💸 The Tape

Glass House Brands Inc. (CBOE CA: GLAS.A.U) (CBOE CA: GLAS.WT.U) (OTCQX: GLASF) (OTCQX: GHBWF) closed 2025 with mixed financial results but a clear strategic reset that sets the stage for meaningful recovery and growth in 2026.

The vertically integrated California operator reported fourth-quarter revenue of $38.9 million, in line with guidance and nearly flat sequentially from Q3, though down from $53.0 million in Q4 2024. Full-year revenue totaled $182.0 million. Gross profit margin for the year was 42%, while adjusted EBITDA came in at $17.0 million (9% margin). The company generated positive operating cash flow of $11.4 million for the year despite temporary production scale-backs in the second half.

Executive Chairman and CEO Kyle Kazan acknowledged the year’s hurdles: “In the second half of 2025, our results were impacted by events outside of our control, and actions taken to mitigate the impacts of these and to ensure our long-term success. The resulting scaling back of new planting and production meaningfully impacted results in the second half of the year.”

Despite the temporary pullback, Glass House ended 2025 fully planted in its legacy greenhouses and with the most overall acreage planted in the company’s history. The first third of Greenhouse 2 is already planted, and the company has accelerated expansion plans with the remaining buildout of Greenhouse 2 and a light retrofit of Greenhouse 4 — the latter marking its first foray into hemp production.

Looking ahead, management is forecasting full-year 2026 wholesale cannabis biomass production of approximately 1,000,000 pounds — a 50% increase from 2025. Cost of production is expected to decline to approximately $100 per pound (down 10%), while average selling price is projected in the mid-$180 range, reflecting improved quality and mix, particularly in the second half.

Gross margin is targeted at roughly 48% for 2026, with adjusted EBITDA projected in the high $40 million range. Year-end 2026 cash is expected to exceed $50 million after approximately $20 million in capex to complete Greenhouse 2 (including high-efficiency lighting) and the hemp retrofit of Greenhouse 4.

Kazan emphasized the strengthened foundation: “We have navigated these short-term hurdles that we faced in the second half of 2025 and we ended the year fully planted in each of our legacy greenhouses. Now, with the first 1/3 of Greenhouse 2 planted, our cultivation team has planted the most acreage in Glass House’s history. We also accelerated expansion plans… This will be reflected in results as we progress this year and we anticipate progressive revenue acceleration throughout the course of the year.”

The company highlighted several positive developments in Q4 and early 2026, including becoming the first U.S.-based plant-touching cannabis operator whose stock can be traded on the Robinhood platform, applauding federal cannabis reform actions, and collaborating with the University of California Berkeley on state-funded research into cannabis crop yields. The board also established a Product Expansion Committee and appointed Alison Payne, Chief Marketing Officer of Heineken USA, as a director.

Operationally, Glass House continues to focus on premium flower and biomass production while exploring hemp opportunities. The company believes federal rescheduling and potential interstate commerce could create significant new revenue streams, particularly for high-quality California-grown cannabis.

With a strong cultivation footprint, improved cost structure, and multiple growth initiatives underway, Glass House enters 2026 with renewed optimism. The temporary production scale-back in 2025 has given way to record planted acreage and accelerated expansion plans. Management expects progressive revenue scaling throughout the year, even before factoring in potential out-of-state sales or hemp contributions.

For investors, the story has shifted from navigating challenges to executing on a clearer growth path. While 2025 was impacted by external pressures and strategic adjustments, the foundation laid — full planting, expanded capacity, and disciplined cost management — positions Glass House for improved margins, stronger cash flow, and revenue acceleration in 2026.

In California’s ultra-competitive cannabis market, scale, cost control, and quality remain critical. Glass House appears focused on all three as it prepares for what it believes could be a transformative year.

📈 Dog Walkers

$CBSTF ( ▲ 16.4% ) Enters CCAA

The Cannabist Company Holdings Inc. (Cboe CA: CBST) (OTCQB: CBSTF) has taken decisive action to address its financial challenges, announcing two definitive asset sale agreements and the commencement of voluntary proceedings under Canada’s Companies’ Creditors Arrangement Act (CCAA).

On March 23, 2026, the company entered into agreements to sell its Ohio operations to Holistic Industries Inc. for $47 million ($34.5 million cash plus a $12.5 million promissory note) and its Delaware business to Parma Holdco LLC (an affiliate of a Boston-based investment fund) for $16.5 million in cash. Both transactions are subject to court approval and customary closing conditions, with the Delaware deal expected to close in Q2 2026 and the Ohio deal in Q3 2026.

The company also entered a non-binding memorandum of understanding for the sale of operations in Illinois, New Jersey, Colorado, Massachusetts, Maryland, and West Virginia. Combined with the previously closed Virginia sale ($130 million in February 2026), these moves represent a significant portfolio rationalization.

