High Tide Inc 6-K, filed Jun 14, 2022

High Tide Inc. (HITI)

6-K 2022-06-14 For: 2022-06-14

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Added on July 07, 2026

About this 6-K

High Tide Inc filed this 6-K on June 14, 2022.

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Exhibit		Description of Exhibit

99.1		Condensed Interim Consolidated Financial Statements for the three and six months ended April 30, 2022 and 2021
99.2		Management’s Discussion & Analysis for the three and six months ended April 30, 2022 and 2021
99.3		CEO Certification
99.4		CFO Certification



	HIGH TIDE INC.
	(Registrant)

Date: June 14, 2022	By	/s/ Raj Grover
		Raj Grover
		President and Chief Executive Officer


(Signed) “Harkirat (Raj) Grover”	(Signed) “Nitin Kaushal”
President and Chair of the Board	Director and Chair of the Audit Committee



	Notes	2022	2021
		$	$

Assets
Current assets
Cash		14,999	14,014
Marketable securities	18	415	860
Trade and other receivables	9	10,631	7,175
Inventory		22,780	17,042
Prepaid expenses and deposits	7	8,483	6,919
Current portion of loans receivable	8	335	277
Total current assets		57,643	46,287
Non-current assets
Loans receivable	8	2,837	2,720
Property and equipment	5	29,918	24,756
Net investment - lease	21	430	506
Right-of-use assets, net	21	30,322	27,985
Long term prepaid expenses and deposits	7	2,500	1,681
Intangible assets and goodwill	3, 6	178,389	142,280
Total non-current assets		244,396	199,928
Total assets		302,039	246,215
Liabilities
Current liabilities
Accounts payable and accrued liabilities		25,748	18,532
Notes payable current	11	9,248	5,600
Current portion of convertible debentures	12	-	946
Current portion of lease liabilities	21	7,427	5,729
Current portion of derivative liability	3,10	8,207	9,980
Total current liabilities		50,630	40,787
Non-current liabilities
Notes payable	11	12,000	11,893
Convertible debentures	12	7,143	7,217
Lease liabilities	21	25,023	24,044
Derivative liability	3,10	8,635	1,693
Deferred tax liability		9,860	8,577
Total non-current liabilities		62,661	53,424
Total liabilities		113,291	94,211
Shareholders’ equity
Share capital	14	265,060	208,904
Warrants	16	10,445	10,724
Contributed surplus		19,355	15,162
Convertible debentures – equity		647	859
Accumulated other comprehensive loss		(1,120)	(648)
Accumulated deficit		(112,393)	(87,792)
Equity attributable to owners of the Company		181,994	147,209
Non-controlling interest	23	6,754	4,795
Total shareholders’ equity		188,748	152,004
Total liabilities and shareholders’ equity		302,039	246,215


		Three months ended		Six months ended

	Notes	2022	2021	2022	2021
		$	$	$	$

Revenue	4	81,031	40,868	153,249	79,187
Cost of sales		(58,337)	(25,870)	(107,573)	(49,421)
Gross profit		22,694	14,998	45,676	29,766
Expenses
Salaries, wages and benefits		(9,592)	(6,205)	(19,479)	(12,055)
Share-based compensation	15	(2,353)	(1,517)	(4,255)	(2,070)
General and administration		(6,668)	(3,035)	(12,529)	(5,943)
Professional fees		(1,079)	(534)	(2,079)	(1,670)
Advertising and promotion		(2,095)	(244)	(4,498)	(315)
Depreciation and amortization	5,6,21	(7,627)	(7,714)	(14,738)	(13,808)
Impairment loss	6	-	-	(89)	-
Interest and bank charges		(858)	(260)	(1,734)	(461)
Total expenses		(30,272)	(19,509)	(59,401)	(36,322)
Loss from operations		(7,578)	(4,511)	(13,725)	(6,556)
Other income (expenses)
Gain (loss) on extinguishment of debenture		133	-	115	(516)
Debt restructuring gain		-	-	-	1,145
Loss on revaluation of marketable securities		(43)	(159)	(262)	(144)
Finance and other costs	13	(2,210)	(3,727)	(4,670)	(8,010)
Gain (loss) on revaluation of derivative liability	10	728	(3,988)	1,253	(14,472)
Foreign exchange loss		(107)	(5)	(204)	(94)
Total other income (expenses)		(1,499)	(7,879)	(3,768)	(22,091)
Loss before taxes		(9,077)	(12,390)	(17,493)	(28,647)
Current income tax (expense) recovery		(1,190)	124	(126)	(464)
Deferred income tax recovery		1,990	-	1,990	-
Net loss		(8,277)	(12,266)	(15,629)	(29,111)
Other comprehensive loss
Translation difference on foreign subsidiary		(2,074)	(23)	(472)	82
Total comprehensive loss		(10,351)	(12,289)	(16,101)	(29,029)
Comprehensive (loss) income attributable to:
Owners of the Company		(10,519)	(12,355)	(16,747)	(29,120)
Non-controlling interest		168	66	646	91
		(10,351)	(12,289)	(16,101)	(29,029)
Loss per share
Basic and diluted	17	(0.14)	(0.30)	(0.28)	(0.86)

