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Delta 9 Cannabis Inc. T.DN

Alternate Symbol(s):  DLTNF

Delta 9 Cannabis Inc. is a Canada-based vertically integrated cannabis company. The Company operates through three segments: Wholesale Cannabis, Retail Cannabis and Merchandise and Devices, and Business to Business. The Company sells cannabis products through its wholesale and retail sales channels and sells its cannabis growing pods to other businesses. Its cannabis products include dried cannabis and pre-rolled joints. Its edibles and vapes include vape pens and concentrates, edibles, and drinkables. The Company, through its wholly owned subsidiary, Delta 9 Bio-Tech Inc., is a licensed producer of medical and recreational cannabis products and operates a 95,000-square-foot Health Canada licensed production facility in Winnipeg, Manitoba, Canada. It also owns and operates a chain of retail stores under the Delta 9 Cannabis Store brand. It is focused on producing and selling cannabis oils, extracts, and derivative products.


TSX:DN - Post by User

Bullboard Posts
Post by johnaboon Aug 28, 2019 11:02am
116 Views
Post# 30074679

Q2 Conference Call highlights

Q2 Conference Call highlights I was on the analyst call this morning.. good presentation from the CEO, he seems to have a good handle on the business. A few notes from the commentary; 

Production output was 675,000 grams (up 61% from previous quarter) but still short of management expectations and analyst estimates. John commented that they are moving to larger batches as they scale production which let to inefficient crop turnover, in the quarter, expected to improve in next 2 quarters, but he also pointed to improvements in production cost per gram which was $1.05 (industry leading, and down 27% from last quarter). Overall good results on the production side. 

Wholesale sales were 517,000 grams (up 34% from previous quarter). Average selling price per gram was $5.63 per gram (down from $7.60 per gram previous quarter). 

Retail and B2B revenues led most of the growth in the quarter and he commented on the success of the vertical integration and revenue diversification strategy. 

I took a ton of notes and will post a longer update tonight. 

GLTA

Bullboard Posts