Cannabist Stock Price, News & Analysis

The Cannabist Company has announced a partnership with COAST Cannabis Co., a woman-owned cannabis edibles company, to expand COAST's premium cannabis products into Maryland and New Jersey markets. The collaboration will introduce COAST's award-winning infused chocolates and gummies, manufactured using The Cannabist Company's premium cannabis oil. The products will feature artisanal, all-natural chocolates sourced from South America and organic, gluten-free gummies with varying cannabinoid ratios. The products will be available at gLeaf and Columbia Care locations in Maryland and Cannabist dispensaries in New Jersey, as well as through wholesale channels in both states.

The Cannabist Company reported its Q3 2024 financial results. Revenue was $114.8 million, a decrease from $125.2 million in Q2 and $129.2 million in Q3 2023. Gross profit increased to $43.8 million from $37.1 million in Q3 2023. Net loss was $1.8 million, an improvement from a $36.2 million loss in Q3 2023. The company closed significant transactions, selling assets in Arizona and Eastern Virginia for $105 million, boosting cash reserves to $31.5 million from $22 million in Q2. Adjusted EBITDA was $14.8 million, down from $17.5 million in Q2. The company continues to streamline operations, exiting unprofitable locations in Florida, Washington, D.C., and Boston. It also participated in Ohio's adult-use cannabis market, nearly doubling sales at its retail locations there. Looking ahead, the company aims for an Adjusted EBITDA margin above 20% in 2025, with growth catalysts including new retail locations in New Jersey, Virginia, and Ohio.

The Cannabist Company announced the closing of its sale of 14 Florida dispensaries and two cultivation and manufacturing facilities to a joint venture between MINT Cannabis and SHANGO. The transaction, previously announced on August 23, 2024, includes a total consideration of $5 million, with $3 million paid in cash and a $2 million promissory note. Additionally, $750k was held in escrow.

The MINT/SHANGO JV transferred all outstanding equity interest in its MMTC license entity to The Cannabist Company, which plans to divest it to a third party. This sale is part of The Cannabist Company's strategy to streamline its portfolio and strengthen its balance sheet. The company also expects to close an additional transaction in Lakeland for $11.4 million.

ATB Capital Markets acted as the financial advisor for The Cannabist Company, while CLD Advisory advised the MINT/SHANGO JV.

The Cannabist Company Holdings Inc. (Cboe CA: CBST) (OTCQX: CBSTF) (FSE: 3LP) has announced that it will report its financial results for the third quarter ended September 30, 2024, before U.S. financial markets open on Thursday, November 7, 2024. Following the release, company management will conduct a conference call at 8:00 a.m. EST to discuss financial and operating results for the second quarter of 2024.

To access the live conference call via telephone, participants must pre-register at a provided link. A live audio webcast of the call will also be available in the Investor Relations section of the Company's website. A replay of the audio webcast will be accessible approximately 2 hours after the call's completion and will be archived for 30 days.

The Cannabist Company Holdings Inc. (OTCQX: CBSTF) has launched its popular brand Seed & Strain in Pennsylvania, marking the 11th market for the brand. The initial product lineup includes 1.0-gram vape cartridges and whole flower, available at Columbia Care locations in Allentown, Scranton, and Wilkes-Barre, as well as through wholesale channels. Additional products are expected to be introduced in the coming weeks, pending regulatory approval.

Seed & Strain is now available in 11 markets across the U.S., offering a wide range of cannabis products including whole flower, pre-rolls, vapes, concentrates, tinctures, and topicals. The brand's expansion into Pennsylvania aligns with The Cannabist Company's strategy to grow its wholesale program with branded and manufactured products, capitalizing on the potential evolution of the state's market into adult use.

MINT Cannabis and Shango have formed a joint venture (MINT SHANGO JV) to acquire The Cannabist Company's Florida subsidiary for $5M. This acquisition includes 14 dispensaries, two cultivation and manufacturing facilities, inventory, and an MMTC license. Key points:

1. MINT will focus on retail operations, rebranding dispensaries as 'MINT Dispensary'
2. SHANGO will bring its product line and cultivation expertise
3. Plans to expand to 35 MINT-branded dispensaries in 18 months
4. Florida's medical cannabis market exceeded $2B in sales in 2023
5. Potential for adult-use legalization in November 2024 vote

The deal is subject to regulatory approval. This acquisition positions MINT SHANGO JV for significant growth in Florida's expanding cannabis market.

The Cannabist Company (CBOE CA: CBST, OTCQX: CBSTF) has announced definitive agreements to sell its Florida assets for a total consideration of $16.4 million. The transactions include:

1. Sale of the Lakeland cultivation facility to a leading multistate operator for $11.4 million in cash.

2. Sale of 14 Cannabist dispensaries and two cultivation/manufacturing facilities to a joint venture between MINT Cannabis and Shango for $5 million.

These strategic moves align with the company's efforts to rationalize its footprint, focus on growth markets, and enhance profitability. The Florida assets represent less than 5% of revenue and were loss-making operations. Upon completion, The Cannabist Company's operational footprint will be reduced to 13 markets, further decreasing to 12 after finalizing its exit from Washington, DC.

The Cannabist Company (OTCQX: CBSTF) has expanded its collaboration with ButACake, a minority-owned edibles company, to the Maryland market. This expansion includes the launch of ButACake's popular oral dissolvable strips in 10mg, 2-pack varieties of Ginger Peach, Chocolate Mint, and Blue Blizzard. The products are available at select gLeaf and Columbia Care locations in Maryland.

This marks ButACake's third market entry, following successful launches in Delaware (April 2023) and New Jersey (late 2023). ButACake, founded by pastry chef Matha Figaro in 2015, has become a top-selling edibles brand at Cannabist locations in Delaware and New Jersey. The collaboration allows The Cannabist Company to diversify its product offerings and increase capacity at its facilities to meet growing market demands.

The Cannabist Company reported its Q2 2024 financial results, showing sequential improvement in key metrics. Revenue increased 2% to $125.19 million from Q1, while Adjusted EBITDA rose to $17.54 million with a 14% margin. Gross profit reached $48.05 million. The company saw growth in wholesale revenue and improved gross margins in this segment. Top markets by revenue and Adjusted EBITDA were Colorado, Maryland, New Jersey, Ohio, and Virginia.

The company ended Q2 with $22 million in cash and implemented a corporate restructuring expected to save $10 million annually. Post-quarter, The Cannabist Company announced agreements to divest assets in Eastern Virginia and Arizona for $105 million. The company continues to focus on enhancing profitability and progressing towards free cash flow generation.