Company: JUSHF
Filing Date: 2025-11-04
Form Type: 10-Q
Source: 0001628280-25-048797
Chunk: 7

Company: Jushi Holdings Inc.
Filing Date: 2025-11-04
Form: 10-Q
Item: Item 2
Chunk 7
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Wholesale revenue decreased $2,350. The decrease is primarily attributable to a decline of $2,818 in Virginia due to limited availability of products for third parties through our wholesale channel as we prioritized supplying our own retail stores during the first half of 2025, and a decline of $1,286 in Massachusetts due to lower bulk cannabis flower sales. These decreases were partially offset by an increase of $1,213 in Ohio due to the transition to adult-use during the third quarter of 2024, as well as increased production capacity.

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Gross Profit

Gross profit was $85,363 compared to $92,895, a decrease of $7,532 or 8%. Gross profit margin decreased to 44% compared to 48%. The decrease in gross profit and gross profit margin was driven by continued competitive pricing pressure requiring higher discounting in our retail channel. In addition, higher production costs per unit from prior periods are being reflected in the current year’s cost of sales as products produced in prior periods turn. These decreases were partially offset by higher gross profit and gross profit margin in Ohio as a result of new dispensary openings, as well as lower costs following the ramping up our grower processor facility in 2024 to support the transition to adult-use. Jushi branded product sales as a percentage of total retail revenue were 56% across the Company’s five vertical markets compared to 55% in the prior year. 

Operating Expenses

Operating expenses were $81,294 compared to $80,192, an increase of $1,102 or 1%. The following table presents information on our operating expenses for the periods indicated:

Nine Months Ended September 30,20252024$ Change% ChangeSalaries, wages and employee related expenses$43,055 $42,837 $218 1 %Depreciation and amortization expenses13,702 11,090 2,612 24 %Rent and related expenses9,415 8,928 487 5 %Professional fees and legal expenses5,584 5,501 83 2 %Share-based compensation expense424 2,953 (2,529)(86)%Gain on asset disposals and lease terminations(2,992)(2,233)(759)34 %Other expenses (1)12,106 11,116 990 9 %Total operating expenses$81,294 $80,192 $1,102 1