- Q1 Revenue Grew 5.91% YoY to $26.7 million - Ended quarter

Published 1 day ago• 11 minute read

2025-05-29 16:05 ET - News Release

- Q1 Revenue Grew 5.91% YoY to $26.7 million
- Ended quarter with $30.7 million of cash and cash equivalents
- New York operations continuing to progress as Buffalo cultivation facility nears completion

TAMPA, Fla., May 29, 2025 (GLOBE NEWSWIRE) -- FLUENT Corp. (CSE: FNT.U) (OTCQB: CNTMF) ("FLUENT" or the "Company"), a vertically-integrated, multi-state cannabis company, today announced its financial and operating results for the first quarter ended March 31, 2025. Unless otherwise indicated, all financial results are presented in U.S. dollars.

“In Q1 2025, we generated $26.7 million in revenue, a 5.9% increase year-over-year, despite continued price compression and increased market saturation in Florida,” said Robert Beasley, Chief Executive Officer of FLUENT. “While adjusted EBITDA declined to $3.5 million, largely due to softness in Florida, our core fundamentals remain strong. We continue to invest in infrastructure and brand development to support long-term growth. Despite industry-wide challenges this quarter, we remained focused on disciplined execution.”

Beasley added, “In New York, integration of the RIV Capital assets is progressing well, with the Buffalo cultivation facility nearing completion and the FLUENT retail rebrand underway. In Florida, we launched new products and completed construction of the Roza facility, expanding production capacity ahead of our next planned harvest. Our cash position of $30.7 million, up from $8.5 million a year ago, gives us the flexibility to support near-term priorities and long-term growth.”

He concluded, “While macro and regulatory uncertainties remain, we are focused on strengthening our core markets, managing costs, and positioning the company to adapt and grow as market conditions evolve.”

Company Footprint:

Florida:

New York:

Texas:

Currently operating one production facility and a delivery program.
Commenced construction of the Houston Education and Pick-Up Center, with an expected opening in Q3 2025.

Pennsylvania:

Currently operating three retail locations in the state.

The company is actively monitoring legislative developments and is encouraged by the accelerating momentum toward adult-use legalization in Pennsylvania and the potential expansion of the medical program in Texas, both of which represent promising future growth catalysts.

_____________________________
¹ Gross profit before fair value adjustments is a non-IFRS financial measure that does not have any standardized meaning prescribed by IFRS and may not be comparable to similar measures presented by other companies. The Company calculates gross profit before fair value adjustments from gross profit plus (minus) the changes in fair value of biological assets, as presented in the consolidated statement of operations.

The Company will host a conference call and live audio webcast today at 4:30 p.m. Eastern time to discuss its financial and operational results, followed by a question-and-answer period.

Date: Thursday, May 29, 2025
Time: 4:30 p.m. Eastern time
Toll-free dial-in number: 1-844-763-8274 (toll -free)
International dial-in number: 1-412-717-9224 (international)

Join Instructions: Participants to ask to be joined into the FLUENT Corp. call.

Link: FLUENT Corp Conference Call

Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization.

The conference call will also be available for replay for up to two weeks via the News & Events section of the Company’s investor relations website at https://investors.getFLUENT.com/.

Certain information in this news release may constitute forward-looking information within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. In some cases, but not necessarily in all cases, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "targets", "expects" or "does not expect", "is expected", "an opportunity exists", "is positioned", "estimates", "intends", "assumes", "anticipates" or "does not anticipate" or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", "will" or "will be taken", "occur" or "be achieved". In addition, any statements that refer to expectations, projections, or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts but instead represent the Company's expectations, estimates, and projections regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of the Company's control.

Forward-looking information is necessarily based on many opinions, assumptions, and estimates that, while considered reasonable by the Company as of the date of this news release, are subject to known and unknown risks, uncertainties, assumptions, and other factors that may cause the actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information, including but not limited to the factors described in the public documents of the Company available on its SEDAR+ profile at www.sedarplus.ca. These factors are not intended to represent a complete list of the factors that could affect the Company; however, these factors should be considered carefully. There can be no assurance that such estimates and assumptions will prove to be correct. The forward-looking statements contained in this news release are made as of the date of this news release, and the Company expressly disclaims any obligation to update or alter statements containing any forward-looking information, or the factors or assumptions underlying them, whether as a result of new information, future events or otherwise, except as required by law.

