TPCO Holding Corp (The Parent Company) (NEO:GRAM.U) (OTCQX:GRAMF) has reported fiscal 2020 unaudited consolidated pro-forma revenue that rose 76% year over year to US$188.7 million, as 4Q sales increased by 40% to US$40.2 million.
The company ended fiscal 2020 with $337.9 million in cash as of December 31, which The Parent Company said will allow it to execute on its aggressive consolidation strategy to accelerate growth and market share gains.
“We are excited to have closed 2020 with momentum forming the largest vertically integrated cannabis company in California by revenue, vertically integrated footprint, brand portfolio and balance sheet post our transaction close in January,” The Parent Company CEO Steve Allan said in a statement.
READ: The Parent Company is coming to conquer California’s cannabis market - with some big-name help
Allan added: “This year is pivotal for The Parent Company as we work through the complex integration process to lay the foundation for future growth and acquisitions. Our team has been diligently working to integrate the newly combined businesses over the last two months and we expect synergies will be realized in our financial results in the back half of 2021.”
“We are optimizing our brand portfolio, planning to launch the first of our value-tier products near the end of this quarter, and expanding our omnichannel footprint in the coming weeks to reach more consumers.”
The Parent Company noted that it is the largest vertically integrated omni-channel cannabis platform in California, with an operational footprint that spans cultivation, extraction, manufacturing, distribution, brands, retail and delivery.
The company also owns its supply chain, enabling it to leverage scale and produce and distribute a broad portfolio of cannabis products across consumer segments.
Notably, entertainment mogul Shawn “JAY-Z” Carter is a key shareholder of The Parent Company and holds a seat at the executive table as the company’s chief visionary officer.
With Carter comes Roc Nation, a premier entertainment organization representing some of the world’s most recognized artists and athletes from Rihanna to Kyrie Irving, whose influence reaches around 1.5 billion followers across the globe.
The Parent Company has said it will fund The Parent Company Social Equity Ventures, led by Shawn “JAY-Z” Carter, with an initial target of $10 million and an annual contribution of at least 2% of its net income to invest in minority-owned and Black-owned cannabis businesses.
The Parent Company recorded a fiscal 2020 unaudited consolidated pro-forma adjusted EBITDA loss that improved to $34.6 million from a loss of $61.3 million in 2019.
Contact Sean at sean@proactiveinvestors.com