Company: JUSHF
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001628280-25-037797
Chunk: 7

Company: Jushi Holdings Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Item 2
Chunk 7
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 dispensary in February 2025, the average price per unit declined due to increased competition and price compression.

Wholesale revenue decreased $3,085. The decrease is primarily attributable to a decline of $1,807 in Massachusetts due to lower bulk cannabis flower sales, and a decline of $1,812 in Virginia due to limited availability of products for third parties through our wholesale channel as we prioritized supplying our own retail stores, and delays from the state mandated seed-to-sale inventory tracking system conversion which prevented shipments to certain customers close to the end of the quarter.

Gross Profit

Gross profit was $54,699 compared to $64,896, a decrease of $10,197 or 16%. Gross profit margin decreased to 42% compared to 50%. 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 $52,968 compared to $52,373, an increase of $595 or 1%. The following table presents information on our operating expenses for the periods indicated:

Six Months Ended June 30,20252024$ Change% ChangeSalaries, wages and employee related expenses$28,740 $28,339 $401 1 %Depreciation and amortization expenses9,190 7,105 2,085 29 %Rent and related expenses6,231 5,875 356 6 %Professional fees and legal expenses3,780 4,181 (401)(10)%Share-based compensation expense67 1,871 (1,804)(96)%Gain on asset disposals and lease terminations(3,298)(2,676)(622)23 %Other expenses (1)8,258 7,678 580 8 %Total operating expenses$52,968 $52,373 $595 1 %

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