Vireo Growth Inc. Announces Third Quarter 2025 Results
Vireo Growth (OTCQX: VREOF) reported Q3 2025 GAAP revenue of $91.7M, up 264% year‑over‑year, driven by recent M&A and organic portfolio growth. GAAP gross profit was $37.4M (40.8% margin) and adjusted gross profit was $50.8M (55.4% margin). The company completed refinancing of senior secured debt, which is expected to reduce annualized interest expense by $10M. Cash on hand at September 30, 2025 was $117.5M and total current assets (excl. NY assets held for sale) were $191.1M. Vireo closed transactions to acquire Schwazze secured convertible notes and entered a restructuring plan that contemplates a UCC sale transferring a majority of Schwazze assets to a Vireo‑majority entity. Vireo also reached a settlement with Verano valued at approximately $10M.
Vireo Growth (OTCQX: VREOF) ha riportato un fatturato GAAP del Q3 2025 di 91,7 milioni di dollari, in aumento del 264% su base annua, trainato da recenti operazioni di fusione e acquisizione e dalla crescita organica del portafoglio. Il gross profit GAAP è stato di 37,4 milioni di dollari (margine 40,8%) e il gross profit adjusted è stato di 50,8 milioni di dollari (margine 55,4%). L'azienda ha completato il rifinanziamento del debito senior garantito, che dovrebbe ridurre le spese per interessi annualizzate di 10 milioni di dollari. La liquidità disponibile al 30 settembre 2025 era di 117,5 milioni di dollari e gli attivi correnti totali (esclusi gli asset NY detenuti per la vendita) erano di 191,1 milioni di dollari. Vireo ha concluso operazioni per l'acquisto dei note convertibili garantiti Schwazze ed è entrata in un piano di ristrutturazione che prevede una vendita ai sensi del UCC che trasferisce la maggioranza degli asset Schwazze a una entità controllata da Vireo. Vireo ha inoltre raggiunto un accordo con Verano per una valutazione di circa 10 milioni di dollari.
Vireo Growth (OTCQX: VREOF) reportó ingresos GAAP del tercer trimestre de 2025 de 91,7 millones de dólares, un crecimiento interanual del 264%, impulsado por recientes fusiones y adquisiciones y por el crecimiento orgánico de la cartera. El beneficio bruto GAAP fue de 37,4 millones de dólares (margen del 40,8%) y el beneficio bruto ajustado fue de 50,8 millones de dólares (margen del 55,4%). La compañía completó la refinanciación de la deuda senior garantizada, lo que se espera que reduzca el gasto por intereses anualizado en 10 millones de dólares. El efectivo disponible al 30 de septiembre de 2025 era de 117,5 millones de dólares y los activos corrientes totales (excluidos activos NY en venta) eran de 191,1 millones de dólares. Vireo cerró transacciones para adquirir notas convertibles aseguradas de Schwazze y entró en un plan de restructuración que contempla una venta bajo UCC que transfiere la mayoría de activos de Schwazze a una entidad dominada por Vireo. Vireo también llegó a un acuerdo con Verano por un valor de aproximadamente 10 millones de dólares.
Vireo Growth (OTCQX: VREOF)는 2025년 3분기 GAAP 매출 9,170만 달러를 보고했으며, 전년 동기 대비 264% 증가했고 이는 최근의 M&A 및 포트폴리오의 유기적 성장에 의해 주도되었습니다. GAAP 총이익은 3,740만 달러 (마진 40.8%)였고 조정된 총이익은 5,080만 달러 (마진 55.4%)였습니다. 회사는 우선 담보부 채무의 재융자를 완료했으며 이는 연간 이자비용을 1,000만 달러 감소시킬 것으로 예상됩니다. 2025년 9월 30일 현금 보유액은 1억 1,750만 달러였고, NY 자산 매각 제외를 포함한 총 유동자산은 1억 9,110만 달러였습니다. Vireo는 Schwazze의 담보부 전환사채를 인수하는 거래를 마무리했고, Schwazze 자산의 대다수를 Vireo가 지배하는 법인으로 이전하는 UCC 매각 계획을 포함하는 구조조정 계획에 진입했습니다. 또한 Verano와 약 1,000만 달러 규모의 합의에 도달했습니다.
Vireo Growth (OTCQX: VREOF) a annoncé un chiffre d'affaires GAAP du T3 2025 de 91,7 M$, en hausse de 264 % sur un an, soutenu par les récents fusions et acquisitions et la croissance organique du portefeuille. Le bénéfice brut GAAP s'est élevé à 37,4 M$ (marge de 40,8%) et le bénéfice brut ajusté à 50,8 M$ (marge de 55,4%). L'entreprise a achevé le refinancement de sa dette senior garantie, ce qui devrait réduire les dépenses d'intérêts annuelles de 10 M$. La trésorerie disponible au 30 septembre 2025 s'élevait à 117,5 M$ et les actifs courants totaux (à l'exception des actifs NY détenus en vente) étaient de 191,1 M$. Vireo a conclu des opérations pour acquérir des notes convertibles garanties Schwazze et est entré dans un plan de restructuration prévoyant une vente en vertu du UCC transférant une majorité des actifs Schwazze à une entité dominée par Vireo. Vireo a également conclu un accord avec Verano évalué à environ 10 M$.
