Indiva Guides To $6.9 Million To $7.2 Million In Fourth Quarter Revenues
Indiva Limited (TSXV: NDVA) seems to have finally hit its stride, with the company this morning providing preliminary guidance for its fourth quarter 2020 results. The company has guided for revenues between $6.9 and $7.2 million for the three month period, a significant improvement on a quarterly basis.
The revenue guidance is significant, given that the year ago period saw revenues of $0.32 million, while the third quarter posted revenues of $3.03 million, both on a net basis. The massive increase is reportedly from the production and sale of Wana Sour Gummies, which hit the market late in the third quarter.
Hifyre data points to the small firm being the market leader in the space of edibles across Canada, with an estimated 40% market share based on the data that is available. That market lead has lead to the increase in quarterly revenues, while margins are expected to improve on a quarterly basis as well, with the company guiding to margins above the 22% level generated in the third quarter.
Looking to the first quarter, the company has indicated it expects continued growth in terms of revenue, while gross margins are expected to improve as well. Further products are anticipated to be launched in the first quarter of 2021 to support this, along lower input costs with the falling price of distillate on the market.
Indiva Limited last traded at $0.375 on the TSX Venture.
Information for this briefing was found via Sedar and Indiva Limited. 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.
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