MariMed Archives - Green Market Report

Debra BorchardtDebra BorchardtAugust 12, 2019
daily_hit004-1280x533.png

8min2120

It’s time for your Daily Hit of cannabis financial news for August 12, 2019.

On The Site

CannTrust

After the market closed on Friday, CannTrust Holdings Inc. (NYSE: CTST)said it received a report from Health Canada telling the company that “Its manufacturing facility in Vaughan, Ontario has been rated non-compliant with certain regulations.”CannTrust stock is dropping over 25% to lately trade at roughly $2.26 in pre-market trading as shareholders learn about the continuing problems with the facilities causing more uncertainty.

The news that the company’s facility has failed a recent inspection is troubling because it was supposed to have addressed problems from previous inspections in which the company was found to be growing cannabis in rooms that hadn’t received licenses.  Health Canada has said that it is currently unable to provide any guidance about the timing or content of its decisions regarding CannTrust.

Saving Money

On August 6th we published an article that illustrated the savings for consumers and additional profits for cultivators that could be produced through the use of a properly organized Cannabis Cooperative Association (“CCA”). This article describes the savings for consumers and the additional profits for cultivators in the movement of cannabis in the form of extracted oil.

As we have said on multiple occasions, a CCA is the most financially efficient structure for engaging in business in California’s cannabis industry. The utilization of a CCA for the movement of cannabis as extracted oil produces even greater price reductions for consumers and increased profits for cultivators than with flower. This occurs because more costs are incurred between the cultivator and the consumer in the movement of extracted oil than in the movement of flower.

Novel?

It was announced on January 2019 that the European Food Safety Association, EFSA is about to make a decision in order to classify CBD oil and other CBD products as a novel food. This decision was announced at the Novel Food Commission meeting which was held in Brussels in 2016. This led to a final imminent decision very soon and EFSA considered CBD products as Novel Food.

In recent times, there has been tremendous growth in food products available in the market which eventually included Cannabidiol. And, according to reports, it is clear that the European CBD Market is going to encounter a boom in the near future. Eventually, the regulators started taking a closer look at the CBD products and oil available in the European market.

In Other News

MediPharm Labs

MediPharm Labs (MEDIF) reported that its second-quarter revenue was $31.5 million, a 43% increase over Q1 2019, reflecting Canadian cannabis extraction-only industry and the ramp-up of new committed contracts. Gross Profit was $11.3 million, a 65% increase over Q1 2019, while Gross Margin was 36% compared to 31% in Q1 2019, reflecting increased production and production efficiency that continues to improve as the Company realizes economies of scale. Adjusted EBITDA was $7.7 million, 79% higher than Q1 2019, while Adjusted EBITDA margin was 24% compared to 20% in Q1 2019. Net income before tax was $4.1 million compared to a net loss of $0.3 million in Q1 2019

MariMed

MariMed (MRMD) report that its revenues for the second quarter of 2019 were $25.7 million, up 774% compared to $2.9 million in the same year-ago quarter. The increase in revenue was primarily the result of hemp seeds sales totaling $25.2 million dollars, of which $22.0 million was recognized in the quarter. The remaining revenue is expected to be recognized in the third and fourth quarters of 2019 upon payment from the buyer. Revenues excluding the hemp seed sales increased 24% to $3.7 million versus the year-ago quarter.

Gross profit for the second quarter of 2019 was $8.9 million or 34.8% of revenues, up 341.1% from $2.0 million or 68.9% of revenues in the same quarter from a year ago. Gross profit in MariMed’s core businesses as a percentage of revenues increased to 72.4% in the second quarter of 2019 from 68.9% in the year-ago quarter. Net income for the second quarter of 2019 was $4.7 million or $0.02 per fully diluted share, improving from a net loss of $393,000 or $(0.00) per basic share in the year-ago quarter.

Medicine Man Tech

Medicine Man Technologies, Inc. (OTCQX: MDCL) announced that it has entered into a binding term sheet to acquire Colorado-based Dabble Extracts, an award-winning cannabis concentrate company that specializes in processing medical and recreational marijuana into premium-grade extracts.

