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Blum Holdings Inc. (BLMH-23.00%) has filed its annual report on Form 10-K filing for the fiscal year ended December 31, 2024. The report provides an overview of the company's financial performance and operational highlights for the year.
Blum Holdings Inc. is a publicly traded holding company operating in the cannabis industry across California. The company focuses on providing medical and adult-use cannabis products and related services. Blum Holdings is associated with the Korova brand, known for high-potency cannabis products.
In 2024, Blum Holdings underwent a corporate reorganization, completing a merger with Blum Merger Sub, Inc., which resulted in Blum becoming the parent company of Unrivaled Brands, Inc. This reorganization was approved by Unrivaled's stockholders in December 2023.
For the year ended December 31, 2024, Blum Holdings reported a net income of $33.1 million, compared to a net loss of $14.13 million in 2023. The company had an accumulated deficit of $421.08 million at the end of 2024, compared to $454.18 million at the end of 2023.
The company's revenue for the year ended December 31, 2024, was $12.99 million, a 67.5% increase from $7.76 million in 2023. This increase was primarily due to the Northern California Transactions in May 2024, which contributed $7.73 million in revenue.
Blum Holdings' operations are organized into two segments: Cannabis Retail and Cannabis Distribution. The company operates medical marijuana retail and adult-use dispensaries and distribution facilities in California.
Significant developments in 2024 included the sale of Blüm Santa Ana in June 2024, the acquisition of Safe Accessible Solutions, Inc., and Coastal Pine Holdings, Inc. on May 1, 2024, and the Chapter 11 bankruptcy filing by its subsidiaries, Unrivaled Brands, Inc. and Halladay Holding, LLC, in November 2024.
The company faces several risks, including intense competition, regulatory uncertainties, and challenges related to its financial position. These risks may impact its ability to sustain operations and achieve profitability.
Blum Holdings plans to focus on its performing assets and seek additional opportunities, particularly in California. The company aims to enhance its retail footprint and leverage synergies with existing operations to optimize cash flow and ensure sustainable growth.
The company continues to face substantial doubt about its ability to continue as a going concern due to its working capital deficiency and historical lack of profitability. Management is evaluating options to raise additional capital and reduce cash requirements.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Blum Holdings Inc. annual 10-K report dated March 13, 2025. To report an error, please email earnings@qz.com.