WM Technology Sets Q3 Revenue Target Amid Industry Headwinds

WM Technology, a cannabis company, has launched new premium products and is targeting Q3 revenue of $41M-$43M despite industry headwinds. CEO Douglas Francis acknowledged ongoing structural challenges in the cannabis industry. The company aims to address these challenges through its new products and strategic initiatives.

WM Technology, Inc. (MAPS), a leading cannabis marketplace and technology solutions provider, has reported its financial results for the second quarter of 2025, while also unveiling new premium products and strategic initiatives. Despite ongoing structural challenges in the cannabis industry, the company aims to maintain profitability and growth.

The company reported Q2 revenue of $44.8 million, a 2% year-over-year decline [1]. CEO Douglas Francis highlighted the company's operational discipline and focus on fundamentals, which have allowed it to maintain profitability despite revenue pressure in key markets. Francis emphasized the company's eleventh consecutive quarter of adjusted EBITDA profitability and eighth consecutive quarter of positive cash flow, calling these "milestones that reflect the consistency and operational rigor we've maintained quarter-after-quarter."

Francis also reported progress in emerging markets, particularly New York, where the majority of operational retailers are now on WM Technology's platform. He mentioned ongoing product innovation, including new user-focused features and experiences, and the upcoming launch of an online head shop, Headie, along with expanded AI and machine learning capabilities in product catalog data.

The company expects Q3 revenue to be approximately $41 million to $43 million, with non-GAAP adjusted EBITDA ranging from $5 million to $7 million [1]. Management did not provide guidance on EPS or other forward-looking metrics beyond revenue and adjusted EBITDA. Francis warned that "you will see this revenue impact over the coming quarters" due to persistent market challenges, particularly in California and Michigan.

WM Technology is addressing the risks of structural headwinds in the cannabis industry, rising excise taxes in California, and regulatory uncertainty in both cannabis and hemp markets. The company is maintaining cost discipline, advocating for regulatory relief, and diversifying product offerings to navigate these challenges.

The company's strategic approach to managing capital allows it to pursue ongoing investment in the business while maintaining the flexibility to navigate a dynamic market environment [2]. The company's cash balance grew to $59 million, marking the eighth consecutive quarter of cash growth, and the company reported no debt as of June 30, 2025.

In conclusion, WM Technology continues to navigate a challenging cannabis industry landscape with a focus on operational discipline, cash generation, and targeted investment in innovation. Despite market headwinds and regulatory uncertainty, the company remains profitable and is advancing new products and market expansion, particularly in emerging states like New York. References: [1] https://seekingalpha.com/news/4482208-wm-technology-outlines-41m-43m-q3-revenue-target-as-it-launches-new-premium-products-amid [2] https://ir.weedmaps.com/news-releases/news-release-details/wm-technology-inc-reports-financial-results-second-quarter-2025