TerrAscend raises annual sales forecast on weed demand, store expansion

May 19 (Reuters) - U.S. cannabis producer TerrAscend Corp raised its full-year sales forecast on Wednesday as the opening of more retail stores and stronger demand for weed products helped drive a two-fold jump in quarterly revenue.

Cannabis demand increased last year as many Americans turned to weed during COVID-19 lockdowns for entertainment and relaxation. The industry is now benefiting from a wave of legalization that has swept many key U.S. states in recent months.

TerrAscend said it expected sales to exceed $300 million this year, up from $290 million previously. It forecast annual adjusted earnings before interest, taxes, depreciation, and amortization to be more than $128 million.

“We continue to see the benefits from recently completed cultivation expansions, and the addition of retail locations in New Jersey, Pennsylvania and Maryland,” Executive Chairman Jason Wild said in a statement.

The company, which also has operations in California, said net sales rose to $53.4 million in the three months ended March 31, from $25.9 million a year earlier.

Reporting by Rithika Krishna in Bengaluru; Editing by Aditya Soni