💸 High Impact

Tilray Numbers Are Out

Looks like someone spiked the punch at the quarterly earnings party! The company's first quarter of fiscal year 2025 results are in, and they're enough to make any investor raise an eyebrow—or a glass. Net revenue climbed a respectable 13% to $200 million, up from $177 million in the same quarter last year. Not too shabby in a market where growth can be as elusive as a unicorn riding a rainbow.

Gross profit didn't just stroll in; it made a grand entrance with a 35% increase to $59.7 million, up from $44.2 million. The gross margin also got a nice facelift, improving to 30% from last year's 25%. It seems the company found a way to squeeze more juice out of its revenue orange.

Now, let's address the elephant in the room—the net loss. It improved by a whopping 38% to $(34.7) million, down from a loss of $(55.9) million. Sure, it's still a loss, but when you're climbing out of a hole, any upward movement is good news. Net loss per share tightened its belt as well, improving to $(0.04) from $(0.10). Adjusted net loss per share showed even more promise, coming in at just $(0.01) compared to $(0.04) previously. At this rate, they might break even before my coffee gets cold.

Adjusted EBITDA was $9.3 million, a slight dip from $10.7 million last year. It's like losing a few coins under the couch cushions—not ideal, but not a deal-breaker.

The beverage alcohol segment was the life of the party, with net revenue—including acquisitions—skyrocketing 132% to $56 million. With a gross margin of 41%, it's clear this division knows how to keep the spirits high—literally and figuratively.

Cannabis didn't just puff and pass; it held its ground with net revenue of $61.2 million and a solid gross margin of 40%. Distribution brought in $68.1 million in net revenue, though with a more modest gross margin of 12%. Think of it as the workhorse of the group—not glamorous, but essential.

The wellness segment flexed its muscles with an 11% increase in net revenue to $14.8 million and a gross margin of 32%. It seems that self-care isn't just a trend; it's good business.

In summary, the company is showing promising signs of growth across multiple segments. While they're not out of the woods yet—still posting a net loss—the improvements suggest they're on a path to profitability. Eventually.

📈 Dog Walkers

High Tide Adds West End Location To Portfolio

High Tide Inc. (Nasdaq: HITI) is lighting up Toronto's west end with the grand opening of its 185th Canna Cabana store at 3406 Dundas Street West on October 13. This marks their 71st store in Ontario and 11th in Toronto—talk about market saturation! Nestled in the bustling Runnymede neighborhood, boasting over 150,000 residents within a three-kilometer radius, this location is poised to be a real cash crop. CEO Raj Grover is over the moon, celebrating this milestone just days before the sixth anniversary of Canadian cannabis legalization. While competitors are going up in smoke, High Tide continues to ride high, focusing on strategic expansion into 2025.

Lowell Farms Ties Up Cali Retail

Lowell Farms Inc. (CSE: LOWL; OTCQX: LOWLF) is sparking up new opportunities by entering management agreements with two Los Angeles cannabis dispensaries—plus an option to acquire them later. By rolling retail into its already robust operations, Lowell is puffing up its vertical integration, gaining control from seed to sale. This strategic move is expected to boost efficiencies, fatten margins, and provide a direct line to consumer preferences for sharper product development. Ann Lawrence, newly minted Executive Chairperson, will helm this retail expansion. With her background in distressed retail M&A, she's the perfect bud to help Lowell flourish in California's challenging cannabis market.

Grown Rogue Terminates Agreement With Vireo Health

Grown Rogue International Inc. (CSE: GRIN, OTC: GRUSF), the craft cannabis cultivator from Oregon's famed Rogue Valley, is parting ways with Vireo Growth Inc. While bidding adieu isn't always easy, CEO Obie Strickler is focusing on the highs: the collaboration sharpened their skills in managing larger cultivation platforms across multiple markets. They're already applying lessons learned in New Jersey and have Illinois in their sights for next year. As a parting gift, Vireo will return 4.5 million of the 8.5 million Grown Rogue warrants and pay $800,000 in cash—either upfront or in four quarterly $250,000 installments. Grown Rogue also keeps its 10 million warrants in Vireo. Looks like they're rolling ahead with confidence.

👾 Number Of The Day

$325,900,000 The amount of vape pens sold in Missouri over the last year.

🗞️ The News

Tilray Brands Reports Q1 2025 Financial Results

Grown Rogue Announces Termination of Advisory Agreement with Vireo Growth Inc.

High Tide to Open 185th Canna Cabana Location

Lowell Farms Announces Management Services Agreements and Option to Purchase Two Southern California-Based Cannabis Retail Locations

Marijuana On The Ballot: Where Candidates For U.S. Senate And State Governor’s Races Stand On Legalization

Don’t Go To Las Vegas’s New Immersive Sphere Arena While High On Drugs, Kamala Harris Tells Howard Stern

Most People Don’t Trust The Government For Marijuana Information, Federally Funded Study Shows

Cannabis is now legal in many US states – but can the smell get you in trouble?

📺 YouTube

Behind The Curtain of Village Farms B.C. Cannabis Facility | Trade to Black on Location

What we covered:

✅ Trade To Black premieres a behind-the-scenes documentary film featuring Village Farms (NASDAQ: VFF). Join Shadd and Anthony as they travel west to Vancouver, Canada, to see the company's impressive 2.2 million square foot facility in Delta, British Columbia, known as Pure Sunfarms.

The region is renowned as one of the best natural environments for growing cannabis in the world, which demonstrates that size and scale can actually work in the cannabis industry.

Over 72,000 plants in the grow alone gives you a better understanding as to why VFF’s total sales grew by 21% in 2024, propelling them to the number 2 national market share in the Canadian cannabis landscape.