Ayr Wellness (CSE: AYR.a) this evening provided guidance for fiscal year 2022 following the release of its 2020 financials earlier this week. The company has skipped providing guidance for 2021, as it deems it “a transitional year.”
The company is currently guiding towards targeting revenues of US$725 million for fiscal 2022, along with adjusted EBITDA of US$325 million, effectively indicating they expect minimal margin compression over the course of the next two years. The guidance was reportedly based on a number of assumptions and considerations.
Among other assumptions, is that the company expects to close pending M&A transactions in Arizona and Ohio by the end of Q1 2021, as well as New Jersey by the end of Q3 2021. Also assumed is a number of cultivation and manufacturing capacity expansions as well as additional retail store openings across the states of Pennsylvania, Arizona, New Jersey, Massachusetts, Florida and Ohio.
Another qualifier is that the guidance is provided based on IFRS accounting standards, with the company expecting to transition to US GAAP beginning in the current quarter. Impact to the 2022 guidance as such will be detailed on the firms first quarter 2021 conference call, which is yet to be scheduled.
Ayr Wellness last traded at $42.67 on the CSE.
Information for this briefing was found via Sedar and Ayr Strategies. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
