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Vireo Growth (CSE: VREO) (OTCQX: VREOF) reported record revenue for fiscal 2024, exceeding analysts’ expectations, and boosted its cash pile to fuel what executives call a “transformational” 2025 fueled by pending mergers and the anticipated launch of adult-use cannabis sales in Minnesota.

The Minneapolis-based cannabis company announced Tuesday that its fourth-quarter revenue totaled $25 million, topping the $23.9 million Yahoo Finance average analyst estimate. The quarterly revenue  figure was 3.5% higher than the same period a year ago.

For the full year, Vireo reported annual revenue of $99.4 million, which came in below the Yahoo’s $102.4 million average estimate. It was still a 15.4% increase in annual revenue (excluding discontinued operations).

The company widened its net loss to $28 million for fiscal year 2024, from the $25.5 million loss in 2023. For the fourth quarter, Vireo posted a net loss of $15.7 million, significantly higher than the $4.6 million loss in the same period of 2023.

The company attributed much of the increased quarterly loss to $4.2 million in one-time transaction expenses related to its pending mergers. Despite that, CEO John Mazarakis emphasized the company’s operational improvements and future prospects.

“We are pleased to deliver record revenue, gross margin and operating income in 2024, and to close the year with an annual revenue run rate of $100 million,” said CEO John Mazarakis said in a statement. “Fourth-quarter results were impacted by one-time transaction expenses of $4.2 million related to our pending merger transactions, but we remain pleased with continued strength in operating performance.”

Vireo boosted its cash position by the end December via a private stock offering that ended up raising about $81 million. The company ended 2024 with $91.6 million in cash, up from $16 million at the end of 2023.

This improved cash position comes as Vireo prepares to complete its recent deal to acquire four established operators in an all-stock deal worth nearly $400 million. When completed, the acquisitions will expand Vireo’s footprint to seven states with 48 total dispensaries and more than 1 million square feet of cultivation capacity.

The combined company is projected to have pro forma annual revenue of $394 million and EBITDA of $94 million, with a balance sheet showing $99 million in cash against $78 million in net debt, according to company projections.

Mazarakis, who previously co-founded Chicago Atlantic (now Vireo’s largest shareholder), was named CEO of Vireo in December as part of the merger announcement. His strategy involves maintaining local management teams at each acquired company.

“We believe our liquidity position will help support improved access to capital in the future, and we expect to remain both patient and opportunistic as we look to continue innovating and investing in growth opportunities,” CFO Tyson Macdonald said.

Maryland emerged as Vireo’s fastest-growing market, with retail revenue increasing nearly 57% to $27.5 million and wholesale revenue growing 55% to $14.6 million versus 2023. Meanwhile, its Minnesota operations showed more modest retail growth but saw wholesale revenue surge from $25,300 to $286,936 year-over-year.

Mazarakis pointed to several growth drivers for 2025, including the pending mergers, investments in existing markets, and adult-use cannabis sales kick off in Minnesota. The acquisition deals are expected to close sometime in 2025, pending shareholder and regulatory approvals.