Liberty Health Sciences Inc. (CSE: LHS) (OTCQX: LHSIF) reported net sales of $10,627,656 for the second quarter ending August 31, 2019, versus $2,219,290 for the quarter for the same time period in 2018. Liberty Health delivered net income for the quarter of $22,884,261, turning the corner over last year’s net loss of $5,605,355 and besting many cannabis companies that only seem to deliver net losses.
The company attributed the significant year-over-year increase in revenue to the opening of new dispensaries and delivery locations, as well as experiencing an upsurge in same-store sales volume and an uptick in the registered patient base for Medical Marijuana Use in Florida.
“The second quarter of fiscal year 2020 proved to be the largest sales revenue quarter in the history of our Company,” said Victor Mancebo, Interim Chief Executive Officer of Liberty. “Liberty’s continued growth directly ties to the strategic initiatives we have set in place, which has been increasing our Florida production, retail base, and delivery footprint along with expanding our product portfolio and brand partnerships. We continue to work on numerous marketing strategies that will complement our expansion plans and simultaneously provide our patients a more educational, personalized and accessible experience.”
Liberty said it was one of the first companies in Florida to rollout whole flower products in all of its dispensaries, Liberty has reached monthly sales, including smokable medical marijuana, of more than $4.6 million in August 2019. In the heat of the vape crisis, flower has become a consumer favorite. The company said it expects its sales to continue to grow steadily as it expands its dispensary footprint and product offerings. Those product offerings include Liberty Health Sciences, Zentient, Pretty Pistil, Papa’s Herb, Mary’s Medicinal, PAX, Werc Shop, and Lemon and Grass.
As of August 31, 2019, Liberty said it had $23,884,434 of cash and term deposits. The company currently has 19 operational dispensaries.
In The Pipeline
Liberty finished construction on its new 387-acre state-of-the-art Liberty-360 facility comprising 300,000 square feet of greenhouse processing and production space resulting in the company being the lowest cost and consistent producer in Florida. The company has lease agreements in place for another 10 locations and is further negotiating another seven.