Company: VREOF
Filing Date: 2025-03-11
Form Type: PREM14C
Source: 0001140361-25-008065
Chunk: 209

Company: Vireo Growth Inc.
Filing Date: 2025-03-11
Form: PREM14C
Chunk 209
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2024.

|                   |     |               Deep Roots 
 Years Ended December 31, |     |             |     |  Change in |     |       |
|:------------------|:----|-------------------------:|:----|------------:|:----|-----------:|:----|:------|
|                   |     |                     2024 |     |        2023 |     |          $ |     | %     |
| Retail revenue    |     |              $68,083,205 |     | $62,766,225 |     | $5,316,980 |     | 8%    |
| Wholesale revenue |     |                1,426,794 |     |   1,582,448 |     |   -155,654 |     | (10)% |
| Total revenue     |     |              $69,509,999 |     | $64,348,673 |     | $5,161,326 |     | 8%    |

Cost of Sales and Gross Profit Cost of sales are determined from costs related to the cultivation and processing of cannabis and cannabis-derived products as well as the cost of finished goods inventory purchased from third parties. Cost of sales for the year ended December 31, 2024 were $31,032,948, an increase of $3,058,429 compared to the year ended December 31, 2023 of $27,974,519, driven most significantly by the increase in product costs associated with the increase in revenues year over year. Gross profit for the year ended December 31, 2024 was $38,477,051, representing a gross margin of 55%. This is compared to gross profit for the year ended December 31, 2023 of $36,374,154, or a 57% gross margin. The decrease in margin was driven by pricing compression in the Nevada market. Total Operating Expenses Total operating expenses for the year ended December 31, 2024 were $28,292,520, an increase of $9,618,740 compared to total operating expenses of $18,673,780 for the year ended December 31, 2023. The increase in total operating expenses was attributable to increased share-based compensation expenses and transaction related expenses relative to the prior year. Income from Operations Income from operations for the year ended December 31, 2024 was $10,184,531, a decrease of $7,515,843 compared to income