Retail cannabis sales in Canada continue to hold relatively steady year-over-year, with the summer peak in sales in August reaching $4.76 million, up slightly from $4.69 million in August 2023.
Cannabis sales had seen significant year-over-year growth in the first four years of legalization, along with the number of new retail outlets appearing across the country. In the last two years, though, the increase in sales began to slow down, coinciding with a slowdown in new retail stores, likely representing market saturation.
Statistics Canada reported in April 2024 that about 71% of cannabis consumers in the previous year had bought cannabis exclusively from legal sources, such as the more than 3,000 legal cannabis stores in Canada. It’s important to note that Statistics Canada’s monthly cannabis sales figures are at times adjusted as the quality of collected data improves.
The figures below show both seasonally adjusted sales figures as well as unadjusted.
Following an announcement in May, the company formerly known as The Hash Co. has now sold most of its assets to a number company (1000592191 Ontario Inc.) and changed its name to Street Capital Inc.
The Hash Co. announced on May 29, 2024, that it had entered into an asset purchase agreement with 1000592191 Ontario Inc. (191 Ontario). This included physical inventory and intellectual property relating to HashCo’s business for a total cash purchase price of $350,000 plus the value of the Company’s physical inventory on closing.
In a subsequent press release on November 18, the asset transfer was said to be to 1000894579 Ontario Inc. (579 Ontario). The asset sale constitutes a “related party transaction” of the company as the vice president of production of Hash Co./Streets Capital is also the president and a director of 579 Ontario.
The Hash Co had relied on a partnership with Ontario-based Medz Cannabis Inc. for processing
The company’s cash balance as of its most recent quarterly report, June 30, 2024, was $9,401, representing a decrease of $15,466 from $24,867 as of December 31, 2023.
Total assets were $176,187, representing a decrease of $85,548 from $261,735 as of December 31, 2023.
Total liabilities were $705,096, representing an increase of $47,138 from $657,958 as of December 31, 2023.
Product sales for the three months ended June 30, 2024, were $127,950, up from $95,463 in the same quarter in 2023. Net loss and comprehensive loss for the three months ended June 30, 2024, was $22,514, compared to a loss of $211,443 in the same period in the previous year.
A recently released analysis of numerous medical cannabis patients within the United States reveals that PTSD, pain, and anxiety are the most common conditions qualifying individuals for medical marijuana programs.
The study indicates that 58.6% of patients reported managing more than one medical condition with cannabis. Among those dealing with multiple conditions, chronic pain and anxiety were the most frequently cited, followed by issues such as PTSD, insomnia, and muscle spasms.
The research was conducted by Leafwell, a specialized platform that facilitates access to medical cannabis cards, in collaboration with San Diego University’s Center for Marijuana Research and Duke University Medical School. Their findings, which were published in the journal Population Medicine Journal, were based on data anonymized from over 81,000 users of Leafwell in 32 states.
The analysis revealed a nearly equal gender distribution among patients using medical cannabis, with 51.1% identifying as male and 48.9% as female. Regarding racial demographics, 71.5% of patients identified themselves as white non-Hispanic, followed by non-Hispanic blacks (10.4%), Hispanic (8.4%), and other racial groups (7.1%).
Age-wise, 65% of the study subjects were 21-49 years old, with 25.4% aged 50 or more, and 8.3% under the age of 21. The median age of participants was 40.
The study also highlighted a shift in the conditions for which cannabis is used. While PTSD, pain, and anxiety remain the most prevalent reasons, earlier research pointed to cancer and multiple sclerosis as more common qualifying conditions in the past. This shift may reflect evolving medical cannabis regulations that now include additional qualifying conditions.
The study’s authors said the findings represent a further step towards understanding the complex co-occurring medical conditions associated with the initiation of medical cannabis treatment. The study concludes that understanding patients’ self-reported conditions provides valuable insights into how they perceive their health issues and the contribution of cannabis in their treatment.
A Leafwell blog post on the findings emphasized several critical implications for policy and healthcare, including the value of personalized treatments, the expanding role of cannabis in mental health care, and the necessity for alternative approaches to managing chronic pain.
