– Q1 Revenue up 30% YoY to a Record

$19.7 Million

; Preliminary April Revenue of

$7.5 Million

–

– Q1 Adjusted EBITDA up 42% YoY to a Record

$6.2 million

–

– Cansortium Reaffirms 2022 Guidance of

$90

–

$95 Million

of Revenue and

$25

–

$28 Million

of Adjusted EBITDA –

MIAMI


,


May 31, 2022


/PRNewswire/ –

Cansortium Inc.

(CSE:TIUM.U) (OTCQX: CNTMF) (“Cansortium” or the “Company”), a vertically-integrated cannabis company operating under the Fluent™ brand, today announced interim unaudited financial results for the first quarter ended

March 31, 2022

. Unless otherwise indicated, all results are presented in U.S. dollars.

“As highlighted on our last quarterly report on

May 2

, the first quarter reflected continued growth to record levels across our business,” said CEO

Robert Beasley

. “Our recent cultivation improvements and added capacity have supplied us with the product we need to successfully optimize our store productivity. With revenue and adjusted EBITDA hitting record highs and our biomass harvest levels doubling compared to 2021, we are excited to carry this momentum through the rest of the year as we add new stores, grow new patient count, ramp cultivation and continue to optimize the quality of our flower.”

• Revenue increased 30% to
  
  $19.7 million
  
  compared to
  
  $15.1 million
  
  .
• 
  Florida
  
  revenue increased 26.6% to
  
  $16.6 million
  
  compared to
  
  $13.1 million
  
  .
• Adjusted gross profit
  
  ¹
  
  increased 19% to
  
  $11.5 million
  
  or 58.6% of revenue, compared to
  
  $9.7 million
  
  or 64.2% of revenue.
• Adjusted EBITDA increased 42% to
  
  $6.2 million
  
  or 31.5% of revenue, compared to
  
  $4.4 million
  
  or 29.0% of revenue.
• At
  
  March 31, 2022
  
  , the Company had approximately
  
  $7.7 million
  
  of cash and cash equivalents and
  
  $67.5 million
  
  of total debt, with approximately 252.3 million fully diluted shares outstanding (based on treasury stock method and share price on
  
  May 27, 2022
  
  ).

• In
  
  Florida
  
  , the Company anticipates opening 4-6 new stores in 2022. Four of these locations are already under contract and under construction.
• On
  
  April 20
  
  , Cansortium opened its third
  
  Pennsylvania
  
  dispensary in
  
  Annville
  
  .
• The Company anticipates filing both its 2021 audited annual financial statements and first quarter 2022 unaudited interim financial statements by
  
  June 8, 2022
  
  . Cansortium expects to host a conference call for shareholders and prospective investors shortly thereafter.

The Company continues to expect revenue in 2022 to range between

$90

–

$95 million

, reflecting an approximate 45% increase from 2021 at the midpoint. Cansortium also continues to expect adjusted EBITDA in 2022 to range between

$25

–

$28 million

, reflecting an approximate 35% increase from 2021.

Cansortium is a vertically-integrated cannabis company with licenses and operations in

Florida

,

Pennsylvania

,

Michigan

and

Texas

. The Company operates under the Fluent™ brand and is dedicated to being one of the highest quality cannabis companies for the communities it serves. This is driven by Cansortium’s unrelenting commitment to operational excellence in cultivation, production, distribution and retail. The Company is headquartered in

Miami, Florida

.

Cansortium Inc.’s common shares trade on the CSE under the symbol “TIUM.U” and on the OTCQX Best Market under the symbol “CNTMF.” For more information about the Company, please visit

www.getfluent.com

.

Certain information in this news release may constitute forward-looking information within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute “forward-looking statements” within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. In some cases, but not necessarily in all cases, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “targets”, “expects” or “does not expect”, “is expected”, “an opportunity exists”, “is positioned”, “estimates”, “intends”, “assumes”, “anticipates” or “does not anticipate” or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might”, “will” or “will be taken”, “occur” or “be achieved”. In addition, any statements that refer to expectations, projections, or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts but instead represent the Company’s expectations, estimates, and projections regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of the Company’s control.

Forward-looking information is necessarily based on many opinions, assumptions, and estimates that, while considered reasonable by the Company as of the date of this news release, are subject to known and unknown risks, uncertainties, assumptions, and other factors that may cause the actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information, including but not limited to the factors described in the public documents of the Company available at

www.sedar.com

. These factors are not intended to represent a complete list of the factors that could affect the Company; however, these factors should be considered carefully. There can be no assurance that such estimates and assumptions will prove to be correct. The forward-looking statements contained in this news release are made as of the date of this news release, and the Company expressly disclaims any obligation to update or alter statements containing any forward-looking information, or the factors or assumptions underlying them, whether as a result of new information, future events or otherwise, except as required by law.

For further information:

www.getfluent.com

Company Contact

Robert Beasley

, CEO

(850) 972-8077



investors.getfluent.com

Investor Relations Contact

Sean Mansouri

, CFA

Elevate IR

(720) 330-2829


[email protected]

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SOURCE Cansortium Inc