Overview

* TerrAscend ( TSNDF ) Q2 revenue misses analyst expectations, totaling $65 mln, per LSEG data

* Company exits Michigan market to reduce debt and focus on core markets

* Co completes $79 mln refinancing, secures additional $35 mln term loan for M&A

Outlook

* TerrAscend ( TSNDF ) plans to use $35 mln for strategic M&A

* TerrAscend ( TSNDF ) aims for improved profitability in New Jersey, Maryland, Pennsylvania

* Company sees potential adult-use cannabis sales in Pennsylvania

Result Drivers

* MICHIGAN EXIT - Co exits Michigan market to reduce debt and focus on core markets

* NORTHEAST MARKETS - Strong performance in New Jersey, Maryland, and Pennsylvania drives results

* PRICE COMPRESSION - Retail revenue increase offset by price compression in New Jersey

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Miss $65 mln $67.90

Revenue mln (3

Analysts

)

Q2 Gross 51.1%

Margin

Q2 $16 mln

Adjusted

EBITDA

from

Cont.

Ops

Q2 Free $5 mln

Cash

Flow

Q2 Gross $33.20

Profit mln

Q2 Net -$6.40

Income mln

from

Cont.

Ops

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the drug retailers peer group is "buy"

* Wall Street's median 12-month price target for Terrascend Corp ( TSNDF ) is C$1.88, about 64.8% above its August 6 closing price of C$0.66

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)