Curaleaf reported record financial and operational results for the third quarter of the year with pro forma revenue of $215.3 million, and year-to-date managed revenue of $419.6 million, including third-quarter revenues of $193.2 million – a 164 percent increase.
The firm indicated an approximately $46,934,000 gross profit increase from cannabis sales from $42,735,000 in Q2 to $89,669,000 in the third quarter. The company also reported a 51 percent increase in adjusted EBITDA from $27,994,000 to $42,295,000 – representing a 305 percent year-over-year increase.
Joseph Lusardi, CEO said the company’s third-quarter results were “complemented” by its successful acquisition of Grassroots, which expanded its reach into six new states.
“As we head into 2021, Curaleaf remains incredibly well-positioned following the transformative legalization of adult-use cannabis in Arizona and New Jersey, and consequently the potential of future adult-use in New York, Pennsylvania and Connecticut. Each of these markets present an enormous opportunity for us, as the only MSO with a leading presence in every one of these states. Looking forward, we expect our growth will be driven by organic initiatives, increased capacity and dispensaries in key states and the roll out of adult use in Arizona and New Jersey.” – Lusardi in a statement
Lusardi’s run as company chief will end at the start of next year as the company also announced President Joseph Bayern would take over as CEO; Luardi will take on a new role as executive vice-chairman of the board starting January 1.
“With roughly two-thirds of the U.S. population now having legal access to medical or recreational cannabis, Curaleaf remains in the very early innings of its true long-term growth potential,” Bayern said in a press release announcing the c-suite change.
During the third quarter, Curaleaf’s recently acquired Select brand launched in three new states, the company opened two new dispensaries in Florida, and it completed its acquisition of Massachusetts-based Alternative Therapies Group.
The firm’s retail revenue increased by 206.5 percent to $135.3 million during the third quarter of 2020, compared to $44.2 million in the third quarter of 2019. The company’s wholesale revenue increased nearly seven-fold to $45.0 million during the quarter, compared to $6.5 million in the third quarter of 2019.