PLNHF Planet 13 Holdings Inc (QX)

USE OF NAMES AND CURRENCY

 

In this Quarterly Report on Form 10-Q, unless the context otherwise requires, the terms “we,” “us,” “our,” “Company,” or “Planet 13” refer to Planet 13 Holdings Inc. together with its wholly-owned subsidiaries.

 

Unless otherwise indicated, all references to “$,” “US$” or “USD” in this Quarterly Report on Form 10-Q refer to United States dollars, and all references to “C$,” "CAD$," or “CAD” refer to Canadian dollars.

 

IMPLICATIONS OF BEING AN EMERGING GROWTH COMPANY

 

As a company with less than $1.235 billion in revenue during our most recently completed fiscal year, we qualify as an “emerging growth company” as defined in Section 2(a) of the Securities Act of 1933, as amended, which we refer to as the “Securities Act,” as modified by the Jumpstart Our Business Startups Act of 2012, or the “JOBS Act.” As an emerging growth company, we may take advantage of specified reduced disclosure and other exemptions from requirements that are otherwise applicable to public companies that are not emerging growth companies. These provisions include:

 

	●	Reduced disclosure about our executive compensation arrangements;
	●	Exemptions from non-binding shareholder advisory votes on executive compensation or golden parachute; and
	●	Exemption from auditor attestation requirement in the assessment of our internal control over financial reporting.

 

We will remain an emerging growth company until the earliest of (i) the last day of the year in which we have total annual gross revenue of $1.235 billion or more; (ii) the last day of the year following the fifth anniversary of the first sale of the common equity securities pursuant to an effective registration under the Securities Act; (iii) the date on which we have issued more than $1.0 billion in nonconvertible debt during the previous three years; or (iv) the date on which we are deemed to be a large accelerated filer under the rules of the Securities and Exchange Commission.

 

In addition, the JOBS Act provides that an emerging growth company can take advantage of an extended transition period for complying with new or revised accounting standards. This provision allows an emerging growth company to delay the adoption of some accounting standards until those standards would otherwise apply to private companies. We have elected to use this extended transition period for complying with new or revised accounting standards that have different effective dates for public and private companies until the earlier of the date we (i) are no longer an emerging growth company or (ii) affirmatively and irrevocably opt out of the extended transition period provided in the JOBS Act.

 

DISCLOSURES REGARDING FORWARD-LOOKING STATEMENTS

 

This Quarterly Report on Form 10-Q includes “forward-looking information” and “forward-looking statements” within the meaning of applicable Canadian securities laws and United States securities laws. All information, other than statements of historical facts, included in this Quarterly Report on Form 10-Q that addresses activities, events or developments that we expect or anticipate will or may occur in the future is forward-looking information. Forward-looking information is often identified by the words “may,” “would,” “could,” “should,” “will,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “expect” or similar expressions and includes, among others, information regarding: our strategic plans and expansion and expectations regarding the growth of the California cannabis market; statements relating to the business and future activities of, and developments related to, us after the date of this Quarterly Report on Form 10-Q, including such things as future business strategy, competitive strengths, goals, expansion and growth of our business, operations and plans, new revenue streams, the completion by us of contemplated acquisitions of additional real estate, cultivation and licensing assets, the roll out of new dispensaries, the application for additional licenses and the grant of licenses or renewals of existing licenses that have been applied for, the expansion of existing cultivation and production facilities, the completion of cultivation and production facilities that are under construction, the construction of additional cultivation and production facilities, the expansion into additional U.S. markets, any potential future legalization of adult-use and/or medical cannabis under U.S. federal law; expectations of market size and growth in the United States and the states in which we operate or contemplate future operations; expectations for other economic, business, regulatory and/or competitive factors related to us or the cannabis industry generally; the timing and completion of a plan of arrangement for the Company to domesticate from British Columbia to the State of Nevada; and other events or conditions that may occur in the future.

 

 

Readers are cautioned that forward-looking information and statements are not based on historical facts but instead are based on reasonable assumptions and estimates of our management at the time they were provided or made and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, as applicable, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information and statements. Such factors include, among others, our actual financial position and results of operations differing from management’s expectations; our business model; a lack of business diversification; increasing competition in the industry; public opinion and perception of the cannabis industry; expected significant costs and obligations; current reliance on limited jurisdictions; development of our business; access to capital; risks relating to the management of growth; risks inherent in an agricultural business; risks relating to energy costs; risks related to research and market development; risks related to breaches of security at our facilities; reliance on suppliers; risks relating to the concentrated voting control of the Company; risks related to our being a holding company; risks related to service providers withdrawing or suspending services under threat of prosecution; risks related to proprietary intellectual property and potential infringement by third parties; risks of litigation relating to intellectual property; negative clinical trial results; insurance related risks; risk of litigation generally; risks associated with cannabis products manufactured for human consumption, including potential product recalls; risks relating to being unable to attract and retain key personnel; risks relating to obtaining and retaining relevant licenses; risks relating to integration of acquired businesses; risks related to quantifying our target market; risks related to industry growth and consolidation; fraudulent activity by employees, contractors and consultants; cyber-security risks; conflicts of interest; risks related to reputational damage in certain circumstances; leased premises risks; U.S. regulatory landscape and enforcement related to cannabis, including political risks; heightened scrutiny by Canadian regulatory authorities; risks related to capital raising due to heightened regulatory scrutiny; risks related to tax liabilities; risks related to U.S. state and local law and regulations; risks related to access to banks and credit card payment processors; risks related to potential violation of laws by banks and other financial institutions; ability and constraints on marketing products; risks related to lack of U.S. federal trademark and patent protection; risks related to the enforceability of contracts; the limited market for our securities; difficulty for U.S. holders of Common Shares to resell over the Canadian Securities Exchange; price volatility of Common Shares; uncertainty regarding legal and regulatory status and changes; risks related to legislation and cannabis regulation in the states in which we operate or contemplate future operations; future sales by shareholders; no guarantee regarding use of available funds; currency fluctuations; risks related to entry into the U.S; risks related to economic and regulatory factors which would preclude the Company from completing a continuance from British Columbia to Nevada; and other factors beyond our control, as more particularly described under the heading “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2022.

 

Readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which may have been used. Although we have attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such forward-looking information and statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such information and statements. Accordingly, readers should not place undue reliance on forward-looking information and statements. The forward-looking information and statements contained herein are presented for the purposes of assisting readers in understanding our expected financial and operating performance and our plans and objectives and may not be appropriate for other purposes.

 

The forward-looking information and statements contained in this Quarterly Report on Form 10-Q represent our views and expectations as of the date of this Quarterly Report on Form 10-Q. We anticipate that subsequent events and developments may cause our views to change. However, while we may elect to update such forward-looking information and statements at a future time, we have no current intention of doing so except to the extent required by applicable law.

 

 

PART I—FINANCIAL INFORMATION

 

Item 1. Financial Statements.

 

PLANET 13 HOLDINGS INC. Interim Condensed Consolidated Balance Sheets (Unaudited, In United States Dollars)

 

 

PLANET 13 HOLDINGS INC. Interim Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited, in United States Dollars)

 

 

PLANET 13 HOLDINGS INC. Interim Condensed Consolidated Statements of Changes in Shareholders’ Equity (Unaudited, in United States Dollars, except Share Amounts)

 

 

PLANET 13 HOLDINGS INC. Interim Condensed Consolidated Statements of Cash Flows (Unaudited, In United States Dollars)

 

 

 

PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

1. Nature of Operations

 

Planet 13 Holdings Inc. (“Planet 13” or the “Company”) was incorporated under the Canada Business Corporations Act on April 26, 2002 and continued under the British Columbia Business Corporations Act on September 24, 2019 (see Note 20 - Subsequent Events regarding the Company's proposed re-domestication to Nevada).

 

The Company, through its subsidiaries, is a vertically integrated cultivator and provider of cannabis and cannabis-infused products that is licensed under the laws of the States of Nevada, California, Florida, and Illinois. We are licensed in these jurisdictions as follows: six Nevada cultivation licenses (three medical and three adult-use), six Nevada production licenses (three medical and three adult-use), three Nevada dispensary licenses (one medical and two adult-use), one Nevada distribution license, one California adult-use dispensary license, two California distribution licenses, one California adult-use cultivation license, one California adult-use manufacturer license, one Florida Medical Marijuana Treatment Center license (unlimited medical dispensaries, cultivation and processing) and one Illinois conditional adult-use dispensary license. 

 

Planet 13 is a public company with common shares listed on the Canadian Securities Exchange (“CSE”) under the symbol PLTH and quoted on the OTCQX exchange under the symbol “PLNHF”.

 

The Company’s registered office is located at Bentall 5, 550 Burrard Street, Suite 2501, Vancouver, BC V6C 285, and the head office address is 2548 W. Desert Inn Road, Las Vegas, NV 89109.

 

While cannabis and CBD-infused products are legal under the laws of several U.S. states (with varying restrictions applicable), the United States Federal Controlled Substances Act classifies all “marijuana” as a Schedule I drug, whether for medical or recreational use. Under U.S. federal law, a Schedule I drug or substance has a high potential for abuse, no accepted medical use in the United States, and a lack of safety for use under medical supervision.

 

The federal government currently is prohibited from prosecuting businesses that operate in compliance with applicable state and local medical cannabis laws and regulations; however, this does not protect adult use cannabis. In addition, if the federal government changes this position, it would be financially detrimental to the Company.

2. Basis of Presentation

 

These unaudited condensed consolidated interim financial statements reflect the accounts of the Company and have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) for all periods presented. Certain information and footnote disclosures normally included in the audited annual consolidated financial statements prepared in accordance with GAAP have been omitted or condensed. The information included in these unaudited interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes as of and for the year ended  December 31, 2022 included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. These unaudited interim condensed consolidated financial statements reflect all adjustments (consisting of normal recurring adjustments), which, in the opinion of management, are necessary for the fair presentation of the results for the interim periods presented. Interim results are not necessarily indicative of results for a full year.

 

These unaudited interim condensed consolidated financial statements have been prepared on a going concern basis, which assumes that the Company will continue in operation for the foreseeable future and, accordingly, will be able to realize its assets and discharge its liabilities in the normal course of operations as they come due.

 

Failure to arrange adequate financing on acceptable terms and/or achieve profitability may have an adverse effect on the financial position, results of operations, cash flows and prospects of the Company. These unaudited interim condensed consolidated financial statements do not give effect to adjustments to assets or liabilities that would be necessary should the Company be unable to continue as a going concern. Such adjustments could be material. These unaudited interim condensed consolidated financial statements are presented in U.S. dollars, which is also the Company’s and its subsidiaries’ functional currency.

 

These unaudited condensed consolidated interim financial statements were authorized for issuance by the Board of Directors of the Company on August 9, 2023. 

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

 

i)	Basis of consolidation

 

These accompanying unaudited condensed consolidated interim financial statements include the accounts of the Company and all subsidiaries. Subsidiaries are entities in which the Company has a controlling voting interest or is the primary beneficiary of a variable interest entity. Subsidiaries are fully consolidated from the date control is transferred to the Company and are deconsolidated from the date control ceases. All intercompany accounts and transactions have been eliminated upon consolidation. The unaudited condensed consolidated interim financial statements include all the assets, liabilities, revenues, expenses and cash flows of the Company and its subsidiaries after eliminating intercompany balances and transactions.

 

These unaudited condensed consolidated interim financial statements include the accounts of the Company and the following entities which are subsidiaries of the Company:

 

Subsidiaries as at June 30, 2023		Jurisdiction of Incorporation		Ownership Interest 2023		Ownership Interest 2022		Nature of Business
MM Development Company, Inc. ("MMDC")		Nevada, USA		100%		100%		Nevada license holding company; vertically integrated cannabis operations
BLC Management Company LLC		Nevada, USA		100%		100%		Management/holding company
LBC CBD LLC ("LBC")		Nevada, USA		100%		100%		CBD retail sales and marketing
Newtonian Principles Inc.		California, USA		100%		100%		California license holding company; cannabis retail sales
Crossgate Capital U.S. Holdings Corp.		Nevada, USA		100%		100%		Holding company
Next Green Wave, LLC		California, USA		100%		100%		California license holding company; cannabis cultivation and processing
Planet 13 Illinois, LLC		Illinois, USA		100%		49%		Illinois license holding company
BLC NV Food, LLC		Nevada, USA		100%		100%		Holding company for By The Slice LLC
By The Slice, LLC		Nevada, USA		100%		100%		Subsidiary of BLC NV Food, LLC; restaurant and retail operations
Planet 13 Chicago, LLC		Illinois, USA		100%		100%		Holding company
Planet 13 Florida, Inc.		Florida, USA		100%		100%		Florida license holding company
Club One Three, LLC		Nevada, USA		100%		100%		Inactive

 

ii)	Functional currency

 

These unaudited condensed consolidated interim financial statements are presented in U.S. Dollars (“USD”), which is the Company’s and its subsidiaries’ functional currency.

 

Foreign currency transactions are remeasured to the respective financial currencies of the Company’s entities at the exchange rates in effect on the date of the transactions.  Monetary assets and liabilities denominated in foreign currencies are measured to functional currency at the foreign exchange rate applicable at the statement of balance sheets date.  Non-monetary items are carried at historical rates. Non-monetary items carried at face value denominated in foreign currencies are remeasured to the functional currency at the date when the fair value was determined.  Realized and unrealized foreign exchange gains and losses are recognized through profit or loss.

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

 

iii)	Emerging growth company

 

The Company is an “Emerging Growth Company”, as defined in Section 2(a) of the Securities Act of 1933, as amended (the “Securities Act”), as modified by the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”), and it has taken advantage of certain exemptions that are not applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the independent registered public accounting firm attestation requirements of Section 404 of the Sarbanes-Oxley Act, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and shareholder approval of any golden parachute payments not previously approved.

 

Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not has a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial reporting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public and private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard.

3. Inventory

 

Finished goods inventory consists of dried cannabis, concentrates, edibles, and other products that are complete and available for sale (both internally generated inventory and third-party products purchased in the wholesale market). Work in process inventory consists of cannabis after harvest, in the processing stage. Packaging and miscellaneous consist of consumables for use in the transformation of biological assets and other inventory used in the production of finished goods, non-cannabis merchandise and food and beverage items. The Company’s inventory is comprised of:

 

		June 30,				December 31,
		2023				2022
Raw materials		$	5,379,140			$	5,209,667
Packaging and miscellaneous			1,557,929				1,584,659
Work in progress			2,804,811				1,965,052
Finished goods			4,970,593				4,245,461
		$	14,712,473			$	13,004,839

 

Cost of Inventory is recognized as an expense when sold and included in the cost of goods sold. During the three and six months ended June 30, 2023, the Company recognized $13,950,477 and $27,983,062 (2022 - $14,587,723 and $27,381,114) of inventory expensed to cost of goods sold.

4. Prepaid Expenses and Other Current Assets

 

		June 30,				December 31,
		2023				2022
Security deposits		$	1,054,776			$	1,399,424
Prepaid rent			387,997				348,433
Insurance			394,306				678,402
License fees			749,545				776,717
Miscellaneous			262,214				607,418
		$	2,848,838			$	3,810,394

 

 

 

PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

5. Property and Equipment

 

		Land and												Leasehold				Construction
		Improvements				Buildings				Equipment				Improvements				in Progress				Total
Gross carrying amount
At December 31, 2022		$	6,374,511			$	13,963,025			$	12,799,645			$	63,555,792			$	3,528,703			$	100,221,676
Additions			210,830				1,979,925				647,450				468,885				947,345				4,254,435
Disposals			-				-				(97,043	)			-				-				(97,043	)
At June 30, 2023		$	6,585,341			$	15,942,950			$	13,350,052			$	64,024,677			$	4,476,048			$	104,379,068
Depreciation
At December 31, 2022		$	231,522			$	540,648			$	6,333,865			$	21,649,590			$	-			$	28,755,625
Additions			24,365				174,623				1,318,646				4,712,392				-				6,230,026
Disposals			-				-				(59,686	)			-				-				(59,686	)
At June 30, 2023		$	255,887			$	715,271			$	7,592,825			$	26,361,982			$	-			$	34,925,965
Carrying amount
At December 31, 2022		$	6,142,989			$	13,422,377			$	6,465,780			$	41,906,202			$	3,528,703			$	71,466,051
At June 30, 2023		$	6,329,454			$	15,227,679			$	5,757,227			$	37,662,695			$	4,476,048			$	69,453,103

 

As at June 30, 2023, costs related to the construction of facilities were capitalized as construction in progress and not depreciated. Once construction is completed, the construction in progress balance is moved to the appropriate fixed asset account and depreciation commences. The contractual construction commitment as of June 30, 2023 was $8,231,097 ( December 31, 2022 - $0).

 

For the six months ended June 30, 2023, depreciation expense was $6,230,026 (2022 - $5,316,191) of which $2,007,984 (2022 - $1,327,062) was included in cost of goods sold.

 

During the six months ended June 30, 2023, no amounts were transferred from Construction in Progress to the other fixed accounts.

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

6. Intangible Assets

 

		Retail Dispensary Santa Ana				Retail Dispensary Clark County				Cultivation and Production Clark County				Master License Florida				Cultivation Coalinga CA				Retail Dispensary Waukegan IL				Other				Total
Gross
carrying amount
Balance, December 31, 2022		$	6,151,343			$	690,000			$	709,798			$	55,846,866			$	6,232,222			$	-			$	30,000			$	69,660,229
Additions			-				-				-				-				-				1,812,656				-				1,812,656
Balance at June 30, 2023		$	6,151,343			$	690,000			$	709,798			$	55,846,866			$	6,232,222			$	1,812,656			$	30,000			$	71,472,885
Amortization
Balance, December 31, 2022		$	-			$	-			$	-			$	-			$	372,222			$	-			$	-			$	372,222
Additions			-				-				-				-				-								-				-
Balance at June 30, 2023		$	-			$	-			$	-			$	-			$	372,222			$	-			$	-			$	372,222
Carrying amount
Balance at December 31, 2022		$	6,151,343			$	690,000			$	709,798			$	55,846,866			$	5,860,000			$	-			$	30,000			$	69,288,007
Balance at June 30, 2023		$	6,151,343			$	690,000			$	709,798			$	55,846,866			$	5,860,000			$	1,812,656			$	30,000			$	71,100,663

 

NGW Acquisition

 

On March 2, 2022, the Company acquired 100% ownership interest of Next Green Wave Holdings, Inc. (“NGW”) and accounted for the transaction as a business combination acquisition pursuant to ASC 805.

 

NGW was incorporated in 2011 and was formed for the purpose of cultivating and selling cannabis products in the state of California, where it owns and operates a cultivation and manufacturing facility.  The Company executed the NGW transaction in order to introduce certain of its brands to the California market; complement its dispensary operations in Santa Ana, California; and expand its California revenue base.

 

The aggregate purchase price for the NGW transaction was $57,574,938 and consisted of $14,788 in cash consideration, $1,239,818 in replacement options and $56,320,332 in share consideration. The share consideration was comprised of 21,361,002 common shares of the Company at a fair value of $C3.34 per common share, which were issued on March 2, 2022.

 

The following table summarizes the allocation of consideration exchanged to the estimated fair value of tangible and intangible assets acquired:

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

 

Consideration paid:
Cash		$	14,788
Issuance of 21,361,002 Class A Shares			56,320,332
Issuance of 1,106,925 replacement options			1,239,818
		$	57,574,938
Fair value of net assets acquired:
Cash		$	1,493,922
Inventory			3,077,367
Accounts Receivable			1,374,142
Property, plant and equipment			16,229,350
Intangible assets			13,180,000
Goodwill			25,802,688
Accounts Payable and Accrued Liabilities			(233,158	)
Income taxes payable			(125,445	)
Deferred tax liability			(3,223,928	)
		$	57,574,938

 

The purchase price allocations for the NGW transaction reflect various fair value estimates and analyses relating to the determination of fair value of certain tangible and intangible assets acquired and residual goodwill. The Company determined the estimated fair value of the acquired working capital, and identifiable intangible assets and goodwill after review and consideration of relevant information including discounted cash flow analyses, market data and management’s estimates, prepared by an independent valuation firm. The estimated fair value of acquired working capital was determined to approximate carrying value.

 

The goodwill arising from the NGW transaction consists of expected synergies from combining operations of the Company and NGW, and intangible assets not qualifying for separate recognition such as formulations, proprietary technologies and acquired know-how. None of the goodwill is deductible for tax purposes.

 

NGW’s state cannabis licenses and brands represented identifiable intangible assets acquired in the amounts of $11,840,000 and $1,340,000, respectively. The NGW cannabis licenses acquired have an indefinite life and as such will not be subject to amortization while the brands have a definite useful life of three years. As of December 31, 2022, the Company evaluated whether intangible assets and goodwill showed any indicators of impairment, and it was determined that such indicators existed.  As a result of the Company’s analysis, it was determined that the brands and licenses were impaired, resulting in the Company recording an impairment charge of $6,947,778.

 

In connection with the NGW transaction, the Company expensed $1,238,379 of acquisition-related costs, which have been included in general and administrative expenses on the Company’s consolidated statement of operations and comprehensive loss for the period ended June 30, 2022.

 

The following table reflects the revenue, gross profit and comprehensive loss that would have been reported if the acquisition had occurred at the beginning of the period indicated:

 

		Three Months Ended June 30, 2022												Six Months Ended June 30, 2022
		As Reported				NGW				Pro Forma				As Reported				NGW				Pro Forma
Revenue, net of discounts		$	28,412,230			$	-			$	28,412,230			$	54,106,625			$	870,651			$	54,977,276
Gross Profit			13,824,507				-				13,824,507				26,725,511				(131,700	)			26,593,811
Comprehensive loss for the period			(2,039,525	)			-				(2,039,525	)			(4,100,596	)			(868,125	)			(4,968,721	)

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

 

The carrying value of goodwill in each reporting unit is indicative of the expected growth and development of the business. In the fourth quarter of fiscal 2022, the Company identified qualitative indicators of impairment as a result of a downturn in the wholesale pricing of cannabis.  The reduction in the price of wholesale cannabis resulted in a downward adjustment of the future financial forecasts for the Company’s NGW business, which indicated that impairment of the goodwill asset was a more-likely-than-not outcome. A qualitative step zero impairment test was performed on the NGW business which indicated a potential impairment. The Company conducted a quantitative impairment analysis of its NGW reporting unit using the income approach as at December 31, 2022.

 

The recoverable amount of the reporting unit to which goodwill is allocated and the asset group to which indefinite life intangibles are allocated were determined based on fair value using Level 3 inputs in a discounted cash flow analysis. Management tested the NGW asset group for the definite lived assets impairment. The result was impairment for the definite lived assets of the NGW asset group. Where applicable, the Company uses its market capitalization and comparative market multiples to corroborate discounted cash flow results. The significant assumptions applied in the determination of the recoverable amount are described below:

 

	●	Cash flows: Estimated cash flows were projected based on actual operating results from internal sources as well as industry and market trends. Estimated cash flows are primarily driven by sales volumes, selling prices and operating costs. The forecasts are extended to a total of six years (and a terminal year thereafter);
	●	Terminal value growth rate: The terminal growth rate was based on historical and projected consumer price inflation, historical and projected economic indicators and projected industry growth;
	●	Post-tax discount rate: The post-tax discount rate is reflective of the reporting unit’s Weighted Average Cost of Capital (“WACC”). The WACC was estimated based on the risk-free rate, equity risk premium, beta adjustment to the equity risk premium based on a direct comparison approach, an unsystematic risk premium, and after-tax cost of debt based on corporate bond yields; and
	●	Tax rate: The tax rates used in determining the future cash flows were those substantively enacted at the respective valuation date.

