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Cronos’s CEO, Mike Gorenstein, credited the company’s success to “innovation, quality, and disciplined cost management.” He emphasized that the focus is now on “sustaining momentum” and expanding internationally beyond its existing markets in Canada, Germany, Israel, and the United Kingdom.

Cronos reported net revenue of $30.3 million in Q4 2024, reflecting a 27% year-over-year increase. For the full year, revenue reached $117.6 million, a 35% increase. According to the company, this growth was largely driven by strong cannabis flower and extract sales in Canada and Israel.

Cronos GrowCo, the company’s cultivation division, also made notable strides, contributing $6.4 million in wholesale revenue for the year, which was an improvement from zero sales in 2023. With Cronos GrowCo’s facility expansion set to be completed by Q2 2025, the first harvest from GrowCo’s enhanced facilities is expected in late 2025.

Moreover, the company’s Spinach-brand edibles dominated the Canadian market, securing a 23% market share in cannabis edibles. Five of the top ten best-selling gummies in Canada came from the Spinach Sourz product line. Additionally, during the quarter, Peace Naturals became the leading medical marijuana brand in Israel with a 24% market share and successfully launched in the UK.

With $1.1 billion in total assets as of 2024, including $859 million in cash, and only $55.3 million in liabilities, Cronos is well-positioned for continued expansion. As Gorenstein put it, “We are not just leading today; we’re building the foundation for long-term excellence in the global cannabis industry.”

#3: Verano Holdings

Verano Holdings Corp. (Cboe CA: VRNO) (OTCQX: VRNOF), a Chicago-based multistate cannabis operator, reported a decline in revenue for the fourth quarter of 2024, generating $218.2 million, an 8% drop compared to the previous year. According to the company, the decline was largely due to intensified competition in key markets like Illinois and New Jersey. As a result, the company’s revenue fell slightly short of analyst’s expectations, missing the projected $218.9 million.

The net loss for the quarter surged to $272.7 million, significantly higher than the $77.2 million loss recorded a year earlier. Verano attributed the increased loss to impairment charges of $327.7 million related to fixed assets, license values, and goodwill. Despite this setback, CEO George Archos remained optimistic. “I am tremendously proud of our team’s resilience in 2024,” he stated, emphasizing strategic expansions, including entry into Virginia, growth in Arizona, and the launch of 17 new dispensaries across six key markets.

For the full year, Verano generated $878.6 million in revenue, a 6% decrease from 2023. The company cited market saturation and temporary cultivation shifts in Florida as major contributors to the decline. Nevertheless, it maintained a strong adjusted EBITDA of $62.9 million in Q4, accounting for 29% of revenue, while cash flow from operations increased to $44 million, up from $32 million in the same period of 2023.

Looking ahead to 2025, Verano announced plans to implement cost-saving measures, which will significantly reduce capital expenditures to between $25 million and $40 million, a solid improvement compared to $99 million spent in 2024.

#4: Trulieve

Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF), a leading U.S. cannabis company, reported impressive fourth-quarter financial results for 2024, surpassing analyst expectations with revenue of $301 million. This was a 5% increase from the same period in 2023, exceeding the average estimate of $292.44 million. The company also posted a full-year revenue of $1.186 billion, slightly above the projected $1.18 billion.

Trulieve CEO, Kim Rivers, praised the company’s performance, stating, “The team set the bar for operational excellence, delivering industry-leading margins and record cash flow.”

One of the key highlights of Trulieve’s success was its ability to improve profitability. The company reported a 62% gross margin in Q4, a significant jump from 54% in the same period as 2023. Throughout 2024, Trulieve generated $271 million in cash from operations and recorded $150 million in free cash flow. Additionally, the company ended the year with $300 million in cash and short-term investments, showcasing its solid financial position.

Despite reporting a net loss of $155 million for the year, which was substantially better than the $527 million loss in 2023, the company’s adjusted EBITDA reached $420 million, accounting for 35% of total revenue. Rivers emphasized the company’s strategic advantage, saying, “With our scaled operations, financial strength, and loyal customer base, Trulieve stands out as an industry leader with a differentiated strategy.”

Trulieve’s robust expansion was another highlight, throughout the year, Trulieve expanded its retail presence, adding 33 new dispensaries and bringing its total to 225 locations across the U.S. The company also launched adult-use cannabis sales in Ohio and introduced Onward, a premium non-alcoholic THC beverage available for purchase in 36 states.

With operations in 229 retail dispensaries and over four million square feet of cultivation and processing capacity across the U.S., Trulieve remains a dominant player in key markets like Florida, Arizona, and Pennsylvania.

#5: Green Thumb

Green Thumb Industries Inc. (CSE: GTII) (OTCQX: GTBIF) reported record-breaking financial results for the fourth quarter and full year of 2024, exceeding analysts’ expectations. The Chicago-based company achieved substantial revenue growth and profitability, which was driven by expansion in key markets and new store openings.

