LOS ANGELES- IM Cannabis Corp has reported a 25% increase in revenue for the fourth quarter of 2024, reaching €13.3 million, compared to the same period in the previous year. This growth is largely attributed to the company’s strategic focus on the German market, where sales surged by 183% during 2024, totaling $15.5 million, up from $5.5 million in 2023.
The German market’s contribution to IM Cannabis’s total revenue increased significantly, accounting for 40% in the second half of 2024, up from 11% in 2023. This expansion follows Germany’s partial legalization of cannabis on April 1, 2024, which facilitated greater patient access to medical cannabis prescriptions.
In addition to revenue growth, IM Cannabis achieved a positive adjusted EBITDA of €500,000 in Q4 2024, marking an improvement from a loss of €4.3 million in the same quarter of the previous year. The company also reported a 17% reduction in operating expenses for the year, reflecting efforts to enhance operational efficiency.
Despite these advancements, IM Cannabis faced challenges in the Israeli market, where revenues declined by approximately $4.8 million in 2024. The company attributes this decrease to the cancellation of the Oranim agreement, which had previously contributed significantly to Israeli revenues.
Looking ahead, IM Cannabis plans to maintain its growth trajectory in Germany throughout 2025, with expectations of achieving its best sales quarter in Germany to date in Q1 2025. The company intends to continue optimizing its operational structure to support this growth. However, it does not anticipate significant growth in the Israeli market.
CEO Oren Schuster commented on the company’s progress, stating, “We now have a solid foundation, which is the right size to build on in 2025.”
