DELTA 9 CANNABIS INC. DLTNF DN released insightful financial results for the three months and nine months ended September 30, 2022 Net sales of $15.7 million ($11.8 million) for the third quarter of 2022 3% increaseof $15.2 million for the same quarter last year.

Q3 2022 Financial highlights

• gross profit from 1.9 million Canadian dollars for the third quarter of 2022 versus $4.8 million for the same quarter last year.

• net loss from the operation of 6.2 million Canadian dollars for the third quarter of 2022 versus a net loss from operations of CA$55,031 for the same quarter last year.

• Adjusted EBITDA loss of $1.7 million for the third quarter of 2022 compared to an Adjusted EBITDA gain of CA$191,056 for the same quarter last year.

Miscellaneous highlights

• The company received a cannabis distributor license from the Liquor Gaming and Cannabis Authority of Manitoba. Under the license, Delta 9 is authorized to acquire, store, sell and supply cannabis under the Liquor, Gaming and Cannabis Control Act. The company’s distribution services will allow out-of-province suppliers to improve logistics efficiencies and reduce shipping costs into the Manitoba market, and provide Delta 9 with additional diversified revenue streams.

• The company bought garden variety‘s three branded cannabis retail stores in Manitoba for CA$3.25 million in Delta 9 common stock. The Company expects the transaction to be profitable in 2022 and 2023 before synergies. The acquisition represents an attractive revenue multiple of approximately 0.41 times annual revenue.

• Delta 9 announced the cash redemption of its 8.5% convertible unsecured notes issued in July. The $11.8 million cash payment represents a full payout of the convertible debentures. The convertible debentures were previously traded on the Toronto Stock Exchange under the trading symbol “DN.DB”. The Company satisfied the prepayment terms required to raise CA$11.8 million under…