Cannabis company Green Thumb beats revenue estimate but posts loss on noncash impairment

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CEO Ben Kovler says the company grew its cash from the previous quarter but that 'nothing is a straight line' when it comes to state-by-state legalization.

Green Thumb Industries Inc. posted a fourth-quarter loss on noncash impairments but managed to beat its revenue target as it built up its balance sheet despite headwinds in the sector.The company late Tuesday said it lost $51.22 million, or 22 cents a share, in the fourth quarter,... Green Thumb Industries Inc. posted a fourth-quarter loss on noncash impairments but managed to beat its revenue target as it built up its balance sheet despite headwinds in the sector.

Excluding these items, Green Thumb earned 5 cents a share, a penny short of the estimate of 6 cents a share in an analyst survey by FactSet.“The lack of progress regarding cannabis regulation from our elected officials in Congress is mind-numbing,” said CEO Ben Kovler, adding that the companies face high tax burdens.

“The industry is entering the middle innings,” Kovler said, with some mature markets and others opening up. He added that “nothing is a straight line” in legalization, with steps both forward and back in many states. Green Thumb ended the fourth quarter with $178 million in cash, up $31 million from the third quarter but down $52 million from a year ago.

 

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