Cannabis Sales Slowed Ahead of the Summer – New Cannabis Ventures

The weakening progress traits in Could that we discussed last month continued in June, in line with cannabis data analytics firm BDSA. The comparisons to a 12 months in the past, when demand surged through the pandemic, have created challenges, with two states, Colorado and Oregon, seeing gross sales decline in comparison with then. Many of the markets noticed a sequential decline, with some in extra of the three.2% on account of one much less day within the month than in Could. On this assessment, we’ll take a look at the markets one-by-one, starting with the extra mature Western markets after which concluding with the newer Jap markets.

Western Markets

BDSA offers protection for Arizona, California, Colorado, Nevada and Oregon. In April, progress ranged from -3%% in Colorado to 29% in Arizona in comparison with a 12 months in the past.

Arizona

Arizona transitioned to adult-use in late January, however that is the third month that BDSA included adult-use gross sales. Complete hashish gross sales grew 29% to $117.9 million, with adult-use representing $53.7 million, down barely from Could. Medical hashish gross sales fell 30% to $64 million. Sequentially, general progress fell 7.1%, with medical falling 4% and adult-use lowering 0.4%. Development was sturdy throughout all classes, however the highest progress by far was in pre-rolls, which gained 184%.

California

Annual gross sales grew 13.8% to $331.8 million, down 5% from June and 7% from the report stage in April. Flower expanded 8%, with low double-digit progress for ingestibles and concentrates, whereas pre-rolls expanded by greater than 50%.

Colorado

The mature market of Colorado, which has proven vigorous progress over the previous 12 months, declined 5% in comparison with a 12 months in the past. Final June, gross sales had grown 30.4%, so in comparison with two 12 months in the past, gross sales expanded 23.9% (11.3% compound progress). Sequentially, gross sales dropped 5.3% to $190.5 million. Flower declined 18%, whereas pre-rolls grew 26%. Ingestibles grew 7%, whereas concentrates expanded by 8%.

Nevada

On condition that Las Vegas totally reopened throughout June, the 8.8 sequential decline was disappointing. In comparison with a 12 months in the past, gross sales expanded by 19.5% in June to $79.7 million. Edibles expanded 11%, with concentrates rising 15%, flower by 21% and pre-rolls by 27%.

Oregon

Oregon, one other mature market that had explosive progress following the pandemic, declined year-over-year by 1%, with gross sales of $99.3 million falling 6% from Could. Flower declined 5%, whereas pre-rolls grew 30%. Edibles fell by 28%, whereas concentrates grew 11%.

Jap Markets

Within the newer markets, the annual price of progress continued to gradual in all markets. Observe that we wrote about June data for Illinois primarily based on the state’s information a month in the past. BDSA offers extra complete information than the state, breaking gross sales down by product varieties. The state reported very strong July adult-use sales, with progress of 110% to a report $127.8 million. Medical gross sales must be reported this coming week. Observe that BDSA has begun offering information for Florida, Michigan and Pennsylvania as of January. Florida gross sales elevated 3% sequentially to a report $155.7 million, whereas Pennsylvania’s fell for the second month in a row to $102.7 million. Michigan, which we previously detailed, noticed general gross sales flat at $149 million, up 65% from a 12 months in the past. BDSA contains equipment, which helped increase the gross sales in June to $151.7 million from $150.9 million in Could.

Illinois

Illinois mixed adult-use and medical gross sales fell by 2% in June, together with equipment, to $147.3 million, which was up 90.6% from a 12 months in the past. Flower led all classes, growing 111%, with pre-rolls at 104%. Concentrates expanded 76%, whereas ingestibles grew 68%.

Maryland

This medical market continued to see slower progress, with year-over-year progress at simply 19%. Gross sales fell sequentially by 4% to $45 million. Edibles led all classes, growing 33%.

Massachusetts

The rising retailer base helped Massachusetts to submit strong numbers, with gross sales increasing 0.6% from Could and 79% from a  12 months in the past to $132.9 million. Flower expanded by 60%, whereas concentrates grew 74%. Ingestibles expanded 87%, and pre-rolls soared by 164%. This class represented 14.6% of general gross sales.

For readers occupied with a deeper take a look at hashish markets throughout these eight states and extra, together with segmentation by extra product classes, model and merchandise element, longer historical past, and segmentation by product attributes, find out how BDSA Solutions can offer you limitless entry to probably the most correct and actionable information and evaluation.

Primarily based in Houston, Alan leverages his expertise as founding father of on-line group 420 Investor, the primary and nonetheless largest due diligence platform centered on the publicly-traded shares within the hashish business. Together with his in depth community within the hashish group, Alan continues to search out new methods to attach the business and facilitate its sustainable progress. At New Cannabis Ventures, he’s chargeable for content material improvement and strategic alliances. Earlier than shifting his focus to the hashish business in early 2013, Alan, who started his profession on Wall Road in 1986, labored as an unbiased analysis analyst following over 20 years in analysis and portfolio administration. A prolific author, with over 650 articles printed since 2007 at Seeking Alpha, the place he has 70,000 followers, Alan is a frequent speaker at business conferences and a frequent source to the media, together with the NY Occasions, the Wall Road Journal, Fox Enterprise, and Bloomberg TV. Contact Alan: Twitter | Facebook | LinkedIn | Email