INCR Earnings Prediction
The chart below shows how INCR performed 10 days before and after its earnings report, based on data from the past quarters. Typically, INCR sees a +17.24% change in stock price 10 days leading up to the earnings, and a +19.21% change 10 days following the report. On the earnings day itself, the stock moves by +1.00%. This data can give you a slight idea of what to expect for the next quarter's release.
INCR Key Earning Data
INCR Earnings Analysis
Positive
Positive Point: InterCure had a successful year in 2022, achieving record revenues of $150 million with adjusted EBITDA of $32 million, demonstrating profitable growth and strong financial performance.
- Revenue growth of 77% compared to the previous year, despite a slowdown in new patient procurement in Israel during the first half of 2022.
- Gross profit increased to over $60 million, representing 41% of revenue, and adjusted EBITDA increased to $32 million, representing 22% of revenues.
- Net profits after tax were just under $70 million, generating $20 million cash flow from operations, and ending the year with $95 million cash in hand.
Positive Point: InterCure positioned itself as the largest, fastest-growing, and profitable cannabis company outside North America, showcasing strong dedication to excellence and successful execution.
- Executed well on all fronts and solidified the company's position in the cannabis market, with successful implementation of skilled professional decisions, capital investments, and strategic legal and regulatory victories.
- Maintained a leading share organically and inorganically, proving the strength of the platform and readiness for future growth opportunities.
- Successfully scaled up the upstream operations by upgrading cultivation facilities and introducing highly demanded strains, becoming the first company to meet strict new 109 protocol and resume importation.
Positive Point: InterCure expanded its vertically integrated platform, adding eight new locations to its dedicated medical cannabis pharmacy chain, and reported record revenue for the fourth quarter of 2022.
- Expanded the pharmacy chain to include 28 locations, with 20 actively dispensing medical cannabis and two international locations.
- Achieved a record fourth-quarter revenue of $41 million, reflecting increased market share, growing patient demand, and the strength of the medical cannabis dispensing operations.
Positive Point: InterCure's financial discipline and solid balance sheet position the company well for future growth and global expansion opportunities.
- Ended the year with $95 million cash in hand and a solid balance sheet, generating positive cash flow from operations of $20 million and financing about 70% of CapEx with long-term loans from Tire 1 banks in Israel.
- Positioned to continue executing profitable growth strategy, leveraging the foundation and leadership built over the years to capitalize on global expansion and consolidation opportunities.
Negative
Negative:
- Slowdown in new patient procurement in Israel during the first half of 2022 due to the loss of prescribing physicians is a concern for market growth
- Market conditions saw financially struggling companies exiting, impacting ultra-medical and legacy products
- Gross margin for the first quarter of 2022 decreased to 35%, influenced by market weakness affecting many industry players
- Adjusted EBITDA for the first quarter of 2022 slightly decreased compared to the third quarter, indicating challenges in maintaining performance amidst market dynamics
- While revenue growth was significant, the impact of struggling companies selling lower quality products at reduced prices affected the market landscape
INCR FAQs
How does INCR typically perform around its earnings report dates?
INCR's stock performance around earnings reports can vary, but historical data shows specific patterns, such as a +17.24% change leading up to the report and a +19.21% change in the 10 days following the release.
