Zoned Properties Posts 28% Revenue Growth In Q3, Successfully Builds Professional Team

Cannabis real estate development firm Zoned Properties, Inc. ZDPY announced its financial results for the three and nine months ended Sept. 30, reporting that its revenue increased by 28% year-over-year to $387,365 in the third quarter.

The company attributed the revenue growth to an increase in rent revenues from the Significant Tenants of $29,780 and an increase in brokerage revenues of $69,500.

For the nine months ended Sept. 30, revenue rose by 41.6%, compared to the corresponding period of 2020.

“Our value proposition and business thesis at Zoned Properties, which is centrally focused on real estate development in the regulated cannabis space, has never been stronger,” Bryan McLaren, the company’s CEO said. “We continue to strengthen our team of subject-matter experts who know how to navigate the complexity of cannabis real estate and deliver tangible value for our company and our clients across the county.”

Q3 2021 Financial Highlights

• Operating expenses increased 77% to $440,816 compared to $249,021 for the same period of last year.
• Loss from operations amounted to $53,451 versus income from operations of $53,751 for the third quarter of last year, representing a decrease of $107,202.
• Net loss was $95,495, or $0.01 per basic share and diluted share, compared to net income of $25,089, or $0.00 per basic and diluted share, for the third quarter of 2020.
• As of Sept. 30, the company had cash of $1.09 million, compared to $699,335 as of Dec. 31, 2020.

Financial Highlights From Nine Months Ended Sept. 30

• Revenue increased 41.6% while operating expenses only increased 36.7% as compared to the nine months ended Sept. 30, 2020.
• Income from operations amounted to $42,834 versus a loss from operations of $3,198 for the corresponding period of 2020, representing a positive change of $46,032.
• Net cash provided by operating activities was $387,999, compared to $48,470 for the same period of last year.

Q3 2021 & Nine Months Ended Sept. 30 Business Highlights

• Appointed Berekk Blackwell as COO, Patrick Moroney as director of real estate, and Joseph Lewis as designated broker.
• Recruited a team of senior advisors and project managers with national cannabis and real estate expertise.
• The leadership team continued to scale the company’s commercial real estate service verticals, including advisory services, brokerage services, franchise services and property technology services.
• Over $8 million in capital has been invested to date by the company’s significant tenant at the Chino Valley cultivation facility.

“We have successfully positioned the Company with a debt-free, cash-flowing portfolio of expanding properties that can support innovative and scalable growth for the future of the company,” McLaren added.

More recent news from Zoned:

• These 5 Cannabis Stocks Have More Than Doubled Their Prices In The Last Year—And You Can Meet Their Management
• Zoned Properties Completes $8M Expansion At Chino Valley Cultivation Facility, Plans To Bolster Portfolio And Cash Flow
• Million Dollar Matchmakers: What Does it Take to Put Together a Multi-Million-Dollar Real Estate Project in the Cannabis Industry?
• Cannabis REIT Zoned Properties Q2 Revenue Advances 83% To $0.56M

ZDPY Price Action

Zoned’s shares traded 0.01% lower at $0.84 per share at the time of writing Wednesday morning.

Photo: Courtesy of Giorgio Trovato on Unsplash