Exhibit 99.1



MariMed Reports Second Quarter 2022 Earnings


NORWOOD, MA, August 8, 2022 - MariMed, Inc. (“MariMed” or the “Company”) (CSE: MRMD) (OTCQX: MRMD), a leading multi-state cannabis operator focused on improving lives every day, today announced its financial results for the second quarter ended June 30, 2022.


“We executed on our strategic plan, growing revenue both year-over-year and sequentially,” said Bob Fireman, Chief Executive Officer of MariMed. “Our growth was driven by increased traffic in our dispensaries despite the headwinds facing the entire industry and inflation in the U.S. being at a 40-year high. We continue to report some of the strongest financial results in the industry and remain poised for reaccelerated revenue and earnings growth in 2023 and beyond.”


Financial Highlights1


The following table summarizes the consolidated financial highlights for the three months ended June 30, 2022 and 2021 (in millions, except percentage amounts):


   Three months ended 
   June 30, 
   2022   2021 
Revenue  $33.0   $32.6 
Gross Margin   45%   60%
GAAP Net income  $1.9   $7.6 
Non-GAAP Adjusted EBITDA  $8.9   $13.9 
Non-GAAP Adjusted EBITDA Margin   27%   43%
Working Capital  $8.9   $13.9 


1 Please see the reconciliations of non-GAAP financial measures to the most directly comparable GAAP measures and additional information about non-GAAP measures in the section entitled “Discussion of Non-GAAP Financial Measures” in the attached schedules.




MariMed management will host a conference call on Tuesday, August 9, 2022, to discuss these results at 8:00 a.m. Eastern time. The conference call may be accessed through MariMed’s Investor Relations website by clicking the following link: MariMed Q222 Earnings Call.




During the second quarter, the Company executed on multiple facets of its strategic growth plan, including:


April 27: The Company completed the acquisition of Kind Therapeutics USA, a Maryland cannabis operator specializing in the cultivation, production, and wholesale sales of cannabis flower, concentrates, and other edibles from its 180,000 square foot facility in Hagerstown. MariMed is in the process of opening a dispensary in Annapolis, which will lead to the Company’s operations becoming fully vertical in the state.
May 5: The Company completed the acquisition and received final approval of an Illinois wholesale “craft grow” license transfer.  MariMed subsequently acquired a facility in Mt. Vernon, Illinois and began construction on this new cultivation and processing facility, which will allow the Company to grow, produce and wholesale its award-winning branded products throughout the state of Illinois.
May 18: MariMed announced it was selected to receive a provisional dispensary license by the Ohio Board of Pharmacy, which allows the Company to build a medical dispensary in Tiffen, Ohio, which will be operational in 2023. Ohio marks the sixth state in which MariMed owns or manages cannabis operations.  
June 29: The Company announced a licensing deal with a partner to sell its award-winning Betty’s Eddies fruit chews into the Maine adult-use cannabis market, beginning later this year.  This licensing deal is in addition to a licensing deal already in place to sell Betty’s Eddies into Maine’s medical cannabis market with another partner.







Subsequent to the end of the second quarter, the Company announced the following business developments:


July 12: MariMed announced the dual listing of its common shares on the Canadian Securities Exchange (“CSE”) under the stock symbol MRMD. Management believes a dual listing on the CSE allows easier access for institutional and retail investors in Canada and North America to acquire MariMed stock.  The Company has already seen new institutional investors taking equity positions in the Company’s common stock.
July 18: MariMed announced the approval of its expanded state-of-the-art kitchen in Maryland. The nearly ten-fold expansion allows the Company to produce all its award-winning branded products including Betty’s Eddies fruit chews, Bubby’s Baked, Kalm Fusion, and Vibations drink mixes. The Company also introduced a brand-new line of gummies for the Maryland medical cannabis market.
August 4: The Company announced the launch of its new Betty’s Eddies ice cream in cooperation with Boston based Emack & Bolio’s® ice cream company. Betty’s Eddies ice cream is currently available in select cannabis dispensaries in Massachusetts offering both dairy and vegan choices.
August 8: The Company announced the acquisition of a conditional dispensary license in the central eastern part of Illinois bordering Indiana. Once open, it will mark the fifth Thrive branded dispensary the Company owns and operates in Illinois. MariMed currently owns and operates four adult-use dispensaries in Anna, Harrisburg, Metropolis, and Mt. Vernon.




