Chicago-based Cresco Labs’ revenue more than quadrupled during its fourth quarter, helping pave the company’s path to profitability in 2018.
The multistate, vertically integrated company posted fourth-quarter revenue of $17 million – up 411% from the same period in 2017.
Cresco said the increase was “driven by expansion into new markets and gains in market share in the states where the company operates.”
The firm’s net loss for the quarter totaled $2.6 million – narrowing from $3 million in the same quarter a year earlier.
Full-year revenue was $43.3 million – up 294% from 2017. Net income for the year was $3.9 million, rebounding from a net loss of $4 million in 2017.
Like other multistate cannabis operators, Cresco Labs has been on an M&A spree:
- Earlier this month, the company announced an $823 million deal to acquire Origin House – a Canadian firm with a massive portfolio of brands and major California presence. The all-stock deal marks the largest acquisition in the U.S. of a publicly traded cannabis firm, topping iAnthus’ $625 million, all-stock deal for MPX Bioceutical in October 2018.
- In March, Cresco said it agreed to acquire Florida medical marijuana provider VidaCann in a $120 million cash and stock deal. The move gives Cresco a presence in Florida for the first time, expanding its operations into eight states.
Lisa Bernard-Kuhn can be reached at [email protected]
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