Under the terms of the term sheet, the company will pay $3,750,000 for Dabble Extracts. The purchase price will consist of $750,000 in cash and 996,678 shares of common stock priced at $3.01/share, which is the average closing price of the Company’s stock for the five trading days prior to August 6, 2019. The terms can also be referenced in the 8-K, which outlines the closing conditions. The obligations of the Company and Dabble Extracts under the term sheet are conditioned upon the satisfaction of mutual waiver of certain conditions, including regulatory approval.

Nabis

Nabis Holdings Inc. (CSE: NAB) (OTC: NABIF has entered into a Definitive Agreement for the acquisition of 100% of the membership units of a licensed medical marijuana business in the state of Arizona.

The Asset, licensed under the provisions of the Arizona Medical Marijuana Act, operates a dispensary in Phoenix, Arizona. The dispensary in Phoenix has been operating since 2015 with proprietary branded products and wholesale operations, including an established distribution network serving more than 50% of the dispensaries in Arizona.

The audited sales for 2017 and 2018 were USD $7.4 million and $8.7 million respectively.  2019 unaudited revenue is on pace for sales of USD $9 million. The dispensary specializes in top-tier flower, vape pens, concentrates, edibles, tinctures, and CBD products.

 


StaffStaffMay 13, 2019
MariMed2.jpg

3min3810

MariMed Inc. (OTCQB: MRMD) reported that in the first quarter ending March 31, 2019, revenues grew 69% to $3.5 million versus last year’s $2.1 million for the same time period. The company trimmed its net losses for the quarter to $23,211, a 99% improvement over the $1.9 million loss for the first quarter of 2018.

MariMed delivered a breakeven quarter on a per share basis versus the $.01 per share loss for the same period in 2018. Gross profits grew 90% to $2.2 million vs. $1.2 million for the first quarter of 2018 compared to the same period in 2018.

“We continue to see dynamic growth in our cannabis operations, even as we have become a significant early mover in the burgeoning CBD health and wellness market,” said MariMed CEO Bob Fireman. “We are encouraged by our continued strong operating performance, and look forward to realizing the benefits of investments and initiatives undertaken over the last two quarters, which include the ongoing consolidation of cannabis operations, the opening of additional cannabis facilities in several states, expanding the licensing of our brands and products into additional licensed states, and our multi-pronged entry into the CBD market.”

MariMed Inc. outlined the strategic steps it took in the hemp-based CBD market to complement its existing seed-to-sale cannabis operations. As per the company statement, MariMed said it established MariMed Hemp Inc., a wholly owned subsidiary of MariMed, Inc. to leverage significant opportunities in the hemp-based CBD market for health and wellness products. The company said it is developing new and innovative CBD brands and products that will be distributed to retailers and through representatives to health and medical businesses. It converted debentures in GenCanna Global Inc. into a significant equity position in GenCanna, an industry leader in vertically integrated hemp cultivation and one of the nation’s largest producers of GMP compliant CBD products.

Contributing to the improvement in the first quarter of 2019 compared to the first quarter of 2018, was the company’s share of net earnings in GenCanna of $2.0 million, as that organization benefits from the growing demand for CBD products globally.


William SumnerWilliam SumnerApril 25, 2019
daily_hit004-1280x533.png

4min3680

It’s time for your Daily Hit of cannabis financial news for April 25, 2019.

On The Site

Bank of America Merrill Lynch Initiates Coverage On Cannabis Industry

It was a significant move for the financial industry and the cannabis industry when Bank of America Merrill Lynch (BAML) released a 62-page report entitled “A cannabis world… and more people are living in it.” Green Market Report combed through this detailed report to find some poignant highlights brought forth by Bank of America Merrill Lynch in their analysis of the growing global cannabis market.

SOL Global

SOL Global Investments Corp. (CSE: SOL) (OTCQB: SOLCF), the owner of 3 Boys Farms, which holds one of Florida’s original 14 operating and vertically integrated medical marijuana treatment center licenses, has entered into a binding letter of intent with cannabis-focused private equity firm Merida Capital Partners  to acquire Merida’s Michigan subsidiary, MCP Wellness, Inc. in a deal valued at $150 million.

