Vext Delivers Solid Q4 Financial Results - Turning Point as Ohio Operations Gain Momentum
Vext Science (VEXTF) reported strong Q4 2024 financial results, marking its strongest operating quarter in recent years. Revenue reached $10.2 million in Q4 2024, up 13% quarter-over-quarter, driven by Ohio adult-use sales and Arizona operations. Adjusted EBITDA grew significantly to $3.2 million (compared to $0.5 million in Q4 2023), while cash flow from operations turned positive at $4 million.
The company received approval from Ohio's Division of Cannabis Control to acquire Big Perm dispensaries in Athens and Jeffersonville. This expansion will double Vext's Ohio retail footprint to four locations. Additionally, Vext secured a provisional license for a fifth dispensary in Portsmouth, Ohio, expected to open in Q2/Q3 2025. The company aims to reach Ohio's dispensary license cap of eight locations by early 2026.
In Arizona, despite a 25% decline in statewide per-store sales, Vext maintained market share through effective retail traffic management and improved yields at its Eloy cultivation facility.
Vext Science (VEXTF) ha riportato risultati finanziari solidi per il quarto trimestre del 2024, segnando il suo miglior trimestre operativo degli ultimi anni. I ricavi hanno raggiunto 10,2 milioni di dollari nel Q4 2024, con un aumento del 13% rispetto al trimestre precedente, grazie alle vendite per uso adulto in Ohio e alle operazioni in Arizona. L'EBITDA rettificato è cresciuto significativamente a 3,2 milioni di dollari (rispetto a 0,5 milioni di dollari nel Q4 2023), mentre il flusso di cassa dalle operazioni è diventato positivo a 4 milioni di dollari.
L'azienda ha ricevuto l'approvazione dalla Divisione di Controllo della Cannabis dell'Ohio per acquisire i dispensari Big Perm ad Atene e Jeffersonville. Questa espansione raddoppierà la presenza al dettaglio di Vext in Ohio, portandola a quattro sedi. Inoltre, Vext ha ottenuto una licenza provvisoria per un quinto dispensario a Portsmouth, Ohio, previsto per l'apertura nel secondo o terzo trimestre del 2025. L'azienda punta a raggiungere il limite di licenze per dispensari dell'Ohio di otto sedi entro l'inizio del 2026.
In Arizona, nonostante un calo del 25% nelle vendite per negozio a livello statale, Vext ha mantenuto la quota di mercato grazie a una gestione efficace del traffico al dettaglio e a rendimenti migliorati presso il suo impianto di coltivazione di Eloy.
Vext Science (VEXTF) reportó sólidos resultados financieros para el cuarto trimestre de 2024, marcando su mejor trimestre operativo en los últimos años. Los ingresos alcanzaron 10,2 millones de dólares en el Q4 2024, un aumento del 13% en comparación con el trimestre anterior, impulsados por las ventas de uso adulto en Ohio y las operaciones en Arizona. El EBITDA ajustado creció significativamente a 3,2 millones de dólares (en comparación con 0,5 millones de dólares en el Q4 2023), mientras que el flujo de efectivo de las operaciones se volvió positivo con 4 millones de dólares.
La empresa recibió la aprobación de la División de Control de Cannabis de Ohio para adquirir los dispensarios Big Perm en Athens y Jeffersonville. Esta expansión duplicará la huella minorista de Vext en Ohio a cuatro ubicaciones. Además, Vext aseguró una licencia provisional para un quinto dispensario en Portsmouth, Ohio, que se espera abrir en el segundo o tercer trimestre de 2025. La empresa tiene como objetivo alcanzar el límite de licencias de dispensarios de Ohio de ocho ubicaciones para principios de 2026.
En Arizona, a pesar de una disminución del 25% en las ventas por tienda a nivel estatal, Vext mantuvo su cuota de mercado a través de una gestión efectiva del tráfico minorista y mejores rendimientos en su instalación de cultivo en Eloy.
Vext Science (VEXTF)는 2024년 4분기 강력한 재무 결과를 보고하며 최근 몇 년간 가장 강력한 운영 분기를 기록했습니다. 2024년 4분기 수익은 1020만 달러에 달하며, 전 분기 대비 13% 증가했으며, 이는 오하이오의 성인용 판매와 애리조나의 운영에 힘입은 것입니다. 조정된 EBITDA는 320만 달러로 크게 성장했으며(2023년 4분기에는 50만 달러), 운영으로부터의 현금 흐름은 400만 달러로 긍정적인 전환을 이루었습니다.
