Vireo Growth Inc. Reports 264% Revenue Increase to $91.7 Million in Latest Quarter

Vireo Growth Inc. reported significant financial growth in its latest quarterly filing, with revenues for the three months ended September 30, 2025, reaching $91.7 million, a 264% increase from $25.2 million in the same period last year. For the nine months ending September 30, 2025, total revenue was $164.3 million, up 121% from $74.4 million in the prior year. The substantial revenue growth is attributed to the completion of several mergers, including those with Deep Roots Holdings, Proper Holdings, and WholesomeCo, which expanded the company's operational footprint and product offerings.

The company's gross profit for the third quarter was $37.4 million, yielding a gross margin of 41%, down from 49% in the previous year. The decrease in gross margin is primarily due to the amortization of non-cash inventory fair value adjustments related to the mergers. Total operating expenses surged to $36.6 million, up from $8.5 million a year earlier, driven by increased transaction costs associated with the mergers and higher stock-based compensation expenses. Despite the increase in revenue, Vireo reported a net loss of $26.3 million for the quarter, compared to a loss of $4.9 million in the same quarter of 2024.

Operationally, Vireo has expanded its retail presence significantly, operating 36 dispensaries across six states, including Maryland, Minnesota, Missouri, Nevada, New York, and Utah. The company reported a notable increase in retail revenue, which accounted for 83% of total revenue in the latest quarter, compared to 78% in the previous year. The merger activity has also led to a diversification of revenue sources, with wholesale sales contributing 17% of total revenue, up from 22% in the prior year.

In terms of strategic developments, Vireo's mergers have resulted in a substantial increase in its asset base, with total assets rising to $678.9 million as of September 30, 2025, compared to $278.9 million at the end of 2024. The company has also increased its employee headcount significantly, reflecting its expanded operations. Looking ahead, Vireo Growth anticipates continued revenue growth driven by its expanded market presence and product offerings, although it acknowledges the challenges posed by the regulatory environment and market conditions in the cannabis industry. The company remains focused on leveraging its recent acquisitions to enhance operational efficiencies and drive long-term value for shareholders.