Curaleaf Reports Third Quarter 2021 Results

<br /> Curaleaf Reports Third Quarter 2021 Results<br />

PR Newswire



Third quarter 2021 Revenue of

$317 million

, an increase of 2% sequentially and 74% YoY



Third quarter 2021 Adjusted EBITDA(1) of

$71 million

, an increase of 69% YoY



Third quarter cash flow from operations of

$52 million

or 16% of revenue



Completed on

October 1, 2021

, the previously announced acquisition of Los Sueños Farms



Entered into definitive agreement to acquire Tryke Companies, a vertically integrated MSO operating in

Nevada

,

Arizona

, and

Utah


WAKEFIELD, Mass.

,

Nov. 8, 2021

/PRNewswire/ —

Curaleaf Holdings, Inc. (CSE: CURA) (OTCQX: CURLF) (“Curaleaf” or the “Company”)

, a leading international provider of consumer products in cannabis, today reported its financial and operating results for the third quarter ended

September 30, 2021

. All financial information is provided in U.S. dollars unless otherwise indicated.



Third Quarter 2021 Financial Highlights (Unaudited)



($ thousands, except per share amounts)



Q3 2021



Q2 2021



% qoq

Change



Q3 2020



% yoy

Change


Total Revenue


$


317,125


$


312,205


2%


$


182,408


74%


Gross profit before impact of biological assets


144,909


155,238


-7%


91,775


58%


Gross profit on cannabis sales

(1)(2)


144,368


154,527


-7%


89,669


61%


Gross margin on cannabis sales

(1)(2)


45.6%


49.6%


49.7%


Adjusted EBITDA

(1)


71,363


84,372


-15%


42,295


69%


Net loss attributable to Curaleaf Holdings Inc.


(56,917)


(7,240)


(9,343)


Net loss per share – basic and diluted


$


(0.08)


$


(0.01)


$


(0.01)


(1)


See “Non-IFRS Financial and Performance Measures” below for more information regarding Curaleaf’s use of Non-IFRS financial measures and other reconciliations.


(2)


Cannabis sales excludes Management Fee Income. Gross profit and gross margin on cannabis sales both exclude the impact of biological assets.


Earnings Call:

Monday, November 8, 2021

, at

5:00 P.M. ET



Conference ID # is 2599473

Replay ID # is 10160750


U.S. Live Call: +1-888-317-6003


U.S. Replay: +1-877-344-7529


International Live Call (Toll): +1-412-317-6061


International Replay (Toll): +1-412-317-0088


Canada Live Call: +1-866-284-3684


Canada Replay: +1-855-669-9658

A webcast of the call can be accessed on the investor relations section of the Curaleaf website at ir.curaleaf.com

The teleconference will be available for replay starting at approximately

7:00 P.M. ET


on

November 8, 2021

, and will end at

7:00 P.M. ET

on

November 15, 2021


Boris Jordan

, Executive Chairman of Curaleaf commented, “During the third quarter we delivered record revenue of

$317 million

, representing 2% sequential and 74% year-over-year growth. We also generated

$52 million

of positive operating cash flow. While we faced some transient headwinds during the quarter, we continued to execute well against our strategic initiatives, prioritizing growth and gaining market share. As a result, we remain on track to achieve our

$1.2

to

$1.3 billion

annual revenue guidance, albeit at the lower end of the range, representing growth of over 90%. Strategic M&A remains a key pillar our growth plan. We closed the Los Sueños Farms acquisition in October, and today announced another highly strategic deal to acquire Tryke Companies, a vertically integrated MSO which bolsters our leadership position in

Nevada

,

Arizona

, and

Utah

and will be immediately accretive to our margins and cash flow.”


Joe Bayern

, Chief Executive Officer of Curaleaf stated, “We continued to successfully execute our plan for long-term growth in the third quarter with a focus on our four pillars of competitive advantage – research & development, commercialization, national distribution, and marketing and brand building. We expanded our scale and reach by strategically growing our retail and wholesale presence and significantly increasing our cultivation capacity both organically and, more recently, through M&A. Significant investments in R&D are a cornerstone of our competitive advantage, and we continued to set ourselves apart with the introduction Cliq by Select in the third quarter, while also expanding our innovative Select Squeeze and Nano Bites products to new markets. Looking to the balance of 2021 and beyond, we will continue to execute our long-term strategy with a focus on gaining market share in a sustainable and profitable manner.”


