- Vibe Growth Corporation (VIBE) reported increased revenue, same-store sales, and gross margin for the third quarter of 2021
- Same-store sales were up 11 per cent in September compared to earlier this year
- The company reported $7.64 million in revenue for the third quarter and increased its adjusted gross margin to 32.8 per cent
- After acquiring land in Monterey County, the company has commenced construction on its Phase 1 facility which will cost approximately $3.3 million
- Vibe Growth and its cannabis retail brand, Vibe By California, is a vertically integrated California cannabis enterprise
- Shares in Vibe Growth Corporation (VIBE) are steady, trading at $0.47 per share
Vibe Growth Corporation (VIBE) reported increased revenue, same-store sales, and gross margin for the third quarter of 2021.
While overall retail sales were down 18 per cent in California, where Vibe operates its cannabis retail business, same-store sales were up 11 per cent in September compared to earlier this year.
The company reported $7.64 million in revenue for the third quarter, up from $7.24 million in Q3 2020.
In a growing online marketplace, Vibe’s ecommerce orders accounted for 21.6 per cent of transactions in the third quarter.
And with new acquisitions and additions to its leadership team, Vibe increased its adjusted gross margin to 32.8 per cent compared to 30.2 per cent in Q3 2020.
In August, Vibe acquired 10 acres of land in Monterey County, California for US$5.1 million in cash. The company has commenced the build-out of its Phase 1, 66,000-square-foot flagship cultivation facility, with the potential to develop 188,000 additional square feet in future Phases 2 and 3.
After the Monterey County land acquisition, the company was left with a cash position of $6.22 million, which will help fund the $3.3 million Phase 1 of construction.
Mark Waldron, Vibe CEO, commented on the financial results.
“Vibe’s investment thesis has always been to expand in the large and highly fragmented California retail cannabis market,” he said. “Our team continues to evidence its ability to grow its dispensary sales and e-commerce transactions, further positioning us to be a leader in a consolidating marketplace.
“The California market continues to be a great cannabis market for excellent operators,” added Mr. Waldron, “and Vibe’s strategy has always been to exercise fiscal prudence and focus on the three key pillars that underpin our growth plan: vertical integration, cultivation expansion, and retail sales.”
Vibe Growth and its cannabis retail brand, Vibe By California, is a vertically integrated California cannabis enterprise.
Shares in Vibe Growth Corporation (VIBE) are steady, trading at $0.47 per share as of 11:11 am EST.
