- Anticipates net revenue of approximately $19 million and positive Adjusted EBITDA1 for Q4 2019.
- Forecasts net revenue for fiscal 2020 to be between $150 million and $180 million, and positive Adjusted EBITDA1 for fiscal 2020.
- The Company will not pursue potential share consolidation approved at 2018 annual general meeting.
TORONTO - August 13, 2019 (Investorideas.com Newswire) The Supreme Cannabis Company, Inc. ("Supreme Cannabis" or the "Company") (TSX: FIRE) (OTCQX: SPRWF) (FRA: 53S1) today announced its expected revenue for the fiscal fourth quarter ended June 30, 2019 and provided guidance for fiscal 2020. Supreme Cannabis' expects to release the Company's audited fourth quarter and annual results on September 17, 2019.
The Company anticipates that revenue from the fourth quarter will be approximately $19 million net of excise tax. Based on preliminary results, fourth quarter 2019 revenue is expected to mark an increase of approximately 449% over Q4 2018 revenue ($3.55 million) and is expected to be an approximately 97% increase over Q3 2019 revenue ($9.9 million), thereby expecting to nearly double revenue quarter over quarter (see graph). Supreme Cannabis expects continued revenue growth throughout 2020 as 7ACRES scales production, new and higher-margin products are introduced, and additional brands begin generating material revenue. As a capital-efficient operator, Supreme Cannabis also anticipates reporting positive Adjusted EBITDA1 on a consolidated basis for fourth quarter 2019.
"Our Company has taken deliberate steps to grow in a focused, responsible and compliant manner, building a strong core business and an authentic brand and then expanding into new lines of business and international markets," said Navdeep Dhaliwal, CEO of Supreme Cannabis. "In a sector dominated by headlines, our measured approach to capital deployment and brand-building sets us apart. We believe our preliminary results demonstrate the strength of our business during an inflection point within the industry, path towards profitability and continued disciplined growth. Looking forward, we remain focused on building our portfolio of premium consumer experience driven brands."
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