Columbia Care Inc. (NEO: CCHW) (CSE:CCHW) (OTCQX:CCHWF) (FSE: 3LP) reported financial and operating results for the fourth quarter ended December 31, 2021.
“We are pleased to report record results for the full year and fourth quarter of 2021, in what was a truly transformational year for Columbia Care,” said Nicholas Vita, CEO of Columbia Care.” As we look ahead to the remainder of 2022, there are remarkable catalysts on the horizon, including adult-use sales in New Jersey and growth in the medical programs in New York and Virginia. We will continue to roll out our award-winning Cannabist retail experience as we open new locations and will bring our house of brands to our strategic national footprint throughout 2022, providing consistent quality that patients and consumers demand.”
Q4 2021 Financial Highlights
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Revenue totaled $139.3 million, up 70% year-over-year.
- Adjusted gross profit totaled $62 million, up 90% year-over-year.
- Adjusted gross margin was 45%, compared to 40% in the corresponding period of 2020.
- Adjusted EBITDA, a non-GAAP measure, came in positive at $20.6 million, compared to $4.5 million in the prior year’s period.
Operational Highlights For Q4 2021
- Transformed entire Florida footprint of 14 stores to Cannabist retail experience on December 8.
- Launched Classix brand in five new markets on October 13 in the industry’s widest multi-state flower brand launch in a single day.
- Announced partnership with Mike Tyson’s Tyson 2.0 cannabis line, as exclusive cultivation, manufacturing and distribution partner within Columbia Care markets.
- Entered the Missouri medical market in October.
- Closed acquisition of Medicine Man in Colorado in November, strengthening leadership position in the world’s second largest cannabis market.
- Opened new dispensary in a Richmond, Virginia suburb in November, the third location in the state.
- First to offer whole flower for sale in New York medical market in October.
- Achieved first harvest out of Riverhead, Long Island greenhouse in December, with high quality testing / flower for the New York medical program.
- Continued to drive operational improvements and adherence to national cultivation SOPs, leading to increases in potency and yield throughout the cultivation portfolio.
- Wholesale revenue represented 19% of total revenue in Q4.
Full Year 2021 Financial Highlights
- Revenue totaled $460 million, up 156% year-over-year.
- Gross profit amounted to $194 million, up 212% year-over-year.
- Net loss was $147 million, up by $27.2 million year-over-year.
- Adjusted EBITDA, a non-GAAP measure, came in positive at $57.8 million, compared to a $19.8 million loss in 2020.
Operational Highlights For Full Year 2021
- Unveiled Cannabist retail experience, transforming the storefront and shopping experience for patients and consumers; to date, there are 26 Cannabists across the U.S., representing nearly one-third of the 83 active retail locations.
- Launched Columbia Care house of brands across a national footprint, including Seed & Strain, Triple Seven, Amber, Press, and edibles. In-house and owned brands now account for 67% of all flower sold at Columbia Care owned dispensaries.
- Wholesale revenue increased from 13% in Q1 to 19% in Q4, due to additional cultivation capacity and ongoing brand rollout.
- Added 12 retail locations in 2021 and opened in new markets of Missouri, Utah, and West Virginia.
- Closed acquisitions throughout the year: 34-acre cultivation and manufacturing site in Long Island, NY in Q2; multi-state operator Green Leaf Medical in Q2; CannAscend transaction for Ohio assets in Q3; vertically-integrated Colorado operator Medicine Man in Q4.
- Added more than 1 million square feet of cultivation and production capacity to our footprint.
Columbia Care expects to achieve between $625 million and $675 million in 2022. Adjusted EBITDA is expected to range between $120 million and $135 million.
The company’s chief growth officer Jesse Channon will be a speaker among many other top names in the cannabis industry at the Benzinga Cannabis Capital Conference in Miami, to be held on April 20 and April 21 at the Fontainebleau Miami Beach Hotel.
Photo: Courtesy of Towfiqu barbhuiya on Unsplash
