Media coverage of the cannabis sector these days would lead you to think that nobody in the industry makes any money, yet nothing could be further from the truth. There are many profitable companies out there, and others a stone’s throw away.
One of those companies is Las Vegas–based Planet 13 Holdings (CSE:PLTH), whose retail footprint is truly beyond compare. But more on that in just a moment.
What makes Planet 13 successful in its Nevada home market is simple: vertical integration and high visibility. This means the company can grow its own cannabis and make its own products for the wholesale, medical and retail markets. It sells its popular brands at its wholly owned store in Las Vegas, as well as at dispensaries owned by others.
The company currently has three cultivation sites, plus three production facilities to make edibles and other products. But its biggest claim to fame is the SuperStore dispensary, the Planet 13 Cannabis Entertainment Complex located not far from the famous Las Vegas Strip.
At 112,000 square feet, the SuperStore is the biggest cannabis store in the world, attracting 1 million visitors and generating US$63 million in revenue in 2019. That represents about one in 10 cannabis sales in the state. Plans call for opening a second Las Vegas dispensary, as well as for launching Planet 13’s first retail location in California, in the first half of 2021.
Although the COVID-19 pandemic cut into SuperStore sales during springtime, the top line has since enjoyed a steady rebound. For the third quarter, which ended September 30, revenue is expected to be $22.8 million, representing a 110% increase over the previous quarter.
Public Entrepreneur discussed the state of operations, effects from COVID-19 and growth plans with Planet 13 Co-Chief Executive Officer Bob Groesbeck.
Operating the largest cannabis