California Cannabis Trends
In the month of December, California recorded ~$423M in cannabis sales, which represents a sequential increase of 5.7% but a YoY decrease of 7.5%. Unit volumes in the month were up 6% sequentially and even up 1.9% YoY. Pricing continues to be a headwind in this market, and it doesn't seem to be slowing. The average unit price decreased only 0.3% sequentially but was down 9.2% YoY. Very similar trends to what we are seeing in Washington and Oregon.
Tilray cuts jobs
Tilray Brands announced that they are laying off 25% of its staff in Portugal. Tilray has been speaking about the international market as an area for growth, so this news is not a positive indicator. Tilray has roughly 200 employees in the Portuguese region. “A total of 49 jobs will be affected in the production, manufacturing, quality, quality control (laboratory), cultivation, supply chain, facilities, warehousing, logistics, procurement, and IT,” said their spokesperson. “These changes, which are in line with Tilray’s rightsizing to meet the needs of the current economy and the state of legalization across medical and adult-use cannabis, will take place over the next three months.”
CT Sales Update.
Just last week, we saw the first legal adult-use cannabis sale occur in Connecticut. On day 1, the state beat its $200k goal by selling ~$250K worth of cannabis and by day 4, they have already surpassed the $1M marker. Each dispensary is averaging $41k in sales per day. "We are proud to have overseen a smooth and successful launch of the adult-use cannabis market that provided a positive consumer experience, was not disruptive to our communities or to the existing medical market, and ultimately resulted in robust and consistent initial sales," Department of Consumer Protection Commissioner Michelle H. Seagull said in a written statement.
