PLUS Revenue Grows 617% to $2.56 Million in Q318
SAN MATEO, Calif., Nov. 30, 2018 (GLOBE NEWSWIRE) -- Plus Products Inc. (the “Company” or “PLUS”) (CSE: PLUS), the leading edibles manufacturer in California, is pleased to announce its financial results for the three months ended September 30, 2018.
Third Quarter 2018 Financial Highlights
Record Q3 2018 revenue of $2.56 million representing a 617% increase over the three months ended September 30, 2017 and a 60% increase over the previous quarter (Q2 2018).
Retail sales of PLUS grew 104% quarter-over-quarter to $8.0 million in Q3, as measured and reported by BDS analytics.
Q3 2018 gross margin of $0.38M (15%) compared to -$0.17M (-48%) in Q3 2017.
Strong cash position of $11.1 million dollars at end of Q3, prior to the closing of CAD$20 Million IPO on October 26, 2018.
“PLUS is a different kind of cannabis company,” said Jake Heimark, Chief Executive Officer of PLUS. "100% of our revenue is from wholesale edible branded product sales. We believe branded edible market share is difficult to earn, yet is one of the most important metrics of long-term shareholder value. We are pleased that as measured by retail sales in Q3, the PLUS brand is now the leading edibles brand in the largest and most competitive cannabis market in the world, and we look forward to extending the brand beyond California in 2019.”
Quarterly Business Highlights
Announced closure of $10 million Series B-3 Financing.
Strategic employee appointments representing strong industry leadership and diversity including Jennifer Tung from Facebook & Uber (Chief Risk Officer), Shiaosen Williams-Sheng from TCHO Chocolate & Défoncé (Director of Innovation), Tessa O’Dowd from Bare Snacks & Cameron Hughes Wine (Controller) and Marshall Tyler from Harvard Medical School (Science Lab Coordinator).
PLUS™ Sour Watermelon Gummies and PLUS™ Blackberry & Lemon Gummies were ranked the #1 and #2 best-selling branded products in the latest quarter of retail sales data (Q3 2018), respectively, across all categories in California including flower, vaporizers, edibles, and topicals according to BDS Analytics.
PLUS unit sales grew 97% from Q2 2018 to Q3 2018, improving its edibles market position from #4 to #1 in retail value of sales, according to BDS Analytics.
Launched “CREATE”, a hybrid sour blueberry gummy as a full-time SKU after its success as a limited-edition flavor in April.
Announced the launch of “HOLIDAY BLISS”, the 4th limited edition SKU launch of the year.
Successfully completed a CAD$20 million IPO on October 26, 2018 on the Canadian Securities Exchange under the ticker “PLUS”.
The financial filings are available for review on the Company’s SEDAR profile at www.sedar.com.
Plus Products Inc. is a leading branded products manufacturer based in California. Its products consist of cannabis-infused edibles, which it sells to both the regulated medicinal and adult-use recreational markets. PLUS™ is currently one of the fastest-growing edible brands in California with several top-selling products. The Company’s mission is to make cannabis safe and approachable - that starts with manufacturing high-quality products delivering consistent experiences.
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This news release contains statements and information that, to the extent that they are not historical fact, constitute "forward-looking information" within the meaning of applicable securities legislation. Forward-looking information is based on the reasonable assumptions, estimates, analysis and opinions of management made in light of its experience and its perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances at the date that such statements are made, but which may prove to be incorrect.
Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to differ materially from any future results, performance or achievements expressed or implied by the forward-looking information. Accordingly, readers should not place undue reliance on any such forward-looking information. Further, any forward-looking statement speaks only as of the date on which such statement is made. New factors emerge from time to time, and it is not possible for the Company's management to predict all of such factors and to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. The Company does not undertake any obligation to update any forward-looking information to reflect information, events, results, circumstances or otherwise after the date hereof or to reflect the occurrence of unanticipated events, except as required by law including securities laws.