Third Quarter Operating Highlights

  • Opened two new dispensaries located in

    Bordentown, New Jersey

    and

    Wells, Maine

    bringing total retail locations to 109 as of

    September 30, 2021

    .
  • Expanded the number of U.S. wholesale accounts by 6% sequentially, exceeding 2,100 active accounts as of

    September 30, 2021

    .
  • On track to organically add 275,000 square feet of flower canopy by year-end 2021.
  • Introduced Select Squeeze THC infused beverage enhancer in several new markets including

    Michigan

    ,

    New Jersey

    , and

    New York

    .
  • Launched Cliq by Select premium vape system, a unique hardware design featuring a proprietary pod and durable stainless-steel encasing in

    Arizona

    ,

    California

    ,

    Nevada

    , and

    Oregon

    with additional markets expected by year-end 2021.


Post-Third Quarter Operating Highlights

  • Closed the previously announced acquisition of Los Sueños Farms and its related entities bringing total Curaleaf cultivation capacity to approximately 4.4 million square feet and retail locations to 111 as of

    November 8, 2021

    .
  • Entered into a definitive agreement to acquire Tryke Companies, a vertically integrated MSO operating in

    Nevada

    ,

    Arizona

    , and

    Utah

    . Tryke owns and operates the Reef-branded dispensaries with four highly trafficked retail stores in

    Nevada

    and two in

    Arizona

    and brings an extensive and highly complementary vertical portfolio of retail and wholesale distribution, licenses, and cultivation assets to Curaleaf. For more information, please refer to the Company’s press release at

    https://ir.curaleaf.com/

    .



Financial Results for the Third Quarter Ended September 30, 2021



Revenue (Unaudited)



($ thousands)



Q3 2021



Q2 2021



Q3 2020


Retail revenue


$


224,543


$


222,147


$


135,344


Wholesale revenue


92,041


89,347


44,958


Management fee income


541


711


2,106


Total Revenue


$


317,125


$


312,205


$


182,408

Total revenue was

$317 million

for the third quarter of 2021, an increase of 2% from

$312 million

in the second quarter of 2021 and 74% from

$182 million

in the third quarter of 2020.

Retail revenue reached

$225 million

, representing 1% sequential growth and 66% year-over-year growth. Retail revenue represented 71% of total revenue. During the third quarter the Company opened two new dispensaries including one in

Bordentown, New Jersey

and one in

Wells, Maine

, reaching 109 dispensaries as of quarter end.

Wholesale revenue grew 3% sequentially and 105% year-over-year to

$92 million

and represented 29% of total revenue. During the third quarter, total wholesale accounts increased approximately 6% sequentially and exceeded 2,100 accounts at quarter end.



Gross Profit on Cannabis Sales (Unaudited)



($ thousands)



Q3 2021



Q2 2021



Q3 2020


Retail and wholesale revenue


$


316,584


$


311,494


$


180,302


Cost of goods sold


172,216


156,967


90,633


Gross profit on cannabis sales


$


144,368


$


154,527


$


89,669

Gross profit on Cannabis Sales was

$144 million

for the third quarter of 2021, an increase of 61% from

$90 million

in the third quarter of 2020. Gross profit margin was 45.6%, compared with 49.6% in the prior quarter and 49.7% in the third quarter of 2020. The change in gross margin primarily reflects a one-time loss on inventory related to the

Eureka, California

facility divestiture, lower revenue growth in certain Northeast markets, and the write down of certain other inventory in the third quarter of 2021, partially offset by ongoing cultivation and process efficiencies. Excluding one-time impacts, third quarter 2021 gross margin was 47.7%.



