Jushi Holdings Inc (CSE:JUSH, OTCQX:JUSHF). reported a 12.9% surge in total revenue for the first quarter ended ended March 31, 2023,
The vertically integrated cannabis company said its gross profit margin during the quarter was 42.9% of revenue, compared to 30.9% in the first quarter of 2022 and 28.6% in the final quarter of 2022.
The company had cash, cash equivalents, and restricted cash of $19.4 million at the end of the first quarter.
“In the first quarter, our efficiency and cost savings plan resulted in very encouraging improvements to our margins and profitability,” Jim Cacioppo, CEO, Chairman, and Founder, said in a statement.
“Our aggressive steps to responsibly right size the business, improve efficiencies and manage costs created an approximate 13.0% year-over-year reduction in operating expenses.”
The company recorded a net loss of $12.4 million, an improvement of $7.3 million year-over-year while adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) was $7.6 million, an improvement of $8.5 million year-over-year and $1.6 million sequentially.
“Our wholesale business revenue has nearly doubled year-over-year, while retail sales increased over 7.5% year-over-year. We look forward to the launch of our new high-end flower line, Hijinks, and other innovative product forms across our house of brands to better serve customers and grow profitability of the company,” Cacioppo said.
“In the second quarter, we were pleased to strengthen our capital position with a $20.0 million debt financing to strengthen our balance sheet. Through our cost controls, ramp-up of our grower processors, and our operational discipline our goal is to generate positive operating cash flow for debt pay-downs by the fourth quarter of 2023,” he added.
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