💸 The Tape

In an industry still wrestling with price compression and tenant drama, Verano Holdings Corp. (Cboe CA: VRNO) (OTCQX: VRNO) just proved that disciplined execution and smart positioning can deliver results even when the broader market feels like it’s stuck in neutral.

The multi-state operator released its fourth-quarter and full-year 2025 financials on March 12, 2026, showing revenues, net of discounts, of $821.5 million for the year — down 6% from 2024 but still a formidable topline in a deflationary environment. Fourth-quarter revenue came in at $206.6 million, up 2% sequentially and only 5% below the year-ago period. Gross profit for the full year reached $413.5 million (50% margin), while adjusted EBITDA held at $229.2 million (28% margin). Operating cash flow was positive at $53 million for the year, with Q4 contributing $14 million.

Net losses remained elevated at $257.9 million for the year, largely reflecting non-cash impairments and the ongoing realities of a maturing market. Yet the underlying operational story is one of resilience. Adjusted gross margins expanded in Q4 to 51%, SG&A was managed to 42% of revenue, and the company ended the year with $83 million in cash and a strengthened balance sheet.

Founder, Chairman, and CEO George Archos captured the tone: “I am incredibly proud of our team for their resilience and tremendous efforts executing an exceptional game plan in 2025. Throughout 2025, we successfully streamlined operations and generated efficiencies, implemented CPG technology and automation upgrades, and launched new product innovation and partnerships that solidified top three share positions for Verano brands in every category we compete in.”

That last point is worth underscoring. Verano didn’t just survive 2025 — it strengthened its competitive moat. The company redomiciled from British Columbia to Nevada, a move that clears the path for potential U.S. capital markets inclusion and removes a lingering overhang for many investors. It also secured what Archos called “one of the industry’s most beneficial credit facilities,” upsized a $75 million revolver (later expanded to $100 million with maturity pushed to 2029), retired higher-cost debt, and reached a favorable settlement in the long-running Vireo litigation.

On the growth front, Verano added strategic retail and product wins. It opened new Zen Leaf locations in Ohio and West Virginia, bringing its nationwide footprint to 160 dispensaries and 14 production facilities with more than 1.1 million square feet of cultivation capacity. The company launched exclusive partnerships with premium brands like Raw Garden in New Jersey and Flower by Edie Parker in Florida. Most notably, Verano secured one of only nine conditional vertical licenses in Texas — positioning it perfectly as the Lone Star State prepares to expand its medical program.

Perhaps the most forward-looking development came after year-end: the company closed a $195 million senior secured term loan and drew the remaining revolver capacity to retire its 2022 credit facility entirely. Liquidity remains robust, capital expenditures are being tightly managed (guidance for 2026 is $30–50 million focused on efficiency and selective expansion), and the balance sheet is now significantly cleaner.

Archos summed up the positioning: “As we await an anticipated final rule from the President’s executive order to expeditiously reschedule cannabis and as the only cannabis business with current or pending operations in Florida, Pennsylvania, Virginia, and Texas, we are well-positioned to leverage a number of potential catalysts in what may be a game-changing year for Verano and the industry in 2026.”

He’s not exaggerating the geographic advantage. Verano’s presence in four of the five states most likely to see meaningful near-term expansion or reform gives the company rare optionality. Florida remains a crown jewel with its 83 dispensaries and limited-license structure. Pennsylvania and Virginia offer established medical markets with adult-use pathways on the horizon. Texas, still in its early medical phase, represents pure upside if the conditional license converts and the program scales.

The 2025 results also reflect Verano’s successful pivot toward higher-margin, branded CPG products. The company continued rolling out new vapes, edibles, and concentrates while tightening cultivation standards and automation. That focus helped gross margins hold near 50% despite industry-wide price pressure. Adjusted EBITDA of $229 million for the year — while down from 2024 — still demonstrates the power of Verano’s vertically integrated platform when managed with discipline.

For investors, the story is increasingly one of preparation. Verano has spent the last 24 months streamlining, refinancing, redomiciling, and building brand equity. The balance sheet is fortified, debt maturities are pushed out, and the company sits on a footprint that aligns perfectly with where policy momentum is strongest. Should the DOJ finally issue its long-awaited Schedule III final rule — or should the Supreme Court accelerate the process through pending constitutional challenges — Verano is structurally ready to capture the upside in banking access, tax relief from 280E, and interstate opportunities.

Even without immediate federal movement, the state-level catalysts are real. Texas medical expansion, potential adult-use votes in key markets, and continued consolidation all play to Verano’s strengths. The company’s ability to generate positive operating cash flow in 2025 while funding selective growth and retiring expensive debt shows a level of financial maturity that separates it from many peers still burning cash.

Looking ahead, management’s 2026 capex guidance of $30–50 million signals continued focus on efficiency rather than aggressive expansion. That capital will target cultivation upgrades, retail enhancements, and technology infrastructure — precisely the areas that drive margin expansion in a price-sensitive market.

