Village Farms Reports Q1 2026 Financial Results

VANCOUVER – Village Farms International Inc., known for its large-scale greenhouse operations, reported gains in revenue and profitability driven largely by exports.

Consolidated net sales climbed 27% year-over-year to $50.2 million, with net income attributable to shareholders of $2.9 million. Adjusted EBITDA from continuing operations rose to $9.9 million, representing roughly 20% of sales. The company turned a profit for the fourth consecutive quarter, a streak that carries real weight in an industry where quarterly losses have long been the norm.

Cannabis export sales surged 171% year-over-year to a record $14.6 million, with Netherlands branded sales jumping 448%. Germany, where Village Farms says it holds three of the top five leading cultivars, remains the engine behind that growth. Management noted a stable pricing environment in Germany and expressed confidence that favorable conditions are expected to persist for the foreseeable future.

Back home in Canada, the company’s Pure Sunfarms brand held onto its #1 market share position in dried flower, extending its market share gains for the 15th consecutive month through April, supported by CPG innovations designed to highlight flower quality and aroma.

During the reported period, Village Farms completed facility upgrades at its 4.8 million square foot production campus in Delta, BC, and now claims to operate the world’s largest EU-GMP certified Cannabis facility. That distinction matters commercially. EU-GMP certification is a prerequisite for exporting medical Cannabis to most European markets, and Village Farms has spent six years building the regulatory infrastructure to support it. Moreover, the company began planting the first half of its Delta 2 greenhouse expansion, which is expected to contribute to sales by late Q2 2026 and ultimately add 40 metric tons of annualized production, expanding Canadian capacity by roughly 33% once completed in 2027. In the Netherlands, the Phase II facility is expected to reach full operations by end of 2026, with capacity projected to quintuple total Dutch production to approximately 10 metric tons annually.

Cash from operations was negative $16.8 million in the quarter, primarily due to a $15 million Canadian income tax payment covering prior-year obligations, plus $9.2 million in capital expenditures and $6.4 million in share repurchases. Cash and restricted cash stood at $55.5 million at quarter-end. The company said it expects to grow its cash balance from operating cash flow through year-end.

Village Farms isn’t the loudest name in Cannabis, but it may be the most methodical. With European demand accelerating, domestic brand equity intact, and two major capacity expansions now in progress, the company is building a multi-market operation that doesn’t require regulatory tailwinds to sustain itself. In an industry that has burned through capital faster than it’s generated returns, that discipline stands out, and the market is beginning to notice.