Earnings Roundup: Acreage Q4 Revenue Increases 50% YoY, Curaleaf Touts Record Revenue, Adjusted EBITDA

Acreage Reports 55% YoY Increase In Revenue

Cannabis company Acreage Holdings Inc. ACRDF has generated $31.5 million in revenue in the last three months of 2020, up by 50% year-over-year.

For the full-year revenue amounted to $114.5 million, representing year-over-year growth of 55%.

The New York-based company also reported managed entity fourth-quarter revenue (a non-GAAP measure) of $15.7 million and full-year revenue of $62.8 million.

Acreage revealed its company-owned same-store sales increased 27% during the period, representing the eighth consecutive quarter of double-digit same-store sales improvements.

“It is clear our refocused efforts on delivering profitability and generating long-term shareholder value are beginning to pay off,” CEO Peter Caldini said.

The fourth-quarter gross margin was 46.1%, and the net loss amounted to $36.9 million.

The company also posted a negative adjusted EBITDA of $3.5 million versus a loss of $18.3 million in the corresponding quarter of 2019.

Meanwhile, last month, Acreage sold its Florida operations to Red White & Bloom Brands Inc. RWBYF.

The price tag included $5 million in an up-front cash payment, an additional $20 million in cash, $7 million in RWB’s common stock, and $28 million in vendor take-back promissory notes.

Curaleaf Hits $230M In Q4 Revenue

Curaleaf Holdings Inc. CURLF reported achieving record managed revenue of $233.3 million in the fourth quarter, up by 86% year-over-year and 21% sequentially.

The Wakefield, Massachusetts-based cannabis company also confirmed hitting another record with total revenue amounting to $230.3 million for the same period, representing a year-over-year increase of 205% and quarterly growth of 26%.

For the full year, managed revenue went up 161% year-over-year to $653.0 million. In addition, total revenue for 2020 amounted to $626.6 million, growing by 184% over the year.

For the last three months of 2020, adjusted EBITDA was $53.8 million, representing a 289% year-over-year and 27% sequential increase.

For 2020, adjusted EBITDA amounted to $144.1 million, compared to roughly $26 million in 2019.

In November, Curaleaf purchased Alternative Therapies Group's licensed cultivation and processing facility located in Amesbury, boosting its footprint in Massachusetts to a total of 104,000 square feet.

The company simultaneously divested a couple of Maryland-based assets, including its interests in HMS cultivation and processor, and Curaleaf Maryland Inc. that owns a processing license in Cumberland for a total of $31.5 million.

Meanwhile, over the last year, Curaleaf significantly boosted its retail and wholesale operations via eight acquisitions, including Select, Grassroots, Curaleaf NJ, Arrow, MEOT, Remedy, Blue Kudu, as well as ATG.

"Curaleaf's record fourth-quarter results reflected the benefit of our acquisition of Grassroots, which expanded our presence into 6 new states, including high-growth markets such as Illinois and Pennsylvania as well as the continued ramp up of Select, which is now in 17 states" the company's CEO Joe Bayern stated.

Executive Chairman Boris Jordan noted that its planned acquisition of Europe-based EMMAC Life Sciences, will give Curaleaf a "leading presence in key European medical cannabis markets including the United Kingdom, Germany, Italy, Spain, and Portugal, among others."