To facilitate the transactions and an orderly wind-down of remaining operations (including New York and Pennsylvania), The Cannabist Company and certain subsidiaries have commenced CCAA proceedings in the Ontario Superior Court of Justice. The company intends to seek Chapter 15 recognition in U.S. Bankruptcy Court. FTI Consulting Canada Inc. has been appointed as Monitor, and SierraConstellation Partners LLC has been named Chief Restructuring Officer, subject to court approval.

A support agreement has been reached with senior secured noteholders holding more than 60% of the outstanding Notes (9.25% due 2028 and 9.0% convertible due 2028), who have agreed to back the strategic transactions and the CCAA process.

The actions follow a strategic review initiated by a special committee of independent directors. Despite efforts to improve performance, persistent operational and industry-wide challenges made these sales and the CCAA filing the best available path to preserve value for stakeholders.

CEO comments were not included in the release, but the moves reflect a clear focus on liquidity preservation and orderly divestiture of non-core or underperforming assets. Proceeds from the Virginia sale were already used to redeem significant portions of the senior notes.

Once completed, these transactions will leave The Cannabist Company with a significantly smaller, more focused footprint. The company has ceased operations in New York and is winding down in Pennsylvania. Trading of its shares on Cboe Canada is expected to be halted, with a delisting review likely to follow.

The cannabis industry continues to face headwinds, including price compression, regulatory uncertainty, and capital constraints. The Cannabist Company’s restructuring is part of a broader wave of consolidation and portfolio optimization among multi-state operators seeking to survive and eventually thrive under improved federal or state conditions.

For stakeholders, the CCAA process offers a structured framework to complete the sales while protecting going-concern value where possible. The support of major noteholders provides critical stability during the proceedings.

While the outcome remains subject to court approval and closing conditions, the strategic transactions and CCAA filing represent a necessary reset for The Cannabist Company as it seeks a more sustainable path forward in a challenging market.

$VREOF ( ▼ 0.56% ) Buys 45 Dispensaries In CO & NM

Vireo Growth Inc. (CSE: VREO; OTCQX: VREOF) has taken a significant leap forward in its U.S. retail strategy with the closing of its previously announced acquisition of assets from Medicine Man Technologies (dba Schwazze).

The deal includes 24 dispensaries in Colorado, 21 dispensaries in New Mexico, and one manufacturing facility in each state. The transaction was valued at an assumed share price of $0.661, representing an attractive entry point estimated at under 4x pro forma EBITDA.

John Mazarakis, CEO of Vireo, described the acquisition as a “meaningful step in the continued execution of our disciplined growth strategy.” He noted that the move allows Vireo to expand its presence in two key markets through established retail operations while maintaining capital discipline.

Leadership integration signals strong continuity. Justin Dye will become Chairman of Vireo’s Colorado and New Mexico business, while Forrest Hoffmaster has been named CEO of the combined regional operations. Collin Lodge and the broader Schwazze team will also join the platform.

Mazarakis added: “We are honored to partner with Justin Dye, Forrest Hoffmaster, Collin Lodge, and the broader Colorado and New Mexico Schwazze team. Their operational expertise and strong retail focus complement Vireo’s platform.”

Hoffmaster commented: “This transaction marks the beginning of a new chapter for the Schwazze team. We are proud to contribute our capabilities to Vireo’s growing platform and remain committed to serving our customers in Colorado and New Mexico with the high-quality products and experiences they expect.”

The acquisition is described as an initial step toward building a scaled retail presence that could eventually exceed 75 dispensaries in the two states, subject to market conditions, regulatory approvals, and capital availability.

With this move, Vireo strengthens its position in the Mountain West, one of the more mature and competitive cannabis regions in the U.S. The deal reflects a broader industry trend of consolidation as operators seek scale and operational synergies amid ongoing pricing pressure and regulatory uncertainty.

🗞️ The News

📺 YouTube

Rubicon Organics & SNDL Earnings Breakdown Analysis | TTB Powered by Flowhub

What we will cover:

✅ On the latest Trade To Black podcast presented by Flowhub, hosts Shadd Dales and Anthony Varrell break down a busy stretch of cannabis earnings with two very different operators.

In segment one, Margaret Brodie, CEO of Rubicon Organics Inc. (TSXV: ROMJ, OTCQX: ROMJF), checks in to walk through their latest numbers. The company delivered record full-year revenue of $59.5 million, up 22% year-over-year, along with $5 million in adjusted EBITDA. The conversation focuses on what really changed this year — the Cascadia facility now coming online, more capacity, and how that shifts the business from being supply-constrained to actually having room to grow. There’s also a deeper look at premium positioning, genetics, and where margins could go in 2026.

Then in segment two, Zach George, CEO of SNDL Inc. (NASDAQ: SNDL, CSE: SNDL), joins the show following a strong year financially. SNDL reported $946.4 million in revenue, $49.9 million in adjusted EBITDA, and $58.1 million in operating cash flow — while sitting on over $252 million in cash and no debt. The conversation gets into how they’ve reshaped the business, where capital is being deployed, and how they’re thinking about the next phase of growth.