GTI’s revenue for Q4 rose by 5.8% year-over-year to $294.3 million, surpassing the projected $288.19 million. Full-year revenue saw a 7.8% increase, reaching $1.1 billion.

Additionally, net income skyrocketed in Q4, more than tripling to $12.7 million, while annual net income surged by 102% to $73.1 million. Green Thumb CEO, Ben Kovler, highlighted the industry’s momentum, stating, “Demand for THC in America is at an all-time high, and Green Thumb is well-positioned to deliver on this opportunity.”

Retail expansion played a key role in the company’s success. In Q4, GTI opened three new RISE dispensaries in Florida, Minnesota, and Nevada, bringing its total to 101 locations by year-end. Retail revenue grew modestly, while the company’s consumer packaged goods segment saw a more significant rise of 19.9% in Q4 and 15.9% for the full year, fueled by strong performances in New Jersey, New York, and Ohio.

The company’s operational efficiencies helped counteract pricing pressures, improving its gross margin to 53.7%. President Anthony Georgiadis expressed confidence in GTI’s strategy, saying, “We are confident that our focus on thoughtful capital allocation, operational excellence, superior product quality, and brands that resonate with consumers is a winning combination.”

GTI ended 2024 with a solid financial position, holding $171.7 million in cash, this was despite the company allocation capital to repurchase $43 million worth of shares in 2024 under its buyback program. However, the total outstanding debt was $255 million, but the company reaffirmed that it remains committed to sustainable growth in an expanding market.

Top Psychedelic Companies for Week

#1: Awakn

Awakn Life Sciences Corp. (CSE: AWKN) (OTC: AWKNF) announced it had entered into an agreement to be acquired by Solvonis Therapeutics plc (LSE: SVNS), which is a UK incorporated LSE-listed innovative biotechnology company focused on developing intellectual property and co-developing therapeutics for mental health and substance use disorders.

Under the agreement, Solvonis will acquire all outstanding common shares, restricted share units (RSUs), and deferred share units (DSUs) of Awakn.

As part of the deal, Awakn shareholders will receive 46.67 Solvonis ordinary shares for each Awakn common share held. The same exchange ratio applies to RSUs and DSUs, while existing Awakn warrants will be converted into Solvonis warrants with adjusted terms. Additionally, Awakn will seek consent from option holders to cancel outstanding stock options.

The acquisition offers several advantages for Awakn shareholders, including a 53.52% premium on the company’s share price prior to the deal announcement and a 37.59% premium over the 90-day average price. Additionally, the transaction will strengthen the combined company’s access to capital through Solvonis’ London Stock Exchange listing and enhance its growth potential, leveraging Solvonis’ larger market capitalization and greater financial resources.

Upon completion, existing Awakn and Solvonis shareholders will hold approximately 47.47% and 52.53% of the combined company, respectively. The transaction is subject to shareholder and regulatory approvals, including clearance from the UK Financial Conduct Authority and the Supreme Court of British Columbia.

Anthony Tennyson, CEO of both Awakn and Solvonis, recused himself from voting on the transaction, which was unanimously approved by the boards of both companies. According to the company, Awakn’s independent Special Committee reviewed the deal and, after consulting financial advisors Evans & Evans, Inc., confirmed that the offer is fair and in the best interest of Awakn shareholders.

Over 50% of Awakn shareholders have already agreed to support the transaction, which is expected to close in the second quarter of 2025. Upon completion, Awakn will delist from the Canadian Securities Exchange and cease to be a reporting issuer in Canada.

#2: Compass Pathways

Compass Pathways plc (NASDAQ: CMPS) reported a significant increase in its financial losses for full-year 2024, with net losses reaching $155.1 million, compared to $118.5 million in the previous year. However, the company remains focused on a pivotal milestone: the phase 3 trial results for its psilocybin-based therapy, COMP360, which is expected in the second quarter of 2025.

Despite the widening losses, Compass CEO Kabir Nath remains optimistic. “We are excited that the first data readout from our pivotal phase 3 COMP360 program in treatment-resistant depression continues on track with top-line 6-week data expected next quarter,” he stated.

In an effort to streamline operations, Compass undertook a major restructuring in October, cutting 30% of its workforce and halting early-stage research projects. This strategic shift aimed to concentrate resources on COMP360. The restructuring followed leadership changes earlier in the year and delays in clinical timelines.

The company’s research and development expenses surged to $119 million, up from $87.5 million in 2023, driven by costs associated with late-stage clinical trials and higher personnel expenses. Administrative costs also rose to $59.2 million from $49.4 million.

At the close of 2024, Compass held $165.1 million in cash, down from $220.2 million a year prior. However, an additional $140.4 million was secured in the first quarter of 2025. The company projects operational spending of $120 million to $145 million in the coming year and believes its current funds will sustain operations at least until the latter half of 2026, when COMP006 trial results are expected.