MariMed remains committed to its proven strategic growth plan and continues to operate some of the best cannabis facilities with some of the highest margins and returns in the cannabis industry. The Company’s revised financial targets for 2022 are as follows:


Revenue of $135 million to $140 million versus the previous range of $145 million to $150 million.
Gross margin of approximately 50% versus the previous range of 54% to 55%.
Non-GAAP Adjusted EBITDA of $35 million to $40 million versus the previous range of $47 million to $52 million.
Capital expenditures of $18 million versus the previous target of $25 million.


“The second quarter brought some challenges to the industry and MariMed that were primarily outside of our control. We took assertive actions that drove additional traffic into our dispensaries and launched multiple new products that are increasing our sales within our wholesale business,” said Susan Villare, Chief Financial Officer of MariMed. “We are confident that the financial and operational decisions we are making positions us for accelerating growth in the near term and beyond.”




The Company has provided in this release several non-GAAP financial measures: non-GAAP net income, Non-GAAP Adjusted EBITDA, and non-GAAP Adjusted EBITDA margin, as a supplement to Revenue, Gross margin, and other financial measures prepared in accordance with GAAP.


Management believes these non-GAAP financial measures are useful in reviewing and assessing the performance of the Company, as they provide meaningful operating results by excluding the effects of expenses that are not reflective of its operating business performance. In addition, the Company’s management uses these non-GAAP financial measures to understand and compare operating results across accounting periods and for financial and operational decision-making. The presentation of these non-GAAP measures is not intended to be considered in isolation or as a substitute for the financial information prepared in accordance with GAAP.


Management believes that investors and analysts benefit from considering non-GAAP financial measures in assessing the Company’s financial results and its ongoing business, as it allows for meaningful comparisons and analysis of trends in the business. In particular, non-GAAP adjusted EBITDA is used by many investors and analysts themselves, along with other metrics, to compare financial results across accounting periods and to those of peer companies.


As there are no standardized methods of calculating non-GAAP financial measures, the Company’s calculations may differ from those used by analysts, investors and other companies, even those within the cannabis industry, and therefore may not be directly comparable to similarly titled measures used by others.





Management defines non-GAAP Adjusted EBITDA as net income, determined in accordance with GAAP, excluding the following items:


interest income and interest expense;
income taxes;
depreciation of fixed assets;
amortization of acquired intangible assets;
Impairment or write-downs of intangible assets;
stock-based compensation;
legal settlements;
acquisition-related and other;
other income and other expense;
and discontinued operations.


For further information, please refer to the Company’s Quarterly Report on Form 10-Q for the three month period ended June 30, 2022 available on Marimed’s Investor Relations website, on the SEC’s Edgar website in the U.S., or on the Canadian securities regulatory authorities’ SEDAR website in Canada.




MariMed Inc., a multi-state cannabis operator, is dedicated to improving lives every day through its high-quality products, its actions, and its values. The Company develops, owns, and manages seed to sale state-licensed cannabis facilities, which are models of excellence in horticultural principles, cannabis cultivation, cannabis-infused products, and dispensary operations. MariMed has an experienced management team that has produced consistent growth and success for the Company and its managed business units. Proprietary formulations created by the Company’s technicians are embedded in its top-selling and award-winning products and brands, including Betty’s Eddies, Nature’s Heritage, Bubby’s Baked, K Fusion, Kalm Fusion, and Vibations: High + Energy. For additional information, visit www.marimedinc.com.




This release contains certain forward-looking statements and information relating to MariMed Inc. that are based on the beliefs of MariMed Inc.’s management, as well as assumptions made by and information currently available to the Company. Such statements reflect the current view of the Company with respect to future events, including consummation of pending transactions, launch of new products, expanded distribution of existing products, obtaining new licenses, estimates and projections of revenue, EBITDA and Adjusted EBITDA and other information about its business, business prospects and strategic growth plan, which are based on certain assumptions of its management, including those described in this release. These statements are not a guarantee of future performance and involve risk and uncertainties that are difficult to predict, including, among other factors, changes in demand for the Company’s services and products, changes in the law and its enforcement, and changes in the economic environment. Additional risk factors are included in the Company’s public filings with the Securities and Exchange Commission. Should one or more of these underlying assumptions prove incorrect, actual results may vary materially from those described herein as “hoped,” “anticipated,” “believed,” “planned, “estimated,” “preparing,” “potential,” “expected,” “looks” or words of a similar nature. The Company does not intend to update these forward-looking statements. None of the content of any of the websites referred to herein (even if a link is provided for your convenience) is incorporated into this release and the Company assumes no responsibility for any of such content.