	High Tide Inc.
		Condensed Interim Consolidated Financial Statement
		For the three and six months ended April 30, 2022 and 2021


					Equity	Accumulated
					portion of	other		Attributable
				Contributed	convertible	comprehensive	Accumulated	to owners of
	Note	Share capital	Warrants	surplus	debt	income (loss)	deficit	the Company	NCI	Total
		$	$	$	$	$	$	$	$	$
Opening balance, November 1, 2020		32,552	5,796	4,704	1,965	(487)	(34,359)	10,171	1,552	11,723
Acquisition - Meta Growth	3	35,290	2,739	240	9,008	-	-	47,277	1,821	49,098
Prepaid interest paid in shares		1,458	-	-	-	-	-	1,458	-	1,458
Shared-based compensation	15	-	-	2,070	-	-	-	2,070	-	2,070
Equity portion of convertible debentures		-	-	-	157	-	-	157	-	157
Exercise options		865	-	(167)	-	-	-	698	-	698
Warrants expired		-	(4,725)	4,725	-	-	-	-	-	-
Issued to pay fees in shares		174	-	-	-	-	-	174	-	174
Extension of convertible debenture		-	-	340	-	-	-	340	-	340
Conversion of convertible debentures		40,532	-	-	(9,619)	-	-	30,913	-	30,913
Warrants		10,644	(1,631)	28	-	-	-	9,041	-	9,041
Cumulative translation adjustment		-	-	-	-	81	-	81	-	81
Acquisition - Smoke Cartel, Inc.		8,396	-	-	-	-	-	8,396	-	8,396
Shares issued through equity financing		18,237	6,492	-	-	-	-	24,729	-	24,729
Share issuance costs		(3,225)	-	-	-	-	-	(3,225)	-	(3,225)
Vesting of RSUs		743	-	(743)	-	-	-	-	-	-
Comprehensive loss for the period		-	-	-	-	-	(29,202)	(29,202)	91	(29,111)
Balance, April 30, 2021		145,666	8,671	11,197	1,511	(406)	(63,561)	103,078	3,464	106,542
Opening balance, November 1, 2021		208,904	10,724	15,162	859	(648)	(87,792)	147,209	4,795	152,004
Acquisition - FABCBD	3	313					-	313	-	313
Acquisition - NuLeaf	3	35,285	-	-	-	-	(8,326)	26,959	2,700	29,659
Acquisition - Bud Room Inc.	3	3,738	-	-	-	-	-	3,738	-	3,738
Acquisition - 2080791 Alberta Ltd.	3	2,199	-	-	-	-	-	2,199	-	2,199
Acquisition - Crossroads Cannabis	3	1,732	-	-	-	-	-	1,732	-	1,732
Issuance of shares through ATM		8,216	-	-	-	-	-	8,216	-	8,216
Issued to pay fees in shares		100	-	-	-	-	-	100	-	100
Share-based compensation	15	-	-	4,255	-	-	-	4,255	-	4,255
Equity portion of convertible debentures		-	-	-	(212)	-	-	(212)	-	(212)
Exercise options		526	-	(217)	-	-	-	309	-	309
Warrants expired	16	-	(273)	273	-	-	-	-	-	-
Warrants exercised	14,16	4,052	(6)	-	-	-	-	4,046	-	4,046
Share issuance costs	14	(123)	-	-	-	-	-	(123)	-	(123)
Vesting of RSUs	14	118	-	(118)	-	-	-	-	-	-
Partner distributions	23	-	-	-	-	-	-	-	(1,387)	(1,387)
Cumulative translation adjustment		-	-	-	-	(472)	-	(472)	-	(472)
Comprehensive loss for the period		-	-	-	-	-	(16,275)	(16,275)	646	(15,629)
Balance, April 30, 2022		265,060	10,445	19,355	647	(1,120)	(112,393)	181,994	6,754	188,748



