Trulieve Reports Strong Operational Results, Record Revenue and Profits, and Grows Footprint in the Second Quarter of 2019
Company achieving new operational efficiencies and strong financial discipline as it rolls out growth and expansion initiatives as a multi-state operator
TALLAHASSEE, FL, Aug. 14, 2019 /CNW/ – Trulieve Cannabis Corp. (“Trulieve” or the “Company”) (CSE: TRUL) (OTCQX: TCNNF), today announced its financial results for the second quarter of 2019 ended June 30, 2019. Unless otherwise stated, all currency is expressed in U.S. dollars.
Second Quarter 2019 Financial & Operational Highlights
- Record revenue of $57.9 million, an increase of 30% on a sequential quarter-to-quarter basis
- Adjusted EBITDA1,2 increased from $19.0 million in Q1 2019 to $31.6 million in Q2 2019
- Increase of 19% in Florida patient growth driven primarily by the introduction of smokable flower, increasing patient count to just over 181,000 at June 30, 2019
- Smokable flower accounted for approximately 50% of total product sales in Florida for Q2 2019, up from nearly 30% in Q1 2019
- Completed a public debt offering raising an aggregate principal amount of $70 million
- Opened three additional dispensaries in Florida, bringing the total to 29 at Q2 2019
- Completed acquisition of CT-based medical cannabis dispensary, The Healing Corner
- Launched various automation initiatives to further increase efficiencies, product output, and innovation
- Executed a large-scale customized SAP implementation
Recent Highlights & Developments
- Reporting total current cultivation capacity of approximately 1.6 million square feet which includes large scale greenhouses, previously reported as experimental, which were added as a cost effective and highly efficient alternative to expand oil biomass capacity
- Commenced trading on the OTCQX® Best Market under the symbol “TCNNF”
- Extension of voluntary lock-up agreement with Company founders of 65,253,093, or approximately 59% of shares outstanding on an as converted basis, until July 2020, with 11,205,960, or approximately 10% of shares outstanding on an as converted basis, becoming unlocked in January 2020
- Closed sale lease back transaction with Innovative Industrial Properties, Inc. to provide capital for Holyoke, MA cultivation and processing site
- Appointed Peter T. Healy to Board of Directors
Our strong financial results for the quarter combined with our operational and foundational evolution illustrates that Trulieve is not just a cannabis company, but an organization that possess the key fundamentals expected of leading companies across all industries.
Kim Rivers, CEO of Trulieve
By continuing to focus on operational efficiencies, maintaining sound financial discipline, and leveraging our strong brand awareness and patient loyalty within current markets and in future expansion initiatives, we expect our efforts to translate to new strong results throughout the remainder of 2019.
Financial Results
The Management Discussion and Analysis for the period and the accompanying financial statements and notes are available under the Company’s profile on SEDAR at www.sedar.com and on its website at https://www.trulieve.com/investors.
This news release is not in any way a substitute for reading those financial statements, including the notes to the financial statements.
Financial Guidance
Reflecting continued leverage of scale and financial discipline, the Company is reaffirming guidance for full year 2019 and long-term outlook. Guidance for 2019 and 2020 can be found in our first quarter press release available at: https://www.newswire.ca/news-releases/trulieve-reports-another-quarter-of-record-revenue-898676764.html
Conference Call
The Company will host a conference call and live audio webcast on Thursday, August 15, 2019 at 10:00 A.M. Eastern time, to discuss its second quarter 2019 financial results.
All interested parties can join the conference call by dialing 1-888-231-8191 or 1-647-427-7450, conference ID: 9085490. Please dial in 15 minutes prior to the call to secure a line. The conference call will be archived for replay until August 22, 2019 at midnight, ET. To access the archived conference call, please dial 1-855-859-2056 and enter the encore code 9085490.
A live audio webcast of the conference call will be available at: https://event.on24.com/wcc/r/2059700/3DD0A8D13E2E8625D056CAFB6079E47C
Please connect at least 15 minutes prior to the conference call to ensure adequate time for any software download that may be required to join the webcast. An archived replay of the webcast will be available for 90 days by clicking the link above.
About Trulieve Cannabis Corp.
Trulieve is a vertically integrated “seed-to-sale” company and is the first and largest fully licensed medical cannabis company in the State of Florida. Trulieve cultivates and produces all of its products in-house and distributes those products to Trulieve-branded stores (dispensaries) throughout the State of Florida, as well as directly to patients via home delivery. Trulieve also operates in California, Massachusetts and Connecticut. Trulieve is listed on the Canadian Securities Exchange under the symbol TRUL and trades on the OTCQX Best Market under the symbol TCNNF.
