Second quarter 2024 revenue of $342 million, representing an increase of 2%
year-over-year and adjusted gross margin(1) of
48%
Second quarter International revenue increased
78% year-over-year
Second quarter 2024 operating cash flow from
continuing operations of $30 million
and free cash flow from continuing operations of $6 million
STAMFORD, Conn., Aug. 7, 2024
/CNW/ -- Curaleaf Holdings, Inc. (TSX: CURA) (OTCQX: CURLF)
("Curaleaf" or the "Company"), a leading international provider
of consumer products in cannabis, today reported its financial and
operating results for the second quarter ended June 30, 2024.
All financial information is reported in accordance with U.S.
generally accepted accounting principles (GAAP) and is provided in
U.S. dollars unless otherwise indicated.
Boris Jordan, Executive Chairman
of Curaleaf, stated, "Second quarter revenue was
$342 million, up 2% and adjusted gross margin of 48% was
up 253 basis points compared to last year. Our gross margin showed
successive improvement each month during the quarter with June
exiting at 50%. Adjusted EBITDA was $73
million or 21.3%. Thus far, the first half of 2024 has
unfolded as we guided. We are starting to see the benefits of the
work we initiated 18 months ago to streamline the business, drive
efficiencies in our cultivation facilities, and leverage both
domestic and international growth opportunities. Looking to
the second half of the year, these actions will drive an
acceleration in both our revenue and margins as state and country
catalysts develop further, including New York, Ohio, and Germany. Furthermore, in June Curaleaf
launched The Hemp Company to expand the Select brand to consumers
we are not reaching today with responsibly sourced, safe and tested
hemp derived THC edibles and beverages to a strong reception. Our
global strategic vision is playing out on multiple fronts, yet
there is much more for us to accomplish."
Matt Darin, Chief Executive
Officer of Curaleaf commented, "Curaleaf continues to execute its
vision of being the global leader in cannabis. We are at a pivotal
time for our industry, on the cusp of federal reform, and the
future is bright. Our international business experienced superb 78%
year-over-year growth led by the UK, Germany, and contributions from the Northern
Green acquisition. With this international growth in Q2,
Curaleaf is leaning into its evolution from an MSO to an MCO, a
multi-country operator, a term which represents our global vision
and business that spans 15 countries. We believe the market will
ultimately reward the companies that have a portfolio of global
brands that are trusted by consumers worldwide. We're also
expanding consumer reach by leveraging distribution channels not
available in our regulated business. We announced our entry into
the hemp-derived THC market with two product lines, Select edibles
and Select Zero Proof seltzers, sold via our direct-to-consumer
website, TheHempCompany.com, which currently ships to over half the
U.S. and through distribution partners."
Second Quarter 2024 Financial Highlights
- Net Revenue of $342.3 million, a
year-over-year increase of 2% compared to Q2 2023 revenue of
$335.6 million. Sequentially, net
revenue increased 1%
- Gross profit of $160.5 million
and gross margin of 47%
- Adjusted gross profit(1) of $163.1 million and adjusted gross
margin(1) of 48%, an increase of 253 basis points
year-over-year
- Net loss attributable to Curaleaf Holdings, Inc. of
$48.9 million or net loss per share
of $0.06
- Adjusted EBITDA(1) of $73.0
million and adjusted EBITDA margin(1) of
21%, a 15 basis point decrease year-over-year
- Cash at quarter end totaled $89.4
million
- Operating and free cash flow from continuing operations of
$30.2 million and $6.0 million, respectively
|
|
|
|
|
|
|
|
|
|
1
|
Adjusted EBITDA,
adjusted gross profit and free cash flow from continuing operations
are non-GAAP financial measures, and adjusted EBITDA margin and
adjusted gross margin are non-GAAP financial ratios, in each case
without a standardized definition under GAAP and which may not be
comparable to similar measures used by other issuers. See "Non-GAAP
Financial Performance Measures" below for definitions and more
information regarding Curaleaf's use of non-GAAP financial measures
and non-GAAP financial ratios. See "Reconciliation of Non-GAAP
financial measures" below for a reconciliation of the non-GAAP
financial measures used in this press release to the most directly
comparable GAAP financial measures.
|
Six Months Ended June 30, 2024
Financial Highlights
- Net revenue of $681.2 million a
2% increase year-over-year
- Gross profit of $321.4 million
and gross margin of 47%
- Adjusted gross profit(1) of $324.5 million and adjusted gross
margin(1) of 48%
- Operating cash flow from continuing operations of $76.3 million and free cash flow from continuing
operations of $38.5 million
- Net loss attributable to Curaleaf Holdings, Inc. of
$97.2 million or net loss per share
of $0.13
- Adjusted EBITDA(1) of $149.7
million and adjusted EBITDA margin of 22%
Second Quarter 2024 Operational
Highlights
- Opened our 62nd dispensary in Florida located at Miami North Biscayne,
ending the quarter with a total of 146 U.S. retail stores.
