Company: JUSHF
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001628280-25-023749
Chunk: 36

Company: Jushi Holdings Inc.
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 1
Chunk 36
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 INC. Notes to the Unaudited Condensed Consolidated Financial Statements(Amounts Expressed in Thousands of U.S. dollars, Except Share and Per Share Amounts)

CommitmentsIn addition to the contractual obligations outlined in Note 8 - Debt, the Company has commitments as of March 31, 2025 related to property and construction.In connection with various license applications, the Company may enter into conditional leases or other property commitments which will be executed if the Company is successful in obtaining the applicable license and/or resolving other contingencies related to the license or application.In addition, the Company expects to incur capital expenditures for leasehold improvements and construction of buildouts of certain locations, including for properties for which the lease is conditional on obtaining the applicable related license or for which other contingencies exist.

 17.   FINANCIAL INSTRUMENTSThe following table sets forth the Company’s financial assets and liabilities, subject to fair value measurements on a recurring basis, by level within the fair value hierarchy:March 31, 2025 (unaudited)December 31, 2024Financial liabilities: (1)Derivative liabilities (2)$2,883 $3,128 Contingent consideration liabilities (3)— 5,912 Total financial liabilities$2,883 $9,040 (1)The Company has no financial assets or liabilities in Level 1 or 2 within the fair value hierarchy as of March 31, 2025 and December 31, 2024, and there were no transfers between hierarchy levels during the three months ended March 31, 2025 or year ended December 31, 2024.(2)Refer to Note 9 - Derivative Liabilities.(3)This was related to the acquisitions of Statewide and RJK. During the three months ended March 31, 2025, the balance was reclassified as debt upon the completion of both acquisitions. Refer to Note 8 - Debt for more information. The carrying amounts of certain financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and certain accrued expenses, and certain other assets and liabilities held at amortized cost, approximate their fair values due to the short-term nature of these instruments. The carrying amounts of the promissory notes approximate their fair values as the effective interest rates are consistent with market rates. The carrying amount of the Second Lien Notes approximates their fair values as of March 31, 2025 and December 31, 2024,