회사는 오하이오의 대마초 통제국으로부터 아테네와 제퍼슨빌에 있는 Big Perm 약국을 인수할 수 있는 승인을 받았습니다. 이 확장은 Vext의 오하이오 소매 점포를 네 곳으로 두 배로 늘릴 것입니다. 또한, Vext는 오하이오 포츠머스에 다섯 번째 약국에 대한 임시 라이센스를 확보했으며, 이는 2025년 2분기 또는 3분기에 개장할 예정입니다. 회사는 2026년 초까지 오하이오의 약국 라이센스 한도인 여덟 개의 위치에 도달하는 것을 목표로 하고 있습니다.
애리조나에서는 주 전역의 매장당 판매가 25% 감소했음에도 불구하고, Vext는 효과적인 소매 트래픽 관리와 Eloy 재배 시설에서의 개선된 수확량을 통해 시장 점유율을 유지했습니다.
Vext Science (VEXTF) a annoncé de solides résultats financiers pour le quatrième trimestre 2024, marquant son meilleur trimestre opérationnel depuis plusieurs années. Les revenus ont atteint 10,2 millions de dollars au T4 2024, en hausse de 13 % par rapport au trimestre précédent, grâce aux ventes pour usage adulte dans l'Ohio et aux opérations en Arizona. Le BAIIA ajusté a considérablement augmenté à 3,2 millions de dollars (contre 0,5 million de dollars au T4 2023), tandis que le flux de trésorerie des opérations est devenu positif à 4 millions de dollars.
L'entreprise a obtenu l'approbation de la Division du Contrôle du Cannabis de l'Ohio pour acquérir les dispensaires Big Perm à Athens et Jeffersonville. Cette expansion doublera l'empreinte de vente au détail de Vext dans l'Ohio à quatre emplacements. De plus, Vext a obtenu une licence provisoire pour un cinquième dispensaire à Portsmouth, Ohio, qui devrait ouvrir au deuxième ou troisième trimestre de 2025. L'entreprise vise à atteindre le plafond de licences de dispensaires de l'Ohio de huit emplacements d'ici début 2026.
En Arizona, malgré une baisse de 25 % des ventes par magasin à l'échelle de l'État, Vext a maintenu sa part de marché grâce à une gestion efficace du trafic de détail et à des rendements améliorés dans son installation de culture à Eloy.
Vext Science (VEXTF) hat starke Finanzzahlen für das vierte Quartal 2024 gemeldet und damit das beste operative Quartal der letzten Jahre erreicht. Der Umsatz belief sich im Q4 2024 auf 10,2 Millionen Dollar, was einem Anstieg von 13% im Vergleich zum Vorquartal entspricht, angetrieben durch den Verkauf von Freizeit-Cannabis in Ohio und den Betrieb in Arizona. Das bereinigte EBITDA wuchs erheblich auf 3,2 Millionen Dollar (im Vergleich zu 0,5 Millionen Dollar im Q4 2023), während der Cashflow aus dem operativen Geschäft mit 4 Millionen Dollar positiv wurde.
Das Unternehmen erhielt die Genehmigung der Cannabis-Kontrollbehörde von Ohio, um die Big Perm-Apotheken in Athens und Jeffersonville zu übernehmen. Diese Expansion wird die Einzelhandelspräsenz von Vext in Ohio auf vier Standorte verdoppeln. Darüber hinaus sicherte sich Vext eine vorläufige Lizenz für eine fünfte Apotheke in Portsmouth, Ohio, die voraussichtlich im 2. oder 3. Quartal 2025 eröffnet wird. Das Unternehmen hat sich zum Ziel gesetzt, die Lizenzobergrenze für Apotheken in Ohio von acht Standorten bis Anfang 2026 zu erreichen.
In Arizona, trotz eines Rückgangs von 25% beim Umsatz pro Geschäft im Bundesstaat, konnte Vext seinen Marktanteil durch effektives Management des Einzelhandelsverkehrs und verbesserte Erträge in seiner Anbauanlage in Eloy halten.
