Rubicon Organics : Corporate Presentation - March 2024

Disclaimer

This presentation is not, and under no circumstances is to be construed as, a prospectus, or advertisement or a public offering of securities of Rubicon Organics Inc. ("Rubicon Organics" or the "Company").

This presentation contains forward-looking information within the meaning of applicable securities laws. All statements that are not historical facts, including without limitation, statements regarding future estimates, plans, programs, forecasts, projections, objectives, assumptions, expectations or beliefs of future performance, statements regarding Rubicon Organics' goal of achieving industry leading profitability are "forward-looking statements". Forward-looking information can be identified by the use of words such as "will" or variations of such word or statements that certain actions, events or results "will" be taken, occur or be achieved. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, events or developments to be materially different from any future results, events or developments expressed or implied by such forward looking statements.

Risks and uncertainties associated with the forward looking information include, among others, information or statements concerning the Company's expectations of financial resources availability to fund operations; Rubicon Organics' limited operating history and lack of historical profits; obtaining the necessary regulatory approvals; that regulatory requirements will be maintained; general business and economic conditions; the Company's ability to successfully execute its plans and intentions; the Company's ability to obtain financing at reasonable terms though the sale of equity and/or debt commitments; the Company's ability to attract and retain skilled staff; market competition; the products and technology offered by the Company's competitors; that our current good relationships with our suppliers, service providers and other third parties will be maintained; and those factors identified under the heading "Risk Factors" in Rubicon Organic's annual information dated March 27, 2024 filed with Canadian provincial securities regulatory authorities. These factors should be considered carefully, and readers are cautioned not to place undue reliance on such forward-looking statements. Although Rubicon Organics has attempted to identify important risk factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other risk factors that cause actions, events or results to differ from those anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in forward-looking statements. Rubicon Organicsassumes no obligation to update any forward-looking statement, even if new information becomes available as a result of future events, new information or for any other reason except as required by law.

We have made numerous assumptions about the forward-looking statements and information contained herein, including among other things, assumptions about: optimizing yield, achieving revenue growth, increasing gross profit, operating cashflow and Adjusted EBITDA profitability. Even though the management of Rubicon Organics believes that the assumptions made, and the expectations represented by such statements or information are reasonable, there can be no assurance that the forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in forward-looking statements. Investors are cautioned against undue reliance on forward-looking statements or information. Forward-looking statements and information are designed to help readers understand management's current views of our near- and longer-term prospects and may not be appropriate for other purposes. Rubicon Organics assumes no obligation to update any forward-looking statement, even if new information becomes available as a result of future events, changes in assumptions, new information or for any other reason except as required by law.

This presentation contains information obtained by the Company from third parties, including but not limited to market data. The Company believes such information to be accurate but has not independently verified such information. To the extent such information is obtained from third party sources, there is a risk that the assumptions made, and conclusions drawn by the Company based on such representations are not accurate.

An investment in the Company is speculative and involves substantial risk and is only suitable for investors that understand the potential consequences and are able to bear the risk of losing their entire investment. The Company is in the early stage of development and has a limited operational history, making it difficult to accurately predict business operations. The Company has limited resources and may run out of capital prior to becoming profitable. The Company may fail, and investors may lose their entire investment. An investment in the Company may have tax consequences to the investor. The Company assumes no responsibility for the tax consequences of any investment. Investors should confer with their own tax advisors regarding an investment in the Company.

The production, packaging, labelling, handling, distribution, importation, exportation,

licensing, sale and storage of cannabis products are affected by extensive laws, governmental regulations, administrative determinations and similar constraints which are beyond the Company's control. There can be no assurance that the Company is or will be in compliance with all of these laws, regulations, determinations and other constraints. Failure to comply with these laws, regulations, determinations and other constraints or new laws, regulations, determinations or constraints could lead to the imposition of significant penalties or claims and could negatively impact the Company's business. In addition, the adoption of new laws, regulations, determinations other constraints or changes in the interpretations of such requirements may result in significant compliance costs. This may have a material adverse effect on the Company's business, results of operations, cash flows and financial condition.

Figures are presented in Canadian dollars, unless otherwise noted.

