XS Financial Reports First Quarter 2024 Results

XS Financial Inc., a specialty finance company focused on CAPEX and equipment financing for cannabis companies in the U.S., reported its financial results for the first quarter ending March 31, 2024. The company announced net distributable earnings of $275,000.

Revenue for Q1 2024 decreased by 6% year-over-year to $2.7 million due to a reduction in new leases. Gross lease receivables also saw a 9% decrease, totaling $96.2 million.

Operating expenses dropped significantly by 61% to $913,457, primarily due to reductions in non-cash incentive compensation. Other expenses also declined by 36%, mainly due to reduced non-cash accretion and financing expenses.

Net income for the quarter improved to $217,349 compared to a net loss of $1,987,809 in the first quarter of 2023. The number of active leases rose to 234, reflecting steady business activity.

CEO David Kivitz expressed optimism about future growth and operational efficiencies, highlighting the company’s strong liquidity position with $26 million available from a $54 million line of credit.