- Completed the Northern Green Canada acquisition for a purchase
price of approximately $16.0 million
plus an earnout.
- Purchased for cancellation $15.0
million of our Senior Secured Notes due December 2026 at a 7.75% discount.
- Launched Select Fruit Stiq, a rechargeable 1G All-In-One
cannabis oil vape with 6 fruit-forward terpene blends in 9 states,
including Arizona, Florida, Illinois, Massachusetts, Maryland, Maine, New
York, Nevada, and
Utah.
- In Germany, commenced expanded
medical sales under Pillar 1 legislation on April 1.
- Curaleaf International won 4 awards at the Business of Cannabis
show, including Cultivator of the Year and European Cannabis
Company of the Year.
- In June, Curaleaf entered the hemp-derived THC space and
launched its new online storefront, TheHempCompany.com, which
offers a variety of Select gummies, Zero Proof Seltzers and ships
to 25 states, and the District of
Columbia.
- The Hemp Company entered into a strategic partnership with a
large direct-to-consumer distribution partner in the U.S.
Post Second Quarter 2024 Operational Highlights
- In New York, opened one new
dispensary and expanded adult-use sales in two existing stores,
bringing the total to 147 U.S. retail stores.
- Began adult-use sales in Ohio
to wholesale customers and at our two retail dispensaries in
Newark and Cuyahoga Falls.
Balance Sheet and Cash Flow
As of June 30, 2024, the Company had
$89.4 million of cash and
$563.3 million of outstanding debt
net of unamortized debt discounts.
During the six months ended June 30, 2024,
Curaleaf invested $37.8 million, net
in capital expenditures, focused on cultivation, automation, and
selective retail expansion in strategic markets.
Shares Outstanding
For the second quarter of 2024 and 2023, the
Company's weighted average Subordinate Voting Shares plus Multiple
Voting Shares outstanding amounted to 740,787,287 and 719,269,057
shares, respectively.
Conference Call Information
The Company will host a conference call and audio
webcast for investors and analysts on Wednesday August 7, 2024 at 5:00 P.M. ET to discuss Q2 2024 earnings results.
The call can be accessed by dialing 1-844-512-2926 in the U.S.,
internationally 1-412-317-6300 or from Canada 1-416-639-5883. The conference pin # is
4240395.
A replay of the conference call can be accessed
at 1-877-344-7529 or internationally 1-412-317-0088 or from
Canada 1-855-669-9658, using the
replay pin # 9598185.
A webcast of the call can be accessed on the
investor relations section of the Curaleaf website at
ir.curaleaf.com. The teleconference will be available for replay
starting at approximately 7:00 P.M.
ET on August 7, 2024 and will
end at 11:59 P.M. ET on August 14, 2024.
Non-GAAP Financial and Performance
Measures
Curaleaf reports its financial results in
accordance with GAAP and uses a number of financial measures and
ratios when assessing its results and measuring overall
performance. Some of these financial measures and ratios are not
calculated in accordance with GAAP. Curaleaf refers to certain
non-GAAP financial measures and ratios, such as "adjusted gross
profit", "adjusted gross margin", "adjusted EBITDA" and "adjusted
EBITDA margin". These measures do not have any standardized meaning
prescribed by GAAP and may not be comparable to similar measures
presented by other issuers. The Company defines "adjusted gross
profit" as gross profit net of cost of goods sold and related other
add-backs. "Adjusted gross margin" is defined by Curaleaf as
adjusted gross profit divided by total revenues. "Adjusted EBITDA"
is defined by Curaleaf as earnings before interest, taxes,
depreciation and amortization less share-based compensation expense
and other add-backs related to business development, acquisition,
financing and reorganization costs. "Adjusted EBITDA margin" is
defined by Curaleaf as adjusted EBITDA divided by total revenue.
