Nasdaq-Traded AFC Gamma Reports 41% YoY Drop In Net Income, Plans To Be Pure-Play Cannabis Lender In 2024
AFC Gamma Inc., a cannabis-focused commercial real estate finance company, released its financial results for the fourth quarter and fiscal year ending Dec. 31, 2023. The company reported a decline in net interest income to $64.2 million in 2023 compared to $74.7 million in 2022, with $16 million generated in the fourth quarter. Despite challenges in the cannabis industry, CEO Daniel Neville highlighted progress on portfolio management. Financial highlights for Q4 2023 included a GAAP net loss of $9.2 million and distributable earnings of $10 million. For FY 2023, GAAP net income was $21 million, down from $36 million in 2022. AFC Gamma distributed $9.8 million in dividends in Q4 and $40.9 million for the full year. The company aims to focus on being a pure-play cannabis lender in 2024, anticipating opportunities in the evolving cannabis industry for profitable capital deployment.
