Consolidated revenue growth of 9.1%;
Jamieson Brands revenue grew 15.0% led by increased demand in the U.S. and China

TORONTO, November 02, 2023--(BUSINESS WIRE)--Jamieson Wellness Inc. ("Jamieson Wellness" or the "Company") (TSX: JWEL) today reported its third quarter results for the period ended September 30, 2023. All amounts are expressed in Canadian dollars.

"I am pleased to report another solid quarter of financial and operational performance," said Mike Pilato, President and CEO of Jamieson Wellness. "We continue taking the actions necessary to position Jamieson – strategically, operationally, and financially – to seize new growth opportunities and to further capitalize on the value driven by our globally recognized brands.

"In Q3 our Jamieson Brands revenue increased by 15%, led by advancements in the U.S. and China as we invest to grow our distribution channels, enhance our marketing efforts, and launch innovative products that meet the evolving needs of consumers in these markets. This is our long-term growth strategy in action, and I am confident it will create significant value for our shareholders, consumers, customers, and partners. We thank our team for their diligence managing the business in this challenging macro environment, and for their commitment to delivering on our mission of becoming a global leader in health and wellness."

Third Quarter Highlights

Sustained consumer engagement in Canada with consumption significantly outpacing shipments New product launches, ecommerce, and distribution gains in the U.S. drove strong revenue growth for the youtheory brand Continued growth momentum in China under new owned-distribution model and DCP Capital partnership Growth in International led by new product innovation and marketing initiatives in key markets Exited the quarter with a leverage ratio of approximately 2.0x net debt to adjusted EBITDA with cash and available borrowings of $222.3 million Progression of sustainability goals through the Company’s partnership with veritree and the planting of 60,000 kelp off the coast of British Columbia



Third Quarter Financial Results Consolidated Summary

All comparisons are with the third quarter of 2022

Consolidated revenue increased 9.1% to $151.5 million driven by 15.0% growth in Jamieson Brands, partly offset by Strategic Partner revenue as expected Gross profit was $51.2 million in Q3, up $6.2 million on a normalized basis when excluding the impact of acquisition-related amortization. Including amortization, gross profit improved by $2.7 million. While normalized gross profit margin expanded by 120 basis points in Q3, when including the impact of amortization, gross profit margin3 was 33.8% or 110bps lower Adjusted EBITDA1 increased by $2.4 million or 8.0% to $31.9 million as the Company continued to invest in China and the U.S. for long-term growth; EBITDA1 increased $3.8 million or 17.3% to $25.5 million Adjusted net earnings1 increased 5.4% to $15.0 million as a result of higher revenue and gross profit; Net earnings was $7.8 million due to higher interest rates on borrowings and accretion on preferred shares Adjusted diluted earnings per share2 was $0.35; Diluted earnings per share was $0.18

Summary of Segment Results

All comparisons are with the third quarter of 2022

Jamieson Brands

Revenue was $129.1 million, an increase of 15.0% or $16.9 million

Canada was $75.8 million, down 4.6% as expected, due to higher cold and flu shipments in Q3 2022 U.S. (youtheory) was $33.0 million, up 88.6% (70.6% on a pro forma basis), driven by innovation, e-commerce, distribution gains, and timing of certain orders previously expected in Q4 China was $12.2 million, up approximately 67% (24.8% on a pro forma basis), driven by continued strong demand in cross border e-commerce, new domestic club distribution, and the benefits of the Company’s owned-distribution model International was $8.1 million, up 11.8%, driven by new product launches and promotions Gross profit increased $2.5 million to $47.7 million; normalized gross profit increased by $6.0 million Gross profit margin3 decreased by 340 basis points; normalized gross profit margin decreased by 70 basis points to 39.6%, reflecting the integration of youtheory and evolving product mix Adjusted EBITDA1 increased $2.0 million to $29.1 million driven by profitable revenue growth offset by higher SG&A related to the full integration of U.S. and China operations; Adjusted EBITDA margin2 decreased by 160 basis points to 22.6% due to seasonality of youtheory volumes

Strategic Partners

Revenue was $22.4 million, or $4.3 million lower, as expected as the result of timing related to Q2 2023 deliveries Gross profit increased $0.2 million to $3.5 million; gross profit margin3 increased by 320 basis points to 15.5% due to an improved product mix and higher pricing, offset by higher input costs Adjusted EBITDA1 was $2.7 million representing an adjusted EBITDA margin2 of 12.3%, up 350 basis points

