Planet 13 Holdings Reports Q2 2025 Revenue Decline and Increased Net Loss

Planet 13 Holdings Inc. reported its financial results for the second quarter of 2025, revealing a net revenue of $26.9 million, a decrease of 13.6% from $31.1 million in the same period last year. For the first half of 2025, the company achieved revenues of $54.9 million, reflecting a slight increase of 1.7% compared to $54.0 million in the first half of 2024. The decline in quarterly revenue was attributed to price compression across all markets and a reduction in customer traffic at its flagship Las Vegas Superstore, which was impacted by decreased tourism and disposable income among local customers.

The company's gross profit for the second quarter was $11.7 million, resulting in a gross profit margin of 43.4%, down from 50.9% in the prior year. For the six months ended June 30, 2025, gross profit totaled $23.7 million, with a margin of 43.1%, compared to 48.8% in the same period of 2024. The increase in cost of goods sold, which rose to $15.2 million for the quarter and $31.2 million for the half-year, was primarily driven by ongoing operational costs and pricing pressures in the retail and wholesale markets.

In terms of operational developments, Planet 13's employee count stood at approximately 785 full-time and 71 part-time employees as of June 30, 2025. The company continues to expand its footprint, particularly in Florida, where it operates 32 medical dispensaries following the acquisition of VidaCann, which contributed $17.7 million in net revenue during the first half of 2025. The company has also entered into leases for additional dispensary locations in Florida, pending regulatory inspections.

The financial report highlighted a significant increase in general and administrative expenses, which rose by 24% to $27.7 million for the first half of 2025, largely due to the integration of VidaCann's operations and increased share-based compensation. The company reported a net loss of $13.3 million for the second quarter, compared to a loss of $8.1 million in the same period last year, and a total net loss of $15.3 million for the first half of 2025, up from $13.9 million in the prior year.

Looking ahead, Planet 13 remains focused on enhancing customer experience and expanding its product offerings while navigating a competitive landscape. The company plans to continue monitoring market conditions and customer trends to adapt its strategies accordingly. Despite the challenges, management believes it has sufficient liquidity to support its operations and expansion plans over the next 12 months, bolstered by ongoing sales efforts and potential property sales expected to generate additional capital.