Vext Science (VEXT) Q2 2026 earnings summary

Executive summary

• Completed Arizona cultivation wind down on schedule, shifting to a capital-light, retail-focused model in the state.

• Opened sixth Ohio dispensary in Fairfield, which is ramping up and has significant growth potential.

• Adjusted EBITDA grew for the second consecutive quarter, rising 22% sequentially to $3.4 million, with improved margins and profitability.

• Operating cash flow reached $1.2 million, reflecting inventory build in Ohio to support future growth.

• Focus remains on growing Ohio, finalizing Arizona repositioning, and paying down debt.

Financial highlights

• Q2 2026 revenue was $12.1 million, flat sequentially and down from $13.4 million year-over-year, driven by Arizona wholesale reduction.

• Gross profit rose to $6.7 million from $4.9 million a year ago; gross margin improved to 55% from 36%.

• Adjusted EBITDA was $3.4 million (28.3% margin), up from $2.8 million (23.1%) in Q1 2026.

• Net loss narrowed to $0.3 million from $1.5 million a year ago, an 80% improvement.

• Generated $1.2 million in operating cash flow, about a 10% margin.

Outlook and guidance

• Expect improved performance in the second half as Arizona repositioning takes hold and Ohio inventory converts to cash.

• Seventh Ohio dispensary in Columbus to open Q1 2027 under a dual-use license; on track to reach state cap of eight dispensaries in 2027.

• Capital priorities: strengthen balance sheet, pay down debt, and fund Ohio growth from internal cash flow.

• Growth in H2 2026 anticipated from Fairfield contribution and momentum in existing Ohio dispensaries.

• Proceeds from Eloy property sale to be used for debt reduction, strengthening the balance sheet.