TerrAscend Preannounces Strong Third Quarter 2020 Results – Net Sales of $51.0 Million and Adjusted EBITDA of $17.8 Million
- Adjusted EBITDA increased to $17.8 Million, a 56% improvement quarter-over-quarter
- Adjusted EBITDA Margin expands sequentially to 35% from 24%
- Q3 2020 earnings call scheduled for November 19, 2020 will include increased 2020 and preliminary 2021 guidance
NEW YORK and TORONTO, Nov. 2, 2020 /CNW/ – TerrAscend Corp. (“TerrAscend” or the “Company”) (CSE: TER) (OTCQX: TRSSF), a leading North American cannabis operator, today announced preliminary financial results for its third quarter ending September 30, 2020. All amounts are in Canadian dollars. Based on a preliminary (unaudited) review, the Company anticipates:
- Net Sales of $51.0 million, representing 8% sequential and 90% year over year growth
- Adjusted EBITDA of $17.8 million, an increase of 56% sequentially
- Adjusted EBITDA margin expanded to 35% in Q3 from 24% in Q2 and 14% in Q1
We’re driving strong revenue growth and margin expansion by focusing on operational excellence, controlled SG&A spending, and strategically allocating our capital to generate the greatest returns and industry leading EBITDA margins.
Jason Ackerman, CEO and Executive Chairman of TerrAscend
Leveraging the skills of our of best-in-class operating team, we are focused on rapidly building scale in growing limited license markets.
Mr. Ackerman added, “This strategy has led to further expansion of our footprint in the northeast, including an additional 25% expansion at our Pennsylvania cultivation facility in Q3 which began selling into the market in October. In New Jersey, where I believe we will be a major player, sales from our cultivation facility are expected to begin imminently and our first retail location in Phillipsburg is set to open in November. I look forward to realizing the full benefit of our substantially larger cultivation and manufacturing capacities across our system to further accelerate our revenue and adjusted EBITDA growth in Q4 and beyond.”
TerrAscend will host a scheduled conference call to discuss the results for its third quarter ended September 30, 2020 on Thursday, November 19th, 2020 at 8:30 a.m. Eastern Time. The Company will report its financial results for the third quarter as well as increased 2020 and preliminary 2021 guidance in advance of the call.
CONFERENCE CALL DETAILS
DATE: Thursday, November 19th, 2020
TIME: 8:30 a.m. Eastern Time
WEBCAST: Click to Access
DIAL-IN NUMBER: 1-888-664-6392
CONFERENCE ID: 65635544
REPLAY: (416) 764-8677 or (888) 390-0541
Available until 12:00 midnight Eastern Time Thursday, December 3rd, 2020
The Canadian Securities Exchange (“CSE”) has neither approved nor disapproved the contents of this news release. Neither the CSE nor its Market Regulator (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.
TerrAscend is a leading multi-state operator with vertically integrated operations in Pennsylvania, New Jersey, and California in addition to operating as a licensed producer in Canada. TerrAscend operates an award-winning chain of Apothecarium dispensary retail locations as well as scaled cultivation, processing and manufacturing facilities on both the East and West coasts. TerrAscend’s best-in-class cultivation and manufacturing practices yield consistent, high-quality cannabis, providing industry-leading product selection to both the medical and legal adult-use market. The Company owns a number of synergistic businesses and brands, including The Apothecarium, Ilera Healthcare, State Flower, Valhalla Confections, and Arise Bioscience Inc. For more information, visit www.terrascend.com.