Avicanna Inc.

All right, we'll get started. Thank you for joining everyone. My name is Arath Azadian, CEO, founder of Abicana. Some of you would know me for a long time. This is my 10th year in the role. I'm joined today with Dr. Caroline Ervin, who's our EVP of Scientific Affairs and Medical Affairs, and Nick Auburn, who's our Intern CFO. We're going to take you over some of the corporate updates from 2025, and a little bit of an overview of where we stand as a corporation. But of course, I look forward as well to 2026 and what's coming, which is very exciting. In addition to that, we're going to leave a little bit of time for Q&A at the end. So customary disclaimer notice, but For some of you that are near to the company, I'll spend a minute or two on just who we are. So, Abitana is now a fully vertically integrated cannabinoid-based pharma company. We have established what we believe is an industry-leading scientific platform, and that is now translated into a commercial platform. This is across four different business pillars now from medical cannabis products. I'm going to bring these over to Fido Brand. to our medical cannabis care platform, which is mymedic.ca, to our pharmaceutical pipeline, and of course, our RAS raw material division. This is all part of an integrated commercial platform. These business units, while do operate independently, do have substantial synergistic benefits for each other business unit. This has resulted in over 50 commercial products, mainly in the Canadian market. This is part of our clients' for 2026 to further expand into international markets. And we have established footprint and or group of concept in what is now 24 international markets, resulting in about $25.5 million of revenue during 2025, and essentially, I guess, in a bit of a break-even. This is all derived from a scientific platform, as Dr. Ergen will walk you through some of the developments of this year, but our scientific platform is really where we dedicated the first five years of Avacadabra, into drug delivery, preclinical, and clinical development, and this is something that we take a lot of pride in, and I believe, again, Indiana is an established leader within that realm. So, just a quick overview of 2025. This is what we're going to be covering, so I don't want to take the thunder away from my colleague Nick, but from a financial perspective, we were able to I have relatively consistent revenues from last year, a little bit above last year's results of $25.5 million. We did substantially improve our gross profits and gross margins by about 10%, resulting in 53% gross profits. I believe these are industry-leading numbers and an indication of the company's entry barriers and the fact that we're operating as a mobile pharma company. We are happy to be carrying zero debt in terms of structured debt or debenture in our balance sheet. And, again, we were able to substantially improve our adjusted EBITDA to less than $300,000 for all of 2025. So, strongest financial performance to date. While the revenue growth was modest, we were able to substantially improve other variables within our financial performance. Nick will dive into that. We did improve our efficiency and margins. We'll dive into how we accomplished that. We were able to also make strategic investments during 2025. For those of you that have been shareholders of Avitana for a long period of time, you would notice that we were able to actually reinvest in physical capabilities in Colombia, for example, that has now resulted in improvements of our export capabilities, but also in R&D and clinical development that is really the largest value driver for the company in the long term. We did continue to... to expand our commercialization efforts in Canada, and I'll expand into that, and then focus more on international advancements and commercialization across new markets, which we will also expand on. So overall, a successful year. We're very happy with the results of the year, and we're very excited for what 2020's success will offer. So just a quick overview of Rofido. For some of you that are not familiar, Rofido is our main medical cannabis brand. This is treated as a medical formulary for insurance adjudication and for clinical practice. From a simple sense, this is a portfolio of advanced medical cannabis products that are utilizing Abitana's proprietary drug delivery systems to deliver standardized and evidence-based products to patients. Carolina and her team, including our pharmacists at MyMedi, are helping patients with clinical guidelines and treatment plans and working with the medical community to identify which one of these products is most suitable for various clinical indications or symptoms. Very happy with what we've done with Ropaito. Canada has been our proof-of-concept market where we have commercialized about 50 of these SKUs, learned from them, tested, improved the formulations, improved dosing, and are consistently remapping this portfolio. We will be now focusing on internationalization of further scale of Ropaito in 2026, which we will expand on. Something that, in the next slide, that we're quite excited about is the pipeline that's coming. And Carolina will expand on... The one after that. Yeah. So something that we're quite excited about, again, is the pipeline. I'll expand on it. But in the next slide, we're talking about what we've accomplished with Rofido and our medical portfolio in Canada. The number of listings we have continue to increase, which means more and more channels. We can call them placements across Canada or listings. These are an SKU getting listed within a medical portfolio. or retail channel, meaning the province, or