Verano Reports Q1 2026 Financial Results

CHICAGO – Verano Holdings Corp. released its financial results for the three months ended March 31, 2026, showing revenue largely in line with recent quarters as the multi-state Cannabis operator managed wholesale pressures while leaning on its retail network.

The company generated revenues net of discounts of $208.2 million in the first quarter. That figure marked a 1% increase from Q4 2025 and a 1% decline from the same period a year earlier. Gross profit came in at $99 million, or about 48% of revenue, compared with $105.7 million in the prior quarter.

Retail sales continued to form the backbone of the business, accounting for roughly two-thirds of total revenue. New store openings in Florida and fresh product launches helped offset softness in the wholesale segment, where competition and promotional activity weighed on pricing. Adjusted EBITDA reached $49 million, representing a margin of approximately 24%.

Verano recorded a net loss attributable to shareholders of $17.8 million in the quarter, wider than the $11.5 million loss in the first quarter of 2025. The increase stemmed in part from a $5.7 million loss tied to the extinguishment of its 2022 credit facility as the company refinanced its debt. It replaced that facility with a new $195 million term loan due in 2029 and expanded a real-estate-backed revolver to $100 million.

Cash flow from operations strengthened to $18.6 million, or roughly $19 million in some summaries, while capital expenditures totaled $15 million. The company ended the period with $74 million in cash and total assets of $1.71 billion.

Alongside the results, Verano’s board authorized a share repurchase program of up to $20 million, covering as much as 5% of its outstanding common stock. The move signals management’s view that shares trade below their value at current levels.

The numbers arrived with limited surprise. Analysts had expected revenue around $206 million, and the company cleared that mark while delivering adjusted EBITDA within a previously discussed range. Management had guided for adjusted EBITDA margins of 24-26% for the quarter, following a 27% margin in Q4 2025.

Verano operates cultivation and retail assets across key limited-license states. Its consumer brands include Encore, Avexia, MUV, Savvy, BITS and Verano, with dispensaries under the Zen Leaf and MUV banners. Retail has consistently delivered steadier performance than wholesale, where third-party competition remains intense.

Verano’s first-quarter print reflects the grind many large players face in 2026. Revenue has held steady near the $200 million mark for several quarters now, with modest sequential gains hard-won through store growth and product innovation rather than broad pricing power. The improved operating cash flow and completed refinancing provide breathing room on the balance sheet, even as one-time debt costs widened the net loss. The new buyback authorization adds a layer of capital return discipline that was less common in earlier years of light-footed expansion.