"Free cash flow from operations" is defined by Curaleaf as Net cash
provided by operating activities from continuing operations less
the Purchases of property, plant and equipment (i.e. net capital
expenditures). Curaleaf considers these measures to be an important
indicator of the financial strength and performance of our
business. We believe the adjusted results presented provide
relevant and useful information for investors, because they clarify
our actual operating performance, make it easier to compare our
results with those of other companies and allow investors to review
performance in the same way as our management. Since these measures
are not calculated in accordance with GAAP, they should not be
considered in isolation of, or as a substitute for, our reported
GAAP financial results as indicators of our performance, and they
may not be comparable to similarly named measures from other
companies. The tables below provide reconciliations of Non-GAAP
measures to the most directly comparable GAAP measures.
|
Reconciliation of
Non-GAAP financial measures
Adjusted Gross
Profit from Continuing Operations (Unaudited)
($
thousands)
|
|
|
Three Months Ended
|
|
June 30, 2024
|
|
March 31, 2024
|
|
June 30, 2023
|
|
Gross profit from
continuing operations
|
$
160,465
|
|
$
160,904
|
|
$
147,763
|
|
Other add-backs
(1)
|
2,662
|
|
511
|
|
3,664
|
|
Adjusted gross profit
from continuing
operations (2)
|
$
163,127
|
|
$
161,415
|
|
$
151,427
|
|
Adjusted gross profit
margin from continuing
operations (2)
|
48 %
|
|
48 %
|
|
45 %
|
|
|
|
|
|
|
|
(1) Other add-backs in
Q2 2024 primarily include labor and overhead write-downs primarily
associated with idling capacity.
|
|
(2) Represents a
non-GAAP measure or Non-GAAP ratio. See preceding "Non-GAAP
Financial and Performance Measures" section for definitions and
more information regarding Curaleaf's use of Non-GAAP financial
measures and Non-GAAP ratios. The table above provides a
reconciliation of Gross profit from continuing operations, the most
comparable GAAP measure, to Adjusted gross profit from continuing
operations, a non-GAAP measure.
|
Gross profit from continuing operations was
$160.5 million in the second quarter
of 2024, compared with $147.8 million
in the prior year period. Adjusted gross profit from continuing
operations net of add-backs for the second quarter was $163.1 million compared with $151.4 millions in the second quarter of 2023.
Adjusted gross profit margin from continuing operations for the
second quarter of 2024 was 48%, an increase of 253 basis points
compared with the second quarter of 2023. The year-over-year
increase in adjusted gross profit margin was due to stronger
wholesale margins and higher utilization rates in our
facilities.
|
Six months ended June 30,
|
|
2024
|
|
2023
|
|
Gross profit from
continuing operations
|
$
321,369
|
|
$
308,205
|
|
Other add-backs
(1)
|
3,173
|
|
4,313
|
|
Adjusted gross profit
from continuing operations (2)
|
$
324,542
|
|
$
312,518
|
|
Adjusted gross profit
margin from continuing operations (2)
|
48 %
|
|
47 %
|
|
|
|
|
|
(1) Other add-backs for
the six months ended June 30, 2024 primarily include inventory and
labor write-downs primarily associated with idling
capacity.
|
|
(2) Represents a
non-GAAP measure or Non-GAAP ratio. See preceding "Non-GAAP
Financial and Performance Measures" section for definitions and
more information regarding Curaleaf's use of Non-GAAP financial
measures and Non-GAAP ratios. The table above provides a
reconciliation of Gross profit from continuing operations, the most
comparable GAAP measure, to Adjusted gross profit from continuing
operations, a non-GAAP measure.
|
Gross profit from continuing operations was
$321 million in the six months ended
June 30, 2024, compared with
$308 million in the six months ended
June 30, 2023. Adjusted gross profit
from continuing operations net of add-backs for the six months
ended June 30, 2024 was $325 million compared with $313 million in the six months ended June 30, 2023. Adjusted gross profit margin from
continuing operations for the six months ended June 30, 2024 was 48%, an increase of 80 basis
points compared with the six months ended June 30, 2023.
