Aleafia Health Inc ALEAF

RE:RE:RE:RE:COST TO PRODUCE OUTDOOR ..... .08 CENTS/ GRAM

[fleamarket]

Big fan of seeing his quotes. Curious as towards why they mentioned (other than someone else's opinion from this board getting quarterly sales up and keeping stock price going that they would have sold over 2500 kilograms flower?) Instead of hanging on for six times the profit. these guys always say they're doing one thing and do another; mention that they have lots of calls from other companies I wonder if they have a trick up their sleeve in the works.

stocktracker101 wrote: I realize that it is only 1 part of their sales but it is the majority currently.
25.75 million is less than their yearly expenses/burn. 
Add an additional 3.22 million in 2020 to service the interest on the debenture/warrants debt.
I dont know about x10 earnings with all of the potential dilution from warrants and debentures... Thats unsustainable long term.
Amazon only gets x4 on their revenue and they are a 867 billion dollar company that made 11 billion profit last year....
Anyway, to each their own... Just stating what large investors look at.
I am betting Aleafia will go up from here, but they must make the right moves.

Here are some quotes from their earnings call which outlined their plan which has changed since with the guided sale... 

Geoffrey Benic,

"Our current plan is to extract the entire harvest and use it for our high-margin oil-based products. Our present cannabinoid content, which represents the true underlying value of the harvest was only slightly below the cannabinoid content of cannabis grown in our small-batch indoor growing facilities. We can now say that Aleafia Health is among the lowest producers in the Canadian cannabis industry."

"As a result, we realized an average revenue per gram in medical sales of $15.11 per gram equivalent sold. This represents among the highest in Canada, and again, this is coupled with our low-cost production. Our team's primary focus has been and will continue to be repeating these successes on a larger scale. As such, we are building out our sales team in key markets for recreational and both Canadian and international medical sales. From a production standpoint, we made a substantial progress over recent months. We are adding additional extraction machinery at our operational Paris facility in order to ensure adequate extraction capacity to process the 2019 outdoor harvest"

Benjamin Ferdinand

"It's Benjamin. I won't speak to specifics. But as Geoff's highlighted, our being -- us being a leader in the outdoor space and low-cost grow is really changing the industry. And you're seeing a lot of these players in the space with overbuilt infrastructure and massive investments in indoor and whatnot realizing the error of their ways. And we are getting a number of calls. But we're focused on, as we said, delivering our products to the end consumer and making sure that experience makes sense. And we'll look at opportunities as they come up."

GLTA