Cannabis Acquisitions Pay Off: MSO Ascend Wellness Q4 Revenue Jumps 25% YoY To $140M
Portfolio Pulse from Nina Zdinjak
Ascend Wellness (OTCQX:AAWH) reported a Q4 revenue of $140.2 million, a 0.8% decrease QoQ but a 25% increase YoY, with a net loss of $19.3 million. The company's full-year revenue reached $519 million, up 28% from the previous year, driven by retail and wholesale business expansion. Adjusted EBITDA for Q4 was $32.4 million, up 9.6% QoQ and 14.8% YoY. The company generated $16.7 million in cash from operations and $8.4 million in free cash flow for the quarter. For the full year, Ascend Wellness generated $54.5 million in cash from operations and $30.3 million in free cash flow. Shares closed 10.92% lower at $1.06 per share.
March 12, 2024 | 12:51 pm
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Ascend Wellness reported a 25% YoY increase in Q4 revenue to $140.2 million, with a net loss of $19.3 million. Full-year revenue grew by 28% to $519 million, driven by retail and wholesale expansion. The company's shares fell 10.92% to $1.06.
The reported increase in revenue and positive cash flow from operations indicate a strong operational performance, especially with the expansion in retail and wholesale. However, the significant drop in share price following the earnings report suggests market concerns, possibly about the net loss or broader market conditions affecting cannabis stocks. This could lead to short-term negative pressure on the stock.
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