Green Thumb Industries, Inc. (CSE: GTII) continues to beat expectations as the American cannabis giant posted record sales in the final three months of 2020.
Late Wednesday, the Illinois-based operator reported fourth-quarter net revenue of US$177.2 million, up 13 per cent over the previous three months. The firm said it brought in net income of $23.9 million.
The firm beat consensus expectations for fourth-quarter revenue of US$167.2 million from analysts polled at Refinitiv.
CEO Ben Kovler called it a milestone year for Green Thumb, which raked in total net revenue of US$556.6 million in fiscal 2020.
The company said it didn’t report guidance for 2021 because it has so many factors to consider.
One is whether or not the U.S. federal government will legalize weed with Joe Biden in the White House and Democrats controlling Congress.
“The new administration has indicated strong support for advancing comprehensive cannabis reform that will focus on social equity and recognize the wellness benefits of cannabis,” Kovler said in a statement. “The Green Thumb team is more energized than ever to provide consumers with more choices for well-being, create more jobs and opportunity for communities, and continue our advocacy for social equity.”
The top boss says his company is well positioned to grow this year with strong brands selling today across 12 U.S. markets.
On Tuesday, Green Thumb opened its 54th store in Paramus, New Jersey, and reported plans to expand cultivation operations in the Garden State. The firm currently operates 12 facilities across the U.S.
But New Jersey could still be a year away from starting recreational cannabis sales because lawmakers only passed a legalization bill last month.
Green Thumb says it’s focused on ensuring all its capital projects are on track while allocating funds wisely.
The firm finished 2020 with US$83.7 million in cash, and raised US$156 million in the first quarter.
With five straight profitable quarters, the pot stock has become a darling among investors and analysts in the sector since late 2019.
Green Thumb posted an adjusted earnings before interest, taxes, depreciation, and amortization of US$65.4 million in the fourth quarter, and $179.6 million in fiscal 2020.
Company shares closed at C$44.13 Wednesday on the Canadian Securities Exchange. Green Thumb stock has nearly doubled since the U.S. federal election on Nov.3.
Top image via Green Thumb