Maryland’s total cannabis tax revenues for adult use were $17,6 million in the fourth quarter 2024. The tax revenues for the fourth quarter of 2024 are slightly lower than those from the third quarter, which were $18,2 million. In 2024, for the entire year, the state collected $73 million of taxes on $1.14 billion worth of sales.
Maryland Cannabis Administration pays $6.8 millions to the state. This leaves $10.8 for distribution to the various groups required under the law.
Maryland’s MSOs happy with Maryland
Cannabis operators in multistate states seemed satisfied with their results in California, despite a slight decline.
TerrAscend Corp. (OTC: TSNDF) Executive Chairman Jason Wild said on his company’s conference call,
We entered Maryland’s market in 2021 by acquiring a small facility that had negligible revenues. Then, we acquired four dispensaries over the first half 2023. We are very proud that by the end 2024 we will have a revenue run-rate of $70 millions and have achieved sequential growth in revenue and gross margins for each of the four quarters.
Gross profit margins of companies in the state increased from 25 to over 50%.
Wild said: “According to BDSA, we have improved our position in market share from 13th in the 4th quarter of 2020 to 6th in the 4th quarter of 2024.” Now we are just 1.9 points from the number two position in the State and showing the momentum for achieving this goal by 2025.
TerrAscend plans to expand Maryland’s cultivation capacity by 50 percent due to the expected strong growth. The company is “on schedule” for these rooms being operationalized in the first half of this year, and the first harvest will be in late second quarter.
Verano Holdings Corp., (OTC: VRNOF), also commented recently on the business it does in Maryland at its earnings conference. The company stated that its revenue grew as a result of gains made in Maryland’s state market.
“From a retail standpoint, we expect new competitive pressure in the Maryland market following approval of a large number of new licenses,” CFO Brett Summerer said.