All trademarks and service marks are the property of their respective owners.


For More Information Contact:


Investor Relations:

Steve West, Vice President, Investor Relations

Email: ir@marimedinc.com


Media Contact:

Trailblaze PR

Email: marimed@trailblaze.co


Company Contact:

Howard Schacter, Chief Communications Officer

Email: hschacter@marimedinc.com


# # #





MariMed Inc.

Condensed Consolidated Balance Sheets

(in thousands)



   June 30,   December 31, 
   2022   2021 
Current assets:          
Cash and cash equivalents  $7,911    29,683 
Accounts receivable, net   5,297    1,666 
Deferred rents receivable   737    1,678 
Notes receivable, current portion   132    127 
Inventory   15,889    9,768 
Investments, current   525    251 
Other current assets   3,059    1,440 
Total current assets   33,550    44,613 
Property and equipment, net   69,132    62,150 
Intangible assets, net   9,898    162 
Goodwill   8,079    2,068 
Notes receivable, net of current   9,116    8,987 
Operating lease right-of-use assets   5,071    5,081 
Finance lease right-of-use assets   541    46 
Other assets   491    98 
Total assets  $135,878   $123,205 
Liabilities, mezzanine equity and stockholders’ equity          
Current liabilities:          
Mortgages and notes payable, current portion  $2,734   $1,410 
Accounts payable   7,624    5,099 
Accrued expenses and other   3,473    3,149 
Income taxes payable   10,001    16,467 
Operating lease liabilities, current portion   1,201    1,071 
Finance lease liabilities, current portion   180    27 
Total current liabilities   25,213    27,223 
Mortgages and notes payable, net of current   20,629    17,262 
Operating lease liabilities, net of current   4,420    4,574 
Finance lease liabilities, net of current   338    22 
Other liabilities   100    100 
Total liabilities   50,700    49,181 
Commitments and contingencies          
Mezzanine equity:          
Series B convertible preferred stock   14,725    14,725 
Series C convertible preferred stock   23,000    23,000 
Total mezzanine equity   37,725    37,725 
Stockholders’ equity          
Common stock   339    334 
Additional paid-in capital   139,951    134,920 
Accumulated deficit   (91,381)   (97,392)
Noncontrolling interests   (1,456)   (1,563)
Total stockholders’ equity   47,453    36,299 
Total liabilities, mezzanine equity and stockholders’ equity  $135,878   $123,205 





MariMed Inc.

Condensed Consolidated Statements of Operations

(in thousands, except percentages and per share amounts)



   Three months ended   Six months ended 
   June 30,   June 30,   June 30,   June 30, 
   2022   2021   2022   2021 
Revenue  $32,986   $32,569   $64,268   $57,212 
Cost of revenue   17,981    13,163    32,287    24,620 
Gross profit   15,005    19,406    31,981    32,592 
Gross margin   45.5%   59.6%   49.8%   57%
Operating expenses:                    
Personnel   3,382    2,058    6,424    3,785 
Marketing and promotion   809    270    1,452    495 
General and administrative   5,565    4,282    11,793    7,453 
Acquisition-related and other   754    -    754    - 
Bad debt   -    794    14    1,819 
Total operating expenses   10,510    7,404    20,437    13,552 
Income from operations   4,495    12,002    11,544    19,040 
Interest and other income (expense):                    
Interest expense   (440)   (265)   (753)   (1,777)
Interest income   318    36    481    70 
Other (expense) income, net   (727)   (371)   275    (417)
Total interest and other (expense) income   (849)   (600)   3    (2,124)
Income before income taxes   3,646    11,402    11,547    16,916 
Provision for income taxes   1,750    3,813    5,410    5,017 
Net income   1,896    7,589    6,137    11,899 
Net income attributable to noncontrolling interests   73    96    126    186 
Net income attributable to common stockholders  $1,823   $7,493   $6,011   $11,713 
Net income per share attributable to common stockholders:                    
Basic  $0.01   $0.02   $0.02   $0.04 
Diluted  $0.00   $0.02   $0.02   $0.03 
Weighted average common shares outstanding:                    
Basic   337,497    324,267    336,137    321,741 
Diluted   379,626    370,257    379,225    365,324 





MariMed Inc.

