MariMed Shares Surge On Increased Revenue Guidance To $118M, Sixth Sequential Quarter Of Positive EBITDA Growth

The multi-state cannabis operator MariMed, Inc. MRMD announced its second-quarter financial and operating results Monday with revenue of $32.6 million, up by 215% from the same period of 2020. Sequentially, revenue grew 32%.

Q2 2021 Financial Highlights

• Reported gross profit on revenue of $19.4 million, an increase of 215% versus the second quarter of 2020, and an increase of 47% versus the first quarter of 2021.
• Reported EBITDA of $12.3 million, the 6^th sequential quarter of positive EBITDA growth. Reported EBITDA increased 440% versus the second quarter of 2020 and an increase of 61% versus the first quarter of 2021.
• Reported Adjusted EBITDA of $13.9 million, a 391% increase in the second quarter of 2020 versus an increase of 73% in the first quarter of 2021.
• Reported net income of $7.6 million in the second quarter of 2021 versus a net loss of $1.1 million in the second quarter of 2020, and net income of $4.3 million versus the first quarter of 2021.
• Increased working capital as of the end of the second quarter of 2021 to $24.3 million, an increase of $26.5 million versus the end of the fourth quarter of 2020, and an increase of $7.2 million versus the end of the first quarter of 2021.
• Reported $10.8 million in positive cash flow from operations in the second quarter of 2021, an increase of $9.9 million versus the second quarter of 2020, and an increase of $4.0 million versus the first quarter of 2021, continuing to show the Company's ability to convert EBITDA to free cash flow.
• The Company increased its 2021 guidance for revenue from $100 million to $118 million and EBITDA from $30 million to $32 million. The Company is also including guidance for the first time of Adjusted EBITDA of $42 million.

"We are extremely pleased with our continued improving financial performance during the second quarter," said Bob Fireman, CEO and president of MariMed. "We continue to report some of the strongest revenue and EBIDTA growth in the entire cannabis industry. Our strong financial position is the result of our operational excellence combined with our financial discipline. I could not be more confident in our ability to maintain our trajectory to be a top tier MSO and deliver improved stockholder value as we continue to execute on our Strategic Plan."

Price Action

MariMed’s shares were trading 19.32% higher trading at $1.05 per share at the time of writing Monday morning.

Photo: Courtesy of Diyahna Lewis on Unsplash