For the quarter ended January 31, 2025 (Q2 2025), Mercanto Holdings Inc. (Formerly The Good Shroom) brought in just over $1 million in revenue, with a recorded loss of $109,215.
This compares to revenue of $1.1 million in the same quarter in 2024 and a profit of $56,017. Despite the latter, the company says its sales have stabilized over the past two quarters. The company incurred $163,201 in excise taxes in its most recent fiscal quarter.
The company currently sells cannabis products mainly in the Quebec market, representing 93% of its sales. However, it also has some listings in Alberta, Ontario, and Prince Edward Island as of Q1 of the current fiscal year.
Because of this heavy reliance on the Quebec market, Mercanto says its sales were significantly impacted by the SQDC’s announced rationalization of SKUs in their retail outlets in early 2024. Before these changes, the Company averaged about $70,000/week, which has since declined to approximately $55,000/week for the Quebec market.
The Good Shroom/Mercanto previously reported $691,382 in net revenue for the quarter ended October 31, 2024 (Q1 2025), but a net loss of $55,222.
The company announced a corporate name change to Mercanto Holdings Inc. in January 2025.
The company was first licensed as a micro processor in November 2019 before scaling up to a standard processing licence in October 2023. They recently released a THC-infused oral pouch under the Dyp brand in the Alberta market and released them into the Ontario market in January 2025.
Mercanto will launch this product in the Saskatchewan and New Brunswick markets in the upcoming quarters. It will also be made available to certain medical patient platforms, along with its other existing products. The company is also exploring options in the international market.
The company will also release four new products in May and expects to enter Quebec’s new vape market this fall.
“While our Q2 results reflect ongoing industry challenges and temporary softness in our core Quebec market, we remain confident in our long-term strategy,” says CEO Eric Ronsse. “Our financial discipline is a constant—reflected in our lean structure and efficient operations. Mercanto continues to operate with focus and the cash flow stability required to carry forward without interruption.”
“Despite recent stagnation in Quebec, it’s a market that has historically been very strong for us, and we remain optimistic about renewed growth once the rationalization process concludes—a process that is expected to persist through Q4 and into early Q1,” he added. “While several high-performing SKUs were removed entirely as part of this process—leading to a measurable hit to revenue in past quarters—sales have since stabilized. To mitigate this impact and support future growth, our innovation-driven national expansion strategy is well underway, with multiple product launches across new provinces and medical channels.”
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