Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF), an American multi-state operator (MSO), announced its results for the quarter ended March 31, 2022 (Q1) last Thursday. Results are reported in U.S. dollars unless otherwise indicated and related to the previous quarter.

Q1 Financial Highlights

• Revenue: +4% to record $318.3M
• Gross Profit: +34.6% to $178.2M
• Gross Margin: increased to 56.0% from 43.4%
• Net Loss: reduced 55% to $(32.0)M
• Adj. EBITDA: +4.5% to $105.5%
• EBITDA as a % of Revenue: increased to 33.2% from 33.0%
• Cash Remaining: $267M

Q1 Operational Highlights

• Completed the rebranding to Trulieve of all 22 affiliated and acquired retail locations (from Harvest) in Maryland and Pennsylvania.
• Opened 2 new dispensaries in Florida and one in Pennsylvania.
• Exited the first quarter 2022 with 165 retail dispensaries in 11 states, with 30% of the retail locations outside Florida, and a total of over 4.0 million square feet of cultivation and processing capacity.
• Acquired 64K square feet of operational indoor cultivation capacity in Arizona.
• Successfully launched Cultivar CollectionTM, MuseTM, Modern FlowerTM, MomentaTM, and Roll OneTM brands across markets including Florida, Maryland, Massachusetts, Pennsylvania and West Virginia.
• Implemented nationwide Supplier Diversity Initiative.

Management Commentary

Kim Rivers, CEO, said:

• "We delivered another record quarter while making substantive progress on our plan to optimize assets while preparing for future growth and catalysts.
• In 2022 we expect our strong balance sheet, access to capital and financial discipline will uniquely position us to capitalize on market opportunities created by the macroeconomic factors impacting our industry." 

Financial Guidance

Trulieve is reiterating 2022 guidance with:

• expected revenue in the range of $1.3 billion to $1.4 billion and
• adjusted EBITDA in the range of $450 million to $500 million.

Based on the Company’s current forecasts, it expects to realize improved performance in the second half of 2022 relative to the first half of 2022.

Stock Performance

As of last Wednesday Trulieve's stock price had declined by 35.8% from the end of March but it jumped 9.6% by the end of the week based on the impressive Q1 financial report, but remains DOWN 38.6% YTD and DOWN 72.0% from its high in 2021.