Balance Sheet and Cash Flow

Cash from operating activities before working capital considerations of $17.7 million increased by $1.3 million compared to Q3 2022 due to higher earnings in the quarter excluding the impact of the non-cash accretion of preferred shares Cash used in working capital of $31.7 million was driven by the impact of inventory purchases for seasonal demand in the fourth quarter; Cash used in working capital decreased by $5.3 million compared to Q3 2022 driven by timing of accounts receivable collections and payment of purchases The Company invested $14.0 million in cash from operations compared to $20.6 million in Q3 2022, driven by strategic increases in working capital and preparations for seasonal demand in the fourth quarter Net debt1 at the end of the quarter was $277.7 million, or 31.3% lower than Q3 2022 As at September 30, 2023, the Company had approximately $222.3 million in cash and available facilities

1 This is a non-IFRS financial measure. See the "Non-IFRS and Other Financial Measures" section of this press release for more information on each non-IFRS financial measure.
2 This is a non-IFRS ratio. See the "Non-IFRS and Other Financial Measures" section of this press release for more information on each non-IFRS ratio.
3 This is a supplementary financial measure. See the "Non-IFRS and Other Financial Measures" section of this press release for more information on each supplementary financial measure.

Fiscal 2023 Outlook

Consumer demand and consumption are both showing signs of continued strength in Canada, the US, and China. Combined with International shipments despite regulatory timing, the Company has decided to update the low end of its guidance range for Jamieson Brands and update guidance for Strategic Partners.

The Company now anticipates the following:

Consolidated fiscal 2023 revenue to range between $680.0 and $690.0 million (+24.0% to +26.0%) from a previous range of +22.0% to +26.0%. Jamieson Canada revenue growth of 3.0% to 4.0% (increased from 2.0% to 4.0%). Consumer consumption remains strong, reflecting continued consumer prioritization of their health and wellness offset by reduced inventory levels within customer and distributor partners as they lower working capital investments in response to higher costs of capital. Youtheory revenue of between $150.0 to $155.0 million (increased from $145.0 to $155.0 million) with growth driven by product innovation, expanded e-commerce initiatives and distribution gains. Jamieson China revenue growth of approximately 75.0% (increased from 65.0% to 75.0%), reflecting continued consumer demand in cross border e-commerce and distribution gains in the domestic retail channels as well as the transition to an owned-distribution model completed in the second quarter and the related step-up to distributor level pricing. Jamieson International revenue of between 5.0% and 10.0% growth (increased from flat to 10.0%), reflecting the shipment of newly registered products despite a post COVID-19 government slowdown of processing product registrations impacting the timing of entry into new markets. The Company’s revised outlook continues to be driven by marketing, innovation and the timing of distribution into new markets. Strategic Partners revenue growth of approximately 15.0% (updated from 15.0% to 20.0%), reflecting pricing and program changes offset by the wind down of a current third party branded contract.

The Company’s guidance continues to reflect an accelerated investment in marketing, resources, and infrastructure to support long-term growth opportunities in the United States and in China. The Company continues to anticipate:

Adjusted EBITDA to range from $140.0 to $144.0 million (+13.0% to +16.0%). Adjusted diluted earnings per share to range from $1.56 to $1.63 (up to +5.2% growth), reflecting revisions to the Company’s revenue outlook along with higher prevailing interest rates and the timing of cash flows associated with the Company’s partnership in China.

For additional details on the Company’s fiscal 2023 outlook, including guidance for the fourth quarter of 2023, refer to the "Outlook" section in the management’s discussion and analysis of financial condition and results of operations ("MD&A") for the three and nine months ended September 30, 2023.

Declaration of Third Quarter Dividend

The board of directors of the Company declared a cash dividend for the third quarter of 2023:

$0.19 per common share (+11.8% vs Q3 2022), or approximately $8.0 million in the aggregate Paid on December 15, 2023 to all common shareholders of record at the close of business on December 1, 2023 The Company has designated this dividend as an "eligible dividend" for the purposes of the Income Tax Act (Canada)

Announcement of Normal Course Issuer Bid (NCIB)

Also announced today, the Company has received approval from the Toronto Stock Exchange (the "TSX") to commence a normal course issuer bid (the "NCIB") to purchase for cancellation up to 4,165,201 common shares of the Company, representing approximately 10% of its issued and outstanding common shares as of Oct. 31, 2023. The NCIB will commence on November 7, 2023 and will expire on the earlier of November 6, 2024, or the date on which the Company has either acquired the maximum number of common shares allowable or otherwise decided not to make any further repurchases. Details on the NCIB and its terms can be found in a separate media release issued this afternoon.