 

The following table outlines the key assumptions used in calculating the recoverable amount for each CGU and operating segment tested for impairment as at December 31, 2022:

 

		Goodwill impairment testing
Significant estimates used by management		NGW
Years of cash flows before terminal value		6
Discount rate		19.25%
Terminal value multiple / rate		5.8x

 

Based on the results of the goodwill impairment test, the carrying value of the NGW reporting unit exceeded the fair value and the Company recognized a pre-tax impairment loss of $25,802,688 during the year ended December 31, 2022, relating to the NGW reporting unit.

 

Acquisition of 51% Interest in Planet 13 Illinois

 

On February 7, 2023, the Company purchased the remaining 51% ownership interest in Planet 13 Illinois from a third party pursuant to an option purchase agreement that was entered into between such third party and the Company on August 4, 2022.  The aggregate purchase price for the interest was $1,812,656 and consisted of $866,250 in cash consideration $946,406 in share consideration. The share consideration was comprised of 1,063,377 common shares of the Company at a fair value of C$1.18 (USD $0.89) per common share, which were issued on February 7, 2023.

7. Leases

 

The Company’s lease agreements are for cultivation, manufacturing, retail office premises and for vehicles. The property lease terms range between 7 years and 21 years depending on the facility and are subject to an average of 2 renewal periods of equal length as the original lease. Certain leases include escalation clauses or payment of executory costs such as property taxes, utilities, or insurance and maintenance. Rent expense for leases with escalation clauses is accounted for on a straight-line basis over the lease term. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants.

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

 

The following table provides the components of lease costs recognized in the unaudited interim condensed consolidated statement of operations and comprehensive loss for the three- and six-month periods ended June 30, 2023 and 2022:

 

		Three Months Ended								Six Months Ended
		June 30,				June 30,				June 30,				June 30,
		2023				2022				2023				2022
Operating lease costs		$	1,254,393			$	1,209,063			$	2,499,034			$	2,180,306
Short term lease expense			20,381				117				24,977				1,584
Total lease costs		$	1,274,774			$	1,209,180			$	2,524,011			$	2,181,890

 

Other information related to operating and finance leases as of and for the six months ended June 30, 2023 and 2022 are as follows:

 

		June 30, 2023								June 30, 2022
		Finance				Operating				Finance				Operating
		Lease				Lease				Lease				Lease
Weighted average discount rate			15.00	%			15.00	%			15.00	%			15.00	%
Weighted average remaining lease term			-				13.19				-				11.37

 

The maturity of the contractual undiscounted lease liabilities as of June 30, 2023 and  December 31, 2022 are:

 

		2023				2022
		Operating				Operating
		Lease				Lease
One year		$	4,277,274			$	4,052,167
Two years			4,425,693				4,214,502
Three years			4,453,068				4,302,534
Four years			4,455,447				4,303,434
Five years			4,629,904				4,389,610
Thereafter			58,688,780				58,274,870
Total undiscounted lease liabilities			80,930,166				79,537,117
Interest on lease liabilities			(53,646,798	)			(53,224,885	)
Total present value of minimum lease payments			27,283,368				26,312,232
Lease liability - current portion			(545,043	)			(479,161	)
Lease liability		$	26,738,325			$	25,833,071

 

Principally all leases relate to real estate.

 

For the three and six months ended June 30, 2023, the Company incurred $1,254,393 and $2,499,034 of operating lease costs (2022 - $1,209,063 and $2,180,306), of which $460,004 and $920,009, respectively (2022 - $430,013 and $920,009) was allocated to cost of goods sold.

 

See Note 14 for additional supplemental cash flow information related to leases.

 

 

PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

8. Notes Payable

 

		June 30,				December 31,
		2023				2022
Promissory note dated November 4, 2015, with semi-annual interest at 5.0%, secured by deed of trust, due December 1, 2019			884,000				884,000
		$	884,000			$	884,000
Less current portion			(884,000	)			(884,000	)
		$	-			$	-
Stated maturities of debt obligations are as follow:
Next 12 months Promissory Note						$	884,000

9. Share Capital

 

The Company is authorized to issue an unlimited number of common shares and an unlimited number of Class A shares.

 

			Number of Common Shares
			June 30,				December 31,
			2023				2022
Common Shares
Balance at January 1				220,470,061				198,687,950
Shares issued on settlement of RSUs	i.			714,416				81,084
Shares issued on exercise of options	ii.			-				97,325
Shares issued on exercise of warrants	iii.			-				242,700
Shares issued on acquisition (Note 6)	iv.			-				21,361,002
Shares issued on exercise of purchase option (Note 6)	v.			1,063,377				-
Total common shares outstanding				222,247,854				220,470,061

 

i. Shares issued for Restricted Share Units

 

During the six months ended June 30, 2023, no RSUs were awarded, 1,191,923 RSUs vested (of which 477,507 RSUs were surrendered in exchange for tax withholding payments), 714,416 RSUs settled and 69,494 RSUs were cancelled.  The Company did not receive any cash proceeds on the settlement of the RSUs.

 

During the year ended December 31, 2022, the Company issued 81,084 common shares on the settlement of RSUs that had vested during the period. The Company did not receive any cash proceeds on the settlement.

 

ii. Shares issued for Stock Options

 

During the six months ended June 30, 2023, no options were awarded, vested, settled or cancelled and 69,168 options expired.

 

During the year ended December 31, 2022, the Company issued 97,325 common shares on the exercise of options that had a strike price of CAD$1.31 per common share resulting in cash proceeds of $97,980 (CAD$127,496).

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

 

iii. Shares issued on the exercise of Warrants

 

During the six months ended June 30, 2023, 5,206,463 warrants expired unexercised.

 

During the year ended December 31, 2022, the Company issued 242,700 common shares to warrant holders who exercised 242,700 warrants resulting in cash proceeds of $1,044,258 (CAD$1,407,660).

10. Warrants

 

The following table summarizes the fair value of the warrant liability at June 30, 2023 and  December 31, 2022.

 

		June 30,				December 31,
		2023				2022
Balance - beginning of period		$	18,127			$	7,206,049
Expirations			(18,127	)			-
Foreign exchange			-				(10,117	)
Change in fair value			-				(7,177,805	)
Balance - end of period		$	-			$	18,127

 

The warrant liability is adjusted to fair value on the date the warrants are exercised and at the end of each reporting period. The amount that is reclassified to equity on the date of exercise is the fair value at that date.

 

The following table summarizes the number of warrants outstanding at June 30, 2023 and  December 31, 2022.

 

		June 30, 2023				Weighted Average Exercise Price - CAD				December 31, 2022				Weighted Average Exercise Price - CAD
Balance - beginning of period			5,206,463			$	8.88				8,861,951			$	7.46
Exercised			-			$	-				(242,700	)		$	5.80
Expired			(5,206,463	)		$	8.88				(3,412,788	)		$	5.41
Balance - end of period			-			$	-				5,206,463			$	8.88

 

Fair values

 

The Company complies with ASC 820, Fair Value Measurement, for its financial assets and liabilities that are re-measured and reported at fair value at each reporting period, and non-financial assets and liabilities that are re-measured and reported at fair value at least annually. Financial instruments recorded at fair value in the consolidated balance sheet are classified using a fair value hierarchy that reflects the observability of significant inputs used in making the measurements.

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

 

The following tables present information about the Company’s assets and liabilities that are measured at fair value on a recurring basis as of June 30, 2023 and  December 31, 2022:

 

		Quoted prices in active markets for identical asset (Level 1)				Significant unobservable inputs (Level 3)				Total
June 30, 2023
Warrant liability		$	-			$	-			$	-
December 31, 2022
Warrant liability		$	(18,127	)		$	-			$	(18,127	)

11. Share Based Compensation

 

(a) Stock Options

 

The Company has established the 2018 Stock Option Plan (the “Option Plan”) for employees, management, directors, and consultants of the Company, as designated and administered by a committee of the Company’s Board of Directors. Under the Option Plan, the Company may grant options for up to 10% of the issued and outstanding common shares of the Company. The maximum term of an option is five years, and the related vesting period runs from immediate to the life of the grant.

 

During the three and six months ended June 30, 2023 and the year ended December 31, 2022

 

No incentive stock options were granted during the three and six months ended June 30, 2023 or the year ended December 31, 2022. During the year ended December 31, 2022, the Company issued 1,106,925 options in connection with the NGW transaction (see Note 6).  The replacement options were fully vested upon issuance.

 

The following table summarizes information about stock options outstanding at June 30, 2023:

 

		Exercise price				June 30, 2023				June 30, 2023				December 31, 2022				December 31, 2022
Expiry Date			CAD$			Outstanding				Exercisable				Outstanding				Exercisable
November 21, 2024		$	1.31				185,203				185,203				185,203				185,203
February 27, 2025		$	1.31				51,525				51,525				51,525				51,525
December 15, 2025		$	3.06				269,075				269,075				269,075				269,075
September 30, 2026		$	4.37				120,222				120,222				120,222				120,222
July 6, 2025		$	1.31				97,325				97,325				97,325				97,325
June 11, 2023		$	0.80				-				-				61,668				61,668
June 30, 2024		$	2.60				-				-				7,500				7,500
							723,350				723,350				792,518				792,518

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

 

The following table reflects the continuity of stock options for the period presented:

 

		June 30, 2023				Weighted Average Exercise Price - CAD				December 31, 2022				Weighted Average Exercise Price - CAD
Balance - beginning of period			792,518			$	2.34				169,168			$	2.01
Issued			-				-				1,106,925				2.58
Exercised			-				-				(97,325	)			1.31
Expired			(69,168	)			0.80				(386,250	)			3.11
Balance - end of period			723,350			$	2.47				792,518			$	2.34

 

Share based compensation expense attributable to employee options was $0 and $0 for the six months ended June 30, 2023 and 2022, respectively. The fair value of the replacement options issued during the year ended  December 31, 2022 of $1,239,818 was recognized as part of the consideration paid related to the business combination of NGW (Note 6).

 

The total intrinsic value of stock options exercised, outstanding and exercisable as of June 30, 2023, was $0, $0 and $0, respectively.

 

The total intrinsic value of stock options exercised, outstanding and exercisable as of  December 31, 2022 was $0.

 

(b) Restricted Share Units

 

The Company had established the 2018 Share Unit Plan (the “RSU Plan”) for employees, management, directors, and consultants of the Company, as designated and administered by a committee of the Company’s Board of Directors. Under the RSU Plan, the Company may grant RSUs and/or options for up to 10% of the issued and outstanding common shares of the Company.  The maximum term of an RSU grant is five years and the related vesting period runs from immediate to the life of the grant.

 

The following table summarizes the RSUs that are outstanding as at June 30, 2023 and  December 31, 2022:

 

		June 30,				December 31,
		2023				2022
Balance - beginning of period			2,464,928				2,591,929
Exercised			(1,191,923	)			(81,084	)
Forfeited			(69,494	)			(45,917	)
Balance - end of period			1,203,511				2,464,928

 

The Company recognized $602,627 and $1,323,618 in share-based compensation expense attributable to the RSU vesting schedule for the three and six months ended June 30, 2023 ($2,061,079 and $4,116,573 for the three and six months ended June 30, 2022).

 

During the six months ended June 30, 2023

 

No RSUs were granted, and 1,191,923 RSUs vested and were exercised, of which 477,507 were surrendered in exchange for payment of tax withholdings.  The Company did not receive any cash proceeds from the settlement of the RSUs.

 

During the six months ended  June 30, 2022

 

No RSUs were granted, exercised or vested.

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

12. Loss Per Share

 

		Three Months Ended								Six Months Ended
		June 30,				June 30,				June 30,				June 30,
		2023				2022				2023				2022
Loss available to common shareholders		$	(4,349,325	)		$	(2,039,525	)		$	(10,653,568	)		$	(4,100,596	)
Weighted average number of shares outstanding, basic and diluted			221,791,320				220,088,004				221,439,841				212,869,574
Basic and diluted loss per share		$	(0.02	)		$	(0.01	)		$	(0.05	)		$	(0.02	)

 

Approximately 1,926,861 and 12,328,398 potentially dilutive securities for the three and six months ended June 30, 2023 and 2022, respectively, were excluded in the calculation of diluted EPS as their impact would have been anti-dilutive due to the net losses for such periods.

13. General and Administrative

 

		Three Months Ended								Six Months Ended
		June 30,				June 30,				June 30,				June 30,
		2023				2022				2023				2022
Salaries and wages		$	3,874,046			$	3,816,040			$	7,544,118			$	7,794,850
Share based compensation			602,627				2,061,079				1,323,618				4,116,573
Executive compensation			736,104				760,226				1,467,281				1,433,840
Licenses and permits			609,844				656,148				1,251,446				1,457,665
Payroll taxes and benefits			857,998				1,042,807				1,730,171				2,060,776
Supplies and office expenses			347,112				277,824				666,198				500,456
Subcontractors			525,175				508,254				1,031,962				1,132,897
Professional fees (legal, audit and other)			2,373,634				1,292,823				4,585,433				3,510,448
Miscellaneous general and administrative expenses			1,344,830				1,595,852				2,626,149				3,490,238
		$	11,271,370			$	12,011,053			$	22,226,376			$	25,497,743

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

14. Supplemental Cash Flow Information

 

		Six Months Ended
		June 30,				June 30,
Change in Working Capital		2023				2022
Accounts Receivable			5,797				983,223
Inventory			(1,707,634	)			2,133,755
Prepaid Expenses and Other Assets			961,556				1,100,971
Long-term Deposits and Other Assets			29,692				227,869
Deferred Tax Assets			27,963				(27,628	)
Accounts Payable			(266,599	)			(954,031	)
Accrued Expenses			(1,085,184	)			(578,464	)
Income Taxes Payable			(2,045,268	)			(1,036,977	)
		$	(4,079,677	)		$	1,848,718
Cash Paid
Interest Paid On Leases		$	2,034,471			$	-
Income Taxes		$	4,250,000			$	5,794,337
Non-cash Financing and Investing Activities
Shares Issued on Exercise of Purchase Option		$	946,406			$	-
Initial Recognition of Fair Value of Net Assets Acquired in NGW Acquisition in Exchange for Shares, excluding Cash		$	-			$	22,109,890
Initial Recognition of ROU Assets and Lease Liabilities		$	-			$	2,326,202
Lease additions		$	954,496			$	-
Fixed Asset Amounts in Accounts Payable		$	172,355			$	363,077
Reclassification of long term lease liabilities to current		$	65,883			$	5,130

15. Related Party Transactions and Balances

 

Related party transactions are summarized as follows:

 

(a) Building Lease

 

Prior to March 15, 2022, the Company was the sub-lessee of approximately 2,000 square feet of office space and purchased certain printed marketing collateral and stationery items from a company owned by one of the Company’s Co-CEOs. This entity was sold to an unrelated third-party on March 15, 2022. Amounts paid for rent for the six months ended June 30, 2023 and 2022 to the related party equaled $nil and $6,010, respectively.  Amounts paid for printed marketing collateral and stationery items to the related party were $nil and $183,914 for the six months ended June 30, 2023 and 2022, respectively.

 

(b) Other

 

A company previously owned by one of the Company’s Co-CEOs until March 15, 2022 paid the Company for storage space. Amounts paid to the Company from the related party for storage space were $nil and $5,968 for the six months ended June 30, 2023 and 2022, respectively, and is recorded in Other Income for such period.

 

For the three-month period ended  June 30, 2023, no amounts were due to related parties ( December 31, 2022 - $nil).

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

16. Commitments and Contingencies

 

(a) Construction Commitments

 

The Company had $8,231,097 of outstanding construction commitments as of June 30, 2023.

 

(b) Contingencies

 

The Company’s operations are subject to a variety of local and state regulations. Failure to comply with one or more of those regulations could result in fines, restrictions on its operations, or losses of permits that could result in the Company ceasing operations. While management of the Company believes that the Company is in compliance with applicable local and state regulations at June 30, 2023, medical and adult use cannabis regulations continue to evolve and are subject to differing interpretations. As a result, the Company may be subject to regulatory fines, penalties, or restrictions in the future.

 

(c) Claims and Litigation

 

From time to time, the Company may be involved in litigation relating to claims arising out of operations in the normal course of business. At June 30, 2023, and December 31, 2022, there were no pending or threatened lawsuits that could reasonably be expected to have a material effect on the results of the Company’s operations. There are also no proceedings in which any of the Company’s directors, officers or affiliates is an adverse party or has a material interest adverse to the Company’s interest.

 

(d) Operating Licenses

 

Although the possession, cultivation, and distribution of marijuana for medical and adult use is permitted in Nevada and California, and for medical use these activities are permitted in Florida, marijuana is a Schedule I controlled substance and its use remains a violation of federal law. Since federal law criminalizing the use of marijuana pre-empts state laws that legalize its use, strict enforcement of federal law regarding marijuana would likely result in the Company’s inability to proceed with our business plans. In addition, the Company’s assets, including real property, cash, equipment, and other goods, could be subject to asset forfeiture because marijuana is still federally illegal.

17. Risks

 

Credit risk

 

Credit risk is the risk that a third party might fail to discharge its obligations under the terms of a financial instrument. Credit risk arises from cash with banks and financial institutions. It is management’s opinion that the Company is not exposed to significant credit risk arising from these financial instruments. The Company limits credit risk by entering into business arrangements with high credit-quality counterparties.

 

The Company evaluates the collectability of its accounts receivable and maintains an allowance for credit losses at an amount sufficient to absorb losses inherent in the existing accounts receivable portfolio as of the reporting dates based on the estimate of expected net credit losses.

 

Interest Rate Risk

 

Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company currently does not carry variable interest-bearing debt. It is management’s opinion that the Company is not exposed to significant interest rate risk.

 

Price risk

 

Price risk is the risk that the trading price of the Company’s shares will fluctuate and result in an increase or decrease in the fair value of the warrant liability. The Company is not exposed to significant price risk.

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

 

Liquidity risk

 

The Company’s approach to managing risk is to ensure that it will have sufficient liquidity to meet liabilities when due. As of June 30, 2023, the Company’s financial liabilities consist of accounts payable, accrued liabilities, obligations under operating leases and taxes. The Company manages liquidity risk by reviewing its capital requirements on an ongoing basis. Historically, the Company’s main source of funding has been the public issuance of common shares. The Company’s access to financing is always uncertain. There can be no assurance of continued access to significant equity financing.

 

Concentration risk

 

The Company operates exclusively in Southern Nevada and Southern California. Should economic conditions deteriorate within that region, its results of operations and financial position would be negatively impacted.

 

Banking risk

Notwithstanding that a majority of states have legalized medical marijuana, there has been no change in US federal banking laws related to the deposit and holding of funds derived from activities related to the cannabis industry. Given that US federal law provides that the production and possession of cannabis is illegal, there is a strong argument that banks cannot accept or deposit funds from businesses involved with the marijuana industry. Consequently, businesses involved in the marijuana industry often have difficulty accessing the US banking system and traditional financing sources. The inability to open bank accounts with certain institutions may make it difficult to operate the business of the Company and leave the Company’s cash holdings vulnerable.

 

Asset forfeiture risk

 

Because the cannabis industry remains illegal under US federal law, any property owned by participants in the cannabis industry which are either used in the course of conducting such business, or are the proceeds of such business, could be subject to seizure by law enforcement and subsequent civil asset forfeiture. Even if the owner of the property was never charged with a crime, the property in question could still be seized and subject to an administrative proceeding by which with minimal due process, it could be subject to forfeiture.

 

Currency rate risk

 

As at June 30, 2023, a portion of the Company’s financial assets and liabilities held in Canadian dollars consist of cash of $291,379 ( December 31, 2022 - $1,172,859). The Company’s objective in managing its foreign currency risk is to minimize its net exposure to foreign currency cash flows by transacting, to the greatest extent possible, with third parties in the functional currency. The Company is exposed to currency rate risk in other comprehensive income, relating to foreign subsidiaries which operate in a foreign currency. The Company does not currently use foreign exchange contracts to hedge its exposure of its foreign currency cash flows as management has determined that this risk is not significant at this point in time.

 

The Company’s exposure to a 10% change in the foreign exchange rate at  June 30, 2023 equals $29,138.

18. Disaggregated Revenue

 

The following table presents the Company’s disaggregated revenue by sales channel:

 

		Three Months Ended								Six Months Ended
		June 30,				June 30,				June 30,				June 30,
		2023				2022				2023				2022
Retail		$	21,359,936			$	24,250,925			$	41,712,902			$	47,810,316
Wholesale			4,472,775				4,161,305				9,035,205				6,296,309
Net revenues		$	25,832,711			$	28,412,230			$	50,748,107			$	54,106,625

 

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PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

19. Government Assistance Program

 

On March 18, 2020, the Families First Coronavirus Act was enacted (“FFCRA”).  On March 27, 2020, the Coronavirus Aid, Relief and Economic Security Act (“CARES”) was enacted.  Together, these acts created refundable payroll tax credits for paid sick leave, paid family leave and an employee retention credit.  The CARES Act was subsequently modified by the Taxpayer Certainty and Disaster Tax Relief Act of 2020, enacted December 27, 2020, which amended and extended the employee retention credit under the CARES Act for the first and second quarters of 2021.  The American Rescue Act of 2021 further modified and extended the CARES Act for the third and fourth quarters of 2021. These acts provide for a refundable credit against certain employment taxes, including FICA, Medicare and deposits of employee payroll withholding taxes.  Income tax credits are not provided for under these acts.  The ERC credit, as modified by the foregoing, increased the available credit from 50% of qualified wages of up $10,000 per quarter paid to an employee, or $5,000 per qualified employee per quarter, to 70% of qualified wages of up to $10,000 per quarter, or $7,000 per qualified employee per quarter.  The Company qualifies for the ERC credit under the CARES Act, as modified.  On June 15, 2023, the Company's wholly-owned subsidiary, MM Development Company, Inc., received and recorded payment from the Internal Revenue Service in the amount of $1,955,711 related to the ERC credit for the first quarter of 2021.  This amount is included in Other Income, Net on the Company's Interim Condensed Consolidated Statements of Operations and Comprehensive Loss for the three and six month periods ending June 30, 2023.  The Company accounted for the ERC credit pursuant to the guidance established in ASC 450-30, Gain Contingencies.

