TILT Holdings Inc. (OTCQX: TLLTF) reported its preliminary earnings for the fourth quarter ending December 31, 2020, and full-year outlook for 2021 after the market closed on Wednesday. Tilt said that the fourth-quarter revenue is projected to be between $42.2 million and $43.2 million versus last year’s revenue of $40.4 million for the same time period. That figure, however, includes its former subsidiary Blackbird, without that the revenue would be projected to be between $41.3 million and $42.3 million.
The company forecast the quarter’s adjusted EBITDA to be between $2.6 million and $3.6 million versus last year’s adjusted EBITDA of $2.8 million. No information was given as to net losses or income. Tilt’s stock was lately trading at 62 cents, which isn’t too far from the company’s 52-week high of 75 cents.
“2020 was a transformative year for TILT, as the Company reimagined what an MSO could look like,” said Gary Santo, president of TILT. “We finished the year with a strong fourth quarter that saw continued improvement in harvest yields and production efficiencies at our plant-touching assets, and a return to pre-COVID revenue levels in our inhalation business. The added flexibility created by the divestiture of Blackbird during the quarter has positioned TILT to enter 2021 with additional resources and improved cash flow from operations that can be reinvested in core growth initiatives, such as research and development, expanding cultivation and contract manufacturing and wholesale operations.”
The company also noted that its 2021 strategic initiatives were fully funded and that it did not expect the initiatives to require significant CAPEX or M&A. The forecasted revenue was in the range of $205 million to $210 million. The adjusted EBITDA would range between $30 million to $32 million.
Mr. Santo added, “January has seen Jupiter ship over five million cartridges, a new Company record, and based upon our solid performance in the fourth quarter and a strong start to the new year, we are pleased to release full year 2021 revenue guidance of $205 million to $210 million and full-year 2021 adjusted EBITDA guidance of $30 million to $32 million. We look forward to delivering value to our shareholders through improved messaging and relentless execution of our strategic vision.”
The company also appointed Nicole Moyers as vice president of compliance and Patrick Beyea as director of compliance. Nicole “Nikki” Moyers will report directly to TILT’s General Counsel while Beyea will report to Moyers.