Published on 24 Nov 2023 on Simply Wall St. via Yahoo Finance
SNDL Inc.'s (NASDAQ:SNDL) Shift From Loss To Profit
With the business potentially at an important milestone, we thought we'd take a closer look at SNDL Inc.'s (NASDAQ:SNDL) future prospects. SNDL Inc. engages in the production, distribution, and sale of cannabis products in Canada. The US$386m market-cap company posted a loss in its most recent financial year of CA$335m and a latest trailing-twelve-month loss of CA$211m shrinking the gap between loss and breakeven. The most pressing concern for investors is SNDL's path to profitability – when will it breakeven? Below we will provide a high-level summary of the industry analysts’ expectations for the company.
View our latest analysis for SNDL
According to the 2 industry analysts covering SNDL, the consensus is that breakeven is near. They expect the company to post a final loss in 2024, before turning a profit of CA$6.5m in 2025. So, the company is predicted to breakeven approximately 2 years from now. In order to meet this breakeven date, we calculated the rate at which the company must grow year-on-year. It turns out an average annual growth rate of 73% is expected, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.