	Notes	2022	2021
		$	$
Operating activities
Net loss		(15,629)	(29,111)
Adjustments for items not effecting cash and cash equivalents
Income tax (recovery) expense		(1,864)	464
Accretion expense	13	2,597	3,597
Fee for services and interest paid in shares and warrants		-	1,632
Depreciation and amortization	5,6,21	14,738	13,808
Revaluation of derivative liability	10	(1,253)	14,472
Gain on extinguishment of debenture		(115)	-
Debt restructuring gain		-	(1,145)
Impairment loss		89	-
Foreign exchange loss		204	94
Share-based compensation	15	4,255	2,070
Loss on sale of marketable securities		-	516
Revaluation of marketable securities		262	144
		3,284	6,541
Changes in non-cash working capital
Trade and other receivables		(5,064)	72
Inventory		(3,397)	(2,483)
Prepaid expenses and deposits		(2,078)	(1,153)
Accounts payable and accrued liabilities		3,435	(5,580)
Net cash used in operating activities		(3,820)	(2,603)

Investing activities
Net additions of property and equipment	5	(4,757)	(3,793)
Net additions of intangible assets	6	(265)	(103)
Loans receivable		(175)	(340)
Cash acquired through business combinations, net	3	681	3,370
Net cash used in investing activities		(4,516)	(866)

Financing activities
Repayment of finance lease obligations		-	(11)
Proceeds from convertible debentures net of issue costs		-	980
Proceeds from notes payable net of issue costs and repayment	11	3,460	-
Repayment of convertible debentures		-	(3,613)
Interest paid on debentures and loans		(510)	(985)
Lease liability payments	21	(4,172)	(2,353)
Share issuance costs		(123)	-
Shares issued through ATM		8,216	21,590
Warrants exercised		2,141	9,005
Options exercised		309	685
Net cash provided by financing activities		9,321	25,298

Net increase in cash		985	21,829
Cash, beginning of period		14,014	7,524
Cash, end of period		14,999	29,353


Total consideration		$
Common shares		35,285
		35,285
Purchase price allocation
Cash and cash equivalents		565
Accounts receivable		216
Other receivables		21
Inventory		2,341
Prepaid expenses		305
Property, plant and equipment		4,190
Right of use asset		3,144
Intangible assets - software		211
Intangible assets - brand		10,168
Goodwill		24,486
Accounts payable and accrued liabilities		(1,450)
Other liabilities		(105)
Lease liabilities		(2,984)
Deferred tax liability		(3,123)
Non-controlling interest		(2,700)
		35,285


Total consideration		$
Cash		2,512
Common shares		8,396
Contingent consideration		1,319
		12,227
Purchase price allocation
Cash and cash equivalents		1,680
Intangible assets - Brand		3,820
Intangible assets - Software		7,217
Goodwill		2,594
Accounts payable and accrued liabilities		(1,093)
Deferred tax liability		(1,991)
		12,227


Total consideration		$
Cash		5,980
		5,980
Purchase price allocation
Cash and cash equivalents		3
Inventory		120
Property and equipment		274
Intangible assets - license		5,627
Right of use asset		1,148
Goodwill		1,611
Lease liability		(1,148)
Accounts payable and accrued liabilities		(164)
Deferred tax liability		(1,491)
		5,980


