Toronto, Ontario--(Newsfile Corp. - November 3, 2025) - CareRx Corporation (TSX: CRRX) ("CareRx" or the "Company"), Canada's leading provider of pharmacy services to seniors living and other congregate care communities, today reported its financial results for the third quarter that ended September 30, 2025.

Highlights for the Third Quarter of 2025

• Average Beds Serviced¹ increased to 91,298 as of September 30, 2025.
• Revenue increased to $93.2 million for Q3 2025 from $91.4 million in Q2 2025 and $92.8 million in Q3 2024.
• Adjusted EBITDA² increased to $8.3 million for Q3 2025, compared to $8.0 million in the prior quarter and $7.8 million in Q3 2024.
• Adjusted EBITDA Margin²increased to 9.0%, compared to 8.8% in Q2 2025 and 8.4% in Q3 2024.
• Cash from Operations was $10.1 million as of September 30, 2025, compared to $3.8 million in the prior quarter and $12.2 million in Q3 2024.

"Our third quarter results demonstrate the continued momentum we have built through disciplined execution and strategic investments in our operating platform," said Puneet Khanna, President and Chief Executive Officer of CareRx. "The combination of growing revenue, expanding EBITDA margins and increasing bed count reflects our ability to scale efficiently while maintaining operational excellence. The initiation of a quarterly dividend and the renewal of our share buyback program underscore our confidence in the business and our commitment to a flexible capital allocation strategy that balances growth investments with direct returns to shareholders. Our focused execution and strategic positioning ensure we are ready to grow with the sector and deliver long-term value to all our stakeholders and home operator partners."

Notable Events

• On September 3, 2025, CareRx hosted the Honourable Natalia Kusendova-Bashta, Ontario's Minister of Long-Term Care, at its Oakville pharmacy location to showcase the innovative pharmacy services and technology used to deliver integrated pharmacy services and programs to residents across the seniors housing spectrum. CareRx also highlighted the critical role the Company plays in personalized medication management and enhanced clinical support.

• On September 15, 2025, the Company declared a dividend of $0.02 per common share, which was subsequently paid on October 15, 2025. This dividend is designated as an "eligible dividend" for Canadian income tax purposes.

• On September 15, 2025, the TSX approved the renewal of the Company's normal course issuer bid ("NCIB"), allowing the Company to repurchase for cancellation up to 1,500,000 of its common shares during the period from September 17, 2025, to September 16, 2026. Since the commencement of the NCIB on September 17, 2025, the Company repurchased an aggregate of 194,100 common shares for cancellation at a weighted average price of $3.56 per share. Certain purchases under the NCIB were made by the Company's broker in accordance with the terms of the Company's automatic repurchase plan.

FINANCIAL RESULTS

Selected Financial Information

 Financial Performance - Q3 2025

• Average Beds Serviced¹ increased by 1,250 beds and 2,199 beds compared to Q2 2025 and Q3 2024, respectively.
• Adjusted EBITDA² and Adjusted EBITDA margin² increased year-over-year and quarter-over-quarter due to the onboarding of new beds and cost savings initiatives.
• Net Debt² decreased compared to Q2 2025 due to an increase in the Company's cash balance; Net Debt to Adjusted EBITDA² declined in the quarter due to the decline in Net Debt and an increase in run-rate Adjusted EBITDA².

Conference Call

The Company will host a conference call to discuss its third quarter of 2025 financial results on Tuesday, November 4, 2025, at 8:30 a.m. Eastern Time (ET). To dial direct and enter the call through an operator, dial 647-849-3320 or 1-833-752-4643.

A live webcast of the conference call, including the slide presentation, will be available on the Events and Presentations page of the Investors section of the Company's website (https://carerx.ca/presentations/) and can be accessed here. Please connect at least 15 minutes prior to the conference call to ensure adequate time for any software download that may be required to join the webcast.

The webcast with slide presentation will be archived for 90 days on the Events and Presentations page of the Investors section of the Company's website (https://carerx.ca/presentations/).

About CareRx Corporation

CareRx is Canada's leading provider of pharmacy services to seniors living and other congregate care communities (long-term care homes, retirement homes, assisted living facilities and group homes). We are a national organization with a large network of pharmacy fulfillment centers strategically located across the country. This allows us to deliver medications in a timely and cost-effective manner and quickly respond to routine changes in medication management. We use best-in-class technology that automates the preparation and verification of multi-dose compliance packaging of medication, providing the highest levels of safety and adherence for individuals with complex medication regimens. We take an active role in working with our home operator partners to promote resident health, staff education and medication system quality and efficiency.

Forward-Looking Statements

This press release contains statements that may constitute "forward-looking statements" within the meaning of applicable Canadian securities legislation. These forward-looking statements include, but are not limited to, statements regarding the Company's business strategy, plans and other expectations, beliefs, goals, objectives, information and statements about possible future events, including statements about the Company's capital allocation strategy and future growth and investments. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may", "will", "expect", "intend", "estimate", "anticipate" or similar expressions suggesting future outcomes or events. Such forward-looking statements reflect management's current beliefs and are based on information currently available to management.

