(Reuters) – Pot firm Trulieve Cannabis on Thursday posted a narrower third-quarter loss on lower operating expenses and blew past free cash flow targets.
The company, which like its peers are working to turn profitable, also said it expects to generate free cash flow of at least $70 million in 2023.
Earlier this year, the pot firm said it planned to reduce inventory and preserve cash by closing certain stores, cutting wages and eliminating redundancies throughout 2023 as a part of its overhaul.
The company’s operating expenses fell about 39% to $120 million in the quarter ended Sept. 30 from a year earlier, and its free cash flow stood at $87 million, above the average analyst estimate of $34.3 million, according to LSEG data.
Trulieve reported revenue of $275 million, beating average analysts’ estimate of $269.2 million, helped by a 235% sequential growth in Maryland traffic following the launch of adult-use sales at its three dispensaries.
The company posted a smaller loss of $25 million, compared with $115 million a year earlier.
(Reporting by Tanay Dhumal in Bengaluru; Editing by Shinjini Ganguli)
