Jushi Holdings' Q3 Financial Results Were Impressive

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Jushi Holdings, Inc. (JUSHF),  a constituent in the munKNEE Pure-Play Pot Stock Index, announced its Q3, 2020 financial and operating results on Tuesday for the period ended September 30, 2020, as follows:

Q3 Financial Highlights 

(All results are presented in USD and compared to the previous quarter.)

• Revenue: increased 67% to $24.9M 
• Gross Profit: increased 64% to $12.3M 
• Net Profit (Loss): loss increased by 222.3% to $(30.0)M 
• Net Profit (Loss) per Share: loss increased to $(0.31) from $(0.10)
• Adj. EBITDA: improved to $1.9M from $(1.2)M
• Cash Equiv. on Hand: $43.2M 

Q3 Operational Highlights

• Closed equity acquisition of Pennsylvania grower-processor permit holder
• Closed on an approximate $33 million debt financing of 10 percent senior secured notes and warrants
• Opened 10th BEYOND/HELLOTM retail location and the 8th Pennsylvania Medical Marijuana dispensary in Reading, Pennsylvania

Management Commentary

Jim Cacioppo, Chief Executive Officer, Chairman, and Founder, said that Jushi has:

• “...achieved Adjusted EBITDA profitability for the first time in the Company’s history,...
• continued to see strong momentum in the business as we exited the third quarter, and as a result, we expect to see further expansion in revenue and profitability through the balance of the year.
• continued to optimize our operations by:
  • allowing more transactions to be fulfilled through our online reservation system at BEYOND-HELLO.com,
  • adding additional point-of-sale stations in our stores in Illinois and Pennsylvania, and
  • leveraging data analytics to offer more targeted promotions.
• upgraded our talent by adding several new hires in the third quarter with expertise in retail, cultivation, and security...
• and expect to be able to continue to deliver strong results in the fourth quarter and full-year 2021.”

Outlook

Mr. Cacioppo commented: 

• “As a result of our expectation for continued strong operating results for the remainder of the year, we
  • are increasing our fourth quarter 2020 revenues guidance of from $25 to $30 million to from $28 to $30 million
  • and expect fourth-quarter 2020 Adjusted EBITDA to be between $2.5 and $3.0 million.
• For the first quarter of 2021, we expect
  • revenues to be between $37 and $40 million and 
  • adjusted EBITDA to be between $4.0 to $5.0 million.
• We are also maintaining our
  • 2021 revenue guidance of from $205 to $255 million and our
  • 2021 Adjusted EBITDA guidance of approximately $40 to $50 million...”

Stock Performance

The Jushi stock price is UP 140.6% YTD and continues to appreciate UP 36.1% since the end of September and UP 27.2% so far in November as illustrated in the chart below: