RED DEER, AB, Dec. 7, 2020 /CNW/ – CANADABIS CAPITAL, (STIGMA GROW), (INDICAtive Collection), a National pioneer in cannabis concentrate production, research, cultivation and distribution, reports financial results for the fourth quarter and full fiscal year ended July 31, 2020. All financial information in this press release is reported in CAD dollars, unless otherwise indicated.
Revenue Increased exponentially to $4,428,831 Million in Full Fiscal Year 2020 Compared to the Prior Year
Revenue Increased by 535% in the Fourth Quarter Compared to Q3 with a Dramatic increase over Q1 2019 with Sequential Quarterly Revenue Growth
Signed and Closed 95% of the outstanding shares of Goldstream Cannabis Inc., which holds the rights to access 13 acres of land on Vancouver Island, BC, which is zoned and ideal for outdoor /Greenhouse cannabis production to provide consistent, cost effective inputs for extraction, in addition to $2,000,000 cash. The transaction was valued at $3.5 million.
The Company opened its flagship cannabis retail store, operating as “INDICAtive Collection”, serving customers in Alberta.
The Company was granted its amendment by Health Canada to its existing license to include sales of Cannabis products on March 6, 2020, through its wholly owned subsidiary 1998643 Alberta Ltd. (o/a Stigma Grow). This license from Health Canada allows the company to sell cannabis that is cultivated at its 66,000 sq. ft. facility.
“Our full year results show exceptional company growth and the hitting of all targets laid out in 2019, with fourth quarter results indicative of sales growth momentum expected to continue for the remainder of 2020 and into 2021,” said Travis McIntyre, CEO, CanadaBis. “We have faced both industry and COVID challenges this year, but we remain committed to increasing revenues and cash flows to steadily increase value for our shareholders. We are extremely proud of all of our in-house team for the great deal of work put in to launching multiple first-to-market SKUs.
Entering 2021, CanadaBis Capital boasts a diversified business model comprised of Cultivation, Contract Manufacturing and Retail, as well as Stigma-branded concentrate products currently sold in five provinces. This positions us very well in the current 3.0 market environment. We are still in the early days of this emerging 3.0 industry and will continue being good stewards of shareholder capital as we aim to build the country’s most trusted and valued 3.0 cannabis company.”
2020 Company Highlights
Increase of $4,428,831 in revenue as compared to the prior year, with large portion of the sales occurring in 2020 Q4. Growth in revenues resulted from the launch of several products across multiple provinces as well as contract manufacturing fees;
On August 13, 2019, the Company acquired 95% of the outstanding shares of Goldstream Cannabis Inc., which holds the rights to access 13 acres of land on Vancouver Island, BC, which is already zoned for cannabis production, in addition to $2,000,000 cash. The transaction was valued at $3.5 million with consideration consisting of 11,666,666 common shares of CanadaBis at $0.30 per share;
On October 5, 2019, the Company opened its flagship cannabis retail store in Red Deer Alberta, operating as “INIDICAtive Collection”, serving customers throughout Central Alberta;
The Company was granted its amendment by Health Canada to its existing license to include sales of Cannabis products on March 6, 2020, through its wholly owned subsidiary 1998643 Alberta Ltd. (o/a Stigma Grow). This license from Health Canada allows the company to sell cannabis that is cultivated at its 66,000 sq. ft. facility;
On April 19, 2020, the Company oversaw the first shipment of 6000+ packages of multiple SKUs of concentrates;
On July 31, 2020, the Company completed a non-brokered private placement of 8,295,996 voting common shares for proceeds of $1,244,399, or $0.15 per voting common share;
The Company continues to develop the facility and processing areas to triple the existing cultivation space and double the processing capacity. The expansion work is expected to be completed in 2021 Q2; and
The Company through its wholly owned subsidiary 1998643 Alberta Ltd. (o/a Stigma Grow) secured sales channels for its concentrates and flowers in the provinces of Alberta, British Columbia, Saskatchewan, Ontario, Nova Scotia, and New Brunswick, with other provinces to follow.
2020 Financial Highlights
Fourth Quarter 2020 Financial Highlights
Revenue increased 535% to $4,428,831 million compared to the third quarter of this year, driven by the launch of 3.0 BHO products into the market. These products were not presented by any other LP in Canada and represent a large portion of sales in mature markets such as California, Oregon and Colorado. “We believe that the future of cannabis is in the 3.0 marketplace and we are currently leading the charge in Canada”, says Travis McIntyre, CEO CanadaBis Capital Inc.
Select Quarterly Financial Information
About CanadaBis Capital Inc.
CANADABIS CAPITAL INC (TSXV: CANB) is a National pioneer in cannabis concentrate production, research, cultivation and distribution, leading the charge to bring in demand 3.0 BHO products to market across Canada.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release includes certain “forward-looking statements” under applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements with respect to our business and operations including development and expansion plans and the timing thereof. Forward-looking statements are necessarily based upon a number of assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: compliance with extensive government regulation, the general business, economic, competitive, political and social uncertainties; requirement for further capital, delay or failure to receive board, shareholder or regulatory approvals; the results of operations and such other matters as set out in the Filing Statement available on SEDAR at www.sedar.com. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements.
Accordingly, readers should not place undue reliance on forward-looking statements. Investors are cautioned that forward-looking information is not based on historical facts but instead reflects management’s expectations, estimates or projections concerning future results or events based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made. Although we believe that the expectations reflected in such forward-looking information are reasonable, such information involves risks and uncertainties, and undue reliance should not be placed on such information, as unknown or unpredictable factors could have material adverse effects on our future results, performance or achievements.
Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended. CanadaBis Capital does not intend, and does not assume any obligation, to update this forward-looking information except as otherwise required by applicable law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE CanadaBis Capital Inc.
For further information: Investor Relations: Travis McIntyre,CEO, firstname.lastname@example.org