Meanwhile, a report published in September by Leafwell estimated that nationwide legalization of medical cannabis could save nearly $29 billion in costs related to healthcare. That study found that states with medical cannabis programs experienced a 3.4% reduction in healthcare insurance premiums, translating to an average savings of $238 per employee annually.
Such studies highlight how the medical cannabis products manufactured by various enterprises like Tilray Brands Inc. (NASDAQ: TLRY) (TSX: TLRY) are helping the patients that opt to include marijuana in their management of the symptoms afflicting them.
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FRANKFORT, Ky. (AP) — Kentucky will offer an online directory to help connect patients with medical providers as it prepares for the start of its medical cannabis program in 2025, Gov. Andy Beshear said Thursday.
So far, 154 doctors and advanced practice registered nurses are authorized to be medical cannabis practitioners, a number that is growing steadily, Beshear said. The medical cannabis program begins Jan. 1.
The online directory will launch on Dec. 1, he said, so patients can find practitioners nearest to them. As more medical providers gain authorization to participate in the program, they will be added to the portal. The governor’s office said the directory will be available at kymedcan.ky.gov.
“All of this is an attempt to have the program up and running as quickly as we can,” Beshear said during his statehouse news conference.
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The Democratic governor was a leading supporter of legalizing medical marijuana in Kentucky, and his administration has been responsible for setting up the multitiered system. After years of setbacks for proponents of medical marijuana, the Republican-dominated legislature last year passed the measure legalizing access to medical cannabis for people suffering from a defined list of debilitating illnesses.
Patients eligible for medical marijuana must have a qualifying medical condition and obtain written certification from an authorized medical practitioner, a step that is needed for patients to apply for a medical cannabis card. Qualifying illnesses include cancer, multiple sclerosis, chronic pain, epilepsy, chronic nausea or post-traumatic stress disorder.
“Medical cannabis is about health care,” Beshear said Thursday. “The purpose of this program is to help Kentuckians who are suffering, like our veterans suffering from PTSD.”
Practitioners will be able to see patients starting Dec. 1 and issue the written certifications.
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Meanwhile, the first of two lotteries to select applicants for medical cannabis dispensary licenses will be held on Monday, the governor said. The second lottery for dispensary applicants will be Dec. 16. The state already has issued 29 licenses to cultivators, safety compliance facilities and processors.
PORTLAND, Ore. (AP) — Drug reform advocates hailed Oregon as a progressive leader when it became the first in the nation to legalize the therapeutic use of psilocybin, the compound found in psychedelic mushrooms.
But four years later, voters in a growing list of its cities have banned the substance.
Four cities, spanning Portland suburbs and rural and coastal towns, added new voter-approved prohibitions for the federally illegal compound in the Nov. 5 election. A dozen other communities that approved two-year moratoriums in 2022, when a majority of Oregon counties and over 100 cities voted to temporarily or permanently ban psilocybin, voted in this election to make the restrictions permanent.
In the wake of the fentanyl crisis, the rejection of drug liberalization measures in Oregon and states across the country this election has some experts questioning whether voters are rethinking their appetite for such policies.
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In Massachusetts, for example, voters rejected a measure that would have allowed residents over 21 to grow and use plant-based psychedelic drugs in certain circumstances. All three states that had measures to legalize recreational marijuana voted against it.
Oregon voters, in particular, appear to have soured on drug reform. A law passed by voters four years ago that decriminalized the possession of small amounts of hard drugs, including heroin and methamphetamine, was rolled back by the state legislature earlier this year after heated debate over whether it played a role in a spike in public drug use and deaths.
“Perhaps the fact that the drug policy reform pendulum appears to be swinging back towards prohibition is part of a broader trend toward a preference for ‘law and order’ among American voters,” said Josh Hardman, founder of Psychedelics Alpha, a consulting firm and newsletter on psychedelic research, business and policy. “Oregon, specifically, has been touted as an example of liberal drug policies gone wrong.”
Despite the local bans, psilocybin remains accessible in over 30 licensed centers spanning the state’s most populous cities, like Portland, and a handful of small towns. Some rural counties also have voted to stay in the program.
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However, access to therapeutic psilocybin is further complicated by high costs: One session can be up to $2,000 out of pocket. That is largely because center owners and facilitators have to pass on licensure expenses to consumers in order to stay afloat.
