Calgary, Alberta–(work wire) – High Tide Inc (“high tide“or the”company(TSXV: HITI) (NASDAQ: HITI) (FSE: 2LYA), a leading retail-focused cannabis company with brick-and-mortar assets as well as global e-commerce assets, is pleased to reflect its 2021 milestones and strategic importance. From the acquisition of six new e-commerce platforms in the hemp-derived CBD and consumer supplement sectors, making High Tide a major online global player with more than 2.92 million customers in its international database, to the launch of an innovative discount club model, Cabana Club, which has greatly increased membership that now stands at over 320,000 nationally, has led to organic building and the opening of 48 new brick-and-mortar hemp stores in Canada, bringing the company’s total to 105 stores nationwide.
Highlights of 2021 at High Tide:
Total revenue for the nine months ended July 31, 2021 increased to C$127 million from C$58 million for the nine months ended July 31, 2020. Blessed CBD and NuLeaf Naturals lead to a current revenue run of approximately C$226 million.
Adjusted EBITDA increased for the nine months ended July 31, 2021 to C$10.9 million from C$4.3 million for the nine months ended July 31, 2020.
Optimizing the company’s balance sheet through several transactions, reducing debt from C$72 million as of December 31, 2020 to C$31 million today, with just $1.6 million maturing over the next 12 months.
Acquired six new e-commerce platforms outside Canada in the cannabis-derived CBD and consumer supplement sectors, increasing its international revenue run from approximately C$11 million on January 1, 2021 to nearly C$80 million today.
Increased international customer database to over 2.92 million customers outside of Canada.
Launched an innovative discount club concept, Cabana Club, which greatly increased membership from approximately 75,700 on January 1, 2021, to more than 320,000 across Canada today, with the average daily transactions conducted by Cabana Club members rising from approximately 55 % before launch to more than 85% today.
48 new organic brick and mortar cannabis stores were built and opened in Canada, bringing the total number of retail stores to 105.
It became the first major cannabis retailer to trade on the Nasdaq, which has led to more institutional involvement in the company’s stock as well as increasing analysts covering the company’s stock from two at the beginning of 2021 to six today.
High Tide was named one of Canada’s fastest growing companies for 2021 by The Globe and Mail’s Report on Business, with a three-year audited growth rate of 733%.
High Tide was named Canadian Cannabis Company of the Year at the 2021 KIND Awards.
“On behalf of the Executive Team and the Board of Directors, I would like to thank our customers and shareholders for their continued support despite all the challenges the world has faced in 2021. With their support, High Tide has emerged as a major player in the bricks and mortar retail business, with a rapidly growing global e-commerce presence. High Tide was also named Canadian Hemp Company of the Year at the KIND Awards, and this honor is a direct result of the tireless efforts and execution of our team throughout the year, said Raj Grover, President and CEO of High Tide. Across Canada, far from our original target of 110, due to ongoing delays in securing building permits. However, we remain confident that we will finish 2022 with more than 150 retail stores in Canada, including the British Columbia market, and will continue to attract long-standing consumers in the market through our innovative discount club model. We have some very exciting initiatives designed for 2022, and I look forward to sharing these details in the new year. We remain excited about our way forward and look forward to delivering another new year to our customers and shareholders,” added Mr. Grover.
About Hi Tide
High Tide is a leading retail-focused cannabis company with brick-and-mortar assets as well as global e-commerce assets. The company is the largest Canadian retailer of recreational cannabis by revenue, with currently 105 locations spanning across Ontario, Alberta, Manitoba and Saskatchewan, and was featured in Business magazine’s third annual ranking of Canada’s Best Growing Companies in 2021. The company is also America’s number one and only retailer Northern Cannabis Discount Club, featuring the Canna Cabana and Meta Cannabis Co. banners. and Meta Cannabis Supply Co., with additional sites under development across the country. High Tide has been serving consumers for over a decade through well-established e-commerce platforms including Grasscity.com, Smokecartel.com, Dailyhighclub.com, Dankstop.com and most recently in the hemp-derived CBD space through Nuleafnaturals.com and FABCBD.com, and BlessedCBD.co.uk, and CBDcity.com, as well as its wholesale distribution division within Valiant Distribution, including licensed entertainment products manufacturer Famous Brandz. High Tide’s strategy as a parent company is to expand and enhance the integrated value chain, while providing a complete customer experience and maximizing shareholder value.
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Cautionary note regarding forward-looking statements
Some of the statements in this press release are forward-looking information or forward-looking statements. Such information and statements, referred to herein as “forward-looking statements” are made as of the date of this press release or as of the effective date of the information described in this press release, as applicable. Forward-looking statements relate to future events or future performance and reflect current estimates, expectations, expectations or beliefs regarding future events. Any statements that express or include discussions regarding predictions, expectations, beliefs, plans, expectations, objectives, assumptions, events, or future performance (in general, forward-looking statements may be identified using words such as “expects”, “expects”, “intends” “forecasts”, “expects”, “plans”, “projects”, “estimates”, “envisions”, “assumes”, “needs”, “strategy”, “goals”, “objectives”, or variants thereof, or indicating that some action, event or outcome “may,” “could,” “would,” “may,” or “will” be taken, occur, achieve, or adversely any of these terms or similar expressions, among others in similar terms) are not statements of historical facts and may be forward-looking statements.
These forward-looking statements are based on assumptions that may be incorrect, including but not limited to High Tide’s ability to carry out its business plan and that High Tide will receive one or more licenses from Alberta Gaming and Liquor & Cannabis, the British Columbia liquor distribution subsidiary, and the Manitoba Liquor, Games and Cannabis Authority, the Ontario Alcohol and Games Commission or the Saskatchewan Liquor and Games Authority allowing it to continue its business at Canna Cabana Inc. High Tide considers these assumptions to be reasonable under the circumstances. However, there can be no guarantee that any or more of the governmental, industrial, market, operational or financial objectives as set out here will be achieved. There are known and unknown risks, uncertainties and other factors inherent in these forward-looking statements that could cause actual results, performance, achievements or industry results to differ materially from any results, performance or achievements expressed or implied by such forward-looking statements. .
The forward-looking statements contained herein are effective as of the date of this press release. Except as required by law, High Tide has no obligation to inform anyone if it becomes aware of any inaccuracy or omission of any forward-looking statement, nor does it intend, or assume any obligation, to update or revise such statements forward-looking statements to reflect events or new conditions. All forward-looking statements in this news release are expressly qualified by this cautionary statement and, except as otherwise noted, are made as of the date of this news release.
This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities in the United States of America. The securities have not been and will not be registered under the United States Securities Act of 1933 (the “1933 Act”) or any other state securities laws and may not be offered or sold within the United States or to U.S. persons (as defined in the 1933 Act) Unless it is registered under the 1933 Act and applicable government securities laws, or an exemption from such registration is available.