IM Cannabis (US:IMCC) Prnewswireยท2025-03-31 12:39Core Insights - IM Cannabis Corp. reported a 25% increase in Q4 2024 revenue compared to Q4 2023, with total revenues for 2024 reaching CAD 54.0 million, an 11% annual increase [6][7] - The company achieved a positive adjusted EBITDA of CAD 0.5 million in Q4 2024, a significant improvement from a loss of CAD 4.3 million in Q4 2023 [6][7] - Operating expenses decreased by 42% in Q4 2024 compared to Q4 2023, contributing to improved financial performance [6][7] Financial Performance - Q4 2024 revenue was CAD 13.3 million, up from CAD 10.7 million in Q4 2023, driven by a 183% increase in revenue from Germany [6][7] - Annual revenue for 2024 was CAD 54.0 million, compared to CAD 48.8 million in 2023, with a notable increase in German revenue contributing CAD 15.5 million [6][7] - Gross profit for 2024 was CAD 8.5 million, down from CAD 9.8 million in 2023, primarily due to a one-time inventory clearance of approximately CAD 3.8 million [7] Cost Management - General and administrative expenses decreased by 27% in 2024, totaling CAD 8.0 million compared to CAD 11.0 million in 2023 [7] - Selling and marketing expenses also saw a reduction of 34%, amounting to CAD 7.1 million in 2024 [7] - Total operating expenses for 2024 were CAD 18.7 million, down from CAD 22.6 million in 2023, reflecting effective cost management strategies [7] Operational Highlights - The company reported a significant reduction in net losses, with a net loss from continuing operations of CAD 11.8 million in 2024, compared to CAD 10.2 million in 2023 [7] - The cancellation of the Oranim deal negatively impacted revenue by approximately CAD 8.5 million, particularly affecting operations in Israel [7] - Cash and cash equivalents as of December 31, 2024, were CAD 0.9 million, down from CAD 1.8 million in the previous year [7] Future Outlook - The CEO expressed optimism for Q1 2025, anticipating it to be the best quarter in sales to date in Germany, supported by operational efficiencies and inventory clearance benefits [3][6] - The company aims to leverage its strategic and operational improvements to achieve sustainable growth in its key markets, particularly in Germany and Israel [3][12]