Revenues for the three and twelve month periods ended December 31, 2017 were $6,982,917 and $20,697,764 respectively compared to $2,095,993 and $4,382,088 in the comparable 2016 periods. Net Income for the three and twelve month periods ended December 31, 2017 were $6,253,161 and $6,885,430 respectively compared to a net loss of ($8,260,098) and ($13,619,943) in the comparable 2016 periods. Earnings per share for the year ended December 31, 2017 was $0.09 compared to a loss per share of ($0.32) in the comparable 2016 period. During our most recent quarter a number of regular grow rooms at our Langstaff Facility were used to harvest Mother Plants for Phase 1 of the Niagara Greenhouse Facility. As a result, during the quarter the Company used third party product purchases as a harvest replacement and bridge to meet the demand for the Company's products. The higher cost of these third party purchases negatively impacted earnings for the three months ended December 31, 2017 by approximately $1.8 million.
2017 Fourth Quarter Highlights
- Record Revenues of $7.0M in Q4 2017, a 233% increase from the comparable prior year period
- Positive Net Income for the second consecutive quarter
- Active patients increased to more than 37,000 compared to 8,900 in the comparable prior year period
- Cannabis extracts increased to over 64% of sales in the quarter
- Average net selling price per gram of $8.87, an increase of 25% from the comparable prior year period
- Completed the 250,000 square feet Phase 1 redevelopment of the 430,000 square feet Niagara Greenhouse Facility and obtained Health Canada's Cultivation Licence in respect thereof
- Completed the first harvest from the Niagara Greenhouse Facility
- Received Health Canada's approval to export medical marijuana internationally to countries where medical marijuana is legalized and the Company began shipping to Australia
- Closed a private placement deal with a syndicate of underwriters for gross proceeds of $20 million
- Strengthened our Management Team with the addition of a VP of Marketing and VP of Business Development
Developments subsequent to the Quarter
- Increased active patients to over 40,000
- Obtained Health Canada's Sales License for Phase 1 of the Niagara Greenhouse Facility
- Had multiple harvests from the Niagara Greenhouse Facility
- The Phase 2 expansion at the Niagara Greenhouse Facility is currently underway and is anticipated to be completed and in cultivation towards the middle of 2018. As a result, we fully expect to meet our 40,000 kilograms of annual growing capacity from this facility
- The Company is planning a further 600,000 square foot expansion utilizing a portion of the 36 acres of vacant land at the Niagara Facility
- Obtained Health Canada's approval for the production of cannabis capsules - final sales approval and the product launch is expected in Q2
- Closed a $15 million mortgage financing on the Niagara Greenhouse Facility
- Executed a long term agreement with Envest Corp. to provide cogen derived heat and power at the Niagara Greenhouse Facility. The implementation of a 10 MW cogen solution at this facility will ensure that the Company can control its power costs and remain a low cost producer
- Executed a Joint Venture with Stenocare, a Danish Company. CannTrust received a 25% equity stake in Stenocare. Stenocare is one of the first Danish companies to receive its license to grow and produce medical cannabis, as well as to import and sell cannabis products in Denmark
- The Company's shares commenced trading on the Toronto Stock Exchange under the trading symbol "TRST". In conjunction with the listing on the TSX, the shares of the Company were voluntarily delisted from the CSE
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