a medical platform other than MyMedi. So we're at 170, and this is a 26% increase from last year. We do now have 50 products in the Canadian market. We believe that number is going to go up by the end of this year with the introduction of our next generation 3.0 products. But in addition to that, we are removing SKUs that are low performance. So the idea isn't just to bring more and more product into the market, but to bring all products into the market, test them, learn from them, improve them, and keep the winners, and ideally start linking those particular products to various, again, symptoms or clinical indications or patient groups, which is part of the medical affairs efforts Carolina will expand on. This is all done in an asset-like model, so Abitana is not a licensed producer. We are outsourcing the manufacturing of our proprietary products, meaning we are tech-transferring our formulations, we are ensuring that this is meeting Abitana's quality standards, and that these products are being released. What's interesting about this model is its scalability. So as we continue to grow in the domestic market of Canada, but also internationalized, we will be using an active light model that allows us to scale without major capex. We are in eight national medical platforms, including MyMedi. So MyMedi is one of the medical cannabis platforms in Canada. We believe it's unique, and Carolina will expand on that. But we're very excited to see that we're entering more and more channels where these proprietary products are having significant benefit for patients. Carolina will expand on influent and powder rust. These are two of our technologies that we have finalized during 2025 and its derivative products. And I'll leave that for Carolina. But what I'll touch on is the products from these developments that we're going to be translating into the Canadian market during 2026. and into international markets from 2026 and on. So this includes the fluid, which is a liquid version of a self-emulsifying drug delivery system that is being utilized as a precursor, so as essentially a nano-emulsion going into gummies, resulting in fast gummies. Same technology is being utilized in our new capsules that are going to be fast-acting capsules, sachets, and small beverages. The idea here is to be able to reduce combustible and inhaled products within the patient population by delivering fast-acting benefits of carabinoids within more consumer-friendly or patient-friendly pills forms. These are all, again, heavy-cancer proprietary products, lots of patent protection around these, and very excited to see so early results in these products within preclinical and clinical development and now bring them to the market. Powder Act on the right is a powder version of a similar technology but different that allows us to then solidify these products into hard forms such as tablets and oral pouches. Carolina?

Good morning, everyone. Over the past year, our medical and scientific affairs efforts in Canada have remained focused on advancing cannabinoid-based medicine through three integrated pillars. a scalable medical platform, standardized and evidence-based proprietary products, and rigorous clinical evidence generation. I'll walk through these briefly. 2025 was a turning point for MyMedi. Our medical cannabis care platform, which provides access to cannabinoid-based medicine to patients across Canada with healthcare practitioner authorization, originally launched following the acquisition of medical cannabis by Shoppers, a subsidiary of Shoppers Drug Mart, The platform demonstrated growth, supported by ongoing improvements in patient engagement, communication workflows, and clinical documentation processes. These operational enhancements, alongside the continued expansion and increased utilization of our pharmacist-led support services, are driving greater efficiencies across our platform, while improving patient retention, continuity of care, and overall sales performance. You may ask, what differentiates MyMedi? from other medical cannabis services, and that's the combination of infrastructure, clinical support, and access. We have a diverse multi-brand platform with over 230 SKUs from 65 leading medical cannabis brands. We have a strong medical affairs platform, including clinicians training and accredited education programs through Abyssinia Academy. We have integrated insurance and reimbursement capabilities across private insurers, public institutions, and multiple provincial workers' compensation boards, such as WSIB. And we have bilingual pharmacist-led support programs that are important in treatment planning and specialized services, such as the ones we have developed for veterans. Importantly, this platform not only supports patient care, but also enables real-world evidence generation, which I'll touch on later. It also generates clinician engagement and payer integration at scale, positioning it as a core driver of both clinical and commercial growth. We continue to believe that MyMedi, especially when combined with Rofido, is the most complete service of cannabinoid-based medicine and perfectly suited for international expansion into markets that are planning to regulate medical cannabis federally. During 2025, we set out to engage and collaborate with the medical community in Canada in an effort to help facilitate the incorporation of cannabinoid-based medicine into standard of care. While we faced early challenges, we are pleased with the progress we made in 2025 and the reception we have received from the medical community. Over the year, we have continued to expand our reach within the medical community through targeted education, scientific