High Tide Inc. (HITI): history, ownership, mission, how it works & makes money

A Brief History of High Tide Inc. (HITI)

Foundation and Early Years

High Tide Inc. was founded in 2009 by Raj Grover, who aimed to build a vertically integrated cannabis company based in Calgary, Alberta, Canada. The company initially focused on retailing cannabis products and gradually expanded its operations.

Public Listing

High Tide Inc. went public on the Canadian Securities Exchange (CSE) under the ticker symbol HITI on November 18, 2019. This move facilitated a capital raise to support its expansion efforts.

Acquisitions and Growth

In 2020, High Tide pursued an aggressive growth strategy through acquisitions. Key acquisitions included:

• Acquisition of Grasscity, a prominent online cannabis retailer, for approximately $4.4 million (CAD).
• Purchase of the Canadian retail cannabis chain, Canna Cabana, adding several locations to its portfolio.

Financial Performance

For the fiscal year ending October 31, 2022, High Tide reported revenue of $101 million (CAD), a significant increase of 82% compared to the previous fiscal year. This revenue was driven largely by retail sales and e-commerce growth.

Expansion of Retail Locations

By 2023, High Tide had expanded its retail footprint to over 130 locations across Canada. The company's flagship store, Canna Cabana, became a well-known brand in the cannabis retail space.

Market Position and Strategic Initiatives

High Tide Inc. is recognized as one of the largest retail cannabis companies in Canada. In 2021, the company reported holding a market share of approximately 10% in the Canadian retail cannabis sector.

Recent Developments

As of 2023, High Tide has been actively pursuing market opportunities in the United States, focusing on strategic acquisitions and partnerships. The company is working towards establishing a presence in states where cannabis has been legalized for recreational use.

Stock Performance

On October 1, 2023, High Tide's stock price closed at $2.50 (CAD) per share, reflecting a market capitalization of approximately $200 million (CAD). The stock has shown volatility, influenced by market trends and regulatory developments in the cannabis industry.

Sustainability Initiatives

High Tide has committed to sustainability practices. Initiatives include reducing carbon footprint through energy-efficient operations and promoting eco-friendly packaging for its products.

A Who Owns High Tide Inc. (HITI)

Company Overview

High Tide Inc. is a Canadian retailer and manufacturer of cannabis products, operating various retail outlets under the Canna Cabana brand. The company's focus is on providing a wide range of cannabis products to consumers.

Shareholder Composition

The ownership structure of High Tide Inc. is composed of institutional investors, retail investors, and company insiders. The following table outlines the major shareholders and their respective ownership stakes:

Stock Performance and Market Capitalization

As of October 2023, High Tide Inc. (HITI) has experienced fluctuations in stock performance. The following key financial indicators provide insight into its market presence:

Recent Developments

In the last fiscal quarter, High Tide Inc. reported revenues of approximately $25 million CAD, marking an increase of 20% compared to the previous year. The following table encapsulates the recent performance metrics:

Future Outlook

High Tide Inc. aims to expand its market share through additional retail openings and product diversification. Current projections indicate a potential revenue growth of 30% over the next fiscal year.

High Tide Inc. (HITI) Mission Statement

Company Overview

High Tide Inc. (HITI) is a leading cannabis retailer in North America, focusing on providing exceptional customer experiences and high-quality products.

Mission Statement

The mission of High Tide Inc. is to deliver the best cannabis experience through exceptional product offerings, expanding consumer access while maintaining a commitment to social responsibility and community engagement.

Core Values

• Quality: Commitment to high-quality products and services.
• Customer Focus: Prioritizing customer satisfaction and loyalty.
• Innovation: Leading with innovative product offerings and technologies.
• Integrity: Upholding ethical standards in all business operations.
• Community: Engaging in responsible community involvement and support.

Financial Performance

As of the third quarter of 2023, High Tide Inc. reported the following financial figures:

Market Position

High Tide operates over 150 retail locations across Canada, as well as a robust online platform. The company has secured a significant market share in the Canadian cannabis industry.

Strategic Goals

• Expansion: Increase retail footprint by 25% in the next 12 months.
• Brand Development: Enhance brand recognition through marketing initiatives.
• Product Diversification: Broaden product range to include more proprietary brands.
• Sustainability: Implement eco-friendly practices in operations and supply chain.

