Cantourage Stock

Hello, and a warm welcome to the H1 Earnings Call 2026 of Cantourage Group SE. I would like to welcome the company's CEO, Philip Schetter; and CFO, Monique Jaqqam, who will guide us through the figures in a moment, followed by a Q&A session via audio line and chat. And with that, I hand over to you, Mr. Schetter.

Thank you, and good morning, everyone, and thanks for joining Cantourage's Q2 2026 Results Call. In a nutshell, Q2 was an important step for us. And today, we want to show you why. Why we believe that our business has improved, especially in profitability, and in how we are positioned internationally. So here's how we'll walk you through it. First, the strategic developments in our core European markets. Then we'll get into financials, into more detail. And finally, our priorities for 2026 and beyond.

Let's start with the key message of the quarter. Our shift towards higher-margin business is delivering. Revenue came in at EUR 21.8 million. That's below prior year quarter, but that's by design, not by accident. In Germany, we deliberately pulled back on our lower-margin business and put more focus on higher-margin premium products. And you can already see that effect clearly in our profitability. Our EBITDA margin rose to 13.1%, almost double where we were a year ago. So we're generating significantly more EBITDA from a lower revenue base. That's really important for us because it shows our focus on earnings quality is actually working. At the same time, we're continuing to strengthen our differentiation through our own proprietary products and brands.

But first, let's look at how our revenue mix has changed. One of the biggest developments in Q2 is just how much more diversified our business has become. We are by now a pan-European player. International markets made up about 54% of group revenue in the quarter. A year ago, that number was only around 16%. So our Q2 mix now looks like this: roughly 46% in Germany, 44% in the U.K. and 10% in Poland. That's a fundamental change in the makeup of this company.

As mentioned before, we are now a pan-European player. Germany is our home market and very important for us, but our dependence on a single market is dropping significantly. Again, we are a pan-European player. Today, we operate mainly across 5 European countries, but we still see real opportunity ahead in markets like France, Italy and Spain. This diversification gives us several growth platforms and makes this whole business more resilient.

So let's look at our 3 most important markets in detail, kicking it off with Germany. Germany, as of today, is still Europe's largest medical cannabis market, and it's still at the core of everything we do. The market really accelerated after regulatory change in April 2024. Medical cannabis is no longer classified as a narcotic, and in general, any doctor can prescribe it. That has made access for patients much easier and has driven strong market growth.

At the same time, competition has intensified a lot. There's now a large and increasingly diverse offering out there across all product categories. For us, that means we need to differentiate. We don't believe in creating sustainable value by chasing volume. Our focus is on attractive products, pharmaceutical quality, innovation and margins that hold up. And the structural opportunity here is still substantial. Germany has a population of around 84 million people, and an estimated potential patient pool of roughly 70 million patients. That's factoring those large indications where cannabis can actually be prescribed to.

And right now, we're seeing roughly maybe 0.5 million to 1 million medical cannabis patients. So all in all, the penetration of the potential patient pool is still less than 3%. Which means, despite the strong growth we've already seen, we think there's still a lot of room for this market to develop. And there's an important discussion happening right now around statutory health insurance reimbursement.

So here's the key point on the proposed reform of the GKV. It mainly changes reimbursement pathways, but not patient access. And for us, that distinction really matters. More than 90% of Cantourage flower sales in Germany are self-pay prescriptions as far as we can estimate, so we expect the direct financial impact on our existing business to be very limited. And importantly, all those changes recently were also further clarified. Existing patients on cannabis extracts or other product formats, like dronabinol, can continue their therapy without switching to approved medicine, a finished medicine first. That gives patients and physicians more legal certainty and continuity of care.

Under those proposed changes, cannabis flowers will generally no longer be reimbursed, but they can still be prescribed. And where approved finished medicines exist, they're expected to be preferred over compound products. But right now, there are only a few approved finished medicines, and they cover very narrow indications. For a lot of indications, there simply isn't an alternative to dronabinol or other product formats. Hence, we expect compounded cannabis therapies to remain an important treatment option.

And there could actually be an opportunity for us here, too, if some patients currently on reimbursed therapies need to move in the self-pay market, and we like our chances that they will switch to a Cantourage product. So our position in the German market lines up very well with this, and we like the decision we've taken in the past, a very patient-oriented but also self-pay market-oriented product portfolio.

And that brings us also to GRAMZ. GRAMZ. is our medical cannabis brand, and it's an important milestone for us. It builds on the core strength of our platform, our global sourcing network, our pharmaceutical expertise and the distribution capabilities we've already built. And it leverages our insights and data we created, operating as distributors and offering telemedicine platforms in multiple markets. Our ambition is simple: premium medical quality at attractive price points by combining curated genetics with a scalable international supply network.

But strategically, GRAMZ. is about something bigger than that. It moves us further along the value chain from distributor towards brand owner. That strengthens our differentiation, and it gives us the chance to capture more value and improve our margin potential long term. And the initial response was really encouraging. The first batches sold out quickly, and GRAMZ. generated more than EUR 0.5 million in revenue shortly after launch. And we see that as a blueprint. The infrastructure, the market insights we're building here, can support future brands and further product innovations down the line.

So Germany remains a key pillar of our strategy, but it's increasingly complemented by strong international growth. And the best example for that is the United Kingdom. The U.K. has become our second major revenue pillar. In Q2, U.K. revenue grew from EUR 3.9 million to EUR 9.6 million. That's year-on-year growth of about roughly 150%. So the U.K. business is now almost at the same revenue level as Germany, and very profitable. And we still see substantial structural potential there. The U.K. is Europe's largest private medical cannabis market. Nearly all patients are treated through private clinics. NHS prescriptions are still limited to very, very, very few exceptional cases. And that market structure actually fits very well with our experience and capabilities.