In Other News

Vireo Health

Vireo Health International, Inc. (CSE: VREO) announced that its patent application titled, “Tobacco Products with Cannabinoid Additives and Methods for Reducing the Harm Associated with Tobacco Use” has been approved by the United States Patent and Trademark Office (USPTO). The patent application covers the use of cannabinoids as a “harm reduction agent” in certain tobacco products such as cigarettes, pipe tobacco, or smokeless tobacco products.

MariMed

MariMed Inc. (OTCQB: MRMD) announced that its subsidiary MariMed Hemp will acquire a 70% of MediTaurus, which owns the CBD health and wellness brand Florance, which has an established retail presence in both the United States and the European Union. The acquisition is part of MariMed’s strategy to optimize its investment in the Kentucky-based CBD producer GenCanna Global Inc. Terms of the transaction were not disclosed. “We at MediTaurus are extremely pleased to be joining the MariMed family and combining our expertise to further develop innovative products and processes and creating world-class brands with fully compliant and transparent supply and production,” said MediTaurus CEO and co-Founder Dr. Jokūbas Žiburkus. “The current dynamic growth of hemp and medical cannabis presents unprecedented opportunities for synergies among scientists, medical practitioners, consumers, and the financial marketplace.”


Debra BorchardtDebra BorchardtApril 17, 2019
MariMed2.jpg

8min4960

MariMed Inc. (OTCQB: MRMD) reported its fourth-quarter and 2018 results. For the quarter ending December 31, 2018, revenues grew 118% to $3.44 million versus $1.58 million for the same time period in 2017. The company did not break out additional details for the quarter, opting instead to just release the details for the full year.

Full Year 2018

For the full year 2018, revenues grew to $11.85 million, up 95% over $6.07 million reported for 2017; Adjusted EBITDA grew 53% to $2.4M. The company delivered a net loss for the year of $13.6 million which they attributed to the result of non-cash amortization relating to equity compensation granted during the year ($13.97 million). Loss per share was $0.71 for the full year.

MariMed CEO Bob Fireman said in a statement, “We are encouraged that the company maintained its strong operating performance and dynamic growth. We made a series of key investments to leverage opportunities we see for the years ahead, from branding and marketing to a major investment in GenCanna Global, perhaps the world’s leader in industrial hemp genetics and production.”

Hemp

The company said in its statement, that in November 2018, MariMed made a $30 million investment in GenCanna Global USA Inc. Based in Kentucky, GenCanna is a global innovator in hemp genetics, and with MariMed support will be one of the largest US producers of CBD derived from hemp. MariMed has established a new division, MariMed Hemp which will develop CBD brands and products, as well as pursue other high-margin business opportunities, as the hemp CBD industry separates from the cannabis industry.

Consolidation Plans

The company said in its filing that it has started the consolidation process “is at various stages of completion due to the respective state laws governing cannabis license ownership. Once the consolidation is completed, the company will own, manage, and operate cultivation, manufacturing and retail dispensary operations in these states.” The following was taken from the company’s filing:

Massachusetts

The company successfully converted ARL Healthcare Inc., its cannabis-licensed client, from a non-profit entity to a for-profit corporation with the Company as the sole shareholder. The Company now owns ARL and its cannabis licenses for cannabis cultivation, production and dispensing, with rights for up to nine statewide locations in both the medical and adult-use programs. The Company is constructing a 70,000 square foot state-of-the-art cultivation and production facility for ARL in New Bedford within the Company’s 138,000 square foot facility purchased in 2017. ARL’s manufactured cannabis products will be sold to licensed dispensaries throughout the state serving both the medical and adult-use markets.

The Company also owns a 22,700 square foot building in Middleborough in which a 10,000 square foot dispensary is planned to be open for business in May 2019. Furthermore, the Company intends to open two more dispensaries in the Boston area in 2019.

