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Kanabo
London Stock Exchange-listed (LSE) UK medical cannabis operator Kanabo has published its broad financial results for 2024, revealing growing revenue and falling losses.
In an update published this week, the digital health service reported a 44% increase in revenue for the full year to £1.3m, up from £0.9m in 2023.
This increase in revenue appeared to be balanced across the whole year, with the company reporting a 55% increase for H1 of 2024 in September to £694k.
The double-digit growth was attributed to numerous ‘strategic initiatives’ including a raft of AI integration across its operations, alongside its ongoing cultivation project in Spain.
At its flagship digital ‘GP Service’, Kanabo has integrated an AI-driven ‘DocNow’ system which automates and analyses patient information ahead of a consultation, reportedly increasing doctor’s consultation capacity from three to 20 sessions per hour.
It is also in ‘ongoing discussions’ regarding the integration of an ‘AI-powered triage system’, which it says generates 33% gross profit per consultation, and sees less than 10% of AI-triaged cases rejected by clinical professionals.
Another key driver of this revenue growth has been Kanabo’s investment in Spain via its partially owned subsidiary Agritech. In March 2024, Business of Cannabis reported that Agritech had received a major investment to consult on the construction of a high-tech cultivation facility in the country.
This consultant venture has reportedly generated £226k in revenue throughout 2024 and promises to not only realise an additional £1m this year, but also sure up Kanabo’s supply chain with reliable access to medical cannabis APIs.
Despite these financial gains, the company is still a loss maker, posting an EBITDA loss of £1.9m in 2024.
While the company is still in the red, this was a significant improvement on 2023’s £2.2m loss, and Kanabo is confident that its cost reduction programme will continue to reduce these losses through 2025.
By the close of this year, Kanabo says it hopes to reduce losses by 20% through further automation of its processes. Already, in January 2025, the company says its general and administrative fixed costs fell by 14%, dropping from £91,449 average monthly costs in 2024 to £78,963.
“These savings stemmed from streamlined administrative processes, improved IT management, and ongoing automation efforts,” it said in an RNS statement.
Looking ahead, Kanabo anticipates further revenue growth, driven by both increasing market demand and increased efficiency. In Q1 of 2025, Kanabo says its clinic’s patient base grew by 51%, aided by ‘new partnerships with patient-focused organisations’.
Meanwhile, its monthly revenue increased by 406% year-on-year in January 2025, up from just £15,192 to £76,842.
Organigram
Canadian cannabis operator Organigram, which has an increasing presence across various European markets, announced this week that it has received its third and final investment from British American Tobacco (BAT).
In November 2023, the tobacco giant signed a deal to invest a further C$124.6m in Organigram in three separate tranches, seeing BAT retain a 30% of the cannabis company’s common shares.
Since BAT initially invested in Organigram in March 2021, the pair have also been working on a Product Development Collaboration (PDC), with an ‘accelerated focus on innovative cannabis science and R&D outside of combustibles’ with the fresh investment.
This week, BAT acquired the final tranche of Organigram shares as part of this deal, 7.56 million common shares and 5.33 million preferred shares at C$3.2203 per share, generating gross proceeds of C$41.5m
As previously reported, a significant portion of this funding was allocated to Organigram’s investment pool, Jupiter, which focuses on international expansion.
Following previous investments of C$21m in German cannabis company Sanity Group and C$2.7m in US-based Open Book Extracts, Organigram now has approximately C$57.8 million available for further investments.
It came just weeks after it hosted a Q1, 2025, earnings call in which its CEO, Beena Goldenberg, provided a clear picture of its progress across Europe.
Organigram’s key focus is Germany, and its flower exports are expected to increase markedly once its Moncton facility receives EU GMP certification, expected in Spring 2025.
It noted that currently, many non-EU GMP producers rely on third-party conversion facilities in countries like Portugal before exporting to Germany, meaning that EU-GMP certification will eliminate this middleman and improve margins.
It is also targeting Germany’s slated pilot projects, though given the current political climate, it’s questionable whether these will go ahead.
The company also suggested that the entirety of this final tranche of funding will be put towards its Jupiter pool, and will be used to fund further international investments.
Curity Pharma
Greek medical cannabis cultivator Curity Pharma has officially received its operating license from Greece’s Ministries of Development, Health, and Rural Development.
According to a market update this week, this license will allow the vertically integrated medical cannabis business to launch its operations immediately in the fledgling market.
Curity boasts a 67,000 sq metre facility that ‘operates in compliance with Good Manufacturing Practice (EU GMP) standards with a view to producing medical cannabis products to support the ‘rising demand’ across Europe and in the domestic market.
CEO and co-founder Manos Chatiras said: “This license marks the beginning of a new chapter for Curity Pharma and the medical cannabis industry.
“Greece is becoming an important player in the European medical cannabis sector, driving solutions based on science and advanced technology. Our vision for developing and producing innovative therapies is now coming to life.
“We are ready to implement our strategy to offer the best therapeutic solutions to Greek patients while also executing our export plan to establish Greek medical cannabis as a reference point across Europe.”
“}]] London Stock Exchange-listed (LSE) UK medical cannabis operator Kanabo has published its broad financial results for 2024, revealing growing revenue and falling losses. Read More
