Proactive Investors - SNDL Inc (NASDAQ:SNDL) has announced it achieved positive free cash flow in its fiscal third quarter, boosted by its March 2022 acquisition of Alcanna which helped transform it into the largest private-sector liquor and cannabis retailer in Canada.
The company also told investors its board has approved a renewal of its share buyback program, authorizing it to repurchase up to C$100 million of its own stock.
For the three months to September 30, 2023, SNDL grew net revenue by 3.1% to C$237.6 million. Its net loss narrowed to C$21.8 million from C$98.8 million a year earlier, mainly driven by asset impairments it recorded in 2022.
It generated C$16.5 million of free cash flow, compared to negative $67.1 million in 3Q 2022.
"SNDL's positive net cash from operating activities and first quarter of free cash flow generation marks a pivotal milestone, reflecting our team's commitment to operational and financial excellence," CEO Zach George said in a statement.
"We are intent on realizing SNDL's potential for improved profitability, material growth and greater efficiencies across all of our segments. We recently commenced our Liquor Retail data program and continue to see margin improvements in our Cannabis Retail network.