Maryland

The Company has entered into a memorandum of understanding to acquire Kind Therapeutics USA Inc. , its cannabis-licensed client that holds licenses for the cultivation, production, and dispensing of medical cannabis. The parties are finalizing a merger document to effectuate the transaction which is conditioned on the approval by the Maryland Medical Cannabis Commission, which is expected to occur in October 2019. Until then, the Company will continue to provide management and operational advisory services to Kind, whose operations are conducted within a 100,000 square foot cultivation and manufacturing facility within a Company-owned 180,000 square foot industrial building in Hagerstown. Additionally, the Company has contracted to purchase a 9,000 square foot building in Anne Arundel County for the development of a dispensary, currently scheduled to open in late 2019.

Illinois

In October 2018, the Company entered into a purchase agreement to acquire the ownership interests of KPG of Anna LLC and KPG of Harrisburg LLC, the Company’s two cannabis-licensed clients that operate Company-built and owned medical marijuana dispensaries in the state of Illinois (both entities collectively, the “KPGs”), from the current ownership group of the KPGs. As part of this transaction, the Company will also acquire this ownership group’s interests in Mari Holdings IL LLC, the Company’s subsidiary which owns the real estate in which the KPGs’ dispensaries are located. The Company is currently awaiting approval for this transaction from the state, which is expected to be received in the near future.

Nevada

In November 2018, the Company contracted to acquire 100% of the ownership interests of The Harvest Foundation LLC, the Company’s cannabis-licensed client in the state of Nevada. The acquisition is conditioned upon the approval of the state cannabis commission which is in process. Harvest holds both medical and adult-use cannabis licenses, and operates in approximately 10,000 square feet of an industrial building that the Company leases and has built out into a cannabis cultivation facility.

Delaware

Delaware currently is a not-for-profit state with regard to the ownership of cannabis licenses. The Company provides comprehensive management and real estate services to First State Compassion Center (“FSCC”), the Company’s cannabis-licensed client which was awarded Delaware’s first ever seed-to-sale medical cannabis license, and owns two out of the four statewide licenses.

The state is expected to allow “for-profit” ownership of cannabis licenses in the near future, at which time the Company will look to acquire FSCC and obtain ownership of the licenses and operations

Rhode Island

Rhode Island currently is a not-for-profit state with regard to the ownership of cannabis licenses. The Company is in negotiations to purchase the real estate which is leased to its cannabis-licensed client, the Thomas C. Slater Compassion Center. Subject to state approval, the Company intends to acquire the management company that oversees Slater’s operations. After these transactions are completed, the Company will generate real estate and management fees until the state allows “for-profit” ownership, which is expected to occur in 2020. At that time, the Company will seek to acquire Slater’s cannabis licenses and operations.

 


Debra BorchardtDebra BorchardtNovember 12, 2018
daily_hit004-1280x533.png

5min5080

It’s time for your Daily Hit of cannabis financial news for November 12, 2018.

On The Site

Aurora Cannabis (ACB) posted a 55% sequential gain in revenue for the fiscal first quarter of 2019 with $29.6 million over the fourth quarter’s $19.1 million. It was a 260% jump over the same time period for last year, which was $8.2 million. The quarter ended on September 30, so these numbers do not include sales from adult use cannabis that became legal on October 17.

However, the company did note for the first two weeks to October 31, 2018, it was ranking at the top or among top-selling products and brands in many of the provinces that it was committed to supplying.

Unfortunately, the Q1 2019 gross profit was $8.1 million, compared to a $20.6 million in Q4 2018. Aurora said that the change in gross profit during the period was partially attributable to higher sales of inventory and lower fair value gains on changes in biological assets. Having said that the first quarter net income jumped to $104.2 million versus last year’s $3.6 million in Q1 2018. The company attributed the increase to the unrealized non-cash gain on derivatives and marketable securities.

