Financial StatementsPDF (FS 202690 Q2 2027 Final)

Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended September 30, 2026 and 2025 (in Canadian Dollars)

Interim Condensed Consolidated Statements of Financial Position 3

Interim Condensed Consolidated Statements of Loss and Comprehensive Loss 4

Interim Condensed Consolidated Statements of Changes in Shareholders' Equity 6

Interim Condensed Consolidated Statements of Cash Flows 7

Notes to the Interim Condensed Consolidated Financial Statements

‌Three months ended September 30, Six months ended September 30,‌

See accompanying notes to these interim condensed consolidated financial statements.

Three months ended September 30, Six months ended September 30,

(1) Adjusted for discontinued operations (Note 4).

See accompanying notes to these interim condensed consolidated financial statements.

‌Share Capital‌

‌Share Capital

See accompanying notes to these interim condensed consolidated financial statements.

Six months ended September 30,

Three and six months ended September 30, 2026 and 2025

($ thousands of Canadian dollars, unless otherwise noted)

Aurora Cannabis Inc.'s (the "Company" or "Aurora") principal strategic business lines are focused on the production, distribution and sale of medical cannabis products in Canada and internationally. The Company currently conducts the following key business activities in the jurisdictions specified below:

• Production, distribution and sale of medical cannabis products and, on a very limited basis, consumer cannabis products in Canada, pursuant to the Cannabis Act;

• Production and distribution of wholesale medical cannabis in the European Union ("EU") pursuant to the German Medicinal Products Act and German Narcotic Drugs Act; and

• Distribution of wholesale medical cannabis in various international markets, including Australia and New Zealand.

The Company's head office and principal address is 2207 90B St. SW, Edmonton, Alberta, Canada, T6X 0J9. The Company's registered and records office address is Suite 1700, 666 Burrard Street, Vancouver, British Columbia, Canada, V6C 2X8.

The Company's shares are listed on the Nasdaq Capital Market ("Nasdaq") and the Toronto Stock Exchange ("TSX") under the trading symbol "ACB", and on the Frankfurt Stock Exchange ("FSE") under the trading symbol "21P".

The Company's unaudited interim condensed consolidated financial statements are prepared in accordance with International Accounting Standard ("IAS") 34, Interim Financial Reporting as issued by the International Accounting Standards Board ("IASB"). Unless otherwise noted, all amounts are presented in thousands of Canadian dollars, except share and per share data. The accounting policies applied in the preparation of the interim condensed consolidated financial statements are consistent with those used in the annual audited consolidated financial statements for the year ended March 31, 2026.

The interim condensed consolidated financial statements do not include all disclosures normally provided in annual audited consolidated financial statements and should be read in conjunction with the Company's audited annual consolidated financial statements for the year ended March 31, 2026.

Discontinued operations (Note 4) have been reclassified in the interim condensed consolidated statements of loss and comprehensive loss to conform to current year presentation.

These interim condensed consolidated financial statements were authorized for issue by the Audit Committee of the Board of Directors on November 4, 2026.

1. Material Accounting Policies and Judgments

   Preparation of these interim condensed consolidated financial statements requires management to make certain judgments, estimates and assumptions based on existing knowledge that affect the application of accounting policies and reported amounts and disclosures. Actual results could differ from these estimates and assumptions. Management has, to the extent reasonable, incorporated known facts and circumstances into estimates made, however actual results could differ from those estimates and those differences could be material. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimates are revised and in any future periods affected.

2. Adoption of New Accounting Pronouncements

   On April 1, 2026, the Company adopted the amendments to IFRS 9, Financial Instruments, and IFRS 7, Financial Instruments: Disclosures, relating to the classification and measurement requirements of financial instruments recognized within those standards. These amendments include, among others:

   • Clarifying that a financial liability is to be derecognized on the 'settlement date' and introducing an accounting policy choice to derecognize financial liabilities settled through an electronic payment system before settlement date if certain conditions are met; and

   • Requiring additional disclosures for financial assets and liabilities with contractual terms that reference a contingent event and equity instruments classified at fair value through other comprehensive income.

