Enhanced Operational Efficiency and
Strategic Investments Drive Continued Profitability
CALGARY,
AB, June 26, 2024 /CNW/ - CanadaBis Capital
Inc. (the "Company" or "CanadaBis") (TSXV: CANB), a premium
vertically integrated Canadian cannabis company, is pleased to
announce results from our second quarter fiscal 2024, represented
by our tenth consecutive quarter generating net revenue. The
Company's Financial Statements and Notes, as well as Management's
Discussion and Analysis ("MD&A") are filed on SEDAR at
www.sedarplus.ca. This quarter reflects another period generating
positive earnings and Adjusted EBITDA1 for CanadaBis, The Company
has allocated capital to innovation designed to remain ahead of
competitors and to expand the SKU offering by adding multiple new
products for future release. To support the Company's product
enhancement initiatives, we have continued to adjusted our strategy
to increase brand awareness and capture market share through an
extensive nation-wide campaign designed to equip retailers with
enhanced awareness of the various SKUs, programs and educational
value-adds to CanadaBis' wide variety of high-quality, lower-cost
products. While such investments can have an impact on results in
the immediate quarters, reinvesting in the business is critical to
support the Company's top and bottom line over the longer-
term.
Stigma Grow continues to re-formulate concentrate and pre roll
lines to meet demands from current clients to maintain larger
terpene and cannabinoid profiles across the product offerings while
also earning repeat sales. With these ongoing improvements, coupled
with demand for our award-winning Infused Pre-rolls, Electric
Dartz, Live Rosin Vapes and High-CBD Cartridges, CanadaBis
anticipates continued positive performance in remainder of Fiscal
2024, while maintaining prudent financial management.
Financial Highlights for Q3 2024:
- Revenue: $ 7.1 million
- Net Income: $ 3.97 million
- Adjusted EBITDA: $ 5 million
- Operational Costs: Reduction by 20 %, showcasing
improved operational efficiency.
CEO's Message:
"Canadabis Capital's performance in Q3 2024 was robust, driven
by our strategic investments and continuous efforts to optimize our
operational efficiencies," said Travis
Mcintyre, Chief Executive Officer of Canadabis Capital. "We
are focused on enhancing shareholder value through prudent
financial management and forward-thinking strategies in the
evolving cannabis market."
Operational Highlights:
- Expansion of Portfolio: At the tail end of Q3 2024,
Canadabis Capital successfully Launched the first 60% THC pre roll
into the Canadian Market, seeing excellent up take by the
provincial bodies.
- R&D Investments: The company invested in
research and development to expand its product offerings and
improve Manufacturing processes.
- Partnerships: A strategic partnership was
established with a Distribution company in Portugal, enhancing our distribution network
and market penetration.
CFO's Insights:
"Our financial discipline and strategic focus on high-growth
opportunities have been key in delivering these continued positive
results," said Garfield Richards,
Chief Financial Officer of Canadabis Capital. "The reduction in
operational costs combined with revenue growth highlights our
commitment to drive profitability and sustainable growth."
Future Outlook:
Looking ahead, Canadabis Capital remains optimistic about the
growth potential within the cannabis industry. The company plans to
further diversify its SKU portfolio, enhance product innovation,
and strengthen its market position in both domestic and
international markets.
"We believe the future holds remarkable opportunities for growth
as the cannabis sector continues to gain momentum globally," added
Travis Mcintyre. "Our strong
financial foundation and strategic vision position us well to
capitalize on these opportunities."
ABOUT CANADABIS CAPITAL INC.
CanadaBis Capital Inc. (TSXV:CANB) is a vertically integrated
Canadian cannabis company focused on achieving large-scale growth,
from cultivation to retail, in the fast-emerging global cannabis
market. By targeting organic growth opportunities alongside the
right-fit partners, we remain focused on finding and capitalizing
on chances to grow, diversify and continue to lead our
industry.