For further information visit: https://getfluent.com/ and https://investors.getFLUENT.com/

[email protected]

Robert Beasley, CEO
(850) 972-8077









Current assets
Cash and cash equivalents	$	30,744		$	40,106
Accounts receivable		235			422
Biological assets		3,298			3,162
Inventory, net		20,051			15,155
Prepaid expenses and other current assets		1,824			2,587


Property and equipment, net		53,757			52,200
Intangible assets, net		37,315			37,590
Right-of-use assets, net		45,523			46,731
Goodwill		1,525			1,525
Deferred tax assets		1,248			1,039
Other assets		6,534			6,476



Current liabilities
Accounts payable	$	4,439		$	6,331
Accrued expenses		8,923			8,423
Income taxes payable		1,003			1,003
Derivative liabilities		1,691			2,148
Short term provision liability		5,000			4,957
Current portion of notes payable		458			755
Lease obligations - current portion		4,943			4,751


Long-term liabilities
Notes payable, net of current portion and financing costs		69,261			68,775
Lease obligations, net of current portion		51,168			51,727
Deferred tax liability		5,542			4,817
Uncertain tax position		48,176			43,314
Long term provision liability		8,980			9,044
Convertible notes, net		6,729			6,482
Other long-term liabilities		3,447			3,447



Shareholders' equity
Share capital		206,419			206,419
Share-based compensation reserve		7,300			7,275
Equity conversion feature		7,097			7,097
Warrants		29,634			29,634
Accumulated deficit		(266,961	)		(258,211	)
Accumulated other comprehensive income (loss)		(1,196	)		(1,196	)








Revenue, net	$	26,717		$	25,227
Cost of goods sold		14,195			12,966


Fair value adjustments on inventory sold		(301	)		1,628
Unrealized gain (loss) on changes in fair value of biological assets		3,025			1,047



General and administrative		4,894			3,963
Sales and marketing		6,319			5,434
Depreciation and amortization		2,025			1,730
Share-based compensation		25			49





Finance costs, net		4,423			4,711
Gain on change in fair value of derivative liability		(457	)		(1,687	)
Loss on disposal of assets		-			212
Other expense, net		12			2
		3,978			3,238

		(1,996	)		522

Income tax expense		6,754			4,685










Net loss	$	(8,750	)	$	(4,163	)


Bargain purchase gain on business combination
Loss on issuance and extinguishment of debt instruments, net
Intangible assets impairment
Unrealized (gain) loss on changes in fair value of biological assets		(3,025	)		(1,047	)
Realized (gain) loss on fair value amounts included in inventory sold		301			(1,628	)
Share-based compensation expense		25			49
Depreciation and amortization		4,553			3,703
Accretion and interest expense		4,332			4,686
Net change in fair value of derivative		(457	)		(1,687	)
Loss on dispositions of fixed assets		-			212
Uncertain tax position		4,862			-
Deferred tax expense		516			1,216
Changes in non-cash working capital
Accounts receivable		187			(17	)
Inventory		3,279			3,939
Biological assets		(5,587	)		(3,551	)
Prepaid expenses and other current assets		763			747
Right of use assets / liabilities		(1,000	)		(1,317	)
Other assets		(58	)		(90	)
Accounts payable		(1,892	)		630
Accrued expenses		500			(4,192	)
Income taxes		-			6,938
Other long-term liabilities		-			(375	)



Purchase of property and equipment	$	(4,179	)	$	(2,948	)
		(4,179	)	$	(2,948	)

Cash flows provided by used in financing activities
Principal repayments of notes payable		(2,681	)		(2,340	)
Payment of lease obligations		(1,051	)		(765	)
Net cash used in financing activities	$	(3,732	)	$	(3,105	)

Net decrease in cash and cash equivalents	$	(9,362	)	$	(2,000	)

Cash, beginning of period		40,106			10,521

Cash, end of period	$	30,744		$	8,521


Fluent Corp.
EBITDA AND ADJUSTED EBITDA CALCULATION
For the three months ended March 31, 2025 and March 31, 2024
(USD '000)

	For the three months ended
	March 31, 2025			March 31, 2024
Net loss	$	(8,750	)	$	(4,163	)
Finance costs, net		4,423			4,711
Income taxes		6,754			4,685
Depreciation and amortization		4,014			3,702
EBITDA	$	6,441		$	8,935


	For the three months ended
	March 31, 2025			March 31, 2024
EBITDA	$	6,441		$	8,935
Change in fair value of biological assets		(2,724	)		(2,675	)
Change in fair market value of derivative		(457	)		(1,687	)
Professional fees⁽¹⁾		74			1,789
One-time employee costs⁽²⁾		133			160
Share-based compensation		25			49
Loss on disposal of assets		-			212
Other non-recurring expense		12			2
Adjusted EBITDA	$	3,504		$	6,785

(1) Legal and professional fees associated with potential transactions and professional fees associated with prior periods.
(2) Severance and relocation costs.