Rubicon Organics Inc. brought in nearly $9 million in net revenue in the first three months of 2024 while reporting a $1.7 million loss on operations and a $423,212 loss on adjusted EBITDA.

The certified organic BC cannabis producer reported net revenue of $8.9 million for the three months ended March 31, 2024, a 1% increase from the same period in 2023. This amounted to $2.4 million in gross profit.

With its Simply Bare, Wildflower, and 1964 Supply Co. brands, Rubicon is the number one premium licensed producer across all product categories, according to data from Hifyre. The company also sells cannabis under its Homestead and Lab Theory brands.

Rubicon also recently launched a line of full spectrum extract vapes in Alberta, BC, and Ontario.

Rubicon CEO Margaret Brodie attributes the “challenging” first quarter to “seasonality and the overhang of weak consumer sentiment from 2023.” The company expects improvements in Q2.

“I expect to recover from this temporary dip from our streak of positive Adjusted EBITDA in Q2. In Q1, a changing product mix reduced our gross margin, but this spring we’ve shifted focus to higher-margin products, expecting improved results in Q2 and beyond. Our Q1 working capital investment for product launches is expected to come to fruition delivering further net revenue growth starting in Q2. Additionally, our first-half results are influenced by the ongoing one-time ERP implementation.”

The company is also launching several new cultivars like BC Organic Zookies, BC Organic Power Mintz, BC Organic Fruit Loopz, and Blue Dream.