MariMed Reports Third Quarter 2025 Earnings

NORWOOD, Mass., Nov. 05, 2025 (GLOBE NEWSWIRE) -- MariMed Inc. (“MariMed” or the “Company”) (CSE: MRMD) (OTCQX: MRMD), a leading multi-state cannabis operator focused on improving lives every day, today announced its financial results for the third quarter ended September 30, 2025. Management Commentary “During the third quarter, we continued to make progress on our plan to own top-selling, national consumer cannabis brands, while also delivering sequential increases in revenue, adjusted EBIDTA, and operating cash flow,” said Jon Levine, MariMed Chief Executive Officer. “We had another strong quarter of wholesale sales, which is a core component of our ‘Expand the Brand’ growth strategy. Another critical part of the strategy is to bring our innovative, top-selling brand portfolio to new markets in high-growth states. New agreements we announced during and after the third quarter will widen distribution of our brands to Maine, Pennsylvania, and New York.” “We delivered sequential growth in both wholesale and retail revenues for the third quarter, and reported a substantial increase in adjusted net income,” said Mario Pinho, MariMed Chief Financial Officer. ““Wholesale expansion in Massachusetts and Illinois, the launch of adult-use sales in Delaware, and higher retail transactions across our network fueled topline growth. While new competition impacted our Metropolis, Illinois location, we improved profitability through disciplined cost management and operational efficiencies, without compromising product quality or the customer experience.” Financial Highlights1 The following table summarizes the Company's consolidated financial highlights (in millions, except percentage amounts):   Three months ended September 30,   Nine months ended September30,     2025       2024       2025       2024     (unaudited)   (unaudited) Revenue $ 40.8     $ 40.6     $ 118.2     $ 118.8   GAAP Gross margin   40 %     41 %     40 %     42 % Non-GAAP Gross margin   41 %     43 %     42 %     43 % GAAP Net loss $ (2.9 )   $ (1.0 )   $ (9.8 )   $ (4.2 ) Non-GAAP Net (loss) income $ (1.5 )   $ 0.5     $ (5.1 )   $ (0.5 ) Non-GAAP Adjusted EBITDA $ 5.1     $ 4.7     $ 12.4     $ 13.5   Non-GAAP Adjusted EBITDA margin   13 %     12 %     11 %     11 % 1 See the reconciliations of non-GAAP financial measures to the most directly comparable GAAP measures and additional information about non-GAAP measures in the section entitled “Discussion of Non-GAAP Financial Measures” below and in the financials information included herewith. CONFERENCE CALL MariMed management will host a conference call on Thursday, November 6, 2025 at 8:00 a.m. Eastern time, to discuss these results. The conference call may be accessed through MariMed’s Investor Relations website, or by clicking the following link: Q325 MRMD Earnings Call. THIRD QUARTER 2025 OPERATIONAL HIGHLIGHTS During the third quarter, the Company announced the following developments in the implementation of its strategic growth plan: July 14: Expanded the distribution of Betty’s Eddies™ to Maine for both adult-use cannabis consumers and medical patients through a new licensing partnership. July 31: Announced a Managed Services Agreement (“MSA”) to assume day-to-day management of a cultivation and processing facility in Pennsylvania owned by a division of multi-state cannabis operator TILT Holdings. In addition, the companies announced a licensing agreement that will enable MariMed to distribute its award-winning, branded products in Pennsylvania, which is anticipated to become the next state to expand its legal cannabis program to include adult-use sales. The Company anticipates distribution to begin in 2026 following regulatory approval. OTHER DEVELOPMENTS Subsequent to the end of the third quarter, the Company announced the following further developments: October 23: Signed a licensing agreement with a licensed, vertically integrated cannabis operator in New York that will enable the Company to expand distribution of its branded products in that state. The Company anticipates distribution to begin in 2026, following the build-out of a new kitchen at the licensee’s production facility as well as regulatory approval. October 28: Completed a strategic review and exited the Missouri market, ceasing management of a third-party licensed cannabis operator. November 3: Entered into manufacturing, wholesale distribution, and marketing agreements to launch hemp-derived THC products. A hemp-derived THC version of the Company’s Vibations™ hydrating drink mix is expected to be the first product available to consumers, with anticipated distribution in Rhode Island by early 2026. DISCUSSION OF NON-GAAP FINANCIAL MEASURES MariMed’s management uses several different financial measures, both GAAP and non-GAAP, in analyzing and assessing the overall performance of its business, making operating decisions, and planning and forecasting future periods.   