- Revenue grew 13% QoQ to $10.2 million in Q4 2024
- Adjusted EBITDA increased significantly to $3.2 million from $0.5 million YoY
- Cash flow from operations turned positive at $4 million in Q4 2024
- Ohio retail locations showed 40% sequential growth
- Secured approval for expansion to 4 Ohio dispensaries with path to 8 locations
- Arizona market faced 25% decline in statewide per-store sales
- Challenging consumer environment affecting overall market conditions
- Q4 2024 marked Vext's strongest operating quarter in recent years, with growth across revenue, adjusted EBITDA, and cash flow.
- Revenue of
$10.2 million in Q4 2024 (+13% QoQ), driven by Ohio adult-use sales and continued execution in Arizona. - Adjusted EBITDA1 of
$3.2 million in Q4 2024 (vs.$0.5 million in Q4 2023), reflecting profitability expansion as Ohio scaled, supported by operating leverage, continued efficiency, and disciplined cost control. - Cash flow from operations turned positive in Q4 2024, reaching
$4 million (vs. -$0.7 million YTD at Q3 2024). - Secured approval from the Ohio Division of Cannabis Control ("DCC") to complete the previously announced acquisition of Big Perm dispensaries in Athens and Jeffersonville.
- On track to reach Ohio's dispensary license cap of eight (8) by early 2026, pending completion of ongoing transactions and additional licensing under the DCC's 10(B) license program.
Vancouver, British Columbia--(Newsfile Corp. - March 31, 2025) - Vext Science, Inc. (CSE: VEXT) (OTCQX: VEXTF) ("VEXT" or the "Company") a U.S.-based cannabis operator with vertical operations in Arizona and Ohio, today reported its financial results for the period ended December 31, 2024. All currency references used in this news release are in U.S. currency unless otherwise noted.
Summary Financial Results
| FY 2024 | FY 2023 | Q4 2024 | Q4 2023 | Q3 2024 | |||||||||||
| Revenue | $ | 35,997,581 | $ | 34,812,310 | $ | 10,193,721 | $ | 8,415,253 | $ | 8,986,909 | |||||
| EBITDA1 | $ | (2,611,926 | ) | $ | 16,582,561 | $ | (2,422,054 | ) | $ | 12,275,213 | $ | 1,924,664 | |||
| Adjusted EBITDA1 | $ | 9,152,776 | $ | 5,527,605 | $ | 3,238,448 | $ | 550,621 | $ | 2,873,020 | |||||
| Adjusted EBITDA Margin (%)1 |
Management Commentary
Eric Offenberger, CEO of Vext, commented, "2024 was a pivotal year for Vext, as we successfully executed our strategy and delivered strong growth despite a challenging consumer environment. The launch of Ohio's adult-use market marked an inflection point, and we are already seeing the benefits from our investments in the state, with Q4 2024 revenue growing
"As we move into 2025, our focus remains on driving free cash flow, reducing debt, and maximizing shareholder value. Today's regulatory approval puts us on track to double our current retail footprint in Ohio and reach the state cap of eight (8) dispensaries by early 2026. Alongside continued optimization in Arizona, we are well-positioned to grow market share and drive long-term profitability," added Mr. Offenberger.
Announces Regulatory Approval for the Completion of Ohio Expansion Transaction, Doubling Ohio Retail Footprint
The Company announced today that it has received approval from the Ohio Division of Cannabis Control to complete the previously announced acquisition of two cannabis dispensaries from Big Perm's Dispensary Ohio, LLC ("Big Perm"), together with all related licenses and assets, other than certain excluded assets (the "Ohio Expansion Transaction").
Upon completion of the Ohio Expansion Transaction, Vext will operate four dispensaries in the State of Ohio, adding dispensaries in Athens and Jeffersonville to its existing locations in Jackson and Columbus. Closing of the Ohio Expansion Transaction is expected to occur imminently.
Summary of Recent Announcements
- On December 11, 2024, the Company announced that it had been granted a provisional license by the DCC for a cannabis dispensary in Portsmouth, Ohio. This marks Vext's fifth Ohio dispensary (assuming completion of the Ohio Expansion Transaction) and is expected to commence operations in Q2 or Q3 of 2025, pending regulatory approvals.
- Subsequent to the quarter and year-end, on February 13, 2025, Vext announced the relocation and expansion of its Herbal Wellness Center dispensary in Jackson, Ohio.
Q4 and Fiscal 2024 Financial Results Conference Call
The Company will host a conference call and webcast on Monday, March 31, 2025, at 08:00 a.m. ET to discuss the financial results for the fourth quarter and full year 2024.
Date: March 31, 2025 | Time: 8:00 am E.T.
