SNDL reports record Q4 2024 revenue growth

SNDL held its fourth quarter earnings call on March 18, 2025. The company reported record financial results for 2024, including net revenue and gross profit, attributing this success to strong performance in its cannabis segments, which experienced consistent revenue growth. The cannabis business saw a year-over-year revenue increase of 16.5%, while the liquor segment faced challenges due to a slowdown in the market. Nonetheless, SNDL managed to improve profit margins and cash flow in its liquor operations, achieving record profitability. The company ended the year with positive free cash flow of $9 million and significant reserves, having $218 million in cash and no debt. Management emphasized that these results reflect their commitment to operational efficiency and fiscal discipline. SNDL also discussed various strategic initiatives, including acquiring Indiva, which positions them as the largest manufacturer of infused edibles in Canada. The company is actively pursuing further growth, including a listing on the Canadian Stock Exchange. During the Q&A, analysts asked about the liquor segment's struggles despite improving margins and about the performance of U.S. investments amid a tough market environment. SNDL's leaders expressed confidence in the long-term potential of their U.S. investments, emphasizing a focus on growth in Canada. In summary, SNDL is pleased with its operational achievements and is optimistic about future growth, especially in its cannabis business, while continuing to improve its financial performance and strategic positioning.