TORONTO, June 22, 2023 (GLOBE NEWSWIRE) -- Hempsana Holdings Ltd. (the “Company” or “Hempsana”) today announced first quarter financial results for the three-month period ended March 31, 2023.
Randy Ko, Hempsana’s CEO commented: “Hempsana continues to expand its innovative product offerings to consumers across Canada with the launch of seven new SKU’s from ufeelu and two new brands: Caviar Gold and Craft Bangers. We believe that Caviar Gold and Craft Bangers will provide great dried flower options that have high THC potency (25+%) combined with high terpene profiles (4+%). We believe we have the opportunity to dominate the infused pre-roll market as we use a patented process to infuse our pre-rolls and moonrocks that provides consumers a consistent smoking experience as the patented process uniformly distributes the distillate into the flower. The main complaint that consumers have in the market today is that the infused pre-rolls do not burn consistently and that is what we have focused on, bringing to market superior infused pre-roll quality that allow users to enjoy a smooth and consistent smoking session just as they do with non-infused pre-rolls.”
Operational Highlights:
New Unique and Innovative Products
The Company launched a total of seven new products in various provinces in the first quarter:
- Caviar Gold:
- Ice Cube’s Fryday Kush Distillate Infused Moonrock (45-50% THC 2 gram)
- Apple Drip OG Distillate Infused Pre-Roll (45-50% THC 1.3 gram)
- Craft Bangers:
- Tiki Head Hunter 3.5 and 7g Dried Flower (Sativa w/ 4% Terps)
- Tiki Head Hunger 1g Pre-Roll (Sativa with 4% Terps)
- Pablos Revenge 7g Dried Flower (Indica with CBG & 5% Terps)
- Kush Hunter Distillate Infused Pre-Roll (35%THC w/Pablo’s Revenge Strain)
- Ufeelu - Rest Drops (CBD/CBN)
Financial Highlights
- Net revenues were $363,831 for the three months ended March 31, 2023, compared to $354,855 for the three months ended March 31, 2022.
- Higher revenues from contract manufacturing services offset lower product sales in Q1 2023.
- Q1 2023 revenues were 28% lower than Q4 2022’s revenues of $528,487. Q4 2022 had a few larger product sales did not occur Q1 2023.
- Net loss and comprehensive loss were $276,515 in Q1 2023 compared to a net loss of $242,375 in Q1 2022.
- The higher net loss in Q1 2023 reflects higher operating expenses, wages and legal and professional fees, offset by lower management fees.
- Net loss per share was $(0.01) in Q1 2023, similar to the $(0.01) net loss per share in Q1 2022.
- Subsequent to March 31, 2023, the Company announced a private placement financing of $900,000.
Resignation of Director
Douglas Sommerville has announced that due to other personal commitments, that he has resigned as a Director of the Company and would not seek re-election at the upcoming Annual General Meeting. Randy Ko commented “Doug has served as chair of the board of directors since the Company went public in 2021. Over this time, he made many contributions to the success and growth of the company, drawing on a wealth of experience gained over a long and successful business career. On behalf of the board of directors, the management team and our shareholders, I thank Doug and wish him and his family all the best in the future.”
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.
