GREY WOLF ANIMAL HEALTH REPORTS FOURTH QUARTER AND YEAR END 2025 FINANCIAL RESULTS

TORONTO, April 16, 2026 /CNW/ - Grey Wolf Animal Health Corp. (TSXV: WOLF) ("Grey Wolf" or the "Company"), a Canadian diversified health company, today announced financial results for the fourth quarter and year ended December 31, 2025. All results are reported in Canadian dollars.

Highlights

• Revenue for the quarter increased year over year by 34.3% to $9.0 million. Revenue for the full year increased by 33.3% to $35.8 million for the year.
• Gross profit increased year over year by 38.8% to $4.7 million for the quarter and 38.5% to $19.0 million for the year.
• Adjusted EBITDA¹ increased year over year by 79.3% to $1.6 million for the quarter and 61.0% to $6.9 million for the year.

"Grey Wolf delivered strong revenue and Adjusted EBITDA¹ growth in 2025", said Angela Cechetto, Chief Executive Officer.  "Our pharmacy business revenue grew by 54.7% to $22.7 million during the year driven by organic growth in our existing compounded products and the full year impact from the CPM Acquisition in December 2024.  Excluding the impact of CPM, our pharmacy business posted strong organic growth of 12.7% in 2025 compared to 2024."

Ms. Cechetto went on to say, "our Animal Health business was up 7.4% to $13.0 million in 2025 as we continue to see solid performance in our behaviour and GI portfolios and new products launched in the past year, as well as an increase in commission revenue. Adjusted EBITDA¹ increased by 61.0% to $6.9 million for the year as a result of higher revenue and gross margins, with our Adjusted EBITDA¹ margin improving to 19.3% year to date vs 16.0% in the prior year."

Key Financial Data and Comparative Results

	Three months ended		Twelve months ended
	Dec 31, 2025	Dec 31, 2024	Dec 31, 2025	Dec 31, 2024
Revenue	$8,982,177	$6,686,705	$35,764,742	$26,829,485
Gross profit	4,663,214	3,359,999	19,062,269	13,758,580
Gross profit %	51.9 %	50.2 %	53.3 %	51.3 %
Total operating expenses	3,838,870	3,551,626	15,005,511	11,853,433
Operating income (loss) for the period	824,344	(191,627)	4,056,758	1,905,147
Income tax expense	80,061	82,103	720,457	687,053
Net income (loss) for the period	329,286	(501,102)	1,656,740	704,668
Earnings (loss) per share
Basic and diluted	$0.01	($0.02)	$0.05	$0.02
EBITDA	1,530,786	285,909	6,741,837	3,381,065
Adjusted EBITDA	1,554,774	867,368	6,901,142	4,286,175
			Dec 31, 2025	Dec 31, 2024
Total assets			$64,528,466	$65,602,178
Total liabilities			33,963,905	36,771,017

Results of Operations for the Fourth Quarter and Year ended December 31, 2025

Revenue for the three- and twelve- month periods ended December 31, 2025 increased 34.3% to $9.0 million and 33.3% to $35.8 million, respectively, compared to the same periods in 2024.  In the Pharmacy business, revenue grew year over year by 51.2% to $5.6 million and 54.7% to $22.7 million respectively, in the fourth quarter and full year of 2025 due to growth in sales of compounded products and the impact of the acquisition of The Compounding Pharmacy of Manitoba in December 2024 (the" CPM Acquisition").  Revenue in the Animal Health business grew year over year by 13.2% to $3.4 million and 7.4% to $13.0 million, respectively, in the fourth quarter and full year of 2025 driven by increased sales in established and new products.  

Gross profit margins for the three- and twelve- month periods ended December 31, 2025 increased to 51.9% from 50.2% and 53.3% from 51.3% compared to the same periods in 2024. Year to date, gross profits were impacted by increased margins in the Pharmacy business as a result of decreased material and labour costs and the impact of the CPM Acquisition and increased margins in the Animal Health business as a result of product mix.

