Nevada Cannabis Co. Reports YoY Decrease In Q1 Revenue & Gross Profit, 154% Increase In Cash Flow

CLS Holdings USA, Inc. CLSH CLSH cannabis company operating as Cannabis Life Sciences announced its first quarter financial results on Thursday for the three months ended August 31, 2023, revealing a 15% year-over-year decrease in revenue to $5.1 million.

"In an industry that never lets up, we acknowledge that while we may be down 15% over the past year, we are proud of our achievements to date," Andrew Glashow, the company's chairman and CEO said.

Q1 2024 Financial Highlights

• Gross profit totaled $2.3 million, down 22% year-over-year from $2.9 million in the first quarter of fiscal 2024.
• Gross margin was 44%, compared to 48% in the corresponding period of fiscal 2024.
• Net loss amounted to $462 000, down from $1.3 million, representing a 65% improvement year-over-year.
• EBITDA came in positive at $638 000, up from EBITDA of $374 000 in the first quarter of the last fiscal year.

Cash flow from operating activities totaled $783 000, an improvement of 154% when compared to the negative cash flow of $1.5 million for the first quarter of 2023.

"With a small and nimble approach, we have and continue to pivot to navigate the market's current realities," Glashow continued. "We remain resolute in our pursuit of continuous growth and recognize that the support from our loyal customers and dedicated team is what keeps Oasis at the forefront of Nevada's cannabis industry."

Outlook

The company said the Nevada market is expected to grow 33% between 2020 and 2025, reaching $1 billion in sales by 2025.

While nearby markets like Arizona and New Mexico are expected to collectively hit $3.1 billion in sales by 2025.

The company is exploring asset-light approaches in these attractive markets, including potential joint ventures, brand licensing agreements, and wholesale distribution.

Moreover, CLS has obtained a prospective consumption lounge license with plans to open the space in 2024, assuming final licensing approval.

Related News

• Cannabis Life Sciences Announces Amendments To Convertible Debentures And Underlying Warrants
• Cannabis Life Sciences Touts Strong Financial Results From Nevada Operations, $1.75M In Revenues In January
• US Cannabis Council & Other Marijuana Players Just Made Some Key Executive Changes You Should Know About

Photo: Courtesy of NikolayFrolochkin and ganjaspliffstoreuk by Pixabay