- Cannara Biotech Inc. (TSXV:LOVE) reported record growth and profitability in its Q4 and 2024 fiscal year results
- Cannara reported record total revenues of C$23.4 million for Q4 2024, a 28 per cent increase compared to Q4 2023
- For the fiscal year 2024, total revenues reached C$82.2 million, marking a 43 per cent increase from the previous year
- Cannara Biotech stock (TSXV:LOVE) last traded at $0.68
Cannara Biotech Inc. (TSXV:LOVE) reported record growth and profitability in its Q4 and 2024 fiscal year results.
Financial highlights
- Record revenues: Cannara reported record total revenues of C$23.4 million for Q4 2024, a 28 per cent increase compared to Q4 2023. For the fiscal year 2024, total revenues reached C$82.2 million, marking a 43 per cent increase from the previous year.
- Quarter-over-quarter growth: Q4 2024 saw robust growth over Q3 2024, with total revenues increasing by 20 per cent, operating income by 42 per cent, Adjusted EBITDA by 33 per cent, net income by 184 per cent, and free cash flow by 117 per cent.
- Consistent performance: The company delivered its 14th consecutive quarter of positive Adjusted EBITDA, amounting to C$3.7 million.
- Operating cash flow: Operating cash flow surged 81 per cent year-over-year to C$10.7 million for fiscal 2024, while free cash flow reached C$3.2 million, reflecting a C$7.2 million improvement from the prior year.
Market Share and production expansion
- National market share: Cannara achieved a national market share of 3.2 per cent in Q4 2024, a 39 per cent increase from the prior year. In Québec, the company secured a leading 11.9 per cent market share, ranking it as the third top cannabis producer in the province.
- Production expansion: Strong consumer demand for Cannara’s retail products has driven the expansion of production at its Valleyfield Facility. In fiscal 2023, three new growing zones (25,000 sq. ft. each) were activated, with a 10th zone added in January 2024, bringing total cultivation to 250,000 sq. ft. (approximately 100,000 plants). For fiscal 2025, two additional grow zones are planned, adding 50,000 sq. ft. of canopy and bringing the estimated total annual cannabis production to just under 40,000 kg.
Leadership comments
“Fiscal 2024 was a transformative year for Cannara, showcasing the resilience of our business model and the strength of our execution strategy,” Zohar Krivorot, president and CEO said in a news release. “With a 3.2 per cent national market share and a leading position in Québec, we have proven our ability to deliver sustained growth in a challenging cannabis market.”
Cannara Biotech Inc. continues to demonstrate financial strength and consistency, making significant strides in the cannabis industry and setting the stage for future growth.
About Cannara Biotech
Cannara Biotech Inc. is a producer of premium-grade cannabis and cannabis-derivative products that owns two mega facilities based in Québec spanning more than 153,000 square metres providing the company with 100,000 kilograms of potential annualized cultivation output.
Cannara Biotech stock (TSXV:LOVE) last traded at $0.68 and has risen 6.25 per cent over the past three months, but has lost 18.07 per cent since the year began.
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(Top photo via Cannara Biotech Inc.)
