Ascend Wellness (OTCMKTS:AAWH) Releases Earnings Results, Misses Estimates By $0.01 EPS

Ascend Wellness (OTCMKTS:AAWH) released its quarterly earnings results on Thursday. The company reported ($0.14) EPS for the quarter, missing analysts’ consensus estimates of ($0.13) by ($0.01), Zacks reports.

Here are the key takeaways from Ascend Wellness’ conference call:

• Third-quarter net revenue rose 3.1% sequentially and 4.2% year over year to $130 million; Adjusted EBITDA increased 7% sequentially to $31.1 million, with margin expanding to 23.9%. Operating cash flow was positive at $5.4 million despite a $19.1 million interest payment.
• Ascend reached 61 stores after quarter-end, ahead of its 60-store target, and retail sales grew 5.5% sequentially to 75.2% of revenue. Transactions hit a company record, while management said new stores and further acquisitions remain central to its expansion strategy.
• Management reported cultivation yields up 21% since the first quarter of 2025, alongside improved premium-flower output and product quality. It also cited brand strength across core markets and plans to begin licensing select products in Canada in early 2027.
• For the fourth quarter, management expects only 1%–2% top-line growth and Adjusted EBITDA margin roughly in line with Q3, citing seasonal discounting, continued price compression, and the time required for new stores to ramp.
• Wholesale revenue fell 3.6% sequentially, largely due to the July Illinois work stoppage, though September was the channel’s strongest month of the quarter. Management said the broader shift toward retail is intentional, as it reduces reliance on wholesale and supports higher margins.

Ascend Wellness Trading Down 4.3%

OTCMKTS:AAWH traded down $0.02 during mid-day trading on Thursday, hitting $0.35. 187,924 shares of the company’s stock traded hands, compared to its average volume of 108,511. The firm has a market capitalization of $71.10 million, a price-to-earnings ratio of -0.61 and a beta of 1.22. The firm has a 50 day moving average of $0.46 and a two-hundred day moving average of $0.49. Ascend Wellness has a 12 month low of $0.34 and a 12 month high of $1.20.

Ascend Wellness Company Profile

Ascend Wellness Holdings, Inc. is a vertically integrated cannabis company that cultivates, manufactures, and sells cannabis products in the United States. The company serves both medical and adult-use markets, subject to applicable state regulations. Ascend’s product portfolio includes flower, pre-rolls, vapes, concentrates, edibles, and other cannabis products sold under brands such as Ozone, Simply Herb, Common Goods, and &Shine. The company distributes products through its own retail dispensaries and through wholesale channels serving third-party cannabis retailers.