Saturday, September 13, 2025

Namaste Technologies Posts Third Consecutive Quarter of Declining Revenues

Namaste Technologies (TSXV: N) posted their third straight quarter of declining revenues this week, recognizing $3.8 million in revenues for the three month period ended August 31, 2019. Figures were down on a year over year basis as well, with the firm recognizing $3.9 million in revenues in Q3 2018.

Namaste Technologies Logo

Despite declining revenues, to their credit, Namaste actually recorded their largest gross profit since their quarter ended February 2018. The firm posted just shy of $1.0 million in gross profit for the current quarter. Despite this, a substantial net loss of $14.7 million was recorded, one of the firms highest on record.

Despite being viewed by the market as being Namaste’s biggest asset, CannMart accounted for only $138,302 in revenues during the quarter, which was down from $148,613 in the prior quarter. 13,714 grams of cannabis was sold during the quarter, at an average price per gram of $7.65. Comparable data was not provided in the previous quarter. Of the firms five revenue segments, only two, Australian vaporizors and Findify, posted positive revenue growth over the quarter.

Operating expenses for the quarter came in at $11.0 million, while impairment of goodwill accounted for a hit of $3.6 million. Professional fees related to class action lawsuits and internal investigations amounted to $3.5 million during the quarter, up from $3.0 million in the prior quarter. The expense is expected to be non-recurring. Personnel costs totaled $2.9 million, up from $2.0 million. G&A costs totaled $2.1 million, while share based compensation came in at $0.7 million.

Operational cash flow during the quarter amounted to ($6.3 million), as the firms cash position decreased from $55.9 million to $49.1 million through the quarter. Accounts receivable decreased to $1.9 million from that of $3.1 million, While inventory levels grew from $4.9 million to $5.0 million. Payables also grew, from $4.6 million to $7.2 million.

Related party transactions during the third quarter of 2019 amounted to $1.5 million. Unbelievably, this is down 32.9% from the second quarter, when related party transactions amounted to $2.2 million. Key management personnel compensation was actually below the total gross profit experienced in the quarter as well, which has not always been the case for the firm.

Namaste Technologies is currently trading at $0.38 on the TSX Venture.


Information for this analysis was found via Sedar and Namaste Technologies. 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.

Video Articles

Soma Gold Q2 Earnings: Production Drops Amid Growth Effort

Guanajuato Q2 Earnings: Things Are Going Backwards

Electric Metals: The Sole US Domestic Source Of A Critical Mineral?

Recommended

Northern Superior Expands Philibert With 350 Metre Step Out Testing 1.10 g/t Gold Over 25.5 Metres

Goliath Resources Hits 18.58 g/t Gold Over 5.00 Metres At Surebet

Related News

Namaste Tech: Falling Apart at the Seams

It appears that Namaste Technologies (TSXV: N, OTCMKTS: NXTTF) will not become the “Amazon of Weed”...

Wednesday, March 6, 2019, 02:33:33 AM

Is Namaste Technologies back?

Namaste Technologies (TSX.V: N) was the number one traded TSX Venture stock yesterday by volume,...

Friday, September 6, 2019, 05:00:54 AM

Namaste Technologies Joint Venture Receives Processing License

Namaste Technologies (TSXV: N) is nearly ready for the second generation of cannabis products. The...

Monday, January 13, 2020, 09:46:57 AM

Namaste Technologies Settles Class Action Lawsuits

Namaste Technologies (TSXV: N) announced this morning that it had settled class action lawsuits that...

Thursday, July 25, 2019, 09:14:42 AM

Namaste Tech To Acquire Remaining Portion Of CannMart Labs For $4.0 Million

Namaste Technologies (TSXV: N) announced this morning that it has entered into an arrangement to...

Wednesday, November 18, 2020, 07:54:00 AM