For an operator that has navigated more than its share of industry turbulence, 2025 was less about headline growth and more about building a durable foundation. Revenue held steady at scale, margins proved resilient, cash flow turned positive, and the strategic chess pieces (redomiciliation, credit facility, Texas license, brand partnerships) were all quietly moved into winning positions.

The cannabis sector has a habit of rewarding those who survive the consolidation phase with stronger pricing power and market share when the next wave of reform arrives. Verano’s 2025 results and post-year-end moves suggest it intends to be one of the survivors — and potentially one of the biggest beneficiaries when the federal logjam finally breaks.

With $83 million in cash, a clean debt structure, top-three brand positions across key categories, and a footprint spanning the markets most primed for growth, Verano enters 2026 not just surviving, but strategically poised. In an industry still waiting for its federal breakout moment, the company has done everything possible to make sure it’s ready when that moment comes.

The numbers for 2025 may not set records, but the positioning tells a different story. Verano isn’t chasing the next shiny acquisition or overextending on capex. It’s building a machine that can generate cash, protect margins, and scale when the regulatory environment finally catches up to consumer reality.

For shareholders who have ridden the cannabis rollercoaster, that kind of disciplined preparation may be the most encouraging signal of all.

📈 Dog Walkers

$MRMD ( ▼ 2.33% ) Shows Consistency

In a cannabis market where many operators are still fighting for air, MariMed Inc. (CSE: MRMD) (OTCQX: MRMD) just posted another quiet victory lap.

The multi-state operator announced today that it delivered $159.8 million in 2025 revenue while generating positive Adjusted EBITDA for the sixth consecutive year — a rare feat in an environment still defined by relentless price compression. Wholesale revenue grew 11% year-over-year, and distribution now reaches 85% of dispensaries in core markets. Flagship brands continue to punch above their weight: Betty’s Eddies fruit chews ranked as the top-selling edible across Massachusetts, Maryland, Delaware, and Illinois, while Vibations drink mix cracked the top four among all cannabis beverages in those same states.

CEO Jon Levine highlighted the momentum: “We’re pleased to report record revenues as well as positive adjusted EBITDA for the sixth consecutive year. Wholesale continued to be a growth engine for the Company in 2025, increasing sales by 11 percent and expanding our distribution footprint to 85 percent of the dispensaries in our core markets.”

The balance sheet got a meaningful refresh too. MariMed completed a restructuring of its $14.725 million Series B Convertible Preferred Stock obligation, eliminating the February 2026 mandatory conversion and replacing it with long-dated instruments that extend the weighted average maturity by 4.6 years — materially reducing near-term refinancing risk and strengthening liquidity.

CFO Mario Pinho added: “MariMed was pleased to report revenue growth, protected margins, and stronger liquidity in 2025, reflecting disciplined execution across our platform against a broadly flat industry environment. Our successful brand distribution model, coupled with a clean balance sheet that contains no material debt maturities in the near-term, positions the Company to execute our growth strategy without near-term capital pressure.”

Looking into 2026, multiple tailwinds are lined up: a full year of adult-use sales contribution from Delaware, new brand distribution in Maine via a licensing partner, and the planned opening of a new dispensary in Columbus, Ohio. The company is also advancing hemp-derived THC beverages through Vibations and expanding licensing partnerships in New York.

In an industry that often rewards flash over fundamentals, MariMed’s consistent profitability, brand strength, and prudent capital moves stand out. The streak continues — and the foundation for 2026 growth looks solid.

$VFF ( ▼ 0.57% ) Knocks It Out Of The Park

Village Farms International, Inc. (NASDAQ: VFF) just delivered a year that feels less like business-as-usual and more like a carefully cultivated comeback story.

The vertically integrated cannabis and produce operator reported record full-year consolidated net income from continuing operations of $21.0 million ($0.19 per share), adjusted EBITDA of $49.9 million, and operating cash flow of $58.1 million. Fourth-quarter net sales rose 9% year-over-year to $49.6 million, with Canadian cannabis sales up 10% and international export sales surging an eye-popping 384%. Q4 net income from continuing operations reached $2.3 million ($0.02 per share), adjusted EBITDA hit $8.6 million, and operating cash flow delivered $11.4 million.

President and CEO Michael DeGiglio didn’t mince words: “Our fourth quarter results again delivered strong profitability, gross margin and cash flow from operations which contributed to record levels of performance for each of these metrics in 2025. This past year was a transformational one for Village Farms.”

Canadian cannabis once again carried the load. Q4 gross margin expanded dramatically to 43% (from just 2% the prior year), adjusted EBITDA climbed to $9.8 million (25.8% of sales), and cash flow from operations jumped 752% to $15.7 million. The segment maintained a top-five overall market share in Canada while holding the number-one position in dried flower as of February 2026. International exports — primarily to Germany and other EU markets — grew more than six-fold for the year, underscoring Village Farms’ position as one of the world’s largest EU-GMP certified operators.

The Netherlands business, still in ramp-up mode, operated at full capacity in its Phase I facility and generated positive adjusted EBITDA. Phase II in Groningen is advancing on schedule: first grow rooms are set to be planted by late Q1, with full completion and planting targeted for Q2 2026. Once ramped, the facility is expected to deliver approximately 10 tonnes of annual production in a premium pricing environment.