Total consideration		$
Cash		15,193
Common Shares		3,752
		18,945
Purchase price allocation
Cash and cash equivalents		642
Accounts receivable		125
Inventory		403
Property and equipment		22
Intangible assets - brand		7,801
Goodwill		13,897
Accounts payable and accrued liabilities		(552)
Deferred tax liability		(2,131)
Non-controlling interest		(1,262)
		18,945


Total consideration		$
Cash		4,045
Common Shares		7,767
		11,812
Purchase price allocation
Cash and cash equivalents		1,054
Trade and other receivables		66
Inventory		1,270
Prepaid expenses		18
Property and equipment		10
Intangible assets - brand		2,671
Goodwill		8,201
Right of use asset		592
Lease liability		(592)
Accounts payable and accrued liabilities		(1,478)
		11,812


Total consideration		$
Cash		5,013
		5,013
Purchase price allocation
Cash and cash equivalents		115
Inventory		160
Prepaid expenses		158
Property and equipment		69
Intangible assets - brand		1,375
Goodwill		4,384
Right of use asset		299
Lease liability		(299)
Accounts payable and accrued liabilities		(863)
Deferred tax liability		(385)
		5,013


Total consideration		$
Cash		7,165
Common Shares		4,432
Working capital adjustment		1,086
		12,683
Purchase price allocation
Cash and cash equivalents		2,155
Trade and other receivables		472
Inventory		293
Property and equipment		19
Intangible asset - brand		4,220
Goodwill		8,889
Accounts payable and accrued liabilities		(1,530)
Deferred tax liability		(971)
Non-controlling interest		(864)
		12,683


For the three months ended April 30	2022	2021	2022	2021	2022	2021	2022	2021
	Retail	Retail	Wholesale	Wholesale	Corporate	Corporate	Total	Total
	$	$	$	$	$	$	$	$
Primary geographical markets ⁽ⁱ⁾
Canada	62,891	33,827	552	1,184	13	19	63,456	35,030
USA	15,516	4,365	421	1,303	-	-	15,937	5,668
International	1,638	170	-	-	-	-	1,638	170
Total revenue	80,045	38,362	973	2,487	13	19	81,031	40,868

Major products and services
Cannabis	64,241	29,570	-	-	-	-	64,241	29,570
Consumption accessories	9,990	5,571	966	2,479	-	-	10,956	8,050
Data analytics services	5,124	2,874	-	-	-	-	5,124	2,874
Other revenue	690	347	7	8	13	19	710	374
Total revenue	80,045	38,362	973	2,487	13	19	81,031	40,868

Timing of revenue recognition
Transferred at a point in time	80,045	38,362	973	2,487	13	19	81,031	40,868
Total revenue	80,045	38,362	973	2,487	13	19	81,031	40,868


For the six months ended April 30	2022	2021	2022	2021	2022	2021	2022	2021
	Retail	Retail	Wholesale	Wholesale	Corporate	Corporate	Total	Total
	$	$	$	$	$	$	$	$
Primary geographical markets ⁽ⁱ⁾
Canada	114,569	67,109	1,277	2,092	52	30	115,898	69,231
USA	32,472	7,631	909	1,946	-	-	33,381	9,577
International	3,970	379	-	-	-	-	3,970	379
Total revenue	151,011	75,119	2,186	4,038	52	30	153,249	79,187

Major products and services
Cannabis	118,440	59,947	-	-	-	-	118,440	59,947
Consumption accessories	21,564	9,953	2,171	4,006	-	-	23,735	13,959
Data analytics services	9,800	4,362	-	-	-	-	9,800	4,362
Other revenue	1,207	857	15	32	52	30	1,274	919
Total revenue	151,011	75,119	2,186	4,038	52	30	153,249	79,187

Timing of revenue recognition
Transferred at a point in time	151,011	75,119	2,186	4,038	52	30	153,249	79,187
Total revenue	151,011	75,119	2,186	4,038	52	30	153,249	79,187


