Hollister Biosciences Inc. (CSE: HOLL) (OTC: HSTRF) reported its financial and operating results for the first quarter of 2021 with total revenue in the first quarter of $23.1 million versus $0.95 million in the first quarter of 2020 and up 97% sequentially from $11.7 million in the fourth quarter of 2020. The net income for Hollister in the first quarter was $2.0 million versus a net loss of $2.2 million in the first quarter of 2020. The adjusted EBITDA was $2.80 million in the first quarter compared to a loss of $1.1 million in the first quarter of 2020.
Investors seemed pleased with the results as the stock was moving higher by almost 20%. U.S. markets were closed on Monday for the Memorial Day holiday.
The company said that the Venom Extracts product suite is a category leader in Arizona, accounting for up to 30% of category sales state-wide. Venom is positioned for continued growth in Arizona, it has a strong brand recognition and distribution network, with products in the vast majority of dispensaries statewide. Venom Extracts operates a 11K sq. ft. facility located in Phoenix, AZ which can produce approximately 5 million grams of extract annually in its current and >15 million grams with planned equipment and production enhancements.
This follows the company’s delivery of its fourth-quarter and full-year results on Monday, May 31, 2021. Total revenue in the fourth quarter was $11.7 million versus $0.35 million in the fourth quarter of 2019 and up 23% compared to $9.5 million in the third quarter of 2020. The net loss in the fourth quarter was $1.1 million compared to a net loss of $1.3 million in the fourth quarter of 2019.
The total revenue in 2020 was $30.6 million compared to $1.0 million in 2019 and the net loss for the full year was $3.7 million compared to a net loss of $1.9 million in 2019.
Hollister said in a statement, “If 2020 was a year of navigating turmoil and disruption, 2021 appears set to be a year of opportunity and expansion as the pandemic weakens, the economy recovers, and newly approved cannabis laws open new markets. Expectations include continued increased sales and demand in multiple states, with a special emphasis on the emerging recreational market in Arizona.” The company said it will continue to focus on acquiring, developing, and powering cannabis consumer products, expansion, and growth in line with its strategy, which will focus on three key areas: supply chain, wholesale distribution and e-commerce.