MJ Wilt, who just opened a licensed center in the Portland suburb of Gresham, spent tens of thousands of dollars of her own savings to get licensed and establish her center. It has been hard, she said, because her own experience with psilocybin changed her life for the better and she wants to bring that experience to others.
“The cost for the program has been astronomical and is not accessible to people across the socioeconomic spectrum,” Wilt said. “It’s certainly not the cash cow that people think or thought it was going to be.”
In 2020, roughly 56% of Oregon voters approved Measure 109, which allowed for the manufacture and controlled, therapeutic use of psilocybin at licensed facilities for those over 21. But the measure allowed counties and cities to vote to opt out, resulting in a patchwork of regulations across the state.
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Adding to the complexity, some cities have voted to allow psilocybin despite being in counties that banned it, as cities control the land incorporated within their borders while counties control unincorporated land.
The regulatory patchwork resembles that of cannabis law. In half of the 24 states that have legalized recreational cannabis, including Oregon, localities may opt out of most types of cannabis businesses, according to Kate Bryan, a policy specialist on criminal and civil justice at the National Conference of State Legislatures.
Colorado in 2022 became the only other state to legalize psilocybin for therapeutic use. It will begin accepting license applications for “healing centers” at the end of December, a spokesperson for the state’s natural medicine division said in an email. The law allows localities to adopt certain regulations regarding how the centers operate, but it does not allow them to ban such centers entirely.
Multiple cities across the country also have voted to decriminalize psilocybin, meaning a person cannot be arrested or prosecuted for possessing limited amounts of plant-based hallucinogens.
Psilocybin, found in several species of mushrooms, can cause hours of vivid hallucinations. Indigenous people have used it in healing rituals, and scientists are exploring whether it can help treat depression, addiction and post-traumatic stress disorder. Researchers and military veterans are among those who have advocated for the study of the substance for therapeutic use.
Kat Thompson, the founder and CEO of Fractal Soul, a licensed psilocybin center in the Portland suburb of Beaverton, said her center has served 400 people in its first year and that the “vast majority” have had positive outcomes. Many come seeking help for depression, anxiety, trauma and addiction after years of trying talk therapy and medication, she said, while others come to process grief or explore their spirituality.
But she said a lack of public awareness about the state’s psilocybin program has led many to confuse it with Measure 110, the separate ballot measure also passed in 2020 that decriminalized the possession of small amounts of drugs. The botched implementation of the law — also a first of its kind in the nation — and rising overdose deaths amid the fentanyl crisis fueled pushback that prompted state lawmakers to backtrack on it earlier this year.
“We actually got lots of calls from people who had booked sessions with us who heard about the roll back of 110 and thought that that meant that we were closing,” Thompson said. “So we’ve had to explain and educate the public that Measure 110 was really just about decriminalization for personal use. It has nothing to do with the professional therapeutic model.”
Some people also confuse the model of the psilocybin center with cannabis dispensaries. At dispensaries, people buy cannabis and leave to consume it elsewhere. People who want to use psilocybin, meanwhile, must consume it at a licensed service center under the supervision of a licensed facilitator who administers it to them and remains with them for the duration of the trip, Thompson said.
“This is essentially a mental health clinic where someone is here all day with us,” she said. “By and large, it is extremely safe.”
Of the over 16,000 doses that have been administered since the first licensed center opened in June 2023, staff at such centers have called 911 or taken a patient to a hospital five times, an Oregon Health Authority spokesperson confirmed in an email. There are roughly 350 licensed facilitators and a dozen psilocybin manufacturers in the state, according to the agency’s most recent figures.
Joe Buck, the mayor of Lake Oswego, a Portland suburb that just passed a psilocybin ban, said he wasn’t surprised by the outcome, even though a majority of the city’s residents supported Measure 109 in 2020.
“Oregon really has not done a great job managing its drug policy,” he said. “So I can understand how some people may be wary of the promises that are now being made around psilocybin.”
But further research on psilocybin, he said, could change voters’ perspective in the future.
“It really is up to state leaders, leaders in the federal government, to work these drugs through a good system that builds community trust.”