	Office equipment	Production	Leasehold
	and computers	equipment	improvements ^(iv)	Vehicles	Buildings	Total
Cost	$	$	$	$	$	$
Balance, October 31, 2020	778	-	12,980	167	2,800	16,725
Additions	626	-	9,923	14	-	10,563
Additions from business combinations (Note 3)	1,857	-	5,516	5	-	7,378
Disposal ^{(i) (ii)}	(146)	-	(1,061)	(170)	-	(1,377)
Impairment loss⁽ⁱⁱⁱ⁾	(4)	-	(129)	-	-	(133)
Foreign currency translation	(11)	-	(5)	-	-	(16)
Balance, October 31, 2021	3,100	-	27,224	16	2,800	33,140
Additions	481	5	4,861	-	-	5,346
Additions from business combinations (Note 3)	702	2,812	1,423	-	-	4,937
Foreign currency translation	-	-	-	-	-	-
Balance, April 30, 2022	4,283	2,817	33,508	16	2,800	43,424

Accumulated depreciation
Balance, October 31, 2020	252	-	3,218	158	12	3,640
Depreciation	1,044	-	4,192	9	44	5,289
Disposal ^{(i) (ii)}	(89)	-	(291)	(158)	-	(538)
Foreign currency translation	(2)	-	(5)	-	-	(7)
Balance, October 31, 2021	1,205	-	7,114	9	56	8,384
Depreciation	1,554	83	3,371	5	108	5,121
Foreign currency translation	1	-	-	-	-	1
Balance, April 30, 2022	2,760	83	10,485	14	164	13,506

Balance, October 31, 2021	1,895	-	20,110	7	2,744	24,756
Balance, April 30, 2022	1,523	2,734	23,023	2	2,636	29,918


	Software	Licenses	Brand Name	Goodwill	Total
Cost	$	$	$	$	$
Balance, October 31, 2020	2,282	9,976	1,502	6,061	19,821
Additions	150	-	-	-	150
Additions from business combinations (Note 3)	7,217	37,406	19,552	73,812	137,987
Disposals ⁽ⁱ⁾	-	(1,230)	-	-	(1,230)
Impairment loss ⁽ⁱⁱ⁾	-	(1,390)	-	-	(1,390)
Foreign currency translation	(186)	-	21	73	(92)
Balance, October 31, 2021	9,463	44,762	21,075	79,946	155,246
Additions and reclasses	265	(185)	336	162	578
Additions from business combinations (Note 3)	211	-	10,168	30,853	41,232
Impairment loss	(89)	-	-	-	(89)
Foreign currency translation	157	-	189	677	1,024
Balance, April 30, 2022	10,007	44,577	31,768	111,638	197,990

Accumulated depreciation
Balance, October 31, 2020	606	1,188	-	-	1,794
Amortization	1,215	10,161	-	-	11,376
Disposals	-	(160)	-	-	(160)
Foreign currency translation	(44)	-	-	-	(44)
Balance, October 31, 2021	1,777	11,189	-	-	12,966
Amortization	1,115	5,505	-	-	6,620
Foreign currency translation	15	-	-	-	15
Balance, April 30, 2022	2,907	16,694	-	-	19,601

Balance, October 31, 2021	7,686	33,573	21,075	79,946	142,280
Balance, April 30, 2022	7,100	27,883	31,768	111,638	178,389


	April 30, 2022	October 31, 2021
	$	$
Deposits on cannabis retail outlets	1,278	996
Prepaid insurance and other	4,710	3,352
Prepayment on inventory	4,995	4,252
Total	10,983	8,600
Less current portion	(8,483)	(6,919)
Long-term	2,500	1,681


As at	April 30, 2022	October 31, 2021
	$	$
Term loan ⁽ⁱ⁾	208	233
Loans receivable ⁽ⁱⁱ⁾	1,348	1,242
Halo - Note receivable ⁽ⁱⁱⁱ⁾	1,616	1,522
Total	3,172	2,997
Less current portion	(335)	(277)
Long-term	2,837	2,720


	Three months ended April 30		Six months ended April 30
	2022	2021	2022	2021
	$	$	$	$
Accretion convertible debt	397	1,016	816	1,820
Interest on convertible debt	—	129	—	1,150
Accretion on notes payable	423	625	528	736
Interest on notes payable	124	496	510	793
Accretion of lease liability	597	572	1,253	1,041
Transaction costs	669	889	1,563	2,470
Total	2,210	3,727	4,670	8,010


