Green Thumb Industries Reports Q3 2025 Financial Results

CHICAGO – Green Thumb Industries released third-quarter earnings that reflected a narrow sales increase alongside deepening price cuts in established markets.

The company posted $291.4 million in revenue for the period, a 1.6% rise from the year-earlier figure, falling just shy of Wall Street’s $296 million forecast. That growth stemmed largely from an 8% jump in CPG sales, fueled by new adult-use launches in New York and Ohio. Retail revenue, however, dipped 1%, hit by softer prices in Illinois, Pennsylvania, and New Jersey, even as Minnesota’s recreational rollout provided some offset. Comparable store sales at its 93 mature locations fell 7.1%.

Profit margins took a hit too. Gross profit came in at $144 million, or 49.4% of revenue, down from 51.4% a year ago, as lower wholesale prices eroded efficiencies. Selling, general, and administrative costs edged up to $107.3 million, or 36.8% of sales, tied to new store openings.

A $13.6 million gain from selling intellectual property rights to RYTHM Inc. in August lifted GAAP net income to $23.3 million, or 10 cents per share, well above the 3-cent consensus estimate on an adjusted basis. Stripping out that one-off, earnings per share landed at 4 cents, matching last year’s mark. Adjusted EBITDA held at $80.2 million, or 27.5% of revenue, off from 31.1% in the prior quarter. Operating cash flow remained robust at $74.1 million.

CEO Ben Kovler highlighted the firm’s $226 million cash pile and four-year debt runway as buffers against federal tax burdens and capital constraints under Section 280E. The company has bought back $107 million in shares since late 2023 at an average of $7.95 apiece, trimming outstanding shares by 13.5 million. A fresh $50 million authorization runs through next September.

On the operations front, Green Thumb flipped all eight Minnesota dispensaries to adult-use by late October, tapping into pent-up demand despite supply caps. President Anthony Georgiadis noted gains in branded market share across several states and pointed to Virginia’s election outcome as a potential path to recreational sales in 2026. The firm anticipates flat to low-single-digit sequential revenue growth in the fourth quarter.

For GTI, these figures paint a picture of resilience in a squeezed market: steady cash generation funds buybacks and bets on THC expansion, even as pricing headwinds cap near-term upside. As adult-use doors open wider, the company’s focus on branded products could steady the ship, though broader reform remains the wildcard for unlocking scale.