Planet 13 Reports Strong Q1 2021 Financial Results In Anticipation Of Caifornia Debut

Planet 13 Holdings Inc.’s PLTH PLNHF revenue increased 41.8% year-over-year, reaching $23.8 million in the first quarter of 2021.

The Las Vegas-based company revealed Thursday that it accounted for 8.6% of all Nevada cannabis dispensary revenue in the first three months of this fiscal year.

“After a slower January and February, due to COVID-19 related restrictions in place in Nevada, we had an absolutely outstanding March, April, and now May,” Larry Scheffler, co-CEO of Planet 13, disclosed.

In April, the company reported single-day record sales for this year’s unofficial cannabis holiday, generating $543,000 on April 20. For the whole month, the company reported selling $10.7 million worth of cannabis.

Planet 13 is devoted to growing its retail footprint in California and Nevada with wholesale “growing at a solid pace,” while “experiencing a successful return to growth,” said Bob Groesbeck, co-CEO of Planet 13.

The company is “on track and on budget,” with the construction of the Orange County Cannabis SuperStore Entertainment Complex, which was launched in February.

“We are set to open in July, and we look forward to bringing the Planet 13 experience to California and introducing it to millions of first-time visitors,” Groesbeck added.

Q1 2021 Financial Highlights

• Gross profit, before biological adjustments, amounted to $12.8 million, accounting for 53.8% of revenue, compared to $9 million or 53.9% of revenue in the same quarter of 2020.
• Operating expenses, excluding non-cash compensation expenses and depreciation and amortization, totaled $8.4 million, representing a year-over-year increase of 21%.
• Net income, before taxes, was $3 million versus $0.3 million in the corresponding quarter of 2020.
• Net income of $0.4 million, compared to a net loss of $1.4 million.
• Positive adjusted EBITDA of $5.2 million, compared to a $2.4 million gain in the same period of last year.
• As of March 31, the company had $141.1 million in cash, $218.4 million in total assets, and total liabilities of $35 million.

“After a year of fighting against the largest possible macro storm, it feels great to have the wind at our backs and to see all the improvements we put in place start to pay off,” Scheffler said.

Photo by Kym MacKinnon on Unsplash