European acquisition powers cannabis company Organigram to record revenues

TORONTO – Cannabis company Organigram Global Inc. says the acquisition of a European medical cannabis company has helped drive it to record quarterly revenues and fundamentally reshaped the firm.

Organigram said the April purchase of German-based Sanity Group GmbH added about $38 million in net revenue during the three-month period that ended on June 30. Organigram was already an investor in the company and acquired all its remaining issued and outstanding shares for about 107-million euros (about C$173.7 million).

“Organigram today is a fundamentally different company than it was earlier this year,” CEO James Yamanaka said during a call with analysts Tuesday to discuss the company’s third-quarter financial results.

“We are larger in scale, broader in geographic reach, and better positioned for long-term profitable growth.”

Founded in New Brunswick in 2013, Organigram’s corporate offices are in Toronto with its flagship flower and ready-to-consume products facility located in Moncton, N.B. It produces hash and craft flower in Lac-Supérieur, Que.; edibles, including extracts, in Winnipeg; hydrocarbons and carbon dioxide for extracts and concentrates in Aylmer, Ont., and handles distribution from London, Ont.

Organigram said Sanity has about 10 per cent of the German cannabis market. Under its European growth strategy, the subsidiary is expanding operations in Switzerland, the U.K., Poland and Czechia. That includes a recreational cannabis pilot project and a new medical cannabis partnership in Switzerland, its upcoming entry into the Polish market and launching branded products in the U.K. through strategic partnerships.

In Canada, Yamanaka said Organigram has an 11.1 per cent share of the recreational cannabis market. That includes 12.5 per cent of the cannabis flower category, up two percentage points year-over-year, and 36 per cent of regular pre-rolls.

Edibles were a soft spot for the company, said the CEO. While the company’s share of the segment stayed relatively stable, he said it is feeling pressure from lower-priced competitors.

Yamanaka said the company believes it can expand its market share further as quality, consistency and potency continue to improve. He said the company has reduced its number of products by about 10 per cent compared to last year to bring more discipline to the portfolio.

“Rather than chasing shelf space through product proliferation, we’re positioning ourselves to gradually invest behind fewer, stronger brands with clear consumer positioning and less overlap,” he said.

Organigram’s net revenue for the quarter was $105.8 million compared to $70.8 million over the same period a year ago, mostly due to the Sanity acquisition.

The company’s net income was $105.5 million, up from a net loss of $6.3 million in the third quarter of 2025.

The company’s diluted earnings per common share came in at about $0.77, compared to a loss of about $0.05 per common share a year ago.

This report by The Canadian Press was first published Aug. 12, 2026.

Companies in this story: (TSX: OGI)

— By Devin Stevens in Halifax.