The Company has provided in this release several non-GAAP financial measures: Non-GAAP Adjusted EBITDA and non-GAAP Adjusted EBITDA margin, Non-GAAP Gross margin, Non-GAAP Operating expenses and Non-GAAP Net income (loss), as supplements to Revenue, Gross margin, Operating expenses, Income (loss) from operations, Net income (loss) and other financial measures prepared in accordance with GAAP. Management believes these non-GAAP financial measures are useful in reviewing and assessing the performance of the Company, and when planning and forecasting future periods, as they provide meaningful operating results by excluding the effects of expenses that are not reflective of its operating business performance.   In addition, the Company’s management uses these non-GAAP financial measures to understand and compare operating results across accounting periods and for financial and operational decision-making.   The presentation of these non-GAAP measures is not intended to be considered in isolation or as a substitute for the financial information prepared in accordance with GAAP. Management believes that investors and analysts benefit from considering non-GAAP financial measures in assessing the Company’s financial results and its ongoing business, as it allows for meaningful comparisons and analysis of trends in the business.   In particular, non-GAAP adjusted EBITDA is used by many investors and analysts themselves, along with other metrics, to compare financial results across accounting periods and to those of peer companies. As there are no standardized methods of calculating non-GAAP financial measures, the Company’s calculations may differ from those used by analysts, investors and other companies, even those within the cannabis industry, and therefore may not be directly comparable to similarly titled measures used by others. Management defines non-GAAP Adjusted EBITDA as income (loss) from operations, determined in accordance with GAAP, excluding the following items: depreciation and amortization of property and equipment; amortization of acquired intangible assets; impairment or write-downs of acquired intangible assets; inventory revaluation; stock-based compensation; severance; legal settlements; and acquisition-related and other expenses. For further information, please refer to the publicly available financial filings available on MariMed's Investor Relations website, as filed with the U.S. Securities and Exchange Commission, or as filed with the Canadian securities regulatory authorities on the SEDAR website. ABOUT MARIMED MariMed Inc. is a leading multi-state cannabis operator, known for developing and managing state-of-the-art cultivation, production, and retail facilities. Our award-winning portfolio of cannabis brands, including Betty's Eddies™, Bubby’s Baked™, Vibations™, InHouse™, and Nature’s Heritage™, sets us apart as an industry leader. These trusted brands, crafted with quality and innovation, are recognized and loved by consumers across the country. With a commitment to excellence, MariMed continues to drive growth and set new standards in the cannabis industry. For additional information, visit www.marimedinc.com. IMPORTANT CAUTION REGARDING FORWARD-LOOKING STATEMENTS The information in this release contains “forward-looking” statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, which are subject to several risks and uncertainties.   All statements other than statements of historical facts contained in this release, including without limitation statements regarding projected financial results for 2025, including anticipated openings of dispensaries and facilities, timing of regulatory approvals, plans and objectives of management for future operations, are forward-looking statements.   Without limiting the foregoing, the words “anticipates”, “believes”, “estimates”, “expects”, “expectations”, “intends”, “may”, “plans”, and other similar language, whether in the negative or affirmative, are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Forward-looking statements are based on our current beliefs and assumptions regarding our business, timing of regulatory approvals, the ability to obtain new licenses, business prospects and strategic growth plan, and other future conditions.   Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict.   Our actual results may differ materially from those contemplated in these forward-looking statements due to various risks, uncertainties, and other important factors, including, among others, reductions in customer spending, our ability to recruit and retain key personnel, and disruptions from the integration efforts of acquired companies. These factors are not intended to be an all-encompassing list of risks and uncertainties that may affect our business and results of operations.   These statements are not a guarantee of future performance and involve risk and uncertainties that are difficult to predict, including, among other factors, changes in demand for the Company’s services and products, changes in the law and its enforcement, and changes in the economic environment.   Additional information regarding these and other factors can be found in our reports filed with the U.S. Securities and Exchange Commission.   