20. Subsequent Events

 

On July 27, 2023, the Company's shareholders voted to approve a plan of arrangement (the “Domestication Plan of Arrangement”) under section 288 of the Business Corporations Act (British Columbia) (the “BCBCA”) involving, among other things, the continuance of the Company from British Columbia to the State of Nevada all as more particularly described in the Domestication Plan of Arrangement (the “Nevada Domestication”). As of the filing date hereof, the Company is pursuing the conditions and steps to complete the Domestication Plan of Arrangement and the Nevada Domestication.  

 

Also, on July 27, 2023, our shareholders voted to approve and adopt the 2023 Equity Incentive Plan (the “Plan”). The Plan, when effective, would replace the Planet 13 Holdings Inc. 2018 Stock Option Plan and the Planet 13 Holdings Inc. 2018 Share Unit Plan (the “Prior Plans”).  The Plan is subject to, and expected to become effective upon, the completion of the Nevada Domestication, at which time (a) no additional awards may be granted under the Prior Plans, and (b) all outstanding awards granted under the Prior Plans will remain subject to the terms of the Prior Plans. The Plan, when effective, would allow for a total of 22,000,000 shares of common stock of the Company, when it becomes a Nevada entity, to be made available for award thereunder.  Any unsettled awards under the Prior Plans will reduce the number of shares available for future awards under the Plan.

 

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

 

This management’s discussion and analysis (“MD&A”) of the financial condition and results of operations of Planet 13 is for the three and six months ended June 30, 2023. It is supplemental to, and should be read in conjunction with, our unaudited condensed interim consolidated financial statements for the three and six months ended June 30, 2023 and 2022, and the accompanying notes presented herein. Our financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Financial information presented in this MD&A is presented in United States dollars (“$”, “USD” or “US$”), unless otherwise indicated.

 

This MD&A contains certain “forward-looking statements” and certain “forward-looking information” as defined under applicable United States securities laws. Please refer to the discussion of forward-looking statements and information set out under the heading “Disclosures Regarding Forward-Looking Statements,” identified in this Quarterly Report on Form 10-Q. As a result of many factors, our actual results may differ materially from those anticipated in these forward-looking statements and information.

 

Overview of the Company

 

We are a multi-state cannabis operator with licenses to operate in Nevada, California, and Florida, and a conditional dispensing license in Illinois. We are headquartered in Las Vegas, Nevada, at our superstore dispensary located adjacent to the Las Vegas Strip. A detailed description of our corporate history and our business can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2022, as filed with the Securities and Exchange Commission (“SEC”) on March 23, 2023. 

 

As of June 30, 2023, we employed approximately 650 people and remain focused on providing our customers with the best products, best services, and an experiential shopping experience at our superstore-themed dispensaries, while expanding our products and sales through neighborhood stores. Each of our state operations is held in state-focused subsidiaries: (a) Newtonian Principles, Inc. for California licensed cannabis dispensing and distribution activities, (b) Next Green Wave, LLC for California licensed cannabis cultivation, production and distribution activities, (c) MM Development Company, Inc. for all licensed Nevada cannabis cultivation, production, distribution, and dispensing activities, (d) Planet 13 Florida, Inc. (“Planet 13 Florida”) which holds our Florida Medical Marijuana Treatment Center (“MMTC”) license, and (e) Planet 13 Illinois, LLC (“Planet 13 Illinois”) which holds a conditional Illinois social-equity justice impaired dispensing license. We have focused on our large-store dispensing stores as superstores which offer an experiential approach to our customers, including drones, robotics, 3-D mapping projection, cannabis-culture inspired social-media backdrops for customer interaction, customer facing production, one-on-one sales staffing and customer education, and other interactive marketing elements to differentiate from more traditional dispensing locations, which we refer to herein as “neighborhood stores”. Each of our cannabis facilities is state-licensed as an adult-use cannabis facility, a medical cannabis facility, or a dual-use facility allowing for both adult-use and medical cannabis licensed activity, as designated below in the state-by-state breakdown.

 

Nevada

 

As of June 30, 2023, we held the following licensed operations in Nevada: (a) one dual-licensed dispensary superstore adjacent to the Las Vegas Strip with 24,000 square feet of licensed dispensary (the “Planet 13 Las Vegas Superstore”), (b) one adult-use “neighborhood store” at 2,300 square feet of licensed dispensary (the “Medizin dispensary”), (c) three dual-licensed production facilities, one of which is co-located and customer-facing at the superstore in Las Vegas with 18,500 square feet of licensed production, (d) three dual-licensed cultivation facilities, one with approximately 16,100 square foot indoor cultivation facility under perpetual harvest cycle, a second with 45,000 square feet co-located with our production license at that facility, and one small indoor rural site in Beatty, Nevada that is expandable up to 2,300,000 square feet of greenhouse located on 80-acres owned by us, also co-located with our production license at that facility, and (e) one cannabis distribution license.

 

At the Planet 13 Las Vegas Superstore, we also offer ancillary services to our customers, including a restaurant with a liquor license, a retail store, and our online cannabidiol (“CBD”) store which also sells products in our facility.

 

California

 

As of June 30, 2023, we held the following licensed operations in California: (a) an adult-use dispensary superstore co-located with a distribution license at our 33,000 square foot facility in Santa Ana which we built and opened on July 1, 2021 (the “Planet 13 OC Superstore”), (b) an adult-use medium indoor cultivation license co-located with a distribution license at our 35,000 square foot facility in Coalinga, and (c) an adult-use manufacturer Type 6 license at a 4,000 square foot facility in Coalinga.

 

 

Florida

 

As of June 30, 2023, we are continuing capital outlays to utilize our Florida MMTC license. Licensed MMTCs are vertically integrated and the only businesses in Florida authorized to dispense medical marijuana cannabis to qualified patients and caregivers. MMTCs are authorized to cultivate, process, transport and dispense medical marijuana. As of June 30, 2023, there were 22 companies with MMTC licenses in Florida, two of which are not yet operational. License holders are not subject to restrictions on the number of dispensaries that may be opened or on the number or size of cultivation and processing facilities they may operate.

 

On July 1, 2022, we, through our subsidiary Planet 13 Florida, closed on a $3,300,000 purchase of a 23-acre parcel of real property, inclusive of a 10,500 square foot building, near Ocala, Florida. The property was previously leased by Planet 13 Florida, and has received Florida OMMU approvals for cultivation, processing, and dispensing activities.

 

As part of our Florida expansion, as of the date of this report, we have entered into four leases for dispensing locations in Florida, which remain subject to completion of tenant improvements and regulatory inspection prior to sales to customers.

 

Illinois

 

On August 5, 2021, Planet 13 Illinois, in which we then held a minority interest, won a Conditional Adult Use Dispensing Organization License in the Chicago-Naperville-Elgin region from the Illinois Department of Financial and Professional Regulation. The conditional license was issued to Planet 13 Illinois on July 22, 2022. We previously owned 49% of Planet 13 Illinois with 51% owned by Frank Cowan, but on February 7, 2023, we exercised and closed on our option to purchase Mr. Cowan’s 51% interest in Planet 13 Illinois for $866,250 in cash and 1,063,377 in common shares of the Company.

 

On February 3, 2023, the Company, through its wholly owned subsidiary Planet 13 Chicago, LLC, closed on the purchase of a $2,500,000 real property for a proposed dispensing location in Waukegan, Illinois, for an approximately 8,000 square foot building on 1.9 acres, previously occupied by a financial institution tenant.  On November 1, 2022, the Company provided notice of this site selection to the Illinois cannabis regulator. The town of Waukegan is suburb of the greater Chicago area and close to the Illinois-Wisconsin state border.  We have commenced construction of the dispensary and anticipate that it will be operational in late 2023.

 

COVID-19 Pandemic Update for Second Quarter 2023

 

The long-term economic impact of COVID-19 remains unknown and may result in significant impact or changes to ongoing international or national fiscal or enforcement policies, inflation, supply chains, customer purchasing and shopping habits, and other key metrics, any of which could have a significant or material negative effect on the Company.

 

Recent Developments

 

The following are recent developments occurring in the three months ended June 30, 2023, and following that period until the filing date of this Form 10-Q: 

 

On April 6, 2023, Board Member Michael Harman passed away. On May 10, 2023, the Board of Directors appointed Lee Fraser as an interim director and as the Audit Committee Chair. 

 

On July 27, 2023, the Company held its Annual General and Special Meeting of Shareholders.  At that meeting, our shareholders approved 1) the appointment of Robert Groesbeck, Larry Scheffler, Adrienne O’Neal, and Lee Fraser to serve as the Board of Directors until the Company’s next annual shareholder meeting, 2) the re-appointment of Davidson & Company, LLP as the auditors of the Company and authorized the Board of Directors to fix the remuneration of the auditors, 3)  a special resolution to approve a plan of arrangement (the “Domestication Plan of Arrangement”) under Section 288 of the Business Corporations Act (British Columbia) (“BCBCA”) involving, among other things, the continuance of the Company from British Columbia to the State of Nevada (the “Nevada Domestication”), as more particularly described in the proxy statement filed with the SEC on June 22, 2023 (the “Proxy Statement”), and 4) an ordinary resolution to approve and adopt the Planet 13 Holdings Inc. 2023 Equity Incentive Plan (the “2023 Equity Incentive Plan”), as more particularly described in the Proxy Statement. As of the filing date hereof, the Company is pursuing the conditions and steps, as described in the Proxy Statement, to complete the Domestication Plan of Arrangement and the Nevada Domestication. 

 

 

Acquisitions

 

On March 2, 2022 (the “Closing Date”), we completed our acquisition of NGW. We entered into an arrangement agreement (the “Arrangement Agreement”) with NGW on December 20, 2021, pursuant to which we agreed to acquire (the “Arrangement”) all of the issued and outstanding common shares of NGW (the “NGW Shares”) pursuant to a plan of arrangement (the “Plan of Arrangement”) under the Business Corporations Act (British Columbia). The Arrangement was approved by the holders of NGW Shares (the “NGW Shareholders”) at a special meeting of NGW Shareholders held on February 25, 2022, and approved by the Supreme Court of British Columbia on March 1, 2022.

 

Pursuant to the Plan of Arrangement, at 12:01 a.m. (Vancouver time) (the “Effective Time”) on the Closing Date, we acquired all of the NGW Shares for a total consideration of approximately C$71,791,700 (based on the closing price of our Common Shares (the “Planet 13 Shares”) on the Canadian Securities Exchange on February 28, 2022), and NGW then amalgamated with us. The NGW Shareholders received 0.1145 of one Planet 13 Share (the “Exchange Ratio”) and a nominal cash payment of C$0.0001 for each NGW Share held immediately prior to the Effective Time. As a result, 21,361,002 Planet 13 Shares and $14,788 in cash were issued in exchange for the NGW Shares. In addition, the number of Planet 13 Shares issued to any person pursuant to the Arrangement was rounded down to the nearest whole Planet 13 Share, with a cash consideration paid in lieu of the issuance of such fractional Planet 13 Share of C$3.379 per share.

 

Based upon the Exchange Ratio, all NGW options to acquire NGW Shares that were outstanding immediately prior to the Effective Time were also exchanged for our options that will entitle the holders to receive, upon exercise thereof, Planet 13 Shares. As a result, we issued 1,106,925 options in exchange for the NGW options.

 

On February 7, 2023, the Company purchased the remaining 51% ownership interest in Planet 13 Illinois from a third party pursuant to an option purchase agreement that was entered into between such third party and the Company on August 4, 2022.  The aggregate purchase price for the interest was $1,812,656 and consisted of $866,250 in cash consideration $946,406 in share consideration. The share consideration was comprised of 1,063,377 common shares of the Company at a fair value of C$1.18 (USD $0.89) per common share, which were issued on February 7, 2023.

 

 

Results of Operations

 

		Three Months Ended
		June 30,				June 30,				Percentage
Expressed in USD$		2023				2022				Change
Revenue
Net revenue			25,832,711				28,412,230				(9.1	)%
Cost of Goods Sold			(13,950,477	)			(14,587,723	)			(4.4	)%
Gross Profit			11,882,234				13,824,507				(14.0	)%
Gross Profit Margin %			46.0	%			48.7	%
Expenses
General and Administrative			11,271,370				12,011,053				(6.2	)%
Sales and Marketing			1,332,498				887,436				50.2	%
Lease expense			794,389				779,050				2.0	%
Depreciation and Amortization			1,986,578				1,963,937				1.2	%
Total Expenses			15,384,835				15,641,476				(1.6	)%
Income (Loss) From Operations			(3,502,601	)			(1,816,969	)			92.8	%
Other Income (Expense):
Interest expense, net			299,306				45,258				561.3	%
Foreign exchange gain (loss)			4,229				74,543				(94.3	)%
Change in fair value of warrants			—				2,635,425				(100.0	)%
Other income			1,712,598				(85,698	)			(2098.4	)%
Total Other Income (Expense)			2,016,133				2,669,528				(24.5	)%
Loss for the period before tax			(1,486,468	)			852,559				(274.4	)%
Provision for income tax (current and deferred)			2,862,857				2,892,084				(1.0	)%
Loss for the period			(4,349,325	)			(2,039,525	)			113.3	%
Loss per share for the period
Basic and fully diluted income (loss) per share		$	(0.02	)		$	(0.01	)
Weighted Average Number of Shares Outstanding
Basic and diluted			221,791,320				220,088,004

 

 

		Six Months Ended
		June 30,				June 30,				Percentage
Expressed in USD$		2023				2022				Change
Revenue
Net revenue			50,748,107				54,106,625				(6.2	)%
Cost of Goods Sold			(27,983,062	)			(27,381,114	)			2.2	%
Gross Profit			22,765,045				26,725,511				(14.8	)%
Gross Profit Margin %			44.9	%			49.4	%
Expenses
General and Administrative			22,226,376				25,497,743				(12.8	)%
Sales and Marketing			2,668,237				1,490,678				79.0	%
Lease expense			1,579,025				1,260,297				25.3	%
Depreciation and Amortization			4,222,042				4,003,989				5.4	%
Total Expenses			30,695,680				32,252,707				(4.8	)%
Income (Loss) From Operations			(7,930,635	)			(5,527,196	)			43.5	%
Other Income (Expense):
Interest expense, net			591,563				72,611				714.7	%
Foreign exchange gain (loss)			6,116				(21,166	)			(128.9	)%
Change in fair value of warrants			18,127				6,795,234				(99.7	)%
Other income			1,857,205				228,767				711.8	%
Total Other Income (Expense)			2,473,011				7,075,446				(65.0	)%
Loss for the period before tax			(5,457,624	)			1,548,250				(452.5	)%
Provision for income tax (current and deferred)			(5,195,944	)			(5,648,846	)			(8.0	)%
Loss for the period			(10,653,568	)			(4,100,596	)			159.8	%
Loss per share for the period
Basic and fully diluted income (loss) per share		$	(0.05	)		$	(0.02	)
Weighted Average Number of Shares Outstanding
Basic and diluted			221,439,841				212,869,574

 

We experienced a 9.1% decrease in net revenue during the three months ended June 30, 2023, and a 6.2% decrease for the six months ended June 30, 2023 when compared to the three and six months ended June 30, 2022. The decrease is attributable to a reduction in the number of customers at our Planet 13 Las Vegas Superstore location compared to the prior year periods, partially offset by an increase of revenue from the Planet 13 OC Superstore and an increase in wholesale revenue from the NGW cultivation operations in California, and an increase in net wholesale revenue in Nevada. Overall, net revenue decreased by $2,579,519 or 9.1% during the three months ended June 30, 2023, and decreased by $3,358,518 or 6.2% during the six months ended June 30, 2023 when compared to the three and six months ended June 30, 2022. We believe that a potential economic downturn and increase in inflation, including the increase in the price of gasoline and the increase in interest rates, combined to reduce the disposable income of our customers during the six months ended June 30, 2023 and also had an impact on the number of customers and tourists visiting the Planet 13 Las Vegas Superstore and our other retail locations during the six months ended June 30, 2023 when compared to the prior year period.

 

 

Details of net revenue by product category are as follows:

		Three Months Ended
		June 30,				June 30,				Percentage
		2023				2022				Change
Flower		$	8,508,917			$	9,580,062				(11.2	)%
Concentrates			7,134,512				7,882,794				(9.5	)%
Edibles			4,301,583				4,981,664				(13.7	)%
Topicals and Other Revenue			1,405,926				1,815,405				(22.6	)%
Wholesale			4,481,774				4,152,305				7.9	%
Net revenue		$	25,832,712			$	28,412,230				(9.1	)%

 

		Six Months Ended
		June 30,				June 30,				Percentage
		2023				2022				Change
Flower		$	16,011,313			$	18,813,413				(14.9	)%
Concentrates			14,109,618				15,327,860				(7.9	)%
Edibles			8,958,876				9,971,382				(10.2	)%
Topicals and Other Revenue			2,633,096				3,685,661				(28.6	)%
Wholesale			9,035,205				6,308,309				43.2	%
Net revenue		$	50,748,108			$	54,106,625				(6.2	)%

 

Gross profit margin for the three months ended June 30, 2023 was 46.0% compared to 48.7% for the three months ended June 30, 2022 and was 44.9%for the six months ended June 30, 2023 compared to 49.4% for the six months ended June 30, 2022. The decrease in gross profit margin for the three and six months ended June 30, 2023 was a result of increased sales incentives during the period coupled with the increase in wholesale revenue, both from our Nevada and California wholesale operations, that have an inherently lower gross margin than retail sales revenue.

 

The costs of internal cultivation have continued to trend down as we continue to improve our yields and cultivation efficiency across all of our cultivation facilities. In addition, margin enhancement through the creation of internally generated brands, such as TRENDI, Leaf & Vine, HaHa Gummies, Dreamland Chocolate, HaHa Beverages and Medizin, that were sold in our own stores continued to have a positive impact on gross margins during the three and six months ended June 30, 2023, helping offset the lower margins received on the sale of wholesale product and sales to local customers in the State of Nevada. We anticipate that margins will trend upward if and when tourist customers return to Las Vegas and the Planet 13 Las Vegas Superstore in greater numbers and through our ability to produce our award-winning brands in California and introduce those brands into our Planet 13 OC Superstore.

 

Our premium cultivation facilities were operating near capacity during the three and six months ended June 30, 2023 and June 30, 2022, respectively. The amount of cannabis grown during the period increased when compared to the prior year period due to the full six months of results from the addition of the 35,000 square feet of cultivation capacity that was added as part of the NGW acquisition on March 2, 2022, and the 22,000 square foot cultivation facility expansion in Nevada that was fully operational during the three and six months ended June 30, 2023. The wholesale flower market in California continues to stabilize and we have seen increases in both demand and the price received for premium indoor grown flower during the three and six months ended June 30, 2023.

 

Overall gross profit was $11,882,234 and $13,824,507 for the three months ended June 30, 2023 and 2022 respectively, a decrease of 14.0% or $1,942,273, and was $22,765,045 and $26,725,511 for the six months ended June 30, 2023 and 2022 respectively, a decrease of 14.8%.

 

General and Administrative (“G&A”) expenses (which include non-cash share-based compensation expenses) decreased by 6.2% during the three months ended June 30, 2023when compared to the three months ended June 30, 2022 The decrease in G&A expenses incurred during both the three and six months ended June 30, 2023, was a result of focused cost-cutting initiatives undertaken by the Company and a reduction in share-based compensation expense recorded during the period. Overall, excluding non-cash share-based compensation expenses, G&A expenses as a percentage of revenue equaled 41.9% for the three months ended June 30, 2023, compared to 35.0% for the three months ended June 30, 2022, and was 41.2% and 33.1% for the six months ended June 30, 2023 and 2022 respectively.

 

 

A detailed breakdown of G&A expenses is as follows:

 

		Three Months Ended
		June 30,				June 30,				Percentage
		2023				2022				Change
Salaries and wages		$	3,874,046			$	3,816,040				1.5	%
Executive compensation			736,104				760,226				(3.2	)%
Licenses and permits			609,844				656,148				(7.1	)%
Payroll taxes and benefits			857,998				1,042,807				(17.7	)%
Supplies and office expenses			347,112				277,824				24.9	%
Subcontractors			525,175				508,254				3.3	%
Professional fees (legal, audit and other)			2,373,634				1,292,823				83.6	%
Miscellaneous general and administrative expenses			1,344,830				1,595,852				(15.7	)%
Share-based compensation expense			602,627				2,061,079				(70.8	)%
		$	11,271,370			$	12,011,053				(6.2	)%

 

		Six Months Ended
		June 30,				June 30,				Percentage
		2023				2022				Change
Salaries and wages		$	7,544,118			$	7,794,850				(3.2	)%
Executive compensation			1,323,618				4,116,573				(67.8	)%
Licenses and permits			1,467,281				1,433,840				2.3	%
Payroll taxes and benefits			1,251,446				1,457,665				(14.1	)%
Supplies and office expenses			1,730,171				2,060,776				(16.0	)%
Subcontractors			666,198				500,456				33.1	%
Professional fees (legal, audit and other)			1,031,962				1,132,897				(8.9	)%
Miscellaneous general and administrative expenses			4,585,433				3,510,448				30.6	%
Share-based compensation expense			2,626,149				3,490,238				(24.8	)%
		$	22,226,376			$	25,497,743				(12.8	)%

 

Non-cash, share based compensation of $602,627 was recognized during the three months ended June 30, 2023, decreasing from $2,061,079 that was recognized during the three months ended June 30, 2022. For the six months ended June 30, 2023, non-cash share-based compensation expense was $2,626,149, a decrease of 24.8% over the $3,490,238 recognized during the six months ended June 30, 2022. The decrease is attributable to the vesting schedule for both Restricted Share Units (“RSUs”) and incentive stock options that were previously granted, particularly the net 3,954,213 RSUs that were granted on April 18, 2021, that vested 1/3 on December 1, 2021 and 1/3 on December 1, 2022, and that will vest 1/3 on December 1, 2023. These amounts are non-cash, and the expense is recognized in accordance with the vesting schedule of the underlying stock options and RSUs. See Note 12 to our audited consolidated financial statements filed with our Annual Report on Form 10-K for the year ended December 31, 2022, for additional details on the assumptions used to calculate fair value as well as information regarding the vesting of the various components of the non-cash share-based compensation.

 

Sales and marketing expenses increased by 50.2% or $445,062 during the three months ended June 30, 2023, and by 79.0% or $1,177,559 for the six months ended June 30, 2023 when compared to the three and six months ended June 30, 2022. The increase was a result of us continuing to refine our marketing efforts to optimize marketing spend on initiatives that drive increased customer traffic to the Planet 13 Las Vegas Superstore, the Planet 13 OC Superstore, and the Medizin dispensary in Nevada.

 

Lease expense increased by 2.0% during the three months ended June 30, 2023, when compared to the three months ended June 30, 2022 due to increases in number of leases and contracted lease rates for the Company’s leased properties during the period. Lease expense for the six months ended June 30, 2023 increased by 25.3% compared to the six months ended June 30, 2022, due to increases in number of leases and contracted lease rates for the Company’s leased properties during the period.

 

Depreciation and amortization increased 1.2% during the three months ended June 30, 2023, when compared to the prior year period because of the recording of depreciation on the NGW cultivation facility for a full quarter when compared to the prior year period. For the six months ended June 30, 2023, depreciation and amortization increased 5.4% when compared to the prior year period because of the recording of depreciation on the NGW cultivation facility for a full six months when compared to the prior year period.

