Sundial Growers Inc. Condensed Interim Consolidated Financial Statements For the three and nine months ended

Sundial Growers Inc.

Condensed Interim Consolidated Financial

For the three and nine months ended September

(Unaudited - expressed in thousands of Canadian

Sundial Growers Inc.

Condensed Interim Consolidated Statements of Financial Position

(Unaudited - expressed in thousands of Canadian dollars)

Commitments (note 21)

Subsequent events (notes 4, 10, 13)

See accompanying notes to the condensed interim consolidated

financial statements.

Sundial Growers Inc.

Condensed Interim Consolidated Statements of Loss and Comprehensive

(Unaudited - expressed in thousands of Canadian dollars, except per

See accompanying notes to the condensed interim consolidated

financial statements.

Sundial Growers Inc.

Condensed Interim Consolidated Statements of Changes in Shareholders'

(Unaudited - expressed in thousands of Canadian dollars)

See accompanying notes to the condensed interim consolidated

financial statements.

Sundial Growers Inc.

Condensed Interim Consolidated Statement of Changes in Shareholders'

(Unaudited - expressed in thousands of Canadian dollars)

See accompanying notes to the condensed interim consolidated

financial statements.

Sundial Growers Inc.

Condensed Interim Consolidated Statement of Cash Flows

(Unaudited - expressed in thousands of Canadian dollars)

See accompanying notes to the condensed interim consolidated

financial statements.

Sundial Growers Inc.

Notes to the Condensed Interim Consolidated Financial Statements

For the three and nine months ended September 30, 2019 and 2018

(Unaudited - expressed in thousands of Canadian dollars, except

where otherwise noted)

Sundial Growers Inc. ("Sundial"

or the "Company") was incorporated under the Business Corporations Act (Alberta) on August 19, 2006.

The Company's head office

is located at 200, 919 11th Avenue SW, Calgary, Alberta, Canada.

The principal activities of the

Company are the production, distribution and sale of cannabis as regulated by the Access to Cannabis for Medical Purposes Regulations

("ACMPR") in Canada, up to and including October 16, 2018. On October 17, 2018, the ACMPR was superseded by the Cannabis

Act which regulates the production, distribution, and possession of cannabis for both medical and adult recreational access in

Canada. The Company is planning to expand its operations to jurisdictions outside of Canada where federally lawful and regulated,

including subsidiaries which operate in Europe and the United Kingdom.

On August 1, 2019, the Company's

common shares began trading on the Nasdaq Global Select Market ("Nasdaq") under the ticker symbol "SNDL".

Sundial does not engage in any U.S.

cannabis-related activities as defined in Canadian Securities Administrators Staff Notice 51-352.

These condensed interim consolidated

financial statements have been prepared in accordance with International Accounting Standard 34 - Interim Financial Reporting as

issued by the International Accounting Standards Board ("IASB") and interpretations of the International Financial

Reporting Interpretations Committee ("IFRIC") in effect as of December 31, 2018, except as noted in note 3(a). These

condensed interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements

for the Company for the ten months ended December 31, 2018 which have been prepared in accordance with International Financial

Reporting Standards ("IFRS") as issued by the IASB.

These condensed interim consolidated

financial statements have been prepared on a going concern basis, based on Management's assessment that the Company will

be able to realize its assets and discharge its liabilities in the normal course of business. These consolidated financial statements

do not give effect to adjustments that would be necessary to the carrying values and classifications of assets and liabilities

should the Company be unable to continue as a going concern.

Certain prior period amounts have

been reclassified to conform to current year presentation.

These condensed interim consolidated

financial statements were approved and authorized for issue by the Board of Directors ("Board") on November 13, 2019.

These condensed interim consolidated

financial statements have been prepared on a historical cost basis, except for biological assets and certain financial instruments

which are measured at fair value with changes in fair value recorded in earnings.

These condensed interim consolidated

financial statements are presented in Canadian dollars, which is the functional and presentation currency of the Company and its

Canadian based subsidiaries. Subsidiaries incorporated in the jurisdiction of England and Wales use the Great Britain Pound as

its functional currency. Sundial Deutschland GmbH and Sundial Portugal, Unipessoal LDA use the European Euro as their functional

currency. Transactions in currencies other than the functional currency are translated at the rate prevailing at the date of transaction.

Monetary assets and liabilities that are denominated in foreign currencies are translated at the rate prevailing at each reporting

date. Income and expense amounts are translated at the dates of the transactions.

Sundial Growers Inc.

Notes to the Condensed Interim Consolidated Financial Statements

For the three and nine months ended September 30, 2019 and 2018

(Unaudited - expressed in thousands of Canadian dollars, except

where otherwise noted)

Subsidiaries are entities controlled

by the Company. Control exists when the Company has the power, directly and indirectly, to govern the financial and operating policies

of an entity and be exposed to the variable returns from its activities. The financial statements of subsidiaries are included

in these consolidated financial statements from the date that control commences until the date that control ceases.

The accounting policies, critical

accounting judgements and significant estimates used in the preparation of the Company's audited consolidated financial statements

for the ten months ended December 31, 2018 have been applied in the preparation of these condensed interim consolidated financial

statements except as described below.

On January 1, 2019, the Company

adopted IFRS 16, "Leases" using the modified retrospective approach which replaces IAS 17 Leases, which came into effect

for annual periods beginning on or after January 1, 2019. The modified retrospective approach does not require restatement of comparative