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High Tide Inc. (HITI) Reports Q1 Loss, Tops Revenue Estimates

High Tide Inc. (HITI), a leading provider of cannabis accessories and smoking products, has announced its financial results for the first quarter of 2022. The company reported a net loss of $3.4 million, or $0.04 per share, which was narrower than the expected loss of $0.06 per share.

Despite the loss, High Tide's revenue of $8.4 million topped analysts' estimates of $7.5 million. The company's revenue growth was driven by strong demand for its products, particularly in the cannabis accessories segment.

"We are pleased to report a solid start to the year, with our revenue exceeding expectations," said Raj Grover, High Tide's President and CEO. "Our focus on building a diversified product portfolio and expanding our distribution channels is paying off, and we are well-positioned to continue our growth momentum in the second half of the year."

High Tide's Q1 results were also boosted by the company's recent acquisition of a majority stake in Fabulous, a leading e-commerce platform for cannabis products. The acquisition is expected to enhance High Tide's online presence and drive further growth in the coming quarters.

The company's Q1 results also saw a significant increase in its cash and cash equivalents, which grew to $5.5 million from $3.4 million at the end of the previous quarter. This provides High Tide with the necessary liquidity to pursue its growth initiatives and make strategic investments in the business.

"We are excited about the opportunities ahead and believe that our strong financial foundation, combined with our diversified product portfolio and expanded distribution channels, position us for continued growth and success in the years to come," added Grover.