 

 

Interest income was $299,306 earned during the three months ended June 30, 2023, compared to interest income of $45,258 earned during the three months ended June 30, 2022 (interest income of $591,563 for the six months ended June 30, 2023 compared to interest income of $72,611 during the six months ended June 30, 2022). Interest income is net of interest expense related to accrued interest on our long-term debt that is due and payable on demand. The balance of long-term debt as of June 30, 2023, was $884,000 compared to $884,000 as of December 31, 2022. Interest is being accrued on this note at a rate of 5% per annum.

We conduct our operations in both United States dollars and Canadian dollars, holding financial assets and incurring expenses in both currencies. On December 31, 2022, the value of the USD was USD$1.00=CAD$1.3544 compared to the value of the USD of USD$1.00=CAD$1.3240 at June 30, 2023 and averaged USD$1.00=CAD$1.3477 during the six months ended June 30, 2023, resulting in our realizing a foreign exchange gain of $4,229 during the three months ended June 30, 2023, compared to a foreign exchange gain of $74,543 during the three months ended June 30, 2022 (foreign exchange gain of $6,116 for the six months ended June 30, 2023, compared to a loss of $21,166 for the six months ended June 30, 2022). It is our policy not to hedge our CAD exposure.

 

Warrants are accounted for in accordance with the applicable authoritative accounting guidance in ASC Topic 815, Derivatives and Hedging - Contracts in Entity’s Own Equity (“ASC 815”), as derivative liabilities based on the specific terms of the warrant agreements. Liability-classified instruments are recorded at fair value at each reporting period with any change in fair value recognized as a component of change in fair value of derivative liabilities in the consolidated statements of operations and comprehensive loss. Transaction costs allocated to warrants that are presented as a liability are expensed immediately within other expenses (income) in the statements of net loss and comprehensive loss. During the three months ended June 30, 2023, the change in fair value of the warrants resulted in a gain of $0 (gain of $18,127 during the six months ended June 30, 2023) compared to a gain of $2,635,425 for the three months ended June 30, 2022 (gain of $6,795,234 for the six months ended June 30, 2022).

 

Other income (expense), consisting of Employer Retention Credits, Automated Teller Machine (“ATM”) fees, interest and other miscellaneous income/expense was income of $1,712,598 for the three months ended June 30, 2023, compared to other expense of $85,698 for the three months ended June 30, 2022. Other income for the six months ended June 30, 2023 was $1,857,205 compared to other income of $228,767 for the six months ended June 30, 2022.

 

The income tax expense for the three months ended June 30, 2023, was $2,862,857 compared to $2,892,084 for the prior year period. The tax expense decreased due to the decrease in taxable profitability during the three months ended June 30, 2023, when compared to the three months ended June 30, 2022. Income tax expense for the six months ended June 30, 2023, was $5,195,944 compared to $5,648,846 for the six months ended June 30, 2022. The tax expense decreased due to the decrease in taxable profitability during the six months ended June 30, 2023, when compared to the six months ended June 30, 2022. We are subject to Section 280E of the Internal Revenue Code (the “Code”), which prohibits businesses from taking deductions or credits in carrying on any trade or business consisting of trafficking in certain controlled substances that are prohibited by federal law. We, to the extent of our “trafficking” activities, and/or key contract counterparties directly engaged in trafficking in cannabis, have incurred significant tax liabilities from the application of Section 280E. Our income tax obligations under Section 280E of the Code are typically substantially higher as compared to companies to which Section 280E does not apply. Section 280E essentially requires us to pay federal, and as applicable, state income taxes on gross profit, which presents a significant financial burden that increases our net loss and may make it more difficult for us to generate net profit and cash flow from operations in future periods. In addition, to the extent that the application of Section 280E creates a financial burden on contract counterparties, such burdens may impact the ability of such counterparties to make full or timely payment to us, which would also have a material adverse effect on our business.

 

The overall net loss for the three months ended June 30, 2023, was $4,349,326 ($0.02 per share) compared to an overall net loss of $2,039,525 (($0.01) per share) for the three months ended June 30, 2022. The overall net loss for the six months ended June 30, 2023, was $10,653,568 ($0.05 per share) compared to an overall net loss of $4,100,596 (($0.02) per share) for the six months ended June 30, 2022.

 

Segmented Disclosure

 

The Company determined that each of its locations represents an operating segment. These operating segments have been aggregated into a single reportable segment as the Company operates as a vertically integrated cannabis company with dispensary, cultivation, production and distribution operations in the State of Nevada and dispensary, cultivation and distribution operations in the State of California.

 

 

Liquidity and Capital Resources

 

As of June 30, 2023, our financial instruments consist of cash, deposits, accounts payable and accrued liabilities, and notes payable. We have no speculative financial instruments, derivatives, forward contracts, or hedges.

 

As of June 30, 2023, we had working capital of $47,131,478 compared to working capital of $55,124,236 as of December 31, 2022. The Company believes that it has adequate liquidity in the form of cash on hand to fund all its planned capital expenditures and expansion plans as well as to continue to fund its operation over the next 12 months, the planned build-out of its operations in Florida, the further expansion of operations in Nevada and California, and the continuing build-out of its Illinois retail location.

 

The following table relates to the six months ended June 30, 2023 and 2022:

 

		Six Months Ended
		June 30,				June 30,
		2023				2022
Cash flows provided by operating activities			(6,725,639	)			1,185,636
Cash flows used in investing activities			(4,896,224	)			(10,259,044	)
Cash flows provided by financing activities			-				-

 

Cash Flows from Operating Activities

 

Net cash used in operating activities was ($6,725,639) for the six months ended June 30, 2023, compared to cash provided by operating activities of $1,185,636 for the six months ended June 30, 2022. A significant portion of the increase in cash used in operating activities is directly attributable to professional fees and other consulting services used during the six months ended June 30, 2023, when compared to the six months ended June 30, 2022.

 

Cash Flows from Investing Activities

 

Net cash used in investing activities was $4,896,224 for the six months ended June 30, 2023, compared to net cash used in investing activities of $10,259,044 for the six months ended June 30, 2022.  The change in cash used in investing activities for the six months ended June 30, 2023 decreased by $5,362,820 as a result of fewer development projects that were in process during the 2023 period when compared to the six months ended June 30, 2022.  The Company is in the process of completing the remaining build-out of the Superstore grand hallway and grey shell for the Cannabition museum space and the buildout of its Illinois dispensary, all expected to be substantially complete in Q4 2023.  During the six months ended June 30, 2022, the Company was focused on the expansion of its Bell Drive cultivation facility in Nevada and the acquisition of Next Green Wave Inc. in California.

 

Cash Flows from Financing Activities

 

Net cash used in financing activities was ($267,526) during the six months ended June 30, 2023, compared to net cash provided by financing activities of $97,980 for the six months ended June 30, 2022.

 

Capital Resources

 

We have a recent history of operating losses. It may be necessary for us to arrange for additional financing to meet our on-going growth initiatives.

 

Management believes it will be able to raise equity capital as required in the long term, but recognizes the risks attached thereto. There can be no assurance that it will be able to obtain adequate financing in the future or that the terms of such financing may be favorable.

 

Should financing not be available, the Company has adequate liquidity in the form of cash on hand to fund all of its planned capital expenditures and expansion plans as well as to continue to fund its operation over the next 12 months, including the planned build-out of its operations in Florida and the continuing build-out of its Illinois retail location.

 

 

Capital Management

 

Our capital consists of shareholders’ equity. Our objective when managing capital is to maintain adequate levels of funding to support the development of our businesses and maintain the necessary corporate and administrative functions to facilitate these activities. This is done primarily through equity financing and incurring debt. Future financings are dependent on market conditions and there can be no assurance we will be able to raise funds in the future. We invest all capital that is surplus to our immediate operational needs in short-term, highly liquid, and high-grade financial instruments. There were no changes to our approach to capital management during the period. We are not subject to externally imposed capital requirements.

 

Off-Balance Sheet Arrangements

 

We have no off-balance sheet arrangements as of June 30, 2023, or as of December 31, 2022, or as of the date hereof.

 

Critical Accounting Estimates

 

The preparation of consolidated financial statements in conformity with GAAP requires our management to make judgements, estimates and assumptions about future events that affect the amounts reported in the consolidated financial statements. Although these estimates are based on management’s best knowledge of the amounts, events or actions, actual results may differ from those estimates. Estimates and judgements are continuously evaluated and are based on management’s experience and other factors, including expectations of future events that are believed to be reasonable.

 

Revisions to accounting estimates are recognized in the period in which the estimates are revised and in any future periods affected.

 

There have been no material changes to our critical accounting estimates as set forth in Part II, Item 7 of our Annual Report on Form 10-K for the year ended December 31, 2022.

 

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

 

There have been no material changes to our market risk disclosures as set forth in Part II, Item 7A of our Annual Report on Form 10-K for the year ended December 31, 2022.

 

Item 4. Controls and Procedures

 

Conclusion Regarding the Effectiveness of Disclosure Controls and Procedures

 

We maintain disclosure controls and procedures that are designed to ensure that information required to be disclosed in our reports under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to management, including our Co-Chief Executive Officers (“Co-CEOs”) and Chief Financial Officer (“CFO”), as appropriate, to allow timely decisions regarding required disclosure. In designing and evaluating the disclosure controls and procedures, management recognized that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives, as ours are designed to do, and management necessarily was required to apply its judgment in evaluating the risk related to controls and procedures.

 

In connection with the preparation of this Quarterly Report on Form 10-Q, as of June 30, 2023, an evaluation was performed under the supervision and with the participation of our management, including the Co-CEOs and CFO, of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act). Based on that evaluation, our management concluded that our disclosure controls and procedures were effective at a reasonable assurance level as of June 30, 2023.

 

Changes in Internal Control Over Financial Reporting

 

There was no change in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) identified in connection with the evaluation of our internal control performed during the last fiscal quarter that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

 

 

PART II—OTHER INFORMATION

 

Item 1. Legal Proceedings.

 

The Company is subject to ordinary routine legal proceedings incidental to the business, none of which is, or is anticipated to be, material to us or our subsidiaries.  The outcome of litigation is inherently uncertain.  If one or more legal matters were resolved against the Company in a reporting period for amounts above management's expectations, the Company's financial condition and operating results for that reporting period could be materially adversely affected.

 

Item 1A. Risk Factors.

 

In addition to the risk factor set forth below and other information set forth in this report, you should carefully consider the risk factors discussed in Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2022, which could materially affect our business, financial condition, financial results, or future performance. Other than as set forth below, there have been no material changes from the risk factors previously disclosed in our Annual Report on Form 10-K for the year ended December 31, 2022.

 

Implications of being a smaller reporting company

 

Based on our public float, as of the last business day of our second fiscal quarter, we determined that we requalify as a smaller reporting company for the fiscal year ending December 31, 2023.

 

Smaller reporting companies are able to provide simplified executive compensation disclosure and have certain other reduced disclosure obligations, including, among other things, being permitted to provide only two years of audited financial statements in our Annual Report on Form 10-K, with correspondingly reduced “Management’s Discussion and Analysis of Financial Condition and Results of Operations”; and not being required to furnish a stock performance graph in our annual report.

 

We may choose to take advantage of some, but not all, of the available exemptions. We have taken advantage of reduced reporting burdens in our other filings with the Securities and Exchange Commission. We cannot predict whether investors will find our common shares less attractive if we rely on certain or all of these exemptions. If some investors find our common shares less attractive as a result, there may be a less active trading market for our common shares and our stock price may be more volatile.

 

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

 

Not applicable.

 

Item 3. Defaults Upon Senior Securities.

 

Not applicable.

 

Item 4. Mine Safety Disclosures.

 

Not applicable.

 

Item 5. Other Information.

 

None.

 

 

Item 6. Exhibits.

 

EXHIBIT INDEX

 

				Incorporated by Reference
Exhibit No.		Description		Form		Exhibit		Filing Date		Filed/Furnished Herewith
31.1		Certification of Principal Executive Officer (Robert Groesbeck) pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.								✓
31.2		Certification of Principal Executive Officer (Larry Scheffler) pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.								✓
31.3		Certification of Principal Financial Officer pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.								✓
32.1		Certification of Principal Executive Officers and Principal Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.								✓
101.INS		Inline XBRL Instance Document
101.SCH		Inline XBRL Taxonomy Extension Schema Document
101.CAL		Inline XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF		Inline XBRL Taxonomy Extension Definition Linkbase Document
101.LAB		Inline XBRL Taxonomy Extension Label Linkbase Document
101.PRE		Inline XBRL Taxonomy Extension Presentation Linkbase Document
104		Cover Page Interactive Data File (embedded within the Inline XBRL and contained in Exhibit 101)								✓

 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

 

Date: August 9, 2023	By:	/s/ Robert Groesbeck
		Robert Groesbeck
		Co-Chief Executive Officer
		(Principal Executive Officer)
	By:	/s/ Larry Scheffler
		Larry Scheffler
		Co-Chief Executive Officer
		(Principal Executive Officer)
	By:	/s/ Dennis Logan
		Dennis Logan
		Chief Financial Officer
		(Principal Financial and Accounting Officer)

 

 

EXHIBIT 31.1

 

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

PURSUANT TO RULES 13a-14(a) AND 15d-14(a)

UNDER THE SECURITIES EXCHANGE ACT OF 1934,

AS ADOPTED PURSUANT TO SECTION 302

OF THE SARBANES-OXLEY ACT OF 2002

 

I, Robert Groesbeck, certify that:

 

1.	I have reviewed this Quarterly Report on Form 10-Q of Planet 13 Holdings Inc.;

 

2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4.

The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

(a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

(b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

(c)

Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

(d)

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

5.	The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

 

(a)

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

 

(b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

 

Date: August 9, 2023	/s/ Robert Groesbeck
	Robert Groesbeck
	Co-Chief Executive Officer
	(Principal Executive Officer)

 

EXHIBIT 31.2

 

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

PURSUANT TO RULES 13a-14(a) AND 15d-14(a)

UNDER THE SECURITIES EXCHANGE ACT OF 1934,

AS ADOPTED PURSUANT TO SECTION 302

OF THE SARBANES-OXLEY ACT OF 2002

 

I, Larry Scheffler, certify that:

 

1.	I have reviewed this Quarterly Report on Form 10-Q of Planet 13 Holdings Inc.;

 

2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4.

The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

(a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

(b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

(c)

Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

(d)

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

5.	The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

 

(a)

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

 

(b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

 

Date: August 9, 2023	/s/ Larry Scheffler
	Larry Scheffler
	Co-Chief Executive Officer
	(Principal Executive Officer)

 

EXHIBIT 31.3

 

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

PURSUANT TO RULES 13a-14(a) AND 15d-14(a)

UNDER THE SECURITIES EXCHANGE ACT OF 1934,

AS ADOPTED PURSUANT TO SECTION 302

OF THE SARBANES-OXLEY ACT OF 2002

 

I, Dennis Logan, certify that:

 

1.	I have reviewed this Quarterly Report on Form 10-Q of Planet 13 Holdings Inc.;

 

2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4.

The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

(a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

(b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

(c)

Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

(d)

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

5.	The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

 

(a)

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

 

(b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

 

Date: August 9, 2023	/s/ Dennis Logan
	Dennis Logan
	Chief Financial Officer
	(Principal Financial and Accounting Officer)

 

EXHIBIT 32.1

 

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICERS AND PRINCIPAL FINANCIAL OFFICER

PURSUANT TO 18 U.S.C. SECTION 1350 AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

 

In connection with the Quarterly Report of Planet 13 Holdings Inc. (the “Company”) on Form 10-Q for the period ended June 30, 2023, as filed with the Securities and Exchange Commission (“SEC”) on the date hereof (the “Report”), each of Robert Groesbeck, Co-Chief Executive Officer of the Company, Larry Scheffler, Co-Chief Executive Officer of the Company, and Dennis Logan, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. section 1350, as adopted pursuant to section 906 of the Sarbanes-Oxley Act of 2002, that:

 

	(1)	The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and
	(2)	The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

 

 

Date: August 9, 2023	/s/ Robert Groesbeck
	Robert Groesbeck
	Co-Chief Executive Officer
Date: August 9, 2023	/s/ Larry Scheffler
	Larry Scheffler
	Co-Chief Executive Officer
Date: August 9, 2023	/s/ Dennis Logan
	Dennis Logan
	Chief Financial Officer

 

v3.23.2

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2023	Aug. 08, 2023
Document Information [Line Items]
Entity Central Index Key	0001813452
Entity Registrant Name	Planet 13 Holdings Inc.
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2023
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2023
Document Transition Report	false
Entity File Number	000-56374
Entity Incorporation, State or Country Code	A1
Entity Tax Identification Number	83-2787199
Entity Address, Address Line One	2548 West Desert Inn Road, Suite 100
Entity Address, City or Town	Las Vegas
Entity Address, State or Province	NV
Entity Address, Postal Zip Code	89109
City Area Code	702
Local Phone Number	815-1313
Title of 12(g) Security	Common Shares
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		222,247,854

v3.23.2

Interim Condensed Consolidated Balance Sheets (Unaudited) - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Current Assets:
Cash	$ 40,467,525	$ 52,356,914
Accounts Receivable	1,320,998	1,326,795
Inventory	14,712,473	13,004,839
Prepaid Expenses and Other Current Assets	2,848,838	3,810,394
Total Current Assets	59,349,834	70,498,942
Property and Equipment	69,453,103	71,466,051
Intangible Assets	71,100,663	69,288,007
Right of Use Assets - Operating	21,650,593	21,168,171
Long-term Deposits and Other Assets	832,853	862,545
Deferred Tax Asset	318,294	346,257
TOTAL ASSETS	222,705,340	233,629,973
LIABILITIES AND SHAREHOLDERS' EQUITY
Accounts Payable	3,018,576	3,112,820
Accrued Expenses	6,989,504	8,072,224
Income Taxes Payable	781,233	2,826,501
Notes Payable - Current Portion	884,000	884,000
Operating Lease Liabilities	545,043	479,161
Total Current Liabilities	12,218,356	15,374,706
Long-Term Liabilities:
Operating Lease Liabilities	26,738,325	25,833,071
Warranty Liability	0	18,127
Other Long-term Liabilities	28,000	28,000
Deferred Tax Liability	1,482,864	1,487,204
Total Liabilities	40,467,545	42,741,108
Commitments and Contingencies (refer to Note 16)
SHAREHOLDERS' EQUITY
Common Shares, no par value, unlimited Common Shares authorized, 222,247,854 issued and outstanding at June 30, 2023 and 220,470,061 at December 31, 2022	0	0
Additional Paid-In Capital	314,025,857	312,023,359
Deficit	(131,788,062)	(121,134,494)
Total Shareholders' Equity	182,237,795	190,888,865
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ 222,705,340	$ 233,629,973

v3.23.2

Interim Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) - $ / shares $ / shares in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Common stock, par value (in dollars per share)	$ 0	$ 0
Common Stock, Shares Authorized	Unlimited	Unlimited
Common Stock, Shares, Issued (in shares)	222,247,854	220,470,061
Common Stock, Shares, Outstanding, Ending Balance (in shares)	222,247,854	220,470,061

v3.23.2

Interim Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Revenue, net of discounts	$ 25,832,711	$ 28,412,230	$ 50,748,107	$ 54,106,625
Cost of Goods Sold	(13,950,477)	(14,587,723)	(27,983,062)	(27,381,114)
Gross Profit	11,882,234	13,824,507	22,765,045	26,725,511
Expenses:
General and Administrative	11,271,370	12,011,053	22,226,376	25,497,743
Sales and Marketing	1,332,498	887,436	2,668,237	1,490,678
Lease Expense	794,389	779,050	1,579,025	1,260,297
Depreciation	1,986,578	1,963,937	4,222,042	4,003,989
Total Expenses	15,384,835	15,641,476	30,695,680	32,252,707
Loss From Operations	(3,502,601)	(1,816,969)	(7,930,635)	(5,527,196)
Other Income (Expense):
Interest income, net	299,306	45,258	591,563	72,611
Foreign exchange gain (loss)	4,229	74,543	6,116	(21,166)
Change in fair value of warrant liability	0	2,635,425	18,127	6,795,234
Other Income (Expense), net	1,712,598	(85,698)	1,857,205	228,767
Total Other Income	2,016,133	2,669,528	2,473,011	7,075,446
Loss Before Provision for Income Taxes	(1,486,468)	852,559	(5,457,624)	1,548,250
Provision For Income Taxes
Current Tax Expense	(2,904,644)	(2,908,359)	(5,169,732)	(5,676,474)
Deferred Tax Recovery	41,787	16,275	(26,212)	27,628
Net Loss and Comprehensive Loss	$ (4,349,325)	$ (2,039,525)	$ (10,653,568)	$ (4,100,596)
Loss per Share
Basic and diluted loss per share (in dollars per share)	$ (0.02)	$ (0.01)	$ (0.05)	$ (0.02)
Weighted Average Number of Common Shares
Basic and diluted (in shares)	221,791,320	220,088,004	221,439,841	212,869,574

v3.23.2

Interim Condensed Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($)	Restricted Stock Units (RSUs) [Member] Additional Paid-in Capital [Member]	Restricted Stock Units (RSUs) [Member] Retained Earnings [Member]	Restricted Stock Units (RSUs) [Member]	Common Stock [Member]	Warrants [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Total
Balance (in shares) at Jan. 10, 2022				198,687,950	295,838
Balance at Jan. 10, 2022						$ 245,861,704	$ (72,154,194)	$ 173,707,510
Share based compensation	$ 4,116,573	$ 0	$ 4,116,573
Shares Issued on Acquisition (in shares)				21,361,002	0
Shares Issued on Acquisition						57,854,830	0	57,854,830
Replacement Options Issued on Acquisition						1,239,818	0	1,239,818
Shares Issued on Exercise of Options (in shares)				97,325	0
Shares Issued on Exercise of Options						97,980	0	97,980
Net Loss for the Period							(4,100,596)	(4,100,596)
Balance (in shares) at Jun. 30, 2022				220,146,277	295,838
Balance at Jun. 30, 2022						309,170,905	(76,254,790)	232,916,115
Balance (in shares) at Dec. 31, 2022				220,470,061	295,838
Balance at Dec. 31, 2022						312,023,359	(121,134,494)	$ 190,888,865
Share based compensation	$ 1,323,618	$ 0	$ 1,323,618
Shares Issued on Acquisition (in shares)								0
Shares Issued on Exercise of Options (in shares)				1,063,377	0
Shares Issued on Exercise of Options						946,406	0	$ 946,406
Net Loss for the Period						0	(10,653,568)	(10,653,568)
Share based Compensation - RSUs - Taxes Paid in Lieu of Share Issuance						(267,526)	0	$ (267,526)
Shares Issued on Settlement of RSUs (in shares)				714,416	0			714,416
Shares Issued on Settlement of RSUs						0	0	$ 0
Balance (in shares) at Jun. 30, 2023				222,247,854	295,838
Balance at Jun. 30, 2023						$ 314,025,857	$ (131,788,062)	$ 182,237,795

