POSaBIT Reports Second Quarter 2026 Financial Results

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Postmedia has not reviewed the content. by Business Wire POSaBIT Reports Second Quarter 2026 Financial ResultsAuthor of the article:POSaBIT Grows Point of Sale Revenue 64% Year Over Year in Q2THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountPOSaBIT Grows Gross Profit by 10.5% and Adjusted EBITDA 177% Year Over Year in Q2POSaBIT Increases Cash On-Hand by ~ $850K in Q2TORONTO & SEATTLE — POSaBIT Systems Corporation (CSE: PBIT, OTC: POSAF) (the “Company” or “POSaBIT”), a leading provider of point of sale and payment solutions for the cannabis industry, today announced its financial results for the second quarter ended June 30, 2026.“POSaBIT continued to execute at a high level in the second quarter, with solid growth across our core product line and continued improvement in our financial performance,” said Ryan Hamlin, CEO and Co-founder of POSaBIT. “Our Point of Sale revenue grew 64% year over year, while Gross Profit and Adjusted EBITDA both increased significantly. We also continued to build our cash, ending the quarter with $3.34 million on hand.”“Our growing Point of Sale presence across Washington State’s cannabis market, where we have a strong leadership position, continues to create opportunities across the broader POSaBIT platform,” Hamlin continued. “For example, our newly released Brand Portal is gaining meaningful traction, with our product catalog now covering a significant portion of the products available in Washington with the majority of the state’s top cannabis brands now on the platform. Together with our substantial retailer footprint, and our growing relationship with brands, it provides us a unique opportunity to connect the entire cannabis ecosystem in our home state.”Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try again“As technology leaders in the Brand and Point of Sale Cannabis market, AI has become a significant focus on how we are building POSaBIT, both for internal activities that make our teams more productive, as well as innovative new products we deliver to our customers,” Hamlin concluded. “We have several AI initiatives coming to market in the coming months, including a full MCP server for vendors and retailers, and we believe these capabilities will create meaningful new ways for our customers and partners to interact with POSaBIT in real-time.”As of June 30, 2026, the Company had cash and cash equivalents of approximately $3.34 million compared to $2.5 million as of March 31, 2026. This represents a 34% increase in cash over the last 3 months.in US DollarsYear endedJune 30, 2026June 30, 2025% Chg.Revenue$2,254,497$2,653,327(15)%Cost of goods sold$(210,710)$(803,744)74%Gross profit$2,043,787$1,849,58311%Gross profit margin91%70%49%Operating costs$(2,244,775)$(1,642,301)(37)%Operating loss$(200,988)$207,282(197)%Other (expenses) income$(110,908)$379,191(129)%Income (loss)$(316,642)$634,707(150)%The following table reconciles Revenue, as reported, to Adjusted Revenue for the quarter ended June 30, 2026.in US DollarsJune 30, 2026Revenue as reported$2,254,497Add: Cash receipts from licensing contracts$1,537,500Deduct: Licensing support revenue$(386,250)Adjusted Revenue$3,405,747The following table reconciles Gross Profit, as reported, to Adjusted Gross Profit for the quarter ended June 30, 2026.in US DollarsJune 30, 2026Gross Profit as reported$2,043,787Add: Cash Receipts from Licensing contracts$1,537,500Deduct: Licensing Support Revenue as reported$(386,250)Adjusted Gross Profit$3,195,037Adjusted Gross Profit Margin93.8%The following table reconciles Net Income or Loss, as reported, to Adjusted EBITDA for the quarter ended June 30, 2026.in US DollarsJune 30, 2026Loss, as reported$(314,642)Add: Foreign exchange losses, as reported$90,901Add: Share-based compensation, as reported$39,488Add: Amortization and depreciation, as reported$614Add: Credit loss provision and bad debts, as reported$2,691Add: Finance costs, as reported$141,557Add: Interest accretion, as reported$2,156Add: Transaction costs, as reported$20,736Deduct: Other income, as reported$(14,566)Add: Income taxes$2,746EBITDA$(28,319)Deduct: Licensing support revenue, as reported$(386,250)Deduct: Interest income (licensing revenue), as reported$(41,666)Add: Cash receipts from licensing agreement, as reported$1,537,500Adjusted EBITDA$1,081,265Conference Call InformationDate: August 20, 2026 Time: 4:30 PM Eastern Time Toll Free: 888-506-0062 International: 973-528-0011 Participant Access Code: 272649 Webcast URL: https://www.webcaster5.com/Webcast/Page/2708/54442Conference Call Replay Information: The replay will be available approximately 1 hour after the completion of the live event.Toll Free: 877-481-4010 International: 919-882-2331 Replay Passcode: 54442 Webcast Replay URL: https://www.webcaster5.com/Webcast/Page/2708/54442Financial Reports Full details of the financial and operating results are described in the Company’s unaudited interim consolidated financial statements for the quarter ended June 30, 2026, together with the accompanying notes. The unaudited interim consolidated financial statements and additional information about POSaBIT are available on the Company’s website at www.posabit.com/investor-relations or on SEDAR+ at www.sedarplus.ca.Adjusted Revenue, Adjusted Gross Profit (and Adjusted Gross Profit Margin) and Adjusted EBITDA are non-IFRS measures used by management that do not have any prescribed meaning by IFRS and may not be comparable to similar measures presented by other companies. The Company defines Adjusted Revenue as gross revenue, minus license support revenue, plus actual licensing cash received as part of POSaBIT’s licensing deals. The Company defines Adjusted Gross Profit as Adjusted Revenue less company cost of goods sold, and Adjusted Gross Profit Margin as a percentage of Adjusted Gross Profit as compared