Community Engagement

High Tide Inc. actively participates in community programs, allocating approximately $1 million annually towards local initiatives and charitable causes.

Conclusion

The mission statement of High Tide Inc. is deeply rooted in its commitment to providing high-quality cannabis products while also ensuring community involvement and social responsibility. The company is well-positioned for continued growth in the dynamic cannabis market.

How High Tide Inc. (HITI) Works

Business Model

High Tide Inc. operates a diverse portfolio in the cannabis sector, focusing primarily on three main streams: retail, manufacturing, and wholesale distribution of cannabis products. The company also engages in e-commerce through its online platforms, capitalizing on growing consumer demand.

Retail Operations

As of September 2023, High Tide owns and operates over 150 retail cannabis stores across Canada. The retail segment contributed approximately $90 million CAD in revenue for the fiscal year 2022, representing an increase of about 20% year-over-year.

Manufacturing and Product Development

High Tide's manufacturing capabilities include the production of cannabis accessories and branded products. In 2022, the manufacturing segment's revenue reached $25 million CAD, driven by increased consumer interest in cannabis consumption accessories.

Wholesale Distribution

The wholesale division focuses on distributing cannabis products to retailers, contributing about $15 million CAD to the overall revenue in 2022. This segment also includes collaborations with various cannabis brands for product distribution.

E-Commerce Initiatives

High Tide has also established a strong online presence, with expected e-commerce revenue of approximately $10 million CAD in 2023. The online platform offers consumers access to a wide range of cannabis products and accessories.

Financial Performance

For the fiscal year ended October 2022, High Tide reported a total revenue of $130 million CAD, representing a 20% increase compared to $108 million CAD in 2021. The company has shown consistent growth in revenue and expanding market share within the Canadian cannabis industry.

Market Position

High Tide Inc. holds a significant position in the Canadian cannabis market, with a market share of approximately 10% as of 2023. The company's strategic acquisitions and investments have bolstered its competitive stance.

Future Prospects

The cannabis market in Canada is projected to reach $7 billion CAD by 2025. High Tide aims to expand its operational footprint both domestically and internationally, leveraging its established brand and distribution networks.

How High Tide Inc. (HITI) Makes Money

Retail Operations

High Tide Inc. operates a network of retail cannabis stores, enhancing its revenue stream through direct sales. As of October 2023, the company reports owning 134 retail locations across Canada. The average revenue per store is approximately $2 million annually.

E-commerce Sales

The company has developed a robust e-commerce platform, contributing to its revenue. In the fiscal year 2022, e-commerce sales accounted for about 15% of total retail sales, translating to around $30 million.

Wholesale Distribution

High Tide also engages in wholesale distribution of cannabis products. For the fiscal year ending October 2023, wholesale revenue is projected to be around $41 million, making up 25% of its total revenue.

Product Diversification

High Tide Inc. has diversified its product offerings, which include pet products and smoking accessories. The revenue generated from these segments has shown consistent growth, with an estimate of $20 million in 2023.

Financial Performance Overview

Strategic Acquisitions

High Tide has engaged in strategic acquisitions to expand its market share. Notably, the acquisition of META Growth Corp. and other companies has allowed High Tide to grow its retail footprint significantly. In the last acquisition, completed in 2021, it added 37 new retail locations, contributing an additional $20 million in annual revenue.

Partnerships and Collaborations

The company has established partnerships to enhance its product offerings and market reach. Partnerships with local producers and brands allow High Tide to offer exclusive products, expected to generate an additional $10 million in revenue in 2023.

Market Trends and Projections

The cannabis retail market in Canada is projected to grow at a compound annual growth rate (CAGR) of 20% through 2025. High Tide aims to capitalize on this trend, targeting a market share increase to 15% by 2024.

Investment in Technology

High Tide has invested in technology to improve operational efficiency. Automation in inventory management and sales processes is expected to reduce operational costs by 10%, potentially saving the company $5 million annually.

Marketing and Branding Initiatives

With a focus on brand recognition, High Tide has increased its marketing budget to $5 million in 2023. This initiative aims to enhance customer loyalty and attract new clientele, potentially boosting sales by 15%.