Total expenses for the three- and twelve- month periods ended December 31, 2025, increased 8.1% to $3.8 million and 26.6% to $15.0 million, respectively, over the same periods in 2024. During the twelve-month period, there was an increase in salary, bonuses, and benefits related to operational growth and increased expenses related to the CPM Acquisition as compared to the same period in 2024.  Total expenses in both 2024 and 2025 also included one-time transaction costs related to the CPM Acquisition.

Adjusted EBITDA¹ for the three- and twelve- month periods ended December 31, 2025 increased 79.3% to $1.6 million and 61.0% to $6.9 million compared to the same periods in 2024. The increase in Adjusted EBITDA¹ was mainly due to increased net income for the period after adjusting for the related impacts from the CPM Acquisition on interest and accretion expenses and depreciation and amortization cost, and transaction costs.

Cash and cash equivalents were $7.7 million at December 31, 2025 compared to $6.4 million at December 31, 2024.  Cash increased by $1.3 million mainly due to an increase in cash provided by operating activities.  During 2025, the Company generated cash from operations of $3.8 million, which was primarily impacted by net income for the current period offset by changes in non-cash working capital items, most significantly changes in trade and other receivables, inventories, and accounts payable and accrued liabilities.

As at December 31, 2025, the Company had outstanding borrowings of $25.1 million, of which $2.2 million are current and $22.9 million are non-current. The Company repaid borrowings of $0.5 million in the quarter and $1.9 million since December 31, 2024. The Company's debt consists of three fixed rate term loans, including a mortgage of $4.4 million secured against the CPM land and building.

Grey Wolf's financial statements and accompanying Management's Discussion and Analysis for the three- and twelve- months ended December 31, 2025 are available under the Company's profile on www.sedarplus.ca. This news release is not in any way a substitute for reading those financial statements, including the notes to the financial statements.

Proposed Name Change

The Company announces that it intends to change its name to Grey Wolf Health Corp. (TSXV:WOLF), subject to TSX Venture Exchange and shareholder approval.  What started as an animal health company has evolved over the last several years to include compounding pharmacy services to both human and animal markets in Canada. The Company believes the proposed name reflects Grey Wolf's broader mission to deliver tailored solutions to humans and animals in areas of unmet need. Shareholders will be asked to approve the proposed change at the annual general and special meeting of the Company scheduled for June 24, 2026, voting materials for which will be available shortly.

Issuance of Stock Options and Restricted Share Units

Subsequent to the quarter, the Board of Directors authorized the grant of an aggregate of 50,000 stock options to purchase common shares of the Company and 87,000 restricted share units to certain officers, directors and employees of the Company to be effective April 27, 2026 pursuant to the terms of the Company's second amended and restated stock option plan and restricted share unit plan, respectively.  The options will expire 10 years from the grant date, will have an exercise price equal to the closing price of the common shares of the Company on the TSX Venture Exchange on April 24, 2026 and will vest as to one-third on each of the first, second and third anniversaries of the grant date. The restricted share units will expire 10 years from grant date and will vest as to one-third on each of the first, second and third anniversaries of the grant date.

Presentation at the 2026 Bloom Burton & Co. Healthcare Investor Conference

Angela Cechetto, CEO is scheduled to present at the 2026 Bloom Burton & Co. Healthcare Investor Conference on Tuesday April 21, 2026 at 3:30pm ET at the Metro Toronto Convention Centre in Toronto.

Grey Wolf will also be available for one-on-one meetings during both days of the conference to be held on April 21-22, 2026.  Investors interested in meeting with Grey Wolf during the conference should contact the conference coordinator.