Participant Dial-in: +1-647-849-3159 or 1-833-752-3966
Replay Dial-in: +1-412-317-0088 or 1-855-669-9658
Conference ID: 10197749
Playback #: 5786741 (Expires on April 14, 2025)
Listen to webcast: https://www.gowebcasting.com/13994
For more details, visit Vext's investor website or contact the IR team at investors@vextscience.com.
Non-IFRS Financial Measures
This news release contains certain "non-IFRS financial measures" (equivalent to "non-GAAP financial measures", as such term is defined in National Instrument 52-112 - Non-GAAP and Other Financial Measures Disclosure ("NI 52-112")), "non-IFRS ratios" (equivalent to "non-GAAP ratios", as such term is defined in NI 52-112), including "EBITDA", "Adjusted EBITDA" and "Adjusted EBITDA margin". These financial measures do not have a standardized definition under IFRS, nor are they calculated or presented in accordance with IFRS and may not be comparable to similar measures presented by other companies. The Company defines EBITDA as earnings before interest, taxes, depreciation and amortization. The Company defines "Adjusted EBITDA" as net income (loss) from operations, as reported, before interest and tax, adjusted to exclude extraordinary items, non-recurring items, other non-cash items, including stock-based compensation expense, depreciation and amortization, foreign exchange and acquisition related costs, if applicable. The Company defines "Adjusted EBITDA margin" as Adjusted EBITDA divided by Revenue.
The Company has provided these financial measures as supplemental information and in addition to the financial measures that are calculated and presented in accordance with IFRS. The Company believes that these supplemental financial measures provide a valuable additional measure to use when analyzing the operating performance of the business. These supplemental financial measures should not be considered superior to, as a substitute for or as an alternative to, and should only be considered in conjunction with, the IFRS financial measures presented herein.
The following information provides reconciliations of the non-IFRS financial measures presented herein to the most directly comparable financial measures calculated and presented in accordance with IFRS.
| FY 2024 | FY 2023 | Q4 2024 | Q4 2023 | Q3 2024 | |||||||||||
| Revenue | $ | 35,997,581 | $ | 34,812,310 | $ | 10,193,721 | $ | 8,415,253 | $ | 8,986,909 | |||||
| Net Income after taxes | $ | (22,435,177 | ) | $ | 4,398,447 | $ | (9,214,962 | ) | $ | 5,628,139 | $ | (2,496,768 | ) | ||
| Interest (Net) | 3,330,520 | 3,654,413 | 901,410 | 826,062 | 826,598 | ||||||||||
| Income Taxes | 1,312,994 | (1,035,704 | ) | 2,019,604 | 2,310,796 | (238,844 | ) | ||||||||
| Depreciation & Amortization | 15,179,737 | 9,565,404 | 3,871,894 | 3,510,216 | 3,833,678 | ||||||||||
| EBITDA | $ | (2,611,926 | ) | $ | 16,582,560 | $ | (2,422,054 | ) | $ | 12,275,213 | $ | 1,924,664 | |||
| Accretion | 373,953 | (19,002 | ) | 373,953 | (989 | ) | - | ||||||||
| Share (Profit) / Loss on JVs | 3,650,904 | 87,551 | 3,248,283 | (65,285 | ) | 121,335 | |||||||||
| Share-based compensation | 695,507 | 384,611 | 55,662 | 111,794 | 392,912 | ||||||||||
| (Gain)/Loss on Asset Disposal | 146,654 | 800,154 | 143,298 | 800,154 | 1,912 | ||||||||||
| Loan costs WPCU loan | - | 742,378 | - | - | - | ||||||||||
| FV of WPCU loan | 650,876 | 2,171,313 | (317,930 | ) | 1,634,445 | 612,086 | |||||||||
| Loan costs EWB amortized | 177,687 | 288,775 | 44,287 | 155,068 | 44,287 | ||||||||||
| FV of APP1803 option | 2,022,211 | 2,633,784 | - | 2,633,784 | - | ||||||||||
| RSU Taxes | 181,465 | 88,162 | 177,266 | 3,789 | - | ||||||||||
| Foreign Exchange | (175 | ) | 5,365 | 1,294 | 1,881 | - | |||||||||
| ERC tax credit | (445 | ) | (1,680,793 | ) | - | - | (445 | ) | |||||||
| Change in FV of Biological | 2,543,143 | 1,649,532 | 1,934,389 | 1,207,553 | (223,731 | ) | |||||||||
| FV increment on acquired inventory sold | 1,322,922 | - | - | - | - | ||||||||||
| Gain on acquisition of control and bargain purchase | - | (20,550,163 | ) | - | (20,550,163 | ) | - | ||||||||
| Reserves on Notes Receivable and Investments in Joint Operations | - | 1,403,377 | - | 1,403,377 | - | ||||||||||
| Executive Chairman Severance | - | 940,000 | - | 940,000 | - | ||||||||||
| Adjusted EBITDA | $ | 9,152,776 | $ | 5,527,604 | $ | 3,238,448 | $ | 550,621 | $ | 2,873,020 | |||||
| Adjusted EBITDA Margin (%)1 |
About VEXT Science, Inc.
