The state of Nevada has joined the billion-dollar bud club as the Nevada Cannabis Compliance Board (CCB) and the Nevada Department of Taxation (DoT) released figures showing more than $1 billion in taxable sales reported by Nevada’s legal cannabis industry over a 12-month period. The agencies noted that during the Fiscal Year 2021 (July 1, 2020 – June 30, 2021), licensed adult-use cannabis retail stores and medical dispensaries generated $1,003,467,655 in taxable sales. Th groups stated that this is an increase of more than $318 million versus the $685 million in taxable sales from the fiscal year 2020. The majority of sales took place in Clark County and unincorporated cities in Southern Nevada.
Schools received over $67 million from the CCB, representing combined revenue from the State Wholesale Cannabis Excise Tax, along with civil penalties, licensing, and other fees collected through regulation of the cannabis industry. In addition to that, over $92 million in Retail Cannabis Excise Tax Revenue was sent to the school’s distributive account in FY 21.
In 2019, Governor Sisolak signed SB 545, which stated all revenue from the 10% retail cannabis excise tax would be sent to the Distributive School Account.
“This is what Nevadans expected since the legalization of recreational marijuana,” Governor Steve Sisolak said. “Education remains one of my top priorities, and I’m proud to see promised tax revenue from cannabis sales directly funding our students and classrooms.” The CCB officially began regulating Nevada’s cannabis industry on July 1, 2020, transitioning oversight
from the DoT’s Marijuana Enforcement Division.
Nevada Cannabis Statistics
There are now 346 certified medical cannabis establishments in the state and 408 licensed recreational cannabis establishments. 336 entities hold dual licenses. There are 87 active dispensary/retail stores in the state.
One of the best-known operators in the state, Planet 13 Holdings Inc. (OTCQX: PLNHF) reported $11.9 million in sales during July. During the first month of operations, the new Orange County store generated ~$800 thousand in sales. In September, the company doubled the size of the Las Vegas superstore cannabis retail area by adding 40 registers for higher sales volume and faster customer checkouts. The store also added an additional reception desk in order to better address the crowds of shoppers.
“Based on the early results we’ve seen from the Orange County store we are confident in the trajectory of sales and the quality of service and product we are providing. Sales have grown week over week as we start to gain traction as one of the top dispensaries in Orange County,” said Bob Groesbeck, Co-CEO of Planet 13. “Looking back at the early days of Planet 13 Las Vegas is a good reminder that it takes time to build customer trust and awareness. We took that dispensary from generating around $3 million a month to now north of $9 million with gross margins above 50%, all by focusing on the customer and continuing to refine and improve the experience and product selection.”