¹Non-IFRS Measures

Management uses both IFRS and Non-IFRS Measures to assess the financial and operating performance of the Company's operations. These Non-IFRS Measures are not recognized measures under IFRS, do not have a standardized meaning under IFRS and are unlikely to be comparable to similar measures presented by other companies. The Non-IFRS Measures referenced in this press release includes Adjusted EBITDA. The Company defines Adjusted EBITDA as earnings before transaction costs (including, for greater certainty, transaction costs related to the CPM Acquisition), settlement costs, interest income, interest and accretion expense, income taxes, depreciation of property and equipment, depreciation of right of use assets, amortization of intangible assets, share-based compensation, foreign exchange gains or losses and other income. The Company considers Adjusted EBITDA as an additional metric in assessing business performance and an important measure of operating performance and cash flow, providing useful information to help analyze and compare profitability between companies for investors and analysts.

The following table provides a summary of the differences between Grey Wolf's consolidated IFRS and Non-IFRS financial measures, which are reconciled below:

EBITDA and Adjusted EBITDA

	Three months ended		Twelve months ended
	Dec 31, 2025	Dec 31, 2024	Dec 31, 2025	Dec 31, 2024
Net income (loss) for the period	$329,286	($501,102)	$1,656,740	$704,668
Interest income	(30,095)	(47,277)	(111,924)	(203,891)
Interest and accretion expense	446,437	254,547	1,774,110	664,901
Income taxes	80,061	82,103	720,457	687,053
Depreciation of property and equipment	225,886	149,234	819,413	382,890
Depreciation of right of use assets	100,295	31,598	207,875	97,388
Amortization of intangible assets	378,916	316,806	1,675,166	1,048,056
EBITDA	1,530,786	285,909	6,741,837	3,381,065
Adjustments
Share-based compensation	25,333	40,045	76,660	85,634
Foreign exchange (gain) loss	(1,345)	20,102	17,375	52,416
Transaction costs		521,312	65,270	521,312
Settlement costs				245,748
Adjusted EBITDA	1,554,774	867,368	6,901,142	4,286,175

About Grey Wolf Animal Health Corp.‎

Grey Wolf Animal Health Corp., headquartered in Toronto, Canada, is a diversified health ‎company founded by a veterinarian to bring to market a broad portfolio of products that meets the ‎unmet needs of veterinarians, physicians and patients.  The Company's strategy is to in-license, acquire or compound prescription and non-prescription products for commercialization in the animal and human health market ‎in Canada. For additional information, please visit: www.greywolfah.com.‎

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

Forward Looking Statements

Certain information included in this press release contains forward-looking information with the meaning of applicable Canadian securities laws. This information includes statements concerning the Company's objectives, its strategies to achieve those objectives, as well as statements with respect to management's beliefs, plans, estimates, and intentions, and similar statements concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts, including the proposed change of the Company's name. Forward-looking information generally can be identified by the use of forward-looking terminology such as "outlook", "objective", "may", "will", "would", "expect", "intend", "estimate", "anticipate", "believe", "should", "plan", "continue", or similar expressions suggesting future outcomes or events or the negative thereof. Such forward-looking information reflects management's beliefs and is based on information currently available. All forward-looking information in this press release is qualified by the following cautionary statements.

Forward-looking information necessarily involve known and unknown risks and uncertainties, which may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, assumptions may not be correct and objectives, strategic goals and priorities may not be achieved. A variety of factors, many of which are beyond the Company's control, affect the operations, performance and results of the Company and its subsidiaries, and cause actual results to differ materially from current expectations of estimated or anticipated events or results.

A more detailed assessment of the risks that could cause actual results to materially differ than current expectations is contained in the Risk Factors section of Grey Wolf's Management's Discussion and Analysis for the three- and twelve-months ended December 31, 2025. The forward-looking information included in this press release is made as of the date hereof and should not be relied upon as representing the Company's views as of any date subsequent to the date hereof. Management undertakes no obligation, except as required by applicable law, to publicly update or revise any forward-looking information, whether as a result of new information, future events or otherwise.

SOURCE Grey Wolf Animal Health Corp.

For further information, please contact:‎ Angela Cechetto, Chief Executive Officer, E-mail: [email protected]