Common shares:
	Number of shares	Amount
	#	$
Balance, October 31, 2020	240,090,196	32,552
Acquisition - Meta Growth (Note 3)	196,063,610	35,290
Acquisition - Smoke Cartel, Inc. (Note 3)	9,540,754	8,396
Acquisition - FAB Nutrition (Note 3)	6,151,915	3,439
Escrow share based compensation (Note 3)	9,002,194	5,804
Issued to pay fees via shares	1,480,099	467
Issued to pay interest via shares	8,077,940	1,458
Shares issued through equity financing	47,916,665	18,293
Exercise convertible debt	146,960,503	40,532
Share issuance costs	-	(3,205)
Exercise options	2,498,160	817
Exercise warrants	22,208,027	10,677
Vested restricted share units	844,655	154
Balance, May 13, 2021 - pre-consolidation	690,834,718	154,674
Balance, May 13, 2021 - post-consolidation	46,055,653	154,674
Acquisition - Daily High Club (Note 3)	839,820	7,767
Acquisition - 102 Saskatchewan (Note 3)	254,518	2,018
Acquisiton - DankStop (Note 3)	612,087	5,013
Acqusition - Blessed CBD (Note 3)	607,064	4,432
Escrow share based compensation (Note 3)	529,487	3,866
Shares issued through equity financing	2,415,000	20,273
Exercise convertible debt	1,596,434	4,954
Share issuance costs	-	(2,390)
Exercise options	158,824	717
Exercise warrants	1,291,141	7,580
Balance, October 31, 2021	54,360,028	208,904
Acquisition - FABCBD	-	313
Acquisition - NuLeaf (Note 3)	4,429,809	35,285
Issuance of shares through ATM	1,466,510	8,216
Share issuance costs	-	(123)
Exercise options	53,000	526
Exercise warrants	530,423	4,052
Vested restricted share units	17,500	118
Acquisition - Bud Room Inc. (Note 3)	674,650	3,738
Acquisition - 2080791 Alberta Ltd. (Note 3)	443,301	2,199
Acquisition - Crossroads Cannabis (Note 3)	378,079	1,732
Issued to pay fees via shares	15,122	100
Balance, April 30, 2022	62,368,422	265,060



	April 30, 2022		October 31, 2021
	Number of	Weighted Average	Number of	Weighted Average
	options	Exercise Price ($)	options	Exercise Price ($)
Balance, beginning of period	1,906,129	6.51	620,666	7.50
Granted	290,622	6.61	2,058,885	6.12
Forfeited	(92,336)	6.61	(448,051)	9.51
Exercised	(53,000)	5.83	(325,371)	3.73
Balance, end of period	2,051,415	6.54	1,906,129	7.50
Exercisable, end of period	953,988	6.55	596,666	7.55


					Weighted
	Number of	Warrants	Derivative	Weighted	average
	warrants	amount	liability	average	number of	Expiry dates
			amount	exercise price	years to
					expiry
	#	$	$	$
Opening balance, November 1, 2020	131,064,114	5,796	266	0.4159	2.07
Issued warrants for acquisition - Meta	741,600	3	-	1.3110	-
Issued warrants for acquisition - Meta	40,076,411	2,616	-	0.3520	0.49	February 6, 2023
Issued warrants for acquisition - Meta	4,120,000	120	-	1.1040	0.06	April 11, 2023
Revaluation of derivative liability	—	—	11,697	—	-	December 31, 2022
Warrants issued - equity financing	27,878,919	6,210	-	0.5800	0.55	February 22, 2024
Warrants issued - equity financing	21,207,720	3,546	-	0.8167	0.03	May 26, 2024
Warrants cancelled or expired	(59,578,382)	(5,457)	-	—	—
Warrants exercised	(54,268,198)	(2,110)	(10,270)	—	—
Balance October 31, 2021	111,242,184	10,724	1,693	0.5739	2.01
Revaluation of derivative liability	-	-	220	—	—
Warrants cancelled or expired	(17,364,621)	(273)	-	—	—
Warrants exercised	(7,956,345)	(6)	(1,913)	—	—
Balance April 30, 2022	85,921,218	10,445	—	0.5818	1.41