     The Company uses the settlement date to derecognize financial liabilities for electronic payments and therefore, the amendment did not have an impact on adoption. The other amendments also did not have an impact upon adoption.

3. New Accounting Pronouncements Not Yet Adopted

IFRS 18, Presentation and Disclosures in Financial Statements ("IFRS 18"), replaces IAS 1, Presentation of Financial Statements for reporting periods beginning on or after January 1, 2027, including for interim financial statements with retrospective application. IFRS 18 introduces a specified structure for the income statement by requiring income and expenses to be presented into the three defined categories of operating, investing and financing, and by specifying certain defined totals and subtotals.

Where company-specific measures related to the income statement are provided, IFRS 18 requires companies to disclose explanations around these measures, which are referred to as management defined performance measures. IFRS 18 also provides additional guidance on principles of aggregation and disaggregation which apply to the primary financial statements and the notes. The Company intends to adopt IFRS 18 upon

Three and six months ended September 30, 2026 and 2025

($ thousands of Canadian dollars, unless otherwise noted)

its mandatory effective date and is currently assessing the impact of IFRS 18 on its consolidated financial statements. The Company expects that its consolidated statements of loss and comprehensive loss will require further disaggregation, including the addition of new subtotals not currently presented and the potential for additional categories of operating expenses requiring disclosure on the face of the consolidated statements of loss and comprehensive loss. The Company also expects its consolidated statements of cash flows will be impacted by the application of IFRS 18, since it applies the indirect method for presenting its consolidated statements of cash flows, whereby net income will no longer be the starting point, which is expected to be replaced by operating profit. Further, management will be required to disclose in the notes to the consolidated financial statements certain performance measures currently disclosed and reconciled in the Company's management's discussion and analysis.

1. ‌Safari Flower Company

   On April 14, 2026 (the "acquisition date"), a wholly-owned subsidiary of the Company acquired 100% of the shares of Safari Flower Company ("Safari"). The purchase consideration comprises cash consideration of $15.0 million, subject to customary post-closing adjustments, and the issuance of 2,417,180 Common Shares with a fair value on the acquisition date of $11.6 million. Included in the cash consideration is $2.0 million that was contingent upon satisfying European Union Good Manufacturing Practice ("EU-GMP") certification conditions, or was otherwise repayable to the Company. The acquisition of Safari provides the Company with incremental EU-GMP certified cultivation and manufacturing capacity that is closely aligned with its existing operations. The additional capacity will be used to supply EU-GMP certified flower to the Company's key international markets, including Germany, Australia, Poland, and the United Kingdom, and support further market expansion.

   The acquisition has been accounted for as a business combination, and the results of Safari have been consolidated with those of the Company, commencing on the acquisition date.

   Transaction costs of $1.0 million were expensed to business development costs in the interim condensed consolidated statements of loss and comprehensive loss and are part of operating cash flows in the interim condensed consolidated statements of cash flows.

   The following table sets forth the provisional calculation of the purchase price and the provisional allocation of the purchase price based on the estimated fair values of the identifiable assets acquired and liabilities assumed on the acquisition date. The purchase consideration and certain elements of the purchase price allocation are provisional pending finalization of customary post-closing adjustments, including a working capital adjustment.

   Provisional purchase consideration
   	$
   Cash consideration (1)	13,103
   Common shares issued	11,627
   Total fair value of consideration	24,730
   Provisional purchase price allocation
   Cash and cash equivalents	158
   Accounts receivable	293
   Biological assets	585
   Inventory	917
   Prepaid expenses and other current assets	526
   Property, plant and equipment	22,517
   Intangible asset (2)	800
   	25,796
   Accounts payable and accrued liabilities	1,019
   Deferred tax liability	47
   Total identifiable net assets at fair value	24,730
   Net cash outflows
   Cash consideration paid (1)	15,000
   Cash and cash equivalents acquired	(158)
   Acquisition of business, net of cash acquired	14,842

   1. Cash consideration paid of $15.0 million is subject to a customary post-closing working capital adjustment, which was provisionally determined to be a reduction of $0.7 million and recognized in accounts receivable in the interim condensed consolidated statements of financial position as at September 30, 2026.

