What SNDL’s Latest Quarter Really Says
In the latest Trade To Black podcast, presented by Flowhub, hosts Shadd Dales and Anthony Varrell kick off cannabis earnings season, reacting to live quarter prints from SNDL, Jushi and Tilray alongside a landmark usage survey and a hemp crackdown in Texas.
New federal data led the show: the 2025 National Survey on Drug Use and Health found 21.4 million Americans now use marijuana daily or near-daily, surpassing the 19.9 million daily cigarette smokers and 17.2 million daily drinkers — the first time cannabis has topped both.
SNDL (NASDAQ: SNDL) was the first company out of the gate, with revenue for the quarter ended June 30 falling 3.7% year over year to C$235.8 million and gross profit dropping 16.6% to C$56.3 million, as gross margin contracted 3.7 points to 23.9%. The company posted an operating loss of C$7.8 million, driven by softening liquor and cannabis demand, heavier promotional activity, Jeeter production ramp-up costs, and a C$2.3 million writedown on its SunStream investment.
Despite the pullback, SNDL closed the quarter with C$183.2 million in unrestricted cash, no debt, and repurchased 11.7 million shares for C$23.3 million, while flagging more than C$20 million in expected incremental operating income from profit initiatives and free cash flow that improved year over year to negative C$6.7 million. The hosts pointed to the newly closed Parallel deal — which could add 56 medical retail locations across Florida, Texas and Massachusetts and roughly C$150 million in annualized revenue pending approval — as a potential catalyst, expecting CEO Zach George to deploy the debt-free balance sheet more aggressively in the U.S.
Jushi posted a stronger print — 10% year-over-year revenue growth to $71.3 million, a record quarterly wholesale figure of $9.4 million, and Jushi-branded product reaching 57% of retail revenue — with retail growth driven largely by Ohio. Jim Cacioppo is scheduled to appear the following day.
Tracked live during the broadcast, Tilray (NASDAQ: TLRY) reported fiscal 2026 net revenue of $915.5 million, up 11%, growth the hosts largely credited to its alcohol acquisitions, reiterating their view of the company as primarily a beverage-alcohol business with a smaller cannabis arm.
On the hemp front, Texas retailers must stop selling Delta-8, Delta-10, THCP and similar hemp-derived cannabinoids starting July 31, after the state reinstated 2021 THC and marijuana-extract definitions that had been tied up in court for years — which the hosts framed as clearing the way for the regulated market’s expansion.
Hear our thoughts when you tune in.
