Simply Solventless Announces Major Progress on Humble Grow Co. Retrofit and Integration Achievements

Calgary, Alberta – Simply Solventless Concentrates Ltd. (TSXV: HASH) (“SSC” or the “Company”) has released an important update on the ongoing retrofit of its Humble Grow Co. (“Humble”) cultivation facility and provided a detailed summary of the results from past acquisition integrations and associated cost savings. This update highlights the company’s focus on operational improvements, enhanced production capacity and efficiency, and significant financial benefits resulting from recent strategic initiatives.

Humble Retrofit: Progress and Expected Outcomes

Jeff Swainson, President and CEO of SSC, reported that the retrofit project at the Humble Grow Co. facility in Winnipeg, Manitoba, is progressing well. The retrofit includes changes such as upgrading to LED lighting, adjusting the layout of grow tables, improving irrigation, adding dehumidification systems, and optimizing air circulation. These upgrades are designed to significantly improve environmental control within the facility — resulting in better plant growth conditions.

Swainson stated that all LED lighting equipment required for the retrofit has been ordered using the company’s existing working capital, and detailed installation timelines will be provided as the project continues. Current projections suggest that the facility could reach full retrofit-based production capacity by early Q3 2026.

Once fully operational, SSC estimates that Humble’s contribution to annual gross revenue could increase substantially — from current levels up to a projected range of approximately $53.5 million to $65.5 million. With fixed operating costs expected to remain similar to pre-retrofit levels, the majority of the incremental revenue is anticipated to flow through to adjusted EBITDA. This would meaningfully elevate SSC’s annual adjusted EBITDA, with forecasts suggesting an increase to between $10.7 million and $18.7 million.

The total capital cost for the retrofit is approximately $2.5 million, though expected government rebates could lower net expenses to around $1.5 million. Swainson observed that this net investment is expected to be recouped in under one year, reflecting a strong return on investment for shareholders.

Technical Enhancements and Facility Improvements

The retrofit leverages two years of internal data on cultivation performance. The planned upgrades will triple the lighting intensity within growing areas, leading to improved nutrient uptake and more consistent plant development. Enhanced humidity control and air movement are also anticipated to support healthier crop cycles and higher yields. The retrofitted facility spans approximately 98,000 square feet and retains its existing footprint while introducing efficiency-focused improvements.

Swainson emphasized the strategic importance of these technical enhancements — positioning the Humble facility as a highly competitive indoor cultivation asset among Canadian cannabis producers, especially given that many large-scale licensed producers currently dominate such infrastructure.

Cost Savings and Integration Benefits from Recent Acquisitions

Alongside the retrofit update, SSC detailed the financial benefits generated from its acquisition strategy. Since integrating Humble and other acquired businesses into its operations, the company has realized estimated annual payroll cost savings of approximately $7.8 million — representing about a 44% reduction compared to pre-acquisition employment expense levels.

This outcome reflects SSC’s strategic thesis that consolidation within its cultivation and production operations would result in meaningful synergies and operational efficiencies. The cost savings achieved to date are seen as a key validation of this strategic approach, enabling SSC to lower baseline operating costs while maintaining or increasing production capacity.

Swainson noted that the strong integration performance, combined with improvements in production metrics and cost controls, has positioned the company to build on these achievements going forward.

Future Prospects and Strategic Positioning

As SSC continues to advance both the Humble facility retrofit and broader integration of its acquisition portfolio, management believes the company is well poised to capitalize on favourable market dynamics within the Canadian cannabis industry. The combination of increased production capacity, improved profitability, and enhanced operational scale may help SSC differentiate itself among junior licensed producers and strengthen its competitive standing.

The company has also underscored its commitment to maintaining disciplined capital allocation and operational execution as it pursues growth opportunities, both organically and through potential future acquisitions. This focus aligns with SSC’s long-term vision of becoming a leading producer of high-quality, solventless cannabis products.

About Simply Solventless Concentrates Ltd.

Simply Solventless Concentrates Ltd. is a Canadian cannabis company listed on the TSX Venture Exchange under the symbol HASH. The company focuses on producing solventless cannabis products and enhancing shareholder value through operational excellence, strategic acquisitions, and investments in production infrastructure.

#SimplySolventless #HumbleGrowRetrofit #CannabisIndustry #CostSavings #SlimScan #GrowthStocks #CANSLIM