Verano Reports $203M in Q3 Revenue, $44M Net Loss

[PRESS RELEASE] – CHICAGO, Oct. 29, 2025 – Verano Holdings Corp., a leading multistate cannabis company, announced its financial results for the third quarter ended Sept. 30, 2025, which were prepared in accordance with U.S. generally accepted accounting principles (GAAP).

Third Quarter 2025 Financial Highlights

Third Quarter 2025 Financial Highlights

• Revenues, net of discounts of $203 million.
• Gross profit of $95 million or 47% of revenue.
• SG&A expenses of $81 million or 40% of revenue.
• Net Loss of $(44) million or (22)% of revenue.
• Adjusted EBITDA¹ of $53 million or 26% of revenue.
• Net cash provided by operating activities of $26 million.
• Capital expenditures of $8 million.

Management Commentary

“This quarter reflects our hard work positioning Verano ahead of long-term growth opportunities by investing in infrastructure, generating efficiencies, improving wholesale and brand performance, and strengthening our capital structure and financial foundation for the future,” Verano founder, Chairman and CEO George Archos said.

“With more exciting new product innovation planned for the busy retail holiday season, together with our valued partners and talented teams across the country, we look forward to closing the year on a high note and hitting the ground running in what we hope will be a transformative year for Verano and the industry in 2026,” he said.

Third Quarter 2025 Financial Overview

Revenues, net of discounts, for the third quarter of 2025 were $203 million, down from $217 million for the third quarter of 2024, and up from $202 million for the second quarter of 2025. The decrease in revenue for the third quarter of 2025 compared to the third quarter of 2024 was driven primarily by ongoing price compression and competition.

Gross profit for the third quarter of 2025 was $95 million or 47% of revenue, down from $109 million or 50% of revenue for the third quarter of 2024, and down from $113 million or 56% of revenue for the second quarter of 2025. The decrease in gross profit for the third quarter of 2025 compared to the third quarter of 2024 was due to overall top-line revenue declines, increased promotional activity, and an increase in the costs of goods sold due to short-term operational enhancements.

SG&A expenses for the third quarter of 2025 were $81 million or 40% of revenue, down from $92 million or 43% of revenue for the third quarter of 2024, and down from $86 million or 43% of revenue for the second quarter of 2025. The decrease in SG&A expenses for the third quarter of 2025 compared to the third quarter of 2024 was driven primarily by a decrease in depreciation and amortization and efficiencies generated across the business.

Net loss for the third quarter of 2025 was $(44) million or (22)% of revenue, versus $(43) million or (20)% of revenue in the third quarter of 2024. The increase in net loss for the third quarter of 2025 compared to the third quarter of 2024 was primarily driven by an impairment charge of $5 million and legal loss contingencies of $10 million, offset by a lower provision for income taxes compared to the prior year period.

Adjusted EBITDA¹ for the third quarter of 2025 was $53 million or 26% of revenue.

Net cash provided by operating activities for the third quarter of 2025 was $26 million, down from $30 million for the third quarter of 2024, which was primarily attributable to an increase in income tax payments made during the third quarter of 2025 compared to the prior year period.

Capital expenditures for the third quarter of 2025 were $8 million, down from $57 million for the third quarter of 2024, and down from $10 million in the second quarter of 2025.

Third Quarter 2025 Operational Highlights

• Proposed redomiciling of the company from British Columbia, Canada, to the state of Nevada.
• Expanded the company’s retail footprint by opening MÜV Crystal River, the company’s 82nd dispensary in Florida.
• Secured a revolving credit facility of US $75 million, from which the company drew $50 million to retire $50 million of higher interest rate debt from its existing senior secured credit facility without incurring any prepayment penalty, with the remaining $25 million available to draw for strategic initiatives.

Subsequent Operational Highlights

• Raised Ohio retail footprint to six locations with the opening of Zen Leaf Antwerp.
• Expanded vape product portfolio with exclusive, first-to-market launch of HYPHEN all-in-one pod system.
• On Oct. 27, 2025, the company’s shareholders approved the redomiciling of the company to Nevada, and its board of directors subsequently approved completing the redomicile.
  • Due to an employee strike at the British Columbia Registrar of Companies, the company is unable to provide a definitive date on when the completion will occur, but will plan to finalize the redomicile as expeditiously as possible.
• Current operations span 13 states, comprised of 158 dispensaries and 15 production facilities with more than 1.1 million square feet of cultivation capacity.

Balance Sheet and Liquidity

As of Sept. 30, 2025, the company’s current assets were $385 million, including cash and cash equivalents of $83 million. The company had working capital of $242 million and total debt, net of issuance costs, of $401 million.

The company’s total Class A subordinate voting shares outstanding were 361,815,879 as of Sept. 30, 2025.