Vencanna Ventures Inc. Releases Financial Results, Plans Exit from New Jersey Cannabis Market

Calgary, Alberta — April 2, 2026 — Leads & Copy — Vencanna Ventures Inc. (CSE:VENI) released a summary of its financial results as of January 31, 2026, highlighting strategic decisions in a challenging cannabis market.

The financial details are available on SEDAR+ at www.sedarplus.ca, and all figures are expressed in U.S. dollars unless otherwise stated.

In Nevada, Vencanna is focusing on operational efficiencies and cost management due to declining tourism and cannabis sales. Tourism in 2025 fell 7.5% year-over-year, and cannabis sales dropped for the fourth consecutive year, decreasing almost 11% compared to 2024, according to the Las Vegas Convention and Visitors Authority and the Nevada Department of Taxation. For the quarter ending January 31, 2026, tourism is down 5.6%, and cannabis sales are down 9.0% compared to the same period last year. Despite the market challenges, Cannavative is maintaining its focus on high-quality product offerings.

Vencanna holds a 95% interest in Vencanna NJ LLC, which possesses a Class 5 Retail license in Bellmawr, New Jersey. On November 27, 2025, Vencanna announced a definitive sale agreement with an arm’s length purchaser to sell its 95% membership interest in Vencanna NJ. The total consideration includes $1,250,000, a cash reimbursement of approximately $135,000 for certain deposits, and an earnout of up to $250,000. The transaction is expected to close in the first half of 2026, pending customary closing conditions, including municipal and state approval.

Previously, on October 3, 2025, the company announced that TGC New Jersey LLC exited its lease in Cinnaminson, NJ, and Vencanna was released from its guarantee of the lease without further cost. Upon the sale of Vencanna NJ, the company will have fully exited its New Jersey operations. The company decided to monetize its interests, relieving itself of obligations and future expenditures, citing the difficulty in securing new capital for the cannabis industry.

Fiscal 2026 Q3 to 2026 Q2 Operating Summary:

Revenues of $418k were relatively flat compared to $414k the previous quarter.

Cost of sales and expenses decreased quarter-over-quarter by 13% and 21%, respectively, highlighting the company’s continued cost-saving measures.

Gross profit and net income were negative $34k and $285k respectively, a 68% and 26% improvement over the previous quarter.

The company recorded a comprehensive loss of $266,868, $0.00 per common share for the three months ended January 31, 2026 as compared to a loss of $1,723,647, $0.01 per share, for the three months ended January 31, 2025.

Expenses during the period were $285,407 (2025 - $806,360). The $554,612 reduction in expense for the three months ended January 31, 2026 compared to the three months ended January 31, 2025 is primarily attributed to $227,469 lower Amortization and depreciation expenses, $32,665 lower marketing and selling costs, $25,394 lower office and miscellaneous fees, $53,260 lower professional fees, $104,613 lower salaries, benefits and bonuses, and $93,425 lower interest expenses related to leases.

Other income and (expenses) for the period were $19 (2024 – ($1,410,352)) due to the gain upon termination of one of the leases during the second quarter and the year prior the Company reported a loss on disposal of property and equipment of $1,414,262 vs nil for the current period.

As of the date of the release, the company’s outstanding securities consist of 222,644,952 common shares, 55,974,604 exchangeable shares, no warrants, and no options. The exchangeable shares, issued under the acquisition of Cannavative, are exchangeable on a one-for-one basis into common shares of the company.

On April 1, 2025, the company announced the re-commencement of its normal course issuer bid and will terminate on the earlier of April 1, 2026 and the date on which the maximum number of Shares that can be acquired pursuant to the Bid have been purchased. During the current period, the Company did not purchase any common shares.

Vencanna derives the majority of its income from the cannabis industry in certain states in the United States, which is illegal under the federal laws of the United States. However, the Company is not aware of any non-compliance by the Company, or its investees, or The Cannavative Group, that would be contrary, or illegal, under applicable state laws.

On December 18, 2025 President Trump signed an executive order to directing U.S. Attorney General Pam Bondi (the “AG”) to expedite the rescheduling of cannabis from a Schedule I drug to a Schedule III drug.

Rescheduling to Schedule III does not legalize the production and sale of cannabis, but it does eliminate the application of IRC 280E, which will significantly reduce the tax burden and increase cash flows for U.S. state compliant cannabis businesses. The executive order does not automatically reschedule cannabis, but it does direct the AG to complete the ”rulemaking process” “in the most expeditious manner in accordance with Federal law”.

Even though a significant majority of the comments support rescheduling, that research continues to support cannabis’ medical benefits along with a lower risk of abuse, and the President’s executive order to reschedule cannabis, the timing of actual cannabis reform, including the Secure and Fair Enforcement (SAFE) Banking Act, still challenged by regulatory hurdles, politics, potential lawsuits, and implementation logistics.

Vencanna Ventures transitioned from an oil and gas issuer to a merchant capital firm on September 24, 2018, after a recapitalization financing and the appointment of a new management team and board of directors. On April 30, 2024, Vencanna acquired Cannavative, a cultivation and extraction company in Nevada established in 2016 and operational since 2017. This acquisition transitioned Vencanna from a merchant capital firm to an operating company. Cannavative operates out of a 7,500 square-foot facility and offers over 150 SKUs of high-quality concentrate and pre-roll products.

Vencanna aims to provide investors with a diversified, high-growth cannabis investment strategy, focusing on strategic investments, grass-roots developments, and acquisitions within the cannabis value chain.

Source: Vencanna Ventures Inc.