The Department of Health in the state of Maryland recently rolled out a tool to track the effects of marijuana use on public health. The tool, dubbed the Cannabis Public Health Data Dashboard, offers user-friendly visualizations of marijuana trends prior to and after the legalization of recreational marijuana.
It also provides data on the use of the drug by youth as well as adults, visits to the ER, the utilization of substance use services, and calls made to the D.C. and Maryland poison centers.
Data obtained from the dashboard shows that a 44% increase in ER visits related to the use of marijuana was recorded among individuals aged between 20-29. Data also shows that calls made to poison centers also increased, particularly for those below the age of 20. Between 2021 to 2023, calls to these centers almost doubled for children aged nine and below, and tripled for kids aged 10-14.
Those who use the tool will also be able to analyze sub-populations based on gender, ethnicity, race, and age.
This move by the state comes two years after it legalized adult-use marijuana. Legal recreational sales in the state begun in July 2023,with the state raking in more than $4.5 million. Dr. Nilesh Kalyanaraman, the state’s Deputy Secretary for Public Health, stated that monitoring the impact of the recreational use of marijuana on public health was important.
He explained that by tracking vital indicators, the state could come up with programs and resources focused on promoting proper storage of marijuana products to prevent poisonings, preventing the use of marijuana by the youth, and making sure that current services effectively supported individuals in the state who were suffering from adverse effects of marijuana use.
Data from the 2022 Behavioral Risk Factor Surveillance Survey and the 2022/23 Youth Risk Behavior Study shows that the use of marijuana among youth in the state has been reducing since before the drug’s recreational use was legalized. The data also shows a modest increase in marijuana use among adults, going to 11.7% in 2022 from 9% in 2021.
Dr. Deondra Asike, Chairperson of the state’s Cannabis Public Health Advisory Council, added that gathering and sharing data on the dashboard would ensure that resources were efficiently allocated, inform policy decisions based on evidence, and assist in the assessment of public health interventions.
Furthermore, she noted, the tool would aid in the identification of health disparities, ensuring that individuals in need received the attention they required.
The data being collected through the tracker in Maryland could provide useful insights even to firms like Canopy Growth Corp. (NASDAQ: CGC) (TSX: WEED) that operate in other jurisdictions because consumer behavior doesn’t usually vary so much across geographical dispersions.
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America is in the midst of an epidemic of historic proportions.
The contagion being spread like wildfire is turning communities into battlegrounds and setting Americans one against the other.
Normally mild-mannered individuals caught up in the throes of this disease have been transformed into belligerent zealots, while others inclined to pacifism have taken to stockpiling weapons and practicing defensive drills.
This plague on our nation—one that has been spreading like wildfire—is a potent mix of fear coupled with unhealthy doses of paranoia and intolerance, tragic hallmarks of the post-9/11 America in which we live.
Everywhere you turn, those on both the left- and right-wing are fomenting distrust and division. You can’t escape it.
We’re being fed a constant diet of fear: fear of terrorists, fear of illegal immigrants, fear of people who are too religious, fear of people who are not religious enough, fear of extremists, fear of conformists, fear of the government, fear of those who fear the government, fear of those on the Right, fear of those on the Left… The list goes on and on.
The strategy is simple yet effective: the best way to control a populace is through fear and discord.
Confound them, distract them with mindless news chatter and entertainment, pit them against one another by turning minor disagreements into major skirmishes, and tie them up in knots over matters lacking in national significance.
Most importantly, divide the people into factions, persuade them to see each other as the enemy and keep them screaming at each other so that they drown out all other sounds. In this way, they will never reach consensus about anything and will be too distracted to notice the police state closing in on them until the final crushing curtain falls.
This is how free people enslave themselves and allow tyrants to prevail.
This Machiavellian scheme has so ensnared the nation that few Americans even realize they are being manipulated into adopting an “us” against “them” mindset. Instead, fueled with fear and loathing for phantom opponents, they agree to pour millions of dollars and resources into political elections, militarized police, spy technology and endless wars, hoping for a guarantee of safety that never comes.
All the while, those in power—bought and paid for by lobbyists and corporations—move their costly agendas forward, and “we the suckers” get saddled with the tax bills and subjected to pat downs, police raids and round-the-clock surveillance.
