High Tide Inc. is now the second-largest cannabis retailer in North America by store count, according to the company’s newest quarterly report. 

The cannabis company, which owns and operates the largest number of stores in Canada via its Canna Cabana retail chain, among other related assets, reported an 8% year-over-year increase in revenue in the first fiscal quarter of 2024, ended January 31, 2024, at $128.1 Million. The company has an adjusted EBITDA of $10.4 Million and $3.6 Million of free cash flow.

High Tide’s gross profit increased to $36 million in the first fiscal quarter of 2024 compared to $32.2 million during the same period in 2023. Gross profit margin was 28%, representing an increase from 26% in the fourth fiscal quarter of 2023 and 27% during the entirety of 2023.

The company reported a net loss of just $5,000, down from more than $3.8 million in the same quarter in the previous year.

Cash on hand as of January 31, 2024, totalled $28.7 million compared to $23.7 million as of January 31, 2023, and $30.1 as of October 31, 2023. This includes the impact of a $2.8 million one-time cash payment to pay down a convertible debenture in the first fiscal quarter of 2024.

Revenue from High Tide’s Cabanalytics Business Data and Insights platform, including ad revenue, was a record $7.3 million for the first fiscal quarter of 2024, up from $6.6 million year-over-year, and $6.8 million sequentially, representing increases of 11% and 8% respectively.

The Company also continued the rollout of its ELITE loyalty program, with membership reaching approximately 32,000, an increase of 237% year-over-year and 14% since January 29, 2024.

“I am very proud to announce that High Tide has reached break-even net income this quarter, which is a critical milestone in our ongoing corporate trajectory and is a rarity in the global cannabis space,” said Raj Grover, Founder and Chief Executive Officer of High Tide. 

“While there has been industry-wide softening of Canadian cannabis sales in the post-holiday months, and having made essentially no acquisitions in over a year, I am proud to report that our Company continues to grow organically and has never had a sequential decline in revenue since going public in 2018.”

High Tide opened seven new stores from November 1, 2023-January 31, 2024. One was in BC, two in Alberta, one in Saskatchewan, one in Manitoba and two in Ontario, for a total of 165 current locations across Canada. 

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