48North Posts $5.2 Million In Gross Revenue, Loss Of $13.4 Million
48North Cannabis (TSXV: NRTH) this morning reported its third quarter 2021 financial results for the period ended March 31, 2021. The company reported gross revenues of $5.2 million for the period, along with a net loss of $13.4 million.
Revenues were down on a quarter over quarter 31.7% on a gross revenue basis, with the company notably not discerning between gross or net revenue within the news release. On a net basis, the company generated $3.7 million in revenue, a 38.9% decline from the second quarter. Little detail was provided for why revenues declined so significantly, with the company instead highlighting that revenues were up on a year over year basis.
Gross profit meanwhile came in at a negative $3.9 million, a result of COGS of $5.2 million, and inventory impairments of $2.3 million. Expenses added a further $9.4 million to the losses for the quarter, lead by general and administrative expenses of $4.9 million and impairments of property to the tune of $4.2 million in relation to the closure of the firms outdoor cultivation operations.
The company overall reported a net loss of $13.4 million for the quarter.
Looking to the balance sheet, 48North saw its cash position decline from $4.1 million to just $1.4 million, while receivables were up slightly from $4.7 million to $4.9 million. Inventories declines slightly from $13.4 million to $13.3 million. Overall, total current assets declined from $26.0 million to $25.2 million. Accounts payable meanwhile grew from $11.4 million to $14.9 million, driving total current liabilities up from $14.4 million to $19.6 million.
48North Cannabis last traded at $0.185 on the TSX Venture.
Information for this briefing was found via Sedar and 48North Cannabis Corp. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
As the founder of The Deep Dive, Jay is focused on all aspects of the firm. This includes operations, as well as acting as the primary writer for The Deep Dive’s stock analysis. In addition to The Deep Dive, Jay performs freelance writing for a number of firms and has been published on Stockhouse.com and CannaInvestor Magazine among others.