We are seeing digital cannabis clinics and pharmacies expand and more high-quality EU GMP products becoming available. Both are supporting further market development. At the same time, penetration, similar to Germany, is still low. U.K. population of roughly 70 million people, more than 5 million potential patients and currently roughly 100,000 medical cannabis patients. So penetration still very, very low. Addressable market is still significant.

Our third major market is Poland. Similar story. However, Poland is [ similar to ] Germany and the U.K. in absolute terms, but it's developing very dynamically. Also, our revenue grew there from EUR 0.6 million to EUR 2.1 million last quarter. That's about 250% growth year-on-year. What makes Poland particularly attractive is that the medical cannabis market in Poland is entirely import dependent. And at the same time, patient and prescription numbers have grown significantly since legalization in 2017, driven by a high unmet medical need and growing acceptance, both among doctors and patients.

The market did see some temporary pressure due to stricter telemedicine restrictions, but the market bounced back and is on a growth path. So all in all, similar story to Germany and the U.K. Lots of potential in Poland, and we like our chances being at the forefront of that movement. In total, looking at the Cantourage opportunity, just looking at the different markets we've just talked about, huge potential in the future. We are active in the 3 largest and most dynamic cannabis markets in Europe. And as outlined, looking at the sheer numbers, lots of growth potential just for Cantourage.

And that's, by the way, also supported looking at the, let's say, wider world, we firmly believe cannabis can be used to treat several different indications. Here shown, larger ones like sleep disorder, anxiety disorder, chronic pain. Currently, lots of indications where people are not thinking about using cannabis as a remedy, but that's the future. People looking to treat their indications, their illnesses with alternative therapies and cannabis can be the one helping lots of people around the globe, or, in particular, in our 3 target markets: Germany, U.K. and Poland.

Lots and lots of potential, and for Cantourage that creates a significant long-term opportunity. We already built the sourcing, the distribution and the market infrastructure. And we believe that puts us in a strong position to capture growth as these markets continue to develop. And with that strategic context set, we believe we're firmly positioned to further drive profitable growth in the foreseeable future. And let's talk financials now. I'm happy to hand over to Monique, our CFO.

Thank you, Philip. The financial results on this slide clearly demonstrate the impact of the strategic decisions you've just heard about. Let me start with revenue. Revenue amounted to EUR 21.8 million compared with EUR 27.8 million in the second quarter of 2025. That is a decline of approximately 22%. But this decline needs to be seen in the context of our deliberate decision to reduce lower-margin business in Germany.

The more important development is, therefore, what happened to profitability. Our gross margin increased from 28.5% to 36.4%. That is an improvement of 7.9 percentage points year-on-year. And despite the lower revenue base, EBITDA increased from EUR 2 million to EUR 2.9 million. EBITDA margin increased from 7% to 13.1%. So the financial equation is very clear: lower revenue, but substantially higher margins and higher EBITDA.

For us, this is strong evidence that the premium strategy is delivering the intended results. We are prioritizing the quality of revenue and sustainable profitability rather than pursuing top line growth at any cost. And this improvement in operating profitability is supported by a very solid financial position. Manuel, shall we move on? Thank you.

Our balance sheet provides us with significant flexibility to continue executing our strategy. As of June 30, 2026, our equity ratio stood at 71.3%, and our net cash position increased to EUR 9.3 million. This compares with EUR 1.9 million in the prior year period.

The strong capital base is important for 2 reasons. First, it provides stability and resilience as we operate in markets that are developing rapidly. And second, it gives us the financial flexibility to invest in our future growth. That includes the development of proprietary brands, new product formats, further international expansion and further development of our digital healthcare capabilities.

So if we summarize Q2 from a financial perspective, we see 3 important achievements: we significantly expanded our margins, we increased EBITDA despite lower revenue and we maintained a very strong financial position. This gives us a solid foundation for the next stage of our development. And with that, I hand back to Philip for our strategic priorities for 2026 and beyond.

We cannot hear you, Mr. Schetter.

Now I'm back on. Sorry for that. So what's in store for 2026 and beyond? So our utmost objective is profitable growth and further diversify our product service -- our products and our service portfolio. We quickly talked about GRAMZ., our flower brand in Germany. We're currently working on introducing a few additional brands with, let's say, the similar underlying rationale, expands our sourcing opportunities. We can put our cash to use in order to boost our profitability and our margins. So that's something we're currently working on hard.

And we'll also leverage our Cantourage brands in introducing additional form factors. Form factors here, we're talking about edibles, vapes, hash, resin, rosin, all types of different form factors that we're currently about to introduce in our European target markets, especially in the U.K. and in Germany. In addition to that, we're working on improving our telemedicine offering in Germany to further expand pathways for patients in order to start a cannabis therapy. Stay tuned. We'll have some news, I believe, in Q4 on that.

And all in all, and those innovations, be it brands, be it form factors, but also our service offerings, are boosted or underlined by our data analytics. And by now, we've been doing it for quite some time. Active in different European markets, being an importer, manufacturer, distributor. But also our telemedicine offerings, we've compiled lots and lots of data, which we'll systematically analyze in order to also inform our strategy and decision-making in the future. So any innovation that'll come out in the next couple of weeks and months, but also the years to come is actually spurred by our data analytics, which we're currently building out. That's it from us.

