California’s first-quarter cannabis sales fell to their lowest levels since the start of the pandemic.
According to new sales figures released by the state, taxable sales totaled approximately $1.25 billion during the first quarter of 2023.
It’s the lowest total since the second quarter of 2020 when taxable sales reached about $1.15 billion.
The decline, compared to nearly $1.33 billion in the first quarter of 2022, resulted in lower overall sales tax.
The state brought in approximately $216 million in total tax during the quarter, including nearly $112 million in sales tax.
Industry insiders have warned the market could be close to an “extinction level” event as companies face mounting debt and tax payments.
