Retail-focused cannabis company High Tide Inc. (CSE: HITI) (OTCQB: HITIF) reported that its revenue rose by 197% year-over-year, reaching CA$19.6 million (US$14.5 million) in the second quarter of 2020.
High Tides’ President and CEO Raj Grover praised the company’s performance during the quarter, highlighting it “marks a historic moment in High Tide’s history.”
“A decade of experience with cannabis consumers has been the key ingredient to our substantial year-over-year increase in revenue and enhanced gross margin,” added Grover.
In addition to the record-high revenue, the Calgary-based company acquired the Hamilton- and Sudbury-based branded Canna Cabana locations.
It also expanded its presence in Alberta, by launching a Canna Cabana store in downtown Edmonton.
Here’s the breakdown of results High Tide posted during the second quarter:
- Gross profit of CA$7.39 million, up by roughly 214% compared to the same period last year
- Gross profit margin went up by 2%, in comparison to the second quarter of 2019
- Positive adjusted EBITDA of CA$1.94 million versus a loss of CA$3.49 million in the corresponding quarter of last year
- Substantial increase in cash and cash equivalents from CA$810,000 to CA$7.04 million over the past six months
High Tide’s 36 branded retail cannabis locations are spread across Ontario, Alberta, and Saskatchewan.
Over the last three months, the company expanded its retail footprint in Saskatchewan by taking over Tisdale-based cannabis store.
Following the coronavirus onset, Canna Cabana locations continued its operations.
However, the company closed its Ontario stores for two weeks and laid off its workforce in Hamilton, Sudbury, and Toronto until further notice.
Its other 27 stores in Alberta and Saskatchewan remained open.