| Constant Currency1 | Constant Currency1 | |||||||||||||||
| Product Portfolio | 2026 | 20253 | $ | % | 2026 | 20253 | $ | % | ||||||||
| Promoted | ||||||||||||||||
| Launched Pipeline Products | 21,102 | 8,897 | 12,205 | 137% | 54,930 | 16,108 | 38,822 | 241% | ||||||||
| Strategic Products | 64,588 | 69,262 | (4,674 | ) | 7% | 222,919 | 202,812 | 20,107 | 10% | |||||||
| Total Promoted | 85,690 | 78,159 | 7,531 | 10% | 277,849 | 218,920 | 58,929 | 27% | ||||||||
| Mature | 51,008 | 51,749 | (741 | ) | 1% | 147,317 | 120,656 | 26,661 | 22% | |||||||
| Discontinued | 42 | 1,345 | (1,303 | ) | 97% | 3,137 | 2,307 | 830 | 36% | |||||||
| Total Adjusted Revenues 1 | 136,740 | 131,253 | 5,487 | 4% | 428,303 | 341,883 | 86,420 | 25% | ||||||||
| 1 Non-IFRS measures and do not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. | ||||||||||||||||
| 2 Refer to Subsection - [i] Financial results excluding the impact of hyperinflation under IAS 29 for additional details. | ||||||||||||||||
| 3Comparative figures have been reclassified to align with the three and nine-month periods ended September 30, 2026 reporting presentation. These reclassifications had no impact on total revenues. | ||||||||||||||||
Adjusted Revenues at Constant Currency 1 by Therapeutic Area
| Three-month period ended September 30, | Nine-month period ended September 30, | |||||||||||||||
| Excluding the impact of IAS 292 | ||||||||||||||||
| Constant Currency1 | Constant Currency1 | |||||||||||||||
| Therapeutic Area | 2026 | 20253 | $ | % | 2026 | 20253 | $ | % | ||||||||
| Oncology/Hematology | 46,958 | 42,099 | 4,859 | 12% | 128,888 | 114,240 | 14,648 | 13% | ||||||||
| Infectious Diseases | 33,039 | 39,840 | (6,801 | ) | 17% | 132,783 | 127,668 | 5,115 | 4% | |||||||
| Neurology | 34,757 | 28,872 | 5,885 | 20% | 100,075 | 62,894 | 37,181 | 59% | ||||||||
| Other Specialty | 21,986 | 20,442 | 1,544 | 8% | 66,557 | 37,081 | 29,476 | 79% | ||||||||
| Total Adjusted Revenues 1 | 136,740 | 131,253 | 5,487 | 4% | 428,303 | 341,883 | 86,420 | 25% | ||||||||
| 1 Non-IFRS measures and do not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. | ||||||||||||||||
| 2 Refer to Subsection - [i] Financial results excluding the impact of hyperinflation under IAS 29 for additional details. | ||||||||||||||||
| 3Comparative figures have been reclassified to align with the three and nine-month periods ended September 30, 2026 reporting presentation. These reclassifications had no impact on total revenues. | ||||||||||||||||
[iii] Adjusted Gross Margin
Adjusted Gross Margin is defined as revenues less cost of goods sold, adjusted for the impact of IAS 29 (accounting under hyperinflation) and the impact in cost of goods sold of the difference between the fair value of inventory acquired and the cost paid in the Paladin transaction, accounted under IFRS 3 - Business Combinations, when the inventory acquired as part of the transaction is sold ("Step-Up Expense"). The Company believes that Adjusted Gross Margin represents a useful measure to investors to assess Gross Margin without the impact of hyperinflation under IAS 29 and Step-Up Expense, thereby facilitating the comparison period over period. The presentation of Adjusted Gross Margin is considered to be a Non-IFRS measure and does not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies.