      In respect of the $2.0 million contingent cash consideration, the fair value of the contingent consideration was determined to be $0.7 million based on the Company's expectation, as at the acquisition date, of the satisfaction of conditions under the agreement.

      ‌Notes to the Interim Condensed Consolidated Financial Statements

      Three and six months ended September 30, 2026 and 2025

      ($ thousands of Canadian dollars, unless otherwise noted)

      During the three months ended September 30, 2026, Safari satisfied the EU-GMP certification conditions for the contingent consideration. Accordingly, the contingent consideration was remeasured to $2.0 million, with the loss of $1.3 million recognized in other gains (losses) in the interim condensed consolidated statements of loss and comprehensive loss for the three and six months ended September 30, 2026.

   2. The Company has acquired an existing GMP license which is classified as an intangible asset and measured at fair value. The fair value of the license was determined to be $0.8 million based on its incremental discounted cash flows. For the three and six months ended September 30, 2026, the Company has recognized $0.1 million and $0.1 million, respectively, in the interim condensed consolidated statements of loss and comprehensive loss in respect of amortization for the GMP license.

      Since the acquisition date, Safari has contributed revenue of $4.9 million and $7.7 million for the three and six months ended September 30, 2026, respectively, and net profit before tax from continuing operations of $0.5 million and $2.2 million respectively. If the acquisition had been completed on April 1, 2026, the additional financial impact would be immaterial.

2. Internode Pharma Limited and HAP Pharma Limited

On August 19, 2026, the Company acquired 100% of the common shares of Internode Pharma Limited, a licensed importer and wholesaler, and HAP Pharma Limited, a licensed pharmacy (collectively, the "Companies"), both located in Birmingham, United Kingdom. Total consideration for the acquisition of the Companies was $4.3 million, comprised of cash consideration of $2.1 million (GBP 1.1 million), subject to customary post-closing adjustments, contingent consideration of $1.9 million (GBP 1.0 million), and transaction costs of $0.3 million. The contingent consideration is payable upon the achievement of specified milestones, primarily related to the operational validation of the licenses held by the Companies, and was measured at fair value based on the Company's expectation that the milestones will be achieved.

The transaction has been accounted for as an asset acquisition, with $4.2 million (GBP 2.2 million) of the total consideration allocated to indefinite-lived intangible assets representing the licenses held by the Companies for the importation, distribution and dispensing of finished medical cannabis product. At each reporting date, the Company will remeasure the contingent consideration, with any resulting change recognized as an adjustment to the cost of the indefinite-lived intangible assets.

On February 17, 2026, the Company disposed of its 50.1% controlling interest in Bevo Agtech Inc. ("Bevo"), the sole parent of Bevo Farms Ltd., resulting in the Company no longer controlling Bevo and, accordingly, classifying the operations of Bevo as discontinued operations. Prior to the divestiture, Bevo comprised the Company's plant propagation operating segment and constituted a cash generating unit.

The following table summarizes the financial results of Bevo, presented as discontinued operations for the prior period:

Three and six months ended September 30, 2026 and 2025

($ thousands of Canadian dollars, unless otherwise noted)

‌The changes in the carrying value of biological assets during the period are as follows:

Note $

Balance, March 31, 2026 20,213

As at September 30, 2026, the weighted average fair value less cost to complete and cost to sell a gram of dried cannabis produced at the Company's cannabis cultivation facilities was $2.84 per gram (March 31, 2026 - $3.22 per gram) and the stage of completion of cannabis was 43% (March 31, 2026 - 42%).

During the three and six months ended September 30, 2026, the Company's cannabis biological assets produced 16,536 and 31,522 kilograms, respectively, of dried cannabis (three and six months ended September 30, 2025 - 12,934 and 24,624 kilograms, respectively).

