It’s time for your Daily Hit of cannabis financial news for November 5, 2020.
On the Site
Cronos Group Inc. (NASDAQ: CRON) reported that its third-quarter net revenue of $11.4 million increased by $5.6 million from the third quarter in 2019. The stock was moving higher by over 7% in early trading as the earnings per share of $0.19 beat the analyst estimates by $0.25. In addition to the earnings, Kurt Schmidt was named President and Chief Executive Officer.
The company said the increase was due to continued growth in the adult-use Canadian cannabis market, the inclusion of the Redwood acquisition in its financial results and growth in the Israeli medical cannabis market. However, Cronos also said that the revenue increase was partially offset by non-recurring wholesale revenue in the Canadian market in the third quarter in 2019 and strategic price reductions on various adult-use cannabis products in certain Canadian provinces in the 2020 third quarter.
MJardin Group, Inc. (CSE: MJAR) (OTCQX: MJARF) reported revenue of $4.8 for its third-quarter ending September 30, 2020. This was lower than the $7.6 million in revenue that the company delivered in the 2019 third quarter. The net income for the quarter was $7.2 million All amounts are expressed in Canadian dollars unless otherwise indicated.
The company noted that its operating expenses were $6.7 million the quarter leading to a loss on operations of $4.2 million. This was higher than the $3.6 million in operational losses for the 2019 third quarter. The general and administrative expenses of $3.7 million were higher than last year’s $3.0 million for the same period and mostly due to increased professional services expenses in Q3 2020.
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In Other News
CV Sciences, Inc. (OTCQB:CVSI) announced its financial results for the quarter ended September 30, 2020. Sales for the third quarter of 2020 were $5.6 million, a decrease of 56% from $12.6 million in the third quarter of 2019. Third quarter sales were impacted by the current COVID-19 pandemic and increased market competition, which is largely due to the uncertain regulatory environment for CBD. The Company’s products were sold in 6,227 retail stores nationwide as of September 30, 2020, up from 5,435 stores as of September 30, 2019.
The Company recognized an operating loss of $3.2 million in the third quarter of 2020, compared to an operating loss of $1.8 million in the prior year. The company had a negative adjusted EBITDA for the third quarter of 2020 of $2.3 million, compared to negative adjusted EBITDA of $0.9 million for the third quarter of 2019.