Jushi Holdings Inc. (CSE: JUSH) released its Q1 2021 financial results this morning, highlighting quarterly revenue of US$41.7 million. This is a 29.0% increase from Q4 2020’s revenue of $32.3 million.
The company relayed that the increase in revenue can be attributed to growth at its BEYOND/HELLO stores in Pennsylvania and Illinois, early revenue contributions from its Virginia retail operations, and increased operating activity at its PAMS and Nevada facilities. The gross margin, however, declined to 48.2% this quarter from 54.5% last quarter.
Jushi Holdings also recorded a net loss of US$26.1 million, compared to last quarter’s US$148.1 million net loss. This net loss improvement is attributed to fluctuations in the fair value of derivative liabilities coming from changes in pricing of the firms common shares, and the volume of warrant liabilities. This quarter’s net loss translates to a US$0.17 loss per share.
The company closed Q1 2021 with US$167.9 million in cash and short-term investments, up from last quarter’s US$94.7 million. It also incurred approximately US$10 million in capital expenditures for the quarter.
Notably, the firm has reported its first quarter 2021 results before filing its fourth quarter 2020 results. Jushi Holdings’ auditor, MNP, advised the company that it would need additional time to complete its audit procedures, which were expected to be completed by May 28, 2021. The auditing firm now expects to finish the process by June 4, 2021. This effectively also affects Jushi Holdings’ timing in filing its financial statements for Q1 2021.
Jushi Holdings Inc. last traded at $7.25 on the CSE.
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