Our integrated subsidiaries:
- Stigma Pharmaceuticals Inc. – 100% held
- 1998643 Alberta Ltd. (operating as "Stigma Grow") - 100%
held; www.stigmagrow.ca
- Full Spectrum Labs Ltd. (operating as "Stigma Roots") -
100% held
- 2103157 Alberta Ltd. (operating as "INDICAtive
Collection") -100% held; www.indicativecollection.ca
- Goldstream Cannabis Inc. - 95% held
ABOUT STIGMA GROW
Stigma Grow is a cutting-edge cannabis cultivation and
extraction company positioned advantageously to meet the unmet
market demands and stigmas within the legal cannabis industry head
on, with products designed to disturb the status quo and
dramatically shift the conversation surrounding Canada's legal cannabis industry.
CAUTIONARY STATEMENTS Non-GAAP Measures
This news release contains the financial performance metric of
Adjusted EBITDA, a measure that is not recognized or defined under
IFRS (a "Non-GAAP Measure"). As a result, this data may not be
comparable to data presented by other cannabis companies. For an
explanation and reconciliation of Adjusted EBITDA to related
comparable financial information presented in the Financial
Statements prepared in accordance with IFRS, refer to the MD&A
for the three months ended October 31,
2023. The Company believes that Adjusted EBITDA is a useful
indicator of operational performance and is specifically used by
management to assess the financial and operational performance of
the Company.
Adjusted EBITDA is a measure of the Company's financial
performance. It is intended to provide a proxy for the Company's
operating cash flow and is widely used by industry analysts to
compare CanadaBis to its competitors and derive expectations of
future financial performance of the Company. Adjusted EBITDA
increases comparability between comparative companies by
eliminating variability resulting from differences in capital
structures, management decisions related to resource allocation,
and the impact of fair value adjustments on biological assets,
inventory, and financial instruments, which may be volatile on a
period-to-period basis. Adjusted EBTIDA is not a recognized,
defined, or standardized measure under IFRS. The Company calculates
Adjusted EBITDA as net income (loss) and comprehensive income
(loss) excluding changes in fair value of biological assets, change
in fair value of biological assets realized through inventory sold,
depreciation and amortization expense, share-based payments, and
finance costs.
Regarding Forward-Looking Information
This news release includes certain "forward-looking statements"
under applicable Canadian securities legislation. Forward-looking
statements include but are not limited to statements with respect
to our business and operations; timing of the Sundial products
coming to market; the demand and market for live-resin vape
cartridges, and our general business plans. Forward-looking
statements are necessarily based upon a number of assumptions
including: the ability of the Company's products to compete with
the pricing and product availability on the black-market; the
market demand for the Company's products; and assumptions
concerning the Company's competitive advantages. These assumptions,
while considered reasonable, are subject to known and unknown
risks, uncertainties, and other factors which may cause actual
results and future events to differ materially from those expressed
or implied by such forward- looking statements. Such factors
include, but are not limited to: compliance with extensive
government regulation, the general business, economic, competitive,
political and social uncertainties; ability to sustain or create a
demand for a product; requirement for further capital; delay or
failure to receive board, shareholder or regulatory approvals; the
results of operations and such other matters as set out in the
Company's continuous disclosure on SEDAR at www.sedar.com. There
can be no assurance that such statements will prove to be accurate,
as actual results and future events could differ materially from
those anticipated in such statements.
Accordingly, readers should not place undue reliance on
forward-looking statements. Investors are cautioned that
forward-looking information is not based on historical facts but
instead reflects management's expectations, estimates or
projections concerning future results or events based on the
opinions, assumptions and estimates of management considered
reasonable at the date the statements are made. Although we believe
that the expectations reflected in such forward-looking information
are reasonable, such information involves risks and uncertainties,
and undue reliance should not be placed on such information, as
unknown or unpredictable factors could have a material adverse
effect on our future results, performance or achievements.
Should one or more of these risks or uncertainties materialize,
or should assumptions underlying the forward-looking information
prove incorrect, actual results may vary materially from those
described herein as intended, planned, anticipated, believed,
estimated or expected. Although the Company has attempted to
identify important risks, uncertainties and factors which could
cause actual results to differ materially, there may be others that
cause results not to be as anticipated, estimated or intended. The
Company does not intend, and does not assume any obligation, to
update this forward-looking information except as otherwise
required by applicable law.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE CanadaBis Capital Inc.