[Operator Instructions] And we already have 2 risen hands. Ellis Acklin.

Can you hear me now?

Yes, we can hear you now.

Apologies for that. I have 2 topics to kick things off here. The first one, I'll go one at a time. In the revenue reset, it's quite clear. This was a deliberate chance to reset your product mix. Maybe you could talk a little bit also about German demand, if anything specifically has changed there at all, that we should be aware of? Or is it really just the [ profit ] mix? And then, finally, on that topic, if Q2 revenue level can be seen as a new base for Germany going forward?

So the demand -- the German market is there. I also say that it still sustained momentum. However, also mainly the market segments that are growing are, and we call it value segment, where there are currently very limited to no margins. So hence, we made the decision to change our portfolio mix, rather playing in the market segments where we can actually make some profits and earn some cash. So that's by design. Currently, working also in changing our operating model, also changing our underlying financial model to potentially reenter that segment, but that's ongoing. For the time being, we feel very comfortable in the position we're in, making very healthy margins with, let's say, a decent top line in Germany.

The top line we saw in Q1 and also Q2, if you read also, let's say, our -- or were in our Q1 earnings call, so revenue stabilized. Currently, at that level, we're seeing -- we foresee potentially an uptick in the upcoming quarters, as we've, let's say, reconsidered or reconfigured our portfolio and also now are ordering more biomass in order to get into that premium segment. That usually takes some time to re-ramp up production or cultivation, but we foresee that we have an opportunity to grow our top line also with their premium strategy in Germany. And also, for example, our brands like GRAMZ. will come into play. So the first couple of drops happen in Q2. Also seeing the question from [ Johannes Wilde ]. We're currently also ramping up the supply chain to bring more GRAMZ. products to the markets in Q3 and Q4. I hope that answers your question.

Okay. Yes. And then my second question, it's a margin bridge question pertaining to the gross margin. I mean, that was a great uptick there. If you can maybe just give a little bit more color, if that's traced, how much is traced to the mix pruning, maybe supplier terms, geographic mix, introduction of GRAMZ.? Just maybe connect a few dots there would be helpful.

Yes. Maybe then, Monique -- Monique, you want to take that question? Yes, go ahead, please.

Yes. I would say that the majority of that uptake is related to the segmentation of the products, but there's also a portion that relates to supplier renegotiations of terms. But the majority is really product mix driven.

There is another risen hand from Ingo Schmidt.

Congratulations on the strong results and impressive margin expansion in this quarter. I have 2 quick questions. First, on U.K. Revenue soared by 146%, almost matching Germany. That's great. Do you expect this growth momentum to continue at a similar pace in H2? Or are you running into supply and capacity bottlenecks?

And second, on M&A and your net cash position. Given last recent takeover news in the cannabis market, how do you view your position? Are you actively looking at M&A to buy smaller competitors? Or given your high profitability, do you now see Cantourage itself as an attractive takeover target?

So with regards to the U.K., we like our chances, let's say, to further build on that momentum. The latest news, also the Home Office, so the regulator in the U.K. tightened regulation around product supply that plays into Cantourage's cards. We have a very robust, highly compliant supply chain, whereas others are cutting corners to a certain degree. So we do like our chances to further build our position in the U.K., and that could potentially also show in the U.K. performance in Q3 and Q4. We like our chances to continuing that trend, also by introducing new product formats fairly soon. So stay tuned.

M&A, as of now, we feel very comfortable with our infrastructure and the projects we're going to be running to further build our license stack. We have very preliminary talks to potentially do a forward integration to increase our wholesale or distribution capabilities in, let's say, new or additional European markets. Yes. So we're coming at least from our position, from a position of strength. So rather, an active player, being acquired, it's not something we're currently discussing.

We have another risen hand from Tobias Koesters.

Can you hear me?

We can hear you.

Congratulations for the results. What I am missing, you had indicated guidance for '26 would come in August. And so far, my question, is it still coming, and when? Second question, when will we see new product on the Telecan platform? When will they go live? And third question, since the beginning of the year, you speak about France and other countries, but which countries are next? And what is the time line, please?

So with regards to guidance, so August is still young, not even the middle of the month, and we're in the process of, let's say, readjusting or redoing our forecast, which will inform also potentially making a guidance soon. So let's wait and see, so to speak. Second question was around our telemedicine offerings, in particular in Germany, and expansion of our product portfolio. So we're planning to do a step-by-step approach, as mentioned, we call it Telecan 3.0 internally. Should go live in Q4, which will center around cannabis initially, but will have, at least our expectation, an improved patient experience, and, by the way, also an improved doctor and pharmacy experience.

And building on that, we're planning to expand or extend our product portfolio in 2027, then basically using that building block and improved cannabis ecosystem and then extending that to additional medicines in 2027. And that's also a time line for additional markets. So Spain, Italy and France. France are now still finalizing the regulatory framework and an underlying reimbursement scheme. This is pretty much delayed. Similar to Spain, it's a tricky market. The framework was delayed again. By now, there is a first product that might enter the market, but the market is not that attractive as of now.

So we have rather hopes for entering Italy, where we've started an initiative to register products, but this is rather something for 2027 or 2028. So those markets will take time to develop, but also will take time from us in order to get into those markets. So our focus is on Germany, U.K. and Poland for 2026 and 2027. But as mentioned, I mean, lots of potential there. We like our chances to do quite some damage in those markets. I hope that answered your question.

