Village Farms Stock Price Plunges 12% Due to Q4 Results Missing Expectations

LootboxPhobia · 2026-03-12T18:32:19+00:00

Village Farms International missed expectations on fourth-quarter results, with the stock declining 11.97%. Adjusted earnings per share came in at $0.01, with revenue of $49.6 million, falling short of forecasts. Despite growth in cannabis sales and improved gross margins, overall performance remained weak, though the CEO expressed optimism about profitability.

LootboxPhobia

2026-03-12 18:32:19

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Vancouver - Village Farms International, Inc. (NASDAQ:VFF) reported its fourth-quarter earnings on Thursday, which fell short of analyst expectations.

Following the announcement, the company’s stock dropped 11.97% in pre-market trading.

This cannabis and agricultural products company’s fourth-quarter adjusted earnings per share were $0.01, below the analyst consensus of $0.02. Revenue reached $49.6 million, significantly below the expected $60.88 million, but up 9% from $45.4 million in the same period last year. Compared to analyst forecasts, revenue decreased year-over-year.

Net profit from continuing operations was $2.3 million, or $0.02 per share, while the fourth quarter of 2024 showed a net loss of $7.5 million, or -$0.04 per share. The previous year’s same period included $10.5 million in non-cash impairment charges. Adjusted EBITDA from continuing operations was $8.6 million, representing 17.3% of sales, compared to a negative $2.9 million in the same period last year.

Canadian cannabis sales increased 10% year-over-year to $37.8 million, while international export cannabis sales surged 384% year-over-year. The gross margin for the Canadian cannabis segment was 43%, up from 2% in the same period last year, driven by improved operational efficiency and a higher-margin sales mix.

President and CEO Michael DeGiglio stated, “Our Q4 performance once again demonstrated strong profitability, gross margins, and operating cash flow, all reaching record levels in 2025.”

The company reported a consolidated cash flow from continuing operations of $11.4 million, compared to $10.9 million in the same period last year. Full-year consolidated cash flow from continuing operations increased from $13.7 million to $58.1 million.

Village Farms had $86 million in cash at the end of 2025, with $6.7 million of share repurchases completed since Q3. The company has begun planting at the Delta 2 expansion project in Canada, which is expected to add 15 tons of capacity in 2026.

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