As earnings season is rolling on for the cannabis companies, we examine the Q2 earnings reports of Green Thumb Industries (CSE: GTII) and Trulieve (CSE: TRUL) in our latest Trade to Black podcast. Both of these outliers posted some positive numbers, and lead financial writer Benjamin A. Smith emphasizes the importance of identifying these outlying companies in the wash of financial news.
Green Thumb had some especially impressive figures, proving their leadership in the space. The cannabis CPG company and retailer’s financial reports indicated a 2% increase sequentially and a revenue of $252m USD for the quarter, which aligned with the forecasted expectations. This brings the first half of the 2023 revenue for the company to a 1% increase year-over-year ($501m). Their adjusted EBITDA also stands out at $76 million, or 30% of revenue, compared to the previous quarter.
Host Shadd Dales, Anthony Varrell, and Benjamin Smith not only discuss Green Thumb Industry’s Q2 earnings, they take a look at the company’s current state of operations. We also look at the potential to fight for more of a share in the markets that they’re in, particularly in the state of Florida.
Trulieve reported ‘better than expected’ financials for Q2, with an improvement of $3m in retail sales over last quarter. However, Trulieve’s year over year revenue and profit margin profile is declining. We’ll take an in-depth look at the brand and the reasons why. The company’s earnings report has also been somewhat overshadowed with news about their current CFO’s departure and a possible financial scandal involving its former CFO, Alex D’Amico.
Is Florida the beneficiary of market growth? There’s room to grow for many companies including ones like Trulieve and Green Thumb. Rumors are that the state might potentially be a $6b market. Florida resident Anthony Varrell gives his impressions and opinions on whether the market could really be that high.
We wrap up with a quick preview of Canopy, Curaleaf, and TerrAscend’s earnings. Check in for the latest.