Trees Corporation (NEO:TREE.AQN) has reported corporate retail sales of $11.5 million during the 15-month period ending on March 31, 2023, with system-wide sales reaching $16.6 million.
Notably, the company said there was 20% growth in corporate same-store retail sales for the three months leading up to March 31, 2023, compared to the same period in 2022. System-wide same-store sales also experienced a 20% increase during this time.
In May 2023, Trees Corporation successfully completed the acquisition of a five-store chain in British Columbia. This acquisition significantly contributed to the company's increased revenue and gross profit, setting the stage for further growth in an opportune time of corporate consolidation.
"We are thrilled to report strong results with continued growth year over year in same-store sales," said Jeff Holmgren, president and CFO of Trees Corporation in the results statement.
He added: "With the closing of our 5 Trees brand licensed store acquisition in B.C. in May, our revenue and gross profit have increased substantially, creating momentum for continued growth ahead during a time where corporate consolidation opportunities have never been better."
During the 12 months ending December 31, 2022, Trees Corporation decided to change its fiscal year-end from December 31 to March 31. The transition period for the change is reflected in the current 15-month financial statement.
The change was motivated by the company's aim to conduct its annual financial statement audit during a less resource-constrained time of the year. Consequently, the comparative periods presented in the financial statements are not entirely comparable due to the change in fiscal year-end.
Trees Corporation is a cannabis company that combines community, content, and commerce. It provides a unique retail experience aimed at educating and engaging consumers in the cannabis industry.
Currently, the company operates 14 Trees-branded storefronts in Canada, with nine stores in Ontario and five stores in British Columbia.
Contact the author at jon.hopkins@proactiveinvestors.com