- HEXO Corp. (HEXO) has filed Redecan’s FY 2020 and Q1 2021 financial statements in connection with its acquisition of the company
- Redecan had revenue of C$73.6 million in 2020 and $24.7 million in Q1 2021, which represents an increase of 146 per cent over Q1 2020
- Redecan’s net earnings were $11.6 million in 2020 and $6.9 million in Q1 2021
- HEXO expects the acquisition to close in Q3 2021
- HEXO is an award-winning producer of innovative products for the global cannabis market
- HEXO Corp. (HEXO) closed down 7.85 per cent trading at $5.75 per share
HEXO Corp. (HEXO) has filed Redecan’s FY 2020 and Q1 2021 financial statements in connection with its acquisition of the company.
Redecan financial highlights
- Revenue of C$73.6 million for 2020 and $24.7 million in Q1 2021, representing an increase of 146 per cent over Q1 2020
- Unadjusted EBITDA of $28.9 million for 2020 and $12.4 million for Q1 2021
- Income from operations of $8.3 million and net earnings of $6.9 million in Q1 2021
- Income from operations of $16.7 million and net earnings of $11.6 million in 2020
- Gross margins of 51 per cent in 2020 and 58 per cent in Q1 2021
- PPE was $84.1 million as of December 31, 2020, the lowest among Canada’s top six licensed producers
HEXO expects the Redecan acquisition to close in Q3 2021.
Sebastien St. Louis, HEXO’s CEO, commented,
“Redecan has the top consumer loyalty in Canada, impressive market share and leading products in key categories. Today, we are excited to finally share additional financial information with HEXO shareholders.
Redecan’s historical financial statements demonstrate exactly what we already knew: Redecan is one of the fastest growth LPs in Canada with positive income from operations, impressive margins, lean operational efficiency and strong revenue.
Once closed, the acquisition will further strengthen our position as a leader in the Canadian cannabis industry, bolster the company as we look towards becoming a top-three global cannabis products company and put us firmly on the path towards positive EPS.”
HEXO is an award-winning producer of innovative products for the global cannabis market.
HEXO Corp. (HEXO) closed down 7.85 per cent trading at $5.75 per share.