Consolidated Financial Statements and Management’s Discussion and Analysis

The Company’s unaudited condensed consolidated interim financial statements and accompanying notes as at and for the three and nine months ended September 30, 2023 and related MD&A are available under the Company’s profile on SEDAR at www.sedar.com and on the Investor Relations section of the Company’s website at https://investors.jamiesonwellness.com.

Conference Call

Management will host a conference call to discuss the Company’s third quarter 2023 results at 5:00 p.m. ET today, November 2, 2023. To access:

By phone: 1-855-327-6837 from Canada and the U.S. or 1-631-891-4304 from international locations Online: https://investors.jamiesonwellness.com or https://viavid.webcasts.com/starthere.jsp?ei=1635033&tp_key=fc52781455

About Jamieson Wellness

Jamieson Wellness is dedicated to improving the world's health and wellness with its portfolio of innovative natural health brands. Established in 1922, Jamieson is the Company's heritage brand and Canada's #1 consumer health brand. Jamieson Wellness also offers a variety of VMS products under its youtheory, Progressive, Smart Solutions, Iron Vegan and Precision brands. The Company is a participant of the United Nations Global Compact and adheres to its principles-based approach to responsible business. For more information please visit www.jamiesonwellness.com.

Jamieson Wellness’ head office is located at 1 Adelaide Street East Suite 2200, Toronto, Ontario, Canada.

Forward-Looking Information

This press release may contain forward-looking information within the meaning of applicable securities legislation. Such information includes, but is not limited to, statements related to the Company’s anticipated results and its outlook for its 2023 revenue, Adjusted EBITDA and Adjusted diluted earnings per share. Words such as "expect," "anticipate," "intend," "may," "will," "estimate" and variations of such words and similar expressions are intended to identify such forward-looking information. This information reflects the Company’s current expectations regarding future events. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond the Company’s control that could cause actual results and events to differ materially from those that are disclosed in or implied by such forward-looking information. Such risks and uncertainties include, but are not limited to, the factors discussed under "Risk Factors" in the Company’s Annual Information Form dated March 30, 2023 and under the "Risk Factors" section in the MD&A filed today, November 2, 2023. This information is based on the Company’s reasonable assumptions and beliefs in light of the information currently available to it and the statements are made as of the date of this press release. The Company does not undertake any obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law or regulatory authority.

The Company cautions that the list of risk factors and uncertainties is not exhaustive and other factors could also adversely affect the Company’s results. Readers are urged to consider the risks, uncertainties and assumptions associated with these statements carefully in evaluating the forward-looking information and are cautioned not to place undue reliance on such information. See "Forward-looking Information" and "Risk Factors" within the MD&A for a discussion of the uncertainties, risks and assumptions associated with these statements.

Jamieson Wellness Inc. Selected Consolidated Financial Information
In thousands of Canadian dollars, except share and per share amounts

Three months ended Nine months ended September 30 September 30 2023 2022 2023 2022 Revenue 151,505 138,929 455,807 354,594 Cost of sales 100,355 90,440 301,275 227,445 Gross profit 51,150 48,489 154,532 127,149 Gross profit margin 33.8% 34.9% 33.9% 35.9% Selling, general and administrative expenses 30,780 30,855 98,004 77,471 Share-based compensation 1,413 1,315 4,334 3,593 Earnings from operations 18,957 16,319 52,194 46,085 Operating margin 12.5% 11.7% 11.5% 13.0% Foreign exchange (gain) loss (1,359) (759) 286 (709) Interest expense and other financing costs 5,589 4,144 17,899 6,660 Accretion on preferred shares 2,041 - 2,868 - Earnings before income taxes 12,686 12,934 31,141 40,134 Provision for income taxes 4,915 2,052 9,101 9,417 Net earnings 7,771 10,882 22,040 30,717 Net earnings (loss) attributable to: Shareholders 8,224 10,882 23,475 30,717 Non-controlling interests (453) - (1,435) - 7,771 10,882 22,040 30,717 Adjusted net earnings 14,991 14,221 37,469 38,381 EBITDA 25,512 21,744 67,095 58,967 Adjusted EBITDA 31,871 29,505 87,435 74,890 Adjusted EBITDA margin 21.0% 21.2% 19.2% 21.1% Weighted average number of shares Basic 42,055,796 41,386,719 41,926,277 40,766,991 Diluted 42,567,969 42,449,242 42,421,242 41,813,337 Earnings per share attributable to common shareholders: Basic, earnings per share 0.18 0.26 0.53 0.75 Diluted, earnings per share 0.18 0.26 0.52 0.73 Adjusted diluted, earnings per share 0.35 0.34 0.88 0.92

