Trulieve announces third-quarter 2022 results and advances strategic vision
- Revenue increased 34% year-over-year to 301 million dollars GAAP gross margin of 56%
- The industry’s leading US retail network of 176 dispensaries, backed by more than 4 million square feet of planting and processing capacity
- Location of capital, data, distribution and extended capacity Trulieve for Cannabis 2.0
Tallahassee, Florida, November 9, 2022 / CNW / – Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF) (“Trulieve” or “the Company”), the leading and highest-performing US cannabis company, today announced its results for the quarter ending September 30, 2022. Results are reported in US dollars and in accordance with US GAAP unless otherwise noted. Figures may not be added completely due to rounding.
The most prominent financial and operational results for the third quarter 2022 *
- Revenue increased 34% year-over-year to 301 million dollarswith 94% of revenue from retail sales.
- Achieving a gross margin of 56% GAAP, with a gross profit of 168 million dollars.
- A net loss of . has been reported 115 million dollars. adjusted net income 4 million dollars* exclude 26 million dollars Transactions, acquisitions, integrations and other non-recurring fees; $93 million In depreciation of assets, disposals and discontinued operations, primarily associated with strategic repositioning away from margin-diluted assets and negative cash flows through dispensary closures in Californiasurplus cultivation in Florida and exit wholesale operations in Nevada.
- Adjusted EBITDA generated from 99 million dollars* Or 33% margin.
- The third quarter ended with 114 million dollars cash Money.
- invest 38 million dollars in capital expenditures. Expect a significant reduction in supply chain investment in 2023 after a multi-year investment cycle to support future growth.
- Coordinated Response Efforts to Hurricane Ian. Deploy mobile operational and technical teams to provide supplies and donations, assist recovery efforts and restore operations.
- Expand market-leading retail centers in ArizonaAnd the FloridaAnd the West Virginiawith the opening of 11 new dispensaries, including the first Trulieve-branded store in Arizonain the Roosevelt Row neighborhood in Phoenix.
- Increased utilization of new indoor spaces 750 kg square foot planting facility in Floridaallowing to reduce production costs and build legacy capacities for future use.
- Cultivation operations started in Georgia To support production of low THC petroleum products for retail launch in early 2023.
- Introducing customer data platform in Arizona And the Pennsylvania With the deepening of capabilities in Florida. Continue to improve our customers’ digital journey with AI-powered technology and integrated commerce capabilities.
- Contribute to the Smart and Safe Florida campaign, which aims to legalize adult use of marijuana in Florida Through the suffrage initiative in November 2024.
* See “Non-GAAP Financial Measures” below for additional information and reconciliation with GAAP for all Non-GAAP measures.
- The launch of Khalifa Kush cannabis products exclusively in Florida At Trulieve dispensaries in October.
- Expansion of the retail network in core markets with two new clinics in Arizona And the Florida.
- Rebranded Glendale, Arizona clinic. Plan for additional renaming Arizona Locations before the peak of tourism and sporting events in February and March 2023.
- Obtained a cannabis cultivation license in Connecticut This allows for two additional clinics.
- It currently operates 178 retail dispensaries and over 4 million square feet of planting and processing capacity in United State.
“Our team demonstrated tremendous resilience and multi-functional capabilities during the third quarter,” said Kim Rivers, CEO of Trulieve. “We have weathered macroeconomic stress, changes to dose limits in our core state of Florida, and the impact of Hurricane Ian while making further progress in streamlining the organization.”
American hemp has a lot of white space in the future, with many states that have not implemented medical or adult use programs and a growing appetite for substantive federal reform.
Kim Rivers, CEO of Trulieve
Trulieve has been preparing for this next phase of industry evolution for years, building our regional hub strategy, expanding cutting-edge farming and manufacturing capacity, expanding our flagship retail platform, investing in data technology, and perfecting the customer journey.
We expect fourth-quarter results to be influenced by holiday retail performance and promotional activity across core markets during the latter half of the quarter. Based on our overall performance to date and current trends, we are targeting a low-end guidance for 2022 of $1.25 billion to $1.3 billion in revenue and $415 million to $450 million in adjusted EBITDA.
Financial indicators *
The company will host a conference call and a live audio webcast on November 9, 2022, at 5:30 PM ET, to discuss financial results for the third quarter of 2022. Interested parties can join the conference call by calling as shown below. Please call 15 minutes before the call.
North America Toll Free: 1-888-254-3590
A live webcast of the conference call will be available at: https://app.webinar.net/xX6Q5JE71z3
An archived PowerPoint presentation and replay of the webcast will be available at https://investors.trulieve.com/events-presentations
Company Form 10-Q for the quarter ending September 30, 2022 will be available on the Saudi Electricity Company website or at the address https://investors.trulieve.com/financial-information/quarterly-results. Discussion and analysis of the Company’s management for the period, the accompanying financial statements and notes will be available within the Company’s profile on SEDAR and on its website at https://investors.trulieve.com/financial-information/quarterly-results. This press release is in no way a substitute for reading those financial statements, including the notes to the financial statements.
Non-GAAP Financial Actions
In addition to our GAAP results, we supplement our results with non-GAAP financial measures, including adjusted EBITDA, adjusted gross profit, adjusted net income (loss), and net Adjusted income (loss) per diluted share. Our management uses these non-GAAP financial standards in conjunction with GAAP financial standards to evaluate our operating results and financial performance. We believe these measures are useful to investors because they are widely used as performance measures and can facilitate comparison with other companies. These non-GAAP financial measures have limitations as analytical tools in that they do not reflect all amounts associated with our results of operations as defined under GAAP. Because of these limitations, these non-GAAP financial measures must be considered in conjunction with GAAP financial performance measures. The presentation of these non-GAAP financial measures is not intended to be considered separately, as a substitute for or superior to financial information prepared and presented in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP financial measures with their most directly comparable financial measures. A reconciliation of the non-GAAP financial measures with these GAAP can be found below. These non-GAAP financial measures should be considered as a supplement to, and not a substitute for, our reported financial results prepared in accordance with GAAP.
Adjusted EBITDA Non-GAAP Adjustment
The following table presents a reconciliation of GAAP net income (loss) and adjusted GAAP for each of the periods presented:
Adjustment of non-GAAP adjusted gross profit
The following table presents a reconciliation between GAAP Gross Profit and Non-GAAP Adjusted Gross Profit, for each of the presented periods:
Adjustment of non-GAAP adjusted net income
The following table presents a reconciliation between GAAP net income (loss) and adjusted non-GAAP net income, for each of the presented periods:
Adjustment of non-GAAP adjusted earnings per share
The following table presents a reconciliation of adjusted GAAP earnings (loss) per share to non-GAAP adjusted earnings per share, for each of the presented periods:
Trulieve is a leading, vertically integrated, multi-state operator in the United States, with well-established hubs in the Northeast, Southeast and Southwest, and market leading centers in Arizona, Florida and Pennsylvania. Trulieve is poised for accelerated growth and expansion, building scope in retail and distribution in new and existing markets through its centralized strategy. By providing innovative, high-quality products across its brand portfolio, Trulieve delivers optimal customer experiences and increases access to cannabis, helping patients and customers live without limits. Trulieve is listed on CSE under the symbol TRUL and trades on the OTCQX market under the symbol TCNNF. For more information, please visit the website Trulieve.com.