Saturday, July 12, 2025

Latest

TGOD, Revenue Decreases, Liquidity Issues Loom, Black Thursday Continues

This evening The Green Organic Dutchman (TSE: TGOD) released quarterly earnings and they weren’t much of a surprise. The company burned through an additional $47M in operating and investing cashflow and saw a large increase in their payables.

We broke down the quarter-over-quarter numbers here:

     Q3’19Q2’19% change
Revenue $       2.62  $       2.90 -9.7%
Gross Profit (pre-bio) $       1.59  $       1.95 -18.5%
Bio Adjustements $       0.12  $       0.01  
Gross Profit (post-bio) $       1.70  $       1.96 -13.3%
Operating Expenses $    21.51  $    18.37 17.1%
Net Loss $    21.07  $    16.44 28.2%
Operating Cash Flow $       9.52  $  (24.53) 
Investing Cash Flow $  (56.89) $  (83.67)-32.0%
Cash $    22.94  $    68.72 -66.6%
Receivables $    14.20  $    16.59 -14.4%
Payables $    66.62  $    31.53 111.3%

The company’s news release issued with the earnings looked like management has lost it’s ability to make the picture look rosy, with no mention of top line sales and mostly comments attributing to the build out of facilities that are already behind schedule.

Interestingly, the company managed to have declining revenues from their $18.6M HempPoland acquisition, which made up the majority of the $2.6M top line. Also, the company notes in the unsearchable MD&A, they currently do not meet the standard’s to uplist to the NASDAQ.

These earnings came on the heels of a news release that TGOD has lined up $103M in funding, which mostly consists of non-binding term sheets. Also, in the financing news release, there was a lack of terms surrounding the convertible prices.

In summary, TGOD burned more cash this quarter and they are starting to run low on funds. They might have some more cash coming in, but at unknown dilution levels, which will complete the build-out of facilities for an already oversupplied market.

Fingers crossed on those term sheets. I still think Valleyfield will make a great abandoned building for skateboarders in 2 years.

Hey, pot stocks!


Information for this analysis was found via Sedar and The Green Organic Dutchman. The author has no securities or affiliations related to the organizations explicitly mentioned. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.

Video Articles

Mergers Set the Stage for Uranium’s Growth Cycle | Forum-Baselode Merger

The Goal is Gold Production as Soon as Possible! | Gordon Robb – ESGOLD Corp.

Snowline Gold: The Multi Billion Dollar Valley PEA

Recommended

First Majestic Produces 7.9 Silver Equivalent Ounces In Q2, Lifts Production Guidance

Antimony Resources Drills 4.17% Antimony Over 7.4 Metres At Bald Hill

Related News

TGOD: Where Do They Go From Here?

The Green Organic Dutchman (TSX: TGOD) reported their second quarter 2020 earnings after the bell...

Thursday, August 13, 2020, 07:45:00 AM

The Green Organic Dutchman Lowers 2020 Capacity Target from 147,500 KG to 20,000 KG

The Green Organic Dutchman (TSX: TGOD) announced this morning that it will be scaling back...

Friday, October 18, 2019, 10:22:44 AM

TGOD’s Management Collected Nearly $0.50 For Every Dollar Of Net Revenue In 2019

The Green Organic Dutchman (TSX: TGOD) last night filed its statement of executive compensation for...

Friday, October 16, 2020, 03:46:59 PM

TGOD Announces $30 Million Secured Revolver Facility, Amendment to Accordion Facility

The Green Organic Dutchman (TSX: TGOD) has secured additional sources of funding this morning, announcing...

Wednesday, April 1, 2020, 08:46:17 AM

Supreme Prints Q4 Revenue of $19 Million, Adjusts EBITDA to Make It Look Like They’re Making Money

The Supreme Cannabis Co. (TSX:FIRE) made good on last month’s projection that they would do...

Friday, September 20, 2019, 11:58:48 AM