Condensed Consolidated Statements of Cash Flows

(in thousands)



   Six months ended 
   June 30,   June 30, 
   2022   2021 
Cash flows from operating activities:          
Net income attributable to common stockholders  $6,011   $11,713 
Net income attributable to noncontrolling interests   126    186 
Adjustments to reconcile net income to cash provided by operating activities:          
Depreciation and amortization of property and equipment   1,552    963 
Amortization of intangible assets   425    346 
Stock-based compensation   5,024    1,600 
Amortization of warrants attached to debt   -    539 
Amortization of beneficial conversion feature   -    177 
Amortization of original issue discount   -    52 
Bad debt expense   14    1,819 
Fees paid with stock   274    - 
Loss on obligations settled with equity   -    3 
Loss on changes in fair value of investments   679    415 
Other investment income   (954)   - 
Changes in operating assets and liabilities:          
Accounts receivable, net   (3,554)   (3,230)
Deferred rents receivable   99    125 
Inventory   (1,795)   (2,398)
Other current assets   (1,267)   (1,373)
Other assets   (392)   (17)
Accounts payable   2,024    1,699 
Accrued expenses and other   180    4,973 
Income taxes payable   (6,467)   - 
Net cash provided by operating activities   1,979    17,592 
Cash flows from investing activities:          
Purchases of property and equipment   (7,854)   (7,976)
Business acquisitions, net of cash acquired   (12,746)   - 
Purchases of cannabis licenses   (330)   (638)
Advances toward future business acquisitions   73    - 
Interest on notes receivable   -    119 
Net cash used in investing activities   (20,857)   (8,495)
Cash flows from financing activities:          
Proceeds from issuance of preferred stock   -    23,000 
Equity issuance costs   -    (387)
Proceeds from issuance of promissory notes   -    35 
Principal payments of mortgages and promissory notes   (611)   (16,098)
Proceeds from exercise of stock options   3    9 
Proceeds from exercise of warrants   -    61 
Repayment of loans from related parties   -    (1,158)
Principal payments of finance leases   (102)   (18)
Redemption of minority interests   (2,000)   - 
Distributions   (184)   (183)
Net cash (used in) provided by financing activities   (2,894)   5,261 
Net (decrease) increase in cash and cash equivalents   (21,772)   14,358 
Cash and equivalents, beginning of year   29,683    2,999 
Cash and cash equivalents, end of period  $7,911   $17,357 





MariMed Inc.

Reconciliation of Non-GAAP and GAAP Financial Measures

(in thousands, except percentages)



   Three months ended   Six months ended 
   June 30,   June 30,   June 30,   June 30, 
   2022   2021   2022   2021 
Non-GAAP Adjusted EBITDA                    
GAAP net income  $1,896   $7,589   $6,137   $11,899 
Interest expense, net   122    229    272    1,707 
Income tax provision   1,750    3,813    5,410    5,017 
Depreciation and amortization of property and equipment   850    501    1,552    963 
Amortization of acquired intangible assets   285    169    425    346 
Non-GAAP EBITDA (earnings before interest, taxes, depreciation and amortization)   4,903    12,301    13,796    19,932 
Stock-based compensation   2,553    1,244    5,024    1,600 
Acquisition-related and other   754    -    754    - 
Other expense (income), net   727    371    (275)   417 
Non-GAAP adjusted EBITDA  $8,937   $13,916   $19,299   $21,949 
Non-GAAP Adjusted EBITDA Margin (Non-GAAP adjusted EBITDA as a percentage of revenue)                    
GAAP net income   5.7%   23.3%   9.5%   20.8%
Interest expense, net   0.4%   0.7%   0.4%   3.0%
Income tax provision   5.3%   11.8%   8.5%   8.7%
Depreciation   2.6%   1.5%   2.4%   1.7%
Amortization of acquired intangible assets   0.9%   0.5%   0.7%   0.6%
Non-GAAP EBITDA margin   14.9%   37.8%   21.5%   34.8%
Stock-based compensation   7.7%   3.8%   7.7%   2.9%
Acquisition-related and other   2.3%   -    1.2%   - 
Other (income) expense, net   2.2%   1.1%   (0.4%)   0.7%
Non-GAAP adjusted EBITDA margin   27.1%   42.7%   30.0%   38.4%


MariMed Inc.

Supplemental Information

Revenue Components

(in thousands)



   Three months ended   Six months ended 
   June 30,   June 30,   June 30,   June 30, 
   2022   2021   2022   2021 
Product revenue:                    
Product sales - retail   23,087    20,552    44,528    35,776 
Product sales - wholesale   7,958    8,178    14,020    13,903 
Total product sales   31,045    28,730    58,548    49,679 
Other revenue   1,941    3,839    5,720    7,533 
Total revenue  $32,986   $32,569   $64,268   $57,212