UPDATE: Trulieve profit falls short of estimates as it books charges related to Harvest acquisition

Trulieve Cannabis Corp. posted weaker-than-expected adjusted profit for the fourth quarter on Wednesday, as it booked charges and costs related to the acquisition of Harvest Health & Recreation which closed last October. The Tallahassee, Florida-based company swung to a loss of $71.5 million, or 49 cents a share, in the quarter, after earnings of $3.0 million, or 3 cents a share, in the year-earlier period. Excluding $73.3 million of non-recurring fair value of inventory step up, and transaction, acquisition and integration charges linked to the Harvest deal, the company had per-share earnings of 1 cent, below the 19 cent FactSet consensus. Revenue rose 81% to $305.3 million. The FactSet consensus was changed after the numbers were released to $304.3 million from $381 million. The company added 58 dispensaries in the quarter, including 49 that came with Harvest. It now operates 162 retail dispensaries and has more than 4 million sq. feet of cultivation and processing capacity in the U.S. Trulieve is now expecting 2022 revenue to range from $1.3 billion to $1.4 billion, below the FactSet consensus of $1.8 billion. Shares were not yet active premarket, but have fallen 52% in the last 12 months, while the AdvisorShares Pure US Cannabis ETF has fallen 47% and the S&P 500 has gained 16.6%.

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