Non-GAAP Measures

Adjusted EBITDA and Free Cash flow are non-GAAP measures used by management that are not defined by IFRS and may not be comparable to similar measures presented by other companies. Adjusted EBITDA is calculated as earnings (losses) from operations before interest, tax, depreciation and amortization, share-based compensation expense, and fair value changes. Free cash flow is calculated as net cash provided by (used in) operating activities, less purchases of and deposits on property, plant and equipment.

Management believes that these non-GAAP measures are useful indicators of operating performance and are specifically used by management to assess the financial and operational performance of the Company. Accordingly, they should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS. The Adjusted EBITDA and Free Cash Flow reconciliation are presented within this presentation and within the earnings press release of Rubicon Organics dated March 27, 2024 and are explained in the Company's Management Discussion & Analysis report for the year ended December 31, 2023 filed with Canadian securities regulators, which can be accessed atwww.sedarplus.ca.

•  Proudly delivering BC premium & organic certified cannabis nationally

  Corporate Overview

  We are a Leader in the Canadian Cannabis Sector Producing Premium & Super-Premium Branded Cannabis Products

•  3 flagship brands, prominent brand recognition in their segments

•  Extensive distribution in largest Canadian markets: Ontario, Quebec, Alberta & BC

•  Deliver gross profit with every product sold

•  Focused on the lucrative & expanding premium market

•  Leveraging our own quality product by proactively shifting to highest margin products

•  Experienced cannabis team with a track record of operating execution in cannabis

•  Growth strategy built on the strength of our leading premium brand portfolio

• 1. Adjusted EBITDA is a non-GAAP measure that is calculated as earnings (losses) from operations before interest, tax, depreciation and amortization, share-based compensation expense, and fair value changes. See Appendix for details on the Adjusted EBITDA calculation. $4.4 million is the 12-month AEBITDA to December 31, 2023

• 2. 2023 KIND Magazine's ("KIND") awards

• 3. Brightfield Group Canada Budtender Study 2023

• 4. Hifyre data for flower & pre-rolled products covering the twelve months ending December 31, 2023 in Canada

• 5. Hifyre data for premium flower & pre-rolled products covering the twelve months ending December 31, 2023 in Canada

• 6. Hifyre data for topical products covering the three months ending December 31, 2023 with 26.9% market share and #1 ranking

2023 KIND Awards

Industry Recognition is Critical to Success

2023 Cannabis Company of the Year

2023 Peopleʼs Choice Best Weed

2023 Favourite Sample

Voted #1 brand sampled by budtenders.

#1

Topical in Canada

26.9%

Market Share

Hifyre data for topical products covering the three months ending December 31st, 2023 with 26.9% market share and #1 ranking

• 1. Hifyre data for premium flower & pre-rolled products covering twelve months ending December 31, 2023

• 2. Hifyre data for premium flower products covering twelve months ending December 31, 2023

• 3. Hifyre data for premium pre-rolled products covering twelve months ending December 31, 2023

• 4. Hifyre data for premium edibles products covering three months ending December 31, 2023

• 5. Hifyre data for premium concentrates products covering three months ending December 31, 2023

• 6. Hifyre data for topical products covering three months ending December 31, 2023

Industry Recognition is Critical to Success

Category

Ranking Market Share

• Premium Flower & Pre-rolls1 #2 6.9%

• Premium Flower2 #5 4.0%

• Premium Pre-rolls3 #5 3.6%

• Premium Edibles4 #3 14.1%

• Premium Concentrates5 #2 11.0%

• Topicals6 #1 26.9%

Growth Strategy Leveraging Our Brands

Entering next phase of growth strategy

1. Per Hifyre, 12-month rolling premium and full market sales growth (year-over-year to February 2024)

Launching Vape

Introducing - 1964 Supply Co

Vapes will be available in 1g FSE Resin 510 carts

Expected in market starting May 2024 for British Columbia,

*Hifyre data, 2023, all provinces, all price tiers

1964 is ready to take its share of the fast growing +$800M

Canadian vapes market*

Planned launch with two best selling cultivars: Comatose and

Blue Dream

Alberta and Ontario

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Disclaimer

Rubicon Organics Inc. published this content on 28 March 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 March 2024 23:05:46 UTC.