Net Income / (Loss) (Unaudited)



($ thousands)



Q3 2021



Q2 2021



Q3 2020


Total Revenue


$


317,125


$


312,205


$


182,408


Gross profit


182,734


184,495


115,783


Income (Loss) from operations


39,988


51,886


16,371


Total other income (expense), net


(38,955)


(19,026)


(6,557)


Income tax benefit (expense)


(60,313)


(42,624)


(18,745)


Net loss


(59,280)


(9,764)


(8,931)


Less: Net loss attributable to non-controlling interest


(2,363)


(2,524)


412


Net loss attributable to Curaleaf Holdings, Inc.


$


(56,917)


$


(7,240)


$


(9,343)

For the third quarter of 2021, net loss attributable to Curaleaf Holdings, Inc. was

$57 million

, compared with a net loss of

$7 million

in the second quarter of 2021 and

$9 million

in the third quarter of 2020. Higher operating income by

$24 million

was offset primarily by

$42 million

of higher tax expense,

$25 million

of higher other expense, and

$8 million

of higher interest expense compared with the third quarter of 2020. Third quarter 2021 income tax expense included certain discrete items totaling

$10.6 million

related to the write-off of certain

California

net operating losses and the year-to-date accrual for late tax payments.



Adjusted EBITDA



($ thousands)



Q3 2021



Q2 2021



Q3 2020


Net loss


$


(59,280)


$


(9,764)


$


(8,931)


Interest expense, net


25,054


21,330


17,431


Income tax expense


60,313


42,624


18,745


Depreciation and amortization

(1)


37,132


35,030


26,657


Share-based compensation


13,180


18,370


5,430


Other (income) expense


13,900


(2,304)


(10,874)


Change in fair value of biological assets


(37,825)


(29,257)


(24,008)


One time charges

(2)


18,889


8,343


17,845


Adjusted EBITDA


$


71,363


$


84,372


$


42,295


(1)


Depreciation and amortization expense in Q3 2021, Q2 2021, and Q3 2020 include amounts charged to cost of goods sold on the statement of profits and losses.


(2)


One-time charges in Q3 2021 include approximately $13 million of expenses primarily composed of accounting and professional fees, bad debt write off, and employee severance costs mainly related to the Eureka, California facility divestiture and Grassroots acquisition, and a $5.9 million one-time loss on inventory related to a California facility divestiture and inventory write-down in one of our states.

Adjusted EBITDA was

$71 million

for the third quarter of 2021, an increase of 69% from

$42 million

in the third quarter of 2020. The year-over-year increase was mainly driven by revenue growth. Adjusted EBITDA margin was 22.5%, compared with 27.0% in the prior quarter and 23.2% in the third quarter of 2020, with the change primarily reflecting lower gross margin and higher SG&A expense related to increased headcount in support of new store openings, higher travel costs, and marketing in support of new product rollouts.


Balance Sheet and Cash Flow

As of

September 30, 2021

, the Company had

$317 million

of cash and

$342 million

of outstanding debt net of unamortized debt discounts.

During the third quarter of 2021, Curaleaf invested

$44 million

net in capital expenditures, focused on cultivation, processing, and selective retail expansion in strategic markets.


Shares Outstanding

As of

September 30, 2021

, and

June 30, 2021

, the Company’s weighted average shares outstanding amounted to 703,545,262 and 701,668,932 shares, respectively.

As of

September 30, 2021

, and

June 30, 2021

, Company’s issued and outstanding SVS plus MVS shares amounted to 704,818,302 and 703,260,526 shares, respectively.


Non-IFRS


Financial and Performance Measures

In this press release Curaleaf refers to certain non-IFRS financial measures such as “Gross Profit on Cannabis Sales” and “Adjusted EBITDA”. These measures do not have any standardized meaning prescribed by IFRS and may not be comparable to similar measures presented by other issuers. The Company defines “Gross Profit on Cannabis Sales” as retail and wholesale revenues less cost of goods sold. “Adjusted EBITDA” is defined by Curaleaf as earnings before interest, taxes, depreciation and amortization less share-based compensation expense and one-time charges related to business development, acquisition, financing and reorganization costs. Curaleaf considers these measures to be an important indicator of the financial strength and performance of our business. We believe the adjusted results presented provide relevant and useful information for investors because they clarify our actual operating performance, make it easier to compare our results with those of other companies and allow investors to review performance in the same way as our management. Since these measures are not calculated in accordance with IFRS, they should not be considered in isolation of, or as a substitute for, our reported results as indicators of our performance, and they may not be comparable to similarly named measures from other companies. The following tables provide a reconciliation of each of the non-IFRS measures to its closest IFRS measure.



