U.S. Cannabis Players Green Thumb, Acreage Post Double-Digit Sales GainsNovember 17, 2020
Illinois-based Green Thumb Industries saw sales jump 31% to $157 million quarter-over-quarter in the three months through September, and marked a milestone as it turned a net profit of $9.6 million for the period. Green Thumb’s adjusted EBITDA leapt 50% to $53 million sequentially, representing roughly one-third of revenues.
“This was driven by the execution of our capital projects in Illinois, New Jersey, Pennsylvania and Ohio, and the rebound in our Nevada and Massachusetts markets following the initial impact of Covid-19,” said Green Thumb chairman and CEO Ben Kovler. “(Recreational legalization in) New Jersey is great news for us as we think that legal market has the potential to mirror Illinois—a single state, multi-billion dollar legal cannabis market about to be born.”
Green Thumb’s retail footprint totaled 48 stores in 10 states in the third quarter, and the company has since added new locations in Pennsylvania and Illinois. The group’s branded portfolio was also recently augmented with the launch of Snoozzzeberry gummies under the Incredibles brand in Illinois and Nevada.
Meanwhile, Acreage Holdings, the U.S.-based partner of Canopy Growth, saw revenue increase 17% sequentially to $32 million in the third quarter, with adjusted EBITDA showing a loss of $6.9 million. “Our core profitability is in sight in the first half of 2021,” said Acreage interim CEO Bill van Faasen. Company-owned same-store sales growth registered 36% across Acreage’s The Botanist dispensary brand. Acreage has 29 operational dispensaries—including both owned and managed outlets—in 11 states, including a new store in Shrewsbury, Massachusetts, marking its Bay State entry. Acreage is slated to launch cannabis drinks from the Canopy Growth portfolio in the U.S. next summer. —Daniel MarstellerSubscribe to Shanken News Daily’s Email Newsletter, delivered to your inbox each morning. You will also receive the Cannabis edition as part of your subscription.