v3.23.2

Interim Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2022
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES
Net loss	$ (4,349,325)	$ (2,039,525)	$ (10,653,568)	$ (4,100,596)	$ (4,100,596)
Adjustments for items not involving cash:
Shared based compensation expense			1,323,618		4,116,573
Non-cash lease expense			2,559,990		1,799,593
Depreciation			6,230,026		5,316,191
Change in fair value of warrant liability			(18,127)		(6,795,234)
Loss on translation of warrant liability			0		12,758
Deferred tax recovery			(4,340)		0
Proceeds from lease incentive			0		1,000,000
Lease incentive amortization			(52,231)		(260,987)
Gain on sale of fixed assets			(14,749)		0
Adjustments, Noncash Items, to Reconcile Net Income (Loss) to Cash Provided by (Used in) Operating Activities			(629,381)		1,088,298
Net Changes in Non-cash Working Capital Items			(4,079,677)		1,848,718
Repayment of lease liabilities			(2,016,581)		(1,751,380)
Total Operating			(6,725,639)		1,185,636
FINANCING ACTIVITIES
RSU withholding taxes paid in lieu of share issuance			(267,526)		0
Proceeds from exercise of warrants and options			0		97,980
Total Financing			(267,526)		97,980
INVESTING ACTIVITIES
Purchase of property, plant and equipment			(4,070,701)		(11,737,742)
Proceeds from sales of fixed assets			40,727		0
Net cash acquired through NGW acquisition			0		1,478,698
Total Investing			(4,896,224)		(10,259,044)
Effect of foreign exchange on cash			0		1,909
NET CHANGE IN CASH DURING THE PERIOD			(11,889,389)		(8,973,519)
CASH
Beginning of Period			52,356,914		61,588,843
End of Period	$ 40,467,525	$ 52,615,324	40,467,525	$ 52,615,324	52,615,324
Planet 13 Illinois, LLC [Member]
INVESTING ACTIVITIES
Purchase of 51% interest in Planet 13 Illinois			$ (866,250)		$ 0

v3.23.2

Note 1 - Nature of Operations	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Nature of Operations [Text Block]	1. Nature of Operations   Planet 13 Holdings Inc. (“Planet 13” or the “Company”) was incorporated under the Canada Business Corporations Act on April 26, 2002 and continued under the British Columbia Business Corporations Act on September 24, 2019 (see Note 20 - Subsequent Events regarding the Company's proposed re-domestication to Nevada).   The Company, through its subsidiaries, is a vertically integrated cultivator and provider of cannabis and cannabis-infused products that is licensed under the laws of the States of Nevada, California, Florida, and Illinois. We are licensed in these jurisdictions as follows: six Nevada cultivation licenses (three medical and three adult-use), six Nevada production licenses (three medical and three adult-use), three Nevada dispensary licenses (one medical and two adult-use), one Nevada distribution license, one California adult-use dispensary license, two California distribution licenses, one California adult-use cultivation license, one California adult-use manufacturer license, one Florida Medical Marijuana Treatment Center license (unlimited medical dispensaries, cultivation and processing) and one Illinois conditional adult-use dispensary license.    Planet 13 is a public company with common shares listed on the Canadian Securities Exchange (“CSE”) under the symbol PLTH and quoted on the OTCQX exchange under the symbol “PLNHF”.   The Company’s registered office is located at Bentall 5, 550 Burrard Street, Suite 2501, Vancouver, BC V6C 285, and the head office address is 2548 W. Desert Inn Road, Las Vegas, NV 89109.   While cannabis and CBD-infused products are legal under the laws of several U.S. states (with varying restrictions applicable), the United States Federal Controlled Substances Act classifies all “marijuana” as a Schedule I drug, whether for medical or recreational use. Under U.S. federal law, a Schedule I drug or substance has a high potential for abuse, no accepted medical use in the United States, and a lack of safety for use under medical supervision.   The federal government currently is prohibited from prosecuting businesses that operate in compliance with applicable state and local medical cannabis laws and regulations; however, this does not protect adult use cannabis. In addition, if the federal government changes this position, it would be financially detrimental to the Company.

v3.23.2

Note 2 - Basis of Presentation	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Basis of Accounting [Text Block]	2. Basis of Presentation   These unaudited condensed consolidated interim financial statements reflect the accounts of the Company and have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) for all periods presented. Certain information and footnote disclosures normally included in the audited annual consolidated financial statements prepared in accordance with GAAP have been omitted or condensed. The information included in these unaudited interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes as of and for the year ended  December 31, 2022 included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. These unaudited interim condensed consolidated financial statements reflect all adjustments (consisting of normal recurring adjustments), which, in the opinion of management, are necessary for the fair presentation of the results for the interim periods presented. Interim results are not necessarily indicative of results for a full year.   These unaudited interim condensed consolidated financial statements have been prepared on a going concern basis, which assumes that the Company will continue in operation for the foreseeable future and, accordingly, will be able to realize its assets and discharge its liabilities in the normal course of operations as they come due.   Failure to arrange adequate financing on acceptable terms and/or achieve profitability may have an adverse effect on the financial position, results of operations, cash flows and prospects of the Company. These unaudited interim condensed consolidated financial statements do not give effect to adjustments to assets or liabilities that would be necessary should the Company be unable to continue as a going concern. Such adjustments could be material. These unaudited interim condensed consolidated financial statements are presented in U.S. dollars, which is also the Company’s and its subsidiaries’ functional currency.   These unaudited condensed consolidated interim financial statements were authorized for issuance by the Board of Directors of the Company on August 9, 2023.    i) Basis of consolidation   These accompanying unaudited condensed consolidated interim financial statements include the accounts of the Company and all subsidiaries. Subsidiaries are entities in which the Company has a controlling voting interest or is the primary beneficiary of a variable interest entity. Subsidiaries are fully consolidated from the date control is transferred to the Company and are deconsolidated from the date control ceases. All intercompany accounts and transactions have been eliminated upon consolidation. The unaudited condensed consolidated interim financial statements include all the assets, liabilities, revenues, expenses and cash flows of the Company and its subsidiaries after eliminating intercompany balances and transactions.   These unaudited condensed consolidated interim financial statements include the accounts of the Company and the following entities which are subsidiaries of the Company:   Subsidiaries as at June 30, 2023   Jurisdiction of Incorporation   Ownership Interest 2023   Ownership Interest 2022   Nature of Business                   MM Development Company, Inc. ("MMDC")   Nevada, USA   100%   100%   Nevada license holding company; vertically integrated cannabis operations BLC Management Company LLC   Nevada, USA   100%   100%   Management/holding company LBC CBD LLC ("LBC")   Nevada, USA   100%   100%   CBD retail sales and marketing Newtonian Principles Inc.   California, USA   100%   100%   California license holding company; cannabis retail sales Crossgate Capital U.S. Holdings Corp.   Nevada, USA   100%   100%   Holding company Next Green Wave, LLC   California, USA   100%   100%   California license holding company; cannabis cultivation and processing Planet 13 Illinois, LLC   Illinois, USA   100%   49%   Illinois license holding company BLC NV Food, LLC   Nevada, USA   100%   100%   Holding company for By The Slice LLC By The Slice, LLC   Nevada, USA   100%   100%   Subsidiary of BLC NV Food, LLC; restaurant and retail operations Planet 13 Chicago, LLC   Illinois, USA   100%   100%   Holding company Planet 13 Florida, Inc.   Florida, USA   100%   100%   Florida license holding company Club One Three, LLC   Nevada, USA   100%   100%   Inactive   ii) Functional currency   These unaudited condensed consolidated interim financial statements are presented in U.S. Dollars (“USD”), which is the Company’s and its subsidiaries’ functional currency.   Foreign currency transactions are remeasured to the respective financial currencies of the Company’s entities at the exchange rates in effect on the date of the transactions.  Monetary assets and liabilities denominated in foreign currencies are measured to functional currency at the foreign exchange rate applicable at the statement of balance sheets date.  Non-monetary items are carried at historical rates. Non-monetary items carried at face value denominated in foreign currencies are remeasured to the functional currency at the date when the fair value was determined.  Realized and unrealized foreign exchange gains and losses are recognized through profit or loss.     iii) Emerging growth company   The Company is an “Emerging Growth Company”, as defined in Section 2(a) of the Securities Act of 1933, as amended (the “Securities Act”), as modified by the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”), and it has taken advantage of certain exemptions that are not applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the independent registered public accounting firm attestation requirements of Section 404 of the Sarbanes-Oxley Act, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and shareholder approval of any golden parachute payments not previously approved.   Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not has a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial reporting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public and private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard.

v3.23.2

Note 3 - Inventory	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Inventory Disclosure [Text Block]	3. Inventory   Finished goods inventory consists of dried cannabis, concentrates, edibles, and other products that are complete and available for sale (both internally generated inventory and third-party products purchased in the wholesale market). Work in process inventory consists of cannabis after harvest, in the processing stage. Packaging and miscellaneous consist of consumables for use in the transformation of biological assets and other inventory used in the production of finished goods, non-cannabis merchandise and food and beverage items. The Company’s inventory is comprised of:       June 30,     December 31,       2023     2022                     Raw materials   $ 5,379,140     $ 5,209,667   Packaging and miscellaneous     1,557,929       1,584,659   Work in progress     2,804,811       1,965,052   Finished goods     4,970,593       4,245,461       $ 14,712,473     $ 13,004,839     Cost of Inventory is recognized as an expense when sold and included in the cost of goods sold. During the three and six months ended June 30, 2023, the Company recognized $13,950,477 and $27,983,062 (2022 - $14,587,723 and $27,381,114) of inventory expensed to cost of goods sold.

v3.23.2

Note 4 - Prepaid Expenses and Other Current Assets	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Prepaid Expenses and Other Current Assets [Text Block]	4. Prepaid Expenses and Other Current Assets       June 30,     December 31,       2023     2022                     Security deposits   $ 1,054,776     $ 1,399,424   Prepaid rent     387,997       348,433   Insurance     394,306       678,402   License fees     749,545       776,717   Miscellaneous     262,214       607,418       $ 2,848,838     $ 3,810,394

v3.23.2

Note 5 - Property and Equipment	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Property, Plant and Equipment Disclosure [Text Block]	5. Property and Equipment       Land and                     Leasehold     Construction               Improvements     Buildings     Equipment     Improvements     in Progress     Total   Gross carrying amount                                                                                                   At December 31, 2022   $ 6,374,511     $ 13,963,025     $ 12,799,645     $ 63,555,792     $ 3,528,703     $ 100,221,676   Additions     210,830       1,979,925       647,450       468,885       947,345       4,254,435   Disposals     -       -       (97,043 )     -       -       (97,043 ) At June 30, 2023   $ 6,585,341     $ 15,942,950     $ 13,350,052     $ 64,024,677     $ 4,476,048     $ 104,379,068                                                     Depreciation                                                                                                   At December 31, 2022   $ 231,522     $ 540,648     $ 6,333,865     $ 21,649,590     $ -     $ 28,755,625   Additions     24,365       174,623       1,318,646       4,712,392       -       6,230,026   Disposals     -       -       (59,686 )     -       -       (59,686 ) At June 30, 2023   $ 255,887     $ 715,271     $ 7,592,825     $ 26,361,982     $ -     $ 34,925,965                                                     Carrying amount                                                                                                   At December 31, 2022   $ 6,142,989     $ 13,422,377     $ 6,465,780     $ 41,906,202     $ 3,528,703     $ 71,466,051   At June 30, 2023   $ 6,329,454     $ 15,227,679     $ 5,757,227     $ 37,662,695     $ 4,476,048     $ 69,453,103     As at June 30, 2023, costs related to the construction of facilities were capitalized as construction in progress and not depreciated. Once construction is completed, the construction in progress balance is moved to the appropriate fixed asset account and depreciation commences. The contractual construction commitment as of June 30, 2023 was $8,231,097 ( December 31, 2022 - $0).   For the six months ended June 30, 2023, depreciation expense was $6,230,026 (2022 - $5,316,191) of which $2,007,984 (2022 - $1,327,062) was included in cost of goods sold.   During the six months ended June 30, 2023, no amounts were transferred from Construction in Progress to the other fixed accounts.

v3.23.2

Note 6 - Intangible Assets	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Goodwill and Intangible Assets Disclosure [Text Block]	6. Intangible Assets       Retail Dispensary Santa Ana     Retail Dispensary Clark County     Cultivation and Production Clark County     Master License Florida     Cultivation Coalinga CA     Retail Dispensary Waukegan IL     Other     Total   Gross                                                                 carrying amount                                                                                                                                   Balance, December 31, 2022   $ 6,151,343     $ 690,000     $ 709,798     $ 55,846,866     $ 6,232,222     $ -     $ 30,000     $ 69,660,229   Additions     -       -       -       -       -       1,812,656       -       1,812,656   Balance at June 30, 2023   $ 6,151,343     $ 690,000     $ 709,798     $ 55,846,866     $ 6,232,222     $ 1,812,656     $ 30,000     $ 71,472,885                                                                     Amortization                                                                                                                                   Balance, December 31, 2022   $ -     $ -     $ -     $ -     $ 372,222     $ -     $ -     $ 372,222   Additions     -       -       -       -       -             -       -   Balance at June 30, 2023   $ -     $ -     $ -     $ -     $ 372,222     $ -     $ -     $ 372,222                                                                     Carrying amount                                                                                                                                   Balance at December 31, 2022   $ 6,151,343     $ 690,000     $ 709,798     $ 55,846,866     $ 5,860,000     $ -     $ 30,000     $ 69,288,007   Balance at June 30, 2023   $ 6,151,343     $ 690,000     $ 709,798     $ 55,846,866     $ 5,860,000     $ 1,812,656     $ 30,000     $ 71,100,663     NGW Acquisition   On March 2, 2022, the Company acquired 100% ownership interest of Next Green Wave Holdings, Inc. (“NGW”) and accounted for the transaction as a business combination acquisition pursuant to ASC 805.   NGW was incorporated in 2011 and was formed for the purpose of cultivating and selling cannabis products in the state of California, where it owns and operates a cultivation and manufacturing facility.  The Company executed the NGW transaction in order to introduce certain of its brands to the California market; complement its dispensary operations in Santa Ana, California; and expand its California revenue base.   The aggregate purchase price for the NGW transaction was $57,574,938 and consisted of $14,788 in cash consideration, $1,239,818 in replacement options and $56,320,332 in share consideration. The share consideration was comprised of 21,361,002 common shares of the Company at a fair value of $C3.34 per common share, which were issued on March 2, 2022.   The following table summarizes the allocation of consideration exchanged to the estimated fair value of tangible and intangible assets acquired:   Consideration paid:                   Cash   $ 14,788   Issuance of 21,361,002 Class A Shares     56,320,332   Issuance of 1,106,925 replacement options     1,239,818       $ 57,574,938             Fair value of net assets acquired:                   Cash   $ 1,493,922   Inventory     3,077,367   Accounts Receivable     1,374,142   Property, plant and equipment     16,229,350   Intangible assets     13,180,000   Goodwill     25,802,688   Accounts Payable and Accrued Liabilities     (233,158 ) Income taxes payable     (125,445 ) Deferred tax liability     (3,223,928 )     $ 57,574,938     The purchase price allocations for the NGW transaction reflect various fair value estimates and analyses relating to the determination of fair value of certain tangible and intangible assets acquired and residual goodwill. The Company determined the estimated fair value of the acquired working capital, and identifiable intangible assets and goodwill after review and consideration of relevant information including discounted cash flow analyses, market data and management’s estimates, prepared by an independent valuation firm. The estimated fair value of acquired working capital was determined to approximate carrying value.   The goodwill arising from the NGW transaction consists of expected synergies from combining operations of the Company and NGW, and intangible assets not qualifying for separate recognition such as formulations, proprietary technologies and acquired know-how. None of the goodwill is deductible for tax purposes.   NGW’s state cannabis licenses and brands represented identifiable intangible assets acquired in the amounts of $11,840,000 and $1,340,000, respectively. The NGW cannabis licenses acquired have an indefinite life and as such will not be subject to amortization while the brands have a definite useful life of three years. As of December 31, 2022, the Company evaluated whether intangible assets and goodwill showed any indicators of impairment, and it was determined that such indicators existed.  As a result of the Company’s analysis, it was determined that the brands and licenses were impaired, resulting in the Company recording an impairment charge of $6,947,778.   In connection with the NGW transaction, the Company expensed $1,238,379 of acquisition-related costs, which have been included in general and administrative expenses on the Company’s consolidated statement of operations and comprehensive loss for the period ended June 30, 2022.   The following table reflects the revenue, gross profit and comprehensive loss that would have been reported if the acquisition had occurred at the beginning of the period indicated:       Three Months Ended June 30, 2022     Six Months Ended June 30, 2022       As Reported     NGW     Pro Forma     As Reported     NGW     Pro Forma                                                     Revenue, net of discounts   $ 28,412,230     $ -     $ 28,412,230     $ 54,106,625     $ 870,651     $ 54,977,276   Gross Profit     13,824,507       -       13,824,507       26,725,511       (131,700 )     26,593,811   Comprehensive loss for the period     (2,039,525 )     -       (2,039,525 )     (4,100,596 )     (868,125 )     (4,968,721 )   The carrying value of goodwill in each reporting unit is indicative of the expected growth and development of the business. In the fourth quarter of fiscal 2022, the Company identified qualitative indicators of impairment as a result of a downturn in the wholesale pricing of cannabis.  The reduction in the price of wholesale cannabis resulted in a downward adjustment of the future financial forecasts for the Company’s NGW business, which indicated that impairment of the goodwill asset was a more-likely-than-not outcome. A qualitative step zero impairment test was performed on the NGW business which indicated a potential impairment. The Company conducted a quantitative impairment analysis of its NGW reporting unit using the income approach as at December 31, 2022.   The recoverable amount of the reporting unit to which goodwill is allocated and the asset group to which indefinite life intangibles are allocated were determined based on fair value using Level 3 inputs in a discounted cash flow analysis. Management tested the NGW asset group for the definite lived assets impairment. The result was impairment for the definite lived assets of the NGW asset group. Where applicable, the Company uses its market capitalization and comparative market multiples to corroborate discounted cash flow results. The significant assumptions applied in the determination of the recoverable amount are described below:     ● Cash flows: Estimated cash flows were projected based on actual operating results from internal sources as well as industry and market trends. Estimated cash flows are primarily driven by sales volumes, selling prices and operating costs. The forecasts are extended to a total of six years (and a terminal year thereafter);   ● Terminal value growth rate: The terminal growth rate was based on historical and projected consumer price inflation, historical and projected economic indicators and projected industry growth;   ● Post-tax discount rate: The post-tax discount rate is reflective of the reporting unit’s Weighted Average Cost of Capital (“WACC”). The WACC was estimated based on the risk-free rate, equity risk premium, beta adjustment to the equity risk premium based on a direct comparison approach, an unsystematic risk premium, and after-tax cost of debt based on corporate bond yields; and   ● Tax rate: The tax rates used in determining the future cash flows were those substantively enacted at the respective valuation date.   The following table outlines the key assumptions used in calculating the recoverable amount for each CGU and operating segment tested for impairment as at December 31, 2022:       Goodwill impairment testing Significant estimates used by management   NGW Years of cash flows before terminal value   6 Discount rate   19.25% Terminal value multiple / rate   5.8x   Based on the results of the goodwill impairment test, the carrying value of the NGW reporting unit exceeded the fair value and the Company recognized a pre-tax impairment loss of $25,802,688 during the year ended December 31, 2022, relating to the NGW reporting unit.   Acquisition of 51% Interest in Planet 13 Illinois   On February 7, 2023, the Company purchased the remaining 51% ownership interest in Planet 13 Illinois from a third party pursuant to an option purchase agreement that was entered into between such third party and the Company on August 4, 2022.  The aggregate purchase price for the interest was $1,812,656 and consisted of $866,250 in cash consideration $946,406 in share consideration. The share consideration was comprised of 1,063,377 common shares of the Company at a fair value of C$1.18 (USD $0.89) per common share, which were issued on February 7, 2023.

v3.23.2

Note 7 - Leases	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Lessee, Finance and Operating Leases [Text Block]	7. Leases   The Company’s lease agreements are for cultivation, manufacturing, retail office premises and for vehicles. The property lease terms range between 7 years and 21 years depending on the facility and are subject to an average of 2 renewal periods of equal length as the original lease. Certain leases include escalation clauses or payment of executory costs such as property taxes, utilities, or insurance and maintenance. Rent expense for leases with escalation clauses is accounted for on a straight-line basis over the lease term. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants.   The following table provides the components of lease costs recognized in the unaudited interim condensed consolidated statement of operations and comprehensive loss for the three- and six-month periods ended June 30, 2023 and 2022:       Three Months Ended     Six Months Ended       June 30,     June 30,     June 30,     June 30,       2023     2022     2023     2022                                     Operating lease costs   $ 1,254,393     $ 1,209,063     $ 2,499,034     $ 2,180,306   Short term lease expense     20,381       117       24,977       1,584   Total lease costs   $ 1,274,774     $ 1,209,180     $ 2,524,011     $ 2,181,890     Other information related to operating and finance leases as of and for the six months ended June 30, 2023 and 2022 are as follows:       June 30, 2023     June 30, 2022       Finance     Operating     Finance     Operating       Lease     Lease     Lease     Lease                                     Weighted average discount rate     15.00 %     15.00 %     15.00 %     15.00 % Weighted average remaining lease term     -       13.19       -       11.37     The maturity of the contractual undiscounted lease liabilities as of June 30, 2023 and  December 31, 2022 are:       2023     2022       Operating     Operating       Lease     Lease                     One year   $ 4,277,274     $ 4,052,167   Two years     4,425,693       4,214,502   Three years     4,453,068       4,302,534   Four years     4,455,447       4,303,434   Five years     4,629,904       4,389,610   Thereafter     58,688,780       58,274,870                     Total undiscounted lease liabilities     80,930,166       79,537,117   Interest on lease liabilities     (53,646,798 )     (53,224,885 ) Total present value of minimum lease payments     27,283,368       26,312,232   Lease liability - current portion     (545,043 )     (479,161 ) Lease liability   $ 26,738,325     $ 25,833,071     Principally all leases relate to real estate.   For the three and six months ended June 30, 2023, the Company incurred $1,254,393 and $2,499,034 of operating lease costs (2022 - $1,209,063 and $2,180,306), of which $460,004 and $920,009, respectively (2022 - $430,013 and $920,009) was allocated to cost of goods sold.   See Note 14 for additional supplemental cash flow information related to leases.

