Planet 13 co-CEO says 'Las Vegas is back' and touts jump in Q4 cannabis revenue

Planet 13 Holdings Inc (CSE:PLTH) (OTCQB:PLNHF) announced its fourth quarter and full-year financial results on Tuesday, revealing rising revenue and a significant chunk of cash on hand for the Las Vegas cannabis company. 

For the three and 12-month periods ended December 31, revenue was $20.1 million and 70.5 million, representing year-over-year increases of more than 21 and 10%, respectively. Cash on hand ballooned over the same period to $79 million from $12.8 million, and total assets grew to $150 million from $62.9 million. 

Net loss was $2.9 million for the quarter and $7.9 million for the year, compared to $2.6 million and $6.7 million, respectively. 

READ: Planet 13 says owned-cannabis brands now available in 53 dispensaries in Nevada

Despite the challenges of the coronavirus (COVID-19) pandemic, Planet 13 managed to hold onto its slice of the Nevada cannabis pie. 

“Looking back on 2020, we weathered the perfect storm of COVID-19 and the resulting 55% decrease in tourism and still increased revenue year-over-year, generating over $70 million while maintaining our share of the Nevada market,” Co-CEO Larry Scheffler said in a statement. 

During the quarter, Planet 13 announced the addition of non-cannabis retail space to  Las Vegas SuperStore and announced an expansion of the dispensary floor. The company also announced the opening of the Medizin dispensary. 

These developments, paired with a C$69 million bought deal financing in the first quarter of 2021 and record monthly revenue in March, have Scheffer and fellow Co-CEO Bob Groesbeck excited about the future.

“Based on our performance in March 2021, it is clear that Las Vegas is back,” co-CEO Larry Scheffler said. “We dwarfed our single-month record with $9.7 million in revenue in March, and we believe that as more people get vaccinated and Las Vegas continues to open, revenue will continue to increase.”

In addition to its Nevada optimism, the company has its sights on Orange County, California, where a Planet 13 SuperStore is expected to open in July.

“With the rapid turn-around we’ve seen in Q1 and especially in March, it is clear that the improvements we made over the last year will pay dividends as normalcy returns to Las Vegas,” Groesbeck said. “With tourism back on track, the SuperStore is performing well. Furthermore, our local-focused offerings including Medizin, curbside and delivery, and wholesale are helping us take a greater share of that market.”

“Outside of Las Vegas, the Orange County SuperStore in California is on track and on budget for our projected opening in July. We poured everything we learned from two years running the greatest cannabis store in the world, into our Orange County location and are confident that this store will redefine the cannabis retail experience in California.”

Contact Andrew Kessel at [email protected]

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Story by ProactiveInvestors