Jamieson Wellness Inc. Consolidated Statements of Financial Position
In thousands of Canadian dollars

September 30, 2023 December 31, 2022 Assets Current assets Cash 23,260 26,240 Accounts receivable 116,087 160,798 Inventories 223,442 154,488 Derivatives 4,878 6,580 Prepaid expenses and other current assets 7,406 4,298 Income taxes recoverable 2,138 - 377,211 352,404 Non-current assets Property, plant and equipment 107,810 111,709 Goodwill 277,660 272,916 Intangible assets 372,215 367,205 Deferred income tax 3,245 3,029 Total assets 1,138,141 1,107,263 Liabilities Current liabilities Accounts payable and accrued liabilities 127,908 142,566 Income taxes payable - 7,387 Derivatives 12 - Current portion of other long-term liabilities 19,310 4,852 147,230 154,805 Long-term liabilities Long-term debt 300,973 400,000 Post-retirement benefits 1,013 929 Deferred income tax 59,142 58,007 Redeemable preferred shares 87,981 - Other long-term liabilities 44,842 61,931 Total liabilities 641,181 675,672 Equity Share capital 314,127 307,200 Warrants 14,705 - Contributed surplus 18,812 17,115 Retained earnings 86,729 85,483 Accumulated other comprehensive income 19,794 21,793 Total shareholders' equity 454,167 431,591 Non-controlling interests 42,793 - Total equity 496,960 431,591 Total liabilities and equity 1,138,141 1,107,263

Non-IFRS and Other Financial Measures

This press release makes reference to certain financial measures, including non-IFRS financial measures that are historical, non-IFRS measures that are forward-looking, non-GAAP ratios and supplementary financial measures. Management uses these financial measures for purposes of comparison to prior periods and development of future projections and earnings growth prospects. This information is also used by management to measure the profitability of ongoing operations and in analyzing the Company’s business performance and trends. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of the Company’s results of operations from management’s perspective. Accordingly, they should not be considered in isolation nor as a substitute for analysis of the Company’s financial information reported under IFRS. The Company uses the following non‑IFRS financial measures: "EBITDA," "Adjusted EBITDA" and "Adjusted net earnings," the most directly comparable financial measure for each that is disclosed in its financial statements being net earnings, "normalized gross profit," "normalized SG&A," "normalized earnings from operations," "cash from operating activities before working capital considerations" and "net debt," the most directly comparable financial measures for each that is disclosed in its financial statements being gross profit, SG&A, earnings from operations, cash flows from operating activities, and long-term debt, respectively, the following non-IFRS ratios: "Adjusted EBITDA margin," "Adjusted diluted earnings per share," "normalized gross profit margin," "normalized operating margin," and the following supplementary financial measures: "gross profit margin" and "operating margin" to provide supplemental measures of the Company’s operating performance and thus highlight trends in the Company’s core business that may not otherwise be apparent when relying solely on IFRS financial measures. Management also uses non‑IFRS and supplementary financial measures in order to prepare annual operating budgets and to determine components of management compensation. For an explanation of the composition of each such measure and the usefulness and additional uses of each by management, see the "How we Assess the Performance of our Business" section of the MD&A, which is incorporated by reference. See below for a quantitative reconciliation of each non-IFRS financial measure to its most directly comparable financial measure disclosed in the Company’s financial statements to which the measure relates.

The following tables provide a quantitative reconciliation of net earnings to EBITDA, Adjusted EBITDA, and Adjusted net earnings, as well as gross profit to normalized gross profit, SG&A to normalized SG&A, earnings from operations to normalized earnings from operations, and net debt, each of which are non-IFRS financial measures (see the "Non-IFRS and Other Financial Measures" of this press release for further information on each non-IFRS financial measure) for the three and nine months ended September 30, 2023 and September 30, 2022.

