Canadian cannabis retail sales in September were down 6.64% from August levels to $443.94 million, according to new Statistics Canada data. August, originally reported at $465.1 million was revised higher to $475.5 million, a new all-time high. Sales in September were down 1.8% from a year ago.
Cannabis sales, which experienced substantial year-over-year growth during the first four years of legalization, have shown a slowdown in growth over the past two years. In 2023, total sales increased 14.2% to $5.16 billion, and in 2024 they have decreased 0.3% from a year ago.
The four Maritime provinces experienced the most significant declines in monthly sales this September, with Prince Edward Island leading at a 14.49% drop, followed by New Brunswick with a 13.48% decrease. Notably, no province or major city reported an increase in sales.
Prairies
Cannabis sales across the Prairie provinces experienced consistent month-over-month declines in September, ranging from 7.04% in Manitoba ($18.17 million) and Saskatchewan ($15.84 million) to 7.66% in Edmonton ($25.43 million) and 7.44% in Alberta ($76.52 million).
Year-over-year performance, however, varied significantly. Alberta saw minimal growth at 0.08%, with Edmonton down 0.93% and Calgary declining 0.27%. Saskatchewan faced a larger annual drop of 3.05%. In contrast, Manitoba showed resilience with a 5.58% increase, led by Winnipeg’s strong 6.38% year-over-year growth.
In the AGLC’s new annual report, the agency brought in $63.9 million in revenue from $673.5 million worth of cannabis sold in the province for the fiscal year ending on March 31, 2024, reporting $10.8 million in net income after expenses. This is up from $60.4 million in net revenue but down from $18 million in net income in the 2022-2023 fiscal year.
Ontario
Cannabis sales in Ontario experienced declines across the board in September, with the province overall seeing a 4.66% drop from the previous month to $177.57 million and a 5.29% decrease year-over-year.
Ottawa reported a relatively small month-over-month decline of 1.17% to $16.83 million but had the steepest year-over-year drop at 10.25%. Toronto’s sales remained comparatively stable, down just 0.46% month-over-month to $55.54 million, though still declining 7.45% from the same period last year.
In November, the Ontario government introduced legislation that they say, if passed, will help tackle illicit cannabis sales by prohibiting advertising and promoting the sale of illicit cannabis through the Cannabis Control Act.
Quebec
Cannabis sales in Quebec cities experienced notable month-over-month declines in September, with Gatineau leading the drop at 10.93%, followed closely by Quebec City at 10.90%. Both cities also saw year-over-year declines, down 9.33% and 8.94%, respectively.
However, the province of Quebec showed resilience, with sales down 10.89% from August to $55.08 million but up 3.91% compared to last year. Montreal stood out with the strongest year-over-year growth of any major city, surging 16.77% despite a 10.89% month-over-month decline.
Quebec’s updated Economic and Financial Situation for Fall 2024 includes a projection of $379 million in revenue from the SQDC for 2024-2027.
British Columbia
Cannabis sales in British Columbia saw moderate declines in September, with a 4.31% drop compared to the previous month to $69.87 million and a slight 0.70% decrease year-over-year.
Vancouver, however, experienced a steeper decline, with sales falling 10.50% month-over-month to $20.88 million and 8.39% year-over-year.
After a long-awaited process, on November 4, Surrey City Council approved staff to initiate rezoning applications for 12 cannabis stores to be operated by eight businesses. This is the first time cannabis retailers will be able to operate in BC’s second largest city since legalization.
Maritimes
The Maritime provinces experienced notable month-over-month declines in cannabis sales in September, but year-over-year growth shows a more positive trend.
Prince Edward Island led the month-over-month drop with sales down 14.49% to $2.14 million, though they were still up 2.74% compared to last year. New Brunswick followed with a 13.48% decline from the previous month to $8.22 million but a strong 6.25% increase year-over-year.
Newfoundland saw a 12.61% monthly decrease to $8.29 million yet posted the highest year-over-year growth of any province at 14.37%. Nova Scotia rounded out the region with an 11.44% drop month-over-month to $10.02 million and a modest 1.66% increase from last year.
In late October, Cannabis NB released its annual report, showing $93.8 million in total sales for the fiscal year ending March 31, 2024, a 12.4% increase from the previous year.
Provincial Sales (x1,000)
Canada: $443,935 (-6.64%)
Newfoundland & Labrador: $8,292 (-12.61%)
Prince Edward Island: $2,136 (-14.49%)
Nova Scotia: $10,016 (-11.44%)
New Brunswick: $8,215 (-13.48%)
Quebec: $55,075 (-10.89%)
Montreal: $33,541 (-10.89%)
Quebec City: $4,310 (-10.90%)
Gatineau: $1,117 (-10.93%)
Ontario: $177,573 (-4.66%)
Toronto: $55,537 (-0.46%)
Ottawa: $16,826 (-1.17%)
Manitoba: $18,173 (-7.04%)
Winnipeg: $11,217 (-7.04%)
Saskatchewan: $15,844 (-7.04%)
Alberta: $76,522 (-7.44%)
Calgary: $21,087 (-7.26%)
Edmonton: $25,433 (-7.66%)
British Columbia: $69,871 (-4.31%)
Vancouver: $20,876 (-10.50%)
Yukon: $1,246 (-9.91%)
Source: Statistics Canada