‌During the three and six months ended September 30, 2026, inventory expensed to cost of sales was $76.6 million and $147.2 million, respectively, (three and six months ended September 30, 2025 - $80.8 million and $147.5 million, respectively), which included $34.5 million and

$66.7 million, respectively (three and six months ended September 30, 2025 - $38.6 million and $70.0 million, respectively) related to the changes in fair value of inventory sold.

During the three and six months ended September 30, 2026, the Company recognized $12.6 million and $26.5 million, respectively, in inventory provisions and net realizable value adjustments (three and six months ended September 30, 2025 - $26.5 million and $39.4 million, respectively) consisting of cost of sales of $5.6 million and $13.3 million, respectively, (three and six months ended September 30, 2025 - $11.8 million and

$17.7 million, respectively) and changes in fair value of inventory sold of $7.0 million and $13.2 million, respectively, (three and six months ended September 30, 2025 - $14.7 million and $21.7 million, respectively). As at September 30, 2026, the inventory provision was $18.2 million (March 31, 2026 - $27.3 million).

During the six months ended September 30, 2026, the Company listed for sale excess land with a net book value of $1.1 million, resulting in a transfer from property, plant and equipment to assets held for sale.

During the year ended March 31, 2026, the Company listed land for sale, which was reclassified to assets held for sale and measured at its carrying value. On July 22, 2026, the land was sold and the Company received $2.1 million in cash, net of transaction costs of $0.1 million.

Equipment

Equipment reclassified to assets held for sale as at March 31, 2026 relates to equipment used exclusively in the Company's consumer channel, which is winding down. Upon its reclassification, the equipment was measured at its fair value less costs to dispose.

(1) Comparative amounts have been re-presented to conform to current year presentation.

Balance, March 31,

2026 Additions

Additions from

business

combination (2) Other (1) Depreciation

Foreign currency translation

Balance, September 30, 2026

$ $ $ $ $ $ $

Owned assets

(1) Includes reclassification of construction in progress when associated projects are complete, transfers to assets held for sale (Note 7 - Assets Held for Sale) and reclassifications between asset classes.

(2) Refer to Note 3 - Business Combination.

Depreciation relating to manufacturing equipment and production facilities for owned and right-of-use leased assets is capitalized to inventory and is expensed to cost of sales upon the sale of goods. During the three and six months ended September 30, 2026, the Company recognized

$3.5 million and $7.5 million, respectively, (three and six months ended September 30, 2025 - $7.0 million and $13.1 million, respectively) of depreciation expense, of which $2.8 million and $5.3 million, respectively, (three and six months ended September 30, 2025 - $2.8 million and

$5.6 million, respectively) was for manufacturing equipment and production facilities and expensed to cost of sales.

1. ‌Shares Issued and Outstanding‌‌

   At September 30, 2026, 65,744,811 Common Shares (March 31, 2026 - 58,947,593) were issued and outstanding. During the six months ended September 30, 2026, 2,417,180 Common Shares were issued in connection with the acquisition of Safari (Note 3) and 3,929,524 Common Shares were issued under the ATM program (Note 9(b)).

2. At-The-Market Equity Program ("ATM Program")

On February 4, 2026, the Company filed a prospectus supplement, establishing a new ATM Program that allows the Company to issue and sell up to U.S.$100 million of Common Shares in the capital of the Company from treasury to the public.

The following is a summary of the activity under the ATM Program:

US$ equivalent

2026 2026

Three months ended

September 30

Six months ended September 30

Three months ended

September 30

Six months ended September 30

During the three months and six months ended September 30, 2026, the Company incurred $0.4 million and $0.8 million, respectively (three and six months ended September 30, 2025 - $nil) in transaction costs directly related to the ATM Program, which were recognized in the interim condensed consolidated statements of changes in shareholders' equity. The Company's last issuance of Common Shares under the ATM Program settled on August 18, 2026.