Vireo Growth (OTCQX: VREOF) meldete Q3 2025 GAAP-Umsatz von 91,7 Mio. USD, ein Anstieg von 264 % gegenüber dem Vorjahr, getrieben durch jüngste M&A sowie organisches Portfolio-Wachstum. GAAP-Bruttogewinn betrug 37,4 Mio. USD (Bruttomarge 40,8%) und bereinigter Bruttogewinn betrug 50,8 Mio. USD (Marge 55,4%). Das Unternehmen schloss die Refinanzierung der vorrangig besicherten Schulden ab, was voraussichtlich die jährlichen Zinsaufwendungen um 10 Mio. USD senken wird. Zum 30. September 2025 verfügte das Unternehmen über liquide Mittel in Höhe von 117,5 Mio. USD und Gesamtaktiva (ohne NY-Assets, die zum Verkauf stehen) betrugen 191,1 Mio. USD. Vireo schloss Transaktionen zum Erwerb der von Schwazze gesicherten Wandelanleihen ab und trat in einen Restrukturierungsplan ein, der eine UCC-Veräußerung vorsieht, durch die der Großteil der Schwazze-Vermögenswerte an eine von Vireo dominierte Einheit übertragen wird. Außerdem einigte sich Vireo mit Verano auf eine Vereinbarung im Wert von ca. 10 Mio. USD.
Vireo Growth (OTCQX: VREOF) أبلغت عن إيرادات GAAP للربع الثالث من 2025 بلغت 91.7 مليون دولار، بزيادة 264% على أساس سنوي، نتيجة لصفقات الدمج والاستحواذ الأخيرة ونمو المحفظة العضوي. بلغ هامش الربح الإجمالي GAAP 37.4 مليون دولار (الهامش 40.8%) وهامش الربح الإجمالي المعدل 50.8 مليون دولار (الهامش 55.4%). أكملت الشركة إعادة تمويل ديونها المضمونة العليا، والذي من المتوقع أن يقلل من تكاليف الفائدة السنوية بمقدار 10 ملايين دولار. كان النقد المتاح في 30 سبتمبر 2025 117.5 مليون دولار وبلغ إجمالي الأصول المتداولة (باستثناء أصول نيويورك الخاضعة للبيع) 191.1 مليون دولار. أغلقت Vireo صفقات لشراء ملاحظات قابلة للتحويل مضمونة من Schwazze ودخلت في خطة إعادة الهيكلة التي تتوقع بيعاً وفقاً لـ UCC ينقل غالبية أصول Schwazze إلى كيان تسيطر عليه Vireo. كما توصلت Vireo إلى تسوية مع Verano بقيمة تقارب 10 ملايين دولار.
- GAAP revenue +264% YoY to $91.7M
- Adjusted gross profit +300% YoY to $50.8M
- Completed debt refinancing; expected $10M annual interest savings
- Cash balance of $117.5M at September 30, 2025
- Agreement to acquire Schwazze secured notes and plan for majority asset transfer
- GAAP operating income down 79% YoY to $0.8M for the quarter
- Gross profit margin declined 820 bps YoY to 40.8%
- Nine‑month GAAP operating income fell 94.7% YoY
- Large share count of 1,062,254,684 shares outstanding (treasury method)
Q3 GAAP revenue of
Completed refinancing of senior secured debt which is expected to decrease annualized interest expense by
Closed Q3 with
MINNEAPOLIS, Nov. 12, 2025 (GLOBE NEWSWIRE) -- Vireo Growth Inc. (“Vireo” or the “Company”) (CSE: VREO; OTCQX: VREOF), today reported financial results for its third fiscal quarter ended September 30, 2025. Key financial results are presented below in summary form with supporting commentary and discussion from management of certain key operating metrics which the Company uses to judge its performance. All currency figures referenced herein are denominated in U.S. dollars.