v3.23.2

Note 8 - Notes Payable	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Debt Disclosure [Text Block]	8. Notes Payable       June 30,     December 31,       2023     2022                     Promissory note dated November 4, 2015, with semi-annual interest at 5.0%, secured by deed of trust, due December 1, 2019     884,000       884,000                         $ 884,000     $ 884,000   Less current portion     (884,000 )     (884,000 )     $ -     $ -                     Stated maturities of debt obligations are as follow:                                   Next 12 months Promissory Note         $ 884,000

v3.23.2

Note 9 - Share Capital	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Equity [Text Block]	9. Share Capital   The Company is authorized to issue an unlimited number of common shares and an unlimited number of Class A shares.         Number of Common Shares                             June 30,     December 31,         2023     2022   Common Shares                   Balance at January 1     220,470,061       198,687,950   Shares issued on settlement of RSUs i.     714,416       81,084   Shares issued on exercise of options ii.     -       97,325   Shares issued on exercise of warrants iii.     -       242,700   Shares issued on acquisition (Note 6) iv.     -       21,361,002   Shares issued on exercise of purchase option (Note 6) v.     1,063,377       -                       Total common shares outstanding     222,247,854       220,470,061     i. Shares issued for Restricted Share Units   During the six months ended June 30, 2023, no RSUs were awarded, 1,191,923 RSUs vested (of which 477,507 RSUs were surrendered in exchange for tax withholding payments), 714,416 RSUs settled and 69,494 RSUs were cancelled.  The Company did not receive any cash proceeds on the settlement of the RSUs.   During the year ended December 31, 2022, the Company issued 81,084 common shares on the settlement of RSUs that had vested during the period. The Company did not receive any cash proceeds on the settlement.   ii. Shares issued for Stock Options   During the six months ended June 30, 2023, no options were awarded, vested, settled or cancelled and 69,168 options expired.   During the year ended December 31, 2022, the Company issued 97,325 common shares on the exercise of options that had a strike price of CAD$1.31 per common share resulting in cash proceeds of $97,980 (CAD$127,496).   PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)   iii. Shares issued on the exercise of Warrants   During the six months ended June 30, 2023, 5,206,463 warrants expired unexercised.   During the year ended December 31, 2022, the Company issued 242,700 common shares to warrant holders who exercised 242,700 warrants resulting in cash proceeds of $1,044,258 (CAD$1,407,660).

v3.23.2

Note 10 - Warrants	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Warrants [Text Block]	10. Warrants   The following table summarizes the fair value of the warrant liability at June 30, 2023 and  December 31, 2022.       June 30,     December 31,       2023     2022                     Balance - beginning of period   $ 18,127     $ 7,206,049   Expirations     (18,127 )     -   Foreign exchange     -       (10,117 ) Change in fair value     -       (7,177,805 ) Balance - end of period   $ -     $ 18,127     The warrant liability is adjusted to fair value on the date the warrants are exercised and at the end of each reporting period. The amount that is reclassified to equity on the date of exercise is the fair value at that date.   The following table summarizes the number of warrants outstanding at June 30, 2023 and  December 31, 2022.       June 30, 2023     Weighted Average Exercise Price - CAD     December 31, 2022     Weighted Average Exercise Price - CAD                                     Balance - beginning of period     5,206,463     $ 8.88       8,861,951     $ 7.46   Exercised     -     $ -       (242,700 )   $ 5.80   Expired     (5,206,463 )   $ 8.88       (3,412,788 )   $ 5.41   Balance - end of period     -     $ -       5,206,463     $ 8.88     Fair values   The Company complies with ASC 820, Fair Value Measurement, for its financial assets and liabilities that are re-measured and reported at fair value at each reporting period, and non-financial assets and liabilities that are re-measured and reported at fair value at least annually. Financial instruments recorded at fair value in the consolidated balance sheet are classified using a fair value hierarchy that reflects the observability of significant inputs used in making the measurements.   PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)   The following tables present information about the Company’s assets and liabilities that are measured at fair value on a recurring basis as of June 30, 2023 and  December 31, 2022:       Quoted prices in active markets for identical asset (Level 1)     Significant unobservable inputs (Level 3)     Total   June 30, 2023                         Warrant liability   $ -     $ -     $ -                             December 31, 2022                         Warrant liability   $ (18,127 )   $ -     $ (18,127 )

v3.23.2

Note 11 - Share Based Compensation	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Share-Based Payment Arrangement [Text Block]	11. Share Based Compensation    (a) Stock Options   The Company has established the 2018 Stock Option Plan (the “Option Plan”) for employees, management, directors, and consultants of the Company, as designated and administered by a committee of the Company’s Board of Directors. Under the Option Plan, the Company may grant options for up to 10% of the issued and outstanding common shares of the Company. The maximum term of an option is five years, and the related vesting period runs from immediate to the life of the grant.   During the three and six months ended June 30, 2023 and the year ended December 31, 2022   No incentive stock options were granted during the three and six months ended June 30, 2023 or the year ended December 31, 2022. During the year ended December 31, 2022, the Company issued 1,106,925 options in connection with the NGW transaction (see Note 6).  The replacement options were fully vested upon issuance.   The following table summarizes information about stock options outstanding at June 30, 2023:       Exercise price     June 30, 2023     June 30, 2023     December 31, 2022     December 31, 2022   Expiry Date     CAD$     Outstanding     Exercisable     Outstanding     Exercisable                                             November 21, 2024   $ 1.31       185,203       185,203       185,203       185,203   February 27, 2025   $ 1.31       51,525       51,525       51,525       51,525   December 15, 2025   $ 3.06       269,075       269,075       269,075       269,075   September 30, 2026   $ 4.37       120,222       120,222       120,222       120,222   July 6, 2025   $ 1.31       97,325       97,325       97,325       97,325   June 11, 2023   $ 0.80       -       -       61,668       61,668   June 30, 2024   $ 2.60       -       -       7,500       7,500                 723,350       723,350       792,518       792,518     PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)   The following table reflects the continuity of stock options for the period presented:       June 30, 2023     Weighted Average Exercise Price - CAD     December 31, 2022     Weighted Average Exercise Price - CAD                                     Balance - beginning of period     792,518     $ 2.34       169,168     $ 2.01   Issued     -       -       1,106,925       2.58   Exercised     -       -       (97,325 )     1.31   Expired     (69,168 )     0.80       (386,250 )     3.11   Balance - end of period     723,350     $ 2.47       792,518     $ 2.34     Share based compensation expense attributable to employee options was $0 and $0 for the six months ended June 30, 2023 and 2022, respectively. The fair value of the replacement options issued during the year ended  December 31, 2022 of $1,239,818 was recognized as part of the consideration paid related to the business combination of NGW (Note 6).   The total intrinsic value of stock options exercised, outstanding and exercisable as of June 30, 2023, was $0, $0 and $0, respectively.   The total intrinsic value of stock options exercised, outstanding and exercisable as of  December 31, 2022 was $0.   (b) Restricted Share Units   The Company had established the 2018 Share Unit Plan (the “RSU Plan”) for employees, management, directors, and consultants of the Company, as designated and administered by a committee of the Company’s Board of Directors. Under the RSU Plan, the Company may grant RSUs and/or options for up to 10% of the issued and outstanding common shares of the Company.  The maximum term of an RSU grant is five years and the related vesting period runs from immediate to the life of the grant.   The following table summarizes the RSUs that are outstanding as at June 30, 2023 and  December 31, 2022:       June 30,     December 31,       2023     2022                     Balance - beginning of period     2,464,928       2,591,929   Exercised     (1,191,923 )     (81,084 ) Forfeited     (69,494 )     (45,917 ) Balance - end of period     1,203,511       2,464,928     The Company recognized $602,627 and $1,323,618 in share-based compensation expense attributable to the RSU vesting schedule for the three and six months ended June 30, 2023 ($2,061,079 and $4,116,573 for the three and six months ended June 30, 2022).   During the six months ended June 30, 2023   No RSUs were granted, and 1,191,923 RSUs vested and were exercised, of which 477,507 were surrendered in exchange for payment of tax withholdings.  The Company did not receive any cash proceeds from the settlement of the RSUs.   During the six months ended  June 30, 2022   No RSUs were granted, exercised or vested.   PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

v3.23.2

Note 12 - Loss Per Share	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Earnings Per Share [Text Block]	12. Loss Per Share       Three Months Ended     Six Months Ended       June 30,     June 30,     June 30,     June 30,       2023     2022     2023     2022                                     Loss available to common shareholders   $ (4,349,325 )   $ (2,039,525 )   $ (10,653,568 )   $ (4,100,596 )                                   Weighted average number of shares outstanding, basic and diluted     221,791,320       220,088,004       221,439,841       212,869,574                                     Basic and diluted loss per share   $ (0.02 )   $ (0.01 )   $ (0.05 )   $ (0.02 )   Approximately 1,926,861 and 12,328,398 potentially dilutive securities for the three and six months ended June 30, 2023 and 2022, respectively, were excluded in the calculation of diluted EPS as their impact would have been anti-dilutive due to the net losses for such periods.

v3.23.2

Note 13 - General and Administrative	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
General and Administrative [Text Block]	13. General and Administrative       Three Months Ended     Six Months Ended       June 30,     June 30,     June 30,     June 30,       2023     2022     2023     2022                                     Salaries and wages   $ 3,874,046     $ 3,816,040     $ 7,544,118     $ 7,794,850   Share based compensation     602,627       2,061,079       1,323,618       4,116,573   Executive compensation     736,104       760,226       1,467,281       1,433,840   Licenses and permits     609,844       656,148       1,251,446       1,457,665   Payroll taxes and benefits     857,998       1,042,807       1,730,171       2,060,776   Supplies and office expenses     347,112       277,824       666,198       500,456   Subcontractors     525,175       508,254       1,031,962       1,132,897   Professional fees (legal, audit and other)     2,373,634       1,292,823       4,585,433       3,510,448   Miscellaneous general and administrative expenses     1,344,830       1,595,852       2,626,149       3,490,238       $ 11,271,370     $ 12,011,053     $ 22,226,376     $ 25,497,743     PLANET 13 HOLDINGS INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited, in United States Dollars, except share amounts)

v3.23.2

Note 14 - Supplemental Cash Flow Information	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Cash Flow, Supplemental Disclosures [Text Block]	14. Supplemental Cash Flow Information       Six Months Ended       June 30,     June 30,   Change in Working Capital   2023     2022                     Accounts Receivable     5,797       983,223   Inventory     (1,707,634 )     2,133,755   Prepaid Expenses and Other Assets     961,556       1,100,971   Long-term Deposits and Other Assets     29,692       227,869   Deferred Tax Assets     27,963       (27,628 ) Accounts Payable     (266,599 )     (954,031 ) Accrued Expenses     (1,085,184 )     (578,464 ) Income Taxes Payable     (2,045,268 )     (1,036,977 )     $ (4,079,677 )   $ 1,848,718                     Cash Paid                                   Interest Paid On Leases   $ 2,034,471     $ -   Income Taxes   $ 4,250,000     $ 5,794,337                     Non-cash Financing and Investing Activities                                   Shares Issued on Exercise of Purchase Option   $ 946,406     $ -   Initial Recognition of Fair Value of Net Assets Acquired in NGW Acquisition in Exchange for Shares, excluding Cash   $ -     $ 22,109,890   Initial Recognition of ROU Assets and Lease Liabilities   $ -     $ 2,326,202   Lease additions   $ 954,496     $ -   Fixed Asset Amounts in Accounts Payable   $ 172,355     $ 363,077   Reclassification of long term lease liabilities to current   $ 65,883     $ 5,130

v3.23.2

Note 15 - Related Party Transactions and Balances	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Related Party Transactions Disclosure [Text Block]	15. Related Party Transactions and Balances   Related party transactions are summarized as follows:   (a) Building Lease   Prior to March 15, 2022, the Company was the sub-lessee of approximately 2,000 square feet of office space and purchased certain printed marketing collateral and stationery items from a company owned by one of the Company’s Co-CEOs. This entity was sold to an unrelated third-party on March 15, 2022. Amounts paid for rent for the six months ended June 30, 2023 and 2022 to the related party equaled $nil and $6,010, respectively.  Amounts paid for printed marketing collateral and stationery items to the related party were $nil and $183,914 for the six months ended June 30, 2023 and 2022, respectively.   (b) Other   A company previously owned by one of the Company’s Co-CEOs until March 15, 2022 paid the Company for storage space. Amounts paid to the Company from the related party for storage space were $nil and $5,968 for the six months ended June 30, 2023 and 2022, respectively, and is recorded in Other Income for such period.   For the three-month period ended  June 30, 2023, no amounts were due to related parties ( December 31, 2022 - $nil).

v3.23.2

Note 16 - Commitments and Contingencies	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	16. Commitments and Contingencies   (a) Construction Commitments   The Company had $8,231,097 of outstanding construction commitments as of June 30, 2023.   (b) Contingencies   The Company’s operations are subject to a variety of local and state regulations. Failure to comply with one or more of those regulations could result in fines, restrictions on its operations, or losses of permits that could result in the Company ceasing operations. While management of the Company believes that the Company is in compliance with applicable local and state regulations at June 30, 2023, medical and adult use cannabis regulations continue to evolve and are subject to differing interpretations. As a result, the Company may be subject to regulatory fines, penalties, or restrictions in the future.   (c) Claims and Litigation   From time to time, the Company may be involved in litigation relating to claims arising out of operations in the normal course of business. At June 30, 2023, and December 31, 2022, there were no pending or threatened lawsuits that could reasonably be expected to have a material effect on the results of the Company’s operations. There are also no proceedings in which any of the Company’s directors, officers or affiliates is an adverse party or has a material interest adverse to the Company’s interest.   (d) Operating Licenses   Although the possession, cultivation, and distribution of marijuana for medical and adult use is permitted in Nevada and California, and for medical use these activities are permitted in Florida, marijuana is a Schedule I controlled substance and its use remains a violation of federal law. Since federal law criminalizing the use of marijuana pre-empts state laws that legalize its use, strict enforcement of federal law regarding marijuana would likely result in the Company’s inability to proceed with our business plans. In addition, the Company’s assets, including real property, cash, equipment, and other goods, could be subject to asset forfeiture because marijuana is still federally illegal.

v3.23.2

Note 17 - Risks	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Risk Disclosure [Text Block]	17. Risks   Credit risk   Credit risk is the risk that a third party might fail to discharge its obligations under the terms of a financial instrument. Credit risk arises from cash with banks and financial institutions. It is management’s opinion that the Company is not exposed to significant credit risk arising from these financial instruments. The Company limits credit risk by entering into business arrangements with high credit-quality counterparties.   The Company evaluates the collectability of its accounts receivable and maintains an allowance for credit losses at an amount sufficient to absorb losses inherent in the existing accounts receivable portfolio as of the reporting dates based on the estimate of expected net credit losses.   Interest Rate Risk   Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company currently does not carry variable interest-bearing debt. It is management’s opinion that the Company is not exposed to significant interest rate risk.   Price risk   Price risk is the risk that the trading price of the Company’s shares will fluctuate and result in an increase or decrease in the fair value of the warrant liability. The Company is not exposed to significant price risk.   Liquidity risk   The Company’s approach to managing risk is to ensure that it will have sufficient liquidity to meet liabilities when due. As of June 30, 2023, the Company’s financial liabilities consist of accounts payable, accrued liabilities, obligations under operating leases and taxes. The Company manages liquidity risk by reviewing its capital requirements on an ongoing basis. Historically, the Company’s main source of funding has been the public issuance of common shares. The Company’s access to financing is always uncertain. There can be no assurance of continued access to significant equity financing.   Concentration risk   The Company operates exclusively in Southern Nevada and Southern California. Should economic conditions deteriorate within that region, its results of operations and financial position would be negatively impacted.   Banking risk Notwithstanding that a majority of states have legalized medical marijuana, there has been no change in US federal banking laws related to the deposit and holding of funds derived from activities related to the cannabis industry. Given that US federal law provides that the production and possession of cannabis is illegal, there is a strong argument that banks cannot accept or deposit funds from businesses involved with the marijuana industry. Consequently, businesses involved in the marijuana industry often have difficulty accessing the US banking system and traditional financing sources. The inability to open bank accounts with certain institutions may make it difficult to operate the business of the Company and leave the Company’s cash holdings vulnerable.   Asset forfeiture risk   Because the cannabis industry remains illegal under US federal law, any property owned by participants in the cannabis industry which are either used in the course of conducting such business, or are the proceeds of such business, could be subject to seizure by law enforcement and subsequent civil asset forfeiture. Even if the owner of the property was never charged with a crime, the property in question could still be seized and subject to an administrative proceeding by which with minimal due process, it could be subject to forfeiture.   Currency rate risk   As at June 30, 2023, a portion of the Company’s financial assets and liabilities held in Canadian dollars consist of cash of $291,379 ( December 31, 2022 - $1,172,859). The Company’s objective in managing its foreign currency risk is to minimize its net exposure to foreign currency cash flows by transacting, to the greatest extent possible, with third parties in the functional currency. The Company is exposed to currency rate risk in other comprehensive income, relating to foreign subsidiaries which operate in a foreign currency. The Company does not currently use foreign exchange contracts to hedge its exposure of its foreign currency cash flows as management has determined that this risk is not significant at this point in time.   The Company’s exposure to a 10% change in the foreign exchange rate at  June 30, 2023 equals $29,138.

v3.23.2

Note 18 - Disaggregated Revenue	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Revenue from Contract with Customer [Text Block]	18. Disaggregated Revenue   The following table presents the Company’s disaggregated revenue by sales channel:       Three Months Ended     Six Months Ended       June 30,     June 30,     June 30,     June 30,       2023     2022     2023     2022                                     Retail   $ 21,359,936     $ 24,250,925     $ 41,712,902     $ 47,810,316   Wholesale     4,472,775       4,161,305       9,035,205       6,296,309                                     Net revenues   $ 25,832,711     $ 28,412,230     $ 50,748,107     $ 54,106,625

v3.23.2

Note 19 - Government Assistance Program	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Government Assistance [Text Block]	19. Government Assistance Program   On March 18, 2020, the Families First Coronavirus Act was enacted (“FFCRA”).  On March 27, 2020, the Coronavirus Aid, Relief and Economic Security Act (“CARES”) was enacted.  Together, these acts created refundable payroll tax credits for paid sick leave, paid family leave and an employee retention credit.  The CARES Act was subsequently modified by the Taxpayer Certainty and Disaster Tax Relief Act of 2020, enacted December 27, 2020, which amended and extended the employee retention credit under the CARES Act for the first and second quarters of 2021.  The American Rescue Act of 2021 further modified and extended the CARES Act for the third and fourth quarters of 2021. These acts provide for a refundable credit against certain employment taxes, including FICA, Medicare and deposits of employee payroll withholding taxes.  Income tax credits are not provided for under these acts.  The ERC credit, as modified by the foregoing, increased the available credit from 50% of qualified wages of up $10,000 per quarter paid to an employee, or $5,000 per qualified employee per quarter, to 70% of qualified wages of up to $10,000 per quarter, or $7,000 per qualified employee per quarter.  The Company qualifies for the ERC credit under the CARES Act, as modified.  On June 15, 2023, the Company's wholly-owned subsidiary, MM Development Company, Inc., received and recorded payment from the Internal Revenue Service in the amount of $1,955,711 related to the ERC credit for the first quarter of 2021.  This amount is included in Other Income, Net on the Company's Interim Condensed Consolidated Statements of Operations and Comprehensive Loss for the three and six month periods ending June 30, 2023.  The Company accounted for the ERC credit pursuant to the guidance established in ASC 450-30, Gain Contingencies.

v3.23.2

Note 20 - Subsequent Events	6 Months Ended
	Jun. 30, 2023
Notes to Financial Statements
Subsequent Events [Text Block]	20. Subsequent Events   On July 27, 2023, the Company's shareholders voted to approve a plan of arrangement (the “Domestication Plan of Arrangement”) under section 288 of the Business Corporations Act (British Columbia) (the “BCBCA”) involving, among other things, the continuance of the Company from British Columbia to the State of Nevada all as more particularly described in the Domestication Plan of Arrangement (the “Nevada Domestication”). As of the filing date hereof, the Company is pursuing the conditions and steps to complete the Domestication Plan of Arrangement and the Nevada Domestication.     Also, on July 27, 2023, our shareholders voted to approve and adopt the 2023 Equity Incentive Plan (the “Plan”). The Plan, when effective, would replace the Planet 13 Holdings Inc. 2018 Stock Option Plan and the Planet 13 Holdings Inc. 2018 Share Unit Plan (the “Prior Plans”).  The Plan is subject to, and expected to become effective upon, the completion of the Nevada Domestication, at which time (a) no additional awards may be granted under the Prior Plans, and (b) all outstanding awards granted under the Prior Plans will remain subject to the terms of the Prior Plans. The Plan, when effective, would allow for a total of 22,000,000 shares of common stock of the Company, when it becomes a Nevada entity, to be made available for award thereunder.  Any unsettled awards under the Prior Plans will reduce the number of shares available for future awards under the Plan.

v3.23.2

Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Consolidation, Policy [Policy Text Block]	i) Basis of consolidation   These accompanying unaudited condensed consolidated interim financial statements include the accounts of the Company and all subsidiaries. Subsidiaries are entities in which the Company has a controlling voting interest or is the primary beneficiary of a variable interest entity. Subsidiaries are fully consolidated from the date control is transferred to the Company and are deconsolidated from the date control ceases. All intercompany accounts and transactions have been eliminated upon consolidation. The unaudited condensed consolidated interim financial statements include all the assets, liabilities, revenues, expenses and cash flows of the Company and its subsidiaries after eliminating intercompany balances and transactions.   These unaudited condensed consolidated interim financial statements include the accounts of the Company and the following entities which are subsidiaries of the Company:   Subsidiaries as at June 30, 2023   Jurisdiction of Incorporation   Ownership Interest 2023   Ownership Interest 2022   Nature of Business                   MM Development Company, Inc. ("MMDC")   Nevada, USA   100%   100%   Nevada license holding company; vertically integrated cannabis operations BLC Management Company LLC   Nevada, USA   100%   100%   Management/holding company LBC CBD LLC ("LBC")   Nevada, USA   100%   100%   CBD retail sales and marketing Newtonian Principles Inc.   California, USA   100%   100%   California license holding company; cannabis retail sales Crossgate Capital U.S. Holdings Corp.   Nevada, USA   100%   100%   Holding company Next Green Wave, LLC   California, USA   100%   100%   California license holding company; cannabis cultivation and processing Planet 13 Illinois, LLC   Illinois, USA   100%   49%   Illinois license holding company BLC NV Food, LLC   Nevada, USA   100%   100%   Holding company for By The Slice LLC By The Slice, LLC   Nevada, USA   100%   100%   Subsidiary of BLC NV Food, LLC; restaurant and retail operations Planet 13 Chicago, LLC   Illinois, USA   100%   100%   Holding company Planet 13 Florida, Inc.   Florida, USA   100%   100%   Florida license holding company Club One Three, LLC   Nevada, USA   100%   100%   Inactive
Foreign Currency Transactions and Translations Policy [Policy Text Block]	ii) Functional currency   These unaudited condensed consolidated interim financial statements are presented in U.S. Dollars (“USD”), which is the Company’s and its subsidiaries’ functional currency.   Foreign currency transactions are remeasured to the respective financial currencies of the Company’s entities at the exchange rates in effect on the date of the transactions.  Monetary assets and liabilities denominated in foreign currencies are measured to functional currency at the foreign exchange rate applicable at the statement of balance sheets date.  Non-monetary items are carried at historical rates. Non-monetary items carried at face value denominated in foreign currencies are remeasured to the functional currency at the date when the fair value was determined.  Realized and unrealized foreign exchange gains and losses are recognized through profit or loss.
Emerging Growth Company [Policy Text Block]	iii) Emerging growth company   The Company is an “Emerging Growth Company”, as defined in Section 2(a) of the Securities Act of 1933, as amended (the “Securities Act”), as modified by the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”), and it has taken advantage of certain exemptions that are not applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the independent registered public accounting firm attestation requirements of Section 404 of the Sarbanes-Oxley Act, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and shareholder approval of any golden parachute payments not previously approved.   Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not has a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial reporting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public and private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard.