1. ‌Stock Options

   The Option Plan provides the right for directors, officers, employees and consultants to purchase shares at a specified price (exercise price) in the future. The stock options have a service requirement of three years, vest 1/3 on each grant date anniversary over the three years and are amortized on an accelerated basis over that period. Stock options expire after five years.

   A summary of stock options outstanding is as follows:
   	Stock options	Weighted average exercise price
   	#	$
   Balance, March 31, 2026	1,992,445	12.74
   Granted	369,370	4.22
   Expired	(89,614)	83.38
   Balance, September 30, 2026	2,272,201	8.57

   The following table summarizes the stock options that are outstanding as at September 30, 2026:

   Exercise Price	Expiry Date	Weighted average remaining life	Options outstanding	Options exercisable
   $			#	#
   4.22 - 7.91	June 23, 2028 - June 18, 2031	3.10	1,966,493	1,058,875
   16.70 - 48.60	February 28, 2027 - September 23, 2027	0.96	302,867	302,867
   83.70	November 30, 2026	0.17	2,841	2,841
   			2,272,201	1,364,583

   During the three and six months ended September 30, 2026, stock option expense of $0.3 million and $0.9 million, respectively, (three and six months ended September 30, 2025 - $0.6 million and $1.3 million, respectively) was recognized in share-based compensation in the interim condensed consolidated statements of loss and comprehensive loss.

   Stock options granted during the respective periods presented below were fair valued based on the following weighted average assumptions:

   Six months ended September 30,

   		2026		2025
   Risk-free annual interest rate (1)		2.86%		2.66%
   Expected annual dividend yield		-%		-%
   Expected stock price volatility (2)		85.53%		91.41%
   Expected life of options (years) (3)		3.29		3.06
   Forfeiture rate		7.98%		8.78%
   Weighted average value	$	2.46	$	3.50
   Weighted average exercise price	$	4.22	$	5.90

   (1) The risk-free rate is based on Canada government bonds with a remaining term equal to the expected life of the options.

   (2) Volatility was estimated by using the average historical volatilities of the Company and certain companies in the same industry.

   (3) The expected life in years represents the period of time that options granted are expected to be outstanding.

2. Restricted Share Units ("RSUs")

   The RSU Plan was designed to provide certain executive officers and other key employees of the Company and its subsidiaries with the opportunity to acquire RSUs of the Company in order to enable them to participate in the long-term success of the Company and to promote a greater alignment of their interests with the interests of the shareholders. Under the terms of the RSU Plan, officers, employees and consultants of the Company may be granted RSUs that are released as Common Shares upon completion of the vesting period. Each RSU gives the participant the right to receive one common share of the Company. The RSUs have a service requirement of three years, vest 1/3 on each grant date anniversary over the three years and are amortized on an accelerated basis over that period. RSUs expire after three years.

   A summary of the RSUs outstanding is as follows:
   	RSUs
   	#
   Balance, March 31, 2026	1,023,746
   Issued	1,043,203
   Vested	(410,441)
   Forfeited	(54,602)
   Balance, September 30, 2026	1,601,906

   During the three and six months ended September 30, 2026, RSU expense of $1.0 million and $1.7 million, respectively, (three and six months ended September 30, 2025 - $1.1 million and $2.0 million, respectively) was recognized in the interim condensed consolidated statements of loss and comprehensive loss.

3. Deferred Share Units ("DSUs")

   Under the terms of the Company's Non-Employee Directors Deferred Share Unit Plan (the "DSU Plan"), non-employee directors of the Company may be granted DSUs. Each non-employee director is entitled to redeem their DSUs for a period of 180 days following their termination date, being the date of their retirement from the Board. The DSUs can be redeemed, at the Company's sole discretion, for (i) cash (Note 10(e)); (ii) Common Shares issued from treasury; (iii) Common Shares purchased in the open market; or (iv) any combination of the foregoing. DSUs are

   issued in recognition of past service for non-employee directors and are expensed immediately at fair value to share-based compensation expense in the interim condensed consolidated statements of loss and comprehensive loss. DSUs vest immediately upon grant and have no expiry date. As at September 30, 2026, there were 28,555 (March 31, 2026 - 28,555) equity-settled DSUs outstanding.