There is another risen hand from Ellis Acklin again.

Can you hear me now?

We can hear you.

Excellent. So I maybe have some questions for Monique here at best. Can you maybe talk a little bit about the working capital development during the first 6 months of the year, especially with regards to how you've been hinting to the market that you're going to take on a bit more inventories? And then maybe as a second topic, if you could, update us on the reporting, housekeeping items that have been discussed throughout the year, where those stand?

Okay. Yes. Let's start with the working capital. So if you look at the end of last year, you can actually see that our equity ratios slightly decreased. The reason being that our balance sheet has expanded basically on both sides: outstanding trade receivables, specifically relating to the increase in revenue in the U.K. And also on the liability side, the reason there being that as we are -- we do continue to also look at serving the value segment, and we are doing more spot deals.

So where we try to find deals or products at a fixed but very low price, and that normally comes with the fact that we're going to have to prepay a certain amount or the whole raw material, where in the past, we had a lot more products, where we were sharing the risk with the grower through revenue share model. So that's basically the reason for that. And we've also come to agreements with our contract manufacturers that lowered rates in exchange for being paid a bit earlier. So that's on the working capital side.

With regards to reporting, in hindsight, the assessment in June was a bit too ambitious as to the 2025 consolidated financial statements. The audit review is taking longer and is more time consuming than I expected. There are no new risks that have appeared. It's just we need to go through the motions, and we are currently expecting completion in early September.

We have another risen hand from [ Arnaud Price ].

Well, congrats on the earnings beat. That's, of course, cool. Very much, although I like that, and I would, of course, like the company to broaden the revenue as well and to spread the lesser evil for the greater good even more. Regarding that, a few questions from my side. So my understanding was that the delay in other formats, like something comparable to Green Thumb's Incredibles, on the [ high ] side, not only on the CBD side, which is available, as I understand, was delayed by Bundesopiumstelle. Can you give us an update if that is past pain now? Their digitalization process, does that work by now? Or do we still have to wait for their digitalization, which, of course, we cannot influence? So that would be the first question.

Second, I clearly see opportunity in the weakness of competitors like Bedrocan. I mean, basically, their asset was not the quality of their product, as opposed to Cantourage, but their access to the payers. And as for simple flower, there, basically, the payers are completely out of the game by now, so that asset has not deteriorated, but it completely evaporated. It's vanished. So it would be kind of an easy, low-hanging fruit business to get patients who got fairly poor flower to not only -- if they already have to pay it themselves to get a higher-quality product from us, but also to switch them to dronabinol or gummies or vapes or whatever that are still being reimbursed. Are there current projects ongoing to take that opportunity?

And maybe finally, in terms of communication, I'm a bit dissatisfied in that respect, especially regarding your last option, insider purchases or granting of options, rather. Because personally, I think, in terms of the alignment of interests, Philip, it does make a huge difference if you get shares, like in the past, the nominal value of EUR 1 or if you have options that are currently out of the money and vest in -- I don't remember exactly, but something like 4 years, I have in mind.

So that basically really aligns your interests, and I think that should be communicated a lot more clearly than in those -- really, even for somebody who has the assumption of being fairly close to the company in a very complex style. So I think below 1% of the market understands that. So I think your alignment of interest should be communicated more clearly. So maybe I'll keep it with that for now.

Thank you. So maybe I go through it, so one by one, fairly quick with regards to our options program. Some of you may be aware, so Monique and I have received options in an options program. The strike price is set at, let's say, at that point in time, market levels. These options will vest over 4 years' time. So as [ Mr. Price ] alluded to, I think -- I mean, also our interests are aligned with the shareholder interests to create a long-term and sustainable value for the company. And that point taken, let's say, with further option programs, we should enrich our communication. I can also say here, so Monique and I will receive options on a yearly basis, but always on, let's say, current market levels in order to incentivize Monique and I to further drive up the value of the company.

With regards to our product innovations in Germany, so we imported on an R&D basis or for scientific purposes, the basis in order to develop new form factors, mainly edibles and extracts for inhalation. Those projects are underway and close to completion. We feel very comfortable with the products we've developed. The limiting factor with regards to time line currently is importing products for commercial use. So we applied for import permits, I think, back in May or early June. Usually, at the Bundesopiumstelle, it takes between 10 to 14 working days in order to grant or hand out import permits, but they switched up their system from a paper-based to a digital system. And now instead of 10 to 14 days, it takes 7 to 8 weeks, which is interesting, to say the least.

So that, to a certain degree, delays or derailed our time line to bring in new product formats and innovations to the German market. Current estimate is those batches we ordered for commercial use should arrive at the latest early Q4. But products are basically developed, which is waiting for the biomass or the raw material for further manufacturing. Bedrocan, and maybe on a broader scale, I think it's not just Bedrocan, but patients who entered the cannabis market in 2017, but also 2019, where there were regulatory changes, oftentimes fight or fought with their insurance companies in order to get a reimbursement. And if they were lucky, they got a reimbursement for their flower therapies. So acceptance rates were not that high.

But if you were in a position to get an acceptance by an insurance company, oftentimes those patients did not want to switch their therapy because if you switch from flower A to flower B, you need to go back to your insurance company in order to get a reimbursement. So hence, oftentimes, patients from 2017, 2019 or somewhere later, we call them legacy patients. They stick to a single product because they're afraid they won't get reimbursed in the future. But now, with the change in law, which is already effective, flowers won't be reimbursed. So those patients need to either switch to a different form factor, be it an extract or a dronabinol, but then also then reapply for a reimbursement by the insurance company. And here, we are -- I mean, our products are there.