Summary of Key Financial Metrics
| Three Months Ended | Nine Months Ended | ||||||||||||||||
| US $in millions | September 30, | September 30, | |||||||||||||||
| 2025 | 2024 | Variance | 2025 | 2024 | Variance | ||||||||||||
| GAAP Revenue | $ | 91.7 | $ | 25.2 | 264.2 | % | $ | 164.3 | $ | 74.4 | 120.9 | % | |||||
| GAAP Gross Profit | $ | 37.4 | $ | 12.3 | 204.1 | % | $ | 70.2 | $ | 38.1 | 84.3 | % | |||||
| Gross Profit Margin | 40.8 | % | 49.0 | % | -820 | bps | 42.7 | % | 51.3 | % | -860 | bps | |||||
| Adjusted Gross Profit1 | $ | 50.8 | $ | 12.7 | 300.0 | % | $ | 88.5 | $ | 38.2 | 131.7 | % | |||||
| Adjusted Gross Profit Margin1 | 55.4 | % | 50.4 | % | 500 | bps | 53.9 | % | 51.3 | % | 250 | bps | |||||
| GAAP Operating Income | $ | 0.8 | $ | 3.9 | -79.0 | % | $ | 0.8 | $ | 14.4 | -94.7 | % | |||||
| GAAP Operating Income Margin | 0.9 | % | 15.5 | % | -1,460 | bps | 0.5 | % | 19.4 | % | -1,890 | bps | |||||
| Adjusted Operating Income2 | $ | 21.0 | $ | 5.2 | 303.8 | % | $ | 38.0 | $ | 15.8 | 140.5 | % | |||||
| Adjusted Operating Income Margin2 | 22.9 | % | 20.6 | % | 230 | bps | 23.1 | % | 21.2 | % | 190 | bps | |||||
| Adjusted EBITDA | $ | 25.4 | $ | 6.4 | 297.0 | % | $ | 45.2 | $ | 18.5 | 144.7 | % | |||||
| Adjusted EBITDA Margin | 27.7 | % | 25.3 | % | 230 | bps | 27.5 | % | 24.8 | % | 268 | bps | |||||
1Excludes fair value adjustments and Grown Rogue termination fee
2Excludes fair value adjustments, Grown Rogue termination fee, share based compensation and transaction expenses
NOTE: Adjusted Gross Profit, Adjusted Gross Profit Margin, Adjusted Operating Income, Adjusted Operating Income Margin, Adjusted EBITDA, and Adjusted EBITDA Margin are non-GAAP financial measures. Please refer to the end of this press release for a definition of these measures and a reconciliation to the most directly comparable GAAP measures.
Management Commentary
Chief Executive Officer John Mazarakis commented, “Our third quarter results reflect continued progress against our objective to create a portfolio of prolific brands in cannabis. Performance was in line with our expectations and is beginning to demonstrate the impact of our efforts to transform the Company through accretive M&A. As we exit 2025 and begin the new year, we will continue optimizing all areas of our business while remaining opportunistic with respect to further acquisitive growth opportunities.”
Recent Developments
On September 16, 2025, the Company recorded its first sale of adult use cannabis in Minnesota at its historic downtown Minneapolis Green Goods® dispensary. The Company is now dispensing a full suite of both medical and adult-use cannabis products at all eight of its Green Goods™ dispensaries located throughout the State of Minnesota. As one of the state’s operational licensed adult-use cannabis cultivators and retailers, and with a population of 5.7 million people, the launch of Minnesota’s adult-use cannabis market is expected to serve as an organic revenue growth catalyst for Vireo for the foreseeable future.
On October 14, 2025, the Company announced that it closed on a transaction to acquire outstanding senior secured convertible notes of public U.S. multi-state cannabis operator Schwazze, and that it entered into a Restructuring Support Agreement with Schwazze. The parties plan to restructure the operations and capital structure of Schwazze and its subsidiaries through a series of transactions, including the UCC sale of certain assets representing a majority of the total assets of Schwazze to a newly-formed entity to be majority-owned by Vireo, and the liquidation and winding down of Schwazze’s remaining operations. Schwazze currently operates 46 dispensaries and 2 manufacturing facilities throughout Colorado and New Mexico.
On October 29, 2025, the Company announced that it has reached a comprehensive settlement agreement with Verano Holdings Corp., dismissing all outstanding litigation matters between the two companies that are pending before the Supreme Court of British Columbia, Canada. The terms of the agreement were approved by the respective Boards of Directors of both companies. The value of the settlement to Vireo is approximately
At the end of the third quarter, the Company had largely completed integration of its recent acquisitions, including streamlined accounting, finance, human resources, insurance, and procurement operations, as well as the implementation of a new Enterprise Resource Planning system across the organization. The Company has already realized corporate overhead synergies, and full integration is expected to be completed by the end of the year.
Balance Sheet and Liquidity
As of September 30, 2025, total current assets excluding New York assets held for sale and income taxes receivable were
Conference Call and Webcast Information
Vireo management will host a conference call with research analysts today, November 12, 2025, at 8:30 a.m. ET (7:30 a.m. CT) to discuss its financial results for its third quarter ended September 30, 2025. Interested parties may attend the conference call by dialing 1-800-715-9871 (Toll-Free) (US and Canada) or 1-646-307-1963 (Toll) (International) and referencing conference ID number 7974705.
A live audio webcast of this event will also be available in the Events & Presentations section of the Company’s Investor Relations website and via the following link:
https://events.q4inc.com/attendee/235390523.
About Vireo Growth Inc.
Vireo was founded in 2014 as a pioneering medical cannabis company. Vireo is building a disciplined, strategically aligned, and execution-focused platform in the industry. This strategy drives our intense local market focus while leveraging the strength of a national portfolio. We are committed to hiring industry leaders and deploying capital and talent where we believe it will drive the most value. Vireo operates with a long-term mindset, a bias for action, and an unapologetic commitment to its customers, employees, shareholders, industry collaborators, and the communities it serves. For more information about Vireo, visit www.vireogrowth.com.