Turn on the TV or flip open the newspaper on any given day, and you will find yourself accosted by reports of government corruption, corporate malfeasance, militarized police and marauding SWAT teams.
America has already entered a new phase, one in which children are arrested in schools, military veterans are forcibly detained by government agents because of their so-called “anti-government” views, and law-abiding Americans are having their movements tracked, their financial transactions documented, and their communications monitored.
These threats are not to be underestimated.
Yet even more dangerous than these violations of our basic rights is the language in which they are couched: the language of fear. It is a language spoken effectively by politicians on both sides of the aisle, shouted by media pundits from their cable TV pulpits, marketed by corporations, and codified into bureaucratic laws that do little to make our lives safer or more secure.
This language of fear has given rise to a politics of fear whose only aim is to distract and divide us. In this way, we have been discouraged from thinking analytically and believing that we have any part to play in solving the problems before us. Instead, we have been conditioned to point the finger at the other Person or vote for this Politician or support this Group, because they are the ones who will fix it. Except that they can’t and won’t fix the problems plaguing our communities.
Nevertheless, fear remains the method most often used by politicians to increase the power of government.
The government’s overblown, extended wars on terrorism, drugs, violence, disease, illegal immigration, and so-called domestic extremism have been convenient ruses used to terrorize the populace into relinquishing more of their freedoms in exchange for elusive promises of security.
An atmosphere of fear permeates modern America. However, with crime at an all-time low, is such fear rational?
Statistics show that you are 17,600 times more likely to die from heart disease than from a terrorist attack. You are 11,000 times more likely to die from an airplane accident than from a terrorist plot involving an airplane. You are 1,048 times more likely to die from a car accident than a terrorist attack. You are 404 times more likely to die in a fall than from a terrorist attack. You are 12 times more likely to die from accidental suffocating in bed than from a terrorist attack. And you are 9 more times likely to choke to death in your own vomit than die in a terrorist attack.
Indeed, those living in the American police state are 8 times more likely to be killed by a police officer than by a terrorist. Thus, the government’s endless jabbering about terrorism amounts to little more than propaganda—the propaganda of fear—a tactic used to terrorize, cower and control the population.
In turn, the government’s stranglehold on power and extreme paranoia about the citizenry as potential threats has resulted in a populace that is increasingly viewed as the government’s enemies.
Why else would the government feel the need to monitor our communications, track our movements, criminalize our every action, treat us like suspects, and strip us of any means of defense while equipping its own personnel with an amazing arsenal of weapons?
So far, these tactics—terrorizing the citizenry over the government’s paranoia and overblown fears while treating them like criminals—are working to transform the way “we the people” view ourselves and our role in this nation.
Indeed, fear and paranoia have become hallmarks of the modern American experience, impacting how we as a nation view the world around us, how we as citizens view each other, and most of all how our government views us.
The American people have been reduced to what commentator Dan Sanchez refers to as “herd-minded hundreds of millions [who] will stampede to the State for security, bleating to please, please be shorn of their remaining liberties.”
I am not terrified of the terrorists; i.e., I am not, myself, terrorized. Rather, I am terrified of the terrorized; terrified of the bovine masses who are so easily manipulated by terrorists, governments, and the terror-amplifying media into allowing our country to slip toward totalitarianism and total war…
I do not irrationally and disproportionately fear Muslim bomb-wielding jihadists or white, gun-toting nutcases. But I rationally and proportionately fear those who do, and the regimes such terror empowers. History demonstrates that governments are capable of mass murder and enslavement far beyond what rogue militants can muster. Industrial-scale terrorists are the ones who wear ties, chevrons, and badges. But such terrorists are a powerless few without the supine acquiescence of the terrorized many. There is nothing to fear but the fearful themselves…
Stop swallowing the overblown scaremongering of the government and its corporate media cronies. Stop letting them use hysteria over small menaces to drive you into the arms of tyranny, which is the greatest menace of all.
As history makes clear, fear and government paranoia lead to fascist, totalitarian regimes.
It’s a simple enough formula. National crises, reported terrorist attacks, and sporadic shootings leave us in a constant state of fear. Fear prevents us from thinking. The emotional panic that accompanies fear actually shuts down the prefrontal cortex or the rational thinking part of our brains. In other words, when we are consumed by fear, we stop thinking.
