In its latest quarterly showing, the Toronto-based cannabis cultivator’s revenue jumped 7% to C$1.44 million from $1.347 million
Biome Grow Inc () (OTCMKTS:BIOIF) saw its revenue and gross profit pop in its fiscal third quarter from the previous reporting period, thanks to robust cannabis sales and despite delays in automated technology at its Highland Grow facility.
Looking further along, CEO Khurram Malik is confident that the cannabis cultivator’s growth spurt in the third quarter will be followed by “accelerated growth” in the fourth quarter, which will continue next year.
“Biome is pleased to report continued growth in Q3 despite some temporary structural industry impediments and delays in the implementation of automated packaging technology at our Highland Grow Facility,” Malik said in a statement. “The impact of the automation was ultimately reflected in our current fourth quarter period. With this largely behind us, we are expecting accelerated growth in the fourth quarter and expect this trend to continue into 2020.”
READ: Biome Grow subsidiary to sell cannabis products on Prince Edward Island
In its latest quarterly showing, the Toronto-based cannabis cultivator’s revenue jumped 7% to C$1.44 million from $1.347 million in the previous period, while its gross profit climbed 4.5% to $620,710 from $594,042 over the same time frame.
Sales continued to rise for the cannabis cultivator, which began commercial pot sales in January of 2019, thanks partly to a surge in cultivation volumes. Biome sold over 192 kg of cannabis in the third quarter, which was more than 13% over the170 kg it sold in the second quarter.
In other news, the company has secured $3 million in gross proceeds, which will be put towards ratcheting up the cannabis volumes processed at Highland Grow to meet demand.
Biome’s net loss in the third quarter widened to $1.55 million from $771,000 in the previous period due to higher salaries paid as well as legal expenses and fees related to financing and production.
Biome has been growing its commercial footprint since beginning commercial sales of cannabis in January 2019, and recently announced plans to sell its cannabis products on Prince Edward Island.
Rapidly growing, Biome has acquired five subsidiaries and has so far announced around 390,000 square feet of production capacity in operation or under development in Ontario and Atlantic Canada.
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