- Three- and nine-month net revenue were $15.9 million and $39.3 million, a 57% and 63% increase compared to the same periods of prior year
- Delivered its ninth consecutive quarter of positive
- Adjusted EBITDA of $3.9 million, a 129% increase compared to Q3 2022
- Generated Q3 2023 net income of $2.9 million and free cash ow of $3.2 million
- Reached an annual production capacity of 30,500 kg of premium-grade cannabis per year, increasing production capacity by 50% since August 31, 2022
All financial results are reported in Canadian dollars, unless otherwise stated.
MONTREAL, QUÉBEC – July 27, 2023 – Cannara Biotech Inc. (“Cannara”, “the Company”, “us” or “we”) (TSXV: LOVE) (OTCQX: LOVFF) (FRA: 8CB0), a vertically integrated producer of premium-grade cannabis and derivative product offerings at affordable prices with two mega facilities based in Quebec spanning over 1,650,000 sq. ft., today announced its fiscal third quarter 2023 financial and operating results for the three- and nine-month periods ended May 31, 2023.
“This past quarter was a tremendous success as Cannara grew its market share by more than 1 2 3 4 30% in Quebec (7% to 9.3% ) and in Ontario (2% to 2.7% ), along with growing sales in BC and the commencement of sales in a new market, Alberta, the second largest cannabis market in Canada. With the rm’s robust and innovative pipeline leading the way, SKU listings rising and an additional three 25,000 square feet growing zones activated this year, revenues, gross pro ts, EBITDA, and net income all increased, paving the way for sustained growth moving forward,” said Zohar Krivorot, President & Chief Executive Of cer of Cannara. “The response in the consumer market for our premium, high-quality yet affordable cannabis products has been tremendous since inception, and we expect to continue to grow market share across all provinces as we continue to introduce new and innovative products to our customers across Canada. As evidenced by the signi cant increases in SKUs, I am very condent that Cannara is on its way to becoming one of Canada’s leading cannabis producers,” concluded Mr. Krivorot.
Nicholas Sosiak, Chief Financial Of cer of Cannara commented, “Our ninth consecutive quarter of positive Adjusted EBITDA in addition to positive net income was the culmination of innovation and hard work, improved capacity utilization, improved ef ciencies and increased demand for Cannara’s’ products across all markets. The initial response in the Alberta market has been spectacular, and we are excited to increase our footprint in this vibrant, growing market, with the imminent listing of 16 additional SKUs for the Alberta consumer by next month. The company’s stated goal of expanding cultivation capacity by 50% by year end was achieved three months ahead of schedule and we continue to execute on our strategy of increasing our production capacity in line with growing demand. As the Cannara brand continues to resonate with the cannabis consumer market and with our capabilities of further expanding pro table production output, I couldn’t be more excited for the future of this Company, its shareholders, and stakeholders” concluded Mr. Sosiak.
FINANCIAL HIGLIGHTS & SELECTED FINANCIAL INFORMATION
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CONTACT
Nicholas Sosiak, CPA, CA
Chief Financial Officer
nick@cannara.ca
Zohar Krivorot
Founder & Chief Executive Officer
zohar@cannara.ca
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
ABOUT CANNARA
Cannara Biotech Inc. (TSXV: LOVE) (OTCQX: LOVFF) (FRA: 8CB0), is a vertically integrated producer of affordable premium-grade cannabis and cannabis-derivative products for the Canadian markets. Cannara owns two mega facilities based in Québec spanning over 1,600,000 sq. ft., providing the Company with 100,000 kg of potential annualized cultivation output. Leveraging Québec’s low electricity costs, Cannara’s facilities produce premium-grade cannabis products at an affordable price. For more information, please visit cannara.ca.
CAUTIONARY STATEMENT REGARDING “FORWARD-LOOKING” INFORMATION
This information release contains certain forward-looking information. Such information involves known and unknown risks, uncertainties and other factors that may cause actual results, performance, or achievements to be materially different from those implied by statements herein, and therefore these statements should not be read as guarantees of future performance or results. All forward-looking statements are based on the Company’s current beliefs as well as assumptions made by and information currently available to it as well as other factors. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Due to risks and uncertainties, including the risks and uncertainties identified by the Company in its public securities filings, actual events may differ materially from current expectations. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.