{"id":464905,"date":"2021-03-25T07:05:36","date_gmt":"2021-03-25T11:05:36","guid":{"rendered":"http:\/\/www.marketnewsdesk.com\/?p=464905"},"modified":"2021-03-25T07:05:36","modified_gmt":"2021-03-25T11:05:36","slug":"vireo-health-announces-fourth-quarter-and-full-year-2020-financial-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/vireo-health-announces-fourth-quarter-and-full-year-2020-financial-results\/","title":{"rendered":"Vireo Health Announces Fourth Quarter and Full Year 2020 Financial Results"},"content":{"rendered":"
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— Full year GAAP revenue of $49.2 million increased 64% compared to full year 2019 —<\/h2>\n

— Q4 GAAP revenue increased 38% YoY and 46% excluding former Pennsylvania subsidiaries —<\/h2>\n

— Continued margin expansion reflects improved operating efficiencies across core markets —<\/h2>\n

— Incremental expansion projects in Arizona and Maryland scheduled to begin in second quarter —<\/h2>\n

— Potential reform in Company’s regulatory jurisdictions could accelerate revenue growth —<\/h2>\n

PR Newswire<\/p>\n<\/p><\/div>\n

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\n MINNEAPOLIS<\/span>, March 25, 2021<\/span> \/PRNewswire\/ —\u00a0Vireo Health International, Inc. (“Vireo” or the “Company”) (CSE: VREO;\u00a0OTCQX: VREOF), the leading physician-led, science-focused multi-state cannabis company, today reported financial results for its fourth quarter and full year ended December 31, 2020<\/span>. All currency figures referenced in this press release reflect U.S. dollar amounts. <\/p>\n

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\n \"Vireo
\n <\/a>\n <\/p>\n<\/p><\/div>\n

“Our fourth-quarter results continued to demonstrate good organic revenue growth trends, and we’re pleased to see improving consistency in margins as we benefit from recent initiatives to increase scale and achieve greater efficiency in operations,” said Chairman and Chief Executive Officer, Kyle Kingsley<\/span>, M.D. “We spent most of 2020 focused on executing our core market strategy and positioning our portfolio of early-stage medical markets for profitable growth, and we expect that performance in fiscal year 2021 will highlight the strong upside potential we see in our business.”<\/p>\n

Dr. Kingsley continued, “We have a healthy balance sheet and completed several expansion projects recently that should help drive stronger results, and we’re encouraged by progress toward policy reforms, which could significantly improve the overall trajectory of our performance. The improving regulatory climate at local and federal levels has given us confidence to continue making growth investments, and we plan to begin construction in early Q2 on incremental expansions of cultivation capacity at our facilities in Arizona<\/span> and Maryland<\/span> in addition to our ongoing initiatives to expand our retail dispensary footprint.”<\/p>\n

\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
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\n
\n Summary of Key Financial Metrics<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n \n <\/td>\n\n

\n Three Months Ended<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n Twelve Months Ended<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n \n <\/td>\n\n \n <\/td>\n\n

\n December 31,<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n December 31,<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n US $ in millions<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 2020<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 2019<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n Variance<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 2020<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 2019<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n Variance<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n GAAP Revenue<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $12.4<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $9.0<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 38%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $49.2<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $30.0<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 64%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Revenue (excl. former Pennsylvania subsidiaries)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $11.5<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $7.9<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 46%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $42.2<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $27.0<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 57%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n GAAP Gross Profit<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $5.3<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $1.3<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 303%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $17.1<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $7.3<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 133%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n Gross Profit Margin<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 42.7%<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 14.6%<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 2,810 bps<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 34.8%<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 24.5%<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 1,030 bps<\/i>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n SG&A Expenses<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $6.7<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $9.2<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n -27%<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $26.4<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $25.0<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n 5%<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n SG&A Expenses (% of Sales)<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 53.9%<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 102.2%<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n -4,830 bps<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 53.6%<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 83.6%<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n -3,000 bps<\/i>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Adjusted EBITDA (non-GAAP)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n $0.1<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n ($7.3)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n NM<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n ($5.2)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n ($16.9)<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n NM<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n Adjusted EBITDA Margin (non-GAAP)<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 0.9%<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (81.1%)<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 8,200 bps<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (10.6%)<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n (56.4%)<\/i>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n

\n
\n 4,580 bps<\/i>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n<\/table><\/div>\n

\n Full Year 2020 Business Highlights<\/b>\n <\/p>\n