	Three months ended		Six months ended
	April 30,		April 30,
	2022	2021	2022	2021
	$	$	$	$
Net loss for the period	(8,277)	(12,266)	(15,629)	(29,111)
Non-controlling interest portion of net loss	(28)	(66)	(621)	(91)
Net loss for the period attributable to owners of the Company	(8,305)	(12,332)	(16,250)	(29,202)
	#	#	#	#
Weighted average number of common shares - basic and diluted	60,050,211	41,320,861	59,027,190	33,938,265
Basic and Diluted loss per share	(0.14)	(0.30)	(0.28)	(0.86)


		The following table reconciles the fair value of Level III instruments:
		$
Balance at November 1, 2020		—
Contingent consideration from acquisition of Smoke Cartel		1,319
Put obligation liability from acquisition of FABCBD		3,722
Put obligation liability from acquisition of Blessed CBD		4,323
Loss included in 'Loss on revaluation of derivative liability'		577
Balance at October 31, 2021		9,941
Put obligation liability from acquisition of NuLeaf Naturals		8,326
Gain included in 'Gain on revaluation of derivative liability'		(1,426)
Balance at April 30, 2022		16,842

Sensitivity Analysis
		$
Expected cash flows (10% movement)		1,045


	Contractual cash flows	Less than one year	1-3 years	3-5 years	Greater than 5 years
	$	$	$	$	$
October 31, 2021
Accounts payable and accrued liabilities	18,532	18,532	-	-	-
Notes payable	17,493	5,600	78	11,755	60
Derivative liability	11,673	9,980	1,693	-	-
Convertible debentures	8,163	946	-	7,217	-
Undiscounted lease obligations	35,201	8,454	12,773	6,382	7,592
Total	91,062	43,512	14,544	25,354	7,652
April 30, 2022
Accounts payable and accrued liabilities	25,748	25,748	-	-	-
Notes payable	21,248	9,248	11	11,989	-
Derivative liability	16,842	8,207	8,635	-	-
Convertible debentures	7,143	-	-	7,143	-
Undiscounted lease obligations	37,792	8,922	13,813	7,205	7,852
Total	108,773	52,125	22,459	26,337	7,852


(Canadian dollar equivalent amounts of US dollar and Euro balances)	April 30, 2022	April 30, 2022	April 30, 2022	April 30, 2022	October 31,
	(GBP)	(Euro)	(USD)	Total	2021
	$	$	$	$	$
Cash	1,338	140	5,187	6,665	4,032
Accounts receivable	381	4	695	1,080	889
Accounts payable and accrued liabilities	(269)	(628)	(7,787)	(8,684)	(4,406)
Net monetary assets	1,450	(484)	(1,905)	(939)	515


	Canada	Canada	USA	USA	International	International	Total	Total
For the three months ended April 30,	2022	2021	2022	2021	2022	2021	2022	2021
	($)	($)	($)	($)	($)	($)	($)	($)
Total revenue	63,456	35,030	15,937	5,668	1,638	170	81,031	40,868
Gross profit	13,922	12,389	8,756	4,003	16	(1,394)	22,694	14,998
(Loss) income from operations	(8,420)	(5,199)	322	1,179	520	(491)	(7,578)	(4,511)


	Canada	Canada	USA	USA	International	International	Total	Total
For the six months ended April 30,	2022	2021	2022	2021	2022	2021	2022	2021
	($)	($)	($)	($)	($)	($)	($)	($)
Total revenue	115,898	69,231	33,381	9,577	3,970	379	153,249	79,187
Gross profit	25,874	25,373	17,147	4,222	2,655	171	45,676	29,766
(Loss) income from operations	(17,155)	(7,688)	1,460	1,065	1,970	67	(13,725)	(6,556)

Total assets	171,988	174,127	115,746	17,233	14,305	8,710	302,039	200,070
Total liabilities	90,641	88,260	21,512	3,676	1,138	1,562	113,291	93,498


