The Public Cannabis Company Revenue & Income Tracker, managed by New Cannabis Ventures, ranks the top revenue producing cannabis companies. Most of the companies will be reporting Q2 in the next few weeks for the quarter that ended 6/30.
This data-driven, fact-based tracker will continually update based on new financial filings so that readers can stay up to date. Companies must file with the SEC or SEDAR and be current to be considered for inclusion. When we launched this resource in May 2019, companies with quarterly revenue in excess of US$2.5 million qualified. As the industry has scaled and as more companies have gone public, we have raised the minimum several times subsequently, including a move to US$5 million in October 2019, to US$7.5 million in June 2020, to US$10 million in November 2020 and US$12.5 million in August 2021. Due to the rapid growth in the cannabis industry, we raised the minimum to US$25 million (C$33.8 million) to qualify for what we now call the senior list and introduced a junior list with a minimum of US$12.5 million (C$16.9 million) in September 2021.
A Note About Adjusted Operating Income
In May 2019, we added an additional metric, “Adjusted Operating Income”, as we detailed in our newsletter. The calculation takes the reported operating income and adjusts it for any changes in the fair value of biological assets required under IFRS accounting. We believe that this adjustment improves comparability for the companies across IFRS and GAAP accounting. We note that often operating income can include one-time items like stock compensation, inventory write-downs or public listing expenses, and we recommend that readers understand how these non-cash items can impact quarterly financials. Many companies are moving from IFRS to U.S. GAAP accounting, which will reduce our need to make adjustments. Please note that our rankings include only actual reported revenue and not pro forma revenue. We also note that companies with non-cannabis operations must provide segment-level financial reports that detail not only revenue but also operating profit to be have their operating profit included in the tracker. Currently, Jazz Pharma (NASDAQ: JAZZ) and Tilray (TSX: TLRY) (NASDAQ: TLRY) aren’t providing this information. Please note as well that we updated how we are handling Canopy Growth (TSX: WEED) (NASDAQ: CGC), now excluding the non-cannabis revenue of BioSteel.
Tracker Inclusion Updates
At the time of our last update on May 22nd, 35 companies qualified for inclusion on the senior list, including 28 filing in U.S. dollars and 7 in the Canadian currency. Currently, 27 companies that file in U.S. dollars qualify and 7 that file in Canadian dollars are qualifying for the senior lists, a total of now 34. The junior list now includes 13 companies reporting in U.S. dollars and 5 in Canadian dollars. On a combined basis, the Public Cannabis Company Revenue & Income Tracker now includes 52 companies.
Included Companies That Reported Since May
Since our last update, there have been just a few companies that have reported, and we have added replaced POSaBit (OTC: POSAF) (CSE: PBIT) with StateHouse (OTC: STHZF) (CSE: STHZ) on the U.S. junior list. StateHouse was removed from the senior list. On the Canadian junior list, we added back Red, White & Bloom (CSE: RWB) (OTC: RWBYF) and removed HEXO Corp. due to its acquisition.
Senior and Junior – American Dollar Reporting
Tilray (NASDAQ: TLRY) (TSX: TLRY), which reported this past week, is the only company from the senior list to have reported since May. Total revenue in its fiscal Q4 exceeded analyst expectations, and cannabis revenue was strong. The company shared an outlook for FY24 that its adjusted EBITDA would be lower than what analysts had forecast.
Among the larger companies, all reports are due by mid-August. The 4 largest MSOs have all announced times for their Q2 calls, including Curaleaf (OTC: CURLF) (CSE: CURA), Trulieve (OTC: TCNNF) (CSE: TRUL), Green Thumb Industries (OTC: GTBIF) (CSE: GTI) and Verano Holdings (OTC: VRNOF) (CSE: VRNO).
Curaleaf is expected to see revenue increase 1% from a year ago to $339 million with adjusted EBITDA of $77 million, down 11%. Analysts project that Trulieve will see revenue drop 12% to $281 million with adjusted EBITDA declining 34% to $74 million. Green Thumb Industries revenue is expected to decline 2% from a year ago to $251 million with adjusted EBITDA falling 5% to $75 million. Finally, analysts expect Verano revenue will grow 3% to $231 million with adjusted EBITDA declining 5% to $72 million.
Senior and Junior – Canadian Dollar Reporting
Since May, High Tide (NASDAQ: HITI) (TSXV: HITI) reported its Q1, which was flat sequentially on revenue. In July, Organigram (NASDAQ: OGI) (TSX: OGI) reported its fiscal Q3, which was disappointing on two fronts. First, the company reported below analyst expectations. Second, there was a large asset write-down that reduced its tangible book value significantly.
Among the largest companies that report in the Canadian dollar, Canopy Growth (NASDAQ: CGC) (TSX: WEED) is scheduled to report its fiscal Q1 on August 9th. Analysts expect total revenue to decline 5% to C$381 million, with adjusted EBITDA of -C$188 million.
Stay up to date
Visit the Public Cannabis Company Revenue Tracker to track and explore the complete list of qualifying companies. We have recently created a way for our readers to access our library of Revenue Tracker articles. For our readers who are interested in staying on top of scheduled earnings calls in the sector, we have created and continually update the Cannabis Investor Earnings Conference Call Calendar.