The Public Cannabis Company Revenue & Income Tracker, managed by New Cannabis Ventures, ranks the top revenue producing cannabis companies. Most of the companies have just reported for the quarter that ended 6/30. The next reporting period of note is in November for the quarter that ends on 9/30, and we will provide an update in late October ahead of this time.
Tracker Rules
This data-driven, fact-based tracker will continually update based on new financial filings so that readers can stay up to date. Companies must file with the SEC or SEDAR and be current to be considered for inclusion. When we launched this resource in May 2019, companies with quarterly revenue in excess of US$2.5 million qualified. As the industry has scaled and as more companies have gone public, we have raised the minimum several times subsequently, including a move to US$5 million in October 2019, to US$7.5 million in June 2020, to US$10 million in November 2020 and US$12.5 million in August 2021. Due to the rapid growth in the cannabis industry, we raised the minimum to US$25 million (C$33.8 million) to qualify for what we now call the senior list and introduced a junior list with a minimum of US$12.5 million (C$16.9 million) in September 2021.
A Note About Adjusted Operating Income
In May 2019, we added an additional metric, “Adjusted Operating Income”, as we detailed in our newsletter. The calculation takes the reported operating income and adjusts it for any changes in the fair value of biological assets required under IFRS accounting. We believe that this adjustment improves comparability for the companies across IFRS and GAAP accounting. We note that often operating income can include one-time items like stock compensation, inventory write-downs or public listing expenses, and we recommend that readers understand how these non-cash items can impact quarterly financials. Many companies are moving from IFRS to U.S. GAAP accounting, which will reduce our need to make adjustments. Please note that our rankings include only actual reported revenue and not pro forma revenue. We also note that companies with non-cannabis operations must provide segment-level financial reports that detail not only revenue but also operating profit to be have their operating profit included in the tracker. Currently, Canopy Growth (TSX: WEED) (NASDAQ: CGC), Jazz Pharma (NASDAQ: JAZZ) and Tilray (TSX: TLRY) (NASDAQ: TLRY) aren’t providing this information.
Tracker Inclusion Updates
At the time of our last update on July 28th, 34 companies qualified for inclusion on the senior list, including 27 filing in U.S. dollars and 7 in the Canadian currency. Currently, 28 companies that file in U.S. dollars qualify and 7 that file in Canadian dollars are qualifying for the senior lists, a total of now 35. The junior list now includes 12 companies reporting in U.S. dollars and 5 in Canadian dollars. On a combined basis, the Public Cannabis Company Revenue & Income Tracker now includes 52 companies.
Included Companies That Reported in August
Since our last update, there have been a lot of companies that have reported, and we have moved Planet 13 Holdings (OTC: PLNHF) (CSE: PLTH) back to the senior list due to the revenue gain.
Senior and Junior – American Dollar Reporting
The 5 largest MSOs reported their Q2, with no change in their ranking order. The growth was modest, with no big beats of expectations. Three of them had revenue shrink from a year ago. Curaleaf (OTC: CURLF) (CSE: CURA) reported an operating loss as did Trulieve (OTC: TCNNF) (CSE: TRUL), which had a big write-down of goodwill. Green Thumb Industries (OTC: GTBIF) (CSE: GTII) had the strongest operating income of the five, while cross-town rival Verano (OTC: VRNOF) (CSE: VRNO) was second-best. Cresco Labs (OTC: CRLBF) (CSE: CL) reported an operating loss.
Senior and Junior – Canadian Dollar Reporting
In Canada, SNDL (NASDAQ: SNDL) grew cannabis revenue by 7% sequentially and by 24% from a year ago. Canopy Growth (NASDAQ: CGC) (TSX: WEED) reported its fiscal Q1, with cannabis revenue rising 17% sequentially but falling 17% from a year earlier. The company generated an overall adjusted EBITDA loss of C$57.8 million.
Stay up to date
Visit the Public Cannabis Company Revenue Tracker to track and explore the complete list of qualifying companies. We have recently created a way for our readers to access our library of Revenue Tracker articles. For our readers who are interested in staying on top of scheduled earnings calls in the sector, we have created and continually update the Cannabis Investor Earnings Conference Call Calendar.