With regards to them switching on a Cantourage flower, we are offering, especially premium flowers, trying to potentially also provide offerings in the valued segment. I think it's also fair to say that most of these patients are very sick, very ill, cost-sensitive. We need to find ways in order to provide an offering to steal, so to speak, the legacy patients because they're looking for mostly very cheap flower, which we have not really in our portfolio, but that's something we are currently working on, as mentioned. I rather like our chances for those patients switching to a new form factor, an extract, dronabinol or some of our new innovations. Yes, there we have a high -- big chance to grow our patient pool.

Yes. I mean, following up on that, Philip. As I understand right now, extracts are just roughly 10% of your revenue, and still the margin is pretty decent. It's comparable to premium flower. Is that right?

Correct.

Yes. So basically, I mean, I'd like to keep things simple. I mean we want to do good to patients and earn money at the same time, which is fair, I think. And I mean, it doesn't matter to us if somebody takes a decision to take a better product, which we earn a decent margin on and pays it themselves or if he chooses dronabinol instead of flower to have the same API, a different experience, of course. And I mean, it needs to fit him, not us. But we're also profiting from that.

What I think is, it is important to tell people that they have that choice and they can do both. And we don't care what choice the customer makes, at least he doesn't stick with cheap flower, which we basically don't do anymore because there is no money being earned on that. But my point is, we have to work on broadening that idea, telling those people who are presumably pretty sick, as you say. But basically, you have that option, yes, and we have to start working with the broader channel to give people that idea that they can have dronabinol or gummies or whatever format. And we just need kind of to get the message out to the world, from my humble opinion.

I think that -- and please don't get me wrong that the message is out, and we're supporting, delivering that message via patient associations, also via pharmacies. So we are relaying that message to patients indirectly. So there's strong patient associations. There's also industry associations, there's pharmacy associations, relaying that message also to patients. On the one hand, fight for their reimbursement. Also, from a flower perspective, that's -- for the time being, has been decided, but it's also lots of patients fighting for reimbursement of their flower. But also, when switching their product, there is patient associations helping them to reapply for reimbursement for a new form factor with their insurance company. So that's underway, but it's rather, let's call it, grassroots, by different associations going or informing patients.

Sorry, Philip. From -- particularly ad hoc, I understand that it's not an uphill battle, but it's just plainly impossible to get reimbursed for flowers by any GKV at the moment since the beginning of the month. The option is just not there anymore.

The question is there's a few patients now going to Sozialgerichte or similar courts and fight for their therapy. When they have been on therapy for a couple of years, there's patients now going up the courts and fighting for -- and trying to make a precedents file for other patients. And there is strong support by certain patient associations for single patients, and they're going up the courts. Currently talking about going up still to the Bundesverfassungsgericht. So that's also ongoing, fighting against legislation in general, or the change of legislation for flower.

But basically, it is our economic interest to change them to extracts. So on Telecan, that's already done. That, basically, the doctors tell people, okay, you don't get reimbursed for that product, but you have the same API at a different product which is still reimbursed. So you are proactively or reactively, at least, communicating that to the patients via Telecan?

Patients are being informed that there are other options, correct.

Good. So final point from my side, if I may, because the change. At the Ministry of Health, right now we have Warken out of office, who was clearly opposing cannabis, and now we have a new minister. It would be extremely helpful to drive the administration to enforcing the law that is in place right now instead of cracking down like Warken planned last year. So yes, are you taking action to get that done?

So basically, I mean, as I said, the lesser evil for the greater good. Fine, but guardrails need to be kept. So the law that is there should be enforced. And I personally think, from Munich experience, it does make a difference if you have the classic black market or if you have posh stores which are selling flower without the legal prerequisites just like that. And so people have the choice to have no paper trail and so on.

So I think to foster our business in Germany, it would be vital to close that road. So some political lobbying to tell people, please don't think about new guardrails, but keep the guardrails that are in place theoretically, but they have to be enacted in practice. Are you doing anything in terms of lobbying concerning that? I mean it's a fair point. That rule should be there for everyone. And of course, if that guardrails were really kept in practice, it would greatly benefit us, wouldn't it?

Correct. As we, together with other companies, are lobbying in that direction. So yes, rules are rules, and everybody should play according to the same rules. So that's something also we took an interest in the last weeks and months. And it's also fair to say, I mean, latest news is that the Drogenbeauftragte der Bundesregierung, so basically the highest-ranking narcotics officer, Hendrik Streeck, also published an article, I think, 2 days ago, where he had also alluded to the fact that, yes, we should enforce rules and not be too, let's say, too lenient around cannabis. That goes into that direction.

But it's a lobbying effort we need to undertake. Medical cannabis is -- at strict rules, pharmaceutical regulations, but also GMP guidelines. It's a safe supply chain. It's a safe distribution channel. It's something we need to protect, and we shouldn't allow the black market to, let's say, to enter our space, which has no rules at all. So we are taking a lobbying effort there, together with other companies.

Glad to hear that. So finally, did I understand that correctly that expanding Telecan to pills and syringes is still to be expected for Q4 or early '27?

So it's a step-by-step approach. We are planning to relaunch Telecan, Telecan 3.0 in Q4, centered around cannabis. So that's basically our MVP in that regard. And once we've ironed out the kinks, we're planning then to use that as a platform to launch additional medicines in 2027.

So European Hims & Hers is rather next year, basically?

Correct.