Consolidated Statements of Financial Position



($ thousands)



September 30,



December 31,



2021



2020



Unaudited



Audited



Assets


Current assets:


Cash


$


317,189


$


73,542


Accounts receivable


56,762


28,830


Inventory, net


346,205


197,991


Biological assets


80,983


46,210


Assets held for sale


77,904


58,504


Prepaid expenses and other current assets


25,225


10,140


Current portion of notes receivable


2,240


2,645


Total current assets


906,508


417,862


Deferred tax asset


382


5,528


Notes receivable


795


2,000


Property, plant and equipment, net


328,410


242,855


Right-of-use assets, net


282,046


267,168


Intangible assets, net


1,113,825


797,401


Goodwill


512,608


470,144


Investments


7,368


16,264


Prepaid acquisition consideration




132,234


Other assets


22,879


35,135


Total assets


$


3,174,821


$


2,386,591



Liabilities and Shareholders’ Equity


Current liabilities:


Accounts payable


$


60,761


$


47,043


Accrued expenses


80,649


57,475


Income tax payable


130,144


79,649


Current portion of lease liability


17,942


15,710


Current portion of notes payable


1,732


6,500


Current contingent consideration liability


9,155




Liabilities held for sale


22,257


7,181


Other current liabilities


12,572


6,568


Total current liabilities


335,212


220,126


Deferred tax liability


303,480


226,465


Notes payable


340,251


285,001


Lease Liabilities


291,330


270,495


Non-controlling interest redemption liability


112,686


2,694


Contingent consideration liability


26,147


1,898


Other long term liability


3,861


3,698


Total liabilities


1,412,967


1,010,377


Shareholders’ equity:


Share capital


2,200,095


1,754,412


Treasury shares


(5,208)


(5,208)


Reserves


(166,774)


(177,744)


Accumulated other comprehensive income (deficit)


(3,879)




Accumulated deficit


(275,605)


(194,645)


Redeemable non-controlling interest


(112,686)


(2,694)


Total Curaleaf Holdings, Inc. shareholders’ equity


1,635,943


1,374,121


Non-controlling interest


125,911


2,093


Total shareholders’ equity


1,761,854


1,376,214


Total liabilities and shareholders’ equity


$


3,174,821


$


2,386,591



Consolidated Statements of Profits and Losses



($ thousands, except for share and per share amounts)



Three Months Ended



September 30,



2021



2020



Unaudited



Unaudited


Revenue:


Retail and wholesale revenue


$


316,584


$


180,302


Management fee income


541


2,106


Total revenue


317,125


182,408


Cost of goods sold


172,216


90,633


Gross profit before impact of biological assets


144,909


91,775


Realized fair value amounts included in inventory sold


(112,691)


(48,706)


Unrealized fair value gain on growth of biological assets


150,516


72,714


Gross profit


182,734


115,783


Operating expenses:


Selling, general and administrative


101,800


72,664


Share-based compensation


13,180


5,430


Depreciation and amortization


27,766


21,318


Total operating expenses


142,746


99,412


Income (Loss) from operations


39,988


16,371


Other income (expense):


Interest income


129


40


Interest expense


(15,659)


(12,357)


Interest expense related to lease liabilities


(9,524)


(5,114)


Gain on investment




10,606


Impairment of intangible assets


(5,672)




Other income (expense)


(8,229)


268


Total other income (expense), net


(38,955)


(6,557)


Income (Loss) before provision for income taxes


1,033


9,814


Income tax benefit (expense)


(60,313)


(18,745)


Net loss


(59,280)


(8,931)


Less: Net income (loss) attributable to non-controlling interest


(2,363)


412


Net loss attributable to Curaleaf Holdings, Inc.