|
Adjusted EBITDA
(Unaudited)
($
thousands)
|
|
|
Three Months Ended
|
|
June 30, 2024
|
|
March 31, 2024
|
|
June 30, 2023
|
|
Net loss
|
$
(49,830)
|
|
$
(51,010)
|
|
$
(74,492)
|
|
Net (loss) income from
discontinued
operations
|
(1,277)
|
|
567
|
|
(7,904)
|
|
Net loss from
continuing operations
|
(48,553)
|
|
(51,577)
|
|
(66,588)
|
|
Interest expense,
net
|
24,810
|
|
25,762
|
|
27,715
|
|
Provision for income
taxes
|
31,391
|
|
40,090
|
|
41,951
|
|
Depreciation and
amortization (1)
|
52,272
|
|
51,458
|
|
52,259
|
|
Share-based
compensation
|
6,843
|
|
7,509
|
|
6,248
|
|
Loss (gain) on
impairment
|
1,774
|
|
(3,959)
|
|
—
|
|
Other (income) expense,
net
|
(1,875)
|
|
2,386
|
|
(7,355)
|
|
Other add-backs
(2)
|
6,334
|
|
5,039
|
|
17,969
|
|
Adjusted EBITDA
(3)
|
$
72,996
|
|
$
76,708
|
|
$
72,199
|
|
Adjusted EBITDA Margin
(3)
|
21 %
|
|
23 %
|
|
22 %
|
|
|
|
|
|
|
|
(1) Depreciation and
amortization expense include amounts charged to cost of goods sold
on the statement of operations.
|
|
(2) Other add-backs
in Q2 2024 primarily include costs related to legal and
professional fees, rent and other facility costs, and
inventory.
|
|
(3) Represents a
non-GAAP measure or Non-GAAP ratio. See "Non-GAAP Financial and
Performance Measures" below for definitions and more information
regarding Curaleaf's use of Non-GAAP financial measures and
Non-GAAP ratios. The table above provides a reconciliation of such
non-GAAP measure to net loss, the most comparable GAAP
measure.
|
Adjusted EBITDA was $73.0
million for the second quarter of 2024, an increase of 1%
from $72.2 million in the second
quarter of 2023. Adjusted EBITDA margin was 21.3%, a decrease of 15
basis points from 21.5% in the second quarter of 2023. The decrease
in Adjusted EBITDA margin was primarily due to growth of lower
margin international segment and pre-revenue expenses to support
the launch of our hemp line.
|
Six months ended June 30,
|
|
|
2024
|
|
2023
|
|
|
Net loss
|
$
(100,839)
|
|
$
(130,961)
|
|
|
Net loss from
discontinued operations
|
(710)
|
|
(20,492)
|
|
|
Net loss from
continuing operations
|
(100,129)
|
|
(110,469)
|
|
|
Interest expense,
net
|
50,572
|
|
48,354
|
|
|
Provision for income
taxes
|
71,480
|
|
82,683
|
|
|
Depreciation and
amortization (1)
|
103,730
|
|
97,213
|
|
|
Share-based
compensation
|
14,352
|
|
7,956
|
|
|
Gain on
impairment
|
(2,185)
|
|
—
|
|
|
Other expense (income),
net
|
511
|
|
(6,867)
|
|
|
Other add-backs
(2)
|
11,374
|
|
27,403
|
|
|
Adjusted EBITDA
(3)
|
$
149,705
|
|
$
146,273
|
|
|
Adjusted EBITDA Margin
(3)
|
22 %
|
|
22 %
|
|
|
|
|
|
|
|
(1) Depreciation and
amortization expense include amounts charged to cost of goods sold
on the statement of operations.
|
|
|
(2) Other add-backs
in Q2 2024 primarily include costs related to legal and
professional fees, rent and other facility costs, and inventory as
well as lobbyist and PR.
|
|
|
(3) Represents a
non-GAAP measure or Non-GAAP ratio. See "Non-GAAP Financial and
Performance Measures" below for definitions and more information
regarding Curaleaf's use of Non-GAAP financial measures and
Non-GAAP ratios. The table above provides a reconciliation of Net
loss, the most comparable GAAP measure, to Adjusted EBITDA, a
non-GAAP measure.
|
|
|
Free Cash Flow
(Unaudited)
($
thousands)
|
|
|
Six months ended June 30, 2024
|
|
Net cash provided by
operating activities from continuing operations
|
$
76,314
|
|
Less: Capital
expenditures
|
(37,765)
|
|
Free cash flow from
continuing operations(1)
|
$
38,549
|
|
|
|
(1) Represents a
non-GAAP measure or Non-GAAP ratio. See "Non-GAAP Financial and
Performance Measures" above for definitions and more information
regarding Curaleaf's use of Non-GAAP financial measures and
Non-GAAP ratios. The table above provides a reconciliation of Net
cash provided by operating activities from continuing operations, a
GAAP measure, to Free cash flow from continuing operations, a
non-GAAP measure.