In Other News

Auxly Earnings

Auxly Cannabis Group Inc.  (OTCQX: CBWTF) reported its financial and operational results for the three and nine months ended September 30, 2018. The revenue for the quarter was $512,000 versus zero in the previous year for the same time period. The total loss was $28.3 million for the quarter. The company has  $236 million in cash and cash equivalents earmarked for funding Auxly’s streaming partners, wholly-owned subsidiaries, downstream distribution efforts and general and administration costs. The increase in the cash and working capital balances came from the company raising $215 million in debt and equity financings year to date in addition to raising $95,017,000 in warrant and broker warrant unit exercises.

MariMed

MariMed Inc. (OTCQB: MRMD) has invested $30 million into GenCanna Global Inc. and the companies have created a strategic partnership, including a long-term supply agreement. GenCanna will use the money to expand its production capacity, and extend its position in high-quality hemp CBD production, with fully legal sales throughout the U.S. and internationally. MariMed said it intends to create a product and branding business unit focused on the development and distribution of Hemp CBD-derived products.

“MariMed’s renowned product development expertise, combined with GenCanna’s leadership position in premium Hemp CBD, will enable us to expand the Hemp CBD product category by creating compelling new consumer brands, and by developing powerful distribution channels,” said Robert Fireman, President, and CEO of MariMed. Mr. Fireman continued, “GenCanna shares our values – including our ‘best practices values in producing premium-quality, consistent, and compliant Hemp CBD oils and extracts. We believe many of the nation’s leading retailers will soon provide Hemp CBD products to their customers, in response to popular demand.”


StaffStaffJuly 24, 2018
iRollie-OG2-Phone-Case.jpg

3min9310

MariMed Inc., (MRMD) has acquired iRollie LLC, including its intellectual property, clients, and its host of products and services in a deal valued at $600,000 to be paid in MariMed stock.  IN addition to acquiring the company, iRollie’s cofounders Luke Shepter and Joe Khoury have been hired by MariMed to expand the iRollie business as well as to bring their expertise and services in-house.

According to the company statement, the company purchase will allow MariMed to round out its portfolio with an ancillary business capable of servicing all existing brands and drive new business.

“MariMed identified a number of synergies between our two companies that we felt best to bring in-house to strengthen internal capabilities. We continue to set new standards in the industry with innovative all-natural cannabis products requiring premium branding, packaging, and marketing as well as strategic sourcing,” stated Tim Shaw, MariMed COO. “iRollie enables an in-house ability to develop, improve and effectively market new and existing brands, as well as add a fast-growing revenue stream of proprietary product offerings to MariMed’s financials.”

iRollie is an e-commerce website that sells cannabis accessories. The statement said that the iRollie team designed, prototyped, and produced custom products and packaging for cannabis companies in Massachusetts, Nevada, Colorado, Maine, with distribution facilities in Nevada and Pennsylvania. The co-founders bring formidable talent to MariMed with Khoury’s strong background in cannabis early strategic growth, digital marketing, supply chain management and Shepter’s expertise in redeveloping processing operations for recreational marijuana-infused products, with a strong focus on reducing production costs and increasing scalability.

“We are excited to apply our experience scaling cannabis brands in both recreational and medical markets to create best in class brands,” stated Shepter. “We believe these brands will capture the hearts and minds of B2B customers and consumers alike, and that our synthesis of cutting-edge design of physical assets and digital technology will enhance customer retention and maximize ROI,” Khoury concluded.

Stock Performance

MariMed stock was lately trading at $2.92 on the OTC Markets, down from its 52-week high of $4.07.


StaffStaffMay 16, 2018
daily_hit004-1280x533.png

6min5880

It’s time for your daily hit of cannabis financial news for May 16, 2018:

On The Site

NY Cannabis Taxes

On May 15, 2018, New York City Comptroller Scott Stringer published a report estimating the potential size of the state’s legal cannabis market and how much tax revenue it would generate for both the city and the state. According to the report, the New York state cannabis market could see up to $3.1 billion in annual sales, with up to $1.1 billion being generated in New York City alone. In terms of tax revenue, legal cannabis could generate up to $436 million for New York state and $336 for New York City.

MariMed Inc.

