A recent report by Beacon Securities, on the cannabis industry in Florida provides insights into campaign donations, political endorsements, market competition, and financial forecasts.
Libertarian Endorsement
According to the report the Libertarian Party of Florida has formally endorsed the adult-use legalization measure. This endorsement could signal a shift in voter sentiment, as the party advocates for personal freedom regarding cannabis use. The growing political support from various parties highlights the increasing acceptance of cannabis legalization.
Hemp Industry's Political Contributions
CBS News reported that hemp executives pledged $5M in donations to Florida’s Republican Party after Governor DeSantis vetoed a bill that would have negatively impacted the hemp industry.
The report indicated that the veto was seen as a strategic move, with WhatsApp messages from the group Save Florida Hemp suggesting the veto secured the hemp industry's alignment with Governor DeSantis against the adult-use legalization measure on the November ballot.
Read Also: Ron DeSantis, Florida's GOP And Hemp Industry Pile On To Defeat Marijuana Legalization
New Dispensaries, Market Share, and Competition
Trulieve Cannabis (OTC:TCNNF), leading the market with 140 locations, continues to expand, recently opening a new dispensary in Gulf Breeze. Verano Holdings follows with 77 locations, aiming to increase its market presence.
The competition among major players like Trulieve, Curaleaf (OTC:CURLF), and Verano (OTC:VRNOF) is intensifying, with each company employing strategies to capture more market share.
Data from the Florida Department of Health shows that these companies are driving significant sales of both flower and oil-based products, as per Beacon’s report.
Financial Performance
Verano Holdings and Curaleaf Holdings are expected to report their Q2 results on August 7th, with Verano forecasting revenue and adjusted EBITDA at the lower end of estimates.
Rescheduling and elimination of 280E tax penalties are anticipated to substantially boost operating cash flow and free cash flow for these companies.
Read Next: How A Trump Return Could Reshape Marijuana Policy
These issues will be a hot topic at the upcoming Benzinga Cannabis Capital Conference in Chicago this Oct. 8-9. Join us to get more insight into what the wave of weed legalization means for the future of investing in the industry. Hear directly from top executives, investors, advocates, and policymakers. Get your tickets now before prices go up by following this link.
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