And with no further risen hands, we will go through the questions in our chat. Some might have already slightly been answered. I will read out the first one. The group results 2025 should have been published in May, according to financial calendar. Why are they still not published? And what are the reasons of the delay?

I think we've already answered that.

Okay. The next one, what was the revenue with GRAMZ. in Q2? And what revenues do you expect in Q3 and Q4 with GRAMZ.?

Q2 was slightly north of EUR 0.5 million. And as mentioned, we're currently ramping up the supply chain, building that momentum, so that number should grow in Q3 and Q4 with very healthy margins.

And the last one is a bit longer. In absolute terms, your gross profit is essentially flat, roughly EUR 7.9 million in Q2 2025 and again in Q2 2026. So the entire EBITDA improvement came from the cost side rather from the gross profit. From which quarter do you expect gross profit to grow in absolute terms again? And what's the driver?

Q3, the driver being twofold. So first, that increased margin is there to stay. And also, people remember, 2025, Q3 was a very turbulent quarter with regards to oversupply, price compression. That is a lot more stable. We're not expecting that to happen this year, so there will be a revenue increase quarter-over-quarter in Q3.

[Operator Instructions] However, there seem to be no further questions. In any case, should further questions arise at a later time, you can always contact Investor Relations.

So with this, we are coming to the end of today's earnings call. Thank you so much for your interest in Cantourage Group SE, and a big thank you also to Mr. Schetter and Ms. Jaqqam for your presentation and your time. And as I said, if any further questions arise, please contact Investor Relations. And I wish you all a successful day and hand over to you, Mr. Schetter, once again for your closing remarks.

Yes. Thank you, and thank you all for joining. A good discussion. We're working hard on, let's say, further improving our performance. I think by now we've laid the foundation structurally to continue our profitable growth. As mentioned, the opportunities are there all over Europe, and we do like our chances to play a very prominent role, leading the cannabis revolution in Europe. Stay tuned, and speak soon. Thank you so much.

Thank you. Have a nice day.

Good morning, ladies and gentlemen, and a warm welcome to the first Deutsche Boerse Scale Summit. My name is Judith, and I'm very pleased to welcome you on behalf of Deutsche Boerse. This new format brings together investors and high-growth scale issuers to enable a direct exchange on strategies, positioning, and investment stories. Each presentation will last 20 minutes and will be followed by a 10-minute Q&A session. We warmly encourage you to actively participate in these discussions.

With that, I'm pleased to welcome Cantourage's CEO, Philip Schetter, who will guide us through the presentation on Cantourage Group SE. And with no further ado, I'd like to hand over to you, Philip.

Thank you, and thanks for having us. The pleasure is all ours. So we're one of the high-growth companies you just talked about and happy to talk about Cantourage and our story and also, let's say, the latest market and business developments. So let's jump right into it.

First of all, I'd like to kick it off with a couple of our investment highlights to give you guys a rough overview what we're all about and what we do. So we are a company that's focused on medical cannabis. We're one of the very few pan-European companies. We've shown in the past that we can grow profitably in highly regulated markets. We implemented a very asset-light, scalable, capital-efficient business model, which we'll later talk about and also which shows basically in our numbers and our financial performance. We are in a market-leading position in the 3 largest European medical cannabis markets, which are Germany, U.K., and Poland, and are currently in talks in entering additional markets.

We have developed a very unique operating model, which leads to a very diversified product portfolio, which definitely helps us to build those market-leading positions with a, let's say, very broad and very patient-centric product portfolio. So that's basically us. But what's actually medical cannabis and what is it known for or being used for?

So medical cannabis can be used for various different indications. It ranges from digestive conditions to chronic pain to nausea to neurology. So very, very diverse indications and cannabis has demonstrated that it can help manage those symptoms. So cannabis doesn't cure any illness, but definitely helps managing pain, managing all types of different indications, especially when we're talking about, let's say, massive illnesses or massive disorders. Here on the left-hand side, 150 million people are suffering from sleep disorder, 60 million from anxiety disorders, and more than 100 million people suffering from chronic pain.

And given especially in, let's say, in the Western Hemisphere, people are getting older. People are suffering from more of those type of illnesses. So that's why we also firmly believe that medical cannabis will become even more mainstream.

It already shows in market developments. We can here see on the right-hand side, the development in Germany. There was a change in the regulatory landscape in April 2024, which basically kickstarted that market, which definitely eased the patient access. So it's a lot easier than it was before to start a cannabis therapy, and it also shows in the latest market developments.

However, looking at the European landscape of medical cannabis markets, there are two core challenges, which we definitely attack with our operating model. On the one hand, still to this day, there is a shortage of consistent supply and innovative products in the European medical cannabis market, which is, to a certain degree, mind-boggling because there are definitely lots of excellent growers out there. However, those growers don't have the necessary license to turn an agricultural good, which is being grown into a medicine. And they won't have the capabilities nor the needs to get to those capabilities and needed licenses and permits. So that's one big challenge, the shortage of product.

On the other hand, as I just also briefly talked about, the ease of access for patients is very important. We do have a second big challenge. There is a lack of doctors and pharmacies prescribing or dispensing cannabis. And still in the rather mature markets like in Germany, there's just a couple of doctors willing to entertain the thought of starting a cannabis therapy. So for patients, it's often very time-consuming, very challenging or at the end, not successful in order -- are not successful in order to start a cannabis therapy. So we're also trying to solve that riddle with Cantourage.