| Change | Change | |||||||||||||||
| Q3-26 | Q3-25 | $ | % | YTD-26 | YTD-25 | $ | % | |||||||||
| Gross margin | 68,431 | 55,810 | 12,621 | 23% | 207,155 | 135,507 | 71,648 | 53% | ||||||||
| Adjustments to gross margin: | ||||||||||||||||
| Impact of IAS 29 | 1,275 | 2,017 | (742 | ) | 37% | 3,670 | 12,685 | (9,015 | ) | 71% | ||||||
| Step-Up Expense | - | 2,071 | (2,071 | ) | 100% | - | 2,231 | (2,231 | ) | 100% | ||||||
| Adjusted Gross Margin 1 | 69,706 | 59,898 | 9,808 | 16% | 210,825 | 150,423 | 60,402 | 40% | ||||||||
| Adjusted Gross Margin (%)1,2 | 51 % | 49% | 49 % | 47% | ||||||||||||
| 1Non-IFRS measures and do not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. | ||||||||||||||||
| 2 Adjusted Gross Margin as a percentage of Adjusted Revenues. | ||||||||||||||||
[iv] EBITDA
EBITDA is defined as operating income or loss adjusted to exclude amortization and impairment of non-current assets, depreciation, but to include costs related to leases.
The Company believes that EBITDA represents a useful measure to investors to assess profitability and measure the Company's ability to generate liquidity through operating activities. The presentation of EBITDA is considered to be a Non-IFRS measure and does not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies.
[v] Adjusted EBITDA
Adjusted EBITDA is defined as EBITDA adjusted for the remeasurement of contingent consideration, the impact of IAS 29 (accounting under hyperinflation), acquisition and transaction costs, Step-Up Expense and non-recurring expenses. The Company believes that Adjusted EBITDA represents a useful measure to investors to assess profitability and measure the Company's ability to generate liquidity through operating activities. The presentation of adjusted EBITDA is considered to be a Non-IFRS measure and does not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies.
The following table is a reconciliation of operating (loss) income to EBITDA and adjusted EBITDA:
| Change | Change | |||||||||||||||
| Q3-26 | Q3-25 | $ | % | YTD-26 | YTD-25 | $ | % | |||||||||
| Operating (loss) income | (6,551 | ) | 646 | (7,197 | ) | N/A | 12,309 | (8,560 | ) | 20,869 | N/A | |||||
| Adjustments to operating (loss) income: | ||||||||||||||||
| Amortization of intangible assets | 14,809 | 15,446 | (637 | ) | 4% | 42,941 | 35,651 | 7,290 | 20% | |||||||
| Depreciation of property, plant and equipment and ROU assets | 1,356 | 2,322 | (966 | ) | 42% | 4,423 | 5,839 | (1,416 | ) | 24% | ||||||
| Lease payments | (1,306 | ) | (1,200 | ) | (106 | ) | 9% | (3,667 | ) | (3,385 | ) | (282 | ) | 8% | ||
| EBITDA 1 | 8,308 | 17,214 | (8,906 | ) | 52% | 56,006 | 29,545 | 26,461 | 90% | |||||||
| Remeasurement of contingent consideration | 12,093 | - | 12,093 | N/A | 12,771 | - | 12,771 | N/A | ||||||||
| Impact of IAS 29 | 1,631 | 1,479 | 152 | 10% | 4,428 | 11,521 | (7,093 | ) | 62% | |||||||
| Acquisition and transaction costs | 145 | 170 | (25 | ) | 15% | 428 | 4,631 | (4,203 | ) | 91% | ||||||
| Step-Up Expense | - | 2,071 | (2,071 | ) | N/A | - | 2,231 | (2,231 | ) | N/A | ||||||
| Other non-recurring expenses | 1,625 | 53 | 1,572 | 2966% | 2,655 | 679 | 1,976 | 291% | ||||||||
| Adjusted EBITDA 1 | 23,802 | 20,987 | 2,815 | 13% | 76,288 | 48,607 | 27,681 | 57% | ||||||||
| Adjusted EBITDA per share 1,2 | 0.24 | 0.21 | 0.03 | 15% | 0.78 | 0.49 | 0.29 | 59% | ||||||||
| 1 Non-IFRS measures and do not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. | ||||||||||||||||
| 2Percentages are calculated using unrounded amounts; therefore, percentages presented may not correspond to calculations based on rounded figures. | ||||||||||||||||
For the quarter ended September 30, 2026, adjusted EBITDA increased by $2,815 or 13%. The increase was mainly driven by higher Adjusted Gross Margin1, partly offset by higher operating expenses. Refer to Section 3 - Results of Operations of the MD&A for further details.
