Illinois CANNABIS TRENDS.
In the month of January, Illinois recorded ~$157M in cannabis sales, which represents a sequential decline of 10.3% and a YoY increase of 7%. Unit volumes in the month were down 12.2% sequentially but were up 21.5% YoY. The average price per unit was up 2.1% sequentially and down 12% YoY.
San Diego is Feeling the pain of the black market.
Revenue from the city's cannabis tax has sharply dropped in recent months and now city officials are projecting a 23% miss on the fiscal year (ends June 30th) estimate of $25.7M. Cannabis experts in the area believe the main cause of their mid-20 % drops in sales is due to illegal delivery services. City officials acknowledge this situation but also point the finger at other nearby cities that have recently started their own cannabis programs. San Diego's deputy director of business operations, Ricardo Ramos, is also feeling the pricing pressure that the rest of the country is facing “There’s just a saturation of cannabis products, which has brought down the cost. As a result, the tax and gross receipts that are being reported to the city have decreased.” One dispensary owner also noted that the current macro situation has led to lower-priced products selling much better than higher-priced products in recent months. California remains the hardest state in the country to operate, but if you can succeed here, you can succeed anywhere. sandiegouniontribune.com
Columbia Care Expands In Virginia
Columbia Care (CCHWF) announced it has opened a new dispensary in Colonial Heights, Virginia, under its gLeaf brand. This is the Company’s eighth dispensary in the state and 84th active dispensary nationwide. “We continue to be excited by the momentum building in Virginia, already one of our top markets, as we open additional locations and broaden access to this incredible plant,” said Jesse Channon, Chief Growth Officer, Columbia Care. “Our Virginia team is working hard to bring the highest quality product and the highest level of customer service to the patients we serve. We look forward to the continued expansion of this burgeoning medical program.”