The U.S.-based medical marijuana company MariMed Inc. (MRMD) stock jumped 13% after it reported its first-quarter financial results for 2018 with revenues increasing 81% to $2.08 million compared to $1.15 million first quarter of 2017.  The company attributed the increase to the expanding operations of MariMed’s medical marijuana clients from real estate revenue, management fees and licensing fees.

Unfortunately, the company delivered a net loss of $1.83 million in the quarter versus net income of $0.11 million for the quarter last year.  MariMed said that the loss was blamed on non-cash equity compensation and debt settlements in 2018 that it said would have no impact on operations/cash flow. MariMed happily reported $251,166 of operating income in first quarter of 2018, an increase from $228,552 for the same time period in 2017.

GrowGeneration Corp.

Denver-based hydroponic retailer GrowGeneration (GRWG) reported that its revenue for the first quarter of 2018 increased 70% to $4.4 million versus $2.6 million for the 1st quarter of 2017. Gross profits rose 75% to approximately $1.2 million compared to approximately $.68 million for the same time period. Still, the company delivered a net loss of $953,430 versus last year’s net loss of $283,309. The stock fell over 7% to $4.70 on the earnings announcement.

After a rocky start at the beginning of the year, the North American Marijuana Index is starting to show some signs of a recovery. In the month of April, the North American Index gained 3%, led primarily by the huge gains in the U.S. market. The U.S. Marijuana Index gained approximately 19% in April; six companies on the index gained 20% or more and another ten companies gained more than 10%. The average trading volume on the U.S. Index also increased by 77%, compared to the previous month.

In Other News

Merida Capital Partners 

Merida Capital Partners a private equity fund targeting fundamental growth drivers underpinning the rapid development of the cannabis industry announced it has crossed $50MM in assets under management (AUM) and closed transactions in nine companies in its second Fund. With the full deployment of Merida’s first tranche of Fund II and the opening of the firm’s second investment tranche, Merida Fund II will continue its focus on high-conviction investments in leading companies that have crossed the ‘fragmentation gap’ yet need strategic capital to profoundly accelerate their respective growth curves. Merida will also focus on businesses implementing capex-lite models in the traditionally capital-intensive verticals of cultivation, dispensing, and life sciences.

Invictus MD Strategies Corp.

Invictus MD Strategies Corp. announced that it has entered into a binding letter of intent for an option to acquire 100% of the outstanding shares of an applicant under the Access to Cannabis for Medical Purposes Regulations from OptionCo current shareholders. OptionCo has two properties. One is located in Delta, British Columbia (“Delta Facility”) and is a state of the art, pharmaceutical grade, cannabis production and research facility, which has been submitted to Health Canada for final review and approval under the ACMPR. The Company expects to receive its cultivation license for the Delta Facility in Q2 of 2018.  The other property is located in Mission, British Columbia


Debra BorchardtDebra BorchardtMay 16, 2018
cultivation2.jpg

4min9850

The U.S.-based medical marijuana company MariMed Inc. (MRMD) stock jumped 13% after it reported its first-quarter financial results for 2018 with revenues increasing 81% to $2.08 million compared to $1.15 million first quarter of 2017.  The company attributed the increase to the expanding operations of MariMed’s medical marijuana clients from real estate revenue, management fees and licensing fees.

Unfortunately, the company delivered a net loss of $1.83 million in the quarter versus net income of $0.11 million for the quarter last year.  MariMed said that the loss was blamed on non-cash equity compensation and debt settlements in 2018 that it said would have no impact on operations/cash flow. MariMed happily reported $251,166 of operating income in first quarter of 2018, an increase from $228,552 for the same time period in 2017.

“MariMed continues on a solid trajectory of year over year growth that it has achieved each quarter since 2015,” stated Robert Fireman, CEO of MariMed Inc.  “Our new Maryland cultivation and production facility, which came online in Q1, will bring increased rent, management, and licensing fees, adding to our existing revenue streams from facilities in Illinois, Delaware, and Nevada. We anticipate increases in our revenue from our assets as the cannabis business in Maryland and Massachusetts continues to expand.”

