Financial PerformanceThe Cannabist Company reported Q423 results that fell short of EBITDA estimates and consensus, with ongoing margin pressure from underutilized facilities and inventory liquidation activity.
Liquidity ConcernsThe Company has a narrow margin of safety on its current liquidity position, with little room for error in 2024 and a reliance on net working capital that may strain the balance sheet.
Uncertain Future OutlookThere is considerable uncertainty with the 2024 cashflow outlook, as management did not reaffirm store opening timelines or the pace of margin recovery.