v3.23.2

Note 2 - Basis of Presentation (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of Subsidiaries [Table Text Block]	Subsidiaries as at June 30, 2023   Jurisdiction of Incorporation   Ownership Interest 2023   Ownership Interest 2022   Nature of Business                   MM Development Company, Inc. ("MMDC")   Nevada, USA   100%   100%   Nevada license holding company; vertically integrated cannabis operations BLC Management Company LLC   Nevada, USA   100%   100%   Management/holding company LBC CBD LLC ("LBC")   Nevada, USA   100%   100%   CBD retail sales and marketing Newtonian Principles Inc.   California, USA   100%   100%   California license holding company; cannabis retail sales Crossgate Capital U.S. Holdings Corp.   Nevada, USA   100%   100%   Holding company Next Green Wave, LLC   California, USA   100%   100%   California license holding company; cannabis cultivation and processing Planet 13 Illinois, LLC   Illinois, USA   100%   49%   Illinois license holding company BLC NV Food, LLC   Nevada, USA   100%   100%   Holding company for By The Slice LLC By The Slice, LLC   Nevada, USA   100%   100%   Subsidiary of BLC NV Food, LLC; restaurant and retail operations Planet 13 Chicago, LLC   Illinois, USA   100%   100%   Holding company Planet 13 Florida, Inc.   Florida, USA   100%   100%   Florida license holding company Club One Three, LLC   Nevada, USA   100%   100%   Inactive

v3.23.2

Note 3 - Inventory (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of Inventory, Current [Table Text Block]	June 30,     December 31,       2023     2022                     Raw materials   $ 5,379,140     $ 5,209,667   Packaging and miscellaneous     1,557,929       1,584,659   Work in progress     2,804,811       1,965,052   Finished goods     4,970,593       4,245,461       $ 14,712,473     $ 13,004,839

v3.23.2

Note 4 - Prepaid Expenses and Other Current Assets (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Table Text Block]	June 30,     December 31,       2023     2022                     Security deposits   $ 1,054,776     $ 1,399,424   Prepaid rent     387,997       348,433   Insurance     394,306       678,402   License fees     749,545       776,717   Miscellaneous     262,214       607,418       $ 2,848,838     $ 3,810,394

v3.23.2

Note 5 - Property and Equipment (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Property, Plant and Equipment [Table Text Block]	Land and                     Leasehold     Construction               Improvements     Buildings     Equipment     Improvements     in Progress     Total   Gross carrying amount                                                                                                   At December 31, 2022   $ 6,374,511     $ 13,963,025     $ 12,799,645     $ 63,555,792     $ 3,528,703     $ 100,221,676   Additions     210,830       1,979,925       647,450       468,885       947,345       4,254,435   Disposals     -       -       (97,043 )     -       -       (97,043 ) At June 30, 2023   $ 6,585,341     $ 15,942,950     $ 13,350,052     $ 64,024,677     $ 4,476,048     $ 104,379,068                                                     Depreciation                                                                                                   At December 31, 2022   $ 231,522     $ 540,648     $ 6,333,865     $ 21,649,590     $ -     $ 28,755,625   Additions     24,365       174,623       1,318,646       4,712,392       -       6,230,026   Disposals     -       -       (59,686 )     -       -       (59,686 ) At June 30, 2023   $ 255,887     $ 715,271     $ 7,592,825     $ 26,361,982     $ -     $ 34,925,965                                                     Carrying amount                                                                                                   At December 31, 2022   $ 6,142,989     $ 13,422,377     $ 6,465,780     $ 41,906,202     $ 3,528,703     $ 71,466,051   At June 30, 2023   $ 6,329,454     $ 15,227,679     $ 5,757,227     $ 37,662,695     $ 4,476,048     $ 69,453,103

v3.23.2

Note 6 - Intangible Assets (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of Finite-Lived Intangible Assets [Table Text Block]	Retail Dispensary Santa Ana     Retail Dispensary Clark County     Cultivation and Production Clark County     Master License Florida     Cultivation Coalinga CA     Retail Dispensary Waukegan IL     Other     Total   Gross                                                                 carrying amount                                                                                                                                   Balance, December 31, 2022   $ 6,151,343     $ 690,000     $ 709,798     $ 55,846,866     $ 6,232,222     $ -     $ 30,000     $ 69,660,229   Additions     -       -       -       -       -       1,812,656       -       1,812,656   Balance at June 30, 2023   $ 6,151,343     $ 690,000     $ 709,798     $ 55,846,866     $ 6,232,222     $ 1,812,656     $ 30,000     $ 71,472,885                                                                     Amortization                                                                                                                                   Balance, December 31, 2022   $ -     $ -     $ -     $ -     $ 372,222     $ -     $ -     $ 372,222   Additions     -       -       -       -       -             -       -   Balance at June 30, 2023   $ -     $ -     $ -     $ -     $ 372,222     $ -     $ -     $ 372,222                                                                     Carrying amount                                                                                                                                   Balance at December 31, 2022   $ 6,151,343     $ 690,000     $ 709,798     $ 55,846,866     $ 5,860,000     $ -     $ 30,000     $ 69,288,007   Balance at June 30, 2023   $ 6,151,343     $ 690,000     $ 709,798     $ 55,846,866     $ 5,860,000     $ 1,812,656     $ 30,000     $ 71,100,663
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block]	Consideration paid:                   Cash   $ 14,788   Issuance of 21,361,002 Class A Shares     56,320,332   Issuance of 1,106,925 replacement options     1,239,818       $ 57,574,938             Fair value of net assets acquired:                   Cash   $ 1,493,922   Inventory     3,077,367   Accounts Receivable     1,374,142   Property, plant and equipment     16,229,350   Intangible assets     13,180,000   Goodwill     25,802,688   Accounts Payable and Accrued Liabilities     (233,158 ) Income taxes payable     (125,445 ) Deferred tax liability     (3,223,928 )     $ 57,574,938
Business Acquisition, Pro Forma Information [Table Text Block]	Three Months Ended June 30, 2022     Six Months Ended June 30, 2022       As Reported     NGW     Pro Forma     As Reported     NGW     Pro Forma                                                     Revenue, net of discounts   $ 28,412,230     $ -     $ 28,412,230     $ 54,106,625     $ 870,651     $ 54,977,276   Gross Profit     13,824,507       -       13,824,507       26,725,511       (131,700 )     26,593,811   Comprehensive loss for the period     (2,039,525 )     -       (2,039,525 )     (4,100,596 )     (868,125 )     (4,968,721 )
Impairment Testing Assumptions [Table Text Block]	Goodwill impairment testing Significant estimates used by management   NGW Years of cash flows before terminal value   6 Discount rate   19.25% Terminal value multiple / rate   5.8x

v3.23.2

Note 7 - Leases (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Lease, Cost [Table Text Block]	Three Months Ended     Six Months Ended       June 30,     June 30,     June 30,     June 30,       2023     2022     2023     2022                                     Operating lease costs   $ 1,254,393     $ 1,209,063     $ 2,499,034     $ 2,180,306   Short term lease expense     20,381       117       24,977       1,584   Total lease costs   $ 1,274,774     $ 1,209,180     $ 2,524,011     $ 2,181,890       June 30, 2023     June 30, 2022       Finance     Operating     Finance     Operating       Lease     Lease     Lease     Lease                                     Weighted average discount rate     15.00 %     15.00 %     15.00 %     15.00 % Weighted average remaining lease term     -       13.19       -       11.37
Lessee, Lease, Liability, Maturity [Table Text Block]	2023     2022       Operating     Operating       Lease     Lease                     One year   $ 4,277,274     $ 4,052,167   Two years     4,425,693       4,214,502   Three years     4,453,068       4,302,534   Four years     4,455,447       4,303,434   Five years     4,629,904       4,389,610   Thereafter     58,688,780       58,274,870                     Total undiscounted lease liabilities     80,930,166       79,537,117   Interest on lease liabilities     (53,646,798 )     (53,224,885 ) Total present value of minimum lease payments     27,283,368       26,312,232   Lease liability - current portion     (545,043 )     (479,161 ) Lease liability   $ 26,738,325     $ 25,833,071

v3.23.2

Note 8 - Notes Payable (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of Debt [Table Text Block]	June 30,     December 31,       2023     2022                     Promissory note dated November 4, 2015, with semi-annual interest at 5.0%, secured by deed of trust, due December 1, 2019     884,000       884,000                         $ 884,000     $ 884,000   Less current portion     (884,000 )     (884,000 )     $ -     $ -                     Stated maturities of debt obligations are as follow:                                   Next 12 months Promissory Note         $ 884,000

v3.23.2

Note 9 - Share Capital (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of Common Stock Outstanding Roll Forward [Table Text Block]	Number of Common Shares                             June 30,     December 31,         2023     2022   Common Shares                   Balance at January 1     220,470,061       198,687,950   Shares issued on settlement of RSUs i.     714,416       81,084   Shares issued on exercise of options ii.     -       97,325   Shares issued on exercise of warrants iii.     -       242,700   Shares issued on acquisition (Note 6) iv.     -       21,361,002   Shares issued on exercise of purchase option (Note 6) v.     1,063,377       -                       Total common shares outstanding     222,247,854       220,470,061

v3.23.2

Note 10 - Warrants (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block]	June 30, 2023     Weighted Average Exercise Price - CAD     December 31, 2022     Weighted Average Exercise Price - CAD                                     Balance - beginning of period     5,206,463     $ 8.88       8,861,951     $ 7.46   Exercised     -     $ -       (242,700 )   $ 5.80   Expired     (5,206,463 )   $ 8.88       (3,412,788 )   $ 5.41   Balance - end of period     -     $ -       5,206,463     $ 8.88
Warrants [Member]
Notes Tables
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]	June 30,     December 31,       2023     2022                     Balance - beginning of period   $ 18,127     $ 7,206,049   Expirations     (18,127 )     -   Foreign exchange     -       (10,117 ) Change in fair value     -       (7,177,805 ) Balance - end of period   $ -     $ 18,127
Fair Value, Liabilities Measured on Recurring Basis [Table Text Block]	Quoted prices in active markets for identical asset (Level 1)     Significant unobservable inputs (Level 3)     Total   June 30, 2023                         Warrant liability   $ -     $ -     $ -                             December 31, 2022                         Warrant liability   $ (18,127 )   $ -     $ (18,127 )

v3.23.2

Note 11 - Share Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Share-Based Payment Arrangement, Option, Activity [Table Text Block]	Exercise price     June 30, 2023     June 30, 2023     December 31, 2022     December 31, 2022   Expiry Date     CAD$     Outstanding     Exercisable     Outstanding     Exercisable                                             November 21, 2024   $ 1.31       185,203       185,203       185,203       185,203   February 27, 2025   $ 1.31       51,525       51,525       51,525       51,525   December 15, 2025   $ 3.06       269,075       269,075       269,075       269,075   September 30, 2026   $ 4.37       120,222       120,222       120,222       120,222   July 6, 2025   $ 1.31       97,325       97,325       97,325       97,325   June 11, 2023   $ 0.80       -       -       61,668       61,668   June 30, 2024   $ 2.60       -       -       7,500       7,500                 723,350       723,350       792,518       792,518
Schedule of Stock Options Roll Forward [Table Text Block]	June 30, 2023     Weighted Average Exercise Price - CAD     December 31, 2022     Weighted Average Exercise Price - CAD                                     Balance - beginning of period     792,518     $ 2.34       169,168     $ 2.01   Issued     -       -       1,106,925       2.58   Exercised     -       -       (97,325 )     1.31   Expired     (69,168 )     0.80       (386,250 )     3.11   Balance - end of period     723,350     $ 2.47       792,518     $ 2.34
Share-Based Payment Arrangement, Restricted Stock Unit, Activity [Table Text Block]	June 30,     December 31,       2023     2022                     Balance - beginning of period     2,464,928       2,591,929   Exercised     (1,191,923 )     (81,084 ) Forfeited     (69,494 )     (45,917 ) Balance - end of period     1,203,511       2,464,928

v3.23.2

Note 12 - Loss Per Share (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended     Six Months Ended       June 30,     June 30,     June 30,     June 30,       2023     2022     2023     2022                                     Loss available to common shareholders   $ (4,349,325 )   $ (2,039,525 )   $ (10,653,568 )   $ (4,100,596 )                                   Weighted average number of shares outstanding, basic and diluted     221,791,320       220,088,004       221,439,841       212,869,574                                     Basic and diluted loss per share   $ (0.02 )   $ (0.01 )   $ (0.05 )   $ (0.02 )

v3.23.2

Note 13 - General and Administrative (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of General and Administrative Expense [Table Text Block]	Three Months Ended     Six Months Ended       June 30,     June 30,     June 30,     June 30,       2023     2022     2023     2022                                     Salaries and wages   $ 3,874,046     $ 3,816,040     $ 7,544,118     $ 7,794,850   Share based compensation     602,627       2,061,079       1,323,618       4,116,573   Executive compensation     736,104       760,226       1,467,281       1,433,840   Licenses and permits     609,844       656,148       1,251,446       1,457,665   Payroll taxes and benefits     857,998       1,042,807       1,730,171       2,060,776   Supplies and office expenses     347,112       277,824       666,198       500,456   Subcontractors     525,175       508,254       1,031,962       1,132,897   Professional fees (legal, audit and other)     2,373,634       1,292,823       4,585,433       3,510,448   Miscellaneous general and administrative expenses     1,344,830       1,595,852       2,626,149       3,490,238       $ 11,271,370     $ 12,011,053     $ 22,226,376     $ 25,497,743

v3.23.2

Note 14 - Supplemental Cash Flow Information (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block]	Six Months Ended       June 30,     June 30,   Change in Working Capital   2023     2022                     Accounts Receivable     5,797       983,223   Inventory     (1,707,634 )     2,133,755   Prepaid Expenses and Other Assets     961,556       1,100,971   Long-term Deposits and Other Assets     29,692       227,869   Deferred Tax Assets     27,963       (27,628 ) Accounts Payable     (266,599 )     (954,031 ) Accrued Expenses     (1,085,184 )     (578,464 ) Income Taxes Payable     (2,045,268 )     (1,036,977 )     $ (4,079,677 )   $ 1,848,718                     Cash Paid                                   Interest Paid On Leases   $ 2,034,471     $ -   Income Taxes   $ 4,250,000     $ 5,794,337                     Non-cash Financing and Investing Activities                                   Shares Issued on Exercise of Purchase Option   $ 946,406     $ -   Initial Recognition of Fair Value of Net Assets Acquired in NGW Acquisition in Exchange for Shares, excluding Cash   $ -     $ 22,109,890   Initial Recognition of ROU Assets and Lease Liabilities   $ -     $ 2,326,202   Lease additions   $ 954,496     $ -   Fixed Asset Amounts in Accounts Payable   $ 172,355     $ 363,077   Reclassification of long term lease liabilities to current   $ 65,883     $ 5,130

v3.23.2

Note 18 - Disaggregated Revenue (Tables)	6 Months Ended
	Jun. 30, 2023
Notes Tables
Disaggregation of Revenue [Table Text Block]	Three Months Ended     Six Months Ended       June 30,     June 30,     June 30,     June 30,       2023     2022     2023     2022                                     Retail   $ 21,359,936     $ 24,250,925     $ 41,712,902     $ 47,810,316   Wholesale     4,472,775       4,161,305       9,035,205       6,296,309                                     Net revenues   $ 25,832,711     $ 28,412,230     $ 50,748,107     $ 54,106,625

v3.23.2

Note 1 - Nature of Operations (Details Textual)	Jun. 30, 2023
NEVADA
Number of Licenses for Cultivation, Total	6
Number of Licenses for Cultivation, Medical	3
Number of Licenses for Cultivation, Adult Use	3
Number of Licenses for Production, Total	6
Number of Licenses for Production, Medical	3
Number of Licenses for Production, Adult Use	3
Number of Licenses for Dispensary, Total	3
Number of Licenses for Dispensary, Medical	1
Number of Licenses for Dispensary, Adult Use	2
Number of Licenses for Distribution, Active	1
Number of Licenses for Distribution, Conditional	1
CALIFORNIA
Number of Licenses for Cultivation, Adult Use	2
Number of Licenses for Cultivation Nursey	1
Number of Licenses for Distribution, Total	1
Number of Licenses for Manufacture, Adult Use	1
Number of Pending Licenses for Cultivation, Packaging	1

v3.23.2

Note 2 - Basis of Presentation - Subsidiaries (Details)	Jun. 30, 2023	Jun. 30, 2022
MM Development Company, Inc. ("MMDC") [Member]
Ownership Interest	100.00%	100.00%
BLC Management Company LLC [Member]
Ownership Interest	100.00%	100.00%
LBC CBD LLC ("LBC") [Member]
Ownership Interest	100.00%	100.00%
Newtonian Principles Inc. [Member]
Ownership Interest	100.00%	100.00%
Crossgate Capital U.S. Holdings Corp [Member]
Ownership Interest	100.00%	100.00%
Next Green Wave, LLC [Member]
Ownership Interest	100.00%	100.00%
Planet 13 Illinois, LLC [Member]
Ownership Interest	100.00%	49.00%
BLC NV Food, LLC [Member]
Ownership Interest	100.00%	100.00%
By The Slice, LLC [Member]
Ownership Interest	100.00%	100.00%
Planet 13 Chicago, LLC [Member]
Ownership Interest	100.00%	100.00%
Planet 13 Florida, Inc [Member]
Ownership Interest	100.00%	100.00%
Club One Three, LLC [Member]
Ownership Interest	100.00%	100.00%

v3.23.2

Note 3 - Inventory (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Cost of Goods and Services Sold	$ 13,950,477	$ 14,587,723	$ 27,983,062	$ 27,381,114

v3.23.2

Note 3 - Inventory - Components of Inventory (Details) - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Raw materials	$ 5,379,140	$ 5,209,667
Packaging and miscellaneous	1,557,929	1,584,659
Work in progress	2,804,811	1,965,052
Finished goods	4,970,593	4,245,461
Inventory, Net	$ 14,712,473	$ 13,004,839

v3.23.2

Note 4 - Prepaid Expenses and Other Current Assets (Details) - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Security deposits	$ 1,054,776	$ 1,399,424
Prepaid rent	387,997	348,433
Insurance	394,306	678,402
License fees	749,545	776,717
Miscellaneous	262,214	607,418
Prepaid Expense and Other Assets, Current	$ 2,848,838	$ 3,810,394

v3.23.2

Note 5 - Property and Equipment (Details Textual) - USD ($)	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Depreciation	$ 6,230,026	$ 5,316,191
Construction in Progress [Member]
Depreciation	0
Property, Plant and Equipment, Transfers on Completion of Projects	0
Cost of Sales [Member]
Depreciation	2,007,984	$ 1,327,062
Contractual Construction [Member]
Other Commitment	$ 8,231,097		$ 0

v3.23.2

Note 5 - Property and Equipment - Schedule of Property and Equipment (Details) - USD ($)	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Gross carrying amount	$ 100,221,676
Additions, Gross carrying amount	4,254,435
Disposals, Gross carrying amount	(97,043)
Gross carrying amount	104,379,068
Depreciation	28,755,625
Additions, Depreciation	6,230,026	$ 5,316,191
Disposals, Depreciation	(59,686)
Depreciation	34,925,965
Carrying amount	69,453,103		$ 71,466,051
Land and Land Improvements [Member]
Gross carrying amount	6,374,511
Additions, Gross carrying amount	210,830
Disposals, Gross carrying amount	0
Gross carrying amount	6,585,341
Depreciation	231,522
Additions, Depreciation	24,365
Disposals, Depreciation	0
Depreciation	255,887
Carrying amount	6,329,454		6,142,989
Building [Member]
Gross carrying amount	13,963,025
Additions, Gross carrying amount	1,979,925
Disposals, Gross carrying amount	0
Gross carrying amount	15,942,950
Depreciation	540,648
Additions, Depreciation	174,623
Disposals, Depreciation	0
Depreciation	715,271
Carrying amount	15,227,679		13,422,377
Equipment [Member]
Gross carrying amount	12,799,645
Additions, Gross carrying amount	647,450
Disposals, Gross carrying amount	(97,043)
Gross carrying amount	13,350,052
Depreciation	6,333,865
Additions, Depreciation	1,318,646
Disposals, Depreciation	(59,686)
Depreciation	7,592,825
Carrying amount	5,757,227		6,465,780
Leasehold Improvements [Member]
Gross carrying amount	63,555,792
Additions, Gross carrying amount	468,885
Disposals, Gross carrying amount	0
Gross carrying amount	64,024,677
Depreciation	21,649,590
Additions, Depreciation	4,712,392
Disposals, Depreciation	0
Depreciation	26,361,982
Carrying amount	37,662,695		41,906,202
Construction in Progress [Member]
Gross carrying amount	3,528,703
Additions, Gross carrying amount	947,345
Disposals, Gross carrying amount	0
Gross carrying amount	4,476,048
Depreciation	0
Additions, Depreciation	0
Disposals, Depreciation	0
Depreciation	0
Carrying amount	$ 4,476,048		$ 3,528,703

v3.23.2

Note 6 - Intangible Assets (Details Textual)			6 Months Ended		12 Months Ended
	Feb. 07, 2023 USD ($) $ / shares shares	Mar. 02, 2022 USD ($) shares	Jun. 30, 2023 USD ($) shares	Jun. 30, 2022 USD ($)	Dec. 31, 2022 USD ($) shares	Feb. 07, 2023 $ / shares	Mar. 02, 2022 $ / shares
Stock Issued During Period, Shares, Acquisitions (in shares) | shares			0		21,361,002
Next Green Wave Holdings Inc.(“NGW”) [Member]
Asset Impairment Charges, Total					$ (25,802,688)
Next Green Wave Holdings Inc.(“NGW”) [Member]
Business Acquisition, Percentage of Voting Interests Acquired		100.00%
Business Combination, Consideration Transferred, Total		$ 57,574,938	$ 57,574,938
Payments to Acquire Businesses, Gross		14,788	14,788
Impairment of Intangible Assets (Excluding Goodwill), Total			6,947,778
Business Combination, Acquisition Related Costs		1,238,379
Next Green Wave Holdings Inc.(“NGW”) [Member] | Trade Names [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles		$ 1,340,000
Finite-Lived Intangible Asset, Useful Life (Year)		3 years
Next Green Wave Holdings Inc.(“NGW”) [Member] | Canabis Licenses [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets		$ 11,840,000
Next Green Wave Holdings Inc.(“NGW”) [Member] | Options [Member]
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable		1,239,818	1,239,818		$ 1,239,818
Next Green Wave Holdings Inc.(“NGW”) [Member] | Common Stock [Member]
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable		$ 56,320,332	$ 56,320,332
Stock Issued During Period, Shares, Acquisitions (in shares) | shares		21,361,002	21,361,002
Business Acquisition, Share Price (in CAD per share) | $ / shares							$ 3.34
Planet 13 Illinois, LLC [Member]
Business Acquisition, Percentage of Voting Interests Acquired			51.00%
Business Combination, Consideration Transferred, Total	$ 1,812,656
Payments to Acquire Businesses, Gross	866,250		$ 866,250	$ (0)
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable	$ 946,406		$ 946,406	$ 0
Business Acquisition, Share Price (in CAD per share) | $ / shares	$ 0.89
Planet 13 Illinois, LLC [Member] | Canada, Dollars
Business Acquisition, Share Price (in CAD per share) | $ / shares						$ 1.18
Planet 13 Illinois, LLC [Member] | Common Stock [Member]
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares) | shares	1,063,377		1,063,377		0