Jamieson Wellness Inc. Segment Information
In thousands of Canadian dollars, except as otherwise noted

Jamieson Brands Three months ended
September 30 2023 2022 $ Change % Change Revenue 129,138 112,248 16,890 15.0% Gross profit 47,691 45,202 2,489 5.5% Amortization of fair value adjustments 3,504 - 3,504 100.0% Normalized gross profit 51,195 45,202 5,993 13.3% Gross profit margin 36.9% 40.3% - (3.4%) Normalized gross profit margin 39.6% 40.3% - (0.7%) Share-based compensation (1) 1,413 1,315 98 7.5% Selling, general and administrative expenses 29,258 29,332 (74) (0.3%) Acquisition and divestiture related costs (2) (431) (6,270) 5,839 93.1% IT system implementation (3) (2,370) (935) (1,435) (153.5%) Normalized selling, general and administrative expenses 26,457 22,127 4,330 19.6% Earnings from operations 17,020 14,555 2,465 16.9% Acquisition and divestiture related costs (2) 431 6,270 (5,839) (93.1%) IT system implementation (3) 2,370 935 1,435 153.5% Amortization of fair value adjustments (4) 3,504 - 3,504 100.0% Normalized earnings from operations 23,325 21,760 1,565 7.2% Operating margin 13.2% 13.0% - 0.2% Normalized operating margin 18.1% 19.4% - (1.3%) Adjusted EBITDA 29,125 27,158 1,967 7.2% Adjusted EBITDA margin 22.6% 24.2% - (1.6%) Strategic Partners Three months ended
September 30 2023 2022 $ Change % Change Revenue 22,367 26,681 (4,314) (16.2%) Gross profit 3,459 3,287 172 5.2% Gross profit margin 15.5% 12.3% - 3.2% Selling, general and administrative expenses 1,522 1,523 (1) (0.1%) Earnings from operations 1,937 1,764 173 9.8% Operating margin 8.7% 6.6% - 2.0% Adjusted EBITDA 2,746 2,347 399 17.0% Adjusted EBITDA margin 12.3% 8.8% - 3.5%

Jamieson Wellness Inc. Segment Information (continued)
In thousands of Canadian dollars, except as otherwise noted

Jamieson Brands Nine months ended
September 30 2023 2022 $ Change % Change Revenue 370,164 283,151 87,013 30.7% Gross profit 141,211 118,694 22,517 19.0% Amortization of fair value adjustments (4) 5,819 - 5,819 100.0% Normalized gross profit 147,030 118,694 28,336 23.9% Gross profit margin 38.1% 41.9% - (3.8%) Normalized gross profit margin 39.7% 41.9% - (2.2%) Share-based compensation (1) 4,334 3,593 741 20.6% Selling, general and administrative expenses 93,200 72,831 20,369 28.0% Acquisition and divestiture related costs (2) (5,539) (9,754) 4,215 43.2% IT system implementation (3) (4,469) (3,110) (1,359) (43.7%) Other 179 (127) 306 240.9% Normalized selling, general and administrative expenses 83,371 59,840 23,531 39.3% Earnings from operations 43,677 42,270 1,407 3.3% Acquisition and divestiture related costs (2) 5,539 9,754 (4,215) (43.2%) IT system implementation (3) 4,469 3,110 1,359 43.7% Amortization of fair value adjustments (4) 5,819 - 5,819 (100.0%) Other (179) 127 (306) (240.9%) Normalized earnings from operations 59,325 55,261 4,064 7.4% Operating margin 11.8% 14.9% - (3.1%) Normalized operating margin 16.0% 19.5% - (3.5%) Adjusted EBITDA 76,432 69,256 7,176 10.4% Adjusted EBITDA margin 20.6% 24.5% - (3.9%) Strategic Partners Nine months ended
September 30 2023 2022 $ Change % Change Revenue 85,643 71,443 14,200 19.9% Gross profit 13,321 8,455 4,866 57.6% Gross profit margin 15.6% 11.8% - 3.8% Selling, general and administrative expenses 4,804 4,640 164 3.5% Other (72) (48) (24) (50.0%) Normalized selling, general and administrative expenses 4,732 4,592 140 3.0% Earnings from operations 8,517 3,815 4,702 123.3% Other 72 48 24 50.0% Normalized earnings from operations 8,589 3,863 4,726 122.3% Operating margin 9.9% 5.3% - 4.6% Normalized operating margin 10.0% 5.4% - 4.6% Adjusted EBITDA 11,003 5,634 5,369 95.3% Adjusted EBITDA margin 12.8% 7.9% - 4.9%

