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Young Adults Are Swapping Booze For Cannabis, Missouri’s Meteoric Rise In The Industry & Earnings

Plus, Hawaii pushes forward with research

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Hey Benzinga Cannabis family! It’s Maureen Meehan here, coming to you with the latest and greatest in cannabis news. Today’s rundown is stacked with some big headlines, including a major shift in how young adults are approaching cannabis, Pennsylvania’s legalization fight and Missouri flexing its muscles as a national cannabis powerhouse. Plus, we’ve got earnings updates from some of the biggest players in the game.

Let’s get into it.

Young Adults Are Choosing Cannabis Over Alcohol

A Bloomberg Intelligence report confirms what many in the cannabis space already suspected—young adults are swapping out alcohol for cannabis. About 75% of young adults surveyed say they use cannabis as an alternative to alcohol at least once a week. This is a rapidly growing trend fueled by the expansion of the hemp-based beverage market.

The study suggests that even major soft drink companies could get in on the action. But, there’s a catch: lawmakers are still figuring out how to regulate hemp-derived THC products, meaning potential financial risks loom.

Market Moves: Earnings & Acquisitions

SNDL Tops Revenue Expectations As Cannabis Segments Outperform

SNDL Inc. (NASDAQ: SNDL) delivered solid numbers, reporting CA$257.68 million in Q4 revenue, a 3.7% year-over-year increase that topped expectations. The cannabis segment surged 16.5% in Q4, while liquor sales declined slightly. Overall, the company achieved break-even free cash flow for 2024—a big deal for investors tracking profitability in the space.

High Tide’s Q1 Report: Strong Sales, Stock Slips

Despite an 11% YoY revenue increase to CA$142.46 million, High Tide Inc. (NASDAQ: HITI) saw its stock dip after posting a CA$1.9 million free cash flow deficit. However, its Cabana Club membership now boasts over 5.66 million members, showing that the company is solidifying customer loyalty despite some financial challenges.

Springbig Acquires Vice CRM, Names New CEO

Big moves at Springbig Holdings (OTCQX: SBIG)! The company is acquiring Vice CRM, an AI-driven marketing platform, while appointing its founder, Jaret Christopher, as CEO starting April 1. This acquisition marks a strategic push toward AI-powered customer engagement in cannabis retail.

State Spotlights: Legalization & Growth

How Missouri Became A Cannabis Mecca

Missouri has rocketed to seventh place in the U.S. for cannabis sales, surpassing states like Arizona and Washington. The state’s low taxes, business-friendly regulations, and proximity to prohibition states have fueled this unexpected success. Meanwhile, Missouri’s cannabis industry is learning from Colorado’s regulatory struggles, aiming to avoid excessive taxation and market instability.

Pennsylvania Is ‘Losing Out’ To Neighboring States By Keeping Marijuana Illegal, Governor Says

Pennsylvania Gov. Josh Shapiro (D) is urging lawmakers to legalize recreational cannabis, arguing the state is losing revenue to its neighbors. Meanwhile, medical cannabis companies are spending big—at least $1.6 million on lobbying—to influence how legalization might roll out in the Keystone State.

The Industry’s Next Big Shift: EBITDA Over Hype

For years, cannabis companies focused on top-line revenue and rapid expansion. Now, the game has changed. Investors and buyers are ditching revenue hype and looking at EBITDA and profitability as the key financial metrics. The shift signals a maturing industry—one where sustainability matters more than sky-high sales numbers.

Psychedelics Watch: Hawaii’s Research Bill Advances

Hawaii’s House Health Committee just passed SB 1042, a bill supporting clinical research on psychedelic-assisted therapies using psilocybin and MDMA. The legislation replaces an initial funding proposal with a two-year pilot program. This could be the start of a bigger push for psychedelic medicine in the state.

The Future of Weed-Centric Wellness

Cannabis Pioneer On The Future Of Weed-Centric Wellness

Cannabis is making waves in luxury wellness tourism, and Sunderstorm CEO Cameron Clarke is leading the charge. His Kanha brand is partnering with Thailand’s Beach Samui resort—Asia’s first licensed cannabis-integrated hotel. Expect THC and CBD-infused treatments to become a bigger part of wellness retreats worldwide.

Final Puff

That’s a wrap for today! From young adults swapping booze for weed to Missouri’s rise in the industry, we’re seeing some major shifts happening right now. Earnings are in, Pennsylvania’s still dragging its feet and Hawaii’s getting serious about psychedelics. Stay tuned for more updates, and as always, keep it lifted!

See you tomorrow for Wednesday’s edition of Cannabis Daily

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