A populace that stops thinking for themselves is a populace that is easily led, easily manipulated and easily controlled.
The following, derived by from John T. Flynn’s 1944 treatise on fascism As We Go Marching are a few of the necessary ingredients for a fascist state:
The government is managed by a powerful leader (even if he or she assumes office by way of the electoral process). This is the fascistic leadership principle (or father figure).
The government assumes it is not restrained in its power. This is authoritarianism, which eventually evolves into totalitarianism.
The government ostensibly operates under a capitalist system while being undergirded by an immense bureaucracy.
The government through its politicians emits powerful and continuing expressions of nationalism.
The government has an obsession with national security while constantly invoking terrifying internal and external enemies.
The government establishes a domestic and invasive surveillance system and develops a paramilitary force that is not answerable to the citizenry.
The government and its various agencies (federal, state, and local) develop an obsession with crime and punishment. This is overcriminalization.
The government becomes increasingly centralized while aligning closely with corporate powers to control all aspects of the country’s social, economic, military, and governmental structures.
The government uses militarism as a center point of its economic and taxing structure.
The government is increasingly imperialistic in order to maintain the military-industrial corporate forces.
The parallels to modern America are impossible to ignore.
“Every industry is regulated. Every profession is classified and organized. Every good or service is taxed. Endless debt accumulation is preserved. Immense doesn’t begin to describe the bureaucracy. Military preparedness never stops, and war with some evil foreign foe, remains a daily prospect,” writes economist Jeffrey Tucker. “It’s incorrect to call fascism either right wing or left wing. It is both and neither… fascism does not seek to overthrow institutions like commercial establishments, family, religious centers, and civic traditions. It seeks to control them… it preserves most of what people hold dear but promises to improve economic, social, and cultural life through unifying their operations under government control.”
For the final hammer of fascism to fall, it will require the most crucial ingredient: the majority of the people will have to agree that it’s not only expedient but necessary. In times of “crisis,” expediency is upheld as the central principle—that is, in order to keep us safe and secure, the government must militarize the police, strip us of basic constitutional rights and criminalize virtually every form of behavior.
We are at a critical crossroads in American history.
All of which begs the question what we will give up in order to perpetuate the illusions of safety and security.
As we once again find ourselves faced with the prospect of voting for the lesser of two evils, “we the people” have a decision to make: do we simply participate in the collapse of the American republic as it degenerates toward a totalitarian regime, or do we take a stand and reject the pathetic excuse for government that is being fobbed off on us?
There is no easy answer, but one thing is true: the lesser of two evils is still evil.
Police in Kingston, Ontario, have raided an unlicensed cannabis storeagain, less than a week after a previous raid temporarily closed the store down.
On November 19, Kingston Police Special Services executed a search warrant at the reopened My Legacy located at 185 Division Street in the city of Kingston, Ontario. Kingston Police previously raided the same location on November 13.
A second search warrant was granted by a Justice of the Peace under the Cannabis Act on November 19th, 2024, empowering the raid.
Police located several point of sales devices, advertising signage, unstamped tobacco products and Canadian currency with associated registers. Numerous cannabis-based products were also found, including:
Loose marijuana – 10,061 grams
Pre-rolled Marijuana joints – 765 grams
Hash – 736 grams
Edible gummies and chocolates – 7,967 grams
A local 23-year-old female resident was charged and released on an Undertaking with two counts under the Cannabis Control Act as well as one count of unstamped tobacco under the Criminal Code of Canada.
A website for the MyLegacy dispensary also shows a location in Mississauga. Another location was recently operating at 366 Bank St in Ottawa.
Simply Solventless Concentrates, Ltd. brought in net revenue of nearly $5 million for the three months ended September 30, 2024 (Q3 2024), with gross profits of almost $2 million and $424,446 in net and comprehensive income.
Gross revenue for the Calgary-based company increased 70% from the previous quarter (Q2 2024), net revenue increased 71%, and gross margins increased 14%.
Year-over-year, net revenue increased by about 75% from $1.3 million in Q3 2023, while gross profit increased by approximately 72% from $547,009. Net income increased by about 71% from $121,216 in Q3 2023.
