Adam JacksonAgrify Corporation (Nasdaq: AGFY) reported Friday a $41.7 million net loss for 2024 as it moves away from equipment manufacturing toward the beverage market.
The company’s revenue dropped to $9.7 million, down from $15.1 million in 2023, according to its year-end report ending Dec. 31, 2024. Operating losses improved slightly to $10.2 million from $13 million the previous year.
“The Agrify team has been busy over the last quarter, streamlining the business and securing our position for future growth,” chairman and interim CEO Ben Kovler, said in a statement.
Kovler, who also runs Green Thumb Industries, took over after securing $10 million in financing in November.
The company sold its cultivation business on Dec. 31 to CP Acquisitions, a company tied to former CEO Raymond Chang. The sale resulted in an $11.9 million loss in the fourth quarter.
Agrify’s new direction centers on Señorita, a line of hemp-derived THC beverages it acquired in December. The drinks include THC-infused margaritas and palomas now sold in nine states and Canada. In January, Agrify partnered with Chicago music venue The Salt Shed, making Señorita the “exclusive partner for hemp-derived THC beverages at venue bars.”
“We are excited about what lies ahead for THC in America and Agrify’s position to take advantage of that to create value for our shareholders,” Kovler said. “With a strong balance sheet and a clear vision, Agrify is poised to bring the award-winning THC Margarita, Señorita, to the tens of millions of Americans that previously had limited access to THC.”
The company ended 2024 with $31.2 million in cash after raising about $25.9 million in November from private investors. Agrify has around 2 million shares and 7.6 million warrants outstanding.
Brad Asher, previously CFO at AYR Wellness, will become Agrify’s new chief financial officer on March 24.
“Now is the time to continue building the team to ensure our growth trajectory,” Kovler said about Asher’s appointment.
While focusing on beverages, Agrify said it continues to “explore various alternatives for our legacy extraction business,” which remains part of its operations.
