Green Thumb Industries Inc. (CSE: GTII) (OTCQX: GTBIF) reported its financial results for the fourth quarter and full-year ended December 31, 2021. GTI delivered total revenue for the fourth quarter of 2021 was $243.6 million, up 37.4% from $177.2 million for the fourth quarter of 2020. Net income for the fourth quarter of 2021 was $22.8 million or $0.10 per basic and diluted share, compared to net income of $22.4 million, or $0.11 per share in the prior year. this also beat the Yahoo Finance average analyst estimates for earnings of $0.08.
For the full year 2021, total revenue was $893.6 million, up 60.5% from the prior year. GTI said that revenue growth was primarily driven by increased scale in its consumer packaged goods and retail businesses, especially in Illinois and Pennsylvania. Key year-over-year performance drivers were the expanded distribution of Green Thumb’s branded products, 10 new store openings, 12 acquired stores, and increased traffic in the Company’s 73 open and operating retail stores. Net income for the full year 2021 was $75.4 million or $0.34 per basic share and $0.33 per diluted share. Green Thumb’s family of consumer brands—RYTHM, Dogwalkers, Incredibles, Beboe, Doctor Solomon’s, and Good Green—were produced, distributed, and available in retail locations across the country.
“Green Thumb’s strong fourth-quarter results reflect our company’s continued deliberate execution. Our team delivered our sixth consecutive quarter of positive GAAP net income, eighth consecutive quarter of positive cash flow from operations and Adjusted Operating EBITDA of $76 million. On a full-year basis, revenue grew 61% to $894 million, GAAP net income more than quadrupled to $75 million and Adjusted EBITDA expanded 71% to $308 million,” said Green Thumb Founder and Chief Executive Officer Ben Kovler. “We continue to keep our heads down while focused on executing the business plan. I want to express our gratitude and appreciation to our team, customers, and communities who continue to support us and position us well for the future.”
GTI also noted that this was the eighth consecutive quarter of positive cash flow from operations and that the company had cash of $230.4 million at the end of the quarter. Green Thumb’s fourth quarter included revenue generated from 15 states: California, Colorado, Connecticut, Florida, Illinois, Maryland, Massachusetts, Minnesota, Nevada, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, and Virginia.
“Everything we have accomplished in 2021 was specifically designed to build long-term value for all of our stakeholders. Cannabis is a complex business but you can rely on us to continue our Enter, Open, Scale strategy to drive value. As I’ve said before, we are still in the early innings of this great American cannabis growth story, and we feel it’s our responsibility to shape this industry, which is being born out of the failed War on Drugs. America is the land of opportunity and we believe the cannabis opportunity should be made available to all Americans, regardless of race, gender or religion. As more states legalize, we hope the industry can include new participants.”
For the full year, GTI reported that total selling, general and administrative expenses were $277.1 million or 31.0% of revenue, an increase from $198.1 million or 35.6% of revenue in the prior year. Decreased operating costs as a percentage of revenue were driven primarily by operating leverage.