1. AAWH reported an 8.3% YoY revenue increase to $561.6 million. 2. Adjusted EBITDA improved by 9.1% to $116 million in 2024. 3. Company achieved positive cash flow for the second year. 4. New management team focuses on profitability and revenue growth. 5. Retail sales impacted by pricing pressures in key states.
AAWH showed revenue growth and improved profitability metrics, indicating operational strength. Similar firms have experienced price appreciation following such earnings reports.
The financial improvements and strategic focus by management bolster confidence in AAWH's trajectory, which could drive investor interest.
The results will likely influence investor sentiment quickly due to the financial performance metrics. Market generally reacts within weeks to earnings reports.
Second Full Year of Positive Cash from Operations and Positive Free Cash Flow
Company Ended Q4 2024 with $88 Million of Cash and Cash Equivalents
NEW YORK, March 12, 2025 /PRNewswire/ - Ascend Wellness Holdings, Inc. ("AWH" or the "Company") (CSE: AAWH.U) (OTCQX: AAWH), a vertically integrated multi-state cannabis operator focused on bettering lives through cannabis, today reported its financial results for the fourth quarter and full year ended December 31, 2024. Financial results are reported in accordance with U.S. generally accepted accounting principles ("GAAP") and all currency is in U.S. dollars.
Management Commentary
"The fourth quarter marked the first full quarter with our new management team in place, and I am pleased with the initial progress we made on our key initiatives – improving profitability, maximizing asset efficiency, and driving cash flow generation," said Sam Brill, Chief Executive Officer.
"We are building our business for long-term success and are focused on providing patients and consumers with consistent, high-quality products in an approachable and elevated retail experience," added Frank Perullo, Co-Founder and President.
"Significant progress has been made in strengthening our balance sheet and improving our margins and profitability," concluded Roman Nemchenko, Chief Financial Officer.
Net revenue decreased by 4.0% sequentially to $136.0 million, of which 2.3% was attributable to a decline in retail revenue and 1.7% was due to a decline in third-party wholesale revenue. Retail revenue totaled $90.4 million, representing a 3.5% decrease compared to the prior quarter.
Net revenue increased 8.3% year-over-year to $561.6 million, primarily driven by expansion of the Company's wholesale business.
This press release includes certain non-GAAP financial measures as defined by the U.S. Securities and Exchange Commission ("SEC"). Reconciliations of these non-GAAP financial measures to the most directly comparable financial measure calculated and presented in accordance with GAAP are included in the financial schedules attached to this press release.
AWH will host a conference call on March 12, 2025, at 5:00 p.m. ET, to discuss its financial results for the quarter and year ended December 31, 2024. The conference call may be accessed by dialing (888) 699-1199.
AWH is a vertically integrated multi-state cannabis operator with licenses and assets in multiple states. For more information, visit www.awholdings.com.
SOURCE Ascend Wellness Holdings, Inc.