Revenue growth has accelerated to 30.1% as of 2026Q2, though gross margins remain constrained within a 25-27% range, excluding the 8.4% outlier observed in 2026Q1.
| Sales/Revenue | 671.63M | 593.99M | 522.31M | 487.67M | 356.85M | 181.12M | 83.27M | 31.29M | 8.75M | 9.83M | 8.34M |
| Revenue Growth % | 22.06% | 13.72% | 7.1% | 36.66% | 97.02% | 117.53% | 166.07% | 257.69% | -11% | 17.83% | - |
| Cost of Goods Sold | 525.69M | 440.46M | 379.8M | 356.36M | 255.9M | 117.14M | 52.45M | 19.98M | 5.64M | 5.29M | 4.05M |
| COGS % of Revenue | - | 74.15% | 72.72% | 73.07% | 71.71% | 64.67% | 63% | 63.84% | 64.45% | 53.77% | 48.49% |
| Gross Profit | 145.94M | 153.53M | 142.5M | 131.31M | 100.95M | 63.98M | 30.81M | 11.32M | 2.87M | 4.55M | 4.3M |
| Gross Margin % | 21.73% | 25.85% | 27.28% | 26.93% | 28.29% | 35.33% | 37% | 36.16% | 32.83% | 46.23% | 51.51% |
| Gross Profit Growth % | - | 7.74% | 8.52% | 30.08% | 57.78% | 107.66% | 172.29% | 294.01% | -36.81% | 5.76% | - |
| Operating Expenses | 149.15M | 167.98M | 137.5M | 172.74M | 173.26M | 82.66M | 30.72M | 31.19M | 6.61M | 3.61M | 2.6M |
| OpEx % of Revenue | - | 28.28% | 26.33% | 35.42% | 48.55% | 45.64% | 36.9% | 99.67% | 75.51% | 36.72% | 31.19% |
| Selling, General & Admin | 124.92M | 113.78M | 101.79M | 101.21M | 90.9M | 54.27M | 22.64M | 29.46M | 6.62M | 3.58M | 2.6M |
| SG&A % of Revenue | - | 19.16% | 19.49% | 20.75% | 25.47% | 29.96% | 27.19% | 94.16% | 75.64% | 36.44% | 31.19% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 2M | 54.2M | 35.71M | 71.53M | 82.37M | 28.39M | 8.08M | 1.73M | -12K | 28.29K | 0 |
| Operating Income | -3.21M | -14.45M | 5M | -41.42M | -72.31M | -18.67M | 91K | -19.87M | -3.73M | 958.84K | 1.7M |
| Operating Margin % | -0.48% | -2.43% | 0.96% | -8.49% | -20.26% | -10.31% | 0.11% | -63.51% | -42.68% | 9.75% | 20.32% |
| Operating Income Growth % | - | -388.79% | 112.08% | 42.71% | -287.22% | -20620.88% | 100.46% | -432.24% | -489.43% | -43.45% | - |
| EBITDA | 23.56M | 9.86M | 30.4M | -8.66M | -42.14M | 4.89M | 6.89M | -18.47M | -3.65M | 987.13K | 1.77M |
| EBITDA Margin % | 3.51% | 1.66% | 5.82% | -1.78% | -11.81% | 2.7% | 8.27% | -59.03% | -41.7% | 10.04% | 21.18% |
| EBITDA Growth % | -1.79% | -67.55% | 450.83% | 79.44% | -961.6% | -29% | 137.29% | -406.39% | -469.56% | -44.15% | - |
| D&A (Non-Cash Add-back) | 26.77M | 24.31M | 25.39M | 32.76M | 30.17M | 23.57M | 6.8M | 1.4M | 86K | 28.29K | 72K |
| EBIT | -29.45M | -38.05M | 8.39M | -36.96M | -63.81M | -25.53M | 1.88M | -23.69M | -5.89M | 700.13K | 1.62M |
| Net Interest Income | -15.4M | -13.38M | -12.79M | -11.63M | -9.95M | -10.24M | -7.84M | -3.31M | 98K | -138.75K | 48.07K |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 98K | 0 | 48.07K |
| Interest Expense | 15.4M | 13.38M | 12.79M | 11.63M | 9.95M | 10.24M | 7.84M | 3.31M | 0 | 138.75K | 0 |
| Other Income/Expense | -42.77M | -36.98M | -9.41M | -7.17M | -1.45M | -17.09M | -6.22M | -7.13M | -2.29M | -397.46K | -11.58K |
| Pretax Income | -45.98M | -51.43M | -4.4M | -48.6M | -73.76M | -35.77M | -6.13M | -27M | -6.03M | 561.38K | 1.68M |
| Pretax Margin % | -6.85% | -8.66% | -0.84% | -9.96% | -20.67% | -19.75% | -7.36% | -86.28% | -68.91% | 5.71% | 20.18% |
| Income Tax | 226.06K | -25K | -593K | -7.64M | -2.92M | -730K | 229K | -708K | -1.5M | 265.07K | 468.15K |
| Effective Tax Rate % | -0.49% | 0.05% | 13.47% | 15.73% | 3.95% | 2.04% | -3.74% | 2.62% | 24.81% | 47.22% | 27.8% |
| Net Income | -44.03M | -50.75M | -4.34M | -39.31M | -71.76M | -34.36M | -6.97M | -26.29M | -4.52M | 296.32K | 1.22M |
| Net Margin % | -6.56% | -8.54% | -0.83% | -8.06% | -20.11% | -18.97% | -8.37% | -84.02% | -51.66% | 3.01% | 14.57% |
| Net Income Growth % | -354.96% | -1070.09% | 88.97% | 45.22% | -108.85% | -393.07% | 73.5% | -481.68% | -1625.4% | -75.63% | - |
| Net Income (Continuing) | -46.21M | -51.4M | -3.81M | -40.95M | -70.85M | -35.04M | -6.35M | -26.29M | -4.53M | 296.32K | 1.22M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 13.26M | 15.18M | 3.12M | 2.11M | 5.68M | 4.79M | 1.55M | -179K | -12.84K | 0 | 0 |
| EPS (Diluted) | -0.50 | -0.62 | -0.05 | -0.53 | -1.13 | -0.83 | -0.45 | -1.99 | -0.35 | 0.02 | 0.03 |
| EPS Growth % | -607.48% | -1037.61% | 89.72% | 53.1% | -36.14% | -84.44% | 77.39% | -468.57% | -1648.67% | -15.67% | - |
| EPS (Basic) | - | -0.62 | -0.05 | -0.53 | -1.13 | -0.83 | -0.45 | -1.99 | -0.36 | 0.02 | 0.03 |