On the Canadian side, cultivation is expanding rapidly. The company began planting the first half of its Delta 2 greenhouse on March 2, on track to harvest an incremental 15 tonnes of capacity in 2026. When fully completed, the project will boost total Canadian output by roughly 33%.

Village Farms ended the year with a rock-solid $86 million cash balance and has already repurchased $6.7 million of its shares since Q3 under its US$10 million authorization. The company also amended and extended its Canadian cannabis credit facility, upsizing commitments by CAD $15 million and drawing an initial CAD $5 million on favorable terms below 6%.

DeGiglio struck an optimistic tone for 2026: “We look to the remainder of 2026 with a growth mindset… We believe our growth investments, strong net cash position, industry leading cost of capital, and continued solid execution from our teams position us for continued success in 2026 and beyond.”

The company is balancing aggressive capacity builds with prudent capital allocation, including ongoing share repurchases and selective technology upgrades. Demand continues to outpace supply in key international markets, creating near-term variability but also clear runway for margin expansion as new rooms come online.

In an industry still waiting for federal catalysts south of the border, Village Farms is quietly building a global platform that doesn’t need to wait. With record profitability, explosive export growth, and multiple expansions hitting stride simultaneously, the company enters 2026 looking less like a produce-and-cannabis hybrid and more like a disciplined, cash-generating machine ready to scale.

For shareholders who have ridden the volatility, this year’s numbers and 2026 setup offer something rare in cannabis: tangible proof that patience, execution, and international diversification can finally pay off in harvest season.

$SNDL ( ▼ 1.28% ) Delivers

SNDL Inc. (NASDAQ: SNDL, CSE: SNDL) just turned in the kind of year that makes investors sit up straight.

For the full year ended December 31, 2025, the company posted record consolidated net income from continuing operations of $21.0 million ($0.19 per share), adjusted EBITDA of $49.9 million, and operating cash flow of $58.1 million. Fourth-quarter net sales reached $252.5 million (down modestly 2.0% year-over-year), while full-year revenue hit a new high of $946.4 million (up 2.8%). The combined cannabis business drove the growth, expanding 11.4% for the year.

Gross profit also set records: $70.2 million in Q4 and $258.6 million for the full year, pushing gross margins to new highs of 27.8% and 27.3%, respectively. Operating income swung to $11.8 million in Q4, and on an adjusted basis the company reached break-even for the full year at $0.1 million — a first in SNDL’s history. Free cash flow more than doubled to $18.0 million for the year, with Q4 contributing $10.2 million.

CEO Zach George framed the results as validation of a deliberate transformation: “2025 represents another step forward in financial performance and strategic focus for SNDL. We are pleased to report new records across our income statement and free cash flow, while continuing to transform our business to support long-term, sustainable, and profitable growth.”

The momentum extends beyond the numbers. SNDL ended the year with $252.2 million in unrestricted cash and zero debt — a fortress balance sheet that gives management real optionality. The company has repurchased 15.1 million shares since Q4 2024 (including 4.3 million between December and early March 2026) and delivered more than $20 million in annualized savings through its restructuring program, with the final phase wrapping in Q2 2026.

Strategic moves continue to build. The SunStream portfolio restructuring is advancing toward completion as U.S. rescheduling gains steam. SNDL completed the acquisition of five Cost Cannabis stores in Alberta and Saskatchewan (with 27 more pending in Ontario), opened new retail locations, and invested $12.8 million in capex — mostly for store growth. International exposure across Canada, the U.S., and Europe positions the company to capture upside wherever policy or consumer trends break.

George closed with confidence: “We are strengthening our performance culture and organizational capabilities, providing a solid foundation as we continue to raise the bar toward our vision of becoming a global leader in our industry.”

In an industry still waiting for federal tailwinds, SNDL’s 2025 performance — record profits, doubled free cash flow, share repurchases, and a debt-free balance sheet — stands out. The company has moved from survival to steady-state profitability while keeping dry powder for the next leg up. For investors tired of cannabis volatility, that combination feels refreshingly grown-up.

🗞️ The News

📺 YouTube

Trump Could Consider Cannabis Descheduling | TTB Powered by Flowhub

What we will cover:

✅ On the latest Trade To Black podcast presented by Flowhub, hosts Shadd Dales and Anthony Varrell discuss a report that is beginning to circulate across the cannabis policy landscape in Washington.

Reporting from The Marijuana Herald editor-in-chief Anthony Martinelli suggests that Donald Trump could potentially sign an executive order this summer tied to cannabis descheduling in the United States.

To help break down what this could mean for the industry, Trade To Black brings back one of the most talked-about guests on the show — former hedge fund manager and longtime cannabis investor Marc Cohodes. Cohodes shares his reaction to the report and give his take on how the market could respond if Washington were to move beyond rescheduling and toward full federal descheduling.

The industry has spent years debating rescheduling under the Controlled Substances Act, but the idea of removing cannabis entirely from the federal schedule would represent a much larger policy shift.