Latest news with #CRLBF
Yahoo
2 days ago
- Business
- Yahoo
Cresco Labs Inc (CRLBF) Q1 2025 Earnings Call Highlights: Strategic Expansion Amid Revenue ...
Revenue: $166 million for Q1 2025. Adjusted Gross Profit: $82 million. Adjusted EBITDA: $36 million, representing 22% of revenue. Operating Cash Flow: $30 million generated in Q1. Ending Cash Balance: $162 million, highest in the past three years. Adjusted Gross Margin: 49%, down 20 basis points sequentially. Adjusted SG&A: Reduced by just under $1 million to $53 million. Free Cash Flow: $25 million after $6 million in CapEx. Retail Revenue: Down 5% from Q4 due to seasonality and competition. Wholesale Revenue: Declined sequentially due to limiting sales to accounts with credit risk. Dispensary Expansion: Opened 18th dispensary in Pennsylvania; planning new openings in Ohio and Kentucky. Market Share: Retained number one market share in Illinois and Pennsylvania. Customer Retention: Over 60% with nearly 400,000 active rewards program members. Warning! GuruFocus has detected 3 Warning Signs with CRLBF. Release Date: June 02, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Cresco Labs Inc (CRLBF) reported $166 million in revenue for Q1 2025, in line with guidance. The company generated $82 million in adjusted gross profit and $36 million in adjusted EBITDA. Cresco Labs Inc (CRLBF) achieved $30 million in operating cash flow, ending the quarter with $162 million in cash, the highest balance in three years. The company is expanding its footprint strategically, focusing on high-margin growth states like Pennsylvania and Ohio. Cresco Labs Inc (CRLBF) maintains a leading position in branded wholesale products, retaining the number one market share in Illinois and Pennsylvania. The company experienced a 5% decline in total retail revenue from Q4, driven by seasonality and competition in Illinois. Wholesale revenue declined sequentially due to volume decreases and a strategic decision to limit sales to accounts with credit risk. Adjusted gross margin for the quarter was 49%, down 20 basis points sequentially. Cresco Labs Inc (CRLBF) expects revenue to be down slightly in Q2 due to Illinois' mandatory seed-to-sale system conversion. The company anticipates margin pressure in Q2, further amplified by the Illinois state conversion process. Q: Can you discuss the outlook for pricing pressure and how Cresco Labs views long-term pricing trends in different market structures? A: Charles Bachtell, CEO, explained that each market is different, and there's a common curve when states transition from medical to adult use. In major markets like Illinois, there is still pricing pressure, but as prices compress, demand tends to increase. Cresco Labs is preparing for this opportunity by bringing additional capacity online in states like Illinois and Pennsylvania. Q: How has the management of accounts receivable (AR) risk impacted wholesale revenue, and what is the current status of accounts at risk? A: Charles Bachtell, CEO, stated that managing AR risk is crucial for ensuring high-quality revenue. This has led to shutting down some accounts and establishing workout plans with others. The team has successfully reduced AR over the last quarter and brought some accounts back online. Q: Are there specific markets where wholesale account issues are more pronounced? A: Charles Bachtell, CEO, noted that AR management varies by market and includes multistate operators. Markets like California and Michigan experienced these issues earlier, but they are now appearing in states like Illinois, Ohio, and Massachusetts. Greg Butler, President, added that retailers are choosing brands with the best velocities and profits, ensuring Cresco Labs' brands remain essential. Q: What is Cresco Labs' strategy regarding international markets, such as Germany? A: Charles Bachtell, CEO, mentioned that Cresco Labs is in the learning phase regarding international opportunities. They are evaluating these markets similarly to how they assess new U.S. markets, focusing on positioning themselves as a long-term cannabinoid-based company. Q: Can you provide an update on the seed-to-sale system conversion in Illinois and its impact on sales? A: Charles Bachtell, CEO, confirmed that the conversion began in early June, causing a pullback in purchasing in May. They expect sales to rebound post-conversion, although it's uncertain if there will be an overcompensation for the lost purchasing during the transition. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
2 days ago
- Business
- Yahoo
Bata India Ltd (BOM:500043) Q4 2025 Earnings Call Highlights: Navigating Revenue Challenges ...