Additional Information
Additional information relating to the Company’s third quarter 2025 results will be available on EDGAR and SEDAR+ later today. Vireo refers to certain non-GAAP financial measures such as Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA), Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Gross Profit, Adjusted Gross Profit Margin, Adjusted Operating Income, and Adjusted Operating Income Margin in circumstances in which the Company believes that doing so provides additional perspective and insights when analyzing the core operating performance of the business. These measures do not have any standardized meaning and may not be comparable to similar measures presented by other issuers. Please see the Supplemental Information and Reconciliation of Non-GAAP Financial Measures at the end of this news release for more detailed information regarding non-GAAP financial measures including a reconciliation of each measure to the most directly comparable GAAP financial measure.
Contact Information
Joe Duxbury
Chief Accounting Officer
investor@vireogrowth.com
(612) 314-8995
Forward-Looking Statement Disclosure
This press release contains “forward-looking information” within the meaning of applicable United States and Canadian securities legislation. To the extent any forward-looking information in this press release constitutes “financial outlooks” within the meaning of applicable United States or Canadian securities laws, this information is being provided as preliminary financial results; the reader is cautioned that this information may not be appropriate for any other purpose and the reader should not place undue reliance on such financial outlooks. Forward-looking information contained in this press release may be identified by the use of words such as “should,” “believe,” “estimate,” “would,” “looking forward,” “may,” “continue,” “expect,” “expected,” “will,” “likely,” “subject to,” and variations of such words and phrases, or any statements or clauses containing verbs in any future tense and includes statements regarding the expected decrease in annualized interest expense as a result of the completion of the refinancing of senior secured debt; the Company’s future M&A strategy and optimization of all areas of the Company’s business; the expected benefits of the Company’s expansion into the adult-use cannabis market, including expected future revenues and growth associated therewith; expectations around the proposed transactions involving Schwazze and its assets; and the Company’s expectations around integration of the operations of its recent acquisitions at timing thereof. These statements should not be read as guarantees of future performance or results. Forward-looking information includes both known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of the Company or its subsidiaries to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements or information contained in this press release. Financial outlooks, as with forward-looking information generally, are, without limitation, based on the assumptions and subject to various risks
as set out herein and in our Annual Report on Form 10-K and our Quarterly Reports on Form 10-Q filed with the Securities Exchange Commission. Our actual financial position and results of operations may differ materially from management’s current expectations and, as a result, our revenue, EBITDA, Adjusted EBITDA, and cash on hand may differ materially from the values provided in this press release. Forward-looking information is based upon a number of estimates and assumptions of management, believed but not certain to be reasonable, in light of management’s experience and perception of trends, current conditions, and expected developments, as well as other factors relevant in the circumstances, including assumptions in respect of current and future market conditions, the current and future regulatory environment, and the availability of licenses, approvals and permits.
Although the Company believes that the expectations and assumptions on which such forward-looking information is based are reasonable, the reader should not place undue reliance on the forward-looking information because the Company can give no assurance that they will prove to be correct. Actual results and developments may differ materially from those contemplated by these statements. Forward-looking information is subject to a variety of risks and uncertainties that could cause actual events or results to differ materially from those projected in the forward-looking information. Such risks and uncertainties include, but are not limited to: risks related to the timing and content of adult-use legislation in markets where the Company currently operates; current and future market conditions, including the market price of the subordinate voting shares of the Company; risks related to epidemics and pandemics; federal, state, local, and foreign government laws, rules, and regulations, including federal and state laws and regulations in the United States relating to cannabis operations in the United States and any changes to such laws or regulations; operational, regulatory and other risks; execution of business strategy; management of growth; difficulties inherent in forecasting future events; conflicts of interest; risks inherent in an agricultural business; risks inherent in a manufacturing business; liquidity and the ability of the Company to raise additional financing to continue as a going concern; the Company’s ability to meet the demand for flower in its various markets; our ability to dispose of our assets held for sale at an acceptable price or at all; and risk factors set out in the Company’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q, which are available on EDGAR with the U.S. Securities and Exchange Commission and filed with the Canadian securities regulators and available under the Company’s profile on SEDAR+ at www.sedarplus.com.
The statements in this press release are made as of the date of this release. Except as required by law, we undertake no obligation to update any forward-looking statements or forward-looking information to reflect events or circumstances after the date of such statements.