exchange, and collaboration with key stakeholders. This has included healthcare professional training and education that has been focused on clinical guidelines, treatment planning, and integration of medical cannabis into products. Key opinion leader engagement, including four national webinars reaching over 700 registrants and over nearly 400 live attendees. Strategic collaborations with professional organizations, including the Nurse Practitioners Association of Ontario and the Canadian Pain Society. Conference participation and scientific presence, including our annual symposium, which had over 400 healthcare practitioner registrations, as well as participation in eight other conferences across pain, mental health, palliative care, and veteran health, giving us presence across the country. Finally, we enhanced all of our educational infrastructure, including updates to Abacena Academy and the development of training modules. We also conducted advisory board engagements, including chronic pain and PTSD-focused sessions with multidisciplinary experts to inform clinical frameworks and identify gaps in care. All of these efforts are designed to support clinicians in adopting cannabinoid-based therapies in a structured and evidence-informed manner. As a result, we are seeing continued growth in new prescribers engaging with MyMedi, either through direct patient onboarding or referrals through ClinicNet. strengthening our position within the medical channel, and supporting sustained patient growth. In terms of our pipeline developments in translational science, over the last nine years of preclinical and clinical work on cannabinoids, Avicanna has established a scientific platform and continues to develop intellectual property. Our R&D team continues to innovate and leverage our robust understanding of medical cannabis and patent outcomes to deliver proprietary cannabinoid-based products. Our development efforts are underpinned by robust R&D platform complemented by observational real-world evidence studies that help inform clinical decision-making and validate our therapeutic approach. During 2025, we also finalized two self-emulsifying drug delivery system platforms, influid and powder erects that are designed and optimized to solve challenges associated with hydrophobic nature of cannabinoids. Both of these unique drug delivery systems utilize a nano-emulsion technology to liver cannabinoids in a consistent and rapid manner while enhancing absorption and speed of onset. Both of these technologies were also further developed into final product formats that Aras alluded to as part of our 2026 pipeline. Really an incredible example of our scientific platform translation capabilities into commercial efforts. We continue to advance our proprietary oral delivery platforms. First, PowderRx, which is designed to address key challenges associated with cannabinoids, including poor solubility, variable bioavailability, and delayed onset. In a recent in vitro study, this platform demonstrated a 74% increase in bioavailability, a 63% increase in peak plasma concentration, and 134% higher peak concentration compared to standard MCT oil formulations. We have filed a provisional patent covering this technology, which is adaptable across multiple formats, including capsules, tablets, sachets, and pouches. Additionally, InFluid, another self-emulsifying drug delivery system, will be utilized in various product formats. This technology was designed for product formats such as beverages and gummies. Finally, we are granting a new USPTO patent covering topical cannabinoid composition for dermatological applications, further strengthening our intellectual property portfolios. We continue to advance a structured clinical development strategy that spans real-world evidence, randomized controlled trials, and early phase mechanistic studies. At the foundation of this work is our national real-world evidence study conducted through MyMedi, which is led by Dr. Hans Clark. This prospective observational study has enrolled approximately 450 patients to date and evaluates patient reported outcomes across pain, sleep, anxiety, depression, and medication use in routine clinical practice. This study has now been published in the Canadian Journal of Pain, demonstrating significant improvements across multiple clinical endpoints over a 24-week period. We continue to drive this data collection forward as we speak. Building on the real-world evidence findings, we have initiated a pilot Phase II randomized placebo-controlled clinical trial in osteoarthritic pain. which is also led by Dr. Hans Clark at the University Health Network. This study is a multicenter, three-arm parallel study that is evaluating our proprietary oral cannabinoid capsules, utilizing our SolidSense delivery platform. We are currently in patient recruitment phase, and this trial represents an important step towards generating high-quality controlled evidence to support clinical and regulatory advancement. Looking ahead, we have also received Health Canada approval for a phase one randomized placebo-controlled dose-finding study that we announced in 2026 in collaboration with the University of Calgary, led by Dr. Lea Mayo and Dr. Matthew Hill. This study is designed to characterize the dose-dependent effects of oral PHC on anxiety, incorporating validated psychometric assessments alongside pharmacokinetic profiling and biomarker analysis. Together, these programs reflect a deliberate and staged approach to evidence generation, leveraging real-world data to inform controlled trials, and advancing toward more precise, dose-defined therapeutic strategies. Now I'll turn it back over to Russ.

