2025 State of the Cannabis Industry Report

This report provides a comprehensive analysis of the cannabis industry as of 2025, focusing on business health, growth opportunities, and external factors affecting market dynamics. It includes insights gathered from nearly 200 businesses that contributed their perspectives on financial health, growth drivers, and legislative influences. The data reveals that 63% of cannabis companies report strong financial health, with non-plant-touching businesses showing a higher likelihood of financial stability compared to plant-touching counterparts. Furthermore, businesses anticipate growth through entry into new markets and product diversification, with 77% expecting sales growth in 2024. The report also highlights how external factors, such as legislative changes and material costs, play a significant role in shaping the industry's future. Insights from industry experts further contextualize the data and trends, indicating the evolving landscape of the cannabis market and the strategies businesses are adopting to navigate challenges and seize opportunities.