Village Farms International (NASDAQ:VFF) cemented its transition from a traditional greenhouse grower to a high-margin cannabis producer, reporting record consolidated net income of $21 million, or $0.19 per share, for the full year 2025.
The Vancouver-based company’s pivot toward the burgeoning global digital and medical cannabis markets appears to be paying off.
International export sales skyrocketed 384% year-over-year, providing a high-growth counterbalance to the domestic Canadian market.
Within Canada, the company maintained its efficiency lead, reporting a gross margin of 43% for its cannabis segment—a figure that remains among the highest in the peer group.
For the fourth quarter, net sales rose 9% to $49.6 million, while full-year adjusted EBITDA reached $49.9 million.
This operational strength translated directly to the balance sheet, with the company generating $58.1 million in operating cash flow and ending the year with a cash position of $86 million.
Management has used this liquidity to lean into shareholder returns, repurchasing $6.7 million of shares since the third quarter.
The company is now eyeing 2026 as a year of significant capacity expansion.
Management confirmed that the Delta 2 facility upgrade and the Netherlands Phase II expansion remain on time and under budget.
These projects are expected to provide incremental production throughout the coming year, positioning Village Farms to capture further share in the European market as regulatory landscapes continue to evolve.