Verano Sees Losses Widen In Q4 After Impairing Assets

Verano Holdings (CSE: VRNO) has saw its revenue growth flatline in the fourth quarter, with the company reporting this morning that the quarter saw a 1% decline in net revenue versus the third quarter.

Revenue overall came in at $225.9 million, down 1% from the $227.6 million reported in the third quarter, but up 7% from the $211.4 million reported in the fourth quarter of 2021. The year over year growth was attributed to success in the New Jersey market, as well as store growth in Florida.

Gross profit however declined rather substantially, falling to $103.3 million in Q4, a 16% decline from the third quarter and a 5% decline from a year ago, with the poor performance blamed on discounting and cost increases from expansion. The figure represents 46% of revenue, down from 54% in the prior quarter.

Selkirk Copper Mines — sponsored Sponsored · Selkirk Copper Mines

After SG&A expenses of $81.0 million, and impairments to goodwill of $113.0 million and impairments to intangibles of $116.2 million, the firm reported an operating loss of $207.0 million, leading to an overall net loss of $216.1 million, versus a loss of $43.0 million in the prior quarter and a loss of $7.4 million in the year ago period. Adjusted EBITDA meanwhile came in at $78.7 million.

READ: Tobacco (Finally) Falls Out of Favor As Legal Marijuana Continues to Gain Public Support

On a full year basis, the company saw revenues increase 19% to $879.4 million, with gross profits of $423.1 million. SG&A expenses amounted to $356.6 million, and after the aforementioned impairments, the firm reported an operating loss of $161.1 million and a net loss of $269.2 million, versus a loss of $57.5 million in the prior year.

Adjusted EBITDA for the full fiscal year meanwhile was reported at $323.6 million.

In terms of cash, the firm finished the year off with $84.9 million in cash and cash equivalents, down from $99.1 million at the start of the year.

Verano Holdings last traded at $3.81 on the CSE.


Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Red Cloud Fall Mining Showcase 2026 | Day 2

More Gold Without a Bigger Upfront Bill? | Keith Boyle – New Found Gold

The Red Cloud Fall Mining Showcase 2026 | Day 1

Recommended

First Majestic Lifts Q3 Revenue 38% to US$394.1 Million on Higher Silver Prices

Meghan Markle’s Half-Brother Submitted Evidence Against Their Father, But Now Faces Philippine Police Scrutiny

Related News

Harvest Health Sees COO Ron Goodson, Former President Of Verano, Retire From Company

Harvest Health & Recreation (CSE: HARV) this morning announced the retirement of chief operating officer...

Tuesday, December 8, 2020, 08:51:11 AM

Verano Closes US$100 Million Financing

Verano Holdings has completed its subscription receipt financing, raising gross proceeds of US$100.0 million. The...

Thursday, January 21, 2021, 09:07:45 AM

Verano Holdings Secures US$100 Million In Additional Funding

Verano Holdings (CSE: VRNO) issued a brief press release this morning, indicating the company has...

Tuesday, May 11, 2021, 08:03:30 AM

Verano Holdings Expands Credit Facility By US$120 Million

Verano Holdings (CSE: VRNO) has secured additional funding. The funding comes from an amendment to...

Wednesday, October 20, 2021, 09:09:40 AM

Former Cannabis Executive Charged With Fraud And Conspiracy

Anthony Marsico, former Vice President of Verano Holdings (CBOE: VRNO), has been formally indicted by...

Saturday, January 25, 2025, 11:32:00 AM