In providing these forward-looking statements, the Company expressly disclaims any obligation to update these statements publicly or otherwise, whether as a result of new information, future events or otherwise, except as required by law. All trademarks and service marks are the property of their respective owners. Neither the CSE nor its Regulation Services accepts responsibility for the adequacy or accuracy of this release. For More Information Contact: Howard Schacter, Chief Communications Officer Email: [email protected] Phone: (781) 277-0007   MariMed Inc. Condensed Consolidated Balance Sheets (in thousands) (unaudited)     September 30, 2025   December 31, 2024 Assets       Current assets:       Cash and cash equivalents $ 6,596     $ 7,282   Accounts receivable, net   7,955       8,742   Inventory   40,040       33,488   Deferred rents receivable   —       556   Notes receivable, current portion   866       52   Other current assets   4,636       3,389   Total current assets   60,093       53,509   Property and equipment, net   91,253       94,167   Intangible assets, net   18,019       18,639   Goodwill   22,655       15,812   Notes receivable, net of current portion   —       840   Operating lease right-of-use assets   7,973       8,730   Finance lease right-of-use assets   4,551       4,073   Other assets   1,055       11,219   Total assets $ 205,599     $ 206,989           Liabilities, mezzanine equity and stockholders’ equity       Current liabilities:       Mortgages and notes payable, current portion $ 2,323     $ 5,126   Accounts payable   11,241       13,189   Accrued expenses and other   9,026       4,435   Deferred revenue   1,654       1,329   Income taxes payable   28,133       21,922   Operating lease liabilities, current portion   1,982       1,988   Finance lease liabilities, current portion   2,225       2,018   Total current liabilities   56,584       50,007   Mortgages and notes payable, net of current portion   70,863       69,860   Operating lease liabilities, net of current portion   6,833       7,549   Finance lease liabilities, net of current portion   2,173       1,926   Other liabilities   100       100   Total liabilities   136,553       129,442           Commitments and contingencies               Mezzanine equity       Series B convertible preferred stock   14,725       14,725   Series C convertible preferred stock   —       4,275   Total mezzanine equity   14,725       19,000           Stockholders’ equity       Common stock   394       381   Additional paid-in capital   179,057       173,366   Accumulated deficit   (123,301 )     (113,448 ) Noncontrolling interests   (1,829 )     (1,752 ) Total stockholders’ equity   54,321       58,547   Total liabilities, mezzanine equity and stockholders’ equity $ 205,599     $ 206,989     MariMed Inc. Condensed Consolidated Statements of Operations (in thousands, except percentages and per share amounts) (unaudited)     Three months ended   Nine months ended   September 30,   September 30,     2025       2024       2025       2024                   Revenue $ 40,764     $ 40,595     $ 118,176     $ 118,760   Cost of revenue   24,401       23,813       70,797       68,803   Gross profit   16,363       16,782       47,379       49,957                   Gross margin   40.1 %     41.3 %     40.1 %     42.1 %                 Operating expenses:               Personnel   7,028       7,255       21,761       20,678   Marketing and promotion   1,121       1,827       2,810       5,484   General and administrative   6,592       6,100       19,185       19,044   Acquisition-related and other   145       371       396       805   Bad debt   (122 )     (116 )     1,522       (131 ) Total operating expenses   14,764       15,437       45,674       45,880                   Income from operations   1,599       1,345       1,705       4,077                   Interest and other (expense) income:               Interest expense   (1,825 )     (1,705 )     (5,349 )     (5,058 ) Interest income   25       25       74       76   Other income (expense), net   19       —       36       (50 ) Total interest and other expense, net   (1,781 )     (1,680 )     (5,239 )     (5,032 )                 Loss before income taxes   (182 )     (335 )     (3,534 )     (955 ) Provision for income taxes   2,759       655       6,281       3,211                   Net loss   (2,941 )     (990 )     (9,815 )     (4,166 ) Less: Net income attributable to noncontrolling interests   7       16       38       34   Net loss attributable to common stockholders $ (2,948 )   $ (1,006 )   $ (9,853 )   $ (4,200 )                 Net loss per share attributable to common stockholders:               Basic $ (0.01 )   $ (0.00 )   $ (0.03 )   $ (0.01 ) Diluted $ (0.01 )   $ (0.00 )   $ (0.03 )   $ (0.01 )                 Weighted average common shares outstanding:               Basic   392,613       380,599       388,394       378,449   Diluted   392,613       380,599       388,394       378,449     MariMed Inc. Condensed Consolidated Statements of Cash Flows (in thousands) (unaudited)     Nine months ended   September 30,     2025       2024   Cash flows from operating activities:       Net loss attributable to common stockholders $ (9,853 )   $ (4,200 ) Net income attributable to noncontrolling interests   38       34   Adjustments to reconcile net loss to cash provided by operating activities:       Depreciation and amortization of property and equipment   6,036       5,749   Amortization of intangible assets   2,592       2,065   Stock-based compensation   1,478       772   Amortization