Florida-based multistate operator Trulieve (CSE: TRUL) (OTCQX: TCNNF) announced a $115 million loss for the third quarter this year, but the company made clear that it’s still bullish on its long-term plans, reiterating its intended expansion in its existing markets, including Arizona, Florida, Georgia, and Pennsylvania.
The quarter brings Trulieve’s net losses for the year to $169 million so far, despite the company growing its revenue 34% year-over-year for the third quarter. Revenue increased from $224 million in 2021 to $301 million in this most recent quarter, though revenues were down 6% from the second quarter of this year.
Year-to-date, Trulieve has pulled in $938 million in revenue.
The losses came despite Trulieve’s closure of several California dispensaries, its exit of the Nevada wholesale market, and closing down “redundant cultivation” in its home state of Florida.
In the third quarter, Trulieve also weathered Hurricane Ian, put $38 million more into capital expenditures for the company’s supply chain, launched a new 750,000-square-foot indoor cultivation facility in Florida, launched cultivation operations in Georgia, and opened 11 new dispensaries in Arizona, Florida, and West Virginia.
“Our team demonstrated tremendous flexibility and cross-functional capabilities during the third quarter,” Kim Rivers, Trulieve CEO, said in a news release. “We navigated macroeconomic pressure, changes to dosing limits in our core state of Florida, and the impact of Hurricane Ian while making further progress streamlining the organization.”
Trulieve’s earnings report advised investors to expect year-end revenues to total between $1.25 billion and $1.3 billion.
Trulieve also invested $5 million in August into a new ballot measure campaign that aims to get an adult-use cannabis legalization question before Florida voters in 2024. If the measure passes, it would be a financial windfall for Trulieve, which has 121 dispensaries across Florida, the most of any medical marijuana company in the state.
The company is, however, facing scrutiny for the death of one of its employees in January at a manufacturing facility it owns in Holyoke, Massachusetts. The news of the worker’s death was only reported by news outlets in October, after the end of the third quarter on Sept. 30, and the incident is still being investigated by both federal and state authorities, according to media reports.