4. Performance Share Units ("PSUs")

   Under the terms of the Company's Performance Share Unit Plan (the "PSU Plan"), officers, employees and consultants of the Company may be granted PSUs that may be settled in either cash (Note 10(e)) or equity, depending on the recipient of the PSUs. In each case, upon the three year cliff vesting date, the performance share units are subject to performance conditions multiplied by the achieved performance ratio. If the performance criteria are not met at the time of vesting, the PSUs will expire. The PSUs are amortized on a straight line basis over the three year period and expire after three years. Equity-settled PSUs are released as Common Shares equal to the market price of Common Shares on the entitlement date, multiplied by the number of performance share units being settled.

   A summary of the equity-settled PSUs outstanding is as follows:
   	PSUs
   Balance, March 31, 2026	# 343,037
   Granted	313,963
   Vested	(40,623)
   Forfeited	(42,530)
   Expired	(34,460)
   Balance, September 30, 2026	539,387

   During the three and six months ended September 30, 2026, an expense of $0.3 million and $0.5 million, respectively, (three and six months ended September 30, 2025 - expense of $0.2 million and $0.5 million, respectively) was recognized in share-based compensation in the interim condensed consolidated statements of loss and comprehensive loss for equity-settled PSUs.

   The PSUs granted during the periods presented below were fair valued based on the following average assumptions:

   Six months ended September 30,

   	2026	2025
   Risk-free annual interest rate (1)	2.78%	2.58%
   Dividend yield	-%	-%
   Expected stock price volatility (2)	71.50%	74.99%
   Expected stock price volatility of peer group (2)	74.94%	83.40%
   Expected life of options (years) (3)	3.00	3.00
   Forfeiture rate	-%	-%
   Equity correlation against peer group (4)	72.47%	37.63%

   (1) The risk-free rate is based on Canada government bonds with a remaining term equal to the expected life of the PSUs.

   (2) Volatility was estimated by using the 20-day VWAP historical volatility of the Company and the peer group of companies.

   (3) The expected life in years represents the period of time that the PSUs granted are expected to be outstanding.

   (4) The equity correlation is estimated by using 1-year historical equity correlations for the Company and the peer group of companies.

5. Cash Settled DSUs and PSUs

Cash settled DSUs and PSUs are classified as derivative liabilities (Note 14) in the interim condensed consolidated statements of financial position and are initially measured at fair value and remeasured at each reporting period, with changes in fair value recognized in share-based compensation expense.

Upon settlement, cash settled DSUs are remeasured and the corresponding derivative liability is extinguished at the remeasured amount. During the three and six months ended September 30, 2026, an expense of $0.7 million and $0.6 million, respectively, (three and six months ended September 30, 2025 - $1.1 million and $1.2 million, respectively) was recognized in share-based compensation expense in the interim condensed consolidated statements of loss and comprehensive loss. As at September 30, 2026, the related derivative liability was $2.0 million (March 31, 2026 - $1.3 million).

Cash-settled PSUs are measured at fair value using a Monte Carlo simulation model, which is classified as level 2 on the fair value hierarchy. These PSUs have a service requirement of three years and are amortized ratably over that period. During the three and six months ended September 30, 2026, an expense of $1.5 million and $0.8 million, respectively, (three and six months ended September 30, 2025 - expense of

$1.9 million and $2.2 million, respectively) was recognized in share-based compensation expense in the interim condensed consolidated statements of loss and comprehensive loss. As at September 30, 2026, the related derivative liability was $2.4 million (March 31, 2026 - $2.3 million).

‌The following is a reconciliation of basic loss per share:

Three months ended September 30, Six months ended September 30,

The following is a reconciliation of diluted loss per share:

Three months ended September 30, Six months ended September 30,

(1) Diluted loss per share is not applicable when the impact will decrease loss per share or increase earnings per share.

