Improved financials? Capital debt up - $1.7M
Revenue down - $370K
Expenses - $555K
Assets down - $768
Inventory down 51%
Accounts receivable down 37%
Due to suppliers and creditors up 12%
Total liabilities down - $138K (from Sangsters price drop)
Total expenses down - $597K (Rod put less in his pockets this Q)
Net loss - $334K
- With revenue, inventory, accounts receivable, and assets down and a net Q loss of $334K and a rising capital debt of $1.7M there is no chance of this ship righting itself.
Outlook
The most significant challenge for the Company, in terms of its ability to execute its strategy, is its ability to secure financing. In spite of the Company's stability in terms of revenues and improving expenses profile, the current context in the capital markets and the devaluation of the Company's shares pose a serious challenge for management.
The Company recognizes that the environment for its initial vision of CBD products in Canada will be a long and unproductive road. On that note, management has refocused its efforts to the USA and its joint venture with Azema Sciences Inc. in its Kentucky-based facility. The market is large and open to immediate opportunities in the manufacturing and distribution of CBD nutraceuticals, pet treats and other products, along with extraction and processing of CBD.
- CBD is legal in Canada if you have a license. EAST could have got their own license by now or worked out a JV with an existing licnese. Now the play is working with CBD illegally in the US?
I will await the basher claims from Rod and the team. What a joke this is. lol