The Public Cannabis Company Revenue & Income Tracker, managed by New Cannabis Ventures, ranks the top revenue producing cannabis stocks that generate industry sales of more than US$10 million per quarter (C$13.6 million). This data-driven, fact-based tracker will continually update based on new financial filings so that readers can stay up to date. Companies must file with the SEC or SEDAR and be current to be considered for inclusion. Please note that we raised the minimum quarterly revenue several times, including from US$7.5 million in June 2020, from US$5.0 million in October 2019 and from US$2.5 million in May 2019.
35 companies currently qualify for inclusion, with 21 filing in U.S. dollars and 14 in the Canadian currency, which is down from 46 when we reported in early June. In the U.S., we added Scotts Miracle-Gro (NYSE: SMG) after reassessing our prior decision to exclude it due to our concern that we couldn’t verify that Hawthorne Gardening segment was entirely cannabis-related. We also removed five names that fell below the revised minimum, including cbdMD, Cronos Group, CV Sciences, Indus Holdings and MJardin. Additionally, we removed Harborside and iAnthus, which missed filing deadlines, and Green Growth Brands, which is in bankruptcy and shuttered part of its operations. In Canada, we have removed four that fell below the minimum, including Delta 9 Cannabis, MediPharm Labs, Radient Technologies and Zenabis. Some companies have taken advantage of revised filing deadlines that have been extended due to the pandemic.
In May 2019, we added an additional metric, “Adjusted Operating Income”, as we detailed in our newsletter. The calculation takes the reported operating income and adjusts it for any changes in the fair value of biological assets required under IFRS accounting. We believe that this adjustment improves comparability for the companies across IFRS and GAAP accounting. We note that often operating income can include one-time items like stock compensation, inventory write-downs or public listing expenses, and we recommend that readers understand how these non-cash items can impact quarterly financials. Many companies are moving from IFRS to U.S. GAAP accounting, which will reduce our need to make adjustments. Please note that our rankings include only actual reported revenue, and not pro forma revenue. We also note that companies with non-cannabis operations must provide segment-level financial reports that detail not only revenue but also operating profit to be included in the tracker.
During June, several companies took advantage of extended filing deadlines to provide financial reports for the quarter ending 12/31 or 3/31, including 4Front Ventures (CSE: FFNT) (OTC: FFNTF), Acreage Holdings (CSE: ACRG.U) (OTC: ACRGF), TILT Holdings (CSE: TILT) (OTC: TLLTF) and Vireo Health (CSE: VREO) (OTC: VREOF), all of which expanded sales sequentially and from year-ago levels.
Tilt Holdings actually reported both its December and March quarters during the month. Its Q4 was negatively impacted by the vaping crisis, but revenue bounced back in Q1, with the company reporting revenue in excess of $42 million, up 23% from a year ago as it reduced its operating loss. Acreage Holdings expanded reported revenue by 18% sequentially in its March quarter, while its operating loss expanded, due primarily to write-downs included in its GAAP earnings.
4Front reported December revenue of $15.7 million, up 107% sequentially, while its adjusted operating loss expanded from -$7.3 million to -$15.6 million, which excludes under IFRS accounting a large impairment of goodwill. Vireo Health grew Q1 revenue 34% sequentially to $12.1 million while reducing its adjusted operating loss from -$9.4 million to -$6.2 million.
During July, 4Front Ventures, C21 Investments (CSE: CXXI) (OTC: CXXIF) and KushCo Holdings (OTC: KSHB) are expected to provide financial reports. C21 will be reporting its results for the fiscal year ending 1/31. 4Front will report its Q1 ending 3/31, and KushCo will report its fiscal Q3 ending 5/31.
KushCo Holdings, according to Sentieo, is expected to see revenue grow 3% sequentially to $31.1 million, with forecasts ranging from $29.0 million to $36.2 million. 4Front indicated in June that it expects to report revenue of $17.1 million. C21 pre-announced revenue of $9.5 million, suggesting it will be removed from the list.
Of the companies that report in Canadian dollars, Fire & Flower (TSX: FAF) (OTC: FFLWF), HEXO Corp (TSX: HEXO) (NYSE: HEXO), High Tide (CSE: HITI) (OTC: HITIF) and Liberty Health Sciences (CSE: LHS) (OTC: LHSIF) provided financial updates. All experienced growth sequentially and from year-ago levels.
Retailer Fire & Flower exceeded expectations of C$20.2 million in its fiscal Q1, with revenue increasing 38% sequentially to C$23.1 million. The adjusted operating loss of C$9.7 million included asset impairment charges totaling C$4.3 million. LP HEXO grew revenue 38% sequentially in its fiscal Q3 to C$22.1 million, also exceeding the consensus of C$20 million.
High Tide fell slightly short of expectations as it reported revenue of C$19.6 million in its fiscal Q2, up 43% sequentially. The company reported a slight operating profit. Liberty Health saw revenue in its fiscal Q4 grow 10% sequentially to C$17.8 million, with the Florida medical cannabis operator generating an adjusted operating profit of C$8.3 million, or 47% of sales.
During July, Valens Company (TSX: VLNS) (OTC: VLNCF), Organigram (TSX: OGI) (NASDAQ: OGI), Liberty Health Sciences and Meta Growth (TSXV: META) (OTC: NACNF) are expected to provide financial updates. Valens, according to Sentieo, is projected to see revenue decline by 29% sequentially in its fiscal Q2 to C$22.7 million, which would represent growth of 157% from a year ago. Organigram is expected to have seen revenue expand 7% sequentially in its fiscal Q3 to C$24.9 million, which would be up marginally from a year ago. There are no analyst forecasts for Liberty or Meta Growth.
For those interested in more information about companies reporting, we publish comprehensive earnings previews and reviews for subscribers at 420 Investor.
Visit the Public Cannabis Company Revenue Tracker to track and explore the complete list of qualifying companies. We have recently created a way for our readers to access our library of Revenue Tracker articles. For our readers who are interested in staying on top of scheduled earnings calls in the sector, we have have created and continually update the Cannabis Investor Earnings Conference Call Calendar.