| VIREO GROWTH INC. STATE-BY-STATE REVENUE PERFORMANCE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2025 AND 2024 | |||||||||||||
| Three Months Ended | |||||||||||||
| September 30, | |||||||||||||
| 2025 | 2024 | $Change | % Change | ||||||||||
| Retail: | |||||||||||||
| MN | $ | 11,954,050 | $ | 11,391,969 | $ | 562,081 | 5 | % | |||||
| NY | 985,914 | 1,428,827 | (442,913) | (31) | % | ||||||||
| MD | 6,620,115 | 6,919,991 | (299,876) | (4) | % | ||||||||
| UT | 11,476,957 | — | 11,476,957 | 100 | % | ||||||||
| NV | 24,946,810 | — | 24,946,810 | 100 | % | ||||||||
| MO | 19,968,137 | — | 19,968,137 | 100 | % | ||||||||
| Total Retail | $ | 75,951,983 | $ | 19,740,787 | $ | 56,211,196 | 285 | % | |||||
| Wholesale: | |||||||||||||
| MN | $ | 66,812 | 146,461 | (79,649) | (54) | % | |||||||
| NY | 5,117,153 | 1,321,224 | 3,795,929 | 287 | % | ||||||||
| MD | 3,749,186 | 3,956,871 | (207,685) | (5) | % | ||||||||
| UT | 1,856,967 | — | 1,856,967 | 100 | % | ||||||||
| NV | 24,244 | — | 24,244 | 100 | % | ||||||||
| MO | 4,888,810 | — | 4,888,810 | 100 | % | ||||||||
| Total Wholesale | $ | 15,703,172 | $ | 5,424,556 | $ | 10,278,616 | 189 | % | |||||
| Total Revenue | $ | 91,655,155 | $ | 25,165,343 | $ | 66,489,812 | 264 | % | |||||
| Nine Months Ended | |||||||||||||
| September 30, | |||||||||||||
| 2025 | 2024 | $Change | % Change | ||||||||||
| Retail: | |||||||||||||
| MN | $ | 34,021,309 | $ | 34,608,015 | $ | (586,706) | (2) | % | |||||
| NY | 3,285,510 | 4,854,423 | (1,568,913) | (32) | % | ||||||||
| MD | 20,189,092 | 20,696,808 | (507,716) | (2) | % | ||||||||
| UT | 17,578,578 | — | 17,578,578 | 100 | % | ||||||||
| NV | 31,308,095 | — | 31,308,095 | 100 | % | ||||||||
| MO | 25,575,600 | — | 25,575,600 | 100 | % | ||||||||
| Total Retail | $ | 131,958,184 | $ | 60,159,246 | $ | 71,798,938 | 119 | % | |||||
| Wholesale: | |||||||||||||
| MN | 507,936 | 153,330 | 354,606 | 231 | % | ||||||||
| NY | 10,181,207 | 3,454,162 | 6,727,045 | 195 | % | ||||||||
| MD | 12,021,131 | 10,594,167 | 1,426,964 | 13 | % | ||||||||
| UT | 2,963,723 | — | 2,963,723 | 100 | % | ||||||||
| NV | 52,450 | — | 52,450 | 100 | % | ||||||||
| MO | 6,574,175 | — | 6,574,175 | 100 | % | ||||||||
| Total Wholesale | $ | 32,300,622 | $ | 14,201,659 | $ | 18,098,963 | 127 | % | |||||
| Total Revenue | $ | 164,258,806 | $ | 74,360,905 | $ | 89,897,901 | 121 | % | |||||
Supplemental Information and Reconciliation of Non-GAAP Financial Measures
Vireo management occasionally elects to provide certain non-GAAP financial measures such as Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA), Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Gross Profit, Adjusted Gross Profit Margin, Adjusted Operating Income, and Adjusted Operating Income Margin. EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Gross Profit, Adjusted Gross Profit Margin, Adjusted Operating Income, and Adjusted Operating Income Margin are non-GAAP measures and do not have standardized definitions under GAAP. The following information provides reconciliations of the supplemental non-GAAP financial measures presented herein to the most directly comparable financial measures calculated and presented in accordance with GAAP. The Company has provided the non-GAAP financial measures, which are not calculated or presented in accordance with GAAP, as supplemental information and in addition to the financial measures that are calculated and presented in accordance with GAAP. These supplemental non-GAAP financial measures should not be considered superior to, as a substitute for or as an alternative to, and should be considered in conjunction with, the GAAP financial measures presented.
Reconciliation of Net Loss to EBITDA and Adjusted EBITDA
We have included this information as management believes certain investors use this information to evaluate our performance in comparison to other cannabis companies. The table below provides a reconciliation of net loss to EBITDA and to Adjusted EBITDA.