of warrants issued as payment for services received   —       218   Amortization of debt discount   339       265   Amortization of debt issuance costs   54       55   Payment-in-kind interest   30       151   Bad debt expense (income)   1,522       (131 ) Obligations settled with common stock   3       7   Loss (gain) on disposal of assets   245       (20 ) Loss on changes in fair value of investments   —       145   Changes in operating assets and liabilities:       Accounts receivable, net   973       9   Deferred rents receivable   12       55   Inventory   (2,933 )     (9,669 ) Other current assets   (270 )     404   Other assets   (2,707 )     1,434   Accounts payable   (2,690 )     4,220   Accrued expenses and other   2,903       2,786   Deferred revenue   283       240   Income taxes payable   6,211       2,609   Net cash provided by operating activities   4,266       7,198           Cash flows from investing activities:       Purchases of property and equipment   (1,134 )     (10,902 ) Business combinations, net of cash acquired, and asset purchases   231       (4,250 ) Advances toward future business combinations and asset purchases   (50 )     —   Purchases and renewals of cannabis licenses   (301 )     (663 ) Proceeds from notes receivable   26       13   Return on investment   —       44   Proceeds from disposal of assets   45       22   Due from third party   —       (197 ) Net cash used in investing activities   (1,183 )     (15,933 )         Cash flows from financing activities:       Proceeds from Construction to Permanent Commercial Real Estate Mortgage Loan   —       5,077   Proceeds from mortgages   2,000       1,163   Payment of third-party debt issuance costs in connection with debt   (9 )     —   Principal payments of mortgages   (1,105 )     (207 ) Repayment and retirement of mortgages   (689 )     —   Principal payments of promissory notes   (2,876 )     (783 ) Principal payments of finance leases   (975 )     (1,252 ) Distributions   (115 )     (120 ) Net cash (used in) provided by financing activities   (3,769 )     3,878           Net decrease in cash and cash equivalents   (686 )     (4,857 ) Cash and equivalents, beginning of year   7,282       14,645   Cash and cash equivalents, end of period $ 6,596     $ 9,788     MariMed Inc. Reconciliation of Non-GAAP and GAAP Financial Measures (in thousands, except percentages) (unaudited)     Three months ended   Nine months ended   September 30,   September 30,     2025       2024       2025       2024   Non-GAAP Adjusted EBITDA               GAAP Income from operations $ 1,599     $ 1,345     $ 1,705     $ 4,077   Depreciation and amortization of property and equipment   2,115       1,803       6,036       5,749   Amortization of acquired intangible assets   674       882       2,592       2,065   Stock-based compensation   382       280       1,478       772   Severance   224       —       224       —   Acquisition-related and other   145       371       396       805   Adjusted EBITDA $ 5,139     $ 4,681     $ 12,431     $ 13,468                   Non-GAAP Adjusted EBITDA Margin (Non-GAAP adjusted EBITDA as a percentage of revenue)               GAAP Income from operations   3.9 %     3.3 %     1.4 %     3.4 % Depreciation and amortization of property and equipment   5.2 %     4.4 %     5.1 %     4.8 % Amortization of acquired intangible assets   1.7 %     2.2 %     2.2 %     1.7 % Stock-based compensation   0.9 %     0.7 %     1.3 %     0.7 % Severance   0.5 %     — %     0.2 %     — % Acquisition-related and other   0.4 %     0.9 %     0.3 %     0.7 % Adjusted EBITDA margin   12.6 %     11.5 %     10.5 %     11.3 % GAAP Gross margin         40.1         %           41.3         %           40.1         %           42.1         % Amortization of acquired intangible assets         1.3         %           1.3         %           1.4         %           0.9         % Non-GAAP Gross margin         41.4         %           42.6         %           41.5         %           43.0         % GAAP Operating expenses $ 14,764     $ 15,437     $ 45,674     $ 45,880   Amortization of acquired intangible assets   (161 )     (360 )     (969 )     (965 ) Stock-based compensation   (382 )     (280 )     (1,478 )     (772 ) Severance   (224 )     —       (224 )     —   Acquisition-related and other   (145 )     (371 )     (396 )     (805 ) Non-GAAP Operating expenses $ 13,852     $ 14,426     $ 42,607     $ 43,338   GAAP Net loss $ (2,941 )   $ (990 )   $ (9,815 )   $ (4,166 ) Amortization of acquired intangible assets   674       882       2,592       2,065   Stock-based compensation   382       280       1,478       772   Severance   224       —       224       —   Acquisition-related and other   145       371       396       805   Non-GAAP net (loss) income $ (1,516 )   $ 543     $ (5,125 )   $ (524 )   MariMed Inc. Supplemental Information Revenue Components (in thousands) (unaudited)     Three months ended   Nine months ended   September 30,   September 30,     2025     2024     2025     2024 Product sales - retail $ 22,573   $ 23,388   $ 65,637   $ 69,151 Product sales - wholesale   18,031     16,310     51,948     46,683 Other revenue   160     897     591     2,926 Total revenue $ 40,764   $ 40,595   $ 118,176   $ 118,760