Reconciliation of Non-IFRS Financial Measures In thousands of Canadian dollars

Three months ended Nine months ended September 30 September 30 ($ in 000's, except as otherwise noted) 2023 2022 2023 2022 Net earnings: 7,771 10,882 22,040 30,717 Add: Provision for income taxes 4,915 2,052 9,101 9,417 Interest expense and other financing costs 5,589 4,144 17,899 6,660 Accretion on preferred shares 2,041 - 2,868 - Depreciation of property, plant, and equipment 3,695 3,194 10,821 8,574 Amortization of intangible assets 1,501 1,472 4,366 3,599 Earnings before interest, taxes, depreciation, and amortization (EBITDA) 25,512 21,744 67,095 58,967 Share-based compensation 1,413 1,315 4,334 3,593 Foreign exchange loss (gain) (1,359) (759) 286 (709) Acquisition and divestiture related costs 431 6,270 5,539 9,754 Amortization of fair value adjustments 3,504 - 5,819 - IT system implementation 2,370 935 4,469 3,110 Other - - (107) 175 Adjusted EBITDA 31,871 29,505 87,435 74,890 Provision for income taxes (4,915) (2,052) (9,101) (9,417) Interest expense and other financing costs (5,589) (4,144) (17,899) (6,660) Depreciation of property, plant, and equipment (3,695) (3,194) (10,821) (8,574) Amortization of intangible assets (1,501) (1,472) (4,366) (3,599) Share-based compensation (5) (1,290) (1,315) (4,047) (3,593) Tax deduction from vesting of certain share-based awards (6) - (1,399) (1,022) (1,399) Tax effect of normalization adjustments 110 (1,708) (2,710) (3,267) Adjusted net earnings 14,991 14,221 37,469 38,381 Three months ended Nine months ended September 30 September 30 2023 2022 2023 2022 Gross profit 51,150 48,489 154,532 127,149 Amortization of fair value adjustments 3,504 - 5,819 - Normalized gross profit 54,654 48,489 160,351 127,149 Normalized gross profit margin 36.1% 34.9% 35.2% 35.9% Selling, general and administrative expenses 30,780 30,855 98,004 77,471 Acquisition and divestiture related costs (431) (6,270) (5,539) (9,754) IT system implementation (2,370) (935) (4,469) (3,110) Other - - 107 (175) Normalized selling, general and administrative expenses 27,979 23,650 88,103 64,432 Earnings from operations 18,957 16,319 52,194 46,085 Acquisition and divestiture related cost 431 6,270 5,539 9,754 IT system implementation 2,370 935 5,819 - Amortization of fair value adjustments 3,504 - 4,469 3,110 Other - - (107) 175 Normalized earnings from operations 25,262 23,524 67,914 59,124 Normalized operating margin 16.7% 16.9% 14.9% 16.7%

Reconciliation of Net Debt In thousands of Canadian dollars

($ in 000's) As at September 30, As at December 31, 2023 2022 Long-term debt 300,973 400,000 Cash (23,260) (26,240) Net debt 277,713 373,760

(1) The Company’s share-based compensation expense pertains to our long-term incentive plan (the "LTIP"), with performance-based share units ("PSUs"), time-based restricted share units ("RSUs"), and deferred share units ("DSUs") expenses, along with associated payroll taxes. (2) Current period expense mainly pertains to legal and consulting costs associated with the acquisition and integration of our former distributor partner in China on April 28, 2023, and costs associated with the completion of our transaction with DCP on May 16, 2023, as well as integration costs relating to our acquisition of youtheory which closed on July 19, 2022. (3) Current period expense mainly pertains to development costs associated with our IT system implementation to augment our system infrastructure. Unlike other system improvement projects with costs capitalized, due to its cloud-based nature, these system implementation costs are expensed accordingly. (4) This cost represents the post-closing amortization of the fair value increase of acquired inventories related to the April 28, 2023 transaction with our former distribution partner in China. (5) Costs pertaining to our LTIP, excluding PSUs granted to certain employees relating to business combinations. (6) The vesting of share-based compensation provides a tax benefit during the period in which the awards are settled.

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Contacts

Investor and Media Contact Information: 
Jamieson Wellness
Ruth Winker
416-960-0052
[email protected]