| Three Months Ended | Nine Months Ended | |||||||||||||||
| September 30, | September 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Net income (loss) | $ | (26,298,861 | ) | $ | (4,926,358 | ) | $ | (47,741,680 | ) | $ | (12,306,228 | ) | ||||
| Interest expense, net | 6,906,226 | 7,363,655 | 22,153,565 | 23,604,746 | ||||||||||||
| Income taxes | 13,347,000 | 2,385,000 | 19,876,000 | 6,770,000 | ||||||||||||
| Depreciation & Amortization | 2,082,819 | 256,326 | 3,441,872 | 762,864 | ||||||||||||
| Depreciation and amortization included in cost of sales | 1,813,459 | 582,072 | 3,242,131 | 1,752,770 | ||||||||||||
| EBITDA (non-GAAP) | $ | (2,149,357 | ) | $ | 5,660,695 | $ | 971,888 | $ | 20,584,152 | |||||||
| Non-cash inventory adjustments | 13,394,126 | 393,000 | 17,753,085 | 130,000 | ||||||||||||
| Grown Rogue termination fee included in cost of goods sold | — | — | 533,333 | — | ||||||||||||
| Stock-based compensation | 4,006,712 | 1,304,919 | 9,618,192 | 1,424,140 | ||||||||||||
| Transaction related expenses | 803,724 | — | 6,777,864 | — | ||||||||||||
| Other income | (479,245 | ) | (970,850 | ) | (861,610 | ) | (3,881,931 | ) | ||||||||
| Debt financing costs | 1,873,589 | — | 1,873,589 | — | ||||||||||||
| Severance expense | 74,320 | — | 694,159 | — | ||||||||||||
| Loss on disposal of assets | 7,837,671 | — | 7,843,515 | 218,327 | ||||||||||||
| Adjusted EBITDA (non-GAAP) | $ | 25,361,541 | $ | 6,387,764 | $ | 45,204,016 | $ | 18,474,688 | ||||||||
The financial information reported in this news release is based on unaudited financial statements for the third quarter ended September 30, 2025, and September 30, 2024. All financial information contained in this news release is qualified in its entirety with reference to such financial statements. To the extent that the financial information contained in this news release is inconsistent with the information contained in the Company’s audited financial statements, the financial information contained in this news release shall be deemed to be modified or superseded by the Company’s audited financial statements. The making of a modifying or superseding statement shall not be deemed an admission for any purposes that the modified or superseded statement, when made, constituted a misrepresentation for purposes of applicable securities laws.
Reconciliation of Q3 Gross Profit to Adjusted Gross Profit
The table below provides a reconciliation of Gross Profit to Adjusted Gross Profit. Adjusted Gross Profit Margin represents Adjusted Gross Profit divided by GAAP revenue for the relevant period.
| Three Months Ended | Nine Months Ended | ||||||||||||
| September 30, | September 30, | ||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||
| Gross Profit | $ | 37,382,999 | $ | 12,323,970 | $ | 70,213,158 | $ | 38,119,040 | |||||
| Non-cash inventory adjustments | 13,394,126 | 393,000 | 17,753,085 | 130,000 | |||||||||
| Grown Rogue termination fee included in cost of goods sold | — | — | 533,333 | — | |||||||||
| Adjusted Gross Profit (non-GAAP) | $ | 50,777,125 | $ | 12,716,970 | $ | 88,499,576 | $ | 38,249,040 | |||||
Reconciliation of Q3 Operating Income to Adjusted Operating Income
The table below provides a reconciliation of Gross Profit to Adjusted Gross Profit. Adjusted Operating Income Margin represents Adjusted Operating Income divided by GAAP revenue for the relevant period.
| Three Months Ended | Nine Months Ended | ||||||||||||
| September 30, | September 30, | ||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||
| Operating Income | $ | 808,956 | $ | 3,851,447 | $ | 765,955 | $ | 14,404,914 | |||||
| Non-cash inventory adjustments | 13,394,126 | — | 17,753,085 | — | |||||||||
| Grown Rogue termination fee included in cost of goods sold | — | — | 533,333 | — | |||||||||
| Stock-based compensation | 4,006,712 | 1,304,919 | 9,618,192 | 1,424,140 | |||||||||
| Debt financing costs | 1,873,589 | — | 1,873,589 | — | |||||||||
| Severance expense | 74,320 | — | 694,159 | — | |||||||||
| Transaction related expenses | 803,724 | — | 6,777,864 | — | |||||||||
| Adjusted Operating Income (non-GAAP) | $ | 20,961,427 | $ | 5,156,366 | $ | 38,016,177 | $ | 15,829,054 | |||||
| VIREO GROWTH INC. CONSOLIDATED BALANCE SHEETS AS OF 9/30/2025 AND 12/31/2024 (Amounts Expressed in United States Dollars, Unaudited and Condensed) | |||||||||
| September 30, | December 31, | ||||||||
| 2025 | 2024 | ||||||||
| Assets | |||||||||
| Current assets: | |||||||||
| Cash | $ | 97,151,669 | $ | 91,604,970 | |||||
