Core Insights - Ascend Wellness Holdings, Inc. reported a net revenue of $141.5 million for Q2 2024, marking a 15% increase year-over-year [1][2] - The company achieved an Adjusted EBITDA of $28.3 million, reflecting a 33% increase year-over-year [1][2] - Positive cash flow from operations and free cash flow were generated, with approximately $32 million in cash flows from operations [1][2][3] Financial Highlights - Gross revenue rose 14.3% year-over-year to $172.7 million, but decreased 0.9% quarter-over-quarter [2] - Retail revenue increased 3.6% year-over-year to $93.1 million, while gross wholesale revenue surged 30.1% year-over-year to $79.6 million [2][6] - The company reported a net loss of $21.8 million for the quarter, compared to a net income of $0.8 million in Q2 2023 [2][9] - Cash and cash equivalents stood at $83.7 million as of June 30, 2024, with net debt at $225.6 million [2][19] Business Developments - Successfully refinanced $215 million of existing term loans with a new Senior Secured Note facility [3] - Opened two new dispensaries in Pennsylvania and New Jersey, increasing the total number of operating dispensaries to 38 [3] - Initiated sales of AWH brands in Maryland and received dual-use certificates for stores in Ohio, allowing non-medical sales [3][4] Management Commentary - The CEO highlighted robust year-over-year growth in key metrics, driven by an increase in wholesale customers and new retail dispensaries [4] - The CFO noted the need to manage costs and optimize business functions due to increased retail competition and profitability trends [5] Adjusted Financial Metrics - Adjusted EBITDA margin improved to 20.0%, despite a 12.7% decline quarter-over-quarter [10] - Adjusted Gross Profit for Q2 2024 was $53.0 million, with an Adjusted Gross Margin of 37.5% [8][20] - General and administrative expenses decreased to $43.1 million, improving as a percentage of revenue to 30.4% [9]
AWH ANNOUNCES Q2 2024 FINANCIAL RESULTS