______________________________________
1 Non-IFRS measures and do not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies.
Explanation of adjustments from EBITDA to Adjusted EBITDA
| Remeasurement of contingent consideration | Remeasurement of contingent consideration relates to the remeasurement of contingent consideration payable upon achieving certain sales milestones in connection with a business combination, accounted under IFRS 3 - Business Combinations. |
| Impact of IAS 29 | Impact of hyperinflation accounting under IAS 29 over the operating (loss) income. |
| Acquisition and transaction costs | Acquisition and transaction costs relate to costs incurred on legal, consulting and advisory fees for acquisitions. |
| Step-Up Expense | Step-up expense relates to the impact in cost of goods sold of the difference between the fair value of inventory acquired and the cost paid in a transaction, accounted under IFRS 3 - Business Combinations, when the inventory acquired as part of the transaction is sold. |
| Other non-recurring expenses | Other non-recurring expenses relate to expenses incurred by the Company that are not due to, and are not expected to occur in, the ordinary course of business. |
[vi] Adjusted EBITDA per share
Adjusted EBITDA per share is defined as Adjusted EBITDA divided by the number of common shares outstanding at the end of the respective period. The Company believes that Adjusted EBITDA per share represents a useful measure to investors to assess profitability and measure the Company's ability to generate liquidity through operating activities on a per common share basis, without the remeasurement of contingent consideration, impact of hyperinflation under IAS 29, acquisition and transaction costs, Step-Up Expense and non-recurring expenses, thereby facilitating the comparison period over period. The presentation of adjusted EBITDA per share is considered to be a Non-IFRS ratio and does not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies.
The Company calculated Adjusted EBITDA per share as follows:
| Q3-26 | Q3-25 | YTD-26 | YTD-25 | |||||
| Adjusted EBITDA1 | 23,802 | 20,987 | 76,288 | 48,607 | ||||
| Adjusted EBITDA per share1 | 0.24 | 0.21 | 0.78 | 0.49 | ||||
| Number of common shares outstanding at period end (in thousands) | 98,274 | 99,678 | 98,274 | 99,678 | ||||
| 1Non-IFRS measures and do not have any standardized meaning under IFRS. As a result, the information presented may not be comparable to similar measures presented by other companies. | ||||||||
| INTERIM CONSOLIDATED BALANCE SHEETS [In thousands of Canadian dollars] [Unaudited] | ||||
| As at | September 30, 2026 | December 31, 2025 | ||
| ASSETS | ||||
| Current | ||||
| Cash and cash equivalents | 120,736 | 76,449 | ||
| Marketable securities | 16,151 | 18,834 | ||
| Trade receivables | 128,538 | 127,775 | ||
| Other receivables | 11,733 | 6,063 | ||
| Inventories | 137,081 | 135,866 | ||
| Prepaids and deposits | 8,150 | 6,505 | ||
| Other current financial assets | 10,943 | 18,946 | ||
| Income taxes receivable | 7,798 | 4,397 | ||
| Total current assets | 441,130 | 394,835 | ||
| Prepaids and deposits | 10,341 | 8,883 | ||
| Right-of-use assets | 11,191 | 9,919 | ||
| Property, plant and equipment | 20,866 | 12,006 | ||
| Intangible assets | 344,856 | 379,510 | ||
| Goodwill | 98,154 | 89,982 | ||
| Other financial assets | 65,791 | 79,484 | ||
| Deferred tax assets | 27,684 | 26,921 | ||
| Other long-term receivables | 45,155 | 44,760 | ||
| Total non-current assets | 624,038 | 651,465 | ||
| Total assets | 1,065,168 | 1,046,300 |
