The largest operator in Florida’s medical market, Trulieve Cannabis Corp. (CSE: TRUL), has posted record revenues in its latest earnings report.
On Wednesday, the company posted record revenues of US$79.7 million for the three months ended Dec. 31, 2019.
While revenues increased 13 per cent from the previous quarter, Trulieve’s earnings before interest, taxes, depreciation and amortization increased 22 per cent to US$49 million from US$36.9 over the same period.
Stock in the company slid slightly on the day, by less than two per cent, to $13.64 a share.
The “seed-to-sale” company reported opening seven additional dispensaries in Florida in the quarter, for a total of 44 stores nationally. Trulieve has over 40 medical pot shops in Florida alone.
|
Results of operations |
For the three months |
For the three months |
For the year ended |
||||||
|
(Figures in millions and % |
Dec 31 2019 |
Sept 30 2019 |
% |
2019 |
2018 |
% |
2019 |
2018 |
% |
|
Total Revenue |
$79.7 |
$70.7 |
13% |
$79.7 |
$35.9 |
122% |
$252.8 |
$102.8 |
146% |
|
Revenue less production |
$51.5 |
$44.0 |
17% |
$51.5 |
$20.8 |
148% |
$163.0 |
$68.6 |
138% |
|
Revenue less production |
65% |
62% |
– |
65% |
58% |
– |
64% |
67% |
– |
|
Operating Expenses |
$23.4 |
$18.0 |
30% |
$23.4 |
$10.4 |
124% |
$68.0 |
$44.2 |
54% |
|
Operating Expenses % |
29% |
25% |
– |
29% |
29% |
– |
27% |
43% |
– |
|
Adjusted EBITDA1,2,3 |
$45.0 |
$36.9 |
22% |
$45.0 |
$12.0 |
276% |
$132.5 |
$51.2 |
159% |
The company reported expanding its cultivation capacity to approximately 1.7 million square feet, with plans to continue building out its indoor cultivation facility in Jefferson County, FL, to match expected demand.
The report also included Trulieve’s operational changes in response to the COVID-19 pandemic.
Read more: Trulieve Cannabis partners with Lutheran Church to connect Floridians with online services
CEO Kim Rivers said the strong fourth quarter results reflect the company’s strong brand and customer loyalty.
“We continued to grow our footprint in Florida and made significant strides building out the infrastructure needed to maximize efficiencies and achieve economies of scale,” she said.
“Despite recent developments surrounding COVID-19 and the uncertainty in the global economy, we see strong medical cannabis demand in our target markets and expect to continue maintaining our over 50 per cent market share in Florida,” Rivers said. “Our solid foundation and cash position enable us to monitor opportunities that meet our disciplined criteria and we remain optimistic about expansion in 2020.”
In its full financial report filed on sedar.com, Trulieve reported a cash position of US$91.8 million at the end of 2019.
Top image via Trulieve
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