v3.23.2

Note 6 - Intangible Assets - Schedule of Intangible Assets (Details) - USD ($)	6 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Intangible assets, gross	$ 69,660,229
Additions	1,812,656
Intangible assets, gross	71,472,885
Amortization of intangibles	372,222
Additions, amortization	0
Amortization of intangibles	372,222
Intangible assets, net	71,100,663	$ 69,288,007
Retail Dispensary Santa Ana [Member]
Intangible assets, gross	6,151,343
Additions	0
Intangible assets, gross	6,151,343
Amortization of intangibles	0
Additions, amortization	0
Amortization of intangibles	0
Intangible assets, net	6,151,343	6,151,343
Retail Dispensary Clark County [Member]
Intangible assets, gross	690,000
Additions	0
Intangible assets, gross	690,000
Amortization of intangibles	0
Additions, amortization	0
Amortization of intangibles	0
Intangible assets, net	690,000	690,000
Cultivation and Production Clark County [Member]
Intangible assets, gross	709,798
Additions	0
Intangible assets, gross	709,798
Amortization of intangibles	0
Additions, amortization	0
Amortization of intangibles	0
Intangible assets, net	709,798	709,798
Master License Florida [Member]
Intangible assets, gross	55,846,866
Additions	0
Intangible assets, gross	55,846,866
Amortization of intangibles	0
Additions, amortization	0
Amortization of intangibles	0
Intangible assets, net	55,846,866	55,846,866
Cultivation, Coalinga, CA [Member]
Intangible assets, gross	6,232,222
Additions	0
Intangible assets, gross	6,232,222
Amortization of intangibles	372,222
Additions, amortization	0
Amortization of intangibles	372,222
Intangible assets, net	5,860,000	5,860,000
Retail Dispensary, Waukegan, IL [Member]
Intangible assets, gross	0
Additions	1,812,656
Intangible assets, gross	1,812,656
Amortization of intangibles	0
Additions, amortization
Amortization of intangibles	0
Intangible assets, net	1,812,656	0
Other Intangible Assets [Member]
Intangible assets, gross	30,000
Additions	0
Intangible assets, gross	30,000
Amortization of intangibles	0
Additions, amortization	0
Amortization of intangibles	0
Intangible assets, net	$ 30,000	$ 30,000

v3.23.2

Note 6 - Intangible Assets - Schedule of Assets and Liabilities Acquired (Details) - USD ($)		6 Months Ended	12 Months Ended
	Mar. 02, 2022	Jun. 30, 2023	Dec. 31, 2022
Cash		$ 1,493,922
Next Green Wave Holdings Inc.(“NGW”) [Member]
Payments to Acquire Businesses, Gross	$ 14,788	14,788
Business Combination, Consideration Transferred	57,574,938	57,574,938
Inventory		3,077,367
Accounts Receivable		1,374,142
Property, plant and equipment		16,229,350
Intangible assets		13,180,000
Goodwill		25,802,688
Accounts Payable and Accrued Liabilities		(233,158)
Income taxes payable		(125,445)
Deferred tax liability		(3,223,928)
Next Green Wave Holdings Inc.(“NGW”) [Member] | Common Stock [Member]
Equity issued	56,320,332	56,320,332
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net		57,574,938
Next Green Wave Holdings Inc.(“NGW”) [Member] | Options [Member]
Equity issued	$ 1,239,818	$ 1,239,818	$ 1,239,818

v3.23.2

Note 6 - Intangible Assets - Schedule of Assets and Liabilities Acquired (Details) (Parentheticals) - shares		6 Months Ended	12 Months Ended
	Mar. 02, 2022	Jun. 30, 2023	Dec. 31, 2022
Shares Issued on Acquisition (in shares)		0	21,361,002
Next Green Wave Holdings Inc.(“NGW”) [Member] | Common Stock [Member]
Shares Issued on Acquisition (in shares)	21,361,002	21,361,002
Next Green Wave Holdings Inc.(“NGW”) [Member] | Options [Member]
Options granted (in shares)		1,106,925

v3.23.2

Note 6 - Intangible Assets- Pro Forma Information (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Revenue, net of discounts	$ 25,832,711	$ 28,412,230	$ 50,748,107	$ 54,106,625
Gross Profit	$ 11,882,234	13,824,507	$ 22,765,045	26,725,511
Comprehensive loss for the period		(2,039,525)		(4,100,596)
Pro Forma [Member]
Revenue, net of discounts		28,412,230		54,977,276
Gross Profit		13,824,507		26,593,811
Comprehensive loss for the period		(2,039,525)		(4,968,721)
Next Green Wave Holdings Inc.(“NGW”) [Member]
Revenue, net of discounts		0		870,651
Gross Profit		0		(131,700)
Comprehensive loss for the period		$ 0		$ (868,125)

v3.23.2

Note 6 - Intangible Assets - Impairment Testing Assumptions (Details)	6 Months Ended
	Jun. 30, 2023
Years of cash flows before terminal value (Year)	6 years
Discount rate	19.25%
Terminal value multiple / rate	5.8

v3.23.2

Note 7 - Leases (Details Textual)	3 Months Ended		6 Months Ended
	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)
Lessee, Operating Lease, Term of Contract, Renewal Periods	2		2
Operating Lease, Cost	$ 1,254,393	$ 1,209,063	$ 2,499,034	$ 2,180,306
Operating Lease Cost, Capitalized to Inventory	$ 460,004	$ 430,013	$ 920,009	$ 920,009
Building [Member] | Minimum [Member]
Lessee, Operating Lease, Term of Contract (Year)	7 years		7 years
Building [Member] | Maximum [Member]
Lessee, Operating Lease, Term of Contract (Year)	21 years		21 years

v3.23.2

Note 7 - Leases - Lease Cost (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Operating lease costs	$ 1,254,393	$ 1,209,063	$ 2,499,034	$ 2,180,306
Short term lease expense	20,381	117	24,977	1,584
Total lease costs	$ 1,274,774	$ 1,209,180	$ 2,524,011	$ 2,181,890
Weighted average discount rate, finance lease	15.00%	15.00%	15.00%	15.00%
Weighted average discount rate, operating lease	15.00%	15.00%	15.00%	15.00%
Weighted average remaining lease term, operating lease (Year)	13 years 2 months 8 days	11 years 4 months 13 days	13 years 2 months 8 days	11 years 4 months 13 days

v3.23.2

Note 7 - Leases - Maturity of Contractual Undiscounted Lease Liabilities (Details) - USD ($)	Jun. 30, 2023	Dec. 31, 2022	Jun. 30, 2022
One year, finance lease	$ 4,277,274
One year, operating lease			$ 4,052,167
Two years, finance lease	4,425,693
Two years, operating lease			4,214,502
Three years, finance lease	4,453,068
Three years, operating lease			4,302,534
Four years, finance lease	4,455,447
Four years, operating lease			4,303,434
Five years, finance lease	4,629,904
Five years, operating lease			4,389,610
Thereafter, finance lease	58,688,780
Thereafter, operating lease			58,274,870
Total undiscounted lease liabilities, finance lease	80,930,166
Total undiscounted lease liabilities, operating lease			79,537,117
Interest on lease liabilities, finance lease	(53,646,798)
Interest on lease liabilities, operating lease			(53,224,885)
Total present value of minimum lease payments, finance lease	27,283,368
Total present value of minimum lease payments, operating lease			26,312,232
Lease liability - current portion, finance lease	(545,043)
Lease liability - current portion, operating lease	(545,043)	$ (479,161)	(479,161)
Lease liability, finance lease	26,738,325
Lease liability, operating lease	$ 26,738,325	$ 25,833,071	$ 25,833,071

v3.23.2

Note 8 - Notes Payable - Notes Payable to Non-related Parties (Details) - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Promissory note	$ 884,000	$ 884,000
Less current portion	(884,000)	(884,000)
Next 12 months Promissory Note		884,000
Promissory note dated November 4, 2015 [Member]
Promissory note	$ 884,000	$ 884,000

v3.23.2

Note 8 - Notes Payable - Notes Payable to Non-related Parties (Details) (Parentheticals)	Jun. 30, 2023	Dec. 31, 2022
Promissory note dated November 4, 2015 [Member]
Interest rate	5.00%	5.00%

v3.23.2

Note 9 - Share Capital (Details Textual)	6 Months Ended	12 Months Ended
	Jun. 30, 2023 $ / shares shares	Dec. 31, 2022 USD ($) shares	Dec. 31, 2022 CAD ($) $ / shares shares
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures, Total (in shares)	714,416	81,084	81,084
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross (in shares)	0	1,106,925	1,106,925
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Expirations in Period (in shares)	69,168	386,250	386,250
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Exercises in Period (in shares)	0	97,325	97,325
Share-Based Compensation Arrangements by Share-Based Payment Award, Options, Exercises in Period, Weighted Average Exercise Price (in CAD per share) | $ / shares	$ 0		$ 1.31
Proceeds from Stock Options Exercised		$ 97,980	$ 127,496
Class of Warrant or Right, Expirations (in shares)	5,206,463
Stock Issued During Period, Shares, Exercise of Warrants (in shares)	0	242,700	242,700
Class of Warrant or Right, Exercised During Period (in shares)	(0)	242,700	242,700
Proceeds from Warrant Exercises		$ 1,044,258	$ 1,407,660
Restricted Stock Units (RSUs) [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares)	0
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Vested in Period (in shares)	1,191,923
Share-Based Payment Arrangement, Shares Withheld for Tax Withholding Obligation (in shares)	477,507
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Settled in Period (in shares)	714,416
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Forfeited in Period (in shares)	69,494

v3.23.2

Note 9 - Share Capital - Number of Common Shares (Details) - shares		6 Months Ended	12 Months Ended
	Feb. 07, 2023	Jun. 30, 2023	Dec. 31, 2022
Balance at January 1 (in shares)		220,470,061	198,687,950
Shares Issued on Settlement of RSUs (in shares)		714,416	81,084
Shares issued on exercise of options (in shares)		0	97,325
Shares issued on exercise of warrants (in shares)		0	242,700
Shares Issued on Acquisition (in shares)		0	21,361,002
Total common shares outstanding (in shares)		222,247,854	220,470,061
Planet 13 Illinois, LLC [Member] | Common Stock [Member]
Shares issued on exercise of purchase option (Note 6) (in shares)	1,063,377	1,063,377	0

v3.23.2

Note 10 - Warrants - Summary of Fair Value of Warrant Liability (Details) - Warrants [Member] - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Balance	$ 18,127	$ 7,206,049
Expirations	(18,127)	0
Foreign exchange	0	(10,117)
Change in fair value	0	(7,177,805)
Balance	$ 0	$ 18,127

v3.23.2

Note 10 - Warrants - Summary of the Number of Warrants Outstanding (Details) - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Balance - beginning of year, warrants (in shares)	5,206,463	8,861,951
Balance - beginning of year, weighted average exercise price (in CAD per share)	$ 8.88	$ 7.46
Exercised, warrants (in shares)	0	(242,700)
Exercised, weighted average exercise price (in CAD per share)	$ 0	$ 5.80
Expired, warrants (in shares)	(5,206,463)	(3,412,788)
Expired, weighted average exercise price (in CAD per share)	$ 8.88	$ 5.41
Balance - end of year, warrants (in shares)	0	5,206,463
Balance - end of year, weighted average exercise price (in CAD per share)	$ 0	$ 8.88

v3.23.2

Note 10 - Warrants - Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - Fair Value, Recurring [Member] - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Warrant liability	$ 0	$ (18,127)
Fair Value, Inputs, Level 1 [Member]
Warrant liability	0	(18,127)
Fair Value, Inputs, Level 3 [Member]
Warrant liability	$ 0	$ 0

v3.23.2

Note 11 - Share Based Compensation (Details Textual) - USD ($)		3 Months Ended		6 Months Ended		12 Months Ended
	Mar. 02, 2022	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross (in shares)				0		1,106,925
Share-Based Payment Arrangement, Expense		$ 602,627	$ 2,061,079	$ 1,323,618	$ 4,116,573
Next Green Wave Holdings Inc.(“NGW”) [Member] | Options [Member]
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable	$ 1,239,818			$ 1,239,818		$ 1,239,818
Share-Based Payment Arrangement, Option [Member] | Next Green Wave Holdings Inc.(“NGW”) [Member]
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares (in shares)						1,106,925
Restricted Stock Units (RSUs) [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Vested in Period (in shares)				1,191,923
Share-Based Payment Arrangement, Shares Withheld for Tax Withholding Obligation (in shares)				477,507
Share-Based Compensation Arrangement by Share-Based Payment Award, Non-Option Equity Instruments, Exercised (in shares)				1,191,923		81,084
The Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross (in shares)		0		0
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Exercises in Period, Intrinsic Value				$ 0		$ 0
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Intrinsic Value		$ 0		0		0
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Exercisable, Intrinsic Value		0		$ 0		$ 0
The Plan [Member] | Share-Based Payment Arrangement, Option [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Percentage of Outstanding Stock Maximum				10.00%
Share-Based Payment Arrangement, Expense				$ 0	0
The Plan [Member] | Share-Based Payment Arrangement, Option [Member] | Maximum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Expiration Period (Year)				5 years
The RSU Plan [Member] | Restricted Stock Units (RSUs) [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Percentage of Outstanding Stock Maximum						10.00%
Share-Based Compensation Arrangement by Share-Based Payment Award, Expiration Period (Year)				5 years
Share-Based Payment Arrangement, Expense		$ 602,627	$ 2,061,079	$ 1,323,618	$ 4,116,573
Share-Based Compensation Arrangement by Share-Based Payment Award, Non-Option Equity Instruments, Granted (in shares)				0	0
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Vested in Period (in shares)				1,191,923	0
Share-Based Payment Arrangement, Shares Withheld for Tax Withholding Obligation (in shares)				477,507
Share-Based Compensation Arrangement by Share-Based Payment Award, Non-Option Equity Instruments, Exercised (in shares)				1,191,923	0

v3.23.2

Note 11 - Share Based Compensation - Summary of Stock Options Outstanding (Details) - $ / shares	Jun. 30, 2023	Dec. 31, 2022	Dec. 31, 2021
Exercise price (in CAD per share)	$ 2.47	$ 2.34	$ 2.01
Outstanding (in shares)	723,350	792,518	169,168
Exercisable (in shares)	723,350	792,518
Expires June 11, 2023 [Member]
Exercise price (in CAD per share)	$ 1.31
Outstanding (in shares)	185,203	185,203
Exercisable (in shares)	185,203	185,203
Expires February 27 ,2025 [Member]
Exercise price (in CAD per share)	$ 1.31
Outstanding (in shares)	51,525	51,525
Exercisable (in shares)	51,525	51,525
Expires June 30, 2024 [Member]
Exercise price (in CAD per share)	$ 3.06
Outstanding (in shares)	269,075	269,075
Exercisable (in shares)	269,075	269,075
Expires November 21, 2024 [Member]
Exercise price (in CAD per share)	$ 4.37
Outstanding (in shares)	120,222	120,222
Exercisable (in shares)	120,222	120,222
Expires in July 6, 2025 [Member]
Exercise price (in CAD per share)	$ 1.31
Outstanding (in shares)	97,325	97,325
Exercisable (in shares)	97,325	97,325
Expires December 15, 2025 [Member]
Exercise price (in CAD per share)	$ 0.80
Outstanding (in shares)	0	61,668
Exercisable (in shares)	0	61,668
Expires in September 30, 2026 [Member]
Exercise price (in CAD per share)	$ 2.60
Outstanding (in shares)	0	7,500
Exercisable (in shares)	0	7,500

v3.23.2

Note 11 - Share Based Compensation - Options Activity (Details) - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Balance - beginning of year, options (in shares)	792,518	169,168
Balance - beginning of year, weighted average exercise price (in CAD per share)	$ 2.34	$ 2.01
Issued, options (in shares)	0	1,106,925
Issued, weighted average exercise price (in CAD per share)	$ 0	$ 2.58
Exercised, options (in shares)	0	(97,325)
Exercised, weighted average exercise price (in CAD per share)	$ 0	$ 1.31
Expired, options (in shares)	(69,168)	(386,250)
Expired, weighted average exercise price (in CAD per share)	$ 0.80	$ 3.11
Balance - end of year, options (in shares)	723,350	792,518
Balance - end of year, weighted average exercise price (in CAD per share)	$ 2.47	$ 2.34

v3.23.2

Note 11 - Share Based Compensation - Summary of RSUs Outstanding (Details) - Restricted Stock Units (RSUs) [Member] - shares	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Balance - beginning of period (in shares)	2,464,928	2,591,929
Exercised (in shares)	(1,191,923)	(81,084)
Forfeited (in shares)	69,494	45,917
Balance - end of period (in shares)	1,203,511	2,464,928

v3.23.2

Note 12 - Loss Per Share (Details Textual) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount (in shares)	1,926,861	12,328,398	1,926,861	12,328,398

v3.23.2

Note 12 - Loss Per Share - Schedule of Loss Per Share (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Loss available to common shareholders	$ (4,349,325)	$ (2,039,525)	$ (10,653,568)	$ (4,100,596)
Basic and diluted (in shares)	221,791,320	220,088,004	221,439,841	212,869,574
Basic and diluted loss per share (in dollars per share)	$ (0.02)	$ (0.01)	$ (0.05)	$ (0.02)

v3.23.2

Note 13 - General and Administrative - Schedule of General and Administrative Expense (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Salaries and wages	$ 3,874,046	$ 3,816,040	$ 7,544,118	$ 7,794,850
Share based compensation	602,627	2,061,079	1,323,618	4,116,573
Executive compensation	736,104	760,226	1,467,281	1,433,840
Licenses and permits	609,844	656,148	1,251,446	1,457,665
Payroll taxes and benefits	857,998	1,042,807	1,730,171	2,060,776
Supplies and office expenses	347,112	277,824	666,198	500,456
Subcontractors	525,175	508,254	1,031,962	1,132,897
Professional fees (legal, audit and other)	2,373,634	1,292,823	4,585,433	3,510,448
Miscellaneous general and administrative expenses	1,344,830	1,595,852	2,626,149	3,490,238
General and Administrative Expense	$ 11,271,370	$ 12,011,053	$ 22,226,376	$ 25,497,743

v3.23.2

Note 14 - Supplemental Cash Flow Information - Schedule of Supplemental Cash Flow Information (Details) - USD ($)		6 Months Ended
	Feb. 07, 2023	Jun. 30, 2023	Jun. 30, 2022
Accounts Receivable		$ 5,797	$ 983,223
Inventory		(1,707,634)	2,133,755
Prepaid Expenses and Other Assets		961,556	1,100,971
Long-term Deposits and Other Assets		29,692	227,869
Deferred Tax Assets		27,963	(27,628)
Accounts Payable		(266,599)	(954,031)
Accrued Expenses		(1,085,184)	(578,464)
Income Taxes Payable		(2,045,268)	(1,036,977)
Increase (Decrease) in Operating Capital		(4,079,677)	1,848,718
Interest Paid On Leases		2,034,471	0
Income Taxes		4,250,000	5,794,337
Initial Recognition of Fair Value of Net Assets Acquired in NGW Acquisition in Exchange for Shares, excluding Cash		0	22,109,890
Initial Recognition of ROU Assets and Lease Liabilities		0	2,326,202
Lease additions		954,496	0
Fixed Asset Amounts in Accounts Payable		172,355	363,077
Reclassification of long term lease liabilities to current		65,883	5,130
Planet 13 Illinois, LLC [Member]
Equity issued	$ 946,406	$ 946,406	$ 0

v3.23.2

Note 15 - Related Party Transactions and Balances (Details Textual)	6 Months Ended
	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Mar. 14, 2022 ft²
CoCEO [Member]
Marketing Expense	$ 0	$ 183,914
Executive Officer [Member] | Storage Space [Member]
Rental Income, Nonoperating	0	5,968
Office Building [Member]
Area of Real Estate Property (Square Foot) | ft²			2,000
Office Building [Member] | CoCEO [Member]
Payments for Rent	$ 0	$ 6,010

v3.23.2

Note 16 - Commitments and Contingencies (Details Textual) Pure in Thousands	6 Months Ended
	Jun. 30, 2023 USD ($)	Dec. 31, 2022
Loss Contingency, Pending Claims, Number	0	0
Capital Addition Purchase Commitments [Member]
Long-Term Purchase Commitment, Amount	$ 8,231,097

v3.23.2

Note 17 - Risks (Details Textual)	Jun. 30, 2023 USD ($)	Dec. 31, 2022 CAD ($)
Cash	$ 291,379	$ 1,172,859
Sensitivity Analysis of Foreign Currency, Impact of 10 Percent Adverse Change in Conversion Rate	$ 29,138

v3.23.2

Note 18 - Disaggregation of Revenue - Disaggregation of Revenue (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Net revenues	$ 25,832,711	$ 28,412,230	$ 50,748,107	$ 54,106,625
Retail [Member]
Net revenues	21,359,936	24,250,925	41,712,902	47,810,316
Wholesale [Member]
Net revenues	$ 4,472,775	$ 4,161,305	$ 9,035,205	$ 6,296,309

v3.23.2

Note 19 - Government Assistance Program (Details Textual) - USD ($)	Jun. 15, 2023	Dec. 27, 2020	Mar. 27, 2020
Employee Retention Credit, Available Credit, Percentage of Qualified Wages		70.00%	50.00%
Employee Retention Credit, Qualified Wages, Maximum Amount Per Quarter		$ 10,000	$ 10,000
Employee Retention Credit, Maximum Wages Per Qualified Employee Per Quarter		$ 7,000	$ 5,000
ERC Credit [Member]
Government Assistance, Amount	$ 1,955,711

v3.23.2

Note 20 - Subsequent Events (Details Textual)	Jun. 27, 2023 shares
Equity Incentive Plan 2023 [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Authorized (in shares)	22,000,000

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