$


(56,917)


$


(9,343)


Loss per share attributable to Curaleaf Holdings, Inc. – basic and diluted


$


(0.08)


$


(0.01)


Weighted average common shares outstanding – basic and diluted


703,545,262


625,228,556



Consolidated Statements of Profits and Losses



($ thousands, except for share and per share amounts)



Nine Months Ended



September 30,



2021



2020



Unaudited



Unaudited


Revenue:


Retail and wholesale revenue


$


887,961


$


356,937


Management fee income


1,689


39,448


Total revenue


889,650


396,385


Cost of goods sold


461,036


191,490


Gross profit before impact of biological assets


428,614


204,895


Realized fair value amounts included in inventory sold


(263,408)


(92,322)


Unrealized fair value gain on growth of biological assets


342,837


152,478


Gross profit


508,043


265,051


Operating expenses:


Selling, general and administrative


269,849


158,986


Share-based compensation


36,457


14,764


Depreciation and amortization


76,158


48,243


Total operating expenses


382,464


221,993


Income (Loss) from operations


125,579


43,058


Other income (expense):


Interest income


495


6,459


Interest expense


(40,079)


(34,208)


Interest expense related to lease liabilities


(27,423)


(9,404)


Gain on investment




10,606


Impairment of intangible assets


(5,672)




Other income (expense)


(5,510)


2,799


Total other income (expense), net


(78,189)


(23,748)


Income (Loss) before provision for income taxes


47,390


19,310


Income tax benefit (expense)


(133,645)


(45,528)


Net loss


(86,255)


(26,218)


Less: Net income (loss) attributable to non-controlling interest


(4,887)


242


Net loss attributable to Curaleaf Holdings, Inc.


$


(81,368)


$


(26,460)


Loss per share attributable to Curaleaf Holdings, Inc. – basic and diluted


$


(0.12)


$


(0.05)


Weighted average common shares outstanding – basic and diluted


695,830,455


555,629,066



Consolidated Statements of Cash Flows



($ thousands, except for share and per share amounts)



Nine Months Ended



September 30,



2021



2020



Unaudited



Unaudited



Cash flows from operating activities:


Net loss


$


(86,255)


(26,218)


Adjustments to reconcile loss to net cash provided (used) in operating activities:


Depreciation and amortization


102,336


59,480


Share-based compensation


36,457


16,282


Non-cash interest expense


32,872


4,601


Unrealized gain on changes in fair value of biological assets


(342,837)


(152,478)


Realized fair value amounts included in inventory sold


263,408


92,322


Impairment loss


6,685




(Gain)/loss on sale of property, plant and equipment


583


293


Deferred taxes


(1,824)


17,770


Gain on contingent liability




(10,606)


Changes in operating assets and liabilities


Accounts receivable


(2,283)


8,664


Biological assets


50,309


48,326


Inventories


(141,433)


(81,335)


Prepaid expenses and other current assets


(15,022)


(541)


Other assets


4,408


5,541


Accounts payable


(1,895)


(5,270)


Income taxes payable


51,769


9,984


Accrued expenses


15,277


6,374


Net cash provided by (used in) operating activities


(27,445)


(6,811)



Cash flows from investing activities:


Purchases of property, plant and equipment, net


(117,361)


(70,195)


Proceeds from sale of entity


29,828




Payments made on completion on acquisitions


(7,800)


(78,610)


Prepayment of acquisition consideration




(7,500)


Cash acquired from acquisitions


12,879




Amounts advanced for notes receivable, net of payments received


1,587


(14,100)


Net cash used in investing activities


(80,867)


(170,405)



Cash flows from financing activities:


Cash received from financing agreement


57,196


185,723


Proceeds from sale leaseback


23,153


38,640


Debt issuance costs


(681)




Minority buyouts


(1,190)


(2,508)


Lease liability payments


(40,197)


(24,495)


