By 1933 Industries Inc on Monday, 01 April 2019
Category: Cannabis Infused Products

1933 Industries Inc reports "steady" 54% growth in sales revenues for 2Q 2019

1933 Industries' Alternative Medicine Association (AMA) segment reported sales revenue of C$1.29 million, while its Infused MFG segment reported C$2.4 million revenue

Operating via three subsidiaries, 1933 owns licensed medical and recreational cannabis cultivation and production assets, hemp-based, CBD infused products, CBD extraction services and a specialized cannabis advisory firm

Inc () (OTCMKTS:TGIFF) released its second-quarter 2019 financial results on Monday, reporting a 54% bump in sales revenues over the same time period in 2018.

The company reported revenues of C$8.3 million for the three months ended January 31, 2019, up from C$5.4 million over the same period in 2018. This included consolidated revenues of C$3.7 million. 

' Alternative Medicine Association (AMA) segment reported sales revenue of C$1.29 million, while its Infused MFG segment reported C$2.4 million revenue. 

Headquartered in Vancouver, 1933 is a cannabis company with operations in the United States and Canada. Operating via three subsidiaries, 1933 owns licensed medical and recreational cannabis cultivation and production assets, hemp-based, CBD infused products, CBD extraction services and a specialized cannabis advisory firm.

READ: 1933 Industries closes deal to purchase remainder of Infused MFG subsidiary

On Monday, the firm also announced that it has closed its agreement to purchase the remaining 9% of its Infused MFG subsidiary, which it doesn’t already own, for almost C$1.25 million. Infused MFG Business is a Nevada-based firm that provides legal hemp-derived and cannabidiol (or CBD) products, and 1933 Industries, formerly known as Friday Night, bought a 91% stake in the company in 2017.

For the second quarter, the firm reported a net loss of C$6.1 million, or C$0.03 a share. It reported a cash balance of C$8,811,807 at the end of the period

"Year to date, the company has experienced steady 54% growth in sales revenues over the same period last year. Sales in Q2 were lower than in the previous quarter due to the performance of our AMA subsidiary, which experienced slower than expected sales due to challenges with yield and access to supply. We are seeing dramatic increases in yield and quality since appointing an experienced master grower," said Chris Rebentisch, USA COO and Founder of Infused in a statement. 

"AMA will benefit from moving into our new sophisticated cultivation facility. With the additional cultivation capacity in the new building, AMA will not have to rely on third party input material, which is expected to result in increased yields, increased quality, and higher margins," added Rebentisch. "Infused continued to deliver exceptional results as it expanded sales of its wellness line of Canna Hemp™ branded products across the United States."

Shares of 1933 Industries were up 7.3% at C$0.59 in Toronto on Monday. 

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