MariMed Reports First Quarter 2025 Earnings

NORWOOD, Mass., May 07, 2025 (GLOBE NEWSWIRE) -- MariMed Inc. ("MariMed” or the "Company”) (CSE: MRMD) (OTCQX: MRMD), a leading multi-state cannabis operator focused on improving lives every day, today announced its financial results for the first quarter ended March 31, 2025.

Management Commentary

"We are executing on our vision to build the best consumer packaged goods company in cannabis, and over the past quarter we continued to penetrate more storefronts and capture more market share for our innovative, high-quality portfolio of brands,” said Jon Levine, MariMed Chief Executive Officer. "Our Betty's Eddies™ cannabis chews remained the top-selling edible in Massachusetts, Maryland, and Delaware, and moved up to the #5 position in Illinois after its launch there just over a year ago. Our other core brands also achieved strong market share growth as we sold our products into 70 new storefronts. Wholesale sales now account for 44 percent of our revenue mix, an upward trend that we anticipate will continue as we further leverage our brands as the primary growth engine for the Company.”

"We are pleased to report sequential revenue growth in the first quarter of 2025, driven by continued strength in wholesale performance,” said Mario Pinho, MariMed Chief Financial Officer. "Wholesale sales helped to offset the financial impact of a soft quarter at retail as well as ramp-up costs associated with our new assets in Illinois and Missouri. We remain confident in delivering enhanced shareholder value through expanded brand distribution into new storefronts; the pursuit of new revenue streams, including through M&A, brand licensing, and potential entry into the hemp space; and a continued focus on disciplined cost management, operational efficiencies, and improved execution.”

Financial Highlights¹

The following table summarizes the Company's consolidated financial highlights (in millions, except percentage amounts):

¹ See the reconciliations of non-GAAP financial measures to the most directly comparable GAAP measures and additional information about non-GAAP measures in the section entitled "Discussion of Non-GAAP Financial Measures” below and in the financials information included herewith.

CONFERENCE CALL

MariMed management will host a conference call on Thursday, May 8, 2025 at 8:00 a.m. Eastern time, to discuss these results. The conference call may be accessed through MariMed's Investor Relations website, or by clicking the following link: Q125 MRMD Earnings Call.

FIRST QUARTER 2025 OPERATIONAL HIGHLIGHTS

During the first quarter, the Company announced the following development in the implementation of its strategic growth plan:

• February 28: Completed its acquisition of First State Compassion Center ("FSCC”), the leading cannabis operator in Delaware, in accordance with the terms of the previously announced Omnibus Agreement entered into with FSCC in July 2023. The acquisition integrates FSCC's cultivation and processing facilities and two dispensaries into MariMed's fully vertical operations, further enhancing the Company's revenue and profitability.

OTHER DEVELOPMENTS

Subsequent to the end of the first quarter, the Company announced the following further developments:

• April 1: Commenced distribution of its Nature's Heritage™-branded cannabis flower, pre-rolls, and vapes in Illinois, marking the first time the brand's premium products are available in the state.
• April 3: Expanded the line-up of its top-selling Betty's Eddies™-branded cannabis chews with the introduction of a new caramel chew, Betty's Caramelt Away.
• April 8: Promoted Ryan Crandall to Chief Commercial Officer to lead the Company's commercial strategy and activities, including Sales, Marketing, Product Development, and Retail Operations. He had served as the Company's Chief Revenue Officer since July 2022, and prior was its Chief Products Officer and SVP, Sales for four years.

DISCUSSION OF NON-GAAP FINANCIAL MEASURES

MariMed's management uses several different financial measures, both GAAP and non-GAAP, in analyzing and assessing the overall performance of its business, making operating decisions, and planning and forecasting future periods. The Company has provided in this release several non-GAAP financial measures: Non-GAAP Adjusted EBITDA and non-GAAP Adjusted EBITDA margin, Non-GAAP Gross margin, Non-GAAP Operating expenses and Non-GAAP Net income (loss), as supplements to Revenue, Gross margin, Operating expenses, Income (loss) from operations, Net income (loss) and other financial measures prepared in accordance with GAAP.

