Market share trends in Florida (TCNNF, CURLF, GTBIF, CCHWF, LHSIF)

The Florida Office of Medical Marijuana Use (OMMU) releases updated cannabis data every Friday.

For the week ending October 22nd, the number of qualified patients in Florida’s medical marijuana program grew 1% WoW or 45.5% YTD to 435,105 qualified patients with active ID cards. THC in mgs sold grew 3.1% WoW to 127 million mgs, CBD in mgs sold grew 3.5% WoW to 3.8 million mgs, and flower in oz. sold increased 7% WoW to 47,873 oz. sold. Trulieve and VidaCann were both approved for new dispensary locations, bringing the statewide total to 286 approved dispensing locations.

On a 12WMA, Trulieve’s THC in mgs sold per dispensing location declined by -234 bps. In terms of flower on a 12WMA, Trulieve gained 76 bps, while Curaleaf and GrowHealthy continued strong weekly growth with WoW increases of 334 bps and 263 bps, respectively. On a 4WMA, Trulieve maintains a disproportionate market share, with 51.2% share of mgs THC sold, 37.2% of mgs CBD sold, and 53.8% of oz. in flower sold, at just 22% share of dispensing locations. 

Florida’s medical marijuana marketplace is still in early stages with strong potential – the state’s medical marijuana program has yet to reach 2% of the population, edibles were just introduced to the market in August, and there’s a broad range of qualifying medical conditions, notably ‘severe and chronic pain.’ The rising tide that is patient volume growth lifts all ships.

Cannabis Insights | Florida market data (TCNNF), OGI invests in synthetics, and demographics  - Slide1

Cannabis Insights | Florida market data (TCNNF), OGI invests in synthetics, and demographics  - Slide2

Cannabis Insights | Florida market data (TCNNF), OGI invests in synthetics, and demographics  - Slide3

Organigram raises investment in synthetic cannabinoids (OGI)

Organigram Holdings Inc., the parent company of Canadian LP Organigram Inc., announced an additional C$2.5 million investment in Hyasynth Biologicals Inc., a private biotechnology company in the field of cannabinoid science and biosynthesis. Hyasynth uses fermentation in its biosynthesis process, resulting in low-cost production of THC, CBD, CBG, and rare cannabinoids not typically accessible by plant cultivation. The announcement comes as Hyasynth makes the first sale of CBDa produced and extracted from yeast. In addition to the investment, Organigram continues to have the right to purchase potentially all of Hyasynth’s cannabinoid or cannabinoid related production at, subject to the terms of its agreement with Hyasynth, a 10% discount to the wholesale market price for a period of ten years from Hyasynth’s commencement of commercial production. This additional funding follows C $ 5 million made in the Montreal-based firm in September 2018. Besides Organigram, other Canadian LPs like Cronos have invested in synthetic cannabinoid research to pursue cheaper production costs.

Report suggests that most cannabis users in North America are over 40 (KERN)

In a new report from Akerna (KERN), a regulatory compliance technology company in the cannabis industry, data suggests that the 40-year old plus age group makes up the largest cohort of cannabis consumers in North America.

Analyzing data from both medical and adult-use cannabis sales, Akerna's Business Intelligence team found that, on average, cannabis consumers spend around $105.81 per transaction, with a basket size of approximately 2.92 products. Cannabis flower remains popular among consumers, account for 46.2% of all transactions. Vape cartridges and pens make up the second most popular form of consumption, with 31.6%, followed by concentrates (11.3%), infused edibles (8.55%), non-medicated (1.27%), infused non-edible (0.82%), and other (0.6%).

Men make up the majority of cannabis consumers, with 63.5%, while women represent 36.5%. Despite stereotypes about cannabis consumers typically being young adults, nearly half of all cannabis users are over 40 (41.85%). Surprisingly, the report found that medical consumers, on average, spend more and purchase more items than their adult-use counterparts.  Medical consumers had an average ticket size of $118.55 and an average basket size of 3.02, while adult-use consumers had an average ticket size of $69.70 and an average basket size of 2.65.