Right of use assets
		$
Balance at October 31, 2021		27,985
Net additions		5,334
Depreciation expense for the period		(2,997)
Balance at April 30, 2022		30,322


Lease Liabilities
		$
Balance at October 31, 2021		29,773
Net additions		5,596
Cash outflows in the period		(4,172)
Accretion (Interest) expense for the period ended		1,253
Balance at April 30, 2022		32,450
Current		(7,427)
Non-current		25,023


	Three months ended April 30			Six months ended April 30
	2022	2021	Change	2022	2021	Change
	$	$		$	$
Revenue	81,031	40,868	98%	153,249	79,187	94%
Gross Profit	22,694	14,998	51%	45,676	29,766	53%
Gross Profit Margin	28%	37%	(9%)	30%	38%	(8%)
Total Operating Expenses	(30,272)	(19,509)	55%	(59,401)	(36,322)	64%
Adjusted EBITDA ⁽ⁱ⁾	2,402	4,720	(49%)	5,357	9,322	(43%)
Net loss from Operations	(7,578)	(4,511)	68%	(13,725)	(6,556)	109%
Net loss	(8,277)	(12,266)	(33%)	(15,629)	(29,111)	(46%)
Loss per share (Basic)	(0.14)	(0.30)	(53%)	(0.28)	(0.86)	(68%)


(C$ in thousands, except per	Q2	Q1	Q4	Q3	Q2	Q1	Q4	Q3
share amounts)	2022	2022	2021	2021	2021	2021	2020	2020
Revenue	81,031	72,218	53,867	48,069	40,868	38,319	24,876	24,104
Adjusted EBITDA ⁽ⁱ⁾	2,402	2,955	1,642	1,540	4,720	4,602	3,626	3,397
(Loss) income from Operations	(7,578)	(6,147)	(4,851)	(7,267)	(4,511)	(2,045)	1,333	1,624
Net (loss) income	(8,277)	(7,352)	(4,176)	(1,750)	(12,266)	(16,845)	(1,324)	3,827
Net (loss) income per share (Basic and Diluted) ⁽ⁱⁱ⁾	(0.14)	(0.14)	(0.09)	(0.03)	(0.30)	(0.62)	(0.46)	0.25


	2022⁽ⁱ⁾		2021⁽ⁱⁱ⁾				2020⁽ⁱⁱⁱ⁾
	Q2	Q1	Q4	Q3	Q2	Q1	Q4	Q3
Net (loss) income	(8,277)	(7,352)	(4,176)	(1,750)	(12,266)	(16,845)	(1,324)	3,827
Income tax (recovery) expense	(800)	(1,064)	(1,418)	224	(124)	588	(165)	316
Accretion and interest	1,541	1,551	1,515	1,095	2,838	2,702	573	2,456
Depreciation and amortization	7,627	7,111	1,458	8,299	7,714	6,094	2,213	1,771
EBITDA	91	246	(2,621)	7,868	(1,838)	(7,461)	1,297	8,370
Foreign exchange loss (gain)	107	97	473	(28)	5	89	(64)	4
Transaction and acquisition costs	669	909	483	1,939	889	1,581	1,729	193
Debt restructuring gain	—	—	—	—	—	(1,145)	—	—
Inventory write- off	—	—	—	—	—	—	252	—
(Gain) loss revaluation of derivative liability	(728)	(525)	(1,564)	(5,919)	3,988	10,484	706	67
Loss on settlement of convertible debenture	(133)	18	—	—	—	—	142	—
Loss (gain) on extinguishment of debenture	—	—	73	—	—	516	(418)	(3,576)
Impairment loss	—	89	2,676	57	—	—	458	—
Share-based compensation	2,353	1,902	2,301	508	1,517	553	28	2
Loss (gain) on revaluation of marketable securities	43	219	291	112	159	(15)	—	(1,663)
Gain on extinguishment of financial liability	—	—	(161)	—	—	—	(505)	—
Gain on disposal of property and equipment	—	—	(309)	(2,997)	—	—	—	—
Adjusted EBITDA	2,402	2,955	1,642	1,540	4,720	4,602	3,625	3,397