Ms. Kim Rivers reports

TRULIEVE REPORTS FOURTH QUARTER AND FULL YEAR 2023 RESULTS HIGHLIGHTING YEAR END MOMENTUM AND CASH GENERATION

Trulieve Cannabis Corp. has released its results for the fourth quarter and full year ended Dec. 31, 2023. Results are reported in U.S. dollars and in accordance with U.S. Generally Accepted Accounting Principles unless otherwise indicated. Numbers may not sum perfectly due to rounding.

Q4 2023 Financial and Operational Highlights

• Revenue of $287 million increased 4 per cent sequentially, with 95 per cent of revenue from retail sales.
• Achieved GAAP gross margin of 54 per cent, with gross profit of $154 million.
• Reported net loss of $33 million. Adjusted net loss of $23 million excludes non-recurring charges, asset impairments, disposals and discontinued operations.
• Generated cash flow from operations of $131 million and free cash flow of $122 million.
• Achieved EBITDA of $73 million, or 25 per cent of revenue and adjusted EBITDA of $88 million, or 31 per cent of revenue.
• Outperformed the third quarter as a result of consumer strength and holiday sales, driven by higher traffic, basket size, and units sold.
• Redeemed $130 million of senior secured notes due June 18, 2024 on December 1, 2023.
• Closed $25 million five-year mortgage financing at 8.31 per cent interest.
• Filed amended federal tax returns for 2019, 2020, and 2021 claiming $143 million of refunds, also filed corresponding amended state returns claiming $31 million of refunds. Received $62 million in refunds in the fourth quarter and a total of $113 million in refunds to date alongside one rejection notice in the amount of $1.2 million.
• Relocated one and opened four new dispensaries in Florida.
• Ended the quarter with 32 per cent of retail locations outside of the state of Florida.

2023 Full Year Financial and Operational Highlights

• Revenue of $1.13 billion, with 96 per cent of revenue from retail sales.
• Achieved GAAP gross margin of 52 per cent, with gross profit of $589 million.
• SG&A expenses lowered by $61 million from prior year to $386 million.
• Reported net loss of $527 million. Adjusted net loss of $70 million excludes non-recurring charges, asset and goodwill impairments, disposals and discontinued operations.
• Generated cash flow from operations of $202 million and free cash flow of $161 million.
• Achieved adjusted EBITDA of $322 million, or 29 per cent of revenue.
• Purchased $57 million face value senior secured 2026 notes for USD $47.6 million in September, which represents a 16.5 per cent discount to par, plus accrued interest.
  • Cash as of Dec. 31, 2023, of approximately $208 million.
• Launched adult-use sales in Connecticut and Maryland and opened new markets with medical dispensaries in Georgia and Ohio.
• Exited California retail assets and operations in Massachusetts as part of cash preservation and generation plan to bolster business resilience.
• Opened 17 dispensaries in 2023, increasing retail footprint to 192 retail locations nationwide at year end.

Recent Developments

• The Smart and Safe Florida campaign for adult use presented oral arguments to the Florida Supreme Court in November. The deadline for a ruling is April 1, 2024.
• Added two executives to the leadership team in January, Wes Getman, Chief Financial Officer, and Marie Zhang, Chief Operating Officer.
• Opened one retail location in Pinellas Park, Florida.
• Currently operate 193 retail dispensaries and over 4 million square feet of cultivation and processing capacity in the United States.

Management Commentary

"Last year we successfully executed on our plan to bolster our business resilience with a focus on cash generation and preservation while making investments to support future growth," said Kim Rivers, Trulieve CEO. "Fourth quarter momentum was underpinned by improved consumer trends. We entered 2024 in a position of significant strength just as the outlook for industry growth and reform brightened. With strong cash generation and a clearly defined strategy, Trulieve is best positioned for the coming wave of meaningful growth catalysts."

Conference Call

The Company will host a conference call and live audio webcast on February 29, 2024, at 8:30 A.M. Eastern time, to discuss its fourth quarter and full year 2023 financial results. Interested parties can join the conference call by dialing in as directed below. Please dial in 15 minutes prior to the call.

North American toll free: 1-844-824-3830 Passcode: 1674609

International: 1-412-542-4136 Passcode: 1674609

A live audio webcast of the conference call will be available at:

https://app.webinar.net/rGl0B9nPzjZ

A powerpoint presentation and archived replay of the webcast will be available at: https://investors.trulieve.com/events The Company's Form 10-K for the year ended December 31, 2023, will be available on the SEC's website or at https://investors.trulieve.com/quarterly-results. The Company's Management Discussion and Analysis for the period and the accompanying financial statements and notes will be available under the Company's profile on SEDAR and on its website at https://investors.trulieve.com/quarterly-results. This news release is not in any way a substitute for reading those financial statements, including the notes to the financial statements.

About Trulieve

Trulieve is an industry leading, vertically integrated cannabis company and multi-state operator in the U.S., with leading market positions in Arizona, Florida, and Pennsylvania. Trulieve is poised for accelerated growth and expansion, building scale in retail and distribution in new and existing markets through its hub strategy. By providing innovative, high-quality products across its brand portfolio, Trulieve delivers optimal customer experiences and increases access to cannabis, helping patients and customers to live without limits. Trulieve is listed on the CSE under the symbol TRUL and trades on the OTCQX market under the symbol TCNNF. For more information, please visit Trulieve.com.

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