It’s time for your Daily Hit of cannabis financial news for November 14, 2018.
On the Site
Canopy Growth (CGC) stock fell over 8% to trade at roughly $35.25 in early trading after the Canadian cannabis company missed analysts estimates. Canopy Growth reported that its second-quarter fiscal 2019 revenues jumped 33% to C$23.3 million, but analysts had estimated the company should have had revenues of C$60 million. Sales and marketing expenses were $7.6 million or 43% of revenue.
AxisWire Hosts First Annual STAR Media Awards
On November 13, 2018, AxisWire held the first annual STAR Media Awards in Las Vegas, Nevada. The awards honored writers and publications for excellence in the world of cannabis journalism; an essential, yet often unrecognized part of the cannabis industry. It was a rare gathering of cannabis media giants, with almost every major cannabis industry publication in attendance.
In Other News
Veritas Pharma Inc.
Veritas Pharma Inc. (CSE: VRT) announced that it has entered into a binding share purchase agreement to sell all of its outstanding common shares of Sechelt Organic Marijuana Inc. to Leis Industries Limited for $350,000. Under the agreement, Leis will pay Veritas $180,000 in advance, and the remaining $170,000 will be paid through shares of the company, which will be released upon the receipt of an occupancy permit post-construction.
Surna Inc. today announced its financial and operating results for the three months and nine months ending on September 30, 2018. Revenue for the quarter increased by 66% to 3,325,000 and gross profit margins increased to 33%. The company’s quarterly net loss declined to $644,000; representing a 54% decrease. “While we realize that one quarter is just that and the Company still has losses, Q3 2018 was nonetheless a gratifying validation of the foundation that we have established and the operational improvements that have been implemented across every aspect of Surna’s business over the last four quarters,” commented Surna CEO Chris Bechtel.
The Supreme Cannabis Company Inc.
The Supreme Cannabis Company Inc. announced the release of its financial results for the quarter ending on September 30, 2018. Revenue rose by 45% from $3.55 million in the previous quarter to $5.14 million. The company’s comprehensive net loss also rose from S2.18 million to $5.39 million; representing a 147% increase. “Supreme Cannabis’ results in the first quarter mark a solid beginning to a historic year in a competitive, dynamic and rapidly evolving marketplace,” said Navdeep Dhaliwal, CEO of Supreme Cannabis. “Q1 2019 results are continued validation for the successful execution of our strategy for our 7ACRES business to establish a competitive advantage in quality driven regulated cultivation at scale.”