Indiva FY22 Revenue Grows 6.8% To A Record $25.7M, Provides Outlook

Indiva Limited NDVAF NDVA achieved a record net revenue for the year ended December 31, 2022 of CA$34.4 million ($25.7 million) versus CA$32.2 million for the year ended December 31, 2021, representing a 6.8% year-over-year increase. Net revenue growth was driven primarily by new product introductions offset by lower sales of Wana Sour Gummies.

Q4 2022 Financial Highlights

• Net revenue in Q4 2022 was CA$9.3 million, representing a 15.0% sequential increase from Q3 2022, and a 0.7% decrease year-over-year from Q4 2021.

• Gross profit before fair value adjustments, impairments and one-time items was CA$2.7 million, or 29.3% of net revenue, versus 28.9% in Q3 2022 and 31.5% in Q4 2021.

• Adjusted EBITDA was a loss of CA$556,600, versus a loss of CA$575,800 in Q4 2021.

• Loss and comprehensive loss was CA$2.8 million compared to CA$4.2 million in Q4 2021.

Fiscal Year 2022 Performance

• Gross margin before fair value adjustments and impairments improved slightly to a record CA$10.4 million or 30.2% of net revenue versus CA$9.7 million or 30.1% of net revenue for the year ended December 31, 2021.

• Adjusted EBITDA decreased to a loss of CA$1.6 million versus a loss of CA$495,500 last year.

• Impairment and one-time charges for the year totaled CA$2.2 million.

• Loss and comprehensive loss was CA$10.9 million compared to a loss of CA$15.2 million last year.

“We are pleased to report record revenue and record gross profit for the fiscal year 2022. Indiva continued to be the national market share leader in edibles throughout 2022. In the fourth quarter, as per Hifyre data, Indiva was ranked 13^th out of 164 licensed producers by consolidated market share across all categories in the five major provinces where edibles sales are permitted. On a units shipped basis, Indiva ranked 3^rd nationally in the fourth quarter, making Indiva one of the most important suppliers to provincial wholesalers and retailers. Our distribution reaches all 13 provinces and territories in Canada, as well as multiple medical partners, including Tilray TLRY, with whom Indiva recently signed an agreement to provide its industry leading edibles products to patients registered on their medical platform,” stated Niel Marotta, president and CEO of Indiva.

Outlook

• The company expects that Q1 2023 net revenue will be down slightly on a sequential basis, but higher year-over-year, due to the benefit of broader distribution of new products, offset by lower sales of ingestible extracts.

• Margins are expected to improve sequentially in Q1 2023 due to the benefit of the implementation of automation in the production and packaging of edible products.

• Photo: Benzinga edit with photo by Kindel Media on Pexels

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