Stem Holdings (CSE: STEM) this morning reported its first quarter financial results. The company posted strong earnings, with revenues increasing to a record gross $12.4 million for the three month period. On a net basis, revenues came in at $10.5 million.
Revenues were up significantly on a year over year basis, with net revenues last year amounting to $2.3 million. Revenues were up 92.8% on a quarter over quarter basis, compared to $5.5 million in net revenues reported for the period ended December 31, 2020.
Gross profit for the quarter meanwhile improved to $2.7 million, while expenses for the quarter totaled out at $5.8 million. General and administrative expenses made up the majority of expenses, at $3.4 million. The company posted an operating loss of $3.0 million for the three month period.
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Other expenses for the quarter came in at $5.6 million, the majority of which was attributable to a $6.3 million change in fair values of warrant liabilities, which was offset partially by $1.2 million in other income. The company as a result posted a net loss of $8.6 million for the period.
Looking to the balance sheet, the company saw its cash position improve marginally, climbing to $4.6 million from $3.8 million. Total current assets as a whole climbed from $7.7 million to $11.4 million. Total current liabilities meanwhile declined from $33.5 million to $28.7 million.
Stem Holdings last traded at $0.53 on the CSE.
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