It's been a great year so far for Curaleaf Holdings (OTC:CURLF). Its stock is up 90% year to date. And the Massachusetts-based company managed to get its cannabidiol (CBD) products on the shelves of big pharmacy retailer CVS Health (NYSE: CVS).

Investors found out how well Curaleaf's business performed in the first quarter, with the company providing its earnings update after the market closed on Thursday. Here's what you need to know about the Curaleaf's Q1 results.

Marijuana field in daylight.

Image source: Getty Images.

By the numbers

Curaleaf's top-line performance improved in the first quarter. Total revenue skyrocketed 288% year over year to $35.3 million. This reflected a quarter-over-quarter increase of 10%. 

The company announced a GAAP net loss of $10.9 million, or $0.02 per share, in the first quarter. This met the average estimate of analysts surveyed by Factset Research Systems (NYSE: FDS). Curaleaf reported a GAAP net loss of $3.4 million, or $0.01 per share, in the first quarter of 2018.

In addition, Curaleaf posted an adjusted EBITDA loss of $3.7 million in Q1. In the prior-year period, the company had an adjusted EBITDA loss of $2 million.

Curaleaf ended the first quarter with cash, cash equivalents, and short-term investments of $172.6 million. This was a decrease from the $266.6 million on hand as of March 31.

Behind the numbers

The company's impressive revenue increase stemmed primarily from stronger retail and wholesale cannabis sales. This sales growth came mainly from Curaleaf's acquisitions last year plus its new dispensaries in Florida and New York that opened in Q1.

Curaleaf's deteriorating bottom line was largely due to two factors. The company reported an increase of $5 million in noncash depreciation and amortization and share-based compensation expense during the first quarter. It also had higher net interest expenses of $4.3 million.

In addition to reporting its financial results, Curaleaf highlighted several key developments during and subsequent to the first quarter. These include:

  • Opened seven new dispensaries in Florida, Maryland, and New York
  • Announced the acquisition of leading cannabis wholesale company Select
  • Acquired the option to buy Ohio Grown Therapies' medical cannabis cultivation and processing licenses and facility
  • Completed the acquisition of rights to operate Absolute Healthcare's Emerald dispensary in Gilbert, Arizona
  • Completed the acquisition of California-based Eureka

Looking ahead

One of the main things to watch with Curaleaf is the company's efforts to integrate businesses picked up in its buying spree. Curaleaf CEO Joseph Lusardi said that these deals provide "substantial opportunities to accelerate revenue growth, achieve significant cost savings and expand overall margins."

That accelerated revenue growth probably won't happen in the second quarter, though. CFO Neil Davidson stated that the company expects faster growth in the second half of 2019. Curaleaf has a lot of work to do as it builds out is national operations.