This most recent quarter for Simply Solventless Concentrates (SSC) Q3 2024 is the first quarter to include the operations of CannMart Inc., which SSC acquired on September 12, 2024.
On September 25, SSC also announced plans to acquire ANC Inc., another Alberta-based cannabis company focusing on pre-roll manufacturing. However, the deal didn’t close until October 18, 2024, excluding it from the most recent quarterly report ending September 30.
Jeff Swainson, President & CEO of SSC, stated: “Q3 2024 was another transformational quarter for SSC as we closed an oversubscribed $3.85 million financing, closed the CannMart acquisition, integrated CannMart’s operations, announced the acquisition of ANC, and again exceeded quarterly guidance. In the last three quarters we have profitably increased gross revenue from $7.0 million in the fiscal year 2023 to $28.6 million annualized in Q3 2024, a growth rate of 309%, with annualized Q3 2024 NNI of $0.06 per share. More importantly, we are working hard to achieve another strong quarter in Q4 2024, which will include the operations of both CannMart and ANC. We will issue Q4 2024 guidance in the near future.”
ANC was first licensed as a micro cultivator in 2019 and later received its micro processing licence. The company then scaled up to a standard licence, focusing on seed production and pre-roll manufacturing, something they have become well-known for in the industry. The acquisition will give SCC the ability to manufacture pre-rolls in-house, giving the parent company a new avenue for its own products to reach consumers.
SCC is known for brands like Astrolab and Frootyhooty. CannMart has operated as CannMart, CannMart Marketplace, CannMart Labs, 1000501971 Ontario Inc (Zest), and CannMart MD. Net revenue from CannMart in 2023 was $13.5 million, which came from sales to its major wholesale customers, but it reported a net loss of $6.3 million.
Decibel Cannabis Company Inc. brought in $24.1 million in net revenue for the three months ended September 30, 2024, with a net loss of $585,000 in their most recent Q3 2024 financial report.
Gross revenue for the cannabis company was down 13% year-over-year, from $46.5 million in Q3 2023 to $36.9 million in Q3 2024, which the company says is primarily due to a decline in net Canadian recreational sales and international sales.
This was an increase in net revenue from the previous quarter ($22.1 million) but a decline in net income of $122,000.
Net Canadian recreational sales for the three months ended September 30, 2024, were $23.8 million, a decrease of 12% from the same period in 2023. Decibel says the decline was driven by increased competition in the infused pre-roll segment, and a seasonal slowdown in demand for pre-roll and vape products.
International sales for the three months ended September 30, 2024, and were $309,000, down from $500,000 in Q3 2023. Decibel attributed the decrease to the halt of exports to Israel as the Company transitioned to a new partner, and was partially offset by exports to new partners in the United Kingdom and Australia.
Calgary-based Decibel is one of the Canadian companies named in an investigation by the Israeli government into claims of “product dumping”, with the Israeli government initially recommending a floating levy or tariff of 63% for Decibel products sold in Israel. The most recent recommendation dropped that proposed rate to 2%.
Decibel incurred nearly $12.8 million in excise taxes in the most recent quarter, 34.9% of its gross Canadian recreational sales.
“Decibel has been very deliberate about reducing our current liabilities by ~5mm this quarter. Maintaining discipline over time will result in a stronger balance sheet,” stated Decibel CEO Benjamin Sze in a company press release. “This marks the last quarter where our primary focus is on Canadian domestic recreational sales. While we continue to integrate AgMedica into our portfolio, it is encouraging to see there is significant demand internationally for Decibel flower.”
Decibel is a vertically integrated cannabis company with two licensed cultivation facilities and a licensed manufacturing facility. Decibel also acquired a third licensed cultivation facility upon acquiring AgMedica Bioscience Ltd., a subsidiary of Atlas Global Brands, which the company completed on October 28, 2024. (Q4 2024). Decibel also acquired GreenSeal Nursery, Ltd., a licensed nursery, in connection with the deal.
AgMedica is a licensed cannabis producer focusing on international distribution to seven countries, including Australia, Denmark, Germany, Israel, Norway, Spain, and the United Kingdom.
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