Toronto-headquartered cannabis retail chain Fire & Flower Holdings reported declining sequential retail revenue for the fourth quarter of its fiscal year, citing heightened retail competition.
Revenue for the quarter ended Jan. 29 was 42.7 million Canadian dollars ($33.3 million), down 6% from the previous quarter and 1.2% from the same quarter the previous year.
The company attributed its quarter-over-quarter revenue decline “to increasing competition from new (retail) licenses issued and pricing pressures in the retail market.”
The technology-focused retail chain reported annual revenue of CA$175.5 million, up 37% over the previous fiscal year.
Fire & Flower’s quarterly net loss was CA$19.5 million, with an annual net loss of CA$63.6 million.
The company opened 32 stores during the fiscal year, with 105 locations operating as of the end of January.
Fire & Flower also acquired Canadian cannabis delivery service Pineapple Express as well as marijuana websites PotGuide and Wikileaf.
More than 420,000 Canadians are signed up for the Fire & Flower loyalty program, the company said in a presentation to investors.
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Major Fire & Flower investor Alimentation Couche-Tard recently announced plans to increase its stake in the retailer to 35%.
Shares of Fire & Flower trade on the Toronto Stock Exchange as FAF, and the retailer plans to list its shares on the Nasdaq exchange.
