Press release content from NewMediaWire. The AP news staff was not involved in its creation.
PRESS RELEASE: Paid content from NewMediaWire
Press release content from NewMediaWire. The AP news staff was not involved in its creation.

THC BioMed Intl Ltd. Turns a Profit as Revenue Breaks $1 Million -- CFN Media

January 28, 2020 GMT

Seattle, WA - ( ) - January 28, 2020 - CFN Media (OTCQB: CNFN), the leading agency and financial media network dedicated to the North American cannabis industry announces publication of an article taking a closer look at   (CSE: THC) (OTCQX: THCBF) (“THC BioMed”) strong quarterly performance and what catalysts investors can look forward to ahead.Canada’s cannabis sector has experienced a sharp sell-off over the past year, with the Marijuana Index’s Canadian Index moving from a high of $727 in March to a low of $196 in November. Rather than looking solely at growth in production capacity, many investors are shifting their focus to tangible revenue growth and profitability. Profitable licensed producers can be more selective in raising capital — limiting dilution — and generate tangible shareholder value — in the form of retained earnings.THC BioMed is one of the few licensed producers that has  as it broke $1 million in revenue last quarter. In addition to ramping up output, the British Columbia-based grower cited its premium cannabis and reasonable prices for helping it become a bestseller among consumers. Management’s long experience in the space — moving from Exemption 56 to ACMPR license to the Cannabis Act — has taught them how to grow great medical & recreational cannabis with unparalleled compliance.Robust Growth & Profitabilityrevenue that rose about 275% year-over-year to $1,044,510, during the quarter ended October 31, 2019, with an average selling price of $4.20 per gram to medical patients and recreational buyers, such as the Ontario Cannabis Store and BC Cannabis Stores. These prices are much less than the $5.00 or more reported by other licensed producers, according to data from  . Lower production costs could enable the company to capture market share right now, as well as provide a buffer if cannabis prices continue to fall.On the bottom line, the company’s adjusted EBITDA swung from a loss of $345,754 to a gain of $890 after accounting for changes in the fair value of cannabis inventory, share-based compensation and other non-operational factors. Many cannabis investors are seeking out companies with profitable operations since they can be more selective when raising capital, which potentially translates to less dilution for existing shareholders and easier access to capital required to grow the business over the long-term.On the balance sheet, the company reported $6,301,916 in total assets versus $4,188,603 in total liabilities, yielding $2,113,313 in shareholders’ equity. Many licensed producers have struggled under debt hangovers after ramping up production capacity over the past couple of years. As the market matures, companies with less debt have less of a drain on cash flow and more flexibility when it comes to capitalizing on any new opportunities that may arise. Positive net asset levels could also provide shareholders with a buffer in their valuations.Many Irons in the FireTHC BioMed has prudently grown its business over the past several years, but that doesn’t mean that it’s not pursuing high-growth opportunities. Last quarter, the company amended its license to include the production and  and submitted a new product application to Health Canada for Pure Cannabis Sticks— pre-rolls that are filtered, paper cylinders filled with pure cannabis to be manufactured using its automated production machine — dramatically lowering labor costs.In addition, the company announced an alternative, brand new cannabis beverage product, THC Kiss, and submitted a new product application to Health Canada shortly after the quarter ended.  projects that the global market for cannabis beverages hit $1.6 billion in 2018 and could reach $4.46 billion by 2025, representing a 15.6% compound annual growth rate. The market is growing so quickly that many traditional beverage companies, such as Constellation Brands Inc., have made significant investments into cannabis.Finally, the company acquired an  at its production facility to increase grow capacity. Management’s unique approach to growing cannabis also ensures the highest-quality products reach consumers — from selecting only the best feminized seeds to hand-trimming at the perfect time and placing product on drying racks to dry and cure over an extended period of time. The combination of low-cost production methods and experience growing premium cannabis creates an easy bestseller.Looking Ahead(CSE: THC) is one of the few licensed producers that have achieved profitability on the bottom line. As the market shifts their portfolios from growth to value, investors may want to keep an eye on the company that has prudent financial discipline and plenty of potential catalysts ahead. It’s long track record shows that management has been able to balance these objectives and deliver shareholder value with an eye for creating low-cost, high-value products for consumers. To Learn more about THC BioMed (CSE: THC) (OTCQX: THCBF) visit the Company’s Website:  Click here to read the full article:  About CFN MediaCFN Enterprises Inc. (OTCQB: CNFN) is the owner and operator of CFN Media, the leading agency and digital financial media network dedicated to the legal cannabis industry.For Visitors and ViewersCFN Media’s Cannabis Financial Network (CannabisFN.com) is the destination for savvy investors and business people profiting from the worldwide cannabis industry. Viewers will see breaking news, exclusive content and original programming involving the people, companies and investments shaping the industry.For Cannabis Businesses & CompaniesCFN Media is a leading agency and financial media network dedicated to the cannabis industry. We help private, pre-public and public cannabis companies in the US and Canada attract capital, investors and media attention.Our powerful digital media and distribution platform conveys a company’s message and value proposition directly to accredited and retail investors and national media active in the North American cannabis markets.Since 2013, CFN Media has enabled the world’s preeminent cannabis companies to thrive in the capital and public markets.Learn how to become a CFN Media client company, brand or entrepreneur: DisclaimerThe above article is sponsored content. CannabisFN.com and CFN Media, have been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation:  THC BioMed ContactCEO : John Millerinfo@THCbiomed.com1-844-THCMEDSFrank Lane 206-369-7050Flane@cannabisfn.com