Management believes these non-GAAP financial measures are useful in reviewing and assessing the performance of the Company, and when planning and forecasting future periods, as they provide meaningful operating results by excluding the effects of expenses that are not reflective of its operating business performance. In addition, the Company's management uses these non-GAAP financial measures to understand and compare operating results across accounting periods and for financial and operational decision-making. The presentation of these non-GAAP measures is not intended to be considered in isolation or as a substitute for the financial information prepared in accordance with GAAP.

Management believes that investors and analysts benefit from considering non-GAAP financial measures in assessing the Company's financial results and its ongoing business, as it allows for meaningful comparisons and analysis of trends in the business. In particular, non-GAAP adjusted EBITDA is used by many investors and analysts themselves, along with other metrics, to compare financial results across accounting periods and to those of peer companies.

As there are no standardized methods of calculating non-GAAP financial measures, the Company's calculations may differ from those used by analysts, investors and other companies, even those within the cannabis industry, and therefore may not be directly comparable to similarly titled measures used by others.

Management defines non-GAAP Adjusted EBITDA as income (loss) from operations, determined in accordance with GAAP, excluding the following items:

• depreciation and amortization of property and equipment;
• amortization of acquired intangible assets;
• impairment or write-downs of acquired intangible assets;
• inventory revaluation;
• stock-based compensation;
• severance;
• legal settlements; and
• acquisition-related and other expenses.

For further information, please refer to the publicly available financial filings available on MariMed's Investor Relations website, as filed with the U.S. Securities and Exchange Commission, or as filed with the Canadian securities regulatory authorities on the SEDAR website.

ABOUT MARIMED

MariMed Inc. is a leading multi-state cannabis operator, known for developing and managing state-of-the-art cultivation, production, and retail facilities. Our award-winning portfolio of cannabis brands, including Betty's Eddies™, Bubby's Baked™, Vibations™, InHouse™, and Nature's Heritage™, sets us apart as an industry leader. These trusted brands, crafted with quality and innovation, are recognized and loved by consumers across the country. With a commitment to excellence, MariMed continues to drive growth and set new standards in the cannabis industry. For additional information, visit www.marimedinc.com.

IMPORTANT CAUTION REGARDING FORWARD-LOOKING STATEMENTS:

The information in this release contains "forward-looking” statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, which are subject to several risks and uncertainties. All statements other than statements of historical facts contained in this release, including without limitation statements regarding projected financial results for 2025, including anticipated openings of dispensaries and facilities, timing of regulatory approvals, plans and objectives of management for future operations, are forward-looking statements. Without limiting the foregoing, the words "anticipates”, "believes”, "estimates”, "expects”, "expectations”, "intends”, "may”, "plans”, and other similar language, whether in the negative or affirmative, are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words.

Forward-looking statements are based on our current beliefs and assumptions regarding our business, timing of regulatory approvals, the ability to obtain new licenses, business prospects and strategic growth plan, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Our actual results may differ materially from those contemplated in these forward-looking statements due to various risks, uncertainties, and other important factors, including, among others, reductions in customer spending, our ability to recruit and retain key personnel, and disruptions from the integration efforts of acquired companies.

These factors are not intended to be an all-encompassing list of risks and uncertainties that may affect our business and results of operations. These statements are not a guarantee of future performance and involve risk and uncertainties that are difficult to predict, including, among other factors, changes in demand for the Company's services and products, changes in the law and its enforcement, and changes in the economic environment. Additional information regarding these and other factors can be found in our reports filed with the U.S. Securities and Exchange Commission. In providing these forward-looking statements, the Company expressly disclaims any obligation to update these statements publicly or otherwise, whether as a result of new information, future events or otherwise, except as required by law.

All trademarks and service marks are the property of their respective owners.

For More Information Contact:

Howard Schacter, Chief Communications Officer

Email: [email protected]

Phone: (781) 277-0007