Vext Science announced a strong set of fourth-quarter and fiscal 2020 results on April 15 as the Arizona-based cannabinoid brand leader continues to expand its profitable multi-state footprint.
Vext Science (VEXT) revenue came in at $6.4 million in 4Q 2020, an increase of 80% from the prior-year quarter. Adjusted EBITDA was $2.4 million compared to a $0.8 million loss in 4Q 2019.
Revenue for the year ended December 31, 2020 increased 13% year-over-year to $25.2 million, while adjusted EBITDA of $6.8 million increased 40% from the prior-year period.
Vext’s CEO Eric Offenberger said, “Vext exited 2020 on solid footing, with continued growth in revenue and Adjusted EBITDA, driven by the addition of another operated Phoenix dispensary during Q3, and organic growth in both our retail and wholesale operations in Arizona. The first quarter of 2021 brought the swift approval of rec-legal cannabis sales in the state, and revenue is growing steadily as a result, with both of our operated dispensaries and our wholesale operations producing record results in the month of March. As the Arizona recreational market continues to develop during 2021, we expect further growth in revenue and Adjusted EBITDA, and are well-positioned to execute on in-state opportunities as they arise, backed by our recent announcement of a significant expansion of our indoor cultivation capacity and a solid balance sheet.”
March 2021 produced a record month for the two Phoenix dispensaries operated by Vext which generated successive months of growth as adult-use in Arizona continues to accelerate. (See Vext Science stock analysis on TipRanks)
Stanley stated, “We are increasing our price target from C$2.25/sh to C$2.75/sh following the company’s announced plans to acquire additional cultivation capabilities.”
Stanley is the only analyst to have offered a stock rating for Vext Science in the last three months.