48North Cannabis (TSXV: NRTH) this morning released its third quarter 2021 financial results for the period ended March 31, 2021. The company reported gross revenue of $ 5.2 million for the period, as well as a net loss of $ 13.4 million of dollars.
Revenue was down 31.7% quarter-over-quarter on a gross revenue basis, with the company notably failing to distinguish between gross and net revenue in the press release. On a net basis, the company generated revenue of $ 3.7 million, a decrease of 38.9% from the second quarter. Few details were provided on why revenues declined so significantly, with the company instead pointing out that revenues were up year over year.
Gross profit was negative $ 3.9 million, due to COGS of $ 5.2 million and inventory write-down of $ 2.3 million. Expenses added $ 9.4 million to losses for the quarter, mainly due to general and administrative expenses of $ 4.9 million and property impairments of $ 4.2 million related to the closure of the company’s outdoor cultivation activities.
The company overall reported a net loss of $ 13.4 million for the quarter.
As for the balance sheet, 48North saw its cash flow drop from $ 4.1 million to just $ 1.4 million, while accounts receivable edged up from $ 4.7 million to $ 4.9 million. of dollars. Inventories decreased slightly, from $ 13.4 million to $ 13.3 million. Overall, total current assets increased from $ 26.0 million to $ 25.2 million. Accounts payable increased from $ 11.4 million to $ 14.9 million, increasing total current liabilities from $ 14.4 million to $ 19.6 million.
48North Cannabis last traded at $ 0.185 on the TSX Venture Exchange.
Information for this briefing was found via Sedar and 48North Cannabis Corp. The author has no title or affiliation related to this organization. Not a buy or sell recommendation. Always do additional research and consult a professional before purchasing a title. The author does not hold any license.
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