InterCure posts NIS 270m revenue in 2025 as war recovery accelerates
InterCure Ltd., the NASDAQ- and Tel Aviv-listed medical cannabis group operating under the Canndoc brand, reported full-year 2025 revenues of NIS 270 million, a 13% increase on the prior year, alongside Adjusted EBITDA of NIS 47 million — more than double the NIS 24 million recorded in 2024. The company swung to positive operating cash flow of NIS 17 million, compared with an outflow of NIS 67 million in 2024, and used part of those proceeds to repay more than NIS 35 million in loans during the year.
The headline net loss narrowed to NIS 37 million from NIS 73 million in 2024, with the residual deficit driven largely by non-cash provisions related to the ongoing Bazelet debt restructuring proceedings rather than operating underperformance. Second-half momentum was notably stronger, with revenues of NIS 140 million representing 24% growth on the equivalent period in 2024.
Recovery from October 2023
The backdrop to every line of InterCure's 2025 results is the October 7, 2023 terrorist attack, which severely damaged the company's Nir Oz cultivation facility in southern Israel. The company resumed production and the first post-attack product batches from the site were delivered during 2025, though management acknowledged that the full rehabilitation of the facility is taking longer than originally anticipated. InterCure has received NIS 82 million in compensation advances from Israeli authorities against a total submitted damage claim of NIS 251 million; it noted the claim remains subject to upward revision as remediation costs become clearer.
Despite those operational headwinds, the company launched more than 75 new GMP-certified SKUs during 2025 — described as a record for any single year — and extended its partnership network through an exclusive agreement with cannabis operator Purplefarm. Chief executive and chairman Alexander Rabinovitch, who acquired more than 500,000 shares in the fourth quarter, said the company had "delivered strong momentum in the second half of the year, with nearly 20% revenue growth, while maintaining positive Adjusted EBITDA for the twelfth consecutive half-year."
Global expansion and strategic moves
Beyond Israel, 2025 saw InterCure generate its first material revenues from the German market, following Germany's partial cannabis liberalisation legislation. Management signalled it expects Germany to be a meaningful contributor in 2026, with branded product launches planned. The company also signed a share purchase agreement to acquire Botanico Ltd., a genetics and cultivation specialist; if the transaction closes as anticipated, InterCure projects Botanico will contribute revenues of more than NIS 30 million in the second half of 2026.
In a separate strategic move, InterCure acquired a 28% stake in Cannasoul R&D, an Israeli cannabis research company, with an option to increase its holding to 51% within two years — a move designed to bolster its pharmaceutical-grade research credentials and, the company says, position it favourably in the event of US federal cannabis rescheduling.
The German and European medical cannabis markets remain competitive, with several UK, Dutch, and Canadian operators also seeking to establish early distribution footholds. InterCure's GMP-certified manufacturing heritage and vertically integrated model give it a credible claim to premium positioning, though scale and pricing pressure from lower-cost producers will be a recurring challenge. The US rescheduling pathway, while now more politically visible, remains structurally uncertain and unlikely to translate into near-term revenue for non-US operators. Investors will be watching the Botanico transaction close date, the pace of German revenue ramp, and the trajectory of the Bazelet restructuring proceedings as the most consequential near-term catalysts.