Forward-looking statements are necessarily based on management's perception of historical trends, current conditions, and future developments, as well as assumptions that, while considered reasonable by management as of the date hereof, are inherently subject to known and unknown risks and uncertainties (many of which are beyond the control of the Company) that could cause actual results to differ materially from those contemplated by such statements. Factors and risks that could cause such differences include, but are not limited to, the Company's general business risks, the Company's exposure to and reliance on government regulation and funding, reliance on contracts with key care operators, and other risk factors described from time to time in the reports and disclosure documents filed by the Company with Canadian securities regulatory agencies and commissions. The foregoing risks and factors are not an exhaustive list of the factors that may impact the Company's forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on the Company's forward-looking statements. As a result of the foregoing and other factors, no assurance can be given as to any such future results, levels of activity or achievements. The factors underlying current expectations are dynamic and subject to change. Other than as specifically required by applicable laws, the Company is under no obligation and it expressly disclaims any such obligation to update or alter the forward-looking statements whether as a result of new information, future events or otherwise. All forward-looking statements in this press release are qualified by these cautionary statements.

Non-IFRS Measures, Non-IFRS Ratios and Other Measures

This press release includes certain measures which have not been prepared in accordance with IFRS, including: "EBITDA", "Adjusted EBITDA", "Adjusted EBITDA Margin", "Adjusted EBITDA per share", "Net Debt" and "Net Debt to Adjusted EBITDA". These non-IFRS measures and non-IFRS ratios are not standardized financial measures recognized under IFRS and, accordingly, readers are cautioned that these measures may differ from, and may not be comparable to, similarly-named measures reported by other issuers. With respect to "EBITDA" and "Adjusted EBITDA", net income (loss) is the most directly comparable financial measure determined in accordance with IFRS. With respect to "Net Debt", Cash and cash equivalents and Borrowings are the most directly comparable financial measures determined in accordance with IFRS. The non-IFRS measures and ratios presented this press release should not be viewed as a substitute for the related financial information prepared in accordance with IFRS.

The Company defines "EBITDA" as earnings before depreciation and amortization, finance costs, net, and income tax expense (recovery). "Adjusted EBITDA" is defined as EBITDA before transaction, restructuring and other costs, change in fair value of contingent consideration liability, impairments, (gain) loss on disposal of assets and share-based compensation expense. "Adjusted EBITDA Margin" is defined as Adjusted EBITDA divided by revenue. "Adjusted EBITDA per share" is defined as Adjusted EBITDA divided by the weighted average outstanding shares. "Net Debt" is defined as the principal balance of the Company's borrowings net of cash and cash equivalents. "Net Debt to Adjusted EBITDA" is defined as Net Debt divided by the Company's run-rate Adjusted EBITDA annualized based on the current quarter's Adjusted EBITDA. Management of the Company believes that these non-IFRS measures and non-IFRS ratios provide useful information to investors regarding the Company's financial condition and results of operations as they provide additional key metrics of performance. The Company believes that Adjusted EBITDA is a meaningful financial metric as it measures cash generated from operations which the Company can use to fund working capital requirements, service interest and principal debt repayments and fund future growth initiatives. The Company's agreements with lenders are also structured with certain financial performance covenants which includes Adjusted EBITDA as a key component of the covenant calculation. The Company uses Adjusted EBITDA Margin to assess the efficiency of its operations by comparing Adjusted EBITDA for the period against revenues. The Company believes that Adjusted EBITDA per share can provide shareholders with useful information, contextualizing Adjusted EBITDA by factoring in changes to the Company's outstanding shares. The Company believes Net Debt and Net Debt to Adjusted EBITDA provides useful information to investors and other stakeholders as it reflects the Company's overall financial leverage and liquidity position. Management uses Net Debt and Net Debt to Adjusted EBITDA as a measure of the Company's ability to meet its financial obligations and manage capital structure.

In addition to the foregoing non-IFRS measures and ratios, the Company uses certain key performance indicators, including Average Beds Serviced to compare the financial performance of the Company's operations between periods. Average Beds Serviced is a supplementary financial measure which is not a standardized financial measure recognized under IFRS and, accordingly, readers are cautioned that this measure may differ from, and may not be comparable to, similarly-named measures reported by other issuers. Average Beds Serviced is calculated as the simple average of the number of residents serviced by the Company at the end of each month in the applicable period.

Reconciliation of Non-IFRS Measures

¹ "Average Beds Serviced" is not a measure recognized under IFRS. See the "Non-IFRS Measures, Non-IFRS Ratios and Other Measures" section of this press release.
² Non-IFRS measure or non-IFRS ratio. For further information, including descriptions of the composition of each measure and reconciliations of the measure to the comparable measures under IFRS, see the "Non-IFRS Measures, Non-IFRS Ratios and Other Measures " section of this press release.