TerrAscend Reports $65M in Q2 Revenue From Continuing Operations | How to order Skittles Moonrock online

Second Quarter 2025 Business and Operational Highlights

• Announced decision to exit the Michigan market, with plans to sell substantially all Michigan assets in the second half of 2025 and use the net proceeds to pay down existing debt.
• Achieved 12th consecutive quarter of positive cash flow from continuing operations and eighth consecutive quarter of positive free cash flow.
• Maintained a leadership position in New Jersey with all three Apothecarium retail locations ranking in the top 15 out of over 220 dispensaries statewide in total units sold.²
• Phillipsburg, N.J., dispensary ranked No. 3 in the state in unit sales and No. 2 in revenue.²
• Completed expansion of cultivation and manufacturing capabilities at New Jersey facility.
• Expanded cultivation capacity by 50% at Maryland facility, with first harvest completed in June.
• Retail revenue increased quarter-over-quarter across all markets.
• Pennsylvania revenue grew 6.9% quarter-over-quarter.
• Repurchased 535,000 shares at a weighted average price of USD$0.29 per share during the quarter as part of the $10 million share repurchase program initiated in August of 2024.
• Closed on acquisition of Ratio Cannabis, a well-situated and profitable dispensary in Ohio.
• Signed definitive agreement to acquire Union Chill, an $11 million revenue run rate dispensary in New Jersey, which, upon closing, will bring TerrAscend’s total number of dispensaries to four in the state.

Subsequent Events

• Closed on $79 million non-dilutive refinancing extending all senior secured debt maturities until late 2028, with an additional uncommitted term loan facility providing up to $35 million for strategic M&A.

1. EBITDA from continuing operations, Adjusted EBITDA from continuing operations, Adjusted EBITDA margin from continuing operations, and Free Cash Flow are non-GAAP measures defined in the section titled “Definition and Reconciliation of Non-GAAP Measures” in the company’s press release, and reconciled to the most directly comparable GAAP measure, at the end of the release.
2. According to LIT Alerts.

Retail revenue increased 1% year-over-year. The increase in retail revenue was driven by a partial quarter of sales from the recent Ratio acquisition in Ohio, which was offset by price compression in the New Jersey market. Wholesale revenue declined 10.8% year-over-year. Wholesale growth in Maryland was offset by a decline in New Jersey, while Pennsylvania remained steady.

Gross profit margin for the second quarter of 2025 was 51.1%, as compared to 49.6% for the second quarter of 2024, driven by continued strong performance in both New Jersey and Maryland.

General and administrative (G&A) expenses for the second quarter of 2025 were $21 million, and 32.3% of revenue, compared to $22.6 million, and 33.7% of revenue, in the second quarter of 2024.

GAAP net loss from continuing operations for the second quarter of 2025 was $6.4 million, compared to a net loss of $6.3 million in the second quarter of 2024.

Adjusted EBITDA from continuing operations for the second quarter of 2025 was $16 million, or 24.6% of revenue, compared to adjusted EBITDA from continuing operations of $17.3 million for the second quarter of 2024, or 25.7% of revenue.

Capex spending was $2.3 million in the second quarter of 2025, mainly related to expansions at the company’s Maryland and New Jersey facilities. The 50% expansion of cultivation in Maryland was completed in April, with the first harvest occurring in June. Also, the expanded edibles production and greenhouse expansion in New Jersey were both completed in the second quarter of 2025. Free cash flow was $5 million in the second quarter of 2025, compared to $14.8 million in the second quarter of 2024, which included an $8.4 million tax refund, representing the company’s eighth consecutive quarter of positive free cash flow.

During the quarter, the company distributed $1.3 million to its New Jersey minority partners and paid down $0.5 million of debt.

Subsequent to quarter end, the company closed on an upsized senior secured syndicated term loan of $79 million, $68 million of which was used to retire existing indebtedness across other lenders, with the remainder designated for future growth initiatives. As part of this transaction, an additional uncommitted term loan facility in an aggregate principal amount of up to $35 million will be available for future M&A. This transaction extends all senior secured debt maturities until late 2028. It also provides further financial flexibility to execute on the company’s growth strategy, including organic growth initiatives and strategic M&A.

As of June 30, 2025, there were approximately 381 million basic shares of the company issued and outstanding, including 306 million common shares, 11 million preferred shares as converted, and 63 million exchangeable shares. Additionally, there were 38 million warrants and options outstanding at a weighted average price of $3.77.