| INTERIM CONSOLIDATED BALANCE SHEETS (continued) [In thousands of Canadian dollars] [Unaudited] | ||||
| As at | September 30, 2026 | December 31, 2025 | ||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
| Current | ||||
| Accounts payable and accrued liabilities | 136,608 | 120,868 | ||
| Lease liabilities | 3,582 | 3,398 | ||
| Other liabilities | 8,510 | 12,878 | ||
| Bank loans | 16,791 | 16,730 | ||
| Income taxes payable | 288 | 580 | ||
| Other balances payable | 18,035 | 10,806 | ||
| Total current liabilities | 183,814 | 165,260 | ||
| Accounts payable and accrued liabilities | 6,012 | 4,887 | ||
| Lease liabilities | 7,589 | 6,618 | ||
| Bank loans | 5,558 | 51,165 | ||
| Other balances payable | 65,051 | 48,105 | ||
| Deferred tax liabilities | 1,942 | 2,993 | ||
| Total liabilities | 269,966 | 279,028 | ||
| Shareholders' equity | ||||
| Share capital | 526,602 | 530,140 | ||
| Contributed surplus | 34,259 | 32,449 | ||
| Accumulated other comprehensive income | 79,811 | 55,741 | ||
| Retained earnings | 154,530 | 148,942 | ||
| Total shareholders' equity | 795,202 | 767,272 | ||
| Total liabilities and shareholders' equity | 1,065,168 | 1,046,300 |
| INTERIM CONSOLIDATED STATEMENTS OF (LOSS) INCOME [In thousands of Canadian dollars, except for share and per share amounts] [Unaudited] | ||||||||
| Three-month period ended September 30, | Nine-month period ended September 30, | |||||||
| 2026 | 2025 | 2026 | 2025 | |||||
| Revenues | 137,691 | 121,548 | 430,342 | 316,982 | ||||
| Cost of goods sold | 69,260 | 65,738 | 223,187 | 181,475 | ||||
| Gross margin | 68,431 | 55,810 | 207,155 | 135,507 | ||||
| Gross margin % | 50 % | 46% | 48 % | 43% | ||||
| Expenses | ||||||||
| Selling and marketing | 22,082 | 17,908 | 64,257 | 47,506 | ||||
| General and administrative | 16,209 | 13,116 | 45,117 | 41,149 | ||||
| Research and development | 9,789 | 8,694 | 29,760 | 19,761 | ||||
| Amortization of intangible assets | 14,809 | 15,446 | 42,941 | 35,651 | ||||
| Remeasurement of contingent consideration | 12,093 | - | 12,771 | - | ||||
| Operating (loss) income | (6,551 | ) | 646 | 12,309 | (8,560 | ) | ||
| Interest income on financial instruments measured at amortized cost | (1,182 | ) | (1,107 | ) | (3,035 | ) | (4,987 | ) |
| Interest expense | 2,012 | 2,368 | 6,778 | 6,498 | ||||
| Other expense (income) | 213 | 271 | (4,152 | ) | 2,601 | |||
| Net (gain) loss on financial assets measured at fair value through profit or loss | (2,153 | ) | 4,589 | 9,545 | 11,271 | |||
| Foreign exchange gain | (69 | ) | (3,124 | ) | (2,464 | ) | (4,116 | ) |
| Gain on hyperinflation | (509 | ) | (434 | ) | (1,579 | ) | (1,901 | ) |
| (Loss) income before income taxes | (4,863 | ) | (1,917 | ) | 7,216 | (17,926 | ) | |
| Income taxes | ||||||||
| Current | 206 | 2,035 | 469 | 2,704 | ||||
| Deferred | (2,389 | ) | (161 | ) | (381 | ) | (6,402 | ) |
| Income tax (recovery) expense | (2,183 | ) | 1,874 | 88 | (3,698 | ) | ||
| Net (loss) income for the period | (2,680 | ) | (3,791 | ) | 7,128 | (14,228 | ) | |
| Basic and diluted net (loss) income per share | (0.03 | ) | (0.04 | ) | 0.07 | (0.14 | ) | |
| Weighted average number of common shares outstanding | 98,234,675 | 99,657,996 | 98,296,120 | 99,643,135 | ||||
| Basic | 98,234,675 | 99,657,996 | 98,296,120 | 99,643,135 | ||||
| Diluted | 98,234,675 | 99,657,996 | 99,588,998 | 99,643,135 |
| INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS [In thousands of Canadian dollars] [Unaudited] | ||||||||
| Three months ended September 30, | Nine months ended September 30, | |||||||
| 2026 | 2025 | 2026 | 2025 | |||||
| OPERATING ACTIVITIES | ||||||||
