LBUYLeafbuyer Technologies Inc., a leading marketing technology platform for the cannabis industry, has released its Form 10-Q report for the first quarter of 2025. The report highlights significant financial and operational metrics, reflecting the company’s performance amidst regulatory changes and market dynamics.
Financial Highlights
- Revenue: $1.9 million, a decrease of 42% compared to the same period in 2024 due to changes in FCC regulations affecting SMS/MMS marketing strategies.
- Gross Profit: $939,351, a decrease of 38% compared to the same period in 2024, primarily due to the decrease in revenue.
- Net Income (loss): $(124,623), compared to net income of $86,317 for the same period in 2024, reflecting the impact of reduced revenue and changes in operating expenses.
- Net Income (loss) per common share: Not explicitly stated in the report.
Business Highlights
- Business Overview: Leafbuyer Technologies Inc. has transitioned from a listing website to a comprehensive marketing technology platform, serving medical and recreational dispensaries in legalized cannabis states. The platform assists in new customer acquisition and provides retention tools such as texting/loyalty and order-ahead technology.
- Platform Reach: The Leafbuyer Technology Platform reaches millions of cannabis consumers monthly through its web-based platform, loyalty platform, and smart application technology. The platform allows clients to update menus, deals, and create real-time messages, providing a robust reporting feature to track return on investment.
- Regulatory Impact: In April 2025, the final phase of FCC 23-107 from the Federal Communications Commission took effect, impacting SMS/MMS marketing strategies by adding a mandatory age gate. This change affected all companies in the text marketing space, leading to a decrease in message volume and revenue.
- Platform Restructuring: Leafbuyer Technologies Inc. has restructured its platform to ensure 100% compliance with new regulations, allowing customers to send SMS or MMS messages without compliance concerns. Some customers have returned after realizing the industry-wide impact of the changes.
- Future Outlook: The company plans to grow organically through the aggressive deployment of sales and marketing resources into legal cannabis states. There is also a focus on developing innovative technologies to serve cannabis dispensaries and product companies in attracting and retaining consumers.
- Market Expansion: Leafbuyer continues to push into all legal cannabis states, with increasing marketing and sales presence in new markets as a primary objective. The company is also considering acquisitions to achieve significant market share growth.
- Industry Growth: The cannabis industry is rapidly evolving and highly regulated, with an estimated market size expected to exceed $70 billion in revenue by 2028, according to grandviewresearch.com. Leafbuyer aims to capitalize on long-term opportunities in this growing market.
SEC Filing: LEAFBUYER TECHNOLOGIES, INC. [ LBUY ] – 10-Q – Feb. 13, 2026
