Core Viewpoint - MariMed Inc. reported its financial results for Q1 2025, highlighting revenue growth driven by wholesale sales despite challenges in retail performance [1][2]. Financial Performance - Revenue for Q1 2025 was $38.0 million, a slight increase from $37.9 million in Q1 2024 [3]. - GAAP gross margin decreased to 40% from 43% year-over-year, while non-GAAP gross margin fell to 41% from 44% [3]. - The company reported a GAAP net loss of $5.4 million compared to a loss of $1.3 million in the same quarter last year [3]. - Non-GAAP adjusted EBITDA was $2.6 million, down from $4.7 million in Q1 2024, with a margin of 7% compared to 12% [3]. Operational Highlights - MariMed expanded its market presence by selling products into 70 new storefronts, with wholesale sales now accounting for 44% of total revenue [2]. - The company completed the acquisition of First State Compassion Center, enhancing its operational capabilities in Delaware [5][6]. - New product launches included the distribution of Nature's Heritage™ cannabis products in Illinois and the introduction of a new caramel chew under the Betty's Eddies™ brand [11]. Management Commentary - The CEO emphasized the company's commitment to building a leading consumer packaged goods company in the cannabis sector, focusing on brand distribution and operational efficiencies [2]. - The CFO noted that wholesale sales helped mitigate the impact of a weaker retail quarter and highlighted ongoing efforts to manage costs and explore new revenue streams [2]. Revenue Breakdown - Retail product sales were $20.8 million, down from $22.3 million in Q1 2024, while wholesale product sales increased to $16.8 million from $14.5 million [27]. - Other revenue sources contributed $0.4 million, down from $1.1 million in the previous year [27]. Balance Sheet Overview - As of March 31, 2025, total assets were $208.0 million, slightly up from $206.9 million at the end of 2024 [19][20]. - Current liabilities increased to $55.3 million from $48.7 million, reflecting higher accrued expenses and income taxes payable [20]. - Stockholders' equity decreased to $59.2 million from $59.9 million, primarily due to the net loss reported [20]. Future Outlook - The company plans to continue expanding its brand distribution and explore mergers and acquisitions as part of its growth strategy [2]. - Management remains focused on disciplined cost management and operational efficiencies to enhance shareholder value [2].