Société Québécoise Du Cannabis posts record profits

The Société québécoise du cannabis (SQDC) reported record revenue in the second quarter of fiscal year 2024–2025, in part due to the adaptation of its product offerings to meet consumer demand.

Growth in Sales and Transactions

During the quarter, the SQDC carried out total sales of $173.7 million (€116 million), representing a substantial increase of 26% compared to the $151.7 million recorded during the same period last year. The volume of cannabis sold also surged, reaching 34,675 kilograms, compared with 27,498 kilograms in the second quarter of fiscal year 2023–2024.

Net sales reached $29.4 million, representing an increase of 15% compared with the previous year's $24.9 million. This performance coincided with a rise in consumer transactions, which totaled 4.4 million, a significant increase compared with the 3.6 million recorded during the same quarter of the previous year.

The SQDC's operations generated substantial revenue for the provincial government. During the quarter, Quebec received $43.9 million in cannabis taxes, while the federal government collected $17.5 million. In total, cannabis sales contributed $73.3 million to Quebec's revenue. These funds are reinvested in initiatives such as cannabis-related research and prevention programs.

Toward Affordable Products

The average selling price of cannabis has fallen to $5.76 per gram, compared with $6.34 per gram in the same quarter of 2023. This decline reflects a notable shift in consumer demand toward less expensive products and concentrates, which are generally priced lower than those in other categories. Despite this trend, the agency has managed to maintain its profitability by increasing its sales volume and tailoring its offerings to meet diverse consumer preferences.

In the second quarter, the SQDC opened two new branches, including the 100th in Richelieu, in Montérégie, and another in Donnacona. The SQDC has not opted for an aggressive expansion of its stores, such as This is the case in Ontario, and instead focus on the’improving the consumer experience in its existing stores. According to Suzanne Bergeron, president and CEO of the SQDC, the agency analyzed six years of consumer data to better understand consumer preferences and refine its retail strategies.

«We’re starting to gather a significant amount of data on consumer preferences—what they like and what they don’t like— [as well as] what keeps them on the black market versus what they come to the SQDC for,» Ms. Bergeron said during an interview with StratCann.

«With that in mind, we can refine our strategy for how we'll adapt our stores so that customers feel welcome when they visit.»