|
|
Condensed Interim Consolidated Balance Sheets
(Unaudited)
|
|
|
($ thousands)
|
As of
|
|
June 30, 2024
|
|
December 31, 2023
|
|
Unaudited
|
|
Audited
|
|
Assets
|
|
|
|
|
Cash, cash equivalents
and restricted cash
|
$
89,394
|
|
$
91,818
|
|
Other current
assets
|
337,340
|
|
326,785
|
|
Property, plant and
equipment, net
|
587,746
|
|
571,627
|
|
Right-of-use assets,
finance lease, net
|
134,433
|
|
143,203
|
|
Right-of-use assets,
operating lease, net
|
117,994
|
|
118,435
|
|
Intangible assets,
net
|
1,143,988
|
|
1,172,445
|
|
Goodwill
|
630,950
|
|
626,628
|
|
Other long-term
assets
|
41,107
|
|
45,635
|
|
Total assets
|
$
3,082,952
|
|
$
3,096,576
|
|
|
|
|
|
Liabilities, Temporary equity and Shareholders'
equity
|
|
|
|
|
Total current
liabilities
|
$
392,508
|
|
$
494,034
|
|
Total long-term
liabilities
|
1,583,270
|
|
1,431,250
|
|
Total shareholders'
equity
|
992,843
|
|
1,050,642
|
|
Redeemable
non-controlling interest contingency
|
114,331
|
|
120,650
|
|
Total liabilities, temporary equity and shareholders'
equity
|
$
3,082,952
|
|
$
3,096,576
|
|
Condensed Interim
Consolidated Statements of Operations (Unaudited)
($ thousands, except
for share and per share amounts)
|
|
|
Three months ended June 30,
|
|
Six months ended June 30,
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Revenues,
net:
|
|
|
|
|
|
|
|
|
Retail and wholesale
revenues
|
$
340,838
|
|
$
334,040
|
|
$
678,415
|
|
$
665,304
|
|
Management fee
income
|
1,448
|
|
1,511
|
|
2,803
|
|
2,887
|
|
Total revenues,
net
|
342,286
|
|
335,551
|
|
681,218
|
|
668,191
|
|
Cost of goods
sold
|
181,821
|
|
187,788
|
|
359,849
|
|
359,986
|
|
Gross profit
|
160,465
|
|
147,763
|
|
321,369
|
|
308,205
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
Selling, general and
administrative
|
109,507
|
|
108,713
|
|
213,899
|
|
219,195
|
|
Share-based
compensation
|
6,843
|
|
6,248
|
|
14,352
|
|
7,956
|
|
Depreciation and
amortization
|
36,568
|
|
37,079
|
|
72,869
|
|
67,352
|
|
Total operating
expenses
|
152,918
|
|
152,040
|
|
301,120
|
|
294,503
|
|
Income (loss) from
operations
|
7,547
|
|
(4,277)
|
|
20,249
|
|
13,702
|
|
Other income
(expense):
|
|
|
|
|
|
|
|
|
Interest
income
|
310
|
|
—
|
|
327
|
|
23
|
|
Interest
expense
|
(14,792)
|
|
(17,055)
|
|
(30,155)
|
|
(27,050)
|
|
Interest expense
related to lease liabilities and financial obligations
|
(10,328)
|
|
(10,660)
|
|
(20,744)
|
|
(21,327)
|
|
(Loss) gain on
impairment
|
(1,774)
|
|
—
|
|
2,185
|
|
—
|
|
Other income (expense),
net
|
1,875
|
|
7,355
|
|
(511)
|
|
6,866
|
|
Total other expense,
net
|
(24,709)
|
|
(20,360)
|
|
(48,898)
|
|
(41,488)
|
|
Loss before provision
for income taxes
|
(17,162)
|
|
(24,637)
|
|
(28,649)
|
|
(27,786)
|
|
Provision for income
taxes
|
(31,391)
|
|
(41,951)
|
|
(71,480)
|
|
(82,683)
|
|
Net loss from
continuing operations
|
(48,553)
|
|
(66,588)
|
|
(100,129)
|
|
(110,469)
|
|
Net loss from
discontinued operations
|
(1,277)
|
|
(7,904)
|
|
(710)
|
|
(20,492)
|
|
Net loss
|
(49,830)
|
|
(74,492)
|
|
(100,839)
|
|
(130,961)
|
|
Less: Net loss
attributable to non-controlling interest
|
(945)
|
|
(3,250)
|
|
(3,642)
|
|
(5,339)
|
|
Net loss attributable
to Curaleaf Holdings, Inc.