With regards to the product supply challenge, so I mentioned those growers can't manufacture pharmaceutical goods or medicines. That's where we come into play. We found a unique model, which allows us to certify selected growers worldwide. We then import that biomass into the European Union. And together with partners, we turn that biomass into a medicine and then distribute and sell those products to pharmacies and wholesalers.

So that basically opens up Cantourage to engage with the best growers around the world. So initially, we started off with growers from Africa, South America, Australia, New Zealand, and in particular, Canada. And today, most of our biomass is actually coming from Canada, where there are excellent growers and the regulatory landscape is very stable, and we have very consistent and stable supply chains established with our partners, especially in Canada.

So with that platform, we can very quickly and efficiently supply European medical cannabis markets with our partners. So there is no need to involve external regulators. There is no need for heavy investment for our growing partners. We take care of that. Our platform allows them to enter EU medical markets. Very swiftly, very quickly that makes us very, very successful because we can also then address changing patient demand very effectively and quickly. Because then we can talk to our growing partners, which biomass they can send to us in order to meet changing demand in different European medical cannabis markets.

Second challenge we'll quickly talked about is the ease of access or the lack of doctors and patients (sic) [ pharmacies ]. So in most European countries and still to this day also in Germany, it's pretty tough to get a cannabis prescription. So patients are walking from doctor to doctor, talking about their illnesses, their indications, their suffering, and most of the doctors basically straight up send them away. And if they find a doctor willing to start a cannabis therapy, and oftentimes, it's also a tedious way to actually get cannabis out of a pharmacy. So not every single pharmacy around the corner is dispensing cannabis or dispensing cannabis at affordable prices. So that's also another odyssey for patients to actually get their hand on medical cannabis out of a pharmacy.

That's why we also develop telemedicine platforms in Germany and the U.K., and England, which turns -- and those 2 odysseys, finding a doctor and then finding a pharmacy into a very safe and efficient process, which is fully digitized, is an online registration. So our customer care teams checking documents and see whether a patient could be potentially eligible for a cannabis therapy. Then there is a video consultation with a doctor. And if the doctor okays a therapy, then an electronic prescription is directly sent to a pharmacy dispensing cannabis and the medicine can be picked up and/or be sent to a patient's doorstep.

All in all, in an ideal world, then from online registration to actually get your hand on cannabis or medical cannabis, this can happen within 24, 48 hours, whereas before, it took days, weeks, months, or forever. So we make that very efficient, but it's also a safe process for everybody involved.

So that also comes into play our telemedicine platforms, as mentioned, in Germany and the U.K., and hence, we provide better access. All in all, that turns into our operating model, which is asset-light compared to our competition. As mentioned, we haven't invested heavily into growing operations or production facilities. We focused on those parts of the value chain where we add most of the value, which is mainly in production or manufacturing, but also we're known for our, let's say, sales capabilities, but also our telemedicine platform. So all in all, that makes us pretty unique in the European or global cannabis industry, whereas others focused on different parts of the value chain.

Our portfolio, as mentioned initially, very diverse. So we have lots of different flowers in our portfolio. We're working with our growing partners, bringing their brands into European markets. And in the API business, which is neat THC, so pure THC or pure CBD, we have our own solutions, our own brands in the market. So we can cater to different patient needs or different regulations. So for example, in Austria, we're supplying dronabinol, where flowers are not allowed, whereas in most of the other markets, we are heavily involved in the flower game. Here, quickly shown also an overview of our different flowers. We can cater to different needs, being value flower or high-quality premium flower, establishing different brands in different market segments and bringing those to patients all over Europe.

Footprint-wise, as mentioned, mainly active in Germany, the U.K., and in Poland. That's also shown in our revenue split for Q1 2026. So -- last year, we made almost 70%, 80% of our revenue in Germany. We switched it up, became even more diversified, now investing heavily into the U.K., where we see massive market growth and healthy margins. So do we in Poland, and we also continue to cater to our home market in Germany. Currently, also looking at France, Italy, and Spain, where there are ongoing developments of establishing a medical framework and we will definitely be one of the players if it makes sense in entering that market.

Just real quick, there is also lots of talk about regulatory change in Germany. Some of you may have read the news or heard the rumors. There was a potentially change of the so-called MedCanG. But being brutally honest, that chart is basically outdated. There is no movement no longer or we hear is that there is basically a standstill. There is no ongoing talk of potential reform. People are rather talking about the larger reimbursement reform along, let's say, all aspects of the statutory health insurance. One aspect might include flower, which definitely won't impact Cantourage massively because most of our patients or patients buying products from our partners are paying for those products themselves. They're not using reimbursements at all.

Slight effect might be patients shifting from currently insured flowers to other flowers, and they will definitely then look at our portfolio and to potentially switch their therapy and their therapy option. So we do like our chances that it's actually more of an opportunity for Cantourage than a potential risk if there is a change at all. This is also due to the fact that we're very diversified, as mentioned, with regards to products and markets, being a pan-European company pays now its dividends of being very flexible to potential changes in any way or form.

Lastly, a couple of numbers with regards to KPIs, just to give you a quick overview. 2023, we sold roughly 2 tonnes. Last year, we're almost hitting 20 tonnes, so almost tenfold than 2 years ago, and we like our chances to further grow those figures along our core markets, have lots of different products in the market. And on a rough estimate, we are reaching more than 100,000 patients all over Europe on a monthly basis. And this is with flower only.

Financial performance here, a bit of historic performance. The company was founded in 2019 and then, yes, basically, we started growing massively with regards to revenue, always focused on being operationally breakeven and we're quite successful in doing so, definitely turned the corner in 2024 by being EBITDA positive and doing our best to continue that trend over the foreseeable future.

