Our Q 1 earnings numbers are the best quarter in High Tide history in terms of revenue, adjusted EBITDA and market share growth. Q 1 was our second consecutive quarter of record revenue and adjusted EBITDA, and we saw a meaningful improvement in our free cash flow position, said Raj Grover, CEO.
The EBITDA increased to $5.5 million in the first fiscal quarter of 2023 compared to $3 million in the same period in 2022, representing an increase of 86% year-over-year and 10% sequentially, per the news release.
The company has achieved its 12th consecutive quarter of positive adjusted EBITDA, with a fourth consecutive quarter of same-store sales growth, indicating its strength in the market, according to Grover.
The company represents 9% of the Canadian cannabis retail market outside of Quebec, as reported exclusively by Benzinga.
In the first quarter of 2023, salaries, wages and benefits accounted for 12% of revenue, an improvement from 14% in the same quarter of the previous year and consistent with the previous three quarters.
In Q 1 of 2023, general and administrative expenses represented 6% of revenue, an improvement from 8% in Q 1 2022 and 7% in the previous quarter. In Q 1st of 2023, Cabanalytics sales totaled $6.6 million, a rise from $4.7 million in the same period last year, with a 3% sequential increase.
Same-store sales increased by 52% in the first quarter of 2023 compared to the same period in 2022, with a 4% increase in sales, marking six consecutive quarters of same-store sales growth.
The ELITE cannabis paid loyalty program membership has increased by 58%, reaching about 9,500 members. As of Jan. 31, the company had $23.7 million in cash on hand.
We want to be free cash flow positive by the end of this year, as we share a shift in our strategy to ensure long-term growth and sustainability. We remained focused on setting attainable growth goals and strengthening our operations, unlike much of the cannabis industry. Grover said that while we are not abandoning growth through M A in the medium and long-term, our short-term focus has shifted to free cash flow profitability in the coming months.
High Tide hopes to be free cash flow positive in the next year and is the highest revenue-generating cannabis company reporting in Canadian dollars. The company has 151 locations, over 975,000 Cabana Club members and a global customer database of over 4.5 million, making it the largest non-franchised cannabis retailer in Canada.
On April 11 - 12, you can meet Grover in person as well as other fascinating leaders in the cannabis industry at the Benzinga Cannabis Capital ConferenceBenzinga Cannabis Capital Conference at the historic Fontainebleau Hotel in Miami Beach, Florida. This is the place to get DEALS DONE, raise money, jumpstart M&A and meet investors and key partners.