LESS THAN A QUARTER OF AMERICAN MARIJUANA OPERATORS ARE PROFITABLE

Author： unigreensz Time：2023-07-03 18:06:00 Read：366

A new report from Whitney Economics, a cannabis data and research firm in Oregon, shows that only 24.4% of companies in the US cannabis industry report profitability, further highlighting the industry's difficulties.

According to a press release, a survey report on marijuana operator sentiment and business conditions last year found that 42% of companies are still making profits.

Beau Whitney, founder of Whitney Economics, said that a total of 224 respondents from 13 states participated in the survey this year, accounting for 1.1% of license holders in these states.

"By conducting this survey, Whitney Economics is trying to bridge the gap between the theory of Business economics and the daily life of cannabis industry operators," he said in a statement.

* Rising costs and declining wholesale prices of cannabis have forced them to seek creative solutions.
* National regulations determine the success or failure of the legitimate cannabis market, but they have not kept up with constantly changing market and commercial conditions.
* There are too many licenses issued. More than 70% of respondents support restricting cannabis licenses.
* Taxes are still too high.

The report predicts that due to the aforementioned factors, growth in the next seven quarters will be "below normal", and it is expected that these factors will not change soon.