Toronto, Canada - Entourage Health Corp. (TSX-V: ENTG) (OTCQX: ETRGF) (FSE: 4WE) ('Entourage' or the 'Company'), a Canadian producer and distributor of award-winning cannabis products, today announced its financial results for the three months ended March 31, 2024.

The Company reported total revenue of $16.4 million (net revenue of $12.7 million, before excise duties and discounts), up 9% year-over-year.

'Entourage's first quarter results are a testament to our robust financial health and strategic approach to business operations, positioning us for success throughout 2024,' said George Scorsis, Chair and CEO. 'With defined infrastructure and supply agreements in place, we are well-positioned to continue delivering the accelerated growth we have already seen develop in Q1. Our team's relentless focus on efficient execution has led to a solid performance, reflected in improved profitability and a significant increase in EBITDA, marking the first positive quarter. We are also seeing substantial growth in our adult-use business as we continue to announce and launch a range of innovative products across Canada set to generate ongoing interest and excitement among consumers.'

Corporate Highlights During and After the First Quarter of 2024

On April 30, 2024, the Company announced it was in breach of certain financial covenants and other obligations under each of its Senior Credit Agreement and Subordinated Credit agreements with an affiliate of the LiUNA Pension Fund of Central and Eastern Canada ('LPF') and was working collaboratively with LPF to reach an agreement on amended debt terms. Consequently, the Company received a renewed forbearance letter on May 3, 2024, waiving the Company's breaches until August 2, 2024, subject to the satisfaction or waiver of certain conditions.

In Q1 2024, Entourage increased production capacity to nearly 2.2 million pre-rolls per month.

Commercial Highlights

Entourage continues demonstrating its market strength and consumer appeal with a 10% year-over-year increase in adult-use revenue. This impressive growth reflects the Company's strategic initiatives and ability to adapt to the evolving market landscape.

In Q1 2024, the Dime Bag brand in Ontario was the 3rd fastest-growing pre-roll brand. Additionally, Dime Bag launched in Alberta, with plans for a nationwide rollout throughout 2024.

In Q1 2024, 80% of stores in Ontario, Alberta, and British Columbia continued carrying at least one Entourage SKU, maintaining a strong presence from the previous year. Furthermore, 50% of these stores featured four or more Company SKUs.

In Q1 2024, Entourage's national pre-roll market share was 2%. Color Cannabis also ranked 12th highest pre-roll brand in national dollar sales. It secured the number 2 spot in the pre-roll category in British Columbia, the second-largest revenue-generating market in Canada after Ontario.

The Company launched 11 new adult-use SKUs in Q1 2024, enhancing its product lineup across key markets. These SKUs included Color Cannabis 'Pedro's Sweet Sativa' and 'Blueberry Seagal Live Resin Infused' pre-rolls in Ontario, and 'Phantom Sunset' whole flower in Alberta.

Additionally, Saturday unveiled 'Passionfruit Lavender' and 'Beached Mango' in 1 g 510 vape carts in Ontario, further diversifying offerings and catering to consumer demand.

Starseed consistently broadens its product portfolio available to medical cannabis patients. This portfolio includes the introduction of new strains, advanced delivery methods, and specialized formulations, all designed to meet the diverse needs of the medical cannabis community.

About Entourage Health Corp.

Entourage Health Corp. is the publicly traded parent Company of Entourage Brands Corp., a licence holder producing and distributing cannabis products for the medical and adult-use markets. The Company owns and operates a fully licensed 26,000 sq. ft. Aylmer, ON processing facility. With its Starseed Medicinal medical-centric brand, Entourage has expanded its multi-channelled distribution strategy. Starseed's industry-first, exclusive partnership with LiUNA, the largest construction union in Canada, along with employers and union groups, complements Entourage's direct sales to medical patients. Entourage's elite adult-use product portfolio includes Color Cannabis, Saturday Cannabis - and now Dime Bag and Syndicate - sold across eight provincial distribution agencies. Exclusive Canadian producer and distributor of award-winning U.S.-based wellness brand Mary's Medicinals, sold in both medical and adult-use channels. In addition, Entourage also entered into an exclusive agreement with Irwin Naturals, a renowned nutraceutical and herbal supplement formulator of branded wellness products sold across North America.

Contact:

Catherine Flaman

Tel: 416-910-0279

Email: catherine.flaman@entouragecorp.com

Forward Looking Information

This press release contains 'forward-looking information' within the meaning of applicable Canadian securities legislation which are based upon Entourage's current internal expectations, estimates, projections, assumptions and beliefs and views of future events. Forward-looking information can be identified using forward-looking terminology such as 'expect', 'likely', 'may', 'will', 'should', 'intend', 'anticipate', 'potential', 'proposed', 'estimate' and other similar words, including negative and grammatical variations thereof, or statements that certain events or conditions 'may', 'would' or 'will' happen, or by discussions of strategy.

The forward-looking information in this news release is based upon the expectations, estimates, projections, assumptions, and views of future events which management believes to be reasonable in the circumstances. Forward-looking information includes estimates, plans, expectations, opinions, forecasts, projections, targets, guidance, or other statements that are not statements of fact. Forward-looking information necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; loss of markets; future legislative and regulatory developments; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the cannabis industry in Canada generally; the ability of Entourage to implement its business strategies; the COVID-19 pandemic; competition; crop failure and other risks.

Any forward-looking information speaks only as of the date on which it is made, and, except as required by law, Entourage does not undertake any obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. New factors emerge from time to time, and it is not possible for Entourage to predict all such factors. When considering this forward-looking information, readers should keep in mind the risk factors and other cautionary statements in Entourage's disclosure documents filed with the applicable Canadian securities' regulatory authorities on SEDAR+ at www.sedarplus.ca The risk factors and other factors noted in the disclosure documents could cause actual events or results to differ materially from those described in any forward-looking information.

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