Cannabis retailers in New York state, one of the fastest-growing markets in the country, are averaging about $4 million in annual sales after a year in business, according to results of a state-conducted survey.
But less than half of operators who responded to a state Office of Cannabis Management survey say they are profitable, with one license category struggling more than others.
After a record 2025 that saw $1.7 billion in annual sales, New York cannabis sales are continuing apace so far in 2026, according to OCM data.
Through the end of March, annual sales stood at $404.2 million, according to data presented at the April 3 meeting of the state Cannabis Control Board (CCB).
What are typical sales for a New York cannabis retailer?
So-called “steady state” retailers, defined as retailers with more than a year in operation, are averaging $3.95 million in annual sales after one year in operation, OCM said.
For all stores, the average annual sales are closer to $2.75 million, according to OCM.
There are currently more than 630 cannabis stores open for business in New York, according to the most recent data.
Regulators are predicting a bright future after New York’s slow start, with OCM Acting Executive Director John Kagia predicting growth throughout the decade that could see New York cannabis sales outpace California.
But some operators are still nervous. And in particular, vertically integrated small businesses are feeling the squeeze.
New York cannabis microbusinesses struggling to open retail, find profitability
According to results of a survey of license holders conducted in September, less than half of licensed businesses in the state are turning a profit.
And unprofitability appears to be most keenly felt by microbusinesses, the license category that allows a holder to cultivate, manufacture and operate retail.
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Only 20% of vertically integrated microbusinesses claimed to be profitable, with 64% of microbusinesses that responded to the survey saying they’re in the red.
That’s in part because less than 10% of microbusiness permit-holders have managed to open a storefront, Nicole Ricci, president of New York Small Farma, an advocacy group for small permit holders, told the CCB on Thursday.