In 2026, in Q1, so we stabilized revenue as a group. There was lots of turmoil in the German market. We feel very comfortable where we currently at. We restructured our portfolio. Now also in Germany, overweight in the flower business on premium flower with healthy margins. And that also shows in our current EBITDA margin profile, which sitting at almost 11%, which is almost double than we did over the course of the last year. And we're working very hard on further stabilizing and improving our EBITDA margin in 2026.

Look at market outlook. I think the future is green, so to speak. The cannabis is definitely a movement. Medical cannabis is well established. We see -- hopefully, bigger dominoes also to fall, as mentioned, Italy, France, and Spain, but also the trend towards fully legalizing cannabis is gaining momentum. That's definitely also something we're looking out for where very established, very successful in the pharma environment, but could also play a role if we choose to do so in a recreational market, which are way larger than the medical market.

Looking at our strategy for 2026, we are, as mentioned, active in telemedicine. We have lots of data out of those activities. We are well established in a couple of European markets. We're leveraging those insights, that data now to start developing our own brands. We are currently in the midst of introducing additional form factors. So think about inhalable extracts, edibles, vape pens. We'll further build out our telemedicine positioning in the U.K. and in Germany. And we will further leverage our data insights into drive our business development and research activities.

So that's us. Thank you so much. I'm happy to answer any questions.

Thank you very much for your presentation, Philip. Ladies and gentlemen, now it is your turn, and we are opening the Q&A session.

[Operator Instructions] What is your defensible competitive advantage, particularly against international players with more capital?

So maybe also a bit of my background story. Before I joined Cantourage, I was the CEO of Aurora Europe, which was the European platform of Aurora Cannabis Inc. At that point in time, the second largest cannabis company in the world, flush with cash at that point in time. I learned at Aurora, but now also at Cantourage that money is not the most important thing, especially in highly regulated markets. We have a very experienced, very talented leadership team and team who know how to navigate in very complex regulated markets where money can't buy success, so to speak.

We also feel given that we're EBITDA positive, we're cash positive, we can finance all our projects out of our cash flow, we're well equipped in defending our market-leading positions in the different European markets, which are all different. And that's oftentimes especially looking at U.S. players, Canadian players, they need to wrap their head around. Europe is not a single market. It's a very different, complex market. So we do like our chances being -- staying on top of the box, so to speak.

But we are also open for any types of partnerships. There are early talks with larger players. They want to partner up with us in order to get into the European market. We brought a very large U.S. brand into Europe just recently. So I'm a firm believer in frenemies. We can grow the market together, partner up if we want to, but we also like where we're at. We believe in ourselves, in our capabilities, in our expertise. We do like our chances either way.

And could you please outline how regulatory developments impact your growth strategy?

Then I have a follow-up question, which type of regulatory developments are we talking?

This is going back...

This is a very broad question and tough to answer.

Yes. This is going back to the person, I guess, he's writing in your key markets.

But in the meantime, I'm happy to answer other questions.

It's meant for your key markets.

Okay. Then let's go through them. U.K., very stable regulatory framework. That is basically rather a discussion whether to further loosen up. So it will definitely help us in further growing the market. In Poland, there was a ban on telemedicine, which led to a crash of the market, but the market now recovered fully and is back into growing mode. And there can't be a more stricter framework, so to speak. And in Germany, as I've quickly talked about in my presentation, there is a standstill with regards to a MedCanG reform. We don't foresee also a change in that framework in 2026, also not in 2027.

So rumor has it that the framework in Germany will be more stable than expected in summer last year. So in our core markets, fairly stable frameworks. And this gives us a level playing field and room to operate and continue what we're currently doing. And as also shown here, this outline of our strategy does come from our discussions, our analysis of the existing frameworks and the future frameworks.

And what is your dividend strategy?

As of today, we are talking about it in the Supervisory Board because we are EBITDA positive, we're cash positive. As a young company, we have lots of ideas where to invest across our different European entities. But obviously, if we're running out of ideas where to reinvest, then it's a potential dividend play also for our shareholders. So stay tuned. It's an ongoing discussion, which -- yes, as soon as we come to a conclusion, we'll definitely let you know.

And what is your margin potential? When do you expect to achieve this?

So as shown in Q1, double-digit EBITDA margin. I should also mention that from EBITDA to EBIT, if we were doing our books according to IFRS, there is basically EBITDA is our EBIT because we don't -- as we are being capital or asset-light, there are not a lot of write-downs or write-offs. So our EBITDA basically from a cash perspective goes straight into our bank, so to speak. With regards to margin potential, currently, I feel comfortable at EBITDA and then potentially EBIT margin in the 2 digits -- low 2 digits, the 10%, and above.

Thank you very much. And with no further questions, I will hold the room for another moment in case somebody might be typing. And that doesn't seem to be the case. We, therefore, come to the end of this roundtable. Thank you very much for joining and your interest in Cantourage. Now we have a hand -- the hand is down again, okay. And with no further questions, you can place your questions always to Investor Relations. A big thank you also to you, Philip, for your time and for your presentation. I wish you all a successful day and handing back over for your final remarks.

Thank you. Again, thanks for having me, having us. Also thank you for joining. Hopefully, you got a couple of insights into Cantourage. As mentioned, if you have any follow-up questions or ideas, feel free to reach out to us. Happy to talk about medical cannabis and Cantourage with you guys. Speak soon.