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Shinybud Reports 95% Higher Sales

The fiscal year 2022 was “a momentous” one for the multi-banner cannabis retailer ShinyBud. For the year ended January 31, 2022 sales for the retailer rose by 95% to $20.6 million compared to $10.6 million for the year ended January 31, 2021 from corporate owned stores. This includes only partial year results for several acquired stores.

The Ontario-based retailer’s store portfolio also quadrupled in size, moving from 6 to 28 corporate stores. During the year, ShinyBud opened 11 new locations and bought another 12 stores as part of a business combination with Mihi Inc. and the acquisition of 11181297 Canada Inc..

“Strengthened Our Brand”

“2022 was a momentous year for ShinyBud. We successfully completed a complex business combination and effectively integrated all entities to form ShinyBud Corp.,” says Kevin Reed, Chairman and Chief Executive Officer. “Concurrent with our transition to a public entity, last year we delivered meaningful growth and strengthened our brand as we continued to roll out our corporate store network, expanding primarily into under-serviced markets.”

Pro forma sales amounted to $26.5 million from all corporate stores owned at January 31, 2022, based on actual full-year performance and assuming that all acquisitions are completed at the beginning of the financial year on February 1, 2021 instead of January 2022.

Gross Profit up 91%

Meanwhile, gross profit shot up by 91% to $7.6 million compared to $4.0 million the previous fiscal year, this was primarily driven by an expanded store network and a strong gross margin (34% compared to 38%). They experienced a comprehensive net loss of $5.7 million compared to net income of $1.1 million. This is due to rising scale of operations offset by corporate start-up costs.

All of this amounted to an adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) increase of 21%, from $2.1 million to $2.5 million.

“ShinyBud’s fiscal performance highlights a very successful ramp up to our productive retail platform through a combination of store acquisitions and new builds,” stated Jude Pinto, Chief Financial Officer and Chief Information Officer. “This, coupled with the infrastructure build of taking the company public, completing several business combinations, and establishing scalable corporate functions positions the company to continue delivering retail service excellence and innovation to our existing market and into the wider wellness segment over time.”

 

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