In our latest Trade To Black podcast for November 7, we’re kicking off earnings season for the cannabis industry beginning with MariMed Inc (CSE:MRMD). CFO Mario Pinho and CRO Ryan Crandall join host Shadd Dales to discuss MariMed’s financial results for the third quarter ended September 30, 2024, their strong wholesale business, and what we can expect from the company in the future.
“Our wholesale business continues to outpace the industry with another quarter of at least 20% year-over-year growth,” Jon Levine, Chief Executive Officer, reported in the earnings release. “Despite continued pressure on US consumers, our retail business transactions grew year-over-year, driven by both same-store sales growth and the new dispensaries opened in the past 12 months.”
MariMed reported a 4.6% increase in year-over-year revenue, bringing in $40.6 million. Although the retail segment faced challenges from pricing pressures and shifting consumer behaviors, foot traffic has risen, indicating growing demand. As Levine said, wholesale performance remains strong, driven by MariMed’s consistent product quality across markets. The company has expanded its cultivation facilities in Illinois and Maryland, with Missouri and other markets on the horizon. New dispensaries are opening in several locations, supporting MariMed’s continued push into adult-use markets.
Crandall says that MariMed’s strengths are in brand-building and maintaining consistent quality across states. Data-driven brand innovation helps them stay competitive, particularly with their popular brand, Betty’s Eddies, which holds top positions in Maryland and Massachusetts and ranks seventh in Illinois. Crandall attributes this success to a commitment to quality and understanding consumer needs.
Looking forward, MariMed aims to enter additional markets in 2025. Pino notes the importance of maximizing operational efficiencies, expanding distribution channels, and boosting margins. Crandall also mentions the growing beverage category in cannabis, hinting that MariMed’s brand, Vibations, may introduce new drink formats.
Don’t miss out on the details as we gain the insights on the growth in MariMed’s wholesale business across Massachusetts, Maryland, and Illinois, including what’s driving this consistency.
