Canadian Cannabis Sales Picked Up in October
- Statistics Canada reported that cannabis sales in October increased by 1.1% compared to September, reaching $456.3 million, although on a per-day basis, sales were lower.
- Total cannabis sales in 2023 increased by 14.2% to $5.16 billion, with 2024 showing a 0.1% increase from the previous year.
- Factors such as a rise in the number of stores and decreasing flower prices attracting consumers from the illicit market have contributed to the growth in cannabis sales.
- Hifyre IQ had forecast October sales at $478.7 million, but actual sales fell below this estimate. The data analytics provider predicts a further 4.4% decrease in November sales, with sales outside of flower and pre-rolls estimated to account for 29.9% in October and 30.8% in November.
Statistics Canada released October retail sales for the country, with cannabis sales increasing from the September levels, up 1.1% to C$456.3 million. This was a drop on a per-day basis. September, originally reported at C$443.9 million, was revised higher to C$451.2 million. The sales in October were up 1.6% from a year ago. This was down from the 20.3% August 2023 growth rate and above the prior lowest annual growth rate since legalization commenced of -2.8% in May. In 2023, total sales increased 14.2% to C$5.16 billion, and in 2024 they have increased 0.1% from a year ago.
An increase in the number of stores as well as falling flower prices that bring consumers from the illicit market have been boosting sales. In Ontario, the largest province in population, sales were down 1.3% from September and down 4% from a year ago. Alberta, which is the second-largest province, was up 5.9% from September and up 8% from a year ago. Quebec was up 2.3% from September and up 10% from a year ago, while British Columbia was down 1.0% from September as it fell 2% from a year ago.
Hifyre IQ had forecast October sales at C$478.7 million based upon its data, so this was below its estimate. The data analytics provider has been estimating November sales to be 4.4% lower, which would be 0.3% above the actual October level and up 6.7% from a year ago, based upon its data. Hifyre estimates sales outside of flower and pre-rolls at 29.9% in October and 30.8% in November.
The November sales data will be released on January 23rd.