‌The Company defines an operating segment on the same basis that it uses to evaluate performance internally and to allocate resources by the Chief Operating Decision Makers ("CODMs").

As at September 30, 2026, the Company has one reportable operating segment, Cannabis. The Cannabis operating segment comprises the Canadian, European, Australia, New Zealand and Safari cash generating units ("CGU").

The Company's core business is vertically integrated, comprised of cultivation, manufacturing, packaging and distribution of cannabis products, in addition to ancillary support services such as research and development and patient counselling. The Company's sales channels are defined as medical (Canada, Europe, Australia, New Zealand and rest of world), Canadian consumer and wholesale (bulk). The cultivation and manufacturing facilities that support the revenue channels are interchangeable. As a result, disaggregated financial information reviewed by the CODMs is limited to revenue and cost of sales. Therefore, the Company has determined that there is one reportable operating segment.

Key measures used by the CODMs to assess performance and make resource allocation decisions include net revenue and gross profit based on standard costing for each revenue channel.

The following table summarizes the Company's net revenue by geographic location:

Three months ended September 30, Six months ended September 30,

During the six months ended September 30, 2026 and September 30, 2025, no customer contributed 10 per cent or more to the Company's net revenue.

The following table summarizes non-current assets, excluding financial instruments and deferred tax assets by geographic location:

Additional supplementary cash flow information is as follows:

Six months ended September 30,

Included in restricted cash as at September 30, 2026 is $2.6 million (March 31, 2026 - $2.6 million) attributed to collateral held for letters of credit and corporate credit cards, $0.1 million (March 31, 2026 - $0.1 million) attributed to international subsidiaries and $46.7 million (March 31, 2026 - $45.1 million) of funds reserved for the segregated cell program for insurance coverage and not held for the purpose of meeting short term cash commitments.

During the three months ended September 30, 2026, the Board of Directors approved the wind-up of the Company's segregated cell and captive programs associated with its self-insurance policies. Upon completion of the wind-up, approximately $46.7 million of restricted cash held within the segregated cell will become unrestricted and reclassified to cash and cash equivalents. The wind-up is expected to be completed during the third quarter of fiscal 2027.

‌The carrying values of the financial instruments as at September 30, 2026 are summarized in the following table:

Amortized cost

Fair value through

profit and loss Total

$ $ $

Financial assets

(1) Preferred shares and royalty receivable are included in long-term investments on the interim condensed consolidated statements of financial position.

The following is a summary of financial instruments measured at fair value segregated based on the various levels of inputs:

There were no changes in the nature, characteristics and risks of financial instruments that would result in a change in classification of financial assets and financial liabilities disclosed above. There were no transfers between fair value measurement hierarchy levels during the six months ended September 30, 2026.

The preferred shares received as consideration in the disposition of Bevo (Note 4) are measured at fair value through profit and loss at each reporting period. The fair value of the preferred shares was determined based on scenario-based discounted cash flow methodology, using level 3 inputs. Significant assumptions and estimates used in the valuation model include Bevo's projected cash flows until the year 2080, the probability of a liquidation event, as defined in the agreement, and the discount rate. As at September 30, 2026, the fair value of the preferred shares of $10.0 million (March 31, 2026 - $10.6 million) was recorded on the interim condensed consolidated statements of financial position.

On November 3, 2026, Aurora and Organigram Global Inc. ("Organigram") announced entering into an arrangement agreement (the "Arrangement Agreement") whereby Organigram will acquire each of the issued and outstanding common shares of Aurora (the "Aurora Shares") in exchange for either (i) C$7.80 in cash, (ii) 5.8626 common shares in the capital of Organigram (the "Organigram Shares"), or (iii) a combination of C$3.75 in cash and 3.0431 Organigram Shares, subject to proration, structured as a statutory plan of arrangement pursuant to the Business Corporations Act (British Columbia). The transaction is expected to be completed in January 2027, subject to shareholder, court and regulatory approvals, and other customary closing conditions. There can be no assurance that the transaction contemplated by the Arrangement Agreement will be completed as described or at all.