Cansortium Inc. (CSE: TIUM.U) (OTCQX: CNTMF) announced financial results for the second quarter ended June 30, 2022. Cansortium said revenue increased 36% to $22.4 million versus last year’s $16.5 million for the same time period. This beat the Yahoo Finance average analyst estimate for revenue of $18 million. The company noted that its Florida revenue increased 33% to $18.8 million compared to $14.2 million. The net losses were trimmed to $11.9 million from last year’s $25 million for the same time period.
“We generated a record quarter of results in Q2, highlighted by double-digit revenue growth, margin expansion and a material increase in adjusted EBITDA and cash flow generation,” said CEO Robert Beasley. “The investments we have made to add scale and improve cultivation in Florida are paying dividends. Our Sweetwater indoor cultivation facility is now fully operational and the yields in our Tampa facility have doubled from the start of 2022, all of which has led to dramatically improved productivity at the store level and a consistent increase in new patient count. In fact, revenue in Florida was up 16% from Q1 without adding a single new store during the quarter.”
On June 30, 2022, the company had approximately $8.9 million of cash and cash equivalents and $69.3 million of total debt, with approximately 252.3 million fully diluted shares outstanding (based on treasury stock method and share price on July 31, 2022).
Beasley continued: “I am very proud of what our team has accomplished this year, however, we still have significant room to grow. We remain on track to open 4-5 new stores in Florida by year-end, and the final phase of our cultivation expansion in Tampa is nearly complete. We expect product from this new space to hit shelves in the next couple of months, just in time for one of our strongest periods of the year in Florida as we enter the holidays.”
Cansortium said it continues to expect revenue in 2022 to range between $90–$95 million, reflecting an approximate 42% increase from 2021 at the midpoint. Cansortium also continues to expect adjusted EBITDA in 2022 to range between $25–$28 million, reflecting an approximate 35% increase from 2021.