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Green Thumb Industries Inc. (CSE: GTII|OTCQX: GTBIF) reported its financial results yesterday for the fourth quarter (Q2) that ended June 30th, 2024. Financial results are reported in U.S. dollars and are in comparison to those reported in Q1.
 

Q2 Financial Highlights

• Revenue: UP 1.5% to $280.1M
• Gross Profit: UP 3.9% to $150.5M
  • as a % of revenue: UP to 53.7% from 52.5%
  • (Gross Profit Margin is the profit remaining after subtracting the cost of goods sold from revenue. A high gross profit margin indicates that a company is successfully producing profit over and above its costs.)
• SG&A Exp.:  UP 29.9% to $96.5M
  • as a % of revenue: Increased to 34.5% from 26.9%
  • (SG&A expenses are the costs a company incurs to run its business, which include salaries, marketing, rent, utilities, and office supplies and the SG&A margin is the percentage of revenue consumed by these expenses and shows how much revenue is being absorbed by overhead costs. In this instance a lower margin reflects how efficiently a company manages its operating expenses.)
• Net Income (Loss): DOWN 33.4% to $20.7M
  • Net Income/Share: DOWN to $0.09 from $0.13
  • (Net profit margin, or simply net margin, measures how much net income or profit a company generates as a percentage of its revenue. The net profit margin illustrates how much of each dollar in revenue collected by a company translates into profit. A higher margin reflects the cash profit generated by the company's operations.)
• Adj. EBITDA: UP 3.6% to $93.8M
  • as a % of revenue: UP to 33.5% from 32.8%
  • (Adjusted EBITDA, or Earnings Before Interest, Taxes, Depreciation, and Amortization, represents the cash profit generated by the company's operations excluding non-recurring, irregular, and one-time items such as unrealized gains or losses; non-cash expenses such as depreciation and amortization; litigation expenses; gains or losses on foreign exchange; goodwill impairments; non-operating income; and share-based compensation that may distort the EBITDA. Remember, a higher margin reflects the cash profit generated by the company's operations.)
• Cash on Hand: DOWN 12.5% to $196M
   

Q2 Operational Highlights

During the second quarter, the Company opened two retail stores in Florida:
 

Management Commentary

Green Thumb Founder, Chairman, and Chief Executive Officer Ben Kovler, said:

“...Green Thumb continues to gain market share in U.S. cannabis, and we are in a strong position to further our mission of creating brands Americans love in the back half of 2024 and beyond...As we begin our second decade as a Company, we are...confident in the future for cannabis in America. It’s Still Day One.”

Green Thumb President Anthony Georgiadis added:

“We are incredibly proud of our team and the results they delivered this quarter. Our consistent focus on execution, the quality of our products, and our brands is a winning combination for Green Thumb...”
 

Stock Performance 

Green Thumb's stock price went DOWN 18.7% in Q2 (i.e. between March 31st and June 30th), has gone DOWN 5.0% since then and, as of the close of business today, July 6th,  is now DOWN 0.6% YTD.

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