Canadian cannabis operator High Tide filed financial for the first quarter of 2022 after the close of the equity markets on Thursday, reporting revenue of 72.2 million Canadian dollars ($57.1 million) for the three-month period ending January 31, an increase of 88% over the same quarter last year and 34% more than revenue reported for the fourth quarter of 2021.

High Tide, a cannabis company focusing on brick-and-mortar shops and e-commerce ventures, is the largest Canadian retailer of recreational marijuana as measured by revenue, with 113 current locations in Ontario, Alberta, Manitoba and Saskatchewan. The company has also been serving consumers for over a decade through its established e-commerce platforms including Grasscity.com, Smokecartel.com, Dailyhighclub.com and Dankstop.com.

 PHOTO COURTESY OF HIGH TIDE.

In its first quarter financial results, High Tide reported that gross profit increased 56% to CA$23 million compared to CA$14.8 million in the same quarter last year. Adjusted EBITDA for the first quarter of 2022 was CA$3.0 million, compared to CA$4.6 million for the same period last year. Overall, the company showed a net loss of CA$7.4 million, down 56% from the net loss of CA$16.8 million in the first quarter of 2021.

“I'm proud of our team delivering such a strong quarter in a challenging business environment. This past quarter's results, showcasing 34% sequential revenue growth and 80% sequential increase in Adjusted EBITDA, re-affirms our exponential, yet sustained growth trajectory. Raj Grover, president and CEO of High Tide, said in a statement from the company. “We continue to execute on our business plan quarter after quarter by strategically expanding our business in Canada and internationally through organic growth and accretive [mergers and acquisitions] across our diversified ecosystem.”

High Tide Revenue Up Across The Globe

Geographically in the first quarter of 2022, CA$52.4 million of revenue was earned in Canada, CA$17.4 million in the United States and CA$2.3 million internationally. Compared to the first quarter of 2021, revenue increased by 53% in Canada, 346% in the United States, and 1,016% internationally.

High Tide also noted featured operational milestones achieved this year, including reaching a total of 381,000 members in its loyalty program Cabana Club as of January 31, up from 245,000 at the launch of the company’s discount club model. The company also opened 6 new Canna Cabana locations, including three in Saskatchewan, two in Alberta, and another in Ontario.

“Our forward-thinking approach makes us a leader amongst our peer group in Canada, as we keep introducing innovative retail concepts such as our discount club model, while remaining agile and pivoting quickly when needed due to the constantly evolving dynamics in the global cannabis landscape,” Grover said.

High Tide has scheduled a webcast and conference call to discuss the firm’s unaudited 2022 first quarter financial reports and outlook for 5:30 p.m. EDT on Thursday, March 17, 2022. The full set of Consolidated Financial Statements and Management’s Discussion and Analysis can be viewed by visiting High Tide’s website at www.hightideinc.com, and its profile page on SEDAR at www.sedar.com.