Village Farms(VFF)2025-05-12 21:25Financial Performance - Village Farms reported Q1 2025 consolidated sales of 78.1 million in Q1 2024[10]. - The company experienced a consolidated net loss of 0.06 per share, compared to a net loss of 0.03 per share in the prior year[10]. - Adjusted EBITDA for Q1 2025 was 3.6 million in Q1 2024, indicating a significant decline in operational profitability[10]. - Sales for the three months ended March 31, 2025, were 78,077 in the same period of 2024[21]. - Gross profit for Q1 2025 was 15,513 in Q1 2024[21]. - Net loss attributable to Village Farms International Inc. shareholders increased to 2,852 in Q1 2024, representing a 134.5% increase[21]. - Adjusted EBITDA for Q1 2025 was 3,591 in Q1 2024[21]. - Basic loss per share for Q1 2025 was (0.03) in Q1 2024[21]. - Total current assets decreased to 116,019,000 at December 31, 2024, a decline of 9.6%[45]. - Total liabilities decreased to 125,348,000 at December 31, 2024, a reduction of 4.5%[45]. - Cash and cash equivalents at the end of Q1 2025 were 24,631,000 at the end of Q4 2024[48]. - Net cash used in operating activities for Q1 2025 was 50,000 in Q1 2024[48]. - Cash flows used in investing activities totaled 1,876,000 in Q1 2024[48]. - Comprehensive loss attributable to Village Farms International, Inc. shareholders was 6,815,000 in Q1 2024, indicating a slight improvement[46]. Cannabis Operations - Canadian Cannabis net income increased 258% year-over-year to 6.7 million[5][18]. - International medical export cannabis sales surged 285% year-over-year, contributing to gross margin expansion in Canadian Cannabis to 36%[5][10]. - Village Farms commenced cannabis sales in the Netherlands, marking its entry into the European recreational market, with sales beginning in late February 2025[5][10]. - The company plans to complete its Phase II facility in Groningen by Q1 2026, which is expected to quintuple annual production capacity[4][10]. - Retail branded sales in Canadian Cannabis decreased by 20%, while non-branded sales increased by 3% in Canadian dollars[10][19]. - The company maintained a top three market share position in Canada despite a reduction in lower-margin branded sales[5][16]. - Sales breakdown for Q1 2025 included 34,837 from Canadian Cannabis, and 40 million in cash proceeds and a 37.9% equity ownership interest in Vanguard Food LP from the privatization of certain Fresh Produce segment assets[3][4]. - The partnership with Terreva Renewables is expected to reduce greenhouse gas emissions by 475,000 metric tons of CO2 annually[36]. - The company is focusing on high-growth cannabinoid opportunities internationally, with strategic investments in international assets[34]. - The proposed spin-out of produce assets into a new joint venture is part of the company's future growth strategy[38]. - Village Farms has 2.6 million square feet of additional greenhouse capacity available in Canada for future expansion[33]. Management Outlook - Management cautioned that the results for the three months ended March 31, 2025, may not be indicative of future performance[22]. - For the three months ended March 31, 2024, the total net loss was 711,000[27]. - Adjusted EBITDA for the total company was 4,073,000[27].