| Net (loss) income for the period | (2,680 | ) | (3,791 | ) | 7,128 | (14,228 | ) | |
| Adjustments reconciling net (loss) income to operating cash flows: | ||||||||
| Deferred income tax recovery | (2,389 | ) | (161 | ) | (381 | ) | (6,402 | ) |
| Share-based compensation expense | 1,976 | 1,641 | 5,405 | 5,187 | ||||
| Depreciation and amortization | 16,165 | 17,768 | 47,364 | 41,490 | ||||
| Net (gain) loss on financial assets measured at fair value through profit or loss | (2,153 | ) | 4,589 | 9,545 | 11,271 | |||
| Interest expense | 2,012 | 2,368 | 6,778 | 6,498 | ||||
| Accrued interest (income) expense | (175 | ) | (48 | ) | (428 | ) | 318 | |
| Unrealized foreign exchange loss (gain) | 127 | 1,423 | 2,611 | 1,254 | ||||
| Other expense (income) | 213 | 271 | (4,152 | ) | 2,601 | |||
| Change in contingent consideration | 12,093 | (2,077 | ) | 12,771 | (2,077 | ) | ||
| Gain on hyperinflation | (509 | ) | (434 | ) | (1,579 | ) | (1,901 | ) |
| 24,680 | 21,549 | 85,062 | 44,011 | |||||
| Changes in non-cash working capital and other items | 1,409 | (11,386 | ) | 11,244 | (9,926 | ) | ||
| Cash inflow from operating activities | 26,089 | 10,163 | 96,306 | 34,085 | ||||
| INVESTING ACTIVITIES | ||||||||
| Acquisition of Paladin | - | (3,196 | ) | (8,442 | ) | (110,081 | ) | |
| Purchase of marketable securities | (5,720 | ) | (3,094 | ) | (18,030 | ) | (16,976 | ) |
| Purchase of intangible assets | (4,786 | ) | (2,401 | ) | (9,918 | ) | (30,237 | ) |
| Purchase of property and equipment | (320 | ) | (410 | ) | (4,267 | ) | (1,373 | ) |
| Investment in funds | (39 | ) | (759 | ) | (473 | ) | (894 | ) |
| Proceeds on maturity of marketable securities | 5,609 | 3,059 | 21,255 | 64,686 | ||||
| Proceeds from return of commercial rights | 4,500 | - | 21,500 | - | ||||
| Proceeds from repayments of loans receivable | - | 3,840 | - | 17,598 | ||||
| Proceeds from disposal of equity investments | 551 | 139 | 3,270 | 139 | ||||
| Proceeds from distribution of funds | 3,506 | 1,416 | 3,908 | 6,564 | ||||
| Cash inflow (outflow) from investing activities | 3,301 | (1,406 | ) | 8,803 | (70,574 | ) | ||
| FINANCING ACTIVITIES | ||||||||
| Proceeds from contributions to share purchase plan | 130 | 126 | 375 | 378 | ||||
| Proceeds from issuance upon exercise of stock options | 557 | - | 923 | - | ||||
| Proceeds from bank loans | - | - | - | 111,203 | ||||
| Proceeds from repayment of share purchase loans | - | - | 150 | 225 | ||||
| Repurchase of common shares through Normal Course Issuer Bid | - | - | (9,275 | ) | (3,351 | ) | ||
| Principal repayment of lease liabilities | (1,306 | ) | (1,200 | ) | (3,667 | ) | (3,385 | ) |
| Principal repayment on bank loans | (1,328 | ) | (3,810 | ) | (49,893 | ) | (60,214 | ) |
| Interest paid on bank loans | (306 | ) | (1,025 | ) | (2,888 | ) | (4,652 | ) |
| Cash (outflow) inflow from financing activities | (2,253 | ) | (5,909 | ) | (64,275 | ) | 40,204 | |
| Increase in cash and cash equivalents during the period | 27,137 | 2,848 | 40,834 | 3,715 | ||||
| Cash and cash equivalents, beginning of the period | 93,536 | 77,816 | 76,449 | 80,106 | ||||
| Effect of exchange rate changes on cash and cash equivalents | 63 | 1,212 | 3,453 | (1,945 | ) | |||
| Cash and cash equivalents, end of the period | 120,736 | 81,876 | 120,736 | 81,876 | ||||
| Cash and cash equivalents | 120,736 | 81,876 | 120,736 | 81,876 | ||||
| Marketable securities | 16,151 | 13,682 | 16,151 | 13,682 | ||||
| Total cash, cash equivalents and marketable securities | 136,887 | 95,558 | 136,887 | 95,558 |
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