|
$ (48,885)
|
|
$ (71,242)
|
|
$ (97,197)
|
|
$
(125,622)
|
|
|
|
|
|
|
|
|
|
Per share – basic and
diluted:
|
|
|
|
|
|
|
|
|
Net loss per share from
continuing operations, net of loss
per share attributable to non-controlling interest
|
$
(0.06)
|
|
$
(0.09)
|
|
$
(0.13)
|
|
$
(0.15)
|
|
Net loss per share from
discontinued operations, net of
loss per share attributable to non-controlling interest
|
—
|
|
(0.01)
|
|
—
|
|
(0.03)
|
|
Net loss per share
attributable to Curaleaf Holdings, Inc.
– basic and diluted
|
$
(0.06)
|
|
$
(0.10)
|
|
$
(0.13)
|
|
$
(0.18)
|
|
Weighted average common
shares outstanding – basic
and diluted
|
740,787,287
|
|
719,269,057
|
|
738,467,477
|
|
719,023,326
|
About Curaleaf Holdings
Curaleaf Holdings, Inc. (TSX: CURA) (OTCQX:
CURLF) ("Curaleaf") is a leading international provider of consumer
products in cannabis with a mission to enhance lives by
cultivating, sharing and celebrating the power of the plant. As a
high-growth cannabis company known for quality, expertise and
reliability, the Company and its brands, including Curaleaf,
Select, Grassroots, JAMS, Find and Zero Proof provide
industry-leading service, product selection and accessibility
across the medical and adult use markets. Curaleaf International is
the largest vertically integrated cannabis company in Europe with a unique supply and distribution
network throughout the European market, bringing together
pioneering science and research with cutting-edge cultivation,
extraction and production. Curaleaf is listed on the Toronto Stock
Exchange under the symbol CURA and trades on the OTCQX market under
the symbol CURLF. For more information, please visit
https://ir.curaleaf.com.
Curaleaf IR X
Account:
https://x.com/Curaleaf_IR
Investor Relations Website:
https://ir.curaleaf.com/
Contact Information:
Investor Contact:
Curaleaf
Holdings, Inc.
Camilo Lyon, Chief Investment
Officer
ir@curaleaf.com
Media Contact:
Curaleaf
Holdings, Inc.
Jordan Rahmil, VP Public Relations
media@curaleaf.com
Disclaimer
This press release contains "forward-looking
information" and "forward-looking statements" within the meaning of
Canadian securities laws and United
States securities laws (collectively, "forward-looking
statements"). Forward-looking statements are neither historical
facts nor assurances of future performance. Instead, they are based
on management's current beliefs, expectations or assumptions
regarding the future of the business, plans and strategies,
operational results and other future conditions of the Company. In
addition, the Company may make or approve certain statements in
future filings with Canadian securities regulatory authorities, in
press releases, or in oral or written presentations by
representatives of the Company that are not statements of
historical fact and may also constitute forward-looking statements.
All statements, other than statements of historical fact, made by
the Company that address activities, events or developments that
the Company expects or anticipates will or may occur in the future
are forward-looking statements, including, but not limited to,
statements preceded by, followed by or that include words such as
"assumptions", "assumes", "guidance", "outlook", "may", "will",
"would", "could", "should", "believes", "estimates", "projects",
"potential", "expects", "plans", "intends", "anticipates",
"targeted", "continues", "forecasts", "designed", "goal" or the
negative of those words or other similar or comparable words. In
particular, but without limiting the foregoing, disclosure in this
press release as well as statements regarding the Company's
objectives, plans and goals, including benefits of recent or future
acquisitions, rebranding and product offering expansion, as well as
future operating results and economic performance are
forward-looking statements. These statements speak only as at the
date they are made and are based on information currently available
and on the then current expectations.