Revenue from Operations: INR 788 crores, a decline of about 1.2% compared to the previous year, same quarter. Gross Margin: INR 455 crores, with an erosion of about 230 basis points versus the last year, same quarter. EBITDA Margin: 25.5%, a decrease of about 14 basis points compared to last year. Tax Expense: INR 46 crores, a decline of about 215 basis points versus last year, same quarter. Store Expansion: Increased to about 146 stores from less than 40 in the previous quarter. Inventory Reduction: Overall inventory dropped by 16%, with aged inventory reduced by 30-35%. Franchise Stores: Standard at about 625 stores. Retail Outlets Expansion: Key retail outlets expanded to almost 1,400 outlets. Warning! GuruFocus has detected 3 Warning Signs with CRLBF. Release Date: June 02, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Bata India Ltd (BOM:500043) has significantly expanded its store network from less than 40 to 146 stores, indicating robust growth and market penetration. The company has successfully reduced inventory by 25% and improved size set availability by 300 basis points, enhancing customer satisfaction. The introduction of new collections like Power Move+ and Floatz has driven volume growth, with Floatz achieving a growth rate of over 40% and doubling in size over two years. Bata India Ltd (BOM:500043) has improved retrieval time for customers to less than 1 minute and 45 seconds, enhancing the shopping experience. The company is focusing on premiumization with successful launches like the Stamina+ collection and Hush Puppies expansion, which are expected to unlock future revenue. Bata India Ltd (BOM:500043) reported a revenue decline of 1.2% compared to the previous year, indicating challenges in maintaining sales growth. The gross margin eroded by 230 basis points, partly due to increased franchising operations and value proposition adjustments. The EBITDA margin decreased by 14 basis points, with changes in accounting for licensed brands affecting comparability. Muted demand conditions have impacted overall revenue performance, with the company acknowledging tight market conditions. The company faces challenges in achieving desired revenue growth from lower price point products, despite some volume growth. Q: Can you explain the factors contributing to the gross margin contraction this quarter? A: Amit Aggarwal, CFO, explained that the mix of franchise and e-commerce operations impacts gross margins. Additionally, efforts to provide value propositions and reset costs for key products have contributed to the contraction. Q: What is the channel mix in terms of revenue for this year? A: Amit Aggarwal stated that retail accounts for about 70% of revenue, franchise at 7.5%, e-commerce at 10%, and R&D at 12-13%. Q: How should we think about store addition momentum going forward? A: Gunjan Shah, CEO, mentioned that store additions should be higher next year, maintaining an 80/20 ratio between franchise and COCO models. Q: Can you elaborate on the lower other expenses this quarter? A: Amit Aggarwal explained that a change in the construct of a licensed brand led to the creation of an intangible asset, affecting depreciation and finance costs. This will be recurring for the next three quarters. Q: What are the opportunities arising from the implementation of BIS standards? A: Gunjan Shah noted that Bata India is 100% localized, with BIS standards eliminating less than 5% of imports. This presents an export opportunity for Bata globally. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
National Post
29-05-2025
- Business
- National Post
Cresco Labs Announces Updated First Quarter 2025 Earnings Date
Article content CHICAGO — Cresco Labs Inc. (CSE:CL) (OTCQX:CRLBF) (FSE: 6CQ) ('Cresco' or 'Company'), announced today that it will file its first quarter interim financial statements and MD&A on Friday, May 30, 2025. Article content Article content Over the past three weeks, the Company has worked closely with its independent auditors to complete their review of the financial statements. The Company is pleased to report that the review was completed with no material changes from what was prepared for presentation on May 9 th and looks forward to hosting a conference call and webcast to discuss its financial results. Article content Event: Cresco Labs First Quarter 2025 Earnings Conference Call Date: Monday, June 2, 2025 Time: 8:30 am ET Webcast: LINK Conference Call Registration: LINK Dial-in: 1-833-470-1428 (US Toll Free), 1-404-975-4839 (US Local) Access Code: 671160 Article content About Cresco Labs Inc. Article content Cresco Labs' mission is to normalize and professionalize the cannabis industry through a CPG approach to building national brands and a customer-focused retail experience, while acting as a steward for the industry on legislative and regulatory-focused initiatives. As a leader in cultivation, production and branded product distribution, the Company is leveraging its scale and agility to grow its portfolio of brands that include Cresco, High Supply, FloraCal, Good News, Wonder Wellness Co., Mindy's and Remedi, on a national level. The Company also operates highly productive dispensaries nationally under the Sunnyside brand that focus on building patient and consumer trust and delivering ongoing education and convenience in a wonderfully traditional retail experience. Through year-round policy, community outreach and SEED initiative efforts, Cresco Labs embraces the responsibility to support communities through authentic engagement, economic opportunity, investment, workforce development and legislative initiatives designed to create the most responsible, respectable and robust cannabis industry possible. Learn more about Cresco Labs' journey by visiting or following the Company on Facebook, X or LinkedIn. Article content Article content Article content Article content Contacts Article content Media press@ Article content Article content Article content
