$12.7 million in Gross revenues and $9.4 in Net !!! Growing VIVO Cannabis Announces Second Quarter 2020 Results
Friday, August 14, 2020, 5:00 PM ET
-- Net revenue of $9.4 million -- an increase of 15% over Q1 2020 and 79%
over Q2 2019
-- Achieved 68% Ontario retail market share in the concentrates category,
including first-to-market shatter by Fireside(TM) X
-- Entered product supply and clinical services agreements with Medical
Cannabis by Shoppers(TM)
-- Canna Farms(TM) is the fourth most recognized cannabis brand, according
to recent Brightfield Group independent survey
-- Largest export shipment to Australia occurred during the quarter
TORONTO, Aug. 14, 2020 /CNW/ - VIVO Cannabis Inc. (TSX: VIVO) (OTCQX: VVCIF) ("VIVO" or the "Company") today released its second quarter 2020 financial and operating results.
Management Commentary
"This is our fifth consecutive quarter of sequential sales growth. We are pleased with our quarterly results, with Q2 2020 sales increasing 79% over the prior year quarter, while sales, general and administrative expenses decreased 18% over the same period," said Barry Fishman, CEO of VIVO. "Notable achievements include the expansion of our leadership position in the concentrates category across several provinces, the introduction of a first-to-market shatter by Fireside(TM) X, and the naming of Canna Farms(TM) as the fourth most recognized cannabis brand among Canadian cannabis consumers in a recent Brightfield Group survey. We also advanced several key medical cannabis initiatives in order to position the business for future success, including entering into product supply and clinical services agreements with Medical Cannabis by Shoppers(TM)."
Financial Summary
Gross and net revenue for Q2 2020 were $12.7 million and $9.4 million, respectively. On a net basis this represents a 15% increase quarter-over-quarter as compared to Q1 2020, driven largely by successful sales of VIVO's Cannabis 2.0 products. When compared to Q2 2019, net revenue grew by approximately 79%.
Concentrates made up over half of VIVO's cannabis sales revenue during the quarter, a testament to the Company's strategic decision to be a leader in that space. This was offset by lower flower sales, resulting from decreased market demand in the wake of the COVID-19 pandemic.