StateHouse Reports First Quarter 2023 Financial Results

Q1 2023 revenue increased 43% to $24.7 million with a 98% improvement in gross profit before biological asset adjustments to $10.9 million

Q1 2023 operating expenses decreased $3.0 million from the previous quarter

Expanded retail footprint with the opening of 14^th California dispensary located in West Hollywood

Conference call to be held today, May 31, 2023, at 8:30 a.m. ET

SAN DIEGO and TORONTO, May 31, 2023 (GLOBE NEWSWIRE) -- StateHouse Holdings Inc. (“StateHouse” or the “Company”) (CSE: STHZ) (OTCQX: STHZF), a California-focused, vertically integrated cannabis enterprise, today announced its financial results for the three-month period ended March 31, 2023 (“Q1 2023”), and provided additional business updates. The unaudited condensed interim consolidated financial statements for Q1 2023, as well as the corresponding management’s discussion and analysis are available for download from the Company’s investor website, statehouseholdings.com, and on the Company’s SEDAR profile. Unless otherwise indicated, all dollar amounts in this press release are denominated in U.S. currency.

Management Commentary

“We're off to a fantastic start in 2023,” said Ed Schmults, Chief Executive Officer of StateHouse. “Our focus remains on driving unparalleled customer satisfaction and loyalty through innovative product offerings and one of the most valuable customer loyalty programs in the industry. We truly understand the value-conscious mindset of today’s consumers and are excited to bring initiatives that will benefit them, such as the TOPS loyalty program and our brand-new line of Liquid Diamond Infused Pre-Rolls. These pocket-friendly packs of three come at an incredibly consumer-friendly price, further enhancing our commitment to delivering exceptional value.”

“We were thrilled to expand our retail footprint in the California market with the opening of our highly anticipated West Hollywood Urbn Leaf location on the iconic sunset strip. The Company is managing the Urbn-Leaf branded retail location through a management service agreement. This location boasts a knowledgeable staff providing premium service and high-quality products for both the adult-use and medical consumer communities. With a meticulously curated selection of flower, pre-rolls, edibles, and accessories, we have experienced an incredibly positive customer response in its first few months of operations.”