Adastra Holdings Reports FY2023 Results; Marking Third Consecutive Year of Record Revenue - Seite 2

• Gross revenues of $9.1M in Q4 2023, compared to $6.8M in the fourth quarter of 2022 ("Q4 2022"), representing an increase of 34%, due to an increase in throughput of the Langley Facility and increased deliveries to provincial distributors.
• Net loss and comprehensive loss of $1.5M during Q4 2023, compared to $2.6M during the third quarter of 2023, a decrease of 43% quarter over quarter.

FY2023 Business Highlights

• Endgame Extracts ranks 2nd, 4th, 7th & 10th of the best-selling concentrates in British Columbia, according to Headset^[1].
• In Alberta, Endgame Extracts ranks 3rd, 8th & 10th of the best-selling Vapor Pens and 2nd, 5th, 9th & 10th best-selling concentrates according to Headset^[2].
• In Ontario, Endgame Extracts ranked the 2nd best-selling Vapor Pen according to Headset^[3].

1 Source: Headset Data, April 23, 2024
2 Source: Headset Data, April 23, 2024
3 Source: Headset Data, April 23, 2024

Financial Statements & Management's Discussion and Analysis

This earnings press release should be read in conjunction with Adastra's audited annual financial statements for the three and twelve months ended December 31, 2023 ("Financial Statements"), and the related Management's Discussion & Analysis (the "MD&A"), which can be found on Adastra's issuer profile on the System for Electronic Document Analysis and Retrieval Plus ("SEDAR+") at www.sedarplus.ca.

About Adastra Holdings Ltd.

Adastra has become one of Canada's leaders in the supply and manufacturing of ethnobotanical and cannabis products for lawful adult-use. It serves medical markets and engages in forward-looking therapeutic applications. With cannabis concentrate products sold through retailers at more than 2,000 locations across Canada, Adastra's Phyto Extractions and Endgame Extracts brands are now well established with a growing distribution presence. As a Health Canada licensed facility, the Langley Facility specializes in extraction, distillation and manufacturing of a range of cannabis-derived products. Adastra partners with healthcare professionals and practitioners within the regulated environment to create products suitable for the medical cannabis market, with the ultimate aim of addressing the needs of patients. For more information, visit: www.adastraholdings.ca.