| Diluted Shares Outstanding | 87.87M | 82.18M | 79.56M | 74.33M | 62.78M | 42.43M | 15.27M | 13.21M | 13.13M | 13.13M | 45.33M |
| Basic Shares Outstanding | 87.87M | 82.18M | 79.56M | 74.33M | 62.78M | 42.43M | 15.27M | 13.21M | 12.57M | 13.13M | 45.33M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | 187.73% | 12.78% |
Regulatory and margin compression
According to recent quarterly filings, High Tide's revenue growth has accelerated to 30.1% in 2026Q2, marking a significant departure from the single-digit growth rates observed in early 2024, suggesting that the company's aggressive retail expansion and membership-driven model are successfully capturing greater market share in Canada.
The recent acceleration in top-line performance indicates that the company's discount club strategy is gaining traction, likely drawing volume away from less efficient competitors. Investors should monitor whether this growth remains sustainable as the Canadian retail landscape approaches saturation, as future expansion may require more capital-intensive M&A activity.
As reported in financial statements, gross margins have fluctuated around the 25-27% range, with a notable outlier in 2026Q1, indicating that the company's aggressive pricing strategy leaves little room for error in managing inventory costs and provincial wholesale markups within the highly regulated Canadian cannabis market.
The volatility in gross margins suggests that the company's reliance on high-volume, low-price retail makes it vulnerable to shifts in product mix and supply chain costs. Sustained margin expansion will likely depend on the company's ability to increase the penetration of higher-margin private-label goods and data-driven service revenue.
Based on the provided income statement data, operating income has shown significant volatility, swinging from a $19.2 million loss in 2025Q4 to an $8.1 million profit in 2026Q2, which highlights the difficulty in scaling fixed costs like lease obligations and labor against fluctuating gross profit levels.
The inconsistent operating margin performance suggests that the company has yet to achieve a stable level of operating leverage, as SG&A expenses continue to fluctuate alongside revenue growth. This lack of predictability warrants further investigation into whether the company can maintain profitability during periods of slower top-line expansion.
Analysis of the reported figures reveals that net income remains inconsistent, with significant quarterly swings such as the $45.6 million loss in 2025Q4, suggesting that non-operating items and potential impairment charges continue to obscure the underlying operational performance of the core retail and data analytics business.
The frequent shifts between net profitability and losses indicate that investors should focus on adjusted metrics rather than headline net income to gauge true performance. The presence of stock-based compensation and potential acquisition-related adjustments suggests that the quality of earnings remains sensitive to the company's aggressive growth-at-all-costs capital allocation strategy.
Data from the last ten quarters suggests that while revenue is growing, the company's reliance on thin-margin retail sales creates a precarious foundation, as evidenced by the 2026Q1 gross margin compression to 8.4%, which raises questions about the long-term viability of the discount club model.
Short-sellers may focus on the company's inability to consistently generate positive net income despite its dominant retail footprint. The risk remains that the company's aggressive expansion is merely masking a business model that is structurally unable to overcome the high fixed costs inherent in the Canadian cannabis retail sector.
Quick answers to the most common questions about buying HITI stock.
For fiscal year 2025, High Tide Inc. (HITI) reported total revenue of $594.0M. This represents a 7019.2% increase compared to $8.3M in 2016.
High Tide Inc. (HITI) reported a net loss of $50.7M for the fiscal year ending 2025.
High Tide Inc. (HITI) reported an operating income of $-14.4M, resulting in an operating profit margin of -2.4%. This margin reflects the operational efficiency of the business before interest and taxes.
High Tide Inc. (HITI) generated $153.5M in gross profit for the year, representing a gross profit margin of 25.8%. This demonstrates the company's core pricing power and production efficiency.