Proceeds from minority interest investment in Curaleaf International


84,795




Cash received in private placement




24,552


Principal payments on notes payable


(6,085)


(2,505)


Acquisition escrow shares returned and retired


(7,730)




Exercise of stock options


4,061


1,237


Issuance of common shares, net of issuance costs


240,572




Net cash provided by financing activities


353,894


220,644



Net change in cash


245,582


43,428


Cash at beginning of period


73,542


42,310


Cash held for sale




(1,152)


Effect of exchange rate on cash


(1,935)





Cash at end of period


$


317,189


$


84,586


About Curaleaf Holdings


Curaleaf Holdings, Inc. (CSE: CURA) (OTCQX: CURLF) (“Curaleaf”) is a leading international provider of consumer products in cannabis with a mission to improve lives by providing clarity around cannabis and confidence around consumption. As a high-growth cannabis company known for quality, expertise and reliability, the Company and its brands, including Curaleaf and Select, provide industry-leading service, product selection and accessibility across the medical and adult-use markets. In

the United States

, Curaleaf currently operates in 23 states with 111 dispensaries, 25 cultivation sites, and employs over 5,200 team members. Curaleaf International is the largest vertically integrated cannabis company in

Europe

with a unique supply and distribution network throughout the European market, bringing together pioneering science and research with cutting-edge cultivation, extraction and production. Curaleaf is listed on the Canadian Securities Exchange under the symbol CURA and trades on the OTCQX market under the symbol CURLF. For more information, please visit

https://ir.curaleaf.com

.



Curaleaf IR Twitter Account







Investor Toolkit



https://ir.curaleaf.com/investor-toolkit



Investor Relations Website



https://ir.curaleaf.com/



Contact Information


Investor Contact:


Curaleaf Holdings, Inc.


Carlos Madrazo, SVP Head of IR & Capital Markets


[email protected]


Media Contact:


Curaleaf Holdings, Inc.


Tracy Brady, VP of Corporate Communications


[email protected]


Disclaimer

This press release contains “forward-looking information” and “forward-looking statements” within the meaning of Canadian securities laws and

United States

securities laws (“forward-looking statements”). Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based on management’s current beliefs, expectations or assumptions regarding the future of the business, plans and strategies, operational results and other future conditions of the Company. In addition, the Company may make or approve certain statements in future filings with Canadian securities regulatory authorities, in press releases, or in oral or written presentations by representatives of the Company that are not statements of historical fact and may also constitute forward-looking statements. All statements, other than statements of historical fact, made by the Company that address activities, events or developments that the Company expects or anticipates will or may occur in the future are forward-looking statements, including, but not limited to, statements preceded by, followed by or that include words such as “assumptions”, “assumes”, “guidance”, “outlook”, “may”, “will”, “would”, “could”, “should”, “believes”, “estimates”, “projects”, “potential”, “expects”, “plans”, “intends”, “anticipates”, “targeted”, “continues”, “forecasts”, “designed”, “goal”, or the negative of those words or other similar or comparable words and includes, among others, information regarding: its outlook for and expected operating margins, capital allocation, free flow cash and other financial results; growth of its operations via expansion, for the effects of any transactions; expectations for the potential benefits of any transactions; statements relating to the business and future activities of, and developments related to, the Company after the date of this press release, including such things as future business strategy, competitive strengths, goals, expansion and growth of the Company’s business, operations and plans; expectations that planned acquisitions will be completed; expectations regarding cultivation and manufacturing capacity; expectations regarding receipt of regulatory approvals; expectations that licenses applied for will be obtained; potential future legalization of adult-use and/or medical cannabis under U.S. federal law; expectations of market size and growth in the U.S. and the states in which the Company operates; expectations for other economic, business, regulatory and/or competitive factors related to the Company or the cannabis industry generally; and other events or conditions that may occur in the future. Forward-looking statements may relate to future financial conditions, results of operations, plans, objectives, performance or business developments. These statements speak only as at the date they are made and are based on information currently available and on the then current expectations. Holders of securities of the Company are cautioned that forward-looking statements are not based on historical facts but instead are based on reasonable assumptions and estimates of management of the Company at the time they were provided or made and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, as applicable, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements, including, but not limited to, risks and uncertainties related to: the available funds of the Company and the anticipated use of such funds; the availability of financing opportunities; legal and regulatory risks inherent in the cannabis industry; risks associated with economic conditions, dependence on management and currency risk; risks relating to U.S. regulatory landscape and enforcement related to cannabis, including political risks; risks relating to anti-money laundering laws and regulation; other governmental and environmental regulation; public opinion and perception of the cannabis industry; risks related to contracts with third-party service providers; risks related to the enforceability of contracts; reliance on the expertise and judgment of senior management of the Company, and ability to retain such senior management; risks related to proprietary intellectual property and potential infringement by third-parties; the concentrated voting control of the Company’s Chairman and the unpredictability caused by the capital structure; risks relating to the management of growth; increasing competition in the industry; risks inherent in an agricultural business; risks relating to energy costs; risks associated to cannabis products manufactured for human consumption including potential product recalls; reliance on key inputs, suppliers and skilled labor; cybersecurity risks; ability and constraints on marketing products; fraudulent activity by employees, contractors and consultants; tax and insurance related risks; risks related to the economy generally; risk of litigation; conflicts of interest; risks relating to certain remedies being limited and the difficulty of enforcement of judgments and effect service outside of

