[PRESS RELEASE] – STAMFORD, Conn., May 8, 2025 – Curaleaf Holdings Inc. reported its financial results for the year ended December 31, 2018. The company is an international leader in consumer cannabis products. Results of financial and operational results for the first quarter ended March 31, 2025. All financial information will be reported according to U.S. generally recognized accounting principles (GAAP), and all amounts are in U.S. dollar unless stated otherwise.
Boris Jordan is the Chairman and Chief Executive Officer of Curaleaf. He said that first quarter revenue for Curaleaf was $310m with a $155m adjusted gross profit, giving a 50 percent adjusted gross margin. This represents a significant increase in comparison to prior years. We ended the first quarter with $122m in cash. Operating and free cash flows from ongoing operations were $42m and 26m respectively. In addition, we paid $20 million off acquisition-related loans.
“International revenue grew by 74% year–over-year—marking the fourth consecutive quarter of 70% plus growth—and we are encouraged by prospects for new market openings that could materialize over the next year. It’s my pleasure to inform you that I have completed the majority of heavy lifting required to reposition this business for success over the long term, which includes streamlining our operations, improving the key manufacturing metrics and sharpening the focus on flower. Select FormulaX hemp THC-infused energy drink was one of the recent national products that were successful. Select ACE is our new vape innovation, while Anthem our new preroll brand are also examples. I’m confident we have positioned the company to stay resilient and flexible in an ever-changing environment.
First Quarter 2025 Financial Highlights
- The net revenue for Q1 2024 was $338.9 millions, which is a 9% decrease from the previous year. The sequential net revenue dropped 6% from Q4 2024 revenues of $331.1million
- Gross margin 50% and gross profit $155.2 Million, an improvement of 260 basis point year over year
- Adjusted gross profit(1) Adjusted gross margin is $155.4 million(1) A 50% increase is equivalent to a 250-basis-points-per-year rise
- Net loss attributable to Curaleaf Holdings Inc. from continuing operations of $54.8 million or net loss per share from continuing operations of $0.07
- Adjusted EBITDA(1) of $65.2 million and adjusted EBITDA margin(1) A decrease of 180 basis points, or 21%.
- Cash on hand at the quarter-end totaled $121 million
First Quarter Operational highlights
- Reef launched a premium flower brand in Florida
- Relocated one store in Sedona, Ariz., ending the quarter with a total of 149 retail locations
- Launch of new varieties and a 2.5-milligram dosage option for the Select Zero Proof Hemp Seltzer product line
- Select hemp-derived THCA beverages are now being sold in more than 100 Total Wine locations across the U.S.
- Launched Select FormulaX, a new line of hemp THC energy drinks with the added boost of caffeine
The Post-First Quarter Operational Highlights of 2025
- Winter Park is the 66th store in Florida for the company, which brings the total number of stores to 151.
- The first hemp-only retail shop in West Palm Beach opened.
- Anthem is our pre-roll brand, based on American innovation. It was launched in New York City, New Jersey State, Illinois, Massachusetts and Florida.
- Select ACE, a proprietary Aqueous Cannabis Extraction Production Method exclusive to New York Massachusetts and Florida was launched
| (1) | The non-GAAP ratios adjusted EBITDA and adjusted net profit (loss), as well adjusted EBITDA and adjusted net loss (loss) are non GAAP financial measures. These non-GAAP ratios may be difficult to compare with other similar measures. Curaleaf has defined and provided more details about its use of nonGAAP financial performance measures. The “Reconciliation of Non-GAAP” section below provides a comparison of non-GAAP and GAAP financial measures. |
Balance Sheets and Cash Flow
As of March 31, 2025, the company had $121.9 million of cash and $561.2 million of outstanding debt net of unamortized debt discounts.
During the three months ended March 31, 2025, Curaleaf invested $16.3 million in capital expenditures, focused on facility upgrades, automation, and selective retail expansion in strategic markets.
Shares Outstanding
The weighted-average subordinate voting share plus multiple voting share outstanding for the first quarters of 2025 and 2020 was 744,898,937 shares and 736147,618 respectively.
Non-GAAP Financial Measures and Performance Measures
Curaleaf presents its financial results according to GAAP. The company uses several financial ratios for assessing and evaluating its overall performance. These financial ratios and measures are calculated differently than GAAP. Curaleaf makes reference to non-GAAP measures and ratios such as adjusted gross profit, adjusted gross margin, “adjusted NET income (loss),”adjusted EBITDA”, or “adjusted EBITDA Margin”. The meaning of these measures is not standardized by GAAP, and they may not be comparable with similar measures reported by other companies. Curaleaf defines “adjusted Gross Profit” as gross profit minus cost of goods and other related add-backs. Curaleaf defines “adjusted margin” as the adjusted gross profit divided into total revenue. Curaleaf defines “adjusted loss (profit)” as the net profit (loss), minus (gains or losses) on impairments, and other related add-backs. Curaleaf defines adjusted net income per share as net income divided by average weighted shares. Curaleaf defines “adjusted EBITDA”, as earning before interest, tax, depreciation, and amortization, less share-based compensatory expense, and any other add-backs relating to acquisition, financing, and reorganization. Curaleaf defines “adjusted EBITDA” as adjusted EBITDA divided into total revenue. Curaleaf defines “free cash flow from operation” as the net cash generated by continuing operations, less purchases of plant and equipment. Net capital expenditures. Curaleaf believes that these measures are an important measure of financial performance and strength of our company. Curaleaf is of the opinion that adjusted results are useful and relevant information to investors. They clarify the actual performance and make it easy to compare the results to those from other companies. These measures, which are not calculated according to GAAP, should not replace or be viewed as a replacement for our GAAP reported financial results. They may also not be comparable with similarly named measures of other companies. These tables provide a reconciliation of Non-GAAP to GAAP.