Ascend Wellness Fourth Quarter Loss Exceeds Expectations, Revenue Falls Short of Expectations

New York - Ascend Wellness Holdings, Inc. (OTCQX: AAWH) reported fourth-quarter results that missed analyst expectations, with a loss of $0.24 per share compared to an expected loss of $0.10. Revenue was $120.5 million, also below the analyst forecast of $122.35 million, down 11.4% year-over-year from $136 million in Q4 2023.

AAWH’s stock closed down 1.62% on Thursday.

The company’s net loss for the quarter widened to $48.7 million from $16.8 million a year earlier, partly due to $17 million in arbitration settlement costs. Revenue decreased 3.4% quarter-over-quarter, mainly driven by a 13.1% decline in wholesale revenue to $35.5 million, while retail revenue grew 1.4% to $85 million.

AWH CEO Sam Brill stated, “2025 is a pivotal year for our business, and we have made strong progress on strategic pillars such as intensification, profitability, and sustainability. Our retail store network added 8 new locations, bringing the total to 48 stores, which positions us to achieve our goal of opening 60 stores by the end of 2026.”

For the full year 2025, revenue totaled $500.6 million, down 10.9% from $561.6 million in 2024. Adjusted EBITDA was $116.9 million, with a profit margin of 23.4%, compared to $116.2 million and a profit margin of 20.7% in 2024. The company ended the quarter with $85.7 million in cash and cash equivalents.

Looking ahead to Q1 2026, Ascend expects revenue to decline in the low to mid single digits, reflecting post-holiday consumer softness, pricing pressures, and weather-related store closures. Adjusted EBITDA profit margin is expected to remain in the high teens to around 20%.

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