According to the company statement, it raised approximately $1.5 million in equity through the sale of its 144  common stock in a private placement in 2018 at prices averaging 15% below the market price. “We raised approximately $1.5 million in capital and reduced our debt by approximately $ 1.5 million in the quarter,” noted Jon Levine, MariMed CFO. “We are displaying to investors and shareholders our consistent performance on quarter over quarter growth.”

Management Comments
“As cannabis legalization takes effect on July 1 in Massachusetts, we expect to supply dispensaries with our branded marijuana products across the state,” said Mr. Fireman.  “We are scheduled to open our first dispensary in Massachusetts the third quarter of 2018, further bolstering our ongoing revenue streams from managed services and the leasing of our cannabis facilities.”

“With each new client, we generate significant revenue from fees for leases, licenses, and managed services,” Jon Levine, continued. “We expect incremental growth in licensing from new product lines and organic growth from product sales as our licensed Nature’s Heritage Cannabis, Kalm Fusion, Betty’s Eddies, Tikun Olam and Lucid Mood brands gain loyal followings in each current market and as we expand our national distribution network to additional states.”

“Building upon our diverse platform, we are continuing to raise capital for new business and product development, strategic acquisitions and expansion of infrastructure that will enable us to take advantage of this critical time in the industry,” concluded Mr. Fireman.

Stock Performance

MariMed stock gained 13% to lately trade at $1.62. The stock is nearing its 52-week high of $1.77.


Debra BorchardtDebra BorchardtApril 3, 2018
daily_hit004-1280x533.png

6min6300

Here are today’s cannabis news briefs for April 3, 2018:

MariMed Inc.

MariMed (MRMD) reported revenue of  $6.1 million in 2017, compared to $3.6 million in 2016, a year-over-year increase of 70.2%, primarily a result of higher sales at MariMed managed licensed cannabis businesses which in turn produce higher income for Company from fees, rents, and consulting. Gross profits were $ 3.5 million in 2017.  Gross profits rose to 58% compared to 55% in 2016. Operating Income was $1.2 million in 2017, compared to $775,000 in 2016, a year-over-year increase of 55.5%.

MPX Bioceutical Corporation

MPX Bioceutical  (MPXEF) has reported that its managed Arizona assets have recorded their best revenue month in March with sales of cannabis and cannabis concentrates hitting the US$4.0 (CDN$5.2) million mark for the first time. The revenue numbers are from assets under management in Arizona only and do not include operations in Nevada or those assets currently being developed in the States of Maryland and Massachusetts.

SinglePoint Inc.

SinglePoint (SING) announced the official launch of the freshly revamped SingleSeed.com website, focused on selling cannabidiol (CBD) based products direct to consumer. SingleSeed.com is now live and taking orders. Consumers can visit SingleSeed.com and use promo code SING on orders of $50 or more to receive a complimentary two-pack of the company’s hemp-based CBD capsules. The company is sourcing all of its CBD from U.S.-based hemp farms, all of which provide analysis of the product to ensure purity. SingleSeed is looking to position itself as the trusted, quality leader in the CBD market.

North American Cannabis Holdings

North American Cannabis Holdings (USMJ) and Puration have been working together on a strategic acquisition in Canada and a second strategic acquisition in California. The two acquisitions are intended to enter USMJ and PURA into the legal recreational marijuana markets of Canada and California. Specifically, through the acquisitions, USMJ plans to establish a branded marijuana grow operation and PURA plans to establish local extraction operations and introduce new cannabis-infused beverages. At the same time, the two companies are finalizing details on the two acquisitions, their respective current operations are realizing major milestones. USMJ’s concept cannabis restaurant operations continue to grow, fast approaching a million-dollar annual revenue benchmark, and with a new flagship location opening on the horizon.

One Step Vending Corp.