to Adjusted Revenue. The Company defines Adjusted EBITDA as net income or loss generated for the period as reported, before interest, taxes, depreciation and amortization and further adjusted to remove changes in fair values and expected credit losses, foreign exchange gains and/or losses, impairments. The Company believes these non-IFRS measures are useful metrics to evaluate its core operating performance and uses these measures to provide shareholders and others with supplemental measures of its operating performance. The Company also believes that securities analysts, investors and other interested parties, frequently use these non-IFRS measures in the evaluation of companies, many of which present similar metrics when reporting their results. We caution readers that Adjusted Revenue, Adjusted Gross Profit (and Adjusted Gross Profit Margin) and Adjusted EBITDA are not substitutes for gross revenue, gross profit or profit/loss, respectively.This advertisement has not loaded yet.This advertisement has not loaded yet, but your article continues below.Forward-Looking StatementsThis press release contains forward-looking statements, including statements regarding our business strategy, product development, timing of product development, events and courses of action.Statements which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, outlook, expectations or intentions regarding the future including words or phrases such as “anticipate,” “objective,” “may,” “will,” “might,” “should,” “could,” “can,” “intend,” “expect,” “believe,” “estimate,” “predict,” “potential,” “plan,” “is designed to” or similar expressions suggesting future outcomes or the negative thereof or similar variations. Forward-looking statements may include, among other things, statements about: our expectations regarding annual cost reductions; our anticipated AI product offerings; our future customer concentration; our anticipated cash needs and our estimates regarding our capital requirements; our ability to anticipate the future needs of our customers; our plans for future products and enhancements of existing products; our future growth strategy and growth rate; our future intellectual property; and our anticipated trends and challenges in the markets in which we operate. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which POSaBIT will operate in the future, including the demand for our products, anticipated costs and ability to achieve goals. Although we believe that the assumptions underlying these statements are reasonable, they may prove to be incorrect. Given these risks, uncertainties and assumptions, you should not unduly rely on these forward-looking statements.Forward-looking statements are subject to known and unknown risks, uncertainties and other important factors that may cause the actual results to be materially different from those expressed or implied by such forward-looking statements, including but not limited to, business, economic and capital market conditions; the ability to manage our operating expenses, which may adversely affect our financial condition; our ability to remain competitive as other better financed competitors develop and release competitive products; regulatory uncertainties; market conditions and the demand and pricing for our products; our relationships with our customers, distributors and business partners; our ability to successfully define, design and release new products in a timely manner that meet our customers’ needs; our potential reliance on third-party service providers as we integrate AI into our systems and products; our ability to attract, retain and motivate qualified personnel; competition in our industry; our ability to maintain technological leadership; our ability to manage risks inherent in foreign operations; the impact of technology changes on our products and industry; our failure to develop new and innovative products; our ability to successfully maintain and enforce our intellectual property rights and defend third-party claims of infringement of their intellectual property rights; the impact of intellectual property litigation that could materially and adversely affect our business; our ability to manage working capital; and our dependence on key personnel.Important factors that could cause actual results to differ materially from POSaBIT’s expectations include consumer sentiment towards POSaBIT’s products, litigation, global economic climate, loss of key employees and consultants, additional funding requirements, changes in laws, technology failures, competition, and failure of counterparties to perform their contractual obligations.Neither we nor any of our representatives make any representation or warranty, express or implied, as to the accuracy, sufficiency or completeness of the information in this news release. Neither we nor any of our representatives shall have any liability whatsoever, under contract, tort, trust or otherwise resulting from the use of the information in this news release or for omissions from the information in this news release.POSaBIT (CSE: PBIT, OTC: POSAF) is a FinTech, working exclusively within the cannabis industry. We provide a best-in-class Point-of-Sale solution and work with payment processors to enable cashless payment options for cannabis retailers. We work tirelessly to build better financial services and transaction methods for merchants. We bring cutting-edge, AI driven software and technology to the cannabis industry so that all merchants can have a safe and compliant set of services to solve the problems of a cash-only industry. For additional information, visit www.posabit.com.Neither the Canadian Securities Exchange nor the Canadian Investment Regulatory Organization accepts responsibility for the adequacy or accuracy of this release.View source version on businesswire.com: Co-founder and CEO of POSaBITNotice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.