High Tide approaches profitability with record $178M Q1 revenue

High Tide (NASDAQ:HITI) reported its financial results for the first fiscal quarter ended January 31, 2026, marking its strongest start to a fiscal year to date.

The company achieved record quarterly revenue of $178.3 million, a 25% increase over the same period in 2025.

This growth was matched by a 25% rise in gross profit, which hit a record $44.4 million.

The performance underscores the continued success of High Tide’s "Canna Cabana" discount club model, which has consistently gained market share in a highly competitive and fragmented retail environment.

The company’s focus on operational efficiency and cost discipline resulted in an adjusted EBITDA of $11.5 million for the quarter.

More importantly, High Tide significantly narrowed its net loss to just $0.4 million, bringing the firm to the cusp of GAAP profitability—a rare milestone in the cannabis retail sector.

The quarter also marked the tenth consecutive period of positive free cash flow, with $2.9 million generated, allowing the company to fund its expansion initiatives without relying on dilutive capital raises.

A key driver of this sustained momentum is the company’s "Cabana Club" loyalty program.

Retail membership exceeded 2.58 million in Canada during the quarter, representing a substantial portion of the country's total cannabis-consuming population.

Looking ahead for the remainder of fiscal 2026, High Tide plans to continue its aggressive but disciplined store rollout.