- Sugarbud Craft Growers (SUGR) has released its financial results for the third quarter of 2021
- Net revenue for the third quarter reached a record $554,231
- Gross profit before fair market value adjustments in Q3 2021 was $231,930
- The company also received Health Canada approval for its amended cannabis license
- Sugarbud will launch its first Cannabis 2.0 products under this new license in late Q4
- Sugarbud is an Alberta-based, consumer-driven boutique craft cannabis company
- Shares in Sugarbud Craft Growers Corp. (SUGR) are down 14.29 per cent, trading at $0.03 per share
Sugarbud Craft Growers (SUGR) has released its financial results for the third quarter of 2021.
The company shipped a record total of 156,703 grams of dried cannabis during the quarter, selling 135,073 grams of the product.
With these strong sales, net revenue for the third quarter reached a record $554,231, more than double the revenue reported for the second quarter.
Despite continued industry-wide price compression, Sugarbud continues to gain leverage on gross margin through a very disciplined approach to product pricing, internal cost control, and operating efficiency.
Gross profit before fair market value adjustments in Q3 2021 was $231,930, compared to $57,397 in Q2.
“We are very encouraged by the step-change in consumer adoption and product sales we saw in Q3 2021 and believe that the commercial momentum we have generated over the first nine months of 2021 will continue to grow and accelerate into 2022,” said Sugarbud president and CEO John Kondrosky.
The company also received Health Canada approval for its amended cannabis license and is now one of a handful of craft cannabis companies licensed to sell its expanded portfolio of cannabis 2.0 products to authorized provincial and territorial distributors in addition to registered medical patients across the country.
Sugarbud has built up a strong inventory of Cannabis 2.0 and anticipates launching its first Cannabis 2.0 products under this new license in late Q4 2021.
“We are rapidly establishing a strong brand identity and reputation as a leader in the craft cannabis space,” added Mr. Kondrosky, “and we believe that our results to date have us well-positioned to continue to expand our market share and accelerate profitable revenue growth in our key markets in to 2022 and beyond.”
Looking forward to the fourth quarter, Sugarbud expects its two newest products, GMO Cookies and Bahama Blizzard #11, to be available across the country late in the quarter.
The company recently closed a $900,000 extension to its loan with Connect First Credit Union and appointed John Reilly as a special advisor to the board of directors.
Sugarbud is an Alberta-based, consumer-driven boutique craft cannabis company focused on the cultivation and production of superior, select-batch, craft cannabis products.
Shares in Sugarbud Craft Growers Corp. (SUGR) are down 14.29 per cent, trading at $0.03 per share as of 12:33 pm ET.
