At year-end was back to fully planted with legacy greenhouses and the most overall acreage planted in Glass House history
Full year 2026 wholesale cannabis biomass production is forecasted to be approximately 1,000,000 pounds, up approximately 50% from 2025.
Year-end 2025 cash and restricted cash balance was $23.4 million, forecasting year-end 2026 cash to exceed $50 million.
Conference call to be held today March 24, 2026, at 5:00 p.m. ET
LONG BEACH, Calif and TORONTO, March 24, 2026 (GLOBE NEWSWIRE) -- Glass House Brands Inc. ("Glass House" or the "Company") (CBOE CA: GLAS.A.U) (CBOE CA: GLAS.WT.U) (OTCQX:GLASF) (OTCQX:GHBWF), one of the fastest-growing, vertically integrated cannabis companies in the U.S., today reported financial results for the fourth quarter and year ended December 31, 2025.
Fourth Quarter 2025 Highlights
(Unless otherwise stated, all results and dollar references are in U.S. dollars)
Revenue of $38.9 million, in-line with guidance and compared to $53.0 million in Q4 2024 and $38.4 million in Q3 2025.
Gross Profit Margin was 34%, compared to 43% in Q4 2024 and 31% in Q3 2025.
Adjusted EBITDA1 was negative $(3.3) million, compared to $9.0 million in Q4 2024 and negative $(2.3) million in Q3 2025.
Operating Cash Flow was negative $(3.7) million, compared to $8.2 million in Q4 2024 and negative $(5.1) million in Q3 2025.
Equivalent Dry Pound Production2 was 159,131 pounds, ahead of guidance of 140,000 and 145,000 pounds and compared to a decrease of 4% year-over-year.
Cost per Equivalent Dry Pound of Production3 was $129 per pound, compared to $110 per pound in the same period last year.
Cash, Restricted Cash and Cash Equivalents balance was $23.4 million at year-end versus $29.8 million at the end of Q3 2025.
Management Commentary
"Our first half of 2025 results, particularly in the second quarter, reflected strong execution across key metrics including biomass production scale, cost of production and operating cash flow yield," said Kyle Kazan, Co-Founder, Chairman and CEO of Glass House. "In the second half of 2025, our results were impacted by events outside of our control, and actions taken to mitigate the impacts of these and to ensure our long-term success. The resulting scaling back of new planting and production meaningfully impacted results in the second half of the year."
"We have navigated these short-term hurdles that we faced in the second half of 2025 and we ended the year fully planted in each of our legacy greenhouses. Now, with the first 1/3 of Greenhouse 2 planted, our cultivation team has planted the most acreage in Glass House's history. We also accelerated expansion plans with the remaining buildout of Greenhouse 2 and the light retrofit and buildout of Greenhouse 4, which will be our first commercial hemp endeavor."
"In summary, 2025 was a year of great progress for our company. While we faced challenges, we rose to meet them. Because of that, we have built a stronger foundation for sustainable growth and profit expansion than existed before our setbacks. This will be reflected in results as we progress this year and we anticipate progressive revenue acceleration throughout the course of the year. We expect to achieve this before factoring in the potential benefit of any sales outside of California for our cannabis plants, something that we continue to believe is achievable in the near term, or before any contributions from hemp sales," Mr. Kazan concluded.
Fourth Quarter 2025 Operational Highlights and Subsequent Events
Glass House Brands becomes the first U.S-based plant touching cannabis operator whose stock can be traded on the Robinhood platform
Glass House Brands Applauds Cannabis Reform Action
University of California Berkeley and Glass House Collaboration Leads to State-Funded Research on Cannabis Crop Yields
Glass House Brands Announces Accelerated 2026 Expansion Strategy
Glass House Brands Announces Appointment of Alison Payne, Heineken USA Chief Marketing Officer, to its Board of Directors
Glass House Brands Board of Directors Establishes Product Expansion Committee to Support New Product and Business Development
Q4 2025 Financial Results Discussion
Revenues for Q4 2025 were $38.9 million, in-line with guidance of $37 million to $39 million and compared to $53.0 million in fourth quarter 2024 and $38.4 million in third quarter 2025. The decline is attributed to lower wholesale revenue due to reduced production.
