Vireo Health Revenue Spikes, New Stores To Open By Q1 2021
The physician-led cannabis company generated revenue in seven states during the third quarter: New Mexico, Minnesota, Ohio, New York, Maryland, Pennsylvania and Arizona.
Its quarterly adjusted EBITDA was a loss of $675,808, which stands against a loss of $5.2 million in the same quarter of the prior year.
Net income hovered $122,252, compared to a net loss of $14.6 million in the corresponding period of 2019. Vireo attributes the boost to a gain of $16.4 million on the divestiture of the company’s PAMS subsidiary.
"Our third-quarter results demonstrate the improving nature of our business and success of recent initiatives to improve operating and financial performance," chairman and CEO Kyle Kingsley says. "For the past several quarters, we've been focused on positioning our vertically-integrated portfolio of assets to produce sustained and profitable growth, and we believe today's results are an encouraging indicator that we're nearing a critical inflection point in cash flow generation from operations."
Current development projects remain on time and budget, Kingsley added. Seven new dispensaries are expected to open before the end of the first quarter of 2021.
Rubicon Organics Discloses Revenue Growth
Rubicon Organics Inc. (TSXV: ROMJ) (OTCQX: ROMJF) saw a 219% spike in net revenue (CA$3.2 million) for the third quarter compared to the previous three-month period.
This was due to greater sales volume via direct sales to provincial suppliers and under the Agro-Greens Agreement.
Third-quarter adjusted EBITDA losses amounted to CA$2.6 million, compared to a loss of CA$2.5 million in the second quarter. It also saw a quarterly net loss of CA$4.3 million, standing against a net loss of CA$1.8 million in the prior quarter.
Among other moves and milestones:
- Rubicon's executing a letter of understanding with SQDC to sell its organic flower in Québec
- Starting to trade on TSX Venture Exchange
- Creating necessary deals to present some of its cannabis 2.0 products to the Canadian market
- Acceleration of warrant expiry date for 3.1 million warrant at an exercise price of CA$3.50 per share
Rubicon expects to reach positive adjusted EBITDA on a monthly basis by year-end 2020, and to attain monthly positive cash flow from operations in the first half of 2021. Other plans include the launch of extra brands covering the flower and extract categories and cannabis 2.0 products. What’s more, Rubicon projects to introduce its products to the international markets in the following year.
"Our journey is only going to …