The company also narrowed its adjusted-EBITDA loss by about 64% from the 2Q and saw its first-ever month of positive adjusted-EBITDA in August
Inc () (OTCMKTS:CBIIF) announced Friday preliminary unaudited third-quarter revenue of about C$4.2 million, a 29% increase from the previous quarter.
In a statement, the company also said it narrowed its adjusted-EBITDA (earnings before interest, tax, depreciation and amortization) loss by approximately 64% from the previous quarter and saw its first-ever month of positive adjusted-EBITDA in August.
CB2 also noted that its upbeat 3Q was achieved due to the fact that during the first nine months of 2019, it made successful strategic acquisitions of Relaxed Clarity, MedEval Clinics LLC and New Jersey Alternative Medicine (now operating as Canna Care Docs New Jersey).
READ: CB2 Insights announces new partnership with VIVO Cannabis for cannabis-based medical treatment
The third quarter, which ended September 30, was the first full reporting period that included the contributions of all three clinical businesses.
CB2 said it now owns and operates one of the largest networks of medical cannabis clinics across the US, with a patient registry of 100,000 unique visitors annually.
As it delivers on its efficiency goals and begins to recognize increases in revenue from its technology, data and research services business units, CB2 said it will look to report full profitability in the coming quarters.
“The continued growth in demand in the market for solutions related to clinically-driven product research has allowed CB2 to start leveraging on our data, technology and CRO capabilities to generate new revenue streams to our already profitable clinical operations in the U.S.,” said CEO Prad Sekar.
“We believe we have now arrived at an inflection point in our business and the numbers we are reporting are starting to prove out our multi-dimensional business model. As a team, we will continue to deliver organic growth of our U.S clinical operations, growth in clinical trial and data partnerships, and expand into accretive emerging markets.”
He added: “The company is now well-positioned for continued international growth and ultimately, company-wide profitability.”
CB2 plans to release its 3Q and nine months results on November 8. The company also will hold a conference call to discuss the results and provide an update on its business operations at 9 am ET. The call will be hosted by CEO Sekar and Raheel Lalani, vice president of finance.
CB2, based in Mississauga, Ontario, concentrates on real-world evidence obtained from data outside randomized trials and generated during routine clinical practice. The company has created tools that engage the medical community and provide the data doctors and other professionals need to recommend with confidence cannabis-based medicines.
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