The wholesale biomass segment revenue was $22.6 million, accounting for 58% of total revenue. Biomass production reached 159,131 pounds, exceeding guidance of 140,000 and 145,000 pounds and 4% lower year-over-year.
Q4 2025 retail revenue was $11.9 million, versus $12.3 million in the previous quarter and up 1% compared to $11.8 million the fourth quarter last year. Retail gross profit margin was 47% in the fourth quarter, compared to 50% in the third quarter.
Wholesale CPG revenues totaled $4.3 million, representing a 13% sequential decrease and 13% year-over-year decrease.
Consolidated gross profit for the fourth quarter was $13.2 million, compared to $22.8 million for the year-ago period and $11.8 million in Q3 2025. Gross profit margin was 34%, compared to 43% in the fourth quarter of 2024 and 31% in the third quarter of 2025.
Average selling price was $146 per pound, compared to $220 in the fourth quarter of 2024 as the Company is still operating amidst challenged California pricing conditions.
General and administrative expenses were $18.5 million for the fourth quarter of 2025, compared to $14.8 million last year and $15.9 million in the third quarter of 2025.
Sales and marketing expenses were $0.48 million, down from $0.64 million during the same period last year and down from $0.70 million in the prior quarter.
Professional fees were $2.9 million in Q4, versus $2.5 million in Q3 2025 and $1.4 million in Q4 2024.
Depreciation and amortization in Q4 2025 were $4.0 million, flat with Q3 2025 and up slightly from $3.9 million in the same period last year.
Adjusted EBITDA was negative $(3.3) million, compared to negative $(2.3) million in the third quarter of 2025 and $9.0 million versus the same period last year. Adjusted EBITDA reflects the factors that impacted our gross margin performance as well as a modest increase in operating expenses.
Operating cash flow was negative $(3.7) million, compared to $8.2 million in the year-ago period and negative $(5.1) million in the third quarter of 2025.
At December 31, 2025, the Company had $23.4 million of cash and restricted cash, compared to $29.8 million at the start of the fourth quarter. The Company spent $2.4 million in capex in the fourth quarter, which was mostly for Phase III expansion at Camarillo. The Company also paid $2.5 million in preferred stock dividend payments and $0.2 million in principal on notes payable.
Year End 2025 Financial Results Discussion
Revenues for full year 2025 totaled $182.0 million, compared to $200.9 million in 2024 as we produced at a lower overall scale.
Wholesale biomass revenue was $114.2 million, compared to $139.1 million in 2024. The Company sold 643,000 pounds of wholesale biomass in 2025 versus 568,000 pounds in 2024, a 13% increase. Average selling price was $177 per pound during 2025, versus $245 per pound in 2024. Production grew 10% to 666,433 pounds, compared to 608,478 pounds in 2024.
Retail revenue reached $48.2 million and increased by 10% versus 2024.
Wholesale CPG revenues were $19.5 million, compared to $18.0 million in 2024.
Full year consolidated gross profit was $77.0 million, compared to $97.4 million in 2024. Full year gross profit margin was 42%, a decline of 6% compared to 48% for full year 2024.
General and administrative expenses were $64.1 million in 2025, compared to $60.1 million in 2024.
Sales and marketing expenses were $2.7 million, compared to $2.4 million in 2024.
Professional fees were $9.1 million, compared to $7.8 million in 2024.
Depreciation and amortization for the full year 2025 was $15.8 million, compared to $15.0 million for the full year 2024.
For the full year, we generated $17.0 million of Adjusted EBITDA or a 9% Adjusted EBITDA margin, compared to Adjusted EBITDA of $40.3 million in 2024.
Full year 2025 operating cash flow was $11.4 million, versus $28.4 million in 2024 due mainly to gross profit decline.
