Red Light Holland Reports 2025 Audited Year-End Results - Demonstrates Continued Fiscal Discipline, Strategic Growth, and Psilocybin R&D Expansion

Core Insights - Red Light Holland Corp. reported its audited year-end results for fiscal year 2025, highlighting continued fiscal discipline, strategic growth, and expansion in psilocybin research and development [1][4]. Financial Performance - Total cash balance decreased to $12.838 million in 2025 from $14.372 million in 2024, a decline of $1.534 million [5]. - Revenue increased to $4.944 million in 2025, up by $0.192 million or 4.05% from $4.752 million in 2024 [5]. - Gross profit fell to $1.913 million in 2025, down by $0.107 million or 5.31% from $2.020 million in 2024 [5]. - EBITDA loss significantly reduced to $3.354 million in 2025, a decrease of $3.228 million or 49.04% from $6.582 million in 2024 [5]. - Adjusted EBITDA loss also decreased to $2.532 million in 2025, down by $0.779 million or 23.54% from $3.311 million in 2024 [5]. - Total assets decreased to $21.221 million in 2025 from $24.084 million in 2024, a decline of $2.863 million [5]. Strategic and Operational Achievements - The company has established meaningful partnerships, including a successful wholesale operation and re-orders of Happy Caps mushroom home grow kits from Costco Canada [4][11]. - Entry into the U.S. retail market through Albertsons with Happy Caps products [11]. - Launched Health Canada-approved Functional Mushroom Gummies available on Amazon [11]. - Nearly all operating subsidiaries were cash-positive in FY 2025, excluding non-cash and corporate costs [11]. - Successful shipment of psilocybin raw materials to Irvine Labs in California for the development of microdosing capsules [11]. - Collaboration with Arizona State University on the Psychedelic Genome Project to understand psilocybin response [11]. - Appointment of Dr. Robin Carhart-Harris as a scientific advisor to guide R&D and regulatory pathways [11]. Challenges and Turnarounds - The company faced macro challenges, including a dip in Dutch tourism and banking issues in Canada, but maintained a resilient business model [4][11]. - Experienced a temporary decline in shiitake production at AEM New Brunswick, but recent weeks showed recovery [11]. - AEM Ontario project faced unexpected debanking issues, leading to halted construction financing [11]. Future Outlook - The company remains optimistic about future growth, focusing on fiscal responsibility, innovative psilocybin research, and a diversified foundation including a Bitcoin balance sheet strategy [13].