One Step Vending Corp. (KOSK), a holdings company operating in the convenience, vending, and micro markets space, has been working actively on releasing a new web platform for the sale of innovative brands CBD products online. Within the next 30 days, the Company will start a pilot program into the emerging multibillion-dollar industry of CBD and hemp related products. The e-shop will showcase some of the brands CBD and Hemp infused collaborations, including hemp and avocado body moisturizer, hemp infused bar soap and exfoliates, CBD gummies as well as the exclusive “VassoVape”. One Step Vending, Corp., will release the brand identity and e-shop design under the domain www.cbdkiosks.com, which is currently under construction. The company seeks to combine the e-shop business with the actual kiosks in its current locations to provide consumers with the CBD and hemp related products.

Chalice Festival

Southern California’s massive cannabis-infused music and art festival Chalice will return for its fifth year on July 13-15, 2018 with A-list music acts, world-renowned street artists and the world’s most celebrated hash makers and glass blowers. The festival’s music lineup this summer drives that point home, featuring headliners Bassnectar, Ludacris, Sizzla, Bone Thugs-N-Harmony, and Curren$y—alongside Pharcyde, Cut Chemist and Thriftworks, with Chalice’s full musician and artist lineup to be announced soon.

New to Chalice this year: With the recent arrival of legal adult-use cannabis in California, and with recreational marijuana sales now allowed inside some state fairgrounds, attendees at Chalice 2018 will be able to purchase and consume cannabis onsite. (Entrance will be restricted to those ages 21 or over.)

 

 


Debra BorchardtDebra BorchardtApril 3, 2018
Betty-1280x960.jpg

3min8200

Massachusetts-based cannabis company MariMed Inc. (MRMD) reported annual earnings for 2017 with revenues increasing 70% over 2016. Revenue clocked in at $6.11 million over last year’s $3.6 million and was mostly attributed to higher income from fees, rents and consulting.

Gross profits for the year were $3.5 million, an increase of 58% over 2016’s increase of 55%. Operating income rose to $1.2 million over last year’s $775,000.

Still, MariMed delivered a net loss for the year of $1 million versus a net income in 2016 of $321,000. The loss was attributed to “large non-cash expenses which had no impact on the company’s operating income or cash flow. Without these non-cash items, net income would have been approximately $694,000 for the year ended December 31, 2017.”

“2017 was a year of transformative growth for MariMed,” stated Robert Fireman, CEO of MariMed Inc.  “We generated record revenue from managed services and the leasing of our cannabis facilities.  This was a direct result of our licensed cannabis clients flourishing under our professional management.  We made significant progress in the development of our licensing and branded product lines, which are being validated with partners in multiple states.  With the opening of our Maryland and Massachusetts facilities and businesses and the expansion of our licensing brands to additional states we anticipate continuing our growth momentum in 2018 and beyond.”

Looking Ahead

During 2018, the company said it expects the investments in Maryland and Massachusetts to begin to generate significant revenue. MariMed also said that it will continue to look to win additional licenses in states with new or expanded cannabis programs such as Pennsylvania, Ohio, Michigan, Virginia, and Florida.

The company also expects to launch our licensed branded product lines into many additional states across the country. In late 2017, MariMed acquired the intellectual property, formulations, recipes, proprietary equipment, and know-how of the Betty’s Eddies brand of cannabis-infused fruit chews which are handcrafted with all-natural ingredients and sweetened with non-GMO organic fruits and vegetables. The company plans to roll out the Betty’s Eddies product line throughout its licensee network and to hundreds additional legal dispensaries in multiple states in 2018.

 



About Us

The Green Market Report focuses on the financial news of the rapidly growing cannabis industry. Our target approach filters out the daily noise and does a deep dive into the financial, business and economic side of the cannabis industry. Our team is cultivating the industry’s critical news into one source and providing open source insights and data analysis


READ MORE



Recent Tweets

@GreenMarketRpt – 7 hours

My week on Twitter 🎉: 4 Mentions, 6.44K Mention Reach, 8 Likes, 2 Retweets, 8.87K Retweet Reach. See yours with…

@GreenMarketRpt – 19 hours

‘Too costly, not enough evidence it works’, says in blow to campaigners

@GreenMarketRpt – 1 day

It’s time for your : August 21, 2019

Back to Top

You have Successfully Subscribed!