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Verano Holdings Corp. — Third Quarter 2026 Earnings Summary

VRNO

  • Financial Performance:

    • Q3 2026 net revenues were $212.4 million, a 5% increase year-over-year from $202.8 million in Q3 2025; YTD 2026 revenues were $638.5 million, a 4% increase from $614.9 million in the prior year period.
    • Q3 2026 gross profit was $100.0 million (47% of revenue), compared to $95.2 million (47% of revenue) in Q3 2025; YTD 2026 gross profit was $298.7 million (47% of revenue), down from $307.8 million (50% of revenue) in the prior year period.
    • Q3 2026 SG&A expenses were $84.5 million (40% of revenue), up from $80.6 million (40% of revenue) in Q3 2025; YTD 2026 SG&A expenses were $262.9 million (41% of revenue), up from $251.5 million (41% of revenue) in the prior year period.
    • Q3 2026 net loss was $4.1 million (2% of revenue), a significant improvement from a $43.8 million loss (22% of revenue) in Q3 2025; YTD 2026 net loss was $35.3 million (6% of revenue), compared to a $74.5 million loss (12% of revenue) in the prior year period.
    • Q3 2026 Adjusted EBITDA was $50.4 million (24% of revenue), down from $53.1 million (26% of revenue) in Q3 2025; YTD 2026 Adjusted EBITDA was $150.6 million (24% of revenue), down from $173.7 million (28% of revenue) in the prior year period.
    • Q3 2026 net cash provided by operating activities was $49 million, up from $26 million in Q3 2025; YTD 2026 net cash provided by operating activities was $98 million, up from $39 million in the prior year period.
    • Q3 2026 capital expenditures were $13 million, up from $8 million in Q3 2025; YTD 2026 capital expenditures were $40 million, up from $32 million in the prior year period.
    • As of September 30, 2026, the company held $102.1 million in cash and cash equivalents, $301 million in working capital, and $390 million in total debt (net of issuance costs).

  • Guidance and Future Outlook:

    • The company raised its 2026 capital expenditures guidance range to $54 million to $60 million.
    • Management anticipates an exciting year for the company and the industry in 2027, citing multiple catalysts on the horizon.
    • The company expects to complete several retail and CPG enhancement projects on schedule by year-end 2026.
    • Management highlighted upcoming seasonal products and promotions for the holiday season as drivers for closing 2026 on a high note.

  • Business Segments and Product Lines:

    • The company expanded its Florida retail footprint with the opening of MÜV Bradfordville, its 86th Florida dispensary and 163rd location nationwide.
    • Verano entered the cannabis beverage category with the debut of Easy Landings, its first national beverage brand.
    • Subsequent operational highlights include the opening of Zen Leaf Meriden in a new, enhanced location and the planned opening of Zen Leaf Ephrata in Pennsylvania on October 30, 2026.
    • Current operations span 13 states, comprising 163 dispensaries and 14 production facilities with over 1.1 million square feet of cultivation capacity.

  • Market and Competitive Landscape:

    • The company noted the upcoming launch of retail adult use sales in Virginia as a key market catalyst.
    • Verano positions itself as a leading multi-state cannabis company based on historical revenue, geographic scope, and brand performance.

  • Risks and Challenges:

    • The press release includes standard forward-looking statement warnings regarding risks, uncertainties, and factors that could cause actual results to differ materially from expectations, referencing the company's Form 10-K for the year ended December 31, 2025.
    • Specific risk factors are not detailed in the text beyond the general reference to the Form 10-K.

  • Management Commentary and Tone:

    • George Archos, Founder, Chairman, and CEO, expressed pride in the team's delivery of strong revenue growth, robust retail performance, and the highest level of operating cash flow in four years.
    • Management tone was confident regarding the completion of enhancement projects and the anticipated growth in 2027.

  • Other Key Points:

    • A conference call and webcast with analysts and investors was scheduled for October 29, 2026, at 8:30 a.m. ET.
    • The company reported 72,934,412 outstanding shares of common stock as of September 30, 2026.
    • The company operates under the Zen Leaf™ and MÜV™ dispensary banners and produces products under brands including Savvy™, The Essence™, Swift Lifts™, HYPHEN™, Encore™, Easy Landings™, BITS™, Avexia™, CTPharma™, and Verano™.