Cannabis retailer Fire & Flower posts CA$28.1 million quarterly net loss

Canadian cannabis retailer Fire & Flower reported a net loss of 28.1 million Canadian dollars ($20.7 million) for the third quarter of its 2022 fiscal year.

That quarterly loss compares to a CA$21.6 million net loss in the previous quarter and a CA$2 million net loss in the same quarter the year before.

Revenue for the quarter ended Oct. 29 was CA$43.8 million, an increase of 8% from the previous quarter and a decrease of 3% from the same quarter in 2021.

That quarterly revenue figure included:

• CA$33 million in retail revenue (up by CA$2.6 million quarter-over quarter and down by CA$700,000 year-over-year).
• CA$7.9 million in wholesale and logistics revenue (down by CA$0.6 million quarter-over-quarter and similar to the same quarter last year).
• CA$3 million in digital revenue (up by CA$1.1 million quarter-over-quarter and down by CA$800,000 year-over-year).

Fire & Flower remains “focused on driving the goal of positive adjusted (earnings before interest, taxes, depreciation and amortization) and free cash flow,” CEO Stephane Trudel said in a statement.

“We aim to accomplish our goal through a disciplined approach to driving topline revenue, gross profit dollars and reducing selling, general and administrative expenses.”

Fire & Flower’s cash and cash equivalents at quarter’s end were CA$17.3 million, with net working capital of CA$12.5 million.

Fire & Flower reported 90 operating stores as of the end of the quarter.

The company’s shares trade as FAF on the Toronto Stock Exchange.

Source: https://mjbizdaily.com/cannabis-retailer-fire-flower-posts-ca28-1-million-quarterly-net-loss/