Canada's High Tide Q1 revenue rises driven by new store openings
Overview
Canada cannabis retailer's fiscal Q1 revenue rose 25% yr/yr, beating analyst expectations
Adjusted EBITDA for fiscal Q1 beat analyst expectations
Outlook
High Tide expects to open 20-30 new Canna Cabana stores in Canada in 2026
Company expects gross margin improvement in medical cannabis distribution starting Q2 2026
Result Drivers
STORE EXPANSION & LOYALTY GROWTH - Revenue growth driven by new store openings and rapid increase in Cabana Club and ELITE loyalty program membership
INTERNATIONAL SEGMENT - Remexian acquisition boosted international revenue, with German market share rising despite margin pressure from liquidation of older inventory
Company press release: ID:nCNW9vTH6a
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q1 Revenue | Beat | C$178.3 mln | C$173.79 mln (5 Analysts) |
Q1 Net Income |
| -C$352,000 |
|
Q1 Adjusted EBITDA | Beat | C$11.4 mln | C$10.99 mln (5 Analysts) |
Q1 Gross Profit |
| C$44.4 mln |
|
Q1 Income From Operations |
| C$2.37 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the drug retailers peer group is "buy"
Wall Street's median 12-month price target for High Tide Inc is C$7.00, about 108.3% above its March 16 closing price of C$3.36
The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 27 three months ago
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