March 19, 2021 at 8:42 am
Statistics Canada this morning released retail sales for the country for December, with cannabis sales growth declining sequentially. Revenue of CAD 298.4 million decreased 5.6% from December, an increase of 14.8% from November and an increase of 83.5% year over year. This was the slowest year-over-year growth since adult sales began.
Based on its data, Hifyre IQ had forecast sales of CAD 262 million. The data analytics provider estimates February growth is 6% below its January forecast (there are three fewer days in the month), which would be 13% below its actual January level and 62% more than a year ago.
The decline is likely due to the pandemic that resulted in restricted access to shops. An increase in the number of stores and falling flower prices have boosted sales in recent months. In Ontario, the most populous province, sales fell 5%. Alberta, the second largest country, fell over 8%. Quebec slipped 4% while British Columbia fell nearly 6%.
Hifyre IQ estimated that the product categories were stable and that the pre-rolls decreased slightly towards flowering. Flowers and pre-rolls make up 74% of the market, according to Hifyre IQ.
February sales data will be released on April 28th.
Alan is based in Houston and leverages his experience as the founder of the online community 420 Investor, the first and largest due diligence platform focused on publicly traded stocks in the cannabis industry. With his extensive network in the cannabis community, Alan continues to seek new ways to connect the industry and fuel its sustainable growth. At New Cannabis Ventures he is responsible for content development and strategic alliances. Before focusing on the cannabis industry in early 2013, Alan worked as an independent research analyst in 1986 after having worked in research and portfolio management for over two decades. Alan is a prolific writer with over 650 articles published since 2007 on Seeking Alpha where he has 70,000 followers. He is a frequent speaker at industry conferences and a frequent source for media such as the NY Times, Wall Street Journal, Fox Business, and Bloomberg TV. Contact Alan: Twitter | Facebook | LinkedIn | E-mail