Another Record-Breaking Cannabis Earnings Season is in the Books for the “Big 4” U.S. Multi-State Operators (MSOs)
Despite a global pandemic, American Cannabis Stocks are in the midst of a breakout year, with the nation’s largest cannabis operators leading the charge.
Below is our Q3 2020 earnings recap from the top 4 U.S. MSOs Trulieve Cannabis (CSE: TRUL) (OTCQX: TCNNF), Curaleaf Holdings (CSE: CURA) (OTCQX: CURLF), Green Thumb Industries (CSE: GTII) (OTCQX: GTBIF) (FRA: R9U2) and Cresco Labs (CSE: CL) (OTCQX: CRLBF).
Included in the recap are earnings and operations highlights from each company’s third-quarter earnings report as well as their corresponding earnings investor conference calls.
Trulieve Cannabis (CSE: TRUL) (OTCQX: TCNNF)
TRUL Q3 2020 Earnings Highlights
- The company posted record revenue for Q3 of $136.3 million, up 13% quarter over quarter and 93% over last year.
- Adjusted EBITDA for the quarter was $67.5 million, equal to 50% of revenue and marking the company’s 11th straight quarter of growth and profitability.
- Recorded its first quarter of positive free cash flow.
- Ended the quarter in a strong cash position with $193.4 million in cash and cash equivalents.
- Reported wholesale revenue of $90 million, which was the highest in the cannabis industry.
- Disclosed that its same-store sales grew by 15% quarter over quarter and 178% year over year.
- The company’s California revenue increased by 56% from the prior quarter.
- Compared to Q1, the company’s Q3 revenue grew $87 million, while SG&A remained flat.
- The company reported that its SG&A fell to 31% of revenue, down from 48% last quarter and expected to decrease.
- Projected that its near-term growth will primarily come from California, Illinois and Pennsylvania.
- Read/Listen to Trulieve’s Q3 2020 Earnings Call Transcript
- View Trulieve’s Q3 2020 Earnings Press Release
Learn more about Trulieve: Website | IR Website | Investor Deck | TRUL Chart
Curaleaf Holdings (CSE: CURA) (OTCQX: CURLF)
CURA Q2 2020 Earnings Highlights
- Reported record managed revenue of $193.2 million, up 59% quarter over quarter and 164% over last year.
- Posted record total revenue of $182.4 million, up 55% sequentially and 195% year-over-year.
- Announced record adjusted EBITDA of $42.3 million, 51% over last quarter and over 300% over 2019.
- Recorded a 7x increase in wholesale revenue year over year.
- Finished the quarter with $84.6 million in cash on hand.
- Closed the long-awaited Grassroots acquisition, making Curalead the world’s largest cannabis company.
- Also closed its Maine and New Jersey acquisitions.
- Established the largest market share in New Jersey and doubled its cultivation capacity ahead of recreational cannabis.
- Expanded its cultivation capacity in Illinois, which has the highest wholesale prices in America.
- Launched its flagship “Select” brand into Ohio, Illinois and Pennsylvania.
- Now has its products in a total of 96 dispensaries in 23 states.
- The company is Projecting $250 million in pro forma revenue for Q4 2020.
Learn more about Curaleaf: Website | IR Website | Investor Deck | CURA Chart
Green Thumb Industries (CSE: GTII) (OTCQX: GTBIF) (FRA: R9U2)
GTII Q2 2020 Earnings Highlights
- Posted revenue of $157.1 million, up 31.3% quarter-over-quarter and 131.1% over last year.
- Wholesale revenue grew 33% over the prior quarter.
- Reported adjusted Operating EBITDA of $53.2 million, up 50.2% over the past quarter and equal to 33.9% of revenue.
- Achieved a new milestone with a positive net income of $9.6 million or $0.04 per basic and diluted share.
- Recorded positive cash flow from operations for the third consecutive quarter.
- Reported that SG&A fell to 32% of revenue, down from 45% in the prior year.
- Ended the quarter with a strong balance sheet with $78 million in cash on hand, allowing for financial flexibility and continued growth in 2021.
- Completed its cultivation expansions in Illinois, Ohio and Pennsylvania.
- The company now has operations in 11 states, with its products now in 48 dispensaries.
- Anticipates the start of recreational cannabis sales in New Jersey in 2021.
- Announced it satisfied all requirements to uplist to the NYSE, pending regulatory approval.
Learn more about GTI: Website | IR Website | Investor Deck | GTII Chart
Cresco Labs (CSE: CL) (OTCQX: CRLBF)
CL Q3 2020 Earnings Highlights
- Reported record revenue of $153.3 million, up 63% sequentially and 324% year over year.
- Posted record adjusted EBITDA of $46.4 million, up 182% quarter over quarter.
- Announced retail revenue of $62.8 million, up 60% over the previous quarter.
- Disclosed, its same-store sales grew 15% from the prior quarter and 178% over last year, as well as a 56% quarter-over-quarter increase in California revenue.
- Reported record cash flow from operations of $17.8 million.
- Announced its SG&A fell to 31% of revenue, down from 48% in the prior quarter, which the company expects to continue decreasing.
- Recorded its first quarter of positive free cash flow.
- The company expects its near-term growth will primarily come from California, Illinois and Pennsylvania.
Learn more about Cresco Labs: Website | IR Website | Investor Deck | CL Chart
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Disclosure: The Cannabis Investor does not hold a position in any of the stocks mentioned in this article.
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