Massachusetts Sales
For adult use in Massachusetts, we continue to see sales growth week over week in its second full year of adult-use legalization. This growth has started to slow based on the YoY change from the same week one year prior. Adult-use sales now running at $1.041B.
EARNINGS
Village Farms (VFF) Q4 GAAP EPS of $0.11 beats by $0.10; Revenue of $47.36M (+43.3% Y/Y) misses by $6.62M. From the PR, "We are building on this momentum in 2021 with plans to start cultivation in our Delta 2 greenhouse in the second half of the year to meet the strong and growing demand for Pure Sunfarms' products, as we continue to enhance and expand our offerings to participate in, and help drive the growth of, the Canadian cannabis market. We look forward to continued growth in branded retail sales in 2021, and we are opportunistic with respect to sales to other producers as many of them look to Pure Sunfarms as an economic source of a consistent, high-quality flower."
We are looking for an opportunity to get more aggressive on the LONG side of VFF, and today may give us that opportunity.
Columbia Care 4Q20 - Columbia pre-released revenues and EBITDA on March 3rd. CCHWF reports Q4 EPS ($0.21) vs FactSet ($0.04); Revenue $81.8M vs FactSet $79.7M; Adjusted EBITDA $9.5M vs FactSet $7.4M. Reaffirms quidence of revenue $500-530M vs FactSet $501.3M; Reaffirms adjusted EBITDA $95-105M vs FactSet $98.6M.
4Front - FFNTF
Today, the company announced that it has entered into definitive agreements with both the landowner and an affiliate of IIPR to build an up to 558,000 square foot cultivation and production facility in Illinois. This would mark the largest such facility in the state to date. In summary, the agreements provide for IIPR to acquire the land for $6.5m and fund the approximately $45m buildout of phase one of the facility, which will be leased back to 4Front in the form of a 20-year lease with two five-year extensions at the Company's option. Closing of the transaction is subject to securing appropriate county and state incentives, completion of standard due diligence, and other customary closing conditions. While the Company has already experienced significant success in Illinois through its Mission-branded dispensaries and existing cultivation-only facility, it is excited with the scope and scale of this new facility which will enable it to now introduce its full array of products into the market and catapult it to a top player in the State.
