The cannabis company saw more than US$1.7 million in revenue during the month of October, an increase from the around US$1.1 million it reported in September, and adjusted EBIDTA (earnings before interest, tax and depreciation) of US$1 million.
Vancouver-based Next Green Wave is an integrated cannabis producer with a 35,000-square-foot indoor facility in California, where it develops both in-house brands and flower for the wholesale market.
"The large revenue increase from September to October is the result of our additional product offerings, combined with higher flower yields and enhanced operational efficiencies,” CEO Mike Jennings told shareholders in a statement.
“As a result, I expect to sustain similar revenue numbers for the foreseeable future and anticipate consistent top-line growth as our branded derivatives continue to penetrate the market."
The group also announced that it will start operations at its 3,500-square-foot Site C manufacturing facility after receiving a certificate of occupancy by the city of Coalinga, California. In addition, California’s Department of Public Health awarded a Type P manufacturing license that will enable NGW to efficiently increase production volumes of its consumer packaged goods at the site.
Extraction on the horizon
NGW is currently eyeing the extraction market to determine a point of entry, it told shareholders.
“Currently, the market for Co2 oil and derivatives made from Co2 oil is not sufficient to justify the required resources to presently move forward in that area,” the firm said in a statement. “Furthermore, the market for non-volatile extracts such as ice water hash and rosin are niche and do not yet have the market potential to justify the resources necessary to execute at this time for NGW. That being said, as soon as market conditions justify the move, the company is poised to ramp up and capitalize immediately.”
Separately, NGW said it would file its quarterly financial statements to end September 30 at the end of November.
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