Curaleaf Holdings, Inc. · TSX:CURA
Curaleaf — Shareholder Meeting (December 2020)
15 slides from Curaleaf's shareholder meeting presentation, December 2020
Slide 1: Curaleaf Annual General Meeting December 2020
CURALEAF ANNUAL GENERAL MEETING December 2020
Slide 2: Disclaimer
DISCLAIMER Cautionary Note Regarding Forward-Looking Statements and Future-Oriented Financial Information This presentation contains “forward-looking information” and “forward-looking statements” within the meaning of the Canadian securities laws and the United States Private Securities Litigation R
Slide 3: Disclaimer
DISCLAIMER Cannabis-Related Practices or Activities are Illegal Under U.S. Federal Laws Curaleaf derives 100% of its revenues from doing business in the cannabis industry in the U.S.. The concepts of “medical cannabis” and “adult-use cannabis” do not exist under U.S. federal law. The U.S. Federal Co
Slide 4: Disclaimer: Non-IFRS Financial Measures
DISCLAIMER Non-IFRS Financial Measures In this presentation, Curaleaf refers to certain non-IFRS financial measures such as Pro Forma Revenue (“PF Revenue”), Managed Revenue, Gross Profit on Cannabis Sales and Adjusted EBITDA (“AEBITDA”). These measures do not have any standardized meaning prescribe
Slide 5: Considerable Market Growth
CONSIDERABLE MARKET GROWTH • While the U.S. legal cannabis industry is projected to total (1) (1) LEGAL U.S. CANNABIS MARKET $16.3B $16.3B in 2020, total cannabis demand in the U.S. is (2) 40 in 2020 estimated to total $75B-$100B , including markets serviced 33.9 35 2 , 2 6by0 the , 0 0illicit 0 +ma
Slide 6: Strategy Summary
STRATEGY SUMMARY INCREASED B U I L D I N G N AT I O N A L VERTICAL FOCUS ON CORE, BRANDS THROUGH I N T E G R AT I O N S TA B L E , COAST -TO- COAST THROUGH MEDICAL-USE ROLLOUT OF CONTINUED REVENUE WELLNESS AND INVESTMENT G E N E R AT I O N LIFESTYLE PRODUCTS I N C U LT I VAT I O N A N D PROCESSING E
Slide 7: Continued Investment in Vertical Integration Unlocks Value
CONTINUED INVESTMENT IN VERTICAL INTEGRATION UNLOCKS VALUE VERTICAL MODEL: C U R A L E A F & G R A S S R O OT S + WHOLESALE MODEL: CURALEAF & SELECT = I N T E G R AT E D M O D E L 2,260,000+ 170,000+ 1,150+ 0+ OWNED DISTRIBUTION OWNED DISTRIBUTION R E TA I L NETWORK R E TA I L NETWORK PROCESS PROCES
Slide 8: Unparalleled Coast-to-Coast Footprint
UNPARALLELED COAST-TO-COAST FOOTPRINT ( 1 ) COMBINED COMPANY HAS A STRONG PRESENCE IN 23 STATES OREGON NORTH DAKOTA MICHIGAN NEW YORK VERMONT MAINE #2 vape market share(4) #1 market share(5) Vertically integrated #1 market share(5) #1 market share(5) #2 market share(5) Vertically integrated 1 of 2 c
Slide 9: Clear Industry Leader
(1) CLEAR INDUSTRY LEADER 2,000,000+ 200,000+ 1,150+ 96 s q . f t . o f c u l t i vati on p at i e nts s e r ve d a n d a c t i ve wh o l e s a le reta i l l o cat ion s ca p ac i ty g ro wing d i s p ens ar y a c co unt s i n o p erati on 23 192,100,000+ 30+ 23 states wi t h a d d re ssab le p ro c
Slide 10: One of the Most Well Capitalized and Financially Stable U.S. Cannabis Companies
ONE OF THE MOST WELL CAPITALIZED AND FINANCIALLY STABLE U.S. CANNABIS COMPANIES • Executed a non-dilutive $300M debt raise in • 6 consecutive quarters of positive AEBITDA, with (1) January of 2020, raising net proceeds of $185.7M $42.3M of AEBITDA in 3Q20, representing over • This provides Curaleaf
Slide 11: Largest U.S. Cannabis Company
LARGEST U.S. CANNABIS COMPANY Curaleaf is already an industry leader, the Grassroots transaction further separates Curaleaf from the pack 250.0$165.4 Pro (2) Forma 215.3 (1) Pro 200.0 (2) 2020 Q3 Reported Revenue (US$, M) Forma 150.0 (3) 100.0 193.2 (3) 157.1 154.9 153.3 50.0 61.6 54.2 51.0 0.0 (1)
Slide 12: Strong, Experienced Curaleaf Management Team
STRONG, EXPERIENCED CURALEAF MANAGEMENT TEAM 2,260,000+ 170,000+ 1,150+ 0+ Joseph Lusardi Joseph Bayern Neil Davidson Michael Carlotti Jason White Cameron Forni Boris Jordan Executive President of Select Chairman CEO President COO CFO CMO of the Board Investor in cannabis Over 9 years Over 20 years
Slide 13: Curaleaf Selected Historical Financial Data: Track Record of Growth
CURALEAF SELECTED HISTORICAL FINANCIAL DATA: TRACK RECORD OF GROWTH (1),(2) ($ in millions) Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 FY 2017 FY 2018 FY 2019 YTD 2020 Total Revenue $ 35.3 $ 48.5 $ 61.8 $ 75.5 $ 96.5 $ 117.5 $ 182.4 $ 19.3 $ 77.1 $ 221.0 $ 396.4 Managed Revenue 40.7 55.
Slide 14: Curaleaf Non-IFRS Financial Measures
($ in millions) CURALEAF NON-IFRS FINANCIAL MEASURES Managed Revenue Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 FY 2017 FY 2018 FY 2019 YTD 2020 Total Revenue $ 35.3 $ 48.5 $ 61.8 $ 75.5 $ 96.5 $ 117.5 $ 182.4 $ 19.3 $ 77.1 $ 221.0 $ 396.4 Revenue from Managed Entities, net of MSA Fees
Slide 15: Why Curaleaf? Why Now?
WHY CURALEAF? WHY NOW? WELL-CAPITALIZED 6 consecutive quarters of positive AEBITDA coupled with one of the strongest balance sheets in the sector; ample cash to fund business for future growth SCALE Through acquisitive and organic growth, we have established the largest footprint of branded retail s
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