| Restricted Cash | 20,387,672 | — | |||||||
| Marketable Securities | 1,012,527 | — | |||||||
| Accounts receivable, net of credit losses of | 12,180,295 | 4,590,351 | |||||||
| Income tax receivable | 14,414,476 | 12,027,472 | |||||||
| Inventory | 53,901,588 | 21,666,364 | |||||||
| Prepayments and other current assets | 5,114,818 | 1,650,977 | |||||||
| Warrants held | 1,333,103 | 2,270,964 | |||||||
| Assets Held for Sale | 102,468,441 | 96,560,052 | |||||||
| Total current assets | 307,964,589 | 230,371,150 | |||||||
| Property and equipment, net | 121,241,954 | 32,311,762 | |||||||
| Operating lease, right-of-use asset | 37,112,753 | 7,859,434 | |||||||
| Intangible assets, net | 89,651,531 | 7,899,328 | |||||||
| Goodwill | 97,289,115 | — | |||||||
| Investments | 6,000,000 | — | |||||||
| Deposits | 2,129,430 | 421,244 | |||||||
| Indemnified Assets | 17,529,137 | — | |||||||
| Total assets | 678,918,509 | $ | 278,862,918 | ||||||
| Liabilities | |||||||||
| Current liabilities | |||||||||
| Accounts payable and accrued liabilities | 38,543,289 | $ | 10,456,036 | ||||||
| Convertible debt, current portion | $ | 1,650,000 | — | ||||||
| Long-Term debt, current portion | 15,630,000 | 900,000 | |||||||
| Right of use liability | 4,771,482 | 1,400,015 | |||||||
| Uncertain tax liability | 84,818,307 | 33,324,000 | |||||||
| Derivative Liability | 160,778 | — | |||||||
| Liabilities held for sale | 89,334,872 | 89,387,203 | |||||||
| Total current liabilities | 234,908,728 | 135,467,254 | |||||||
| Right-of-use liability | 41,772,546 | 16,494,439 | |||||||
| Long-term debt, net | 131,665,305 | 61,438,046 | |||||||
| Convertible debt, net | 8,246,109 | 9,862,378 | |||||||
| Contingent consideration | 14,919,000 | — | |||||||
| Other long-term liabilities | 1,101,299 | 37,278 | |||||||
| Total liabilities | 432,612,987 | 223,299,395 | |||||||
| Stockholders’ equity | |||||||||
| Subordinate Voting Shares ($- par value, unlimited shares authorized; 923,898,809 shares issued and outstanding at September 30, 2025 and 337,512,681 at December 31, 2024) | — | — | |||||||
| Multiple Voting Shares ($- par value, unlimited shares authorized; 259,632 shares issued and outstanding at September 30, 2025 and 285,371 at December 31, 2024) | — | — | |||||||
| Additional paid in capital | 525,482,763 | 286,999,084 | |||||||
| Accumulated deficit | (279,177,241 | ) | (231,435,561 | ) | |||||
| Total stockholders’ equity | $ | 246,305,522 | $ | 55,563,523 | |||||
| Total liabilities and stockholders’ equity | $ | 678,918,509 | $ | 278,862,918 | |||||
| VIREO GROWTH INC. CONSOLIDATED STATEMENTS OF OPERATIONS THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2025 AND 2024 (Amounts Expressed in United States Dollars, Unaudited and Condensed) | |||||||||||||||||
| Three Months Ended | Nine Months Ended | ||||||||||||||||
| September 30, | September 30, | ||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||
| Revenue | $ | 91,655,155 | $ | 25,165,343 | $ | 164,258,806 | $ | 74,360,905 | |||||||||
| Cost of sales | |||||||||||||||||
| Product costs | 40,878,030 | 12,448,373 | 76,292,563 | 36,111,865 | |||||||||||||
| Non-cash product costs | 12,397,641 | — | 16,549,749 | — | |||||||||||||
| Inventory valuation adjustments | 996,485 | 393,000 | 1,203,336 | 130,000 | |||||||||||||
| Gross profit | 37,382,999 | 12,323,970 | 70,213,158 | 38,119,040 | |||||||||||||
| Operating expenses: | |||||||||||||||||
| Selling, general and administrative expenses | 29,680,788 | 6,911,278 | 49,609,275 | 21,527,122 | |||||||||||||
| Transaction related expenses | 803,724 | — | 6,777,864 | — | |||||||||||||
| Stock-based compensation expenses | 4,006,712 | 1,304,919 | 9,618,192 | 1,424,140 | |||||||||||||
| Depreciation | 552,589 | 76,292 | 1,017,287 | 222,763 | |||||||||||||
| Amortization | 1,530,230 | 180,034 | 2,424,585 | 540,101 | |||||||||||||
| Total operating expenses | 36,574,043 | 8,472,523 | 69,447,203 | 23,714,126 | |||||||||||||
| Gain (loss) from operations | 808,956 | 3,851,447 | 765,955 | 14,404,914 | |||||||||||||
| Other income (expense): | |||||||||||||||||
| Interest expenses, net | (6,906,226 | ) | (7,363,655 | ) | (22,153,565 | ) | (23,604,746 | ) | |||||||||
| Gain (loss) on disposal of assets | (7,837,671 | ) | — | (7,843,515 | ) | (218,327 | ) | ||||||||||
| Other income (expenses) | 983,080 | 970,850 | 1,365,445 | 3,881,931 | |||||||||||||
| Other income (expenses), net | (13,760,817 | ) | (6,392,805 | ) | (28,631,635 | ) | (19,941,142 | ) | |||||||||