Full Year 2026 Outlook
The Company anticipates progressive revenue scaling during the course of 2026 with full year revenue to be between $235 and $245 million before factoring in the potential benefit of any sales outside of California for our cannabis plants or contributions from hemp sales.
Full year 2026 wholesale biomass production is forecasted to be approximately 1,000,000 pounds of biomass which is a 50% increase to 2025. Cost of production is anticipated to be approximately $100 per pound, down 10% from 2025 while the average selling price is expected to be in the mid $180 per pound level. The anticipated average selling price compares to $177 in 2025 as the Company expects improved quality and mix in production compared to last year, particularly in the second half of 2026.
Full year gross margin is projected to be roughly 48% this year and full year adjusted EBITDA to is projected to be in the high $40 million range. This will result in full year ending cash exceeding $50 million inclusive of approximately $20 million capex to complete the full retrofit of Greenhouse 2 including adding new high efficiency, low energy lighting and a capex light retrofit of Greenhouse 4 for the hemp production.
Financial results and analyses will be available on the Company's website on the ‘Investors' and ‘News & Events' drop down menus (www.glasshousebrands.com) and SEDAR+ (www.sedarplus.ca).
Unless otherwise stated, all results are in U.S. dollars.
Net Income / Loss
(in thousands)
FY23
FY24
FY25
Revenues, Net
$
160,836
$
200,898
$
181,984
Cost of Goods Sold
79,867
103,505
105,024
Gross Profit
80,969
97,393
76,960
% of Net Revenue
50
%
48
%
42
%
Operating Expenses:
General and Administrative
52,914
60,126
64,098
Sales and Marketing
2,838
2,418
2,669
Professional Fees
7,304
7,768
9,062
Depreciation and Amortization
14,627
15,044
15,764
Impairment
52,815
6,300
1,900
Total Operating Expenses
130,498
91,656
93,493
Income (Loss) from Operations
(49,529
)
5,737
(16,533
)
Interest Expense
9,819
9,184
7,058
(Gain) Loss on Change in Fair Value of Contingent Liabilities and Shares Payable
24,399
(13,724
)
—
Other (Income) Expense, Net
4,371
(942
)
(6,573
)
Total Other (Income) Expense, Net
38,589
(5,482
)
485
Income Taxes
9,943
10,498
11,934
Net Income (Loss)
$
(98,061
)
$
721
$
(28,952
)
Adjusted EBITDA
(in thousands)
FY23
FY24
FY25
Net Income (Loss) (GAAP)
$
(98,061
)
$
721
$
(28,952
)
Depreciation and Amortization
14,627
15,044
15,764
Interest, Net
9,819
9,184
6,770
Income Tax Expense
9,943
10,498
11,934
EBITDA (Non-GAAP)
(63,672
)
35,447
5,516
Adjustments:
Share-Based Compensation
7,637
13,098
13,402
Stock Appreciation Rights Expense
219
262
28
(Gain) Loss on Equity Method Investments
2,102
(14
)
(84
)
Change in Fair Value of Derivative Asset and Liability
28
(690
)
2,070
Impairment Expense for Goodwill
37,912
—
—
Impairment Expense for Intangible Assets
14,903
6,300
1,900
Change in Fair Value of Contingent Liabilities and Shares Payable
24,399
(13,724
)
—
Loss on Extinguishment of Debt
—
—
292
Employee Retention Tax Credit
—
(423
)
(9,643
)
Non-Recurring Asset Casualty Loss
—
—
939
Non-Recurring Legal and Professional Fees
—
—
2,547
Loan Amendment Fee
1,000
—
—
Adjusted EBITDA (Non-GAAP)
$
24,528
$
40,256
$
16,967
Select Cash Flow Information
(in thousands)
FY23
FY24
FY25
