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Lift & Co. Announces Financial Results for the Second Quarter of Fiscal 2019

LFCOF

Canada NewsWire

/NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES/

- Achieved a 343% increase in revenue -
- Over $7-million in cash on hand to support continued growth -
- Strong growth and monetization of user-generated content on Lift.co web platform -

TORONTO, Nov. 28, 2018 /CNW/ - Lift & Co. Corp. ("Lift & Co." or the "Company") (TSXV:LIFT), a cannabis-focused technology and media company, is pleased to report its results of operations for the second fiscal quarter ended September 30, 2018. All amounts are in Canadian dollars unless otherwise specified.

Lift & Co. Corp. (CNW Group/Lift & Co. Corp.)

Management Commentary:
Lift & Co. has successfully begun to transition its leadership position within the medical cannabis industry to the larger adult recreational-use population. As a result of the strong brand Lift & Co. has built through their ongoing tradeshows, the Company is pleased to report progress in its strategy to monetize its platform as a data-driven marketing channel by delivering revenue of $237,251, up 343% from $53,604 compared to the same period last year.

The focus on aggregating the industry's consumers, licensed producers and retailers – the industry's most valuable stakeholders – has allowed Lift & Co. to monetize the data collected through lift.co and its retail solution suite, resulting in material growth including a large increase in retail partnerships and key website metrics like unique visitors and product reviews.

"As we continue to build out our platform in this emerging industry, we have quickly established a strong brand and a unique loyalty as a trusted leader delivering valuable information and content as the bridge between the consumer, producer and retailer," said Matei Olaru, CEO, Lift & Co. "The growth and monetization of user-generated content and retail solutions this quarter speak to the incoming success of our platform strategy as we look to leverage our brand leadership and events business to position Lift & Co. as a leading data aggregator and marketing platform."

Q2 2018 Financial Highlights:

  • Lift & Co. had revenues of $237,251, up 343% from $53,604 for the same period in fiscal year 2018. The majority of this revenue increase ($148,160) was driven by the retail training contracts that Lift & Co. signed with provincially-run retail corporations. Data insights, sold on a recurring monthly basis to licensed producers, represented $73,548 in revenues earned in the quarter.
  • The Company had a loss from operations for the three months-ended September 30, 2018 of $2,552,434 compared to a loss of $741,790 for the same period last year. This resulted in a loss per share of $0.05 in the quarter, compared to $0.02 in the same period last year. The variance was driven primarily by an increase in headcount and investments in technology to support the Company's accelerating growth.
  • As at September 30, 2018, the Company had cash on hand of $7,295,838 compared to $1,244,722 as at March 31, 2018.

Q2 2018 Operational Highlights

  • The website benefitted from a significant increase in traffic, driving growth to a total of 293,749 unique visitors and 72,720 total reviews, up 38% and 83% respectively, compared to the same period last year.
  • The Company launched the Cannabis Concierge for retailers, is a tablet-based, product-discovery tool that leverages Lift & Co.'s user-reported product data to empower retail staff and patrons with product-specific knowledge about effects and quality, which is to the Company's knowledge, the first of its kind in the Canadian cannabis market.
  • Lift & Co. signed contracts to supply its learning management system and retail training certification program, built in collaboration with MADD Canada, to two provincial retail bodies and two private retailers, pushing the Company's coverage into 5 provinces. To the Company's knowledge, this is the most widely adopted retail content and training solution in the Canadian cannabis market.
    • Nova Scotia (See news release dated July 11, 2018)
    • Prince Edward Island (See news release dated September 11, 2018)
    • Delta 9 Cannabis, Inc (See news release dated August 21, 2018)
    • Spirit Holdings Ltd. (See news release dated September 26, 2018)

Strategic Business Initiatives:

  • On October 10, the Company announced a strategic multi-year partnership with the industry's leading business association of licensed producers, the Cannabis Council of Canada, to create the Lift & Co. Retail Tradeshow.
  • The Company launched the new recreational Lift & Co. Rewards program which is, to the Company's knowledge, the world's first rewards program for federally regulated, adult-recreational cannabis.
  • Lift & Co. added functionality for purchase-receipt collection to the product-review process as part of its data aggregation strategy.
  • Further, on October 17, 2018, in support of the recreational cannabis legalization, Lift & Co. launched a user-driven recommendation tool on lift.co intended to aid consumers in choosing the best cannabis products for their personal preferences.
  • Lift & Co. entered into an agreement with Think AHLOT Corporation on October 23, 2018 to license the Canadian Cannabis Award ("CCAs") brand and co-release a sample-pack product of five winning strains from the 2018 CCAs.
  • The Company agreed to supply the Yukon Liquor Corporation its retail training certification program, marking the third government contract and the sixth Canadian province or territory in which Lift & Co. operates.

About Lift & Co.
Lift & Co. (TSXV:LIFT) is a cannabis-focused technology and media company that monetizes a platform of advertising solutions, events, and data insights to enable cannabis businesses to better understand, target and ultimately monetize cannabis consumers. Lift & Co. operates a leading product-comparison resource of federally regulated cannabis products; provides customized marketing solutions and data-backed insights into consumer and product trends; and connects businesses and consumers through its digital platform, and at its leading events, the Retail Tradeshows, the Lift & Co. Expos and the Canadian Cannabis Awards. The Lift & Co. Cannabis Retail Training Certification, developed in an exclusive partnership with MADD Canada, is available to both government and private clients. Learn more at lift.co.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.

Forward-looking statements
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.

Although the Company has attempted to identify important factors that could cause actual results, performance or achievements to differ materially from those contained in the forward-looking statements, there can be other factors that cause results, performance or achievements not to be as anticipated, estimated or intended.

There can be no assurance that such forward-looking statements will prove to be accurate or that management's expectations or estimates of future developments, circumstances or results will materialize. Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking statements in this news release are made as of the date of this release. The Company disclaims any intention or obligation to update or revise such information, except as required by applicable law, and the Company does not assume any liability for disclosure relating to any other company mentioned herein.

SOURCE Lift & Co. Corp.

View original content to download multimedia: http://www.newswire.ca/en/releases/archive/November2018/28/c5916.html

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