| Loss before income taxes | (12,951,861 | ) | (2,541,358 | ) | (27,865,680 | ) | (5,536,228 | ) | |||||||||
| Current income tax expenses | (13,347,000 | ) | (2,385,000 | ) | (19,876,000 | ) | (6,770,000 | ) | |||||||||
| Net loss and comprehensive loss | (26,298,861 | ) | (4,926,358 | ) | (47,741,680 | ) | (12,306,228 | ) | |||||||||
| Net loss per share - basic and diluted | $ | (0.04 | ) | $ | (0.02 | ) | $ | (0.05 | ) | $ | (0.08 | ) | |||||
| Weighted average shares used in computation of net loss per share - basic & diluted | 627,654,382 | 201,377,275 | 949,820,535 | 162,836,874 | |||||||||||||
| VIREO GROWTH INC. CONSOLIDATED STATEMENTS OF CASH FLOWS NINE MONTHS ENDED SEPTEMBER 30, 2025 AND 2024 (Amounts Expressed in United States Dollars, Unaudited and Condensed) | |||||||||
| Nine Months Ended September 30, | |||||||||
| 2025 | 2024 | ||||||||
| CASH FLOWS FROM OPERATING ACTIVITIES | |||||||||
| Net loss | $ | (47,741,680 | ) | $ | (12,306,228 | ) | |||
| Adjustments to reconcile net loss to net cash used in operating activities: | |||||||||
| Non-cash amortization of inventory step up included in product costs | 16,549,749 | — | |||||||
| Inventory valuation adjustments | 1,203,336 | 130,000 | |||||||
| Depreciation | 1,017,287 | 222,763 | |||||||
| Depreciation capitalized into inventory | 3,177,308 | 1,678,434 | |||||||
| Non-cash operating lease expense | 1,093,085 | 323,309 | |||||||
| Amortization of intangible assets | 2,424,585 | 540,101 | |||||||
| Amortization of intangible assets capitalized into inventory | 64,823 | 74,336 | |||||||
| Stock-based payments | 9,461,855 | 1,424,140 | |||||||
| Warrants held | 937,861 | (3,284,619 | ) | ||||||
| Derivative (gain) loss | 160,778 | — | |||||||
| Loss on extinguishment of debt | 4,911,988 | — | |||||||
| Interest Expense | 3,074,234 | 3,806,093 | |||||||
| Bad debt expense | 313,618 | 230,818 | |||||||
| Accretion of interest on right-of-use finance lease liabilities | 160,392 | 168,464 | |||||||
| Loss (gain) on disposal of assets | (863,813 | ) | 120,856 | ||||||
| Change in operating assets and liabilities: | |||||||||
| Accounts Receivable | (4,192,453 | ) | 173,047 | ||||||
| Prepaid expenses | (953,498 | ) | (496,757 | ) | |||||
| Inventory | (2,396,728 | ) | (482,192 | ) | |||||
| Income taxes | 8,832,232 | 361,154 | |||||||
| Uncertain tax position liabilities | 14,411,000 | 6,410,000 | |||||||
| Accounts payable and accrued liabilities | (18,800,446 | ) | 1,213,360 | ||||||
| Changes in operating lease liabilities | (1,829,045 | ) | (404,556 | ) | |||||
| Change in assets and liabilities held for sale | (5,960,720 | ) | (3,693,771 | ) | |||||
| Net cash used in operating activities | (14,944,252 | ) | (3,791,248 | ) | |||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||
| Purchases of property, plant, and equipment | (18,461,912 | ) | (8,974,901 | ) | |||||
| Proceeds from note receivable | — | 3,600,000 | |||||||
| Purchase of marketable securities | (1,012,527 | ) | — | ||||||
| Acquisition of WholesomeCo, Inc., net of cash paid | 7,025,811 | — | |||||||
| Acquisition of Deep Roots Holdings, Inc., net of cash paid | 19,382,607 | — | |||||||
| Acquisition of Proper Holdings Management, Inc., net of cash paid | 12,951,202 | — | |||||||
| Capitalized software development costs | (1,065,611 | ) | — | ||||||
| Deposits | (638,262 | ) | (150,100 | ) | |||||
| Net cash used in investing activities | 18,181,308 | (5,525,001 | ) | ||||||
| CASH FLOWS FROM FINANCING ACTIVITIES | |||||||||
| Proceeds from long-term debt, net of issuance costs | 146,789,514 | 1,131,400 | |||||||
| Proceeds from issuance of shares | — | 700,000 | |||||||
| Proceeds from warrant exercises | 38,516 | 43,953 | |||||||
| Proceeds from option exercises | 90,890 | 16,500 | |||||||
| Debt principal payments | (124,221,605 | ) | (1,098,000 | ) | |||||
| Lease principal payments | — | (162,405 | ) | ||||||
| Net cash used in financing activities | 22,697,315 | 631,448 | |||||||
| Net change in cash | 25,934,371 | (8,684,801 | ) | ||||||
| Cash, beginning of period | 91,604,970 | 15,964,665 | |||||||
| Cash, end of period | $ | 117,539,341 | $ | 7,279,864 | |||||
FAQ
What were Vireo Growth (VREOF) Q3 2025 revenue and cash balances?
How much will Vireo (VREOF) save from its debt refinancing announced in 2025?
What is Vireo’s (VREOF) involvement with Schwazze announced October 14, 2025?
Did Vireo (VREOF) record any settlements in Q3 2025?
How did Vireo’s (VREOF) profitability metrics change in Q3 2025?
How many shares did Vireo (VREOF) report outstanding as of September 30, 2025?