Holders of securities of the Company are
cautioned that forward-looking statements are not based on
historical facts but instead are based on reasonable assumptions
and estimates of management of the Company at the time they were
provided or made and involve known and unknown risks, uncertainties
and other factors which may cause the actual results, performance
or achievements of the Company, as applicable, to be materially
different from any future results, performance or achievements
expressed or implied by such forward-looking statements, including,
but not limited to, risks and uncertainties related to: risks and
uncertainties related to the legality of cannabis in the U.S.,
including the fact that cannabis is a controlled substance under
the United States Federal Controlled Substances Act; anti-money
laundering laws and regulations; the lack of access to U.S.
bankruptcy protections; financing risks, including risks related to
additional financing and restricted access to banking; general
regulatory and legal risks, including the potential constraints on
the Company's ability to expand its business in the U.S. by virtue
of the restrictions of the TSX following the TSX listing; risk of
legal, regulatory or political change; general regulatory and
licensing risks; limitation on ownership of licenses; risks
relating to regulatory action and approvals from the U.S. Food and
Drug Administration ("FDA"); the fact that cannabis may become
subject to increased regulation by the FDA; potential heightened
scrutiny by regulatory authorities following the TSX listing; loss
of foreign private issuer status; risks related to internal
controls over financial reporting; litigation risks; increased
costs as a result of being a public company in Canada and the U.S.; recent and proposed
legislation in respect of U.S. cannabis licensing; environmental
risks, including risks related to environmental regulation and
unknown environmental risks; general business risks including risks
related to the Company's expansion into foreign jurisdictions;
future acquisitions or dispositions; service providers;
enforceability of contracts; the ability of our shareholders to
resell their subordinate voting shares on the Toronto Stock
Exchange; the Company's reliance on senior management and key
personnel, and the Company's ability to recruit and retain such
senior management and key personnel; competition risks; risks
inherent in an agricultural business; unfavorable publicity or
consumer perception; product liability; product recalls; the
results of future clinical research; dependence on suppliers;
reliance on inputs; risks related to limited market data and
difficulty to forecast; intellectual property risks; constraints on
marketing products; fraudulent or illegal activity by employees,
consultants and contractors; increased labor costs based on union
activity; information technology systems and cyber-attacks;
security breaches; the Company's reliance on management services
agreements with subsidiaries and affiliates; website accessibility;
high bonding and insurance coverage; risks of leverage; management
of the Company's growth; the fact that past performance may not be
indicative of future results and that financial projections may
prove materially inaccurate or incorrect; risks related to
conflicts of interests; challenging global economic conditions;
currency fluctuations; risks related to the Company's business
structure and securities; including the status of the Company as a
holding company; no dividend record; risks related to the senior
secured notes of the Company; concentrated voting control; risks
related to the sale of a substantial amount of the Company's
subordinate voting shares; the volatility of the market price for
the subordinate voting shares; liquidity risks associated with an
investment in the subordinate voting shares; risks associated with
securities or industry analysts not publishing or ceasing to
publish research or reports or publishing misleading information
about the Company; the potentially limited market for the
subordinate voting shares for holders of the Company's securities
who live in the U.S.; shareholders having little to no rights to
participate in the Company's business affairs; enforcement against
directors and officers outside of Canada may prove difficult; and tax risks; as
well as those risk factors discussed under "Risk Factors" in the
Company's Annual Information Form dated March 6, 2024 for the fiscal year ended
December 31, 2023, and additional risks described in the
Company's Annual Management's Discussion and Analysis for the year
ended December 31, 2023 (both of which documents have been
filed on the Company's SEDAR+ profile at www.sedarplus.ca and on
its EDGAR profile at www.sec.gov/edgar/html), and as described from
time to time in documents filed by the Company with Canadian
securities regulatory authorities. The purpose of forward-looking
statements is to provide the reader with a description of
management's expectations, and such forward-looking statements may
not be appropriate for any other purpose. Although the Company
believes that the expectations reflected in such forward-looking
statements are reasonable, it can give no assurance that such
expectations will prove to have been correct. A number of factors
could cause actual events, performance or results to differ
materially from what is projected in the forward-looking
statements. You should not place undue reliance on forward-looking
statements contained in this press release. Such forward-looking
statements are made as of the date of this press release. We
undertake no obligation to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as required by applicable law. The Company's
forward-looking statements are expressly qualified in their
entirety by this cautionary statement.
Neither the Toronto Stock Exchange nor its
Regulation Service Provider has reviewed and does not accept
responsibility for the adequacy or accuracy of the content of this
press release.
View original
content:https://www.prnewswire.com/news-releases/curaleaf-reports-second-quarter-2024-results-302217132.html
SOURCE Curaleaf Holdings, Inc.