High Tide Inc. Reports Revenue and Profitability in Q3 2024

LOS ANGELES- High Tide Inc. reported strong financial results for the third fiscal quarter of 2024, with record revenue of $131.7 million, reflecting a 6% increase year-over-year and sequentially. This revenue growth underscores the company’s success in expanding its market share and navigating the competitive cannabis sector.

The company’s gross profit reached $35.5 million, a 3% increase from the previous year, though its gross profit margin slightly declined to 27%, down from 28%. Despite this, High Tide continued to demonstrate operational efficiency, recording its 18th consecutive quarter of positive Adjusted EBITDA. Adjusted EBITDA for the quarter was $9.6 million, a slight decrease from $10.2 million in the same period last year, which benefited from a one-time removal of Manitoba’s Social Responsibility Fee (SRF). Excluding this factor, the quarter’s performance was notably strong.

High Tide also reported positive net income of $0.8 million, a significant improvement from the $(3.6) million loss in the same period last year, marking its second consecutive quarter of positive net income. Earnings per share for the quarter were $0.01, compared to a loss of $(0.04) last year.

The company’s diversified revenue streams, including its Cabanalytics Business Data and Insights platform, contributed $9.0 million, a 36% year-over-year increase. High Tide’s focus on expanding its Cabana Club membership, which grew 41% year-over-year to 1.55 million members, and opening 11 new Canna Cabana locations, further bolstered its market presence.

Cash and cash equivalents totaled $35.3 million as of July 31, 2024, representing a 37% increase year-over-year. This strong liquidity supports the company’s ability to invest in future growth initiatives.

Overall, High Tide’s disciplined financial management and strategic growth initiatives have resulted in sustained profitability and market expansion.