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TORONTO, June 15, 2023 (GLOBE NEWSWIRE) -- Hempsana Holdings Ltd. (the “Company” or “Hempsana”) today announced fourth quarter and annual financial results for the twelve-month period ended December 31, 2022.
Randy Ko, Hempsana’s CEO commented: “Given the challenges we faced, I am encouraged by our results in 2022. The Cannabis industry underwent rationalization and pricing pressures intensified. This further weakened our balance sheet and strained our financial resources. In response to these challenges, we will continue to keep our costs and cash utilization to a minimum with and continue to focus on accelerating revenue growth and deliver new, unique and innovative products to the cannabis consumers. We also established new customer relationships in our finished product contract manufacturing business. Many of the products we manufacture are now top sellers in their respective categories. We have also introduced new brands in the infused pre-roll space, which will help drive revenues going forward as the infused product market continues to expand. I also want to especially thank our team and business partners who worked tirelessly and patiently during this period.”
Financial Highlights
- Revenues were $1,409,334 for fiscal 2023, significantly higher than the revenues in fiscal 2021 of $114,715.
- Revenues for Q4 2022 were $528,487, compared to Q4 2021 of $84,351. Q4 2022 Revenues were also sequentially higher by 110% over Q3 2022 revenues of $251,631.
- Net loss and comprehensive loss were $1,476,069 in fiscal 2022 compared to a net loss of $4,238,470 in 2021.
- Net loss per share was $(0.06) in fiscal 2022, compared to $(0.19) in fiscal 2021.
- The lower net loss in 2022 was mainly due to revenues growth and the fact that 2021 had higher expenses related to one-time costs stemming from the RTO Transaction.
- Net loss and comprehensive loss were $303,836 in Q4 2022, compared to a net loss of $384,444 in Q4 2021.
- Net loss per share was $(0.01) in Q4 2022, compared to $(0.02) in Q4 2021
- Subsequent to December 31, 2022, the Company announced a private placement financing of $900,000.
Operational Highlights:
New Unique and Innovative Products
- The Company launched a total of seven new products in various provinces in the fourth quarter of 2022 in the flower, infused pre-roll and topical categories.
- The Company added the CBN cannabinoid to its production capabilities that include THC, CBD, and CBG,
About Hempsana Holdings Ltd.
The Company’s business involves the manufacturing of cannabis derivatives and producing cannabis extracts for use in finished products, including vapeables, topical creams and infused consumables. Hempsana’s Health Canada Standard Processing Licensed, and EU-GMP compliant facility provides the Company with access to wholesale and retail channels in Canada and internationally.
Additional Information
For additional information regarding Hempsana, please contact:
Randy Ko
Director and Chief Executive Officer
T: (647) 255-8849
E: randy@hempsana.ca
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements and forward-looking information within the meaning of applicable Canadian and U.S. securities laws. The use of any of the words “expect”, “anticipate”, “continue”, “estimate”, “objective”, “ongoing”, “may”, “will”, “project”, “should”, “believe”, “plans”, “intends” and similar expressions are intended to identify forward-looking information or statements. More particularly and without limitation, this press release contains forward looking statements and information concerning the business and operations of the Company. The forward-looking statements and information are based on certain key expectations and assumptions made by management, including expectations and assumptions concerning the Company. Although management of the Company believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward-looking statements and information. There can be no assurance that they will prove to be correct. By its nature, such forward-looking information is subject to various risks and uncertainties, which could cause the actual results and expectations to differ materially from the anticipated results or expectations expressed. These risks and uncertainties, include, but are not limited to, general economic conditions and the state of the regulatory environment. Please refer to the Company’s public record on SEDAR at www.sedar.com for more details on the risks faced by the Company. Readers are cautioned not to place undue reliance on this forward-looking information, which is given as of the date hereof, and to not use such forward- looking information for anything other than its intended purpose. Management of the Company undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