Vext Science, Inc. is a U.S.-based cannabis operator with vertical operations in Arizona and Ohio. Vext's expertise spans from cultivation through to retail operations in its key markets. Based out of Arizona, Vext owns and operates state-of-the-art cultivation facilities, fully built-out manufacturing facilities as well as dispensaries in both Arizona and Ohio. The Company manufactures Vapen™, one of the leading THC concentrates, edibles, and distillate cartridge brands in Arizona. Its selection of award-winning products are created with Vext's in-house, high-quality flower and distributed across Arizona and Ohio. Vext's leadership team brings a proven track record of building and operating profitable multi-state operations. The Company's primary focus is to continue growing in its core states of Arizona and Ohio, bringing together cutting-edge science, manufacturing, and marketing to provide a reliable and valuable customer experience while generating shareholder value.
Vext Science, Inc. is listed on the Canadian Securities Exchange under the symbol VEXT and trades on the OTCQX market under the symbol VEXTF. Learn more at www.vextscience.com and connect with Vext on Twitter/X and LinkedIn.
For more details on the Vapen brand:
Vapen website: VapenBrands.com
Instagram: @vapen
Facebook: @vapenbrands
Forward Looking Statements
Statements in this news release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed here and elsewhere in Vext's periodic filings with Canadian securities regulators. When used in this news release, words such as "will, could, plan, estimate, expect, intend, may, potential, believe, should," and similar expressions, are forward-looking statements.
Forward-looking statements may include, without limitation, statements regarding future developments and the business and operations of Vext, including but not limited to the Company's transition to serve both the medical and adult-use markets in Ohio and the anticipated results therefrom, market projections of the cannabis industry in the jurisdictions in which the Company operates, and statements about the timing and completion of the Ohio Expansion Transaction, the acquisition of additional licenses and the opening of additional dispensaries in Ohio, all of which are subject to the risk factors contained in Vext's continuous disclosure filed on SEDAR+ at www.sedarplus.ca.
Although Vext has attempted to identify important factors that could cause actual results, performance or achievements to differ materially from those contained in the forward-looking statements, there can be other factors that cause results, performance or achievements not to be as anticipated, estimated or intended, including, but not limited to: dependence on obtaining regulatory approvals; being engaged in activities currently considered illegal under U.S. Federal laws; change in laws; reliance on management; requirements for additional financing; competition; hindered market growth and state adoption due to inconsistent public opinion and perception of the medical-use and adult-use marijuana industry; and regulatory or political change.
There can be no assurance that such information will prove to be accurate or that management's expectations or estimates of future developments, circumstances or results will materialize. Because of these risks and uncertainties, the results or events predicted in these forward-looking statements may differ materially from actual results or events.
Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking statements in this news release are made as of the date of this release. Vext disclaims any intention or obligation to update or revise such information, except as required by applicable law, and Vext does not assume any liability for disclosure relating to any other company mentioned herein.
The Canadian Securities Exchange has not reviewed, approved or disapproved the content of this news release.
Eric Offenberger
Chief Executive Officer
844-211-3725
For further information:
Jonathan Ross, Vext Investor Relations
jon.ross@loderockadvisors.com
416-244-9851
SOURCE: Vext Science, Inc.
1 See "Non-IFRS Financial Measures" below for more information regarding Vext's use of non-IFRS financial measures and other reconciliations.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/246654
FAQ
What was Vext's (VEXTF) revenue growth in Q4 2024?
How many dispensaries will VEXTF operate in Ohio after the Big Perm acquisition?
What was VEXTF's Q4 2024 Adjusted EBITDA compared to Q4 2023?
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What is VEXTF's target for total dispensaries in Ohio by 2026?
