This Cannabis Co. Expects Significant Growth Once Ohio's Retail Market Launches, Reports Slight YoY Decrease In 2023 Revenue

Author: Jelena Martinovic | May 10, 2024 09:31am

Vext Science, Inc. (CSE:VEXT) (OTCQX:VEXTF), which runs vertical cannabis operations in Arizona and Ohio, reported its financial results on Friday for the period ended Dec. 31, 2023.

Revenue for 2023 slightly dropped year-over-year to $34.8 million from $35.4 million in 2022. Fourth quarter revenue grew year-year to $8.4 million, from $8.1 million in the prior year's quarter.

“Despite sustained pressure on the consumer and ongoing market-specific challenges in Arizona, Vext continued to perform better than the market during Q4, and completed initiatives that will prepare it for growth in Ohio as that market transitions to adult-use in 2024," Eric Offenberger, CEO of Vext said. "During the year, we enhanced our balance sheet flexibility, positioned our Arizona operations strongly for long-term profitability, and built out our footprint in Ohio, exiting the year with a Tier 1 cultivation operation, manufacturing operations, one consolidated dispensary, one additional dispensary that closed in Q1 2024, and two more dispensaries slated to close by the end of 2024.”

See also: Cannabis Company’s Plan To Expand Operations In Ohio, A $10M Private Placement

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FY 2023 Financial Highlights

• Net Income after taxes totaled $4.4 million, down from $10.9 million in fiscal 2022.
• Adjusted EBITDA came in positive at $5.5 million, down from $15.1 million in the prior year.
• Adjusted EBITDA margin was 16% compared to 43% in 2022.

Q4 2023 Financial Highlights

• Net Income after taxes totaled $5.6 million, down from $6.3 million in the fourth quarter of 2022.
• Adjusted EBITDA came in positive at $550,621 compared to an adjusted EBITDA gain of $3.2 million in the corresponding quarter of 2022.
• Adjusted EBITDA margin was 7%, compared to 39% in the prior year's period.

Now read: Cannabis Co. Vext Announces Debt Conversion, Opens Door To 27 Million Shares For Investors

VEXTF Price Action

Vext Science's shares traded 4.47% higher at $0.2056 per share after the market close on Thursday.

Posted In: CSE:VEXT VEXTF