Net Income (Loss)
$
(98,061
)
$
721
$
(28,952
)
Depreciation and Amortization
14,627
15,044
15,764
Share-Based Compensation
7,637
13,098
13,402
Impairment Expense for Goodwill and Intangibles
52,815
6,300
1,900
(Gain) Loss on Change in Fair Value of Contingent Liabilities and Shares Payable
24,399
(13,724
)
—
Other
7,948
2,908
6,836
Cash From Net Income (Loss)
9,365
24,347
8,950
Accounts Receivable
(172
)
(1,481
)
(547
)
Income Taxes Receivable
—
(1,929
)
1,138
Prepaid Expenses and Other Current Assets
3,883
(3,902
)
(2,262
)
Inventory
2,361
(5,412
)
(11,975
)
Other Assets
191
215
3,442
Accounts Payable and Accrued Liabilities
5,985
8,413
5,817
Income Taxes Payable
278
(5,471
)
(2,408
)
Other
1,333
13,612
9,292
Working Capital Impact
13,859
4,045
2,497
Operating Activities Cash Flow
23,224
28,392
11,447
Purchases of Property and Equipment
(12,309
)
(10,294
)
(27,179
)
Other
(405
)
—
(563
)
Investing Activities Cash Flow
(12,714
)
(10,294
)
(27,742
)
Proceeds from the Issuance of At-the-Money Shares
—
—
2,182
Proceeds from the Issuance of Notes Payable and Preferred Shares, Net of Redemption of Preferred Shares
15,363
—
52,093
Payments on Notes Payable, Third Parties and Related Parties
(696
)
(7,557
)
(42,893
)
Distributions to Preferred Shareholders
(6,331
)
(7,749
)
(8,305
)
Other
(466
)
1,607
(355
)
Financing Activities Cash Flow
7,870
(13,699
)
2,722
Net Increase (Decrease) in Cash, Restricted Cash and Cash Equivalents
18,380
4,399
(13,573
)
Cash, Restricted Cash and Cash Equivalents, Beginning of Period
14,144
32,524
36,923
Cash, Restricted Cash and Cash Equivalents, End of Period
$
32,524
$
36,923
$
23,350
Select Balance Sheet Information
(in thousands)
FY23
FY24
FY25
Cash and Restricted Cash
$
32,524
$
36,923
$
19,850
Accounts Receivable, Net
3,979
5,221
4,417
Income Taxes Receivable
—
1,929
791
Prepaid Expenses and Other Current Assets
3,873
7,775
15,664
Inventory
8,840
14,252
26,227
Notes Receivable
—
—
800
Total Current Assets
49,216
66,100
67,749
Operating and Finance Lease Right-of-Use Assets, Net
10,860
10,736
5,911
Long Term Investments
2,327
2,341
—
Property, Plant and Equipment, Net
215,686
212,252
228,760
Intangible Assets, Net
21,213
14,200
11,577
Restricted Cash, Net of Current Portion
—
—
3,500
Other Assets
4,473
4,873
1,060
TOTAL ASSETS
$
303,775
$
310,502
$
318,557
Accounts Payable and Accrued Liabilities
$
26,932
$
31,128
$
35,970
Income Taxes Payable
7,879
2,408
—
Contingent Shares and Earnout Liabilities
34,589
20,265
—
Shares Payable
8,570
2,579
—
Current Portion of Operating and Finance Lease Liabilities
1,839
2,454
1,952
Current Portion of Notes Payable
7,550
7,644
37
Total Current Liabilities
87,359
66,478
37,959
Operating and Finance Lease Liabilities, Net of Current Portion
9,224
8,548
3,954
Other Non-Current Liabilities
5,443
20,869
33,413
Notes Payable, Net of Current Portion
56,513
50,552
68,629
TOTAL LIABILITIES
158,539
146,447
143,955
Preferred Equity Series B, C, D and E
78,153
86,363
92,500
Additional Paid-In Capital, Accumulated Deficit and Non-Controlling Interest
67,083
77,692
82,102
TOTAL MEZZANINE EQUITY AND SHAREHOLDERS' EQUITY
145,236
164,055
174,602
TOTAL LIABILITIES, MEZZANINE EQUITY AND SHAREHOLDERS' EQUITY
$
303,775
$
310,502
$
318,557
Net Income / Loss
(in thousands)
Q4 2024
Q3 2025
Q4 2025
Revenues, Net
$
53,039