Canada

; risks related to future acquisitions or dispositions; sales by existing shareholders; limited research and data relating to cannabis; as well as those risk factors discussed under “Risk Factors” in the Company’s Annual Management, Discussion and Analysis dated

March 11, 2021

, and in the Company’s Annual Information Form dated

April 28, 2021

, and as described from time to time in documents filed by the Company with Canadian securities regulatory authorities. The purpose of forward-looking statements is to provide the reader with a description of management’s expectations, and such forward-looking statements may not be appropriate for any other purpose. In particular, but without limiting the foregoing, disclosure in this press release as well as statements regarding the Company’s objectives, plans and goals, including future operating results and economic performance may make reference to or involve forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. A number of factors could cause actual events, performance or results to differ materially from what is projected in the forward-looking statements. You should not place undue reliance on forward-looking statements contained in this press release. Such forward-looking statements are made as of the date of this press release. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. The Company’s forward-looking statements are expressly qualified in their entirety by this cautionary statement.

This news release contains future-oriented financial information and financial outlook information (collectively, “FOFI”) about the Company’s prospective results of operations, production and production efficiency, commercialization, revenue and cash on hand, all of which are subject to the same assumptions, risk factors, limitations, and qualifications as set second in the above paragraph. FOFI contained in this document was approved by management as of the date of this document and was provided for the purpose of providing further information about the Company’s future business operations. The Company disclaims any intention or obligation to update or revise any FOFI contained in this document, whether as a result of new information, future events or otherwise, unless required pursuant to applicable law. Readers are cautioned that the FOFI contained in this document should not be used for purposes other than for which it is disclosed herein. The financial information reported in this news release is based on unaudited management prepared financial statements for the quarter ended

June 30, 2021

. Accordingly, such financial information may be subject to change. Financial statements for the period will be released and filed under the Company’s profiles on SEDAR at

www.sedar.com

no later than

August 12, 2021

. All financial information contained in this news release is qualified in its entirety with reference to such unaudited financial statements. While the Company does not expect there to be any material changes, to the extent that the financial information contained in this news release is inconsistent with the information contained in the Company’s unaudited financial statements, the financial information contained in this news release shall be deemed to be modified or superseded by the Company’s unaudited financial statements. The making of a modifying or superseding statement shall not be deemed an admission for any purposes that the modified or superseded statement, when made, constituted a misrepresentation for purposes of applicable securities laws.

Neither the Canadian Securities Exchange nor its Regulation Service Provider has reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.

Cision
View original content:

https://www.prnewswire.com/news-releases/curaleaf-reports-third-quarter-2021-results-301418981.html

SOURCE Curaleaf Holdings, Inc.