Gross profit of $10.7 million, up 16.8% from $9.2 million in the prior quarter.
iAnthus Capital Holdings, Inc, which owns, operates, and partners with best-in-class regulated cannabis operations across the United States, is pleased to report its financial results for the fiscal third quarter ended September 30, 2019. Amounts are in U.S. Dollars, unless stated otherwise.
Hadley Ford, CEO of iAnthus, provided the following statement on the Company's third quarter results and outlook:
"The iAnthus team made significant progress in the third quarter. In three of our greenfield states we are now generating well over a million dollars of revenue per month, our MPX brand is commanding a #1 market share position in several states and we are executing on our operating efficiency and lean initiative plans.'
We expect that we have arranged the necessary financing to continue our growth with a proposed $100 million financing plan and our business now generates adequate cash for operating expenses and maintenance capex in our more established markets. Access to the expected capital from Gotham Green will be used for additional high return investments such as our continued expansion in Florida, New Jersey and New York. I am very proud of the leadership of our operating teams who have worked tirelessly to develop lean initiative programs and internal controls for operating our business, which is reflected in our 48% adjusted EBITDA improvement quarter over quarter. '
I am confident that we are well on our way to positive EBITDA in 2020 and in our ability to generate operating cash flow and grow enterprise value.Hadley Ford, CEO of iAnthus
Total pro-forma revenues of $30.9 million, up 23% from the prior quarter
The Eastern Region revenues increased to $13.2 million, up 30% from the prior quarter as a result of the Company's expanded retail presence in Florida, increased demand for MPX branded products in Maryland and continued expansion into the CBD market; partially offset by lower wholesale revenues in Massachusetts due to the ongoing vaping products ban.
Moreover, the Western Region revenues increased to $9.1 million, up 1% from the prior quarter due to strong sales in Arizona, countered by lower wholesale in Nevada as the Company shifted away from bulk wholesale in anticipation of selling more MPX branded products going forward.
Retail revenues totaled $14.4 million, up 28% from the prior quarter.
Wholesale revenues totaled $6.2 million, down 17% from the prior quarter due primarily to a reduction in bulk wholesale orders related to the vaping products ban in Massachusetts.
Gross margin for the quarter was 48.1%, up from 47.9% in the prior quarter. The improvement was due primarily to gross margin improvements resulting from lean initiatives in Massachusetts, Arizona and Maryland.
To access the full financial report please click here.
Disclaimer: Past performance is not an indicator of future performance.
Disclaimer: past performance is not an indicator of future performance
To learn more about iAnthus visit their Company HQ here.
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