Curaleaf Holdings Financial Result for Q1 2024 

The TDR Three Key Takeaways regarding Curaleaf Holdings and Q1 2024 Financial Result:

  1. Curaleaf Holdings reports steady growth with $339 million in revenue for Q1 2024.
  2. Curaleaf Holdings expands with new stores and product launches in Q1.
  3. Curaleaf Holdings is focused on international expansion.

Curaleaf Holdings, Inc. (TSX: CURA, OTCQX: CURLF), an international provider of consumer products in cannabis, disclosed its financial and operating results for the first quarter ending March 31, 2024. The report, originating from New York, shows moderate revenue growth amid strategic global expansion.

Curaleaf reported first-quarter revenue of $339 million for 2024, reflecting a 2% increase year-over-year from $332.6 million in Q1 2023. The adjusted gross margin was 48%, maintaining stability compared to the same period last year, and evidencing an incremental improvement in cost management strategies.

Curaleaf Holdings’s Adjusted EBITDA for the quarter was noteworthy at $77 million, accounting for 23% of revenue, marking a 40 basis point improvement from the previous year. This profitability metric signifies efficient operational management and a cost-effective structure.

Operating cash flow from continuing operations was reported at $46 million, with free cash flow reaching $33 million. Curaleaf’s liquidity position remains strong, ending the quarter with $105 million in cash reserves.

During the quarter, Curaleaf continued to extend its market reach, emphasized by the launch of new retail and product initiatives across the U.S. and Europe. Notably, the company opened its first adult-use store in New York’s Hudson Valley and launched several new products, including the Stir by Zero Proof, a THC beverage mix in Illinois, and Stiq, a 1g all-in-one cannabis oil vape in Arizona.

Furthering its international footprint, Curaleaf announced the acquisition of Northern Green Canada (NGC), aiming to solidify its supply chain and enhance its EU market presence through NGC’s EU-GMP-certified facilities. This acquisition aligns with Curaleaf’s strategic pivot from a multi-state operator (MSO) to a multi-country operator (MCO), marking a significant milestone in the company’s expansion strategy.

Boris Jordan, Executive Chairman of Curaleaf Holdings, highlighted the strategic actions underlying the quarter’s successes, stating, “At this important inflection point in our industry and our company, on the heels of rescheduling news, our expanded custody solutions, and the advances in Europe, Curaleaf has evolved from an MSO to an MCO. With each ensuing quarter, we will create further separation from our peers because of the strategic global lens through which we operate.”

Looking ahead, Curaleaf Holdings is positioned for growth in 2025, driven by continued expansion in key markets like New York, Germany, and several U.S. states transitioning to adult-use cannabis. The company’s strategic initiatives are expected to fortify its market leadership and enhance shareholder value amidst evolving regulatory landscapes.

Curaleaf remains focused on growth through international expansion, operational efficiency, and strategic acquisitions. Want to keep up to date with all of TDR’s research and news, subscribe to our daily Baked In newsletter.

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