Thanks, Carolina. We'll get into a little bit of the international context. progress we made during 2025, and at the end of the presentation, we'll talk about our 2026 plans. But as most of you are familiar with the company and the success we've had in Canada, Canada does remain our main market, our priority market, but Canada is also our sandbox. Canada is, again, where we're optimizing our role fighter portfolio, optimizing the services provided in MyMedi, combining the two into what is a real complete medical cannabis service. And we are then utilizing that to build our pharmaceutical pipeline and intellectual property portfolio. However, during 2025, we were able to accomplish some early signals elsewhere. Initially with TunaRest, for those of you that are not familiar, TunaRest is our first approved pharmaceutical. This is an epilepsy drug for pediatric epilepsy catastrophic indications, including Lennox-Gastaut and Dravet syndrome. And the product was approved for an obtained marketing authorization by Indema, which is a Colombian authority. and the product was launched early Q1 2026. This is a very soft launch, so we're learning from it. We're learning from our first pharmaceutical launch and hoping that we can scale that in Colombia and then internationalize it in other markets where the food and rice approval at Envima does qualify. In addition to that, we were able to commence exports into the United States. We've never breached U.S. federal law. We've never conducted sort of state-level activities and, therefore, are actually quite clear in terms of our U.S. pathway. However, we're able to conduct CBD, direct CBD product sales through our partnership with Replay. Replay, for those of you who are not familiar, is Al Harrison, a former NBA veteran's CBD recovery brand, which is utilizing our proprietary CBD and CBD topicals. We launched the brand late last year and are now working on the scale of that in the United States with Al and his team. Very excited about the opportunity there because we're utilizing our own organic CBD and CBG that we're producing in Colombia. We're producing the finished product also in Colombia and exporting that into the United States, going through obviously the full import and export process. In addition to that, we were able to scale Arius and, more importantly, improve the quality of Arius, which is our Colombian subsidiary. So in Colombia, we have our majority-owned subsidiary that has been historically focused on the production of active pharmaceutical ingredients, CBD, CBDG, THC, using organic materials. Over the last two years, we've concentrated on improving the capability within this operation to be able to produce organic premium flour so that we can export that around the world. The reason why that's important is in many of the emerging international markets, such as the European Union, UK, Australia, Flour does still represent the highest proportion of sales, and it is the easiest product to be able to export. And we've been able to prove that our infrastructure in Colombia, which has clear cost advantages and environmental advantages and organic certification, can meet the regulatory and quality requirements of these markets. We announced that we submit exports to Australia. As of last year, we were able to enter into Europe as well. So we believe this can be something that's going to be scaled during 2026. So we're quite excited about the opportunity this can have as a revenue driver and also as potentially a very large cash cow to then help fund some of the other innovations and international expansions of the company. We were able to enter our 24th market. So this is now... But in 2026, we enter Australia, which is our sixth continent. For those of you that are not familiar with the regulatory landscape, the way it's cannabinoids, it's a controlled substance. So there's a lot of CODA applications and import and export process that we need to go through. And no country has the same regulations. So we are navigating a very complex regulatory scheme internationally, and we're able to successfully work with international law to be able to get these products into various markets, something that we're quite excited about and I'll touch on in terms of what we expect to do in 2026 as a forward-looking statement. So overall, I think we're very well positioned to now scale. We did further improve our processes during 2025. We did land in new markets. We have launched new programs and partnerships. And again, we're operating in a very asset-like model where we believe that the formulations products can enter more and more international markets while not requiring a significant investment from